How can a residents c'ttee take action against a developer who is director of mgt cte

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cookie

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How can a residents committee take an action against a developer that is the doirector of the management committtee?

Surely the developer would use their power to block committee funds being used by the residents from such an action if they could.

can they do this?

would the residents have to take action out of their own pocket rather than the management budget?
 
Hi Cookie

I have a similar problem have you received any advise outside this forum on your query?

Denbo
 
Cookie, has an AGM been called for the management company, how long has the company been in existence?

Ususally when the agm is called the directors (who are usually the developers) resign and new directors (usually residents/members) are elected.

The Office of Director of Corporate Enforcemant (ODCE) are very good with helping people deal with management companies.

I have been dealing with our management company and agents for about a year now, perhaps if you elabotate on your issues we might be able to give better advice.
 
There has been no AGM in 2 years called as far as I know.

The issue we have is that a very unfair lease arrangement exists, whereby we are obliged to contribute a large sum, to a near by commercial estate. We pay similar costs to other residential developments in the area for the general estate services but are the only one that has to contribute to this office park across the road, which is of no benefit to us. The contribution is sizeable and enough to make our mgt fees greater than "average".


At time of signing the leases, all solicitors acting on the individual units saw no issue with the lease. It was only later that it transpired our leases obliged us to contribute to, to the completely unrelated and nearby office development.

To have the situation looked at properly will require independant legal advice and reviewing of large amounts of complex documents. This request is supported by the residents at large but the request was refused by the developer; ie the current directors of the mgt company.

SOme individuals have had their own solicitors look at the situation but it requires the full attention of a specialist in the area to gain a full opinion.

It is a very unfair situation and owners feel that the facts were well known at point of sale but did not make it down to the purchasers.

Any opions greatly appreciated...
 
Re: How can a residents c'ttee take action against a developer who is director of mgt

cookie said:
There has been no AGM in 2 years called as far as I know.
Click to expand...
Does this not mean that there could be company registration repercussions including fines or even strike off?
 
Re: How can a residents c'ttee take action against a developer who is director of mgt

ClubMan said:
Does this not mean that there could be company registration repercussions including fines or even strike off?
Click to expand...

does it?
 
I don't know. You might need to check with the CRO as to what the repercussions are of a (presumably?) limited (by guarantee?) company not holding AGMs as required. Is the company up to date with all filings and accounts/returns? If not then that could also have serious repercussions. If the management company is struck off then this could be very serious for property owners in the development (e.g. could be difficulties if it comes to reselling).
 
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