Schedule 7: Special Measures Paragraph 16: Special measures order: change in accountable person etc Background
This paragraph makes provision for new incoming Accountable Persons to become subject to the terms of a special measures order that is in force on their appointment, automatically, when the order has been made before they were an Accountable Person for that building. It also clarifies liability for the outgoing Accountable Person of any relevant part of a building. This is to ensure that a building in special measures cannot be transferred to a third party to subvert the requirements of the special measures order.
Example
Over the course of a special measures order the Accountable Person decides they want to sell their interest in the building and finds a purchaser for the building. The incoming Accountable Person becomes subject to the special measures order due to the statutory provisions and has to work with the Special Measures Manager to bring the building up to standard. Upon the transfer of interest, it transpires that the outgoing Accountable Person owes monies to the Special Measures Manager. The Special Measures Manager can seek to recover the monies owed from the outgoing Accountable Person.