What you need to know about the different sectional title meetings

Meetings are critical to sectional title schemes as they facilitate decision-making and direct trustees in the scheme's management.

Trustee meetings, annual general meetings and special general meetings leave a record for current and future trustees and owners of the management decisions based on the scheme's unique requirements and the relevant Acts.

In this training session, we looked at the fundamentals of different types of meetings and how these meetings should be conducted.

The webinar was presented by Leigh Maingard, CEO of Intersect Sectional Title Services, on Monday 24 April 2023.

 To receive notifications of future training dates, you can sign up here.

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CSOS, Reserve Funds and Fidelity Insurance

The Community Schemes Ombud Service (CSOS) plays a pivotal and strategic role in the mediation of disputes in community schemes. In this training session, we reviewed the types of disputes that can be lodged with CSOS for mediation and how to lodge it correctly.

In addition, we looked at how to calculate and budget for reserve funds, and how fidelity insurance cover is calculated.

The webinar was presented by Leigh Maingard, CEO of Intersect Sectional Title Services, on Tuesday 28 March 2023.

 To receive notifications of future training dates, you can sign up here.

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The role and responsibilities of trustees

When an owner takes on the role of a trustee, they have a fiduciary duty to act in the best interest of the body corporate. They also have responsibilities with regards to the maintenance and financial management of the scheme. What does that involve and what are the limits to their authority?

In this training session, we reviewed the role and responsibilities of trustees to ensure compliant management of the scheme. Training was conducted by Leigh Maingard, CEO of Intersect Sectional Title Services.

To receive notifications of future training dates, you can sign up here.

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What you need to know about AGMs

This training session was presented on 23 January 2023 as the first monthly trustee training session for the year. To receive notifications of future training dates, you can sign up here.

Download the presentation here.

WHAT YOU NEED TO KNOW ABOUT AGMs:

AGM requirements for a body corporate including the following: When must it take place, who must attend, what notice period is required, how to deal with a quorum, proxies, and voting, and what you need to know about trustee nominations.

Understanding the fiduciary relationship of Trustees

All sectional title schemes are managed, controlled and administered by a body corporate, the members of which are all owners within the scheme, and the applicable functions and powers are performed and exercised, on a day to day basis, by the Trustees.

Trustees are elected at each annual general meeting by the members, and must operate within the provisions of the Sectional Titles Schemes Management Act. Trustees are also subject to any restrictions and or directions imposed at a general meeting of the owners as well as in the registered rules of the scheme.

The management rules, which regulate the management and administration of a scheme and which sets out the powers and responsibilities of the trustees, may be added to, amended or repealed by unanimous resolution of the members, but one critical element thereof is the fiduciary relationship with the body corporate that every trustee stands in, once appointed to hold office until the next annual general meeting.

This relationship demands that every trustee acts honestly, in good faith and may not exceed the powers granted by the sectional titles schemes management act, the rules and/or the owners at a general meeting, and must exercise these powers in the interests and for the benefit of the body corporate as a whole.

Moreover, a trustee must avoid any and all material conflicts between his or her own interests and those of the body corporate. In particular, a trustee may not derive any personal benefit from the body corporate or from any other person if such benefit is obtained in conflict with the interests of the body corporate.

Should any possible or suspected conflict exist, the trustee is obliged to notify all other trustees of the nature and extent thereof.

If a trustee breaches his or her fiduciary duties by an act or omission that is grossly negligent or performed in bad faith, he or she may be liable to the body corporate for any resultant loss suffered by the body corporate or any economic benefit derived by the trustee.

The sectional titles schemes management act, however, does provide indemnity, for trustees, for acts or omissions that result in a loss for which the body corporate becomes lawfully liable, where gross negligence or bad faith is not proven. Moreover, and on a similar basis, the insurance policy of the body corporate should hold cover for trustees’ indemnity as well.

Property Practitioners Act

On 1 February 2022, the Estate Agency Affairs Act, was replaced by the Property Practitioners Act (PPA) and its regulations. At the same time, the Estate Agency Affairs Board (EAAB) will equally be replaced by the Property Practitioners Regulatory Authority (PPRA).

In essence, from a managing agent’s perspective, this doesn’t represent much in the way of changes from an operational point of view, however, there are a few changes that managing agents, and client’s alike, should be aware of.

