IntroductionNavigate within this page
Residential leaseholders in England and Wales have various rights in law to purchase their freeholds, extend their leases and address unsatisfactory management of their properties.
There is a wide range of information and sources of advice to leaseholders from a variety of parties operating in the enfranchisement sector such as government bodies, firms of solicitors, valuers, managing agents, intermediaries/agents and managers of leasehold enfranchisement.
Many leaseholders are confused by the choices available to them and have not had the inclination or perseverance to exercise their rights in conjunction with their neighbours. Some of these parties have recognised this opportunity and established services to assist leaseholders in the management of enfranchisement projects.
ALEP represents these diverse organisations with the following goals:
- To promote best practice among members through an evolving code of practice.
- To provide potential clients with details of member organisations with sufficient knowledge, intent and capacity to provide a satisfactory service.
- To provide an avenue for recourse for dissatisfied clients of member organisations by means of an effective independent complaints procedure.
- To act as a forum for member organisations for the exchange of ideas and to increase standards throughout the sector.
- To represent members' interests to government, the press, other associations and the general public.
Code of practiceNavigate within this page
It is a strict condition of membership of ALEP members to accept and undertake to comply with the current Code of Practice.
This code requires members to:
In the interests of clients:
- Agree, in writing, the terms of engagement in as detailed a form as is reasonably possible (in particular clarify lines of communication, the fee structure and the categories of other services for which additional fees may be charged, i.e. "no hidden extras".).
- Deliver services in accordance with the agreed terms of engagement and in compliance with all current applicable legislation, terms of leases, contract documentation and good business practice.
- Maintain adequate records of all transactions.
- Maintain a current insurance policy adequately indemnifying the organisation against proven professional negligence claims. The monetary value of this policy may be laid down in the Code of Practice.
- Disclose to relevant parties any existing conflict of interest or any circumstances that may give rise to a conflict of interest and to declare any interest in any contractor or business employed to provide services in connection with the proposed transaction.
- Actively and regularly consult leading representatives as per the terms of engagement before taking major decisions on their behalf and to have appropriate regard to views of representative groups of leaseholders.
- Use all reasonable efforts to settle disputes by mediating and negotiating with all relevant parties.
- Extend courteous and professional service to lessees and tenants and to other members of the public.
- Be honest at all times and open and transparent in all dealings and not make false representations.
- Know and act within limitations and be accountable for any recommended course of action.
- To make only accurate claims about the skills or experience of the organisation or those working within it.
- Ensure that the organisation has and operates a formal procedure for dealing with complaints from a client and from any other person.
In the interests of ALEP:
- Make known and publicise the existence of the Code and provide details of the complaints procedure.
- Provide adequate training to employees and agents, bringing to their attention the contents of this Code of Practice.
- Use the logo or design of ALEP strictly in accordance with the guidelines for the use of that material.
- Not to act in a manner which compromises or impairs, or is likely to compromise or impair the integrity of a member, the reputation of ALEP or the high standards of professional conduct expected of a member.
- Not to place other members in a position where they might unwittingly breach any part of this Code of Practice.
- Not to knowingly misrepresent facts or mislead any client or member concerning any aspect of the services they provide.
- Respect confidential information to which they may in the course of their business become privy.
- Notify ALEP of any matter that might adversely affect the reputation of the industry or the association.
Complaints ProcedureNavigate within this page
The operation of a credible and effective complaints procedure gives clients of member organisations the confidence that they can seek and obtain redress where appropriate.
ALEP members should each publicise their own complaints procedure (with a format proposed by ALEP if required), which should also make clear to clients that they have the option to escalate their complaint to ALEP should they feel that they have not obtained sufficient redress.
Members' internal complaints procedure
The procedure for dealing with complaints is to be available in writing and shall be made available to the client and to any member of the public on request.
- Complaints should be made to the ALEP Complaints Committee within six months of the matter in question.
- The ALEP Complaints Committee will invite the member to respond.
- The ALEP Complaints Committee will make its decision.
- If the decision is to expel the member from ALEP, the ALEP management committee reserves the right to publicise this.
- There will be a right of appeal from the decision of the Complaints Committee to the Committee whose decision shall be final.
Members' commitment to the ALEP complaints procedure
In addition to their own complaints procedure, ALEP members shall cooperate with staff and any appointees of ALEP's compliance panel who:
- Are investigating a complaint or allegation made against a member.
- Have sent to the member a written enquiry relating to a member's alleged non-compliance with the Code of Practice.
