Breaches of lease are an inevitable part of block management. From unauthorised alterations and subletting through to non-payment of service charges or nuisance behaviour, problems can escalate quickly if they are not handled correctly. For managing agents, the first steps taken are vital – not only to protect the freeholder’s position, but also to ensure that any future enforcement action is legally sound.
So, what should you do when you first suspect a leaseholder is in breach of their lease?
1. Start with the lease itself
The lease is your rulebook. It sets out exactly what leaseholders can and cannot do, as well as the remedies available to the freeholder. However, nearly every lease is different, so making assumptions is extremely risky. Therefore, the first step is always to review the lease carefully:
- Check the clause – Does the lease actually prohibit or restrict the behaviour you’re concerned about? For example, one lease might completely ban pets, while another allows them with freeholder consent.
- Confirm the freeholder’s rights – Some leases include specific enforcement mechanisms, such as re-entry or requiring freeholder approval for alterations.
- Note any procedural steps – The lease may set out how a breach must be addressed (for example, through notice provisions).
Without this foundation, you risk making assumptions that weaken the freeholder’s position later down the line.
2. Gather and review your evidence
Next, consider what proof you have that the breach has occurred. Solid evidence not only strengthens the case but also helps solicitors advise on the most effective course of action.
Evidence might include:
- Copies of unpaid service charge or ground rent demands.
- Photographs of unauthorised works or alterations.
- Witness statements or complaints from neighbours.
- Tenancy agreements showing suspected unauthorised subletting.
Keep this evidence organised and dated—it can be invaluable if the matter escalates to formal proceedings or tribunal.
3. Keep communication professional and neutral
Avoid informal or unresearched accusations. All communication should remain professional, factual, and in line with the terms of lease. Incorrectly accusing a leaseholder of breach can damage trust, inflame disputes, and complicate enforcement.
4. Avoid actions that could waive rights
Certain actions—such as accepting service charge payments after a breach—can inadvertently waive the freeholder’s right to forfeit the lease. Always be mindful of how your actions could impact your client’s legal position.
5. Take specialist legal advice
Once you’ve reviewed the lease and gathered your evidence, the next step is to speak with a specialist leasehold solicitor. At Brady Solicitors, we can:
- Assess whether a breach has legally occurred.
- Advise on the freeholder’s available remedies.
- Guide you on the best approach to resolve the matter—whether through negotiation, formal notices, or ultimately tribunal or court action.
The Brady Solicitors view
Breaches of lease can be tricky to manage, and missteps in the early stages often make resolution harder (and more expensive) later on. For managing agents, the golden rules are: check the lease, gather your evidence, and take advice before acting.