Dilapidations

At DTM Legal, our Property Litigation team provides specialist support to landlords and tenants on dilapidations claims to help achieve timely and cost-effective resolutions. Whether you’re a landlord seeking to recover damages or a tenant needing advice on your obligations at the end of a lease, our expertise ensures your interests are protected.

What Are Dilapidations?

Dilapidations refer to breaches of a tenant’s repairing obligations under the terms of a lease. These typically arise at the end of the lease term, when the tenant is required to return the property in a specified condition. A claim for dilapidations can cover issues such as:

• Repairs and maintenance.
• Decoration and reinstatement.
• Compliance with lease covenants.
• The removal of alterations made during the tenancy.

For tenants, understanding the obligations outlined in a lease is essential to avoid costly disputes.

Our Dilapidations Services

Our team combines technical expertise with a practical approach to deliver solutions that work for you. We are well-versed in dilapidation claims and leverage our knowledge to protect your financial and legal interests. DTM Legal has extensive experience in both contentious and non-contentious property matters, a proven track record of successful negotiations and dispute resolution and a client-focused approach to minimise disruption and achieve cost-effective outcomes.

We provide comprehensive advice specific to your needs, including:

• Pre-Lease Advice: Guidance on repairing obligations to ensure clarity before signing a lease.
• Dilapidations Claims: Preparation and defence of claims, including the quantification of damages and legal arguments.
• Negotiation and Dispute Resolution: Support in reaching settlements through negotiation, mediation, or litigation if necessary.
• Interim Dilapidations: Advising landlords and tenants during the lease term to address ongoing repairing obligations.
• Section 18(1) Valuation Strategy: Expertise in limiting a landlord’s claim where the cost of the repairs exceeds the reduction in the value of the landlord’s investment.

Key Considerations for Landlords and Tenants

• For Landlords: Ensuring the lease terms clearly define the tenant’s obligations and documenting the condition of the property at the outset with a comprehensive schedule of condition.
• For Tenants: Understanding your repairing responsibilities and considering dilapidations liabilities when budgeting for lease-end costs. Early legal advice can help mitigate exposure to claims.

FAQs

1. What is a schedule of dilapidations?
   A schedule of dilapidations is a document prepared by the landlord (or their surveyor) detailing alleged breaches of the tenant’s repairing obligations, the works required, and the estimated cost.
2. Can a landlord claim more than the cost of repairs?
   Under Section 18(1) of the Landlord and Tenant Act 1927, a landlord’s claim for disrepair is capped at the amount by which the property’s value has been diminished, even if the cost of repairs is higher.
3. What happens if we can’t reach an agreement?
   If negotiations fail, disputes can be resolved through alternative dispute resolution methods, such as mediation, or through court proceedings if necessary.
4. When can a landlord make a claim?

It is possible for a landlord to make a claim up to six years after a lease has ended. The amount of damages recoverable might be diminished over time.

5. Can a tenant make repairs after a lease ends?

It is not possible to return to make repairs after a lease has come to an end. A financial agreement with the landlord should be sought if the lease is no longer active.

6. How can I minimise my liability before signing a lease?

Before signing a lease, the tenant can instruct a surveyor to prepare a detailed photographic schedule of condition so that they are not required to leave the property in any better condition than at the start of the lease. However, it is essential to obtain specialist advice so that your lease is properly drafted to protect your interests.

Speak to Our Dilapidations Specialists

If you are bringing a dilapidations claim or need advice on your obligations, contact our expert Property Litigation team today. We provide clear, pragmatic guidance to help you navigate your responsibilities and protect your interests.

For advice please contact Anna Duffy at anna.duffy@dtmlegal.com or James Holton at james.holton@dtmlegal.com.