Morshead Mansions Ltd v Leon Di Marco
Court of Appeal
“Where a tenant was a member of the landlord company, that company could recover an amount passed by resolution of the company under its articles to finance anticipated expenditure to maintain the building, even though such a claim was unenforceable under the Landlord and Tenant Act 1985 The Court of Appeal (Lord Justice Mummery, Lord Justice Wall and Lord Justice Toulson) so stated on December 10, 2008, allowing the appeal of Morshead Mansions Ltd from the decision of Mr Recorder Mitchell, QC, in Central London County Court, dated January 22, 2008, that a resolution of the company passed pursuant to its articles of association to establish a fund of £400,000 to be designated the 2007 Recovery Fund was not enforceable as a service charge within under section 18 of the 1985 Act.”
The Times, 25th February 2009
Source: www.timesonline.co.uk
Please note the Times Law Reports are only available free on Times Online for 21 days from the date of publication.