Property Management, Property Rentals and Property Financial Services in South Africa

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Amendments to the Regulations to the Sectional Titles Act

On 14 March 2013 the following amendments were published stated to come into effect on 14 April 2013.

amendments regulations

• Prescribed Management Rule 7 was amended by adding the following sentence:
“Provided that no nomination or appointment as trustee, of a person in breach of rule 64(1) or 64(2), may be accepted”

What this means is that they are finally listening to the people saying that one should not be allowed to be a Trustee if you are in arrears with your levies or in breach of any of the rules.

• Prescribed Management Rule 13(g) were amended by adding paragraph (g)
“13. A trustee shall cease to hold office as such-
(g) if he is in arrears for more than 60 days with any levies and contributions payable by him in respect of his unit or exclusive use area (if any) and if he fails to bring such arrears up to date within 7 days of being notified in writing to do so.”
This means that the relevant current Trustees should as soon as possible after the 14th of April 2013 be given notice that they are in arrears for more than 60 days and be given 7 days to pay the arrears or be removed as Trustee.

• Prescribed Management Rule 31 was amended by removing subrule (4A) and adding subrule (4B):

(4A) stated the following:
(4A) After the expiry of a financial year and until they become liable for contributions in respect of the ensuing financial year, owners are liable for contributions in the same amounts and payable in the same installments as were due and payable by them during the expired financial year: provided that the trustees may, if they consider it necessary and by written notice to the owners, increase the contributions due by the owners by a maximum of 10 per cent to take account of the anticipated increased liabilities of the body corporate.
Not sure why they would want to remove this provision.

They then added (4B) stating the following:
“The Trustees may from time to time, when necessary, make special levies upon owners or call upon them to make special contributions in respect of all such expenses as are mentioned in rule 31(1) above (which are not included in any estimates made in terms of rule 31(2) above), and such levies and contributions may be made payable in one sum or by instalments and at such time or times as the trustees shall think fit”

This confirms the right of Trustees to make special levies.

Please remember that these only come into effect on 14 April 2013

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