Leaseholders in ‘David and Goliath’ legal fight over Town Hall contract bid
Rachel Blain (left) with fellow campaigners Sally, Loic and Kenza. Photograph: Gabriel Gauffre
Tucked away in a central London side street is a nondescript building few people would give a second glance to, but later this month it will play host to a legal hearing being billed by some homeowners as a landmark battle.
A group of Hackney residents who own the lease to their flats on council estates have banded together to raise thousands of pounds to hire a barrister to represent them at the Leaseholder Valuation Tribunal off Tottenham Court Road on 24 June.
They are challenging Hackney Council’s bid to gain exemption from certain rules governing contracts so as to enter into a long-term arrangement whereby its own arms-length management organisation Hackney Homes carries out repair works on estates.
Campaigners fear this would reduce transparency and the extent to which the council must consult before carrying out repairs which leaseholders are billed for.
Rachel Blain, 34, from association We Are Hackney Council Leaseholders said: “Both leaseholders across the country and councils are going to look at this with equal interest as a precedent. If the leaseholders win it will stop the council seeking dispensation again and if the opposite happens councils will be able to sweep the rights of leaseholders under the carpet.”
Patrick Welch, also from the association, said: “We’re having to raise money to pay all our legal costs ourselves so the battle is becoming a bit of a David and Goliath struggle.”
The group has now reached its fundraising target but still wants people to sign up to its forum and submit witness statements ahead of the hearing.
It has launched a website to help ensure its objections can be heard.
Cllr Philip Glanville, Cabinet Member for Hackney Homes and Regeneration Estates, said: “Following a rigorous procurement procedure Hackney Homes Limited emerged as the preferred bidder to deliver this service, meeting both value and quality criteria.
“Establishing a contract of between 3-5 years would allow the Council to plan its essential programme of external painting and repair works and take advantage of economies of scale, best achieved by long term stable arrangements with contractors. With this in mind we have sought clarification from the LVT on a complex legal point.
“If LVT agree with the awarding of the contract to Hackney Homes Ltd this would not mean an end to consultation with leaseholders.”
For more information on We are Hackney Council Leaseholders see the group’s website here.
They are homeowners, so why shouldn’t they pay their legal costs?
Perhaps you missed the point, no one is complaining about paying for legal cists. The fact of the matter is that leaseholders rights are being abused by councils who increasingly think that they have the right to rob them , charging ridiculous money for sub standard work without giving an honest breakdown of how these costs are calculated.
They are also looking to deceptively exclude Leaseholders of their rights which is why a lot if hard work has gone in to raising money to fight this case.
A lot of the work done is sub standard and give it a few years will have to be done again,what happens then? There will be no money to go round.Who will take the blame then?