The first is that the 2022 Fidelity fund Certificates (FFC), issued by the EAAB, will remain in force for the 2022 calendar year. However, all property practitioners must register with the PPRA on or before 31 October 2022, to prepare for the 2023 fidelity fund certificates to be issued.

In order to obtain the new FFC’s, which will be valid for 3 years, as opposed to the hitherto 1 year, the property practitioner must provide a letter of good standing from SARS, as well as a current BBBEE certificate.

Compliance with the prescribed educational requirements, code of conduct, accounting, auditing and record keeping remain much the same as before.

The property practitioner will cause to have conducted, within 6 months of its financial year-end, including the audit of all trust accounts operated by the property practitioner, an audit of its accounts for submission to the PPRA.

Intersect launches revolutionary management package

Intersect, a Western Cape based property management services company of 50 years standing, has heeded the call from many enquiries for an essential services package, aimed at community schemes located in remote areas and or in schemes where the scheme executives manage all aspects of the scheme’s affairs, but simply require a solid partner to assist with administration and finance.

Due to the intelligent use of technology, Intersect has developed a revolutionary administration model for community schemes, regardless of size, nature and even location.

“Our online system provides for clients to log in, obtain information and review management reports, including budgets, cash books, debtors and creditors analyses and bank account balances and statements.” says Martin Bester, Managing Director of Intersect.

Bester continues, “It further provides for the scheme executives to approve payments online. As a result, we are offering to those schemes in remote or hitherto un-serviced areas, a cost-effective online solution.”

Now, it must be noted that this offering does not include attendance at meetings, dealings with complaints, disputes and or queries (other than queries around the services provided), or any involvement in insurance claims, maintenance, compliance and or human resources, but it does provide the scheme executives with a feasible and viable alternative to the conventional managing agent’s service offering.

These services all form part of Intersect’s full management package.

For more information, please visit www.intersect.co.za or contact them on 021 659 5965 or at infoct@intersect.co.za

Improvements at Intersect

2021 saw Intersect turning 50 years old.

2022 will herald a new era in our business, and we are making some material changes to the manner in which we operate, thereby improving on our delivery of service to our clients and reducing our carbon footprint.

Separate Trust accounts for each client:

To improve on efficiencies and to further enhance transparency, every client will enjoy access to its own trust account.

Every trust account is opened in terms of the prevailing Acts, and reconciled, managed and audited accordingly. This includes administrative and maintenance reserve funds, which are invested in trust investment accounts.

Interest earned on trust funds accrue entirely to the client.

Intersect Online:

We are replacing our current management system and diving straight into the 21st century.

Here, owners can enjoy the convenience of directly accessing, inter alia, levy statements, rules and insurance documents and can communicate directly with stakeholders, including logging maintenance issues.

Trustees too will be empowered, and enjoy the convenience of accessing all of the above, as well as other documents pertaining to the management of the scheme, including bank statements, creditor invoices, debtor’s analyses and other management reports, such as budgets and financial statements, 24 hours a day.

Trustees can also easily authorise payments, online at their convenience.

Digital storage:

In an ongoing effort to reduce our carbon footprint and curtail costs, we are going paperless as best possible.

This includes, but is not limited to, replacing the old archiving system with a digital alternative, wherever possible, and permissible, to do so.

Our new management system also provides for paperless communications, record keeping, and accounting.

When to approach trustees in sectional title

Reading a recent article provided by the Community Schemes Ombud Service (CSOS), we were reminded of some of the typical decisions that trustees are empowered to make in terms of sectional title legislation.

Here are some examples, as CSOS points out:

Change external appearance:

Prescribed Conduct Rule (PCR) 5(1) states that an owner or occupier of a section must not, without the trustees’ written consent, make a change to the external appearance of the section or any exclusive use area allocated to it unless the change is minor and does not detract from the appearance of the section or the common property.

Damage to common property:

PCR 4(1) states that the owner or occupier of a section must not, without the trustees’ written consent, mark, paint, drive nails, screws or other objects into, or otherwise damage or deface a structure that forms part of the common property.

Erect a washing line:

PCR 5(2)(a) states that an owner or occupier of a section must not, without the trustees’ written consent, erect washing lines on common property.

Laundry:

PCR 5(2)(b) states that the owner or occupier of a section must not, without the trustees’ written consent hang washing, laundry or other items in a section or any exclusive use area allocated to it if the articles are visible from another section or the common property, or from outside the scheme.

