Dilapidation Claims Solicitors

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If you need a dilapidation dispute solicitor in Birmingham, Northampton or London, give us a call today and we will be happy to advise you.

What is a Dilapidations Claim?

In simple terms, dilapidation is a claim made by a landlord against a tenant of a commercial property for failing to fulfil their repair obligations under the lease.

A landlord can make a terminal dilapidation claim at the end of the lease. Alternatively, a landlord can make an interim dilapidations claim during the lease term.

Advice for Landlords and Tenants

Our dilapidation claims solicitors excel at advising landlords on the specific remedies relating to their claims. We always provide realistic and practical legal advice. It is important to remember that your property will only be returned to the standard stated in your lease agreement with the tenant.

We also have a wealth of experience providing tenants with dilapidations support, from advising on lease covenants and surveys to expenditures.

Whether you are a landlord or tenant, it is advisable to seek legal advice as early as possible. This will give you a clear understanding of your rights and obligations according to the lease agreement.

How We Can Help With Your Claim

Our dilapidation claims solicitors assess each claim on a case-by-case basis and will help you find the most appropriate and cost-effective solution depending on your unique requirements. As property litigation experts, we have extensive experience dealing with dilapidation cases and will be by your side throughout the entire process.

We work closely with a range of industry professionals who can support you with your claim, including:

• Building surveyors
• Valuation surveyors
• Specialist counsel

How Much Do Dilapidation Claims Cost?

The costs involved in dilapidation claims can vary depending on the value and complexity of the case, as well as the other party’s actions. Without considering costs such as court fees, legal fees and surveyor costs, a dilapidation claim can cost anywhere between £25,000 to £250,000 plus VAT. Generally, the court fee will be 5% of the value of the claim.

Our expert dilapidation claim lawyers excel at ensuring that our client’s fees are as low as possible whilst finding the best solution to achieve their goals.

What is a Dilapidation Dispute?

Commercial tenants are usually required to hand back premises in a good state of repair and decoration at the end of a tenancy. Regardless of what state the property was taken on, this can still be a requirement for the tenant. If the landlord is not satisfied with the condition of the property at the end of the lease, they have the option of making a dilapidation claim to recover the costs of repairs from the tenant.

The Dilapidations Claim Process

Whether you are a landlord or a tenant, our dilapidation dispute solicitors can help you issue or respond to a dilapidation claim. Our Witan solicitors can help you through each step of the process.

Landlords – If You Intend To Issue Dilapidation Claims:

• Instruct a qualified building surveyor to produce a Schedule of Dilapidations, to include all the relevant repair clauses, how they have been breached and the cost of rectifying any problems. The surveyor should also produce a Quantified Demand, which sets out any monetary sum sought by way of damages. This amount claimed, however, should equate to your likely loss as the landlord.
• A member of our team will serve the Schedule of Dilapidations and the Quantified Demand on the outgoing tenant within a reasonable time and no less than 56 days from the end of the tenancy.
• We will correspond directly with your surveyor, and invite the tenant to instruct their own surveyor.
• At this point, many disputes are settled, where both parties agree on an acceptable figure to cover the cost of the dilapidations.

Tenants – How To Respond To Dilapidation Claims

If you have been served a Schedule of Dilapidations and Quantified Demand but have been unable to reach an agreement with the landlord, here’s what you need to do:

• Firstly, you have 56 days to provide a formal response. This period begins from the day you receive the landlord’s claim, and is deemed a reasonable amount of time. Your response should address each point listed in the Schedule of Dilapidations, setting out your detailed position and what the disagreements are.

If you believe the schedule’s cost of repairs is higher than the loss in value caused to the property then you should state this at the earliest possible stage, and instruct a chartered surveyor to produce a diminution valuation under Section 18 of the Landlord and Tenant Act 1927.

How Are Damages Calculated

It is worth noting that both costs and value play an important role in determining the damages payable to landlords. In England and Wales, Ireland and the Isle of Man, damages are not always based on the reasonable cost of carrying out remedial works. In some cases, the cost may be capped if the tenant can prove that the impact on the value of the property is less. However, in Scotland and Ireland, damages are not capped and are assessed on a cost-of-works basis.

In some cases, damages in Scotland are calculated based on diminished value. In simple terms, the chartered valuation surveyor will assess whether breaches to the relevant repair clauses have lowered the property’s open-market value. Using the building surveyor’s cost schedule of works, the valuer will determine whether any claimed items should be overridden by necessary works to modernise the property and increase its value. The valuer will then compare the property’s condition and presentation to similar properties in the local area. That way, they can decide whether any repairs have affected the property’s value.

Please keep in mind that landlords in England and Wales carrying out claimed works may be required to provide evidence of their claims through a diminution valuation as opposed to a cost-for-works basis. Our knowledgeable team of legal experts can help you make sense of how costs and values are determined in your jurisdiction. 

How We Can Help With Disputes

At Witan Solicitors, our dilapidation dispute solicitors will ensure that they advise the best possible resolution method for your particular case. We have a strong background in mediation and alternative dispute resolution and will ensure that your issue will be dealt with amicably and most efficiently. If litigation is the better way of resolving your dilapidation dispute, our team is ready to prepare your case and further represent you in court. 

If you are looking for legal advice and guidance with a Commercial Property Dispute, our solicitors are also available to assist you.

Why Choose Witan Dilapidation Claims and Dispute Solicitors?

• Our solicitors have been advising on dilapidation claims and resolving disputes since 1986
• Our dilapidation claims and dispute solicitors are available in and around London, Birmingham and Northampton
• We offer traditional and alternative dispute resolutions, ensuring you get the best possible chance of issuing/defending a claim.
• Our Director has previously been ranked in the Legal 500 as a litigation specialist
• Explore our full range of funding options available including but not limited to ‘no win no fee’, ‘no win low fee’, damages-based agreements and third-party litigation funding

FAQ

What should I do at the beginning or halfway through the lease?

Ideally, a schedule of conditions should be prepared before the lease is signed to protect both the landlord and the tenant.

If the tenant is not fulfilling their repair obligations at any point up to 18 months before the end of the lease, it is advisable to give the tenant notice using an interim schedule of dilapidations. This provides the tenant with the opportunity to fix any issues stated in the schedule and generally does not include the cost of the repairs

What can I do if the lease is ending?

During the final 18 months of the lease, a terminal schedule of dilapidations should be given to the tenant. Usually, the costs of the repairs will be included. 

What can I do after the lease has ended?

It is possible to serve a final schedule of dilapidations after the lease has ended. This will usually detail the breaches, the remedies required and the cost of the repairs.

How much time does a landlord have to make a dilapidation claim?

Landlords can make a dilapidation claim up to six years after the lease has ended. However, it is worth noting that, as time passes, the damages recoverable will likely reduce. That is why it is important to make a claim as early as possible.

How much can a landlord recover?

There are limits on the amount that landlords can claim. After all, dilapidation claims are designed to restore the landlord to the position they would have been in if the tenant complied with the repair obligations in the lease. For this reason, any remedial work must be reasonable.

Usually, the current value of the property will be compared to the value if the repairs are carried out. The difference is the maximum claim that the landlord can claim, regardless of how much the repairs cost.

The court will also consider the landlord’s intentions. For example, if the landlord plans to redevelop the property, this may impact the amount that can be recovered.

A specialist dilapidation claims solicitor will help you figure out what your options are and how much you are entitled to.