L must consult residential Ts when carrying out ‘qualifying works’ (works of repair, maintenance or improvement which will require any T to pay more than £250). There is a compulsory two-stage consultation procedure, and L may possibly have to serve a third notice of ‘reasons for appointment’.

L must serve notice on the Ts (and on any recognised tenants association (RTA)). The notice must describe the proposed works in general terms (or specify a place in time where a description can be inspected); state why L considers it necessary to carry out the works; invite written observations and provide an address and timescale for a receipt; and invite the nomination of parties through whom L should try to obtain estimates).

The Ts and any RTA must be given 30 days in which to submit observations and to suggest contractors. L must then try to obtain at least two estimates for the work, one from a contractor wholly unconnected with L. L must try to obtain an estimate from any contractor that a T or the RTA has nominated. L must then prepare a statement for at least two of the estimates, setting out the estimated cost of the works and providing a summary of the observations received, together with L’s response. Any estimate that L has obtained from an contractor nominated by the Ts or the RTA must be included in the statement. The statement must be attached to a notice and sent to the Ts and the secretary of any RTA. They then have 30 days in which to make any observations.

Only then can L enter into a contract. However, unless the chosen contractor is a nominee of a T or RTA (or had submitted the lowest estimate), L must provide a further notice within 21 days of entering into the contract. That notice must state the reasons for L’s choice, or specify a place in time for inspecting a statement setting out those reasons. L must also summarise and respond to any observations it has received.

Note that these provisions apply to all ‘dwellings’ and cover all residential leases (except those granted by an LA for less than 21 years, or pursuant to right to buy provisions). As is well known, they are interpreted strictly and an L who fails to follow the letter of the law can be limited to only claiming £250 from each T. Source: [2010] NLJ 720.