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CSOS, Levies and Fairness: What the Waterford Decision Tells Us About Reasonableness and Good Governance
When trustees, managing agents or homeowners hear about disputes over levies, it often stirs anxiety: “What can the Community Schemes Ombud Service actually do?”, “Can CSOS rewrite our levy schedule?”
Levies, Liability, and Legal Precision – Distinguishing the Ashwood Centre matter from the Central Park matter
To properly appreciate the difference, we must begin with the Sectional Titles Schemes Management Act (STSMA). Section 3(1) assigns the obligation to raise levies to the body corporate, comprising of owner, through the budget approval process.
Trustee Toolkit: Managing Work-From-Home and Business Activities in Sectional Title Schemes
Trustee Toolkit: Managing Work-From-Home and Business Activities in Sectional Title Schemes
The Case Against Blanket Bans on Working from Home in Sectional Title Schemes
In a world transformed by the COVID-19 pandemic, the boundaries between work and home have blurred beyond recognition. Today, more South Africans than ever before earn their living from within their private residences. Yet, many sectional title schemes continue to enforce rules that prohibit all forms of business activity without distinction.
How to Fund Major Maintenance Projects
Budgeting for major maintenance projects is one of the most important executive functions of the trustees. Trustees attempt to keep levies low, but this should never be at the expense of saving for future maintenance projects.
Planning for the Future: The Importance of a 10-Year Maintenance Budget
Historically bodies corporate did not budget for, or save for the maintenance, repair and replacement projects. So, for example, where the scheme’s lift needed an expensive service, the trustees would need to raise a special levy to fund the expense. T
Raising Special Levies as a Last Resort
Over the last ten plus years I have often been asked when and how special contributions (or “special levies”) can be legally raised. There are so many misconceptions and misunderstanding in regard to special levies. I have been told that:
The installation of boreholes in Sectional Title Schemes
Over the past decade we have seen various provinces in South Africa experience water shortages, with resultant regulations limiting non-essential water uses such as watering gardens, filling swimming pools and ponds and washing cars.
How to Resolve Decisions in Schemes
Managing a sectional title scheme requires making various decisions. Different decisions require different levels of consensus of the trustees and members of the body corporate in sectional title schemes
Exclusivity
The community property element of sectional title schemes comes into play when we refer to common property. Common property includes all the land and those parts of the buildings that are not included in the sections. The body corporate must maintain the common property
What is Fidelity Insurance?
Managing a body corporate’s finances requires a high duty of trust. The risk of the mismanagement of funds needs to be mitigated against. Fidelity insurance covers the body corporate against any fraud or dishonesty committed by a trustee, managing agent, employee or other agent of the body corporate.
The Problem that is Parking
When I first started practicing as a community scheme attorney I realised that there were three topics that came up as common “problems” in sectional title living. I categorised these issues as the “3 ‘P’s’ of sectional title living”, namely pets, parking and people. These “P problems” are the cause of most of the issues and disputes in sectional title schemes. In this article I will deal with parking issues.
Complying with Insurance and Risk coverage requirements
There is a myth in the sectional title realm that the body corporate insurance covers everything. This article will set out the facts on all things sectional title insurance and risk coverage. More specifically, this article will deal with the most important insurance responsibilities that need to be undertaken to ensure that your scheme is compliant with the legislative requirements.
The Automatic Renewal of Property Management Agreements and what our Courts have said about it
Prescribed Management Rules 28 (7) and 28 (8) state that “a management agreement may not endure for a period longer than three years and may be canceled without liability or penalty, despite any provision of the management agreement or other agreement to the contrary-
Online and Hybrid Meetings
The question is, is online and hybrid meetings a blessing or a tool to exclude owner participation. I for one is in favour of online and hybrid meetings as these represent a remarkable advancement in how we can conduct discussions within the community schemes community. These modern meeting formats are truly the future, offering unparalleled convenience and efficiency, ensuring attendance and participation.
The difference between a Managing Agent and an Executive Managing Agent (EMA)
Introduction The body corporate is the governing body of sectional title schemes. The body corporate then elects a group of trustees to act as their executive body at every annual
New Year! New Scheme!
There are a multitude of tasks that trustees need to undertake in order to manage all the legislated responsibilities for running a successful sectional title scheme. There are financial, legal, administrative and physical tasks that need to be planned out and executed
Contractual Power and Validity of Action
In terms of prescribed management rule 10 a document (including contracts) is only valid and binding on the body corporate if it is signed by two trustees or by one trustee and the managing agent.
Sectional Title living tips for over the Festive Period
It’s beginning to feel a lot like Christmas! This time of year, brings a few additional considerations for members of the body corporate. Here are some things to take stock of over this period of year if you live in a community scheme.
Who is responsible for foundations in a Scheme?
I often get consulting enquiries on who is responsible for the maintenance and repair of the foundations of sections. In this article I will set out the responsibility in regard to foundations.
How to protect yourself against liability as a Trustee
The trustees stand in a fiduciary relationship towards the body corporate, while the managing agent stands in a contractual relationship towards the body corporate, and is still under the supervision of the trustees who maintain their fiduciary obligation to the body corporate.
CSOS, Levies and Fairness: What the Waterford Decision Tells Us About Reasonableness and Good Governance
When trustees, managing agents or homeowners hear about disputes over levies, it often stirs anxiety: “What can the Community Schemes Ombud Service actually do?”, “Can CSOS rewrite our levy schedule?”
EMA Edge: Elevate Your Scheme Management
Listen to Willie Roos, CEO of Stratafin and Hendrik Brits, Director of Confiance Administrative Solutions, as they unpack the vital role of an Executive Managing Agent (EMA) in driving professionalism, structure and efficiency in community scheme management.
Levies, Liability, and Legal Precision – Distinguishing the Ashwood Centre matter from the Central Park matter
To properly appreciate the difference, we must begin with the Sectional Titles Schemes Management Act (STSMA). Section 3(1) assigns the obligation to raise levies to the body corporate, comprising of owner, through the budget approval process.
Trustee Toolkit: Managing Work-From-Home and Business Activities in Sectional Title Schemes
Trustee Toolkit: Managing Work-From-Home and Business Activities in Sectional Title Schemes
The Case Against Blanket Bans on Working from Home in Sectional Title Schemes
In a world transformed by the COVID-19 pandemic, the boundaries between work and home have blurred beyond recognition. Today, more South Africans than ever before earn their living from within their private residences. Yet, many sectional title schemes continue to enforce rules that prohibit all forms of business activity without distinction.
How to Fund Major Maintenance Projects
Budgeting for major maintenance projects is one of the most important executive functions of the trustees. Trustees attempt to keep levies low, but this should never be at the expense of saving for future maintenance projects.