Membership Criteria and Membership RightsNavigate within this page
In order to become a member of ALEP, an individual or organisation operating in the enfranchisement sector should already have proven experience of leasehold enfranchisement projects.
Where an organisation that has proven experience of leasehold enfranchisement projects holds this by virtue of the skills of one or more individuals and all of those individuals leave that organisation (and are not replaced) the organisation itself will cease to fulfil the criteria for membership of ALEP. In such circumstances the organisation's membership will cease immediately. There is a positive duty on the member organisation to inform ALEP immediately if it no longer qualifies for ALEP membership.
The legal estate and interests of ALEP are represented by a company limited by guarantee, the Association of Leasehold Enfranchisement Practitioners Limited (CRN.626300) ("the Company").
The Company is run by the directors in accordance with the provisions of the memorandum and articles of association of the Company ("the Articles") and in accordance with the provisions of company law generally.
The directors have agreed under the terms of the Constitution to be bound by the decisions of the Committee in running the Company in the best interests of the members of the Company.
In certain circumstances the Committee can terminate rights of membership and reserves the right to do so. In the event of termination of membership rights the Company will take such steps to amend the register of its members and any membership fees paid during the year of termination will not be refunded.
In the event that a membership is terminated for whatever reason the former member undertakes to cease use of the ALEP logo and any associated marketing products forthwith and to return any un-used marketing materials to ALEP. Likewise any reference to ALEP on the former member's website or marketing or advertising is to be removed immediately.
For the avoidance of doubt the intellectual property in the ALEP logo and any other materials remains with ALEP and members have a royalty-free licence to use these items for the duration of their membership only.
Two levels of membership of ALEP are available, "associate" and "full".
1. Full Members
Full members will be subscribers to ALEP Limited and will become members of the Company. Full members only are able to use the ALEP logo and are able to attend all members' meetings and will have normal voting rights in accordance with the Articles of the Company.
These members will be organisations with members who can show at least two years' experience in have been involved in leasehold enfranchisement for at least two years, initiate two or more projects enfranchisement totalling at least 20 or more flats per year every year and have two satisfactory references from clients relating to significant completed projects.
Where an organisation no longer has any individuals working within it that would satisfy the criteria for membership, its membership of ALEP will cease. There should also be a duty on the member organisation to inform ALEP if this is the case.
2. Associate Members
Associate members have more limited rights and need not have two or more years' relevant experience in leasehold enfranchisement. Their references need not be from completed projects.
Associate members may apply to become full members as soon as they attain the required criteria. Associate members are still bound by the terms of the Constitution in the same way as full members. They do not, however, have voting rights at meetings and may not be elected to any committees.
In the strict legal sense Associate Members are not members of the Company but have the right by invitation to attend certain ALEP events and to receive certain ALEP communications. For the avoidance of doubt they do not have the right to attend or vote at the Company's AGM.
Member CommunicationNavigate within this page
ALEP communicates information to members that is relevant to the industry with a view to promoting knowledge, best practice and communication.
The following communication tools are used:
- Bi-annual conferences to raise the profile of the sector and improve the professionalism of practitioners. These are open to members and non-members.
- ALEP events such as Christmas parties which allow members to network with other enfranchisement professionals in a relaxed manner.
- Attendance at non-ALEP events such as property exhibitions to raise the profile of ALEP amongst potential clients and to attract members.
- Quarterly email newsletters to communicate news and views sent to members.
- Regular press digests distributed to members.
- Other activities as deemed appropriate by the Committee.
ManagementNavigate within this page
ALEP is run by a management committee ("the Committee") who are elected at an Annual General Meeting ("AGM") of the Company every two years.
1. The Committee
The Committee is presided over by an Honorary Secretary and has as its President an individual whose expertise and standing in the enfranchisement industry is widely accepted.
Generally only members of the Company may serve on the Committee, save in exceptional circumstances where an individual of sufficient standing in the field of leasehold reform or a similar sector may be asked to serve on the Committee. If this is to be the case the membership of the Company will be asked to confirm the appointment at the next AGM.
If during the course of the year, vacancies on the Committee arise, then the Committee may appoint a suitable candidate to fill any such spaces that arise, subject always to any such appointment being ratified at the next AGM.
There are normally four Committee meetings in any given year.
