Lands Tribunal has no jurisdiction to determine the amount of the management fee

Where the Lands Tribunal finds that the amount of management fee payable by an owner has not been calculated in accordance with the terms of the DMC it has no jurisdiction to substitute its own finding as to the amount payable. Rather, it should make an apropriate declaration.

In Harvest Top Development Ltd v Incorporated Owners of Harbour View Garden ([2011] HKEC 32, LT) the applicant owned 72 car parking spaces in Harbour View Garden and the associated undivided shares. It complained, inter alia, that it was paying an unfairly high proportion of the management expenses for the complex. Deputy Judge Lee found that the method of calculation did fall within the terms of the DMC. Obiter, he said that even if he had reached the contrary conclusion the appropriate remedy would be a declaration. The court had no jurisdiction to determine the amount of management fee payable.

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