Insurers of sectional title schemes have a love-hate relationship when it comes to geysers as a result of the frequency of claims and the costs involved. Geysers are insured in different ways: Some insurers specify the size of the geyser (in litres) and others the age of the geyser. In addition, insurers also limit the amount that can be claimed when...
As trustees serve and manage a body corporate’s affairs, their appointment is one of the most important decisions a body corporate makes every year but unfortunately, many elected trustees are unaware of the extent of their roles and responsibilities. Understanding the STSMA Trustees have many responsibilities which they must perform within the confines of the Sectional Titles Schemes Management Act (STSMA), the...
Appointing body corporate trustees is one of the most important decisions that the members of the scheme must make every year. Trustees should have the relevant knowledge and management skills, and they should also be able to carry out their responsibilities in a way that benefits the scheme. The selected trustees do not always have carte blanche when making decisions for...
The role of a trustee can be quite challenging. Dealing with financial issues, maintenance issues, conflict between owners, tenants or trustees may put owners off from being trustees. Add to that the fact that trustees typically do not get paid for the time they invest in the scheme and you understand why some schemes struggle to find owners to volunteer as...
Insurance may seem like a grudge purchase to some but in sectional title schemes it is worth every cent. In addition, the trustees have a fiduciary duty to ensure that the scheme is comprehensively insured and that all compulsory insured perils are covered as required in terms of the Sectional Title Schemes Management Act (STSMA). Let’s consider the various types of...