WHAT IS THE RELATIONSHIP BETWEEN TRUSTEES & MANAGING AGENTS?
Many schemes have a shortage of volunteers because being a trustee can be incredibly time consuming for busy owners
Broken down relationships between existing trustees can be effectively mediated by a balanced and measured third party, allowing more time to focus on productive management
Some schemes have existing financial and maintenance issues which require more experience and expertise to manage than what the current trustees can provide
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Managing agents take instruction from trustees, who make all final decisions
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Managing agents have a mandate to ensure that the trustees are fulfilling their fiduciary duties and keep the scheme in a healthy financial state
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Managing agents and trustees work together on maintenance projects, compliance, financial management and assisting other owners
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Managing agents assist trustees with ensuring important information is communicated with everyone involved in the scheme
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Managing agents help trustees to ensure that day to day running of the scheme is effective and well managed
WHAT IS THE RELATIONSHIP BETWEEN A PROFESSIONAL TRUSTEE & MANAGING AGENTS?
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A professional trustee has time and experience to meet with managing agents and contractors to ensure that service agreements are met and that workmanship is up to standard.
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A professional trustee ensures that the other trustees are making decisions within the confines of the Sectional Title Schemes Management Act, which governs the decisions they need to make
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A professional trustee works independently of the managing agent as a balanced third party who ensures that everyone (trustees and managing agents) fulfill their mandate to the scheme
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A professional trustee has more experience and a better understanding of how managing agents perform and can use this to help other trustees work more efficiently. Conversely, a professional trustee can also ensure that the other trustees are instructing the managing agents appropriately and timeously
WHAT IS A TRUSTEE?
All sectional title buildings must legally have a body corporate made up of trustees who act on behalf of all owners
Trustees are volunteers who are legally responsible for the all of the administration and legislation for the body corporate
Trustees have a fiduciary duty to the body corporate and must manage and account for how levies are collected and allocated towards all common property