House of Lords portcullis
House of Lords
Session 2000-2001
Internet Publications
Other Bills before Parliament

Commonhold and Leasehold Reform Bill [H.L.]

This is the Commonhold and Leasehold Reform Bill [H.L.], as introduced in the House of Lords on 20th December 2000.

 
EXPLANATORY NOTES

Explanatory Notes to the Bill, prepared by the Lord Chancellor's Department and the Department of the Environment, Transport and the Regions, will be published separately as HL Bill 11- EN.


EUROPEAN CONVENTION ON HUMAN RIGHTS

The Lord Chancellor has made the following statement under section 19(1)(a) of the Human Rights Act 1998:

In my view the provisions of the Commonhold and Leasehold Reform Bill [H.L.] are compatible with the Convention rights.


 
  
Commonhold and Leasehold Reform Bill [H.L.]
 
 
 
 
ARRANGEMENT OF CLAUSES

PART I
COMMONHOLD
Nature of commonhold
Clause 
1.Commonhold land.

Registration
2.Application.
3.Consent.
4.Land which may not be commonhold.
5.Registered details.
6.Registration in error.

Effect of registration
7.Registration without unit-holders.
8.Transitional period.
9.Registration with unit-holders.
10.Extinguished lease: liability.

Commonhold unit
11.Definition.
12.Unit-holder.
13.Joint unit-holders.
14.Use and maintenance.
15.Transfer.
16.Transfer: effect.
17.Leasing: residential.
18.Leasing: non-residential.
19.Leasing: supplementary.
20.Other transactions.
21.Part-units.
22.Changing size.
23.Changing size: charged unit.

Common parts
24.Definition.
25.Use and maintenance.
26.Transactions.
27.Charges: general prohibition.
28.New legal mortgages.
29.Additions to common parts.

Commonhold community statement
30.Form and content: general.
31.Regulations.
32.Amendment.

Commonhold association
33.Constitution.
34.Duty to manage.
35.Voting.

Operation of commonhold
36.Enforcement and compensation.
37.Commonhold assessment.
38.Reserve fund.
39.Rectification of documents.
40.Enlargement.

Termination: voluntary winding-up
41.100 per cent. agreement.
42.80 per cent. agreement.
43.Termination application.
44.Termination statement.
45.The liquidator.
46.Termination.

Termination: winding-up by court
47.Introduction.
48.Succession order.
49.Assets and liabilities.
50.Transfer of responsibility.
51.Termination of commonhold.

Termination: miscellaneous
52.Winding-up without termination application.
53.Termination by court.
54.Release of reserve fund.

Miscellaneous
55.Multiple site commonholds.
56.Development rights.
57.Development rights: succession.
58.Compulsory purchase.
59.Matrimonial rights.
60.The Crown.

General
61.Orders and regulations.
62.Registration procedure.
63.Jurisdiction.
64.The register.
65.Amendments.
66.Interpretation.
67.Index of defined expressions.

PART II
LEASEHOLD REFORM
CHAPTER I
RIGHT TO MANAGE
Introductory
68.The right to manage.

Qualifying rules
69.Premises to which Chapter applies.
70.RTM companies.
71.RTM companies: membership and regulations.
72.Qualifying tenants.
73.Long leases.
74.Long leases: further provisions.

Claim to acquire right
75.Notice inviting participation.
76.Right to obtain information.
77.Notice of claim to acquire right.
78.Contents of claim notice.
79.Claim notice: supplementary.
80.Right of access.
81.Counter-notices.
82.Landlords etc. not traceable.
83.Withdrawal of claim notice.
84.Deemed withdrawal.
85.Costs: general.
86.Costs where claim ceases.

Acquisition of right
87.The acquisition date.
88.Notices relating to management contracts.
89.Duties to give notice of contracts.
90.Duty to provide information.
91.Duty to pay accrued uncommitted service charges.

