Supreme Court to hear RTM case: Review of Gala Unity

In November 2020, the Supreme Court granted permission to appeal the decision of the Upper Tribunal in FirstPort Property Services Limited v Settler’s Court RTM Company Limited and Others [2019] UKUT 0243 following the grant of a leapfrog certificate. The appeal raises a single question: does a Right To Manage company in respect of a single building on a wider estate acquire just the right to manage that building or does it also acquire the right to manage the wider estate to the extent that leaseholders of the building enjoy rights over that wider area? The Supreme Court will need to consider the intended purpose of the RTM regime as a whole and, in particular, whether the Court of Appeal’s decision in Gala Unity Ltd v Ariadne Road RTM Co Ltd [2012] EWCA Civ 1372 is correct. The outcome will be of significant importance to all those with interests in multi-block estates where RTM has been or might in the future be acquired. It is hoped it will provide much needed clarity as to the operation of the RTM regime. Simon Allison and Kimberley Ziya act for FirstPort Property Services Limited – the named management company under the tripartite leases of blocks of flats situated on the Virginia Quay estate – which argues that Gala Unity was wrongly decided. The appeal is listed to be heard on 10 and 11 November 2021.