The Law Commission is proposing changes that would make it quicker and easier for leaseholders to take control of the day-to-day management of their building. Partner Elizabeth Moger said, ““The right-to-manage process appears not to be working effectively for leaseholders at the moment and change is needed.”.
Currently, homeowners with long leases over flats can acquire the “right to manage” (RTM), which gives the homeowners, rather than their landlord, responsibility for management functions relating to services, repairs, maintenance and insurance. It is a “no-fault” right, so leaseholders can exercise it without having to prove mismanagement by their landlord. However, the current system is seen by many as too technical, slow, restrictive, uncertain and expensive.
What are the current problems with RTM? Leaseholders have found a myriad of issues with the current RTM system which have made it more difficult take over the management of their building. The process has been reported as:
In response to these criticisms, the Law Commission is consulting on proposals that aim to make the process more accessible, simpler, quicker and less uncertain. The proposals include:
The Law Commission released a Consultation Paper on the 28th January 2019 containing the proposals for change and inviting the public to respond with their views. The consultation will be open until 30 April 2019.
If you would like assistance in relation to a property matter, call Elizabeth on 02392 820 747 for further information.
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