LvT Case Law
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The power to appoint a manager under section 24 Landlord and Tenant Act 1987 (“the 1987 Act”) is wide and flexible. The F–tT is permitted to construct a scheme of management which may go beyond what is contemplated by individual leases. The process does not begin and end simply with the appointment of a manager. It may involve a detailed and extensive drawing–up of the rights and obligations that all parties will have when dealing with that manager.
It is undecided whether the indemnity principle – that a paying party cannot be ordered to pay a receiving party more in costs than the receiving party is itself liable to pay – applies in the F–tT. However, in RTM cases, section 88(2) of the Commonhold and Leasehold Reform Act 2002 (“the 2002 Act”) applies, so as to expressly limit a landlord’s recoverable costs. An over–zealous application of the indemnity principle is to be avoided by tribunals.