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Commonhold and Leasehold Reform Act 2002

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38 Commonhold assessmentE+W

This section has no associated Explanatory Notes

(1)A commonhold community statement must make provision—

(a)requiring the directors of the commonhold association to make an annual estimate of the income required to be raised from unit-holders to meet the expenses of the association,

(b)enabling the directors of the commonhold association to make estimates from time to time of income required to be raised from unit-holders in addition to the annual estimate,

(c)specifying the percentage of any estimate made under paragraph (a) or (b) which is to be allocated to each unit,

(d)requiring each unit-holder to make payments in respect of the percentage of any estimate which is allocated to his unit, and

(e)requiring the directors of the commonhold association to serve notices on unit-holders specifying payments required to be made by them and the date on which each payment is due.

(2)For the purpose of subsection (1)(c)—

(a)the percentages allocated by a commonhold community statement to the commonhold units must amount in aggregate to 100;

(b)a commonhold community statement may specify 0 per cent. in relation to a unit.

[F1(3)In subsection (1)(a) “expenses of the association” does not include building safety expenses of the association (within the meaning of section 38A).]

Textual Amendments

F1S. 38(3) inserted (28.4.2022 for specified purposes, 6.4.2023 in so far as not already in force) by Building Safety Act 2022 (c. 30), ss. 114(7), 170(2) (with s. 164); S.I. 2023/362, reg. 3(1)(z11)

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