Question 1

Changing Managing Agents

Accepted Answer

Q: Our residents have recently been issued a Section 20 notice re intent to change managing agents (we have had the same managing agent for several decades). We have fought for better services and value for money under the current agents and want to make maximum use of this opportunity to improve the situation. We have met with the freeholder’s agent to discuss the situation. We would like to check on the rights of a RA in this situation and the process involved and would appreciate advice from FPRA. In particular we foresee a discussion about caretaking services. At present we pay highly for a resident caretaker and many residents would like to move to a contracted service. Any advice on this would be welcome. FPRA Director Shula Rich replies: This is an extremely wise decision on your part. Basically, as with all S20s, you have no actual rights to require anything - just to make observations which the freeholder should take into account in making their decision. An S20 for the appointment of a managing agent means they intend the contract to be for longer than a year. If they did not there would be no need for an S20 no matter how much the agent is being paid. An RA has the right to be consulted on the appointment every four years - but there is no set form or format. My advice is: (1) Are you in favour of a long term contract? If not, say so now. (2) Have they mentioned other contenders for the position and their costs and service? If not, why not? I have written an article on QLTA's - please see my web site www.shularich.co.uk - free and useful downloads (3) Any other comments you make should be reported and replied to - it is a good opportunity, as you say. I think the most important thing to consider is if you want this to be long term or not. Most agents have an annual contract to avoid the consultation. Whatever you say should be considered and formally responded to - but need not be acted on. [Submitted July 2016]

Question 2

Changing Managing Agents

Accepted Answer

Q: Our residents have recently been issued a Section 20 notice re intent to change managing agents (we have had the same managing agent for several decades). We have fought for better services and value for money under the current agents and want to make maximum use of this opportunity to improve the situation. We have met with the freeholder’s agent to discuss the situation. We would like to check on the rights of a RA in this situation and the process involved and would appreciate advice from FPRA. In particular we foresee a discussion about caretaking services. At present we pay highly for a resident caretaker and many residents would like to move to a contracted service. Any advice on this would be welcome. FPRA Director Shula Rich replies: This is an extremely wise decision on your part. Basically, as with all S20s, you have no actual rights to require anything - just to make observations which the freeholder should take into account in making their decision. An S20 for the appointment of a managing agent means they intend the contract to be for longer than a year. If they did not there would be no need for an S20 no matter how much the agent is being paid. An RA has the right to be consulted on the appointment every four years - but there is no set form or format. My advice is: (1) Are you in favour of a long term contract? If not, say so now. (2) Have they mentioned other contenders for the position and their costs and service? If not, why not? I have written an article on QLTA's - please see my web site www.shularich.co.uk - free and useful downloads (3) Any other comments you make should be reported and replied to - it is a good opportunity, as you say. I think the most important thing to consider is if you want this to be long term or not. Most agents have an annual contract to avoid the consultation. Whatever you say should be considered and formally responded to - but need not be acted on. [Submitted July 2016]

Changing Managing Agents

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