Moved by
Lord Greenhalgh
85: Clause 115, page 119, line 36, at end insert—
“30DA Liability for remuneration of building safety director of resident management company etc
(1) This section applies to a lease of premises which consist of or include a dwelling in a higher-risk building if—
(a) the landlord is an accountable person for the building,
(b) the landlord is—
(i) a resident management company within the meaning of section (Building safety directors of resident management companies) of the Building Safety Act 2022, or
(ii) an RTM company within the meaning of Chapter 1 of Part 2 of the Commonhold and Leasehold Reform Act 2002 (right to manage), and
(c) the tenant is liable to pay a service charge.
(2) The lease has effect—
(a) as if the matters for which the service charge is payable under the lease included remunerating any director of the landlord appointed for a building safety purpose (insofar as this would not otherwise be the case), and
(b) where the lease contains different methods for apportioning different relevant costs (within the meaning of section 18), as if it provided that any costs for which the tenant is liable by virtue only of paragraph (a) to be apportioned in the same way as costs incurred in connection with insuring the building.
(3) In this section—
“building safety purpose” means the purpose of supporting the landlord in complying with its duties under Part 4 of the Building Safety Act 2022 or under regulations made under that Part;
“landlord” includes any person who has a right under the lease to enforce payment of a service charge;
“service charge” has the meaning given by section 18;
“tenant” includes any person who has an obligation under the lease to pay a service charge.”
Member’s explanatory statement
This amendment makes provision for the recovery from tenants of costs incurred by a residents’ company in remunerating a director of the company, appointed in connection with its building safety duties.
Amendment 86 (to Amendment 85)