Library · Act of Parliament
Companies Act 2006
The law for every freehold, RMC and RTM company: directors' duties, meetings and resolutions, registers, accounts and Companies House filings.
What it does
Most leaseholder-controlled blocks are run through a company. The Companies Act applies to that company like any other, alongside its articles of association.
Key parts for block companies
- Sections 171 to 177, directors’ duties: act within the constitution, promote the company’s success for all members, use independent judgment, take reasonable care, avoid conflicts, refuse third-party benefits and declare interests.
- Section 168: members can remove a director by ordinary resolution with special notice, whatever the articles say.
- Part 13, resolutions and meetings: written resolutions are allowed for private companies (ordinary: simple majority of eligible votes; special: 75%). Private companies need not hold an AGM unless their articles require one. Members with 5% of voting rights can require a general meeting (section 303).
- Registers: members, directors, people with significant control.
- Accounts and confirmation statement: filed with Companies House every year.
- Sections 232 to 234: what the company may and may not do to indemnify directors, and directors’ and officers’ insurance.
Status
In force across the UK. The Economic Crime and Corporate Transparency Act 2023 added identity verification for directors from November 2025.
Read the official text at legislation.gov.uk
Crown copyright, reused under the Open Government Licence v3.0. Summary by Freeholdpilot, checked 1 November 2026. This is legal information about the law in UK-wide, not legal advice for your building. For advice, speak to a solicitor.