Residents Associations – What are they and how can they become “qualifying”?

What is a residents’ association?

A residents’ association is a group of residents on a park who, via its committee members (usually a chairperson, secretary, and treasurer), will communicate with the park owner on matters concerning day to day life on the park, such as maintenance and improvements. A residents’ association may be made up of some or all of the residents on the park.

Many park owners will be familiar with the concept of a residents’ association, and many may have a residents’ association on their park. However, the obligations the park owner has towards a residents’ association is dependent upon whether that residents’ association is a “qualifying residents’ association”, commonly referred to as a “QRA” in accordance with Chapter 2 of Part 1 of Schedule 1 to the Mobile Homes Act 1983 (“the Implied Terms”).

When is a residents’ association qualifying?

In accordance with the Implied Terms, for a residents’ association to be considered a QRA, it must:

1. Represent the occupiers of mobile homes on the park
2. Be comprised of at least 50% of the occupiers of the mobile homes on the park
3. Be independent from the owner of the park, who is excluded from being a member along with any agent or employee of the owner of the park
4. Subject to 3. above, ensure membership is open to all occupiers who own a mobile home on the park
5. Maintain a list of members which is open for public inspection together with rules and a constitution
6. Have a chairman, secretary and treasurer who are elected by and from among the members
7. With the exception of administrative decisions, ensure decisions are taken by voting and there is only one vote for each mobile home on the park; and
8. Be acknowledged in writing as an association that is a qualifying residents’ association.

Commonly a residents’ association will contact the park owner and ask to be acknowledged as a QRA, at which point it is important a park owner considers the criteria above and satisfies themselves that the residents’ association has met the same. A park owner should do that promptly.

The effect of recognising a residents’ association as a QRA is to impose obligations on the park owner including the requirement to consult the QRA about all matters relating to the operation and management of, or improvements to, the park that may affect occupiers either directly or indirectly. In particular, by providing notice in writing of those matters at least 28 days before the same is undertaken, describing what the matters relate to and how they may affect the residents in the long term and when and where the QRA may make representations about matters.

Quite often there is a misunderstanding on the part of a QRA, in that they consider that they must be consulted about every action taken by a park owner in relation to a park. That is not the case and generally matters of consultation concerns issues such as improvements to the park, like the addition of recreational areas or the resurfacing of a road.

Further, there is no requirement for a park owner to implement any of the qualifying residents’ association’s suggestions should the park owner choose not to do, they must, however, take account of their responses and give them due consideration.

Due the additional requirements placed on a park owner in respect of a QRA, a park owner should be sure the residents’ association have satisfied the required criteria before recognising them as a QRA, so as to ensure that these additional requirements as highlighted above, only become applicable, when the residents’ association have complied with all the necessary requirements to become a QRA.

It is equally as important that a request for recognition is not ignored by a park owner, as doing so can lead to the residents’ association applying to the First Tier Tribunal (Property Chamber) for a determination as to their status as a QRA.