Spring and warmer weather is increasingly peeking its head through the clouds, and with the Rugby World Cup in full swing, we’re doubly excited about this vibrant season!
FMS Property Managers is excited to be publishing our second newsletter. This quarter, we are focusing on “Trustees duties and responsibilities”. Our goal is to arm Trustees with knowledge of their responsibilities so they can best serve their scheme.
Notably, in this newsletter, we have partnered with The Advisory, a leading boutique firm specialising exclusively in community scheme law. Their Director and head of the firm’s courses division, Ané de Klerk, has written the featured piece.
We’d like to thank all the owners who engaged with us during our most recent survey. We value your feedback and are working on implementing your suggestions!
Staff highlight
Aisha Roberts - Financial Controller
After joining the FMS Property Managers team in 2018 as a cashbook clerk, Aisha was promoted to the role of Financial Controller.
Of her role in the FMS Property Managers team, she says, “What I absolutely love about my job is the debt collection procedure, where I can apply the law - Debt Collectors Act - I have a love for the law. I also very much enjoy the application of our internal procedures; getting owners to comply with payment agreements.
I love the feeling of attainment when collecting debt so that our body corporates are able to run efficiently with sufficient cash flow. I feel a sense of accomplishment when I can assist an owner, who has been behind on their payments, in negotiating payment terms without having to entrust the situation to our legal team.
In our industry, I enjoy the fact that I literally learn something new every single day. I am gaining invaluable knowledge and experience that I can apply to any task.”
Aisha is currently completing her Higher Certificate in Business Management.
Superior Property
Managers
‘No day is the same, as it comes with its own challenges.’
Trustees’ Powers and Duties Trustees’ Powers and Duties
Author: Ané de Klerk
If you have been approached by a member or members of a body corporate and asked to accept a nomination to serve on the board of trustees you likely have questions regarding what this position entails: What would you be expected to know and do? Just asking these questions indicates that you are likely a good candidate for the position as conscientiousness is a wonderful quality in a trustee. Let’s look at the answers to them to enable you to make an informed decision.
POWERS AND DUTIES
Trustees must:
1. Know the scheme and documentation regulating its affairs Trustees must take reasonable steps to inform and educate themselves about the scheme, the body corporate’s affairs and activities and all legislation and governance documentation in terms of which it operates. Examples of documentation trustees must study include:
● the scheme’s registered sectional plans;
● minutes of past trustee and general meetings;
● the body corporate’s Conduct and Management Rules;
● the Sectional Titles Act;
● the Sectional Titles Schemes Management Act;
● the Community Schemes Ombud Service Act;
● all regulations to the abovementioned acts;
● all circulars and practice directives issued by the CSOS from time to time.
Seem overwhelming? It doesn’t have to be. In drafting our UCT Sectional Titles Schemes Management Online Short Course, I have done
all the work for you - incorporating the relevant provisions of all of these Acts, regulations, circulars and practice directives into modules that are simple to read and easy to understand, organising and unpacking the legislation in plain english so you don’t have to decipher legal jargon. Email courses@theadvisory.co.za to find out how to enroll for the next presentation so you can tick this box with confidence.
2. Call and attend meetings
Trustees must meet to carry out the body corporate’s business. They can regulate and adjourn trustee meetings as they deem appropriate, subject to the provisions of the Sectional Titles Schemes Management Act, the scheme’s rules and the common law of meetings. Every trustee must attend the body corporate’s Annual General Meeting and all trustee meetings held during their tenure unless there are reasonable grounds for them to be excused by the chairperson.
3. Make informed decisions based on due diligence investigations and advice
Trustees must take reasonable steps to obtain sufficient information and advice to enable them to make conscientious and informed decisions about any matter to be decided by them. They must exercise due diligence when preparing for and attending trustee meetings and when considering and/or handling any body corporate business. They must take care when attending to the body corporate’s business by, for example, carefully investigating any potential service provider before appointing them.
4. Appoint agents and employees by written contract
Speaking of appointing service providers, trustees must, when appointing agents and/or employees, do so by way of a written contract that must be signed by two trustees or one trustee and the managing agent. They may not rely on verbal agreements and must make sure the body corporate’s budgets provide for the payment of the agents and/or employees.
5. Spend money in accordance with approved budgets
Checking in on the approved budget not only applies to the payment of agents and employees, but to all payments done by and on behalf of the body corporate. Trustees must apply the body corporate’s funds in accordance with administrative and reserve fund budgets that have been approved by members at their Annual General Meeting. They may not spend money on anything not provided for in the budgets considered and ultimately approved by the members.
6. Exercise an active and independent opinion
Trustees may not be passive and/or simply agree with the opinions expressed by outspoken and/or strong willed trustees serving on the board alongside them. They must exercise an active and independent opinion with respect to all matters considered and to be decided by the trustees.
