Dilaps

Question 1

What are dilapidations?

Answer 1

Breaches of lease covenants relating to the condition of a property, typically at lease expiry.

Question 2

What is your role in dilapidations?

Answer 2

To inspect the property, identify breaches, prepare schedules, and advise on remedial works and costs.

Question 3

What is a Schedule of Dilapidations?

Answer 3

A document identifying breaches of lease obligations and required remedial works.

Question 4

What types of schedules are there?

Answer 4

Interim, Terminal, and Final.

Question 5

What is an Interim Schedule?

Answer 5

Issued during the lease to address breaches before expiry.

Question 6

What is a Terminal Schedule?

Answer 6

Issued near lease expiry outlining required works.

Question 7

What is a Final Schedule?

Answer 7

Issued after lease expiry when breaches remain unresolved.

Question 8

What is a Scott Schedule?

Answer 8

A document comparing landlord claims and tenant responses side-by-side.

Question 9

What is the Dilapidations Protocol?

Answer 9

Guidance under the Civil Procedure Rules for handling claims fairly and reasonably.

Question 10

Why is the Dilapidations Protocol important?

Answer 10

It promotes early settlement and reduces disputes.

Question 11

What is a Quantified Demand?

Answer 11

A formal document setting out the landlord’s claim with detailed costs.

Question 12

What must be included in a Quantified Demand?

Answer 12

Details of breaches, remedial works, and cost breakdown.

Question 13

What happens if a Quantified Demand is non-compliant?

Answer 13

It may weaken the claim and affect cost recovery.

Question 14

What is Section 18(1) Landlord and Tenant Act 1927?

Answer 14

It limits the landlord’s claim to the reduction in property value caused by the breach.

Question 15

What does Section 18(1) aim to prevent?

Answer 15

Over-claiming by landlords.

Question 16

How would you assess diminution in value?

Answer 16

By comparing the property value in its current condition against its compliant condition, often with a valuation surveyor.

Question 17

When might cost of works exceed diminution?

Answer 17

When repairs are expensive but do not significantly increase value.

Question 18

What would you do in that situation?

Answer 18

Advise the claim should be capped in line with Section 18.

Question 19

What is Section 18(2) Landlord and Tenant Act 1927?

Answer 19

It prevents claims where the property is to be demolished or structurally altered, making the works unnecessary.

Question 20

How does Section 18(2) differ from Section 18(1)?

Answer 20

Section 18(1) caps the claim based on value, while Section 18(2) can eliminate the claim entirely due to redevelopment.

Question 21

What is supersession?

Answer 21

Where works are unnecessary due to future redevelopment or refurbishment.

Question 22

How is supersession assessed?

Answer 22

By reviewing landlord intentions and supporting evidence such as redevelopment plans.

Question 23

What evidence supports supersession?

Answer 23

Planning applications, refurbishment plans, or confirmed future works.

Question 24

Can a landlord claim for superseded works?

Answer 24

No, those elements are typically excluded.

Question 25

What is the risk of not considering supersession?

Answer 25

Overstating the claim and causing disputes.

Question 26

What is reinstatement?

Answer 26

Returning the property to its original layout or condition.

Question 27

What is a yield-up clause?

Answer 27

A lease clause requiring the tenant to return the property in a specified condition.

Question 28

What is the difference between repair and reinstatement?

Answer 28

Repair restores condition, reinstatement restores original layout.

Question 29

What is betterment?

Answer 29

Improving the property beyond its original condition.

Question 30

Why is betterment not recoverable?

Answer 30

Because the landlord cannot claim for improvements beyond lease obligations.

Question 31

How do you avoid including betterment in a claim?

Answer 31

Ensure works reflect original condition and lease requirements only.

Question 32

How do you prepare a Schedule of Dilapidations?

Answer 32

Inspect property, identify breaches, reference lease clauses, and specify works.

Question 33

How do you cost dilapidations works?

Answer 33

Using market rates, experience, and cost data.

Question 34

How did you apply this in your experience?

Answer 34

At Perivale, I prepared a Scott Schedule and advised on reasonable costs in line with the protocol.

Question 35

What would you do if a tenant disputes a claim?

Answer 35

Review responses, justify positions, and negotiate a fair outcome.

Question 36

How do you negotiate a settlement?

Answer 36

Using evidence, lease obligations, and legal principles to reach agreement.

Question 37

What is the role of evidence in dilapidations?

Answer 37

To support claims and justify costs.

Question 38

What is a Schedule of Condition?

Answer 38

A record of property condition at lease start.

Question 39

How does a Schedule of Condition affect claims?

Answer 39

It can limit tenant liability.

Question 40

What are common breaches in dilapidations?

Answer 40

Disrepair, alterations, lack of maintenance, and failure to reinstate.

Question 41

What is an FRI lease?

Answer 41

A full repairing and insuring lease where the tenant is responsible for repairs.

Question 42

How does an FRI lease affect liability?

Answer 42

It increases the tenant’s obligations.

Question 43

What is the biggest risk in dilapidations?

Answer 43

Overstating or understating the claim.

Question 44

What would you do if a client wanted to over-claim?

Answer 44

Advise against it and ensure compliance with the protocol.

Question 45

When might a dilapidations dispute go to litigation?

Answer 45

When parties cannot agree on liability or quantum.

Question 46

How do you avoid disputes escalating?

Answer 46

Follow the protocol and negotiate reasonably.

Question 47

How does dilapidations link to valuation?

Answer 47

Through assessment of diminution in value.

Question 48

How does dilapidations link to building pathology?

Answer 48

Defect identification informs breach assessment.

Question 49

How does dilapidations link to contract administration?

Answer 49

Both involve managing works, costs, and obligations.

Question 50

What is the biggest mistake surveyors make in dilapidations?

Answer 50

Failing to consider Section 18 and supersession.

Question 51

What is the role of expert witnesses?

Answer 51

To provide independent opinion in disputes.

Question 52

How do you demonstrate Level 3 competency in dilapidations?

Answer 52

By advising on claims, applying legal principles, and negotiating settlements.