Pets:

PCR 1 states that the owner or occupier of a section must not, without the trustees’ written consent, which must not be unreasonably withheld, keep an animal, reptile or bird in a section or on the common property. The trustees may provide for any reasonable condition in this regard and may withdraw any consent if the owner or occupier of a section breaches any condition imposed.

Parking of Vehicles:

PCR 3 states that the written consent of the trustees, as well as the duration of such permission, is required before an owner or occupier of a section may park a vehicle, allow a vehicle to stand or permit a visitor to park or stand a vehicle on any part of the common property other than a parking bay allocated to that section or a parking bay allocated for visitors’ parking (except in the case of an emergency).

Refuse bins:

PCR 2(2) affords the trustees the discretion to decide what type of dustbin for refuse is acceptable and must designate where on the common property that bin must be kept. PCR 2(3)(a) gives the trustees the power to designate the place and time that the owners or occupiers must move the dustbin.

Safety device and screen:

PCR 4(2) states that the trustees have the discretion to approve, in writing, the design, colour, style and materials of a locking or safety device to protect the section against intruders, or a screen to prevent entry of animals or insects if the device or screen is soundly built.

Signage:

PCR 5(2) (c) states that an owner or occupier of a section must not, without the trustees’ written consent, display a sign, notice, billboard or advertisement if the article is visible from another section or the common property, or from outside the scheme.

Storage of flammable substances:

PCR 6(1) states that an owner or occupier of a section must not, without the trustees’ written consent, store a flammable substance in a section or on the common property unless the substance is used or intended for use for domestic purposes.

Subdivision and consolidation of sections:

Section 7(2) of the Sectional Titles Schemes Management Act No 8 of 2011 states that the trustees of the body corporate must receive and may consent to applications for the subdivision of a section or consolidation of two or more sections, made by the owners of sections.

Naturally, the above is extracted from the prescribed rules and Act, whereas, in every situation, the registered rules of each scheme must be consulted, as amendments may have been made.

Maintenance Repair and Replacement Plan

In October 2016, the Sectional Titles Schemes Management Act was promulgated.

This provided for, inter alia, the implementation of a Maintenance Repair and Replacement Plan (MRRP) and the creation of a Reserve Fund, to fund the projected expenses in the plan.

To do this, the scheme requires a plan which includes, inter alia, the following:

• the major capital items expected to require maintenance, repair, and replacement within the next 10 years;

• the present condition or state of repair of those items;

• the time when those items or components of those items will need to be maintained, repaired, or replaced;

• the estimated cost of the maintenance, repair and replacement of those items or components;

• the expected life of those items or components once maintained, repaired, or replaced; and

• any other information the body corporate considers relevant.

To this end, we advocate the use of a professional company that specialises in the drafting of Building Condition Reports and aligned maintenance plans.

We interviewed several such companies and reviewed the reports issued, pricing models and turn-around times, and settled on one company, which we refer all of our sectional title clients to.

This has worked well, and it assists the trustees in all capital or major maintenance and related budgeting areas.

The MRRP and aligned budget, once drafted, are then circulated to all owners for adoption at the next annual general meeting.

Thereafter, the trustees are in a position to resolve the requisite levies, and undertake the proposed maintenance and or replacement of common property plant, equipment, and facilities.

Although the aforementioned Act was promulgated in 2016, Intersect had applied a similar methodology for years prior, which resultied in minimal impact on most of our clients when the time came to implement the provisions of the Act.

The importance of insurance in Sectional Title and community schemes

One of the most important functions of a body corporate (and property owners association), viz a vie the trustees, is to ensure that the scheme is adequately insured.

So much so, that insurance is specifically referred to in the Sectional Title Schemes Management Act (STSMA), as well as the CSOS regulations and the prescribed management rules, the latter of which determines the extent of the role in more detail.

Sections 3(1) (h) (i) of the STSMA states as follows:

3. (1) A body corporate must perform the functions entrusted to it by or under this Act or the rules, and such functions include—

(h) to insure the building or buildings and keep it or them insured to the replacement value thereof against fire and such other risks as may be prescribed;

(i) to insure against such other risks as the owners may by special resolution determine;

The primary functions of the body corporate are carried out by the trustees, to this end the Act and registered rules prescribe that trustees must, inter alia:

• ensure that the building(s) and equipment be valued, on, at least, a 3-yearly cycle;4

• ensure that the policy be kept up to date;

• ensure that the policy includes cover for specified perils;

• ensure that the policy includes additional items, as may be required from time to time and/or agreed upon at an AGM;

• ensure that the policy includes fidelity insurance, or that a separate policy is in place for same, and;

• ensure that the policy includes public liability and trustee indemnity cover.

