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ADDED 11/07/08

Legal challenge to merger of landlord’s organisations

 


A challenge to the recent announcement that The National Landlords Association (NLA) and the National Federation of Residential Landlords (NFRL) are to merge has cast a shadow of doubt over the plan.

Together the two organisations represent nearly 20,000 landlords, and unification would create the largest representative body for landlords in the United Kingdom.

Under the merger current members of the NFRL would automatically become members of the NLA. The five existing directors at the NLA would remain in place but will be augmented by two former NFRL directors.

Barry Markham (former NFRL Chairman), would become a Vice Chairman of the NLA.

But the president and vice chairman of the NFRL have instructed legal experts to look into the validity of the merger statement made by NLA Chairman David Salusbury. NFRL vice chairman Ruth Kerslake claims that she was not present at a meeting when discussions were held about the merger and that she and NFRL president Mike Stimpson, were not party to the merger announcement.

Although discussions with the National Landlords Association and the Residential Landlords Association had been ongoing she said: “Our final choice of partner requires a quorate meeting of board directors and this has not yet taken place.”

Ruth has stated that she and her chairman do recognise the benefits of a larger group representing the interests of landlords and would therefore like the uncertainty surrounding this issue resolved quickly.”

Research among the membership of both organisations has indicated the need for a national unified voice for private-residential landlords.

Prior to the legal challenge David Salusbury, Chairman, NLA, said: “The aims and objectives of the NFRL and NLA are very similar. It is these synergies which make the merger an obvious next step for both organisations.

“The newly enlarged NLA, with almost 20,000 paid-up landlord members, is now the pre-eminent voice for the private-rented sector and this will mean increased commercial benefits to our members but also a greater ability to influence policy at all levels. At a time of doom-mongering headlines about the housing market, this merger is good news for the entire private-rented sector.”

Barry Markham, Chairman, NFRL, was also quoted in the merger announcement statement about the newly enlarged NLA.

He said: “All landlords deserve to have their opinions and views represented clearly. Although the current economic climate provides commercial opportunities for the professional landlord, it remains critical that the NLA continues to lobby Government and highlight the important role that landlords play in providing decent and affordable rental accommodation.

“The NFRL has worked tirelessly to develop an extensive branch network covering the whole country. This enables landlords to feel part of something useful at a local and applied level. With both organisations coming together under the NLA banner, landlords have a representative body that listens and responds and will strive to safeguard their legitimate business interests.”


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