If a right to manage company did not follow due process who is liable?

If a right to manage company did not follow due process who is liable?

liable, liability
12:01 AM, 28th June 2023, 3 years ago 3

Hello, if a right-to-manage company or their managing agent did not follow due process, such as issuing a Section 20B appropriately, all the leaseholders of the building can withhold money for a historic SC item.

How should a right-to-management company proceed? I assume the freeholder will not be liable to make up the difference, so who would be?

Any advice would be appreciated,

Matthew


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  • Member Since October 2022 - Comments: 410

    4:32 PM, 28th June 2023, About 3 years ago

    Westminster.gov.uk website explains Section 20B notice. Yes major repairs fall under provisions of the lease so you must pay.
    You did not explain why section 20B was not in your opinion, appropriate

  • Member Since May 2017 - Comments: 766

    8:53 PM, 28th June 2023, About 3 years ago

    Maybe time to inspect your D & O insurance?

  • Member Since October 2013 - Comments: 97

    7:30 AM, 1st July 2023, About 3 years ago

    Hi Matthew,

    If the RTM company or their Managing Agent has not followed the correct Section 20 process, then the maximum amount they can legally recover is £250 per leaseholder.

    If you or other leaseholders are in dispute with the RTM company, you can apply to the FTT to remove them as your management company.

    If you are the director of the RTM company, restart the Section 20 process, to put things right with the leaseholders.

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