The composition of the Committee is currently as follows:
- Honorary President
- Honorary Secretary
- Solicitor Representative (x2)
- Valuer Representative (x2)
- Managing Agent Representative (x1)
- Facilitator Representative (x1)
- Membership Secretary (Non-voting)
- Promotions & Member Services (Non-voting)
- Company director
- Company secretary
The Committee may decide during any year of the Company's business to expand or vary the composition of the Committee provided that it is in the best interests of the organisation as a whole to do so, in which case any such change in the composition shall be put to a vote of the membership for approval at the next AGM.
Members of the Committee serve in office for a term of two years from the date of their election after which time they must resign and seek re-election at the next AGM. Members of the Committee do not have to be (and generally are not) directors of the Company themselves, but have an indemnity from the members and officers of the Company in respect of all things done lawfully in the name of the Company.
Officers of the Company may also sit on the Committee and may also hold office in the organisation.
DirectorsNavigate within this page
The Company currently has two serving officers as directors who are the founders of the organisation, Anna Bailey and Alex Greenslade.
Under the terms of the Constitution and its Articles the Company the directors agree to be bound by the Constitution and by the decisions of the Committee in deciding how to deal with the Company and its assets.
The directors will look to the Committee to direct them as to how the Company is to be run in the best interests of all the members.
The directors will normally seek re-appointment at the end of every second year of their term of office at the next AGM, although they are not bound to do this under the Articles.
Power to AmendNavigate within this page
ALEP reserves the right to amend its Constitution and the Articles of the Company as it sees fit.
The power to amend the Constitution is reserved to the Committee, although amendments of substance will normally be put to the membership at the next AGM.
Any changes to the Articles of the Company will normally be proposed by the Committee and put to a vote of the membership at an AGM or other general meeting of the Company, prior to adoption.
This Constitution is a statement of intent and is not intended to be a prescriptive legal document. It sets out the framework under which ALEP aims to conduct its business. Any dispute arising as to the construction or interpretation of the Constitution shall be referred to the Committee whose decision shall be final.
Regulation and ComplianceNavigate within this page
A complaints panel ("the Complaints Committee") is appointed by the Committee on an annual basis and includes at least one representative from each of the following: a firm of solicitors, a firm of chartered surveyors, a managing agent, an enfranchisement facilitator and if possible, LEASE.
The selection of the complaints panel is made on a provisional basis and in the event of that a complaint or allegation about a member would place one or more members of the Complaints Committee in a position of actual or perceived conflict then they shall recuse themselves from that committee and another member of the Committee shall stand in their place.
The Complaints Committee shall adopt such procedure and rules as it shall think fit in dealing with any complaint.
FundingNavigate within this page
Subscription fees are set by the Committee each year and two fees will be prescribed for each class of membership (Full and Associate).
Where a member organisation can join under more than one category (e.g. an entity that is both a firm of surveyors and managing agents), the second entity will obtain a reduced subscription in respect of its annual membership which will normally be half the price of a Full Membership.
Where a member organisation has a secondary membership in this way, the member shall have only one vote and there shall be deemed to be only one member of the Company.
Any events activities or media produced by ALEP should be self-financing (i.e. there will normally be a charge to attend such events with a discount for ALEP members).
Where a member organisation sends more than one delegate to an event subsequent delegates from the same organisation will often obtain a reduced rate where the costing of the event permits. The discount to be applied is normally a reduction of 20-25% against the applicable event fee.
The day to day running of ALEP is currently administered at the offices of Leasehold Solutions who, as founders, have hosted the organisation to date. Where administrative costs are incurred in the running of ALEP these are charged to the organisation.
The Committee will set a budget and decide on expenditure in any given year and will lay a set of the Company's accounts before each AGM for approval by the members.
Where a member organisation provides services to ALEP, these may be charged for provided that these are contracted for (in advance) on an arm's length basis. Where a member of the Committee or their organisation is involved in the provision of services to ALEP that member shall not take part in any vote or decision taken by the Committee to elect to recommend that the Company purchase such services.
Whilst members of the Committee may be reimbursed for out of pocket expenses incurred in relation to ALEP activities, there is a general understanding that Committee members may not charge their time for attending Committee meetings or for attendance at conferences or other events, save if they are contracted to provide services at these or where such attendance forms part of a paid engagement properly contracted for in accordance with the terms of this Constitution.
Contact DetailsNavigate within this page
Association of Leasehold Enfranchisement Practitioners
Address: Financial House
14 Barclay Road
Croydon
CR0 1JN
Email: info@alep.org.uk
Telephone: 0845 225 2277 (local call rates apply)
Fax: 0845 225 2287
Website: www.alep.org.uk
