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Getting it right

Sam Madge-Wyld discusses the court’s approach to failure to comply with the right to manage procedure in Elim Court

8 June 2017

Chapter 1 of part 2 of the Commonhold and Leasehold Reform Act 2002 gives long leaseholders of flats the right to establish and join a ‘right to manage (RTM) company’ through which – if sufficient leaseholders join – they may take over management of their building. Assuming that there is sufficient participation, the RTM company may serve a claim notice on any landlord, informing them that it intends to acquire the right to manage. A landlord who receives a claim notice may serve a counter-notice if they wish to oppose the claim.

The right has proved popular with leaseholders who have become dissatisfied with the cost and standard of management being provided by the landlord or management company responsible for managing the block. It has, however, proved equally unpopular with certain landlords who worry about the loss of control and that the overriding concern of leaseholders acquiring the right...

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