Showing posts with label rtm company. Show all posts
Showing posts with label rtm company. Show all posts

Monday, 30 March 2015

UK: England and Wales: RTM companies can only manage one self-contained building or part of a building

The Court of Appeal gave judgment last Friday in Triplerose Ltd v Ninety Broomfield Road [2015] EWCA Civ 282 and unanimously held that Upper Tribunal (Lands Chamber) had been wrong to conclude that a right to manage company (as defined in section 73 of the Commonhold and Leasehold Reform Act 2002) was able to acquire the right to manage more than one self-contained building or part of a building. Such companies, the court held, could only manage one self-contained building or part of a building.

Tuesday, 20 October 2009

UK: England and Wales: the RTM Companies (Model Articles) (England) Regulations 2009

The RTM Companies (Model Articles) (England) Regulations 2009 were laid before Parliament yesterday and come into force on 9 November 2009. A copy of the Regulations is available on OPSI: see here (html) and here (pdf). In the accompanying explanatory memorandum (pdf) the following background information is provided: 

The Commonhold and Leasehold Reform Act 2002 s 73 and s 74 provided for the establishment of RTM [right to manage] companies. These are private companies limited by guarantee enabling long leaseholders in blocks of flats to take over the management of their building irrespective of any fault on the part of their landlord. Leaseholders must form a company to exercise the management functions.

The [Companies] 2006 Act introduced changes to the required constitutional documents of companies. It abolished the requirement for companies to have a separate memorandum of association and for companies to specify their objects. Objects formerly set out the purpose for which the company was created. It has been decided to keep objects for RTM companies as they should be restricted to RTM functions only.

All RTM companies are private companies limited by guarantee. Their memorandum and articles are currently prescribed by the RTM Companies (Memorandum and Articles of Association) (England) Regulations 2003 (SI 2003/2120.) The new regulations revoke this instrument, subject to transitional provisions which enable RTM companies incorporated before 9 November 2009 to use the old articles until 30 September 2010. Such companies are free to adopt the new articles before this date if they choose".