Does Your Sectional Title Plan Have a Managing Agent?

Managing a sectional plan needs an extremely comprehensive knowledge of the Sectional title Act and guidelines, and access to secretarial and accounting centers. Some body corporates (BC's) would rather handle their own plan without any support, this is rarely the case as the majority of schemes possess neither the knowledge nor the facilities to handle themselves. Bulk of BC's will appoint a registered agent to take control of the day to day management of the plan.

A managing agent is designated in terms of the management rule 46, which mentions the new consultation needs to remain in writing for a period of one year, with automatic renewal on the anniversary of appointment unless either party gives notification to the other that the agreement will not be restored. If the consultation of the representative is not lowered to writing within thirty days, it is voidable at the opinion of either party. The trustees are entitled to appoint a managing representative and should do so if directed by a simple bulk of members of the BC's at a basic meeting or by a registered mortgagee who holds 50 % of the bonds within a scheme.

The choice about which agent to select is normally made by the trustees and not the body industrial, even if the decision to select a handling representative may have been made by the body industrial. The body business can, by unique resolution, end their visit in which case the representative will can claim for payment from the body business must it be proved that the reason for termination was not justified. Find more information about buy my house fast from www.propertycashbuyers.com.

Trustees who are involved in their duties generally assemble a list of handling agent who operates in the area where the scheme is situated. These agents are invited to provide a presentation at special trustees meeting, at which the trustees ought to ask questions to develop the representatives level of knowledge, relating to the sectional title act and how to handle a plan. It is necessary to ask and check the agent's references. All handling agents who handle body corporate money must be in property of a present fidelity fund certificate provided by the Estate Agents Affairs Board. (www.eaab.org.za ). If the agent is not able to produce this, the body industrial ought to contact the EAAB prior to selecting the agent.

Management rule 48 needs a managing representative who understands anything that adversely affects the scheme or areas within the scheme to bring the matter to the attention of all the owners and holders or signed up home loan bonds who have informed the body corporate of their interest.