The claim related to monies paid by the block's previous managing agent, The Homes Management Business (THMB), after authorisation from McCann Homes, to settle an invoice for legal fees addressed to McCann Homes . McCann Homes argued that the legal fees were incurred for the benefit of the leaseholders and that it was entitled to pass the invoice to THMB for payment. The leaseholders disputed this and demanded that McCann Homes repay the sums paid by THMB in settlement of the invoice.
In a long-running saga, the leaseholders of the recently-built block in Milton Keynes finally won out against the developer. The Court agreed with the leaseholders that McCann Homes was not entitled to have the invoice paid using the leaseholders' service charge monies.
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At the time the payment in question was made, directors of McCann Homes were directors of the block's management company. After selling the flats, the management company was handed over to the leaseholders, who continued to use the services of The Homes Management Business as their managing agent.
Shortly afterwards, THMB's appointment as managing agent terminated, following which the leaseholders decided to hand over block management responsibilities to Urban Owners, who were made aware of the issue by the management company.
On 7 September, McCann Homes was ordered to pay to the management company the sum originally paid by THMB on McCann Homes' behalf, plus interest and court fees, all of which amounted to over £2,200 - thanks to the perseverance of the leaseholders and the support of Urban Owners and their solicitors, Innovate Legal.




