Service Charges
Payment under protest.
Paying “Under Protest”
General Resident Guidance
Some residents have asked what is meant by making a payment “under protest” in relation to the recent service charge demands.
In general terms, “payment under protest” is commonly used where:
a person wishes to avoid immediate risk of arrears, recovery action, interest, or escalation;
but also wishes to reserve their right to later seek clarification, challenge reasonableness, request supporting information, or pursue independent review where appropriate.
In practical terms, this may involve:
making payment;
making partial payment;
or entering into a payment arrangement,
whilst also making clear in writing that:
the payment does not necessarily mean agreement with all figures, calculations, estimates, or assumptions contained within the demand;
and that rights to seek clarification or independent review are being reserved.
Residents should be aware that:
each leaseholder’s circumstances may differ;
the lease contains important provisions relating to service charge recovery;
and independent legal or financial advice should be obtained where residents are uncertain about their own position.
The Residents Association:
is not providing legal advice;
is not encouraging withholding of payment;
and is not advising residents whether they should or should not pay.
The purpose of sharing this information is simply:
to help residents understand some of the options that individuals may wish to consider;
whilst ongoing clarification and dialogue with the Management Company continues.
Residents concerned about affordability or enforcement action may also wish to:
contact the Management Company directly;
discuss possible payment arrangements;
and retain copies of all communications in writing.
Template
To assist leaseholders wishing to make part or full payment under protest, you may wish to consider this template:
From: [LEASEHOLDER NAME]
[PROPERTY ADDRESS]
[EMAIL ADDRESS]
Date: [DATE]
To:
The Quarters Bracknell Management Company Limited
Lily Hill House
Lily Hill Road
Bracknell
RG12 2SJ
By email to: kiran.meka@thequartersbracknell.com
Service Charge Demand – Payment Made Under Protest & Reservation of Rights
Dear Sir,
I refer to the recent service charge demand relating to my property at [PROPERTY ADDRESS].
I confirm that payment of £[AMOUNT] has been / will shortly be made in relation to the demand.
This payment is made:
under protest;
without admission as to the reasonableness or correctness of all sums demanded;
and without prejudice to any rights I may have under the lease, statute, or otherwise.
For the avoidance of doubt:
payment should not be treated as agreement with all figures, estimates, assumptions, or calculations contained within the demand;
nor should payment be treated as a waiver of any right to seek clarification, supporting information, review, reconciliation, or independent determination where appropriate.
I understand that:
The Management Company is currently addressing a number of historic, operational, financial, and compliance-related matters affecting the development;
and that further clarification and supporting information may still be provided regarding aspects of the current charges and budgeting.
In light of the ongoing questions and requests for clarification being raised by residents, I respectfully reserve all rights including, without limitation:
the right to seek further information or supporting documentation;
the right to request clarification regarding costs, estimates, or calculations;
and the right to refer any dispute regarding reasonableness or payability to the First-tier Tribunal (Property Chamber) if appropriate.
Nothing in this letter should be interpreted as:
acceptance that all sums demanded are necessarily reasonable or finally determined;
agreement that all estimates or future projections are accurate;
or waiver of any statutory or contractual rights.
I would be grateful if you could acknowledge receipt of this correspondence.
Yours faithfully,
[LEASEHOLDER NAME]