We had this problem in our Management company and we decided that we could not buck the trend and ignore techology developments, and to keep things under control, we got permission from the freeholder to install a communal dish for all the flats, and ran the supply to each flat. We carried half of the cost from the contingency funds and the rest from a levy on each flat. Althoug it was a director's decision, we did run a poll of leaseholders and had enough votes in favour to mean it was a supported decision.
We also made the decision to use a managing agent to manage the face to face relations with residents, for exactly the reason you raise - it is easier for the professionals to deal with awkward residents, and they also have the legal and other facilities to call on if needed.
Our directors have always enforced the covenants strictly because we took the view if you don't do so, you lose them, and it sounds as if in your block you have. it would be interesting to see what would happen if the directors of your management company tried to enforce another covenant, when one or more have been breached bigtime already. Your lawyers have told you this is a breach, but it is difficult to get it enforced without the support of the comany.
Isuspect that your only route to make the management company operate correctly is to vote them out at the next AGM, and replace them with people who will enforce the covenants, which in terms of winning enough votes is easier said than done....... In my experience Freeholders do not give a monkey's unless they can make money out of it.
Sorry, not a lot for your comfort!