Legal setup for a simpler future for your development
How to avoid the pitfalls and set up a robust management company and lease
Many firms of solicitors have a standard lease which they use for all of the developments that they are responsible for and, likewise, they have standard Articles for all of the companies that they set up. Although this is seen as being acceptable because many of the terms cover a broad spectrum of situations, the vague nature of clauses can give rise to future disputes where there are “grey areas” which can be interpreted in a number of ways.
Ringley can help to reduce the “grey areas” and, because we will work hard to get to know the developement as well as the developer does, we can wade through the legal speak and make sure that all amenities are covered for easy recovery of costs and that clauses are clear so they are less likely to be challenged.
Aside from cost recovery, we can also draft the key estate regulations into the lease so they are very clearly defined to the purchaser upfront so that leaseholders cannot argue that the lease does not provide for any of these regulations at a later date. This is a useful tool for pre-empting the nuisance issues which occur, particularly in mixed tenure developments.
Setting up residents management companies are no different and as they are run by leaseholders and so simplicity is key so it is easy for directors to understand how the company is run, it also needs to allow for an appropriate number of directors for the size of development. Our legal team is able to setup residents management companies for our developer clients and can tailor it to the specific site and can provide advice on the best form for the Articles to take.
Our sister company Ringley Law can draft development leases, deal with plot sales, execute Section 106 agreements and set up suitable company structures.
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Leases, management companies,
proportional representation, golden
shares. Let us help you avoid the pitfalls