7. Take and distribute meeting minutes
The trustees must compile minutes of trustee and general meetings, clearly indicating:
● the date, time and venue when and where the meeting was held;
● the names and roles of people present;
● details of authorisation of proxies and other representatives (if any);
● the text of all resolution considered; and
● the results of the voting on resolutions tabled.
These minutes must be distributed to those entitled to notice of the particular meeting as soon as reasonably possible and no later than 7 days after the day on which the meeting was held.
8. Be mindful of the limitations on their powers
When exercising the body corporate’s powers and functions, trustees must do so within the scope provided for in:
● the Sectional Titles Schemes Management Act;
● the scheme’s rules;
● any restrictions imposed or direction given to them by the body corporate’s members by ordinary resolution at a general meeting; and
● any resolutions previously passed at meetings of trustees (even those passed by boards on which the current trustees did not serve).
FIDUCIARY DUTIES
Arguably the most important duties of any trustee stems from the fact that they stand in a fiduciary relationship to the body corporate, which
● be present when the trustees cast their votes for or against a resolution pertaining to, or otherwise make their decision regarding, the matter;
● play any part in the consideration of, or decision making regarding, the matter concerned.
LIABILITY
A trustee with direct or indirect personal interest in a matter to be considered by the trustees may not:
● be present when the trustees consider the matter;
ABOUT THE AUTHOR:
An admitted Attorney of the High Court, Ané de Klerk obtained her BA(Law) and LLB degrees from the University of Stellenbosch, and is currently a Director at The Advisory, where she heads up the courses division.
Having decided that this is where her passion lies, she went on to gain invaluable practical experience as a Property Portfolio Manager at Faircape before joining Paddocks as a legal consultant. Here she discovered her love of training and became the presenter of all of the UCT Paddocks online short courses dealing with community schemes. After convening and presenting Paddocks UCT courses for five years, she partnered with the University of Cape Town and developed her own. Today, in her capacity as director and head of The Advisory’s courses division, she focuses on legal education and training industry role players through online short courses, seminars and workshops tailored to community schemes management.
● ● ● ● ● ●
● ●
CCTV Technologies:
The safety and security of our homes, facilities and businesses is a top priority. Closed-Circuit Television (CCTV) has played a pivotal role in achieving this goal. CCTV Technologies, a leading player in this field with over 15 years of experience, more than 2000 continuously monitored cameras, and a 4.8 star Google Rating, offers a unique approach to security through off-site monitoring. Our innovative approach transforms the way we think about security, shifting the focus from reacting to incidents to proactively preventing them.
Providing cutting-edge solutions that leverage the potential of CCTV systems, CCTV Technologies is prominent in the Cape Town security industry. Central to our security solutions is our off-site monitoring. Instead of relying solely on on-site security personnel, businesses and homeowners can tap into the expertise and experience of our CCTV Technologies’ remote monitoring teams.
KEY BENEFITS OF OFF-SITE MONITORING:
Real-Time Alerts: Off-site monitoring provides real-time alerts in response to any suspicious activity, enabling swift action and intervention.
Cost-Effective: Off-site monitoring offers a cost-effective alternative to hiring and maintaining on-site security personnel.
Peace of Mind: Homeowners and business owners can enjoy peace of mind knowing that their property is under constant watchful eyes.
Evidence Collection: CCTV footage can serve as crucial evidence for law enforcement and insurance claims.
Deterrence: Visible CCTV cameras act as a deterrent to potential criminals, dissuading them from targeting any property.
HOW OFF-SITE MONITORING WORKS
riminal incidents before they escalate.
The traditional approach to security involves reacting to incidents after they occur. However, CCTV Technologies’ off-site monitoring flips the script by prioritising prevention. By continuously monitoring your premises, potential threats can be identified and addressed before they result in costly damage or loss. This significantly reduces the chances of criminal activity going unnoticed or unaddressed.
CCTV Technologies' off-site monitoring represents a paradigm shift in the world of security. By prioritising prevention over reaction, our innovative approach empowers individuals and businesses to take a stance in safeguarding their assets.
Real-time monitoring, deterrence, costeffectiveness, and peace of mind are just a few of the many benefits offered by our state-of-the-art technology.
CCTV Technologies is leading the charge towards a safer and more secure Cape Town.
Until next time
Our legacy of experience, passion for compliance, the financial well-being of a scheme, and the fostering of an asset, will always ensure that your investment is well maintained.
We are your first choice in property management.
Our newsletters will continue to provide insight and knowledge about property management, for body corporates, homeowners associations, and trustees. Until next time, on more about the Cape Town property market!
GET IN TOUCH
We are committed to providing our clients with excellent property management services, including efficient communication. In order to assist, reach out to us through our
This form can be used for;
● Account queries
● Insurance claims & queries
● Levy clearance requests
● Maintenance requests
● Quote requests
● Renovation requests
● Rule infringements
● Pet applications
If you would like to log in to WeConnectU
Superior Property Manager
