Keeping Minutes of Meetings

Keeping Minutes of Meetings

Posted In: Paddocks Press Newsletter

People often argue about what was said and done at a meeting. The purpose of minutes is to provide an accurate and objective account of the proceedings of the meeting, and more particularly to record the decisions made at the meeting. The minutes of a meeting are defined as the official, permanent record in writing, expressed in formal terms, of the business transacted at a meeting.

Prescribed Management Rule (“PMR”) 34 deals with minutes. The trustees must take and keep minutes of the trustee meetings. The trustees must also take minutes of all body corporate meetings and keep them in a special minute book kept for that purpose. In that minute book the trustees must include a record of every unanimous, special and other resolution of the body corporate.

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Reserve Funds 

Source: Jennifer Paddock/Published in Agent Magazine

Once the Sectional Titles Schemes Management Act comes into force Reserve Funds for bodies corporate will be mandatory and the Minister will prescribe mandatory minimum amounts. This means that the lax attitude most bodies corporate in South Africa have been taking towards reserve funds will no longer be an option. What is a Reserve Fund… 

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Maintain the Common Property

 

How to allow owners to maintain common property

Posted In: Paddocks Press Newsletter

 

One of the functions of a sectional title body corporate is to maintain the common property, including common property machinery, plant (in the machinery context), fixtures and fittings. This provision makes total sense because it removes the possibility of neglect of the common property by owners unwilling or unable to do their share of maintenance

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Use restrictions in sectional title schemes

 Use restrictions in sectional title schemes

Posted In Paddocks Press Newsletter

 

Reasoning behind use restrictions

Sectional title schemes are community schemes: communities of residents, retailers, business people or even manufacturers. The members joined the community because of its nature, so this fundamental reason for purchase is best served by making sure parts of the scheme are not used for different purposes. This basic principle is more widely reflected in the local municipality’s zoning scheme.

There could also be consequential problems for the scheme if sections and exclusive use areas are used for purposes other than those designated.

The main problem in residential schemes is use of sections for business purposes. Common problems include increased visitor traffic as clients or customers enter and leave the premises, mis-use of parking facilities, security breaches and so on.

Another very common problem is a lack of parking resulting from garages being used for storage. Most sectional title schemes struggle with inadequate parking facilities anyway. The original building plan would only have been approved by the local municipality if the parking requirements of the time were met.

There are three sets of provisions in the Sectional Titles Act and the prescribed rules that can be used to make sure areas are only used for their designed purposes.

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