[2023] UKUT 108 (LC)

This is an appeal from a decision of the FTT on an application for costs following its determination about the service charges payable for 2021 by leaseholders of Ilfracombe Holiday Park, which comprises 273 holiday apartments held on long leases and a number of commercial leasehold units.

The FTT decided that none of the service charges demanded were payable. 195 of the lessees of the holiday units, whose names are set out in the Schedule to this decision, then applied to the FTT for a costs order under rule 13(1)(b). There were three respondents to that application, as there are to this appeal: first, GP Ilfracombe Management Company Limited (“GPIMCL”), the management company under the leases and the applicant for the decision about the service charges, second Mr Michael Gubbay who represented the management company before the FTT, and third Epworth SW Ltd, a company controlled by Mr Gubbay which acted as managing agent for the first respondent and sent out the service charge demands. The FTT made an order that small sums were payable by GPIMCL in respect of one aspect of the proceedings but otherwise refused the application, and the appellants appeal that refusal. Permission to appeal was given by the FTT.

The appellant leaseholders are represented in the appeal by Mr Anthony Verduyn of counsel who represented them before the FTT; Mr Simon Allison represents the second respondent, Mr Gubbay, whom he represented in the application for costs before the FTT but not in the substantive proceedings – obviously, since Mr Gubbay was not a party to them. The first respondent took no part in the application for costs and has taken no part in the appeal; the third respondent has been dissolved, since the date of the decision now appealed.