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JGM
JGM, Solicitor
Category: Scots Law
Satisfied Customers: 11143
Experience:  30 years as a practising solicitor.
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Partnership deed or Ltd Co.- sewage treatmt plant

Resolved Question:

We have a sewage treatment plant for 11 properties in a rural area. It is emptied every quarter and has a current licence with sepa. After the law change in 2006, sepa required a responsible person (one individual) to be named and assume criminal responsibility for breaches, unpaid bills, revoking of licences etc. We have no desire for this as it does not reflect our circumstances of joint responsibility.As we are all responsible and pay a portion of the bills for the tank, how can we organise ourselves so we satisfy sepa requirements without the expense of forming a limited company. Would a deed of partnership be suitable and how much might this cost? We currently run informal meetings every quarter and have an inspection rota that includes participation from all households. We are in Scotland.
Submitted: 3 years ago.
Category: Scots Law
Expert:  JGM replied 3 years ago.
Thank you for your question.

You can either delegate to a professional property manager or you can set up a company preferably limited by guarantee.

You can't use a partnership or an LLP as that would involve too much administration when people moved away and new people came in.

You could also liaise with SEPA to see if a Residents Association would be acceptable to them. However, in my experience a limited company by guarantee is the appropriate vehicle where a factor is not appointed.

I hope this helps. Please leave a positive response so that I am credited for my time.
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Customer: replied 3 years ago.
Thank you.
Sepa online states that residents associations are not acceptable so I think it is likely we go down the route you suggest.

Thank you for replying.