Policies are in place for a year at a time and renewed each year. Intersect has always played a crucial role in assisting trustees in this regard, by ensuring that, as best it can, the above is met. Moreover, Intersect assists the trustees, owners, brokers and insurers with regards to common property insurance claims that may arise from time to time.

In order to continue assisting trustees, and to ensure best practice is followed, that all boxes are ticked and that the processes are efficient, we reviewed, in its entirety, the role of insurance, where it pertains to our clients’ schemes. This includes both sectional title and, to a lesser, but equally important, degree, home owners and property owners associations.

Intersect administers many schemes, with a total replacement value in excess of R12bn, spread over several insurers, with several brokers appointed.

When reviewing the insurance role, our goals were as follows:

1. to ensure that all of our clients enjoy the economies of scale that our large portfolio represents;

2. to ensure that every policy not only covers the minimum requirements of the prevailing acts, but also covers perils that we have learned through decades of experience, should be included;

3. to ensure that the processes of both annual renewal, as well as daily claims facilitation, are streamlined and more efficient;

4. to ensure that processes are in place to ensure that our clients’ buildings and equipment are regularly valued.

To this end, we applied some out of the box thinking and approached major property insurers, with a view to achieving the above goals, in the most cost effective and efficient manner.

What we found, specifically with the COVID-19 outbreak and its effect on the global insurance industry, is that even some of the larger insurers have capacity issues and are experiencing re-insurance woes, hitherto not experienced.

After many weeks of negotiations with these insurers, we arrived at the following solution, that will not only achieve the above, but also allow us the additional buying and negotiating power to ensure that our clients’ future needs are looked after.

Our solution is summarized as follows:

1. We appoint a single insurer, to be reviewed on an annual basis;

2. We appoint a single broker, to be reviewed on an annual basis;

3. We adopt a single policy wording, that covers all required and additional perils;

4. We have the rates (which determine the premiums) priced on the gross sums insured, rather than on the individual sums;

5. We review and renew at single, specified, times of the year, i.e. January, for March renewals;

6. We engage with the appointed insurer to ensure cost effective, regular, valuation adjustments;

7. We process all insurance claims through a single broker and streamline the process both in terms of claims facilitation, as well as refunds and payments to and from our trust account;

8. We settle all premiums, on a monthly basis, thereby minimising risk of unpaid premiums and retaining funds in investment for the clients’ benefit, and facilitate this through an additional, separate, trust account, so as to ensure that our clients’ funds are correctly administered and accounted for, reduce related audit time and increase cash flows.

Intersect turns 50!

Intersect Sectional Title Services turns 50 in 2021.

For half a century, Intersect has been providing property management services to sectional title schemes and home owners associations in the Western Cape.

We thank all of our clients for their ongoing support, especially over 2020, which has been a most challenging year for us all.

Here’s to another 50 years of solid property partnerships!

Simplifying sectional title insurance

Intersect has, in collaboration with a leading insurer and insurance intermediary, compiled a comprehensive and tailor-made insurance product for the sectional title schemes it manages.

This product, with industry-leading cover and hugely competitive rates, will ensure that the very important role that trustees are entrusted with, being the insurance of the buildings, fixtures, plant and equipment, will be met with exceptional due diligence and care.

Ensuring that the requisite cover is in place, at the current replacement values, is an incredibly important task, not only to mitigate issues at claims stage, but also to satisfy bondholders and members alike.

Not only has Intersect secured a comprehensive product at exceptional rates, but, in doing so, has also streamlined the renewal, payment and claims processes involved in the insurance of buildings and related covers.

Intersect managed to negotiate cover better than most vanilla, or even specific, building insurance policies and has negotiated rates based on its collective clients’ insurance replacement values, which exceeds R12bn.

Regular, in some instances annual, updated valuations are obtained, to ensure that the replacement values, at any point in time, are adequate, thus mitigating the risk of averages being applied - a requirement of the prevailing acts.

