Commonhold community statement (CCS)
80.Sections 31-33 set out the provisions governing the commonhold community statement, which combines the functions of describing the physical attributes of the development and containing the rules and regulations by which the commonhold will be conducted. Although it is intended that there should be a significant degree of standardisation between the statements of all commonholds, there must inevitably be a degree of flexibility to take into account the different nature of, for instance, an existing block of long leasehold flats in an urban environment converting to commonhold and a development of detached houses together with a small block of flats with shops and other services provided.
Section 31: Form and content: general
81.Section 31 sets out at some length the core provisions to be made by the statement. Subsection (1) makes it clear that, in relation to the commonhold land in question, the statement makes provision both in respect of the commonhold association and the unit-holders. Subsection (2) requires the statement to be in a form to be prescribed and subsection (3) gives the power for the statement to confer rights or impose duties on both the commonhold association and on unit-holders. Subsection (3) also confers the power to regulate the taking of decisions in connection with the commonhold land, but subsection (4) makes these powers subject to any provision of Part 1 of the Act and to the memorandum and articles of association of the commonhold association. Subsection (5) lists examples of duties which the statement might impose, and subsection (6) provides that, where there is a duty to pay money, whether under subsection (5) or otherwise, that duty can be extended to the payment of interest if payment is late. Subsection (7) provides that easements, rights duties privileges etc may be created by the statement with no need for further formalities. It is often the case that such formalities would otherwise include the preparation and execution of a deed; that will not be necessary in the case of such grants or impositions arising from a statement. Subsection (8) provides that the statement may not make provision for the loss of any interest in land, to be contingent on any future event. Subsection (9) provides that any provision written into a statement that is contrary to the regulations governing the prescribed form and content (see section 32), to any provision of Part 1 of the Act or with the memorandum and articles of association of the commonhold association, will be of no effect.
Section 32: Regulations
82.Section 32 sets out the regulation making powers in relation to the commonhold community statement. Subsections (1) and (2) set out the general powers for the making of the regulations. Subsection (3) provides that, if a statement is defective in any respect set out in the regulations, it may be deemed to contain such matter or be allowed to contain provisions which stand in place of provisions which otherwise would be deemed by the regulations to exist in the statement. Subsection (4) permits regulations to make different provisions in different circumstances and subsection (5) sets out the sections to which the regulations may apply, whilst not restricting the scope to those listed.
Section 33: Amendment
83.Section 33(1) requires that regulations made under section 32 must contain provisions as to how the statement can be amended, particularly (subsection (2)) in respect of what the regulations may deem to be included (section 32(3)(a)) or what may be permitted to stand in place of a deemed provision (section 32(3)(b)). To have effect, the amended statement must be registered with HM Land Registry (subsection (3)) and the Registrar is required to keep in his custody the amended statement in place of the then existing statement if it is submitted in accordance with this section (subsection (4)). The commonhold association must file with the amended statement a certificate that the statement accords with the requirements of this Part (subsection (5)). Where the amendment changes the extent of a unit or of the common parts, the necessary consents relating to charges must be submitted, or the court orders dispensing with them, as required in section 24(3) and section 30(3) respectively (subsections (6) and (7)). Subsection (8) gives the Registrar the discretion, on filing the amended statement under subsection (4), to make any other amendments to the register as he thinks appropriate.
