A tenant wanting to purchase the freehold offered a sum without mentioning the costs. The landlord counter offered to accept the sum but with costs. His rejection of the offer was unreasonable. The effect would be to nullify the Act since it would lead to tenants paying more for low value freeholds. The power of a tribunal to award costs should be exercised so as to encourage and not to discourage settlements. The landlord should have considered whether the offer was reasonable without looking for costs.
Citations:
Times 16-Mar-2001
Statutes:
Leasehold ReformHousing and Urban Development Act 1993
Jurisdiction:
England and Wales
Landlord and Tenant, Administrative
Updated: 08 May 2022; Ref: scu.84718