Annual review of the portfolio, including rates, claims and cover, are held every January, with adjustments being made on 1 March each year.

Intersect has been administering community schemes since 1971, and in 2021 will celebrate 50 years of sound property management.

How do body corporates fund maintenance?

In order to fund the maintenance of the buildings and all other parts of the common property, as well as offset all expenses incurred in the day to day running of the scheme, every body corporate is required (S3(1)(a)(b) of the STSMA) to establish and maintain an administrative fund to cover its expenses. Additionally, every body corporate must establish and maintain a reserve fund, and must prepare a 10-year maintenance, repair and replacement plan (MRRP), for this purpose.

The Trustees estimate the body corporate’s expected expenditure from both the administrative and the reserve funds in the form of budgets.

Budgets are considered at each annual general meeting and, once approved by owners, the Trustees resolve the required contributions and the instalments in which they must be paid, as well as the interest rate that will be applied on overdue instalments.

Contributions are then divided amongst owners in accordance with the participation quota (PQ) of each owner’s section.

The PQ, expressed as a percentage to four decimal places (unless the management rules specifically require otherwise, i.e. a notional PQ), is calculated by dividing the floor area of each owner’s section(s) (as reflected on the sectional plan) by the total of all the floor areas of all the sections in the scheme.

The Trustees then instruct Intersect to collect these contributions on their behalf and, at the same time, issue instructions with regards to applying interest on overdue instalments. Should Intersect not be successful in the collection of contributions from an owner, the matter is referred back to the Trustees, pursuant of an instruction to hand the account over to a collection attorney, as Intersect does not act as a debt collector, as defined by the Debt Collector’s Act. All costs incurred in doing so are recovered from the defaulting owner.

POPI Act and community schemes

The Protection of Personal Information Act, No. 4 of 2013 (POPIA) was promulgated on 1 July 2020.

This places an onus on scheme executives, i.e. Trustees, Directors, Employees and Managing Agents, to ensure the protection of the information of the members of the scheme and manage the inflow and outflow of information in a prescribed manner.

The POPIA provides for the appointment of an accountable person, to ensure the above.

Typically, the accountable person will be the Managing Agent (if appointed), as the Managing Agent maintains the schemes’ records, however, Trustees, Directors and employees of the scheme also have access to members information and, naturally, the accountable person cannot control the actions of all these parties.

All relevant POPIA information must be collated and provisions of the POPIA adhered to, within 1 year of the above date.

The types of personal information held by scheme executives includes, inter alia, identity numbers, telephone numbers, physical and postal addresses, and email addresses.

Intersect will not publish or hand out personal information of a member without the member’s permission, unless the Sectional Titles Schemes Management Act or Constitution or Memorandum of Association, whichever is applicable, specifically provides to the contrary, and will strive to ensure that all scheme documents, such as insurance schedules, annual financial statements, minutes etc., keep access to members’ information to a reasonable minimum.

Update on COVID-19 & community schemes

Following the notice of advanced level 3 regulations on 17th June 2020, and the subsequent published amendments, the National Association of Managing Agents (NAMA), of which Intersect is a long standing member, issued the following on its notice board in terms of how these advanced regulations will affect community schemes.

The below summary is taken from the aforementioned notice and not necessarily the opinion of Intersect:

Meetings:

Although meetings are permissible for business purposes, the limitations in numbers and strict adherence to both health protocols and social distancing, make meetings, practically, very difficult.

Meetings, if required, should therefore continue to be held virtually, wherever possible.

Exercising:

People may leave their place of residence for exercise purposes between 06h00 and 18h00, but may not exercise in groups of more than 4 persons.

Visitors and social gatherings:

Social gatherings at ones residence is still prohibited under advanced level 3 regulations.

Visitors should still not be allowed access to the community scheme, for recreational purposes. However, visitors offering care to immediate family members within a community scheme is permitted.

Common property use during lockdown

There has been, and remains to this day, uncertainty around the use of the common property in community schemes during the nationwide lockdown.

To summarize, all community schemes, this includes sectional title schemes and homeowners associations, are subject to, inter alia, the directives issued by the Community Schemes Ombud Service (CSOS), and, in summary, CSOS has directed that all community schemes must adhere to the regulations issued by the South African Government, from time to time.

