Applications to Leasehold Valuation Tribunals - when does time start to run for making an application for a Vesting Order?

Where a claim for leasehold enfranchisement has been brought and the Landlord and proposed purchaser (known as the “nominee purchaser”) are unable to agree the terms of the acquisition of the freehold interest, either party may make an application to the Leasehold Valuation Tribunal (“LVT”), the body responsible for deciding cases concerning residential leasehold property.

s.24 of the Leasehold Reform Housing and Urban Development Act 1993 (“the Act”) sets out the circumstances when an order to vest the freehold interest in the nominee purchaser (a “Vesting Order”) can be made to the County Court and outlines the time-limits for making such an application.

In the recent case of Goldeagle Properties Limited v. Thornbury Court Limited [2008] All ER (D) 330 (Jul) the Court of Appeal confirmed that the time-limit for making an application for a Vesting Order under the Act will not start to run until all issues have been agreed by the parties, or determined by the LVT. This also applies under a different provision of the Act in respect of lease extension claims.

As the LVT is obliged to determine all matters in dispute (even where not all of these have been raised in the initial application, or may be considered minor), it is advisable to make the LVT aware of these at the commencement of proceedings as this should avoid delay and unwarranted expense.