right to manage company

right to manage company

a special type of company permitted by the Commonhold and Leasehold Reform Act 2002 for England and Wales. Tenants of flats who meet the eligibility rules are able to transfer the landlord's management rights to such a company which must be designated as ‘RTM Company Limited.’
References in periodicals archive ?
The right is exercised serving formal notice upon the freeholder and managing agent and then, after a set period of time the management transfers to the flat owners Right to Manage Company.
Once the flat owners' Right To Manage Company has taken over control of the management function, they may decide to either manage the block themselves or - more sensibly - to appoint another managing agent with whom they feel they can work.
Q Could there be a problem in establishing a right to manage company for managing our own block of flats, where the hot water is provided off site from a boiler in a separate building which also supplies an adjoining block?
The management is then transferred to a special company set up by the leaseholders - the right to manage company (RMT).
It makes sense that leaseholders want to take control of their most valuable assets and by establishing a right to manage company it gives them more control over their own destiny.