What is a Section 42 Notice?
A section 42 Notice is a legal process to extend your current lease. Once your surveyor has carried out a valuation of your flat they will need to send the valuation on to your solicitor.
Next, your solicitor will serve a Section 42 Notice on your landlord/freeholder advising the premium you are willing to pay for the lease extension
If you landlord is a company, the Notice must be served at the registered office.
If the landlord is an individual, the address to use will be the one located on your ground rent demand.
The Notice should be served by hand and a proof of delivery requested so serving of the Notice cannot be disputed.
Once the Section 42 Notice has been served on your landlord/freeholder they have 2 months in which to respond with a Counter Notice which will either accept or reject your claim and whether the landlord accepts the offer made for the lease premium. If the freeholder will not accept the lease premium offered the Counter Notice will also state, the lease premium required.
There will be a further two-month period during which your surveyor and your landlord’s surveyor can discuss, negotiate and conclude the lease premium.
If you cannot reach an agreement, then either you or your landlord/freeholder can apply to the First-tier Tribunal to make a decision.