Q&A - Taking over the management

QUESTION
We are a small group of residents with a Company Secretary and 4 Directors. We took over the management of 31 properties with shared grounds and a maintenance charge. We need advice on our duties and whether we have to intervene in every dispute eg noisy neighbours and parking.
C. Strong

ANSWER
You need to check the Company’s Memorandum and Articles of Association, and the management lease or the transfer document to ascertain your duties and obligations. The Company will be in breach and arguably could be exposing itself to potential proceedings being brought against the company if it fails to perform any of these duties and obligations. In addition the officers may be subject to personal legal action if they fail to carry out their responsibilities and therefore we would strongly recommend that Directors and Officers Liability Insurance is maintained. You may have to take a pragmatic view on the degree to which enforcement takes place if friendly discussions breakdown and follow up letters are ignored.