Exercising right
92.Introductory.
93.Management functions under leases.
94.Management functions: supplementary.
95.Functions relating to approvals.
96.Approvals: supplementary.
97.Enforcement of tenant covenants.
98.Tenant covenants: monitoring and reporting.
99.Statutory functions.
100.Landlord contributions to service charges.

Supplementary
101.Registration.
102.Cessation of management.
103.Enforcement of obligations.
104.Agreements excluding or modifying right.
105.Application to Crown.
106.Powers of trustees in relation to right.
107.Power to prescribe procedure.
108.Notices.

Interpretation
109.Definitions.
110.Index of defined expressions.

CHAPTER II
COLLECTIVE ENFRANCHISEMENT BY TENANTS OF FLATS
Introductory
111.Amendments of right to collective enfranchisement.

Qualifying rules
112.Non-residential premises.
113.Qualifying leases.
114.Premises with resident landlord.
115.Proportion of tenants required to participate.
116.Abolition of residence condition.

Exercise of right
117.Right exercisable only by RTE company.
118.RTE companies.
119.Invitation to participate.
120.Consequential amendments.
121.Right of access.

Purchase price
122.Valuation date.
123.Freeholder's share of marriage value.
124.Disregard of marriage value in case of very long leases.

CHAPTER III
NEW LEASES FOR TENANTS OF FLATS
Introductory
125.Amendments of right to acquire new lease.

Qualifying rules
126.Replacement of residence test.
127.Qualifying leases.
128.Personal representatives.
129.Crown leases.

Purchase price
130.Valuation date.
131.Landlord's share of marriage value.
132.Disregard of marriage value in case of very long leases.

CHAPTER IV
LEASEHOLD HOUSES
Introductory
133.Amendments of 1967 Act.

The rights
134.Abolition of limits on rights after lease extension.
135.Purchase price for enfranchisement during lease extension.

Absent landlords
136.Applications to be to county court.
137.Valuation by leasehold valuation tribunal.

CHAPTER V
OTHER PROVISIONS ABOUT LEASES
Service charges, administration charges etc.
138.Extending meaning of service charge and management etc.
139.Consultation about service charges.
140.Liability to pay service charges: jurisdiction.
141.Administration charges.

Ground rent
142.Requirement to notify long leaseholders that rent is due.

Forfeiture of leases of dwellings
143.No forfeiture notice before determination of breach.
144.Section 143: supplementary.
145.Forfeiture for failure to pay service charge etc.

Crown application
146.Application to Crown.

CHAPTER VI
LEASEHOLD VALUATION TRIBUNALS
147.Leasehold valuation tribunals.
148.Procedure.
149.Appeals.
150.Consequential amendments.

CHAPTER VII
GENERAL
151.Wales.
152.Orders and regulations.
153.Interpretation.

PART III
SUPPLEMENTARY
154.Repeals.
155.Commencement etc.
156.Extent.
157.Short title.
 

SCHEDULES:
    Schedule 1-Application for registration: documents.
    Schedule 2-Land which may not be commonhold land.
    Schedule 3-Commonhold association.
    Part I-Memorandum and articles of association.
    Part II-Membership.
    Part III-Miscellaneous.
    Schedule 4-Development rights.
    Schedule 5-Commonhold: consequential amendments.
    Schedule 6-Premises excluded from right to manage.
    Schedule 7-Right to manage: statutory provisions.
    Schedule 8-Enfranchisement by company: amendments.
    Schedule 9-Meaning of service charge and management.
    Schedule 10-Administration charges.
    Part I-Reasonableness of administration charges.
    Part II-Amendments of Landlord and Tenant Act 1987.
    Schedule 11-Leasehold valuation tribunals: procedure.
    Schedule 12-Leasehold valuation tribunals: amendments.
    Schedule 13-Repeals.
 


 
continue
 
House of Lords home page Houses of Parliament home page House of Commons home page search page enquiries index

© Parliamentary copyright 2000
Prepared 21 December 2000