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The decision by the High Court in Phillips v Francis, which has been causing alarm in the property management industry for almost a year, could yet be overturned after the Court of Appeal has granted permission for an appeal.
In a decision criticised widely across the industry, The High Court ruled in January that, without appropriate dispensation, all qualifying works in a building are subject to consultation in advance if they will cost any flat owner more than £250. Previously, the accepted position was that consultation was only required on a per project basis if the specified limitations were reached.
In allowing the appeal, Lord Justice Gloster commented: “...this undoubtedly raises an important point of principle…”. Richard Bagwell, a Partner at Foot Anstey, who are acting for the appellants said: “The appeal is important for the residential sector as a whole, and for both landlords and tenants.” It is understood that Mr. & Mrs. Francis will be looking for offers of funding from interested parties.
Roger Hardwick, from Brethertons Solicitors said the High Court ruling in January had been “a fundamentally unworkable and commercially nonsensical decision”. “Let us hope that the appeal proceeds with all due celerity,” he added “Managing agents and their clients need this issue to be clarified as soon as possible, in order that they can properly plan for forthcoming major works and/or review their previous consultation exercises to see if they must now seek retrospective dispensation from the First-tier Tribunal (Property Chamber).”
A detailed note of the argument, judgement and order prepared by Anneli Robins, pupil barrister at Arden Chambers, can be read by .
The appeal is important for the residential sector as a whole, and for both landlords and tenants.