Terminal Schedule of Dilapidations

As the residual term of the tenant's leasehold interest neared determination, our landlord client sought to procure a terminal schedule of dilapidations in order to document those accrued breaches of repairing covenant. The schedule of dilapidations would then serve as the basis for forward claim negotiation, through to conclusion.

Interpretation & Protocol Compliance 

Directed by those reparing covenants detailed in the applicable lease documents, relative to the condition of the property as observed at the time on inspection, the formulation of the terminal schedule of dilapidations is further determined by the Ministry of Justice's Pre-Action Protocol for Claims for Damages in Relation to the Physical State of Commercial Property at Termination of a Tenancy, also known as the 'Dilapidations Protocol'.

Accurate and proportionate schedule preparation is essential in order to formulate a robust claim and mitigate the risk of client expectation mismanagement.

Breach & Remedy Determination

Inherently subjective, the determination of repairing covenant breaches necessitates a firm grasp of both building pathology matters, together with a broad appreciation for those remedial works solutions available and appropriate. The landlord and tenant will readily interpret the extent of repairing covenant breaches differently, together with the appropriate and proportionate means of remedy.

In order to prepare a Terminal Schedule of Dilapidations capable of reliance and forming the basis of robust dilapidations claim pursuit, the inclusions must be both legitimate and proportionate, relative to the extent of disrepair and subject of that disrepair. Encompassed by the Civil Procedure Rules pre litigation protocol, alignment with the provisions of the 'Dilapidations Protocol' is essential.

Ensuring accurate formulation of the terminal schedule of dilapidations, a thorough and detailed review and application of the lease documentation repairing covenants was carried forward. Acting to ensure all breaches were documented through close inspection and record taking, proportionate claim production was further assisted via detailed measurement and quantification.

Claim Inclusion Challenge Anticipation

Drawing on a wealth of schedule of dilapidations preparation and successful dilapidations claim negotiation experience and subsequently developed expertise, a transparent, 'Dilapidations Protocol' compliant and robust terminal schedule of dilapidations was prepared. Such robust and effective schedule of dilapidations preparation draws upon a broad appreciation for and understanding of all those applicable dilapidations claims parameters, as determined and directed via both statute and precedent based law.

A great many parameters to dilapidations exist, not least of which are matters of improvement or betterment and supersession. Through careful consideration of the observed property component parts, breaches were documented to align strictly with the tenant repairing covenants, inclusive of recognised, proportionate and appropriate breach remedies. Further considerations such as forethought as to the tests applicable at law to any dilapidations claim are also accounted for, inclusive of (but not limited to) the reasonably minded tenant test and the five steps to determining disrepair, as directed by Dowding and Reynolds.

Formal service of the terminal schedule of dilapidations enabled dilapidations claim negotiations to ensue. The robust, thorough, proportionate and compliant means of schedule preparation paved the way for timely and amicable claim conclusion in client's favour.

In Pursuance of Enablement 

Whilst a great many dilapidations schedules seek to falsely identify breaches and remedies, further frustrating the process via the lack of quantification inclusion and appropriate cost estimates, the permutations are often fraught negotiation and stagnation of progress. Employing a compliant, measured and transparent approach from the outset yields increased probability of amicable settlement and conclusion in a timely manner, without necessity for incurred additional costs owing to the need for solicitor, litigator, mediator or wider third party involvement.

Our due and careful consideration of all aspects of the claim, inclusive of particulars of the parties and wider commercial factors, ensures that the odds of successful conclusion are increased. A claim by claim bespoke approach to terminal schedule of dilapidations preparation, moving to form the basis of dilapidations claim negotiation, provides reliable documentary evidence, affording our clients both added value and the competitive advantage through to conclusion.