Court of Appeal Rules On Shared Facilities In Right to Manage
The Court of Appeal in Gala Unity v Ariadne Road RTM Ltd has decided that shared facilities on an estate can be included within the responsibility of a right to manage company - even if they are used by parts of the estate not taking part in the right to manage itself. The case sought to clarify the meaning of “appurtenant property” referred to in Section 72 and 112 (1) of the Commonhold and Leasehold Reform Act 2002.
However, the effect of the decision may have caused more problems than it has solved. The practical outcome could mean that right to manage companies are now responsible for shared facilities - such as car parking spaces - although they are unable to recover maintenance contributions, in the absence of a voluntary agreement with the non-participating parties.
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