Glossary
Dispensation
Also called: Section 20ZA dispensation, dispensation from consultation
An order by the First-tier Tribunal excusing a landlord or management company from some or all of the Section 20 consultation requirements, where it is reasonable to do so.
Dispensation is the safety valve for Section 20Section 20 consultationThe legal process of consulting leaseholders before carrying out works, or signing a contract of more than 12 months, that will cost any one leaseholder more than the set threshold.. You can apply before the works (for example, an emergency repair that can't wait for two rounds of consultation) or afterwards (if a step was missed).
How the tribunal decides
The Supreme Court in Daejan v Benson said the main question is whether the leaseholders suffered real prejudice because the consultation wasn't done properly. Leaseholders need to show what prejudice they suffered. The tribunal can grant dispensation on conditions, such as reducing the cost or paying the leaseholders' reasonable costs.
In practice
- Apply on the tribunal's form, explaining what happened and why.
- Keep leaseholders informed even in an emergency: explain what's being done and why, and share quotes where you can.
- Dispensation isn't automatic, and it costs time and a fee. Consulting properly is almost always easier.
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