Therefore, regardless of whether a schemes’ registered rules or constitution or memorandum of incorporation, or even its trustees or directors, states anything to the contrary, all persons using the common property, are subject to the prevailing regulations.

Neither the managing agents nor the trustees and or directors of the scheme may make discretionary decisions that contradict the prevailing regulations, nor may owners, tenants, visitors and or service providers.

COVID-19 - BODY CORPORATE MANAGEMENT UPDATE

Intersect has been in business since 1971 and has overcome the economic hardships and survived several recessions in that time. This latest adversity, being the outbreak of COVID-19, and the devastating effects it has, and continues to have, on our economy, is no different, and we are pleased to report that we are likely to see this one through as well.

In fact, this last month of working from home, and even more remotely assisting our clients, has been quite a positive experience, in that it has highlighted the back-end functions that we provide to our clients, which is really the backbone of the services we provide.

Many of our clients have, as have we, refocused attention on the financial and administrative duties involved in managing community schemes, and this is really where our strength lies.

We are proud to report that our clients were, by and large, unscathed by the lockdown, so far, and this is largely due to the processes and policies we have adopted over the years now bearing fruit.

Sure we are finding the physical property management, specifically repairs and maintenance, challenging, but our Trustees have really stepped up to the plate, and for this we are, as should every owner in every scheme be, truly grateful. In doing so, Trustees (and hopefully owners too) have renewed appreciation for the amount of work that goes into managing property.

At Intersect, this past month allowed for introspection, to getting back to the basics. Our primary role, as property managers in the community schemes arena, is to provide the Trustees with support on financial and administrative fronts. Guiding Trustees to ensure that sound fiscal policies are adopted, reserves are built, levies and contributions collected, and creditors managed, is all part of what we do, and we do this well.

Long before the new Acts kicked in, we advocated long-term budgeting and the building of reserves, which, apart from softening the blow in 2016 when the new provisions were applied, is now bearing fruit.

We have tight fiscal policies in terms of how we deal with our clients funds, requiring, inter alia, Trustees to approve all invoices and requiring creditors to jump through certain hoops in order to get paid, and these are sound principles, that protect both us as company, and our clients alike.

We also spend an inordinate amount of time, guiding our Trustees to ensuring that one of their most fundamental tasks, being insurance, is properly undertaken. We use the strength and size of our book (in excess of R11bn under cover) to ensure that our clients get the best possible cover, for the best possible premium and that all the requirements of the various acts are adequately applied. We can also, based on the size of our book, negotiate best practice service level agreements with affiliates, such as insurance brokers, leading to the expeditious, fair and reasonable satisfaction of claims.

A business’s mettle is tested in times of adversity - we haven’t experienced adversity like this in our company’s lifetime - and we are happy to report that we have come out on top. This is reassurance for our clients - to know that their assets are in good hands and that fiduciary responsibilities are being met.

We take great pride when properties are listed for sale in our portfolio with one of the selling points being “a property within a well-managed scheme, with a strong balance sheet and pleasant living environment”. Ultimately, this is what we are all striving for.

For the next while, and as long as we face lockdown at higher levels, our physical offices will remain closed until further notice or until restrictions are lifted accordingly, however, its business as usual in terms of collections, payments, issuing of management reports and responding to our clients.

We wish all of South Africa all the very best for the duration of the lockdown and subsequent phased-in economic restructuring.

Can trustees reduce levies?

The full effects of the COVID-19 outbreak on the economy is yet to be determined.

Expenses, such as levies, recoveries and contributions (hereinafter referred to as contributions) in community schemes, have come under the spotlight, as requests are being received for cash flow relief, in the form of reduced levies and or levy ‘holidays’.

But can the managing agent or trustees reduce or even reverse contributions.

Well, the answer ito the managing agent is simple - NO, unless the managing agent is appointed in the capacity of an executive managing agent, as the managing agent has no jurisdiction or powers ito determining contributions. The managing agent’s roles is to collect the contributions, as determined by the trustees, following the adopted annual budget.

As for the trustees, its a little more complex. Yes, the trustees do determine the contributions, but they do so based on an annual budget, approved and adopted at a general meeting. Deviating from this should be carefully considered, and changes, if any, communicated to the members, timeously, in terms of either the Constitution, Memorandum & Articles of Association, or Section 5 of the Sectional Titles Schemes Management Act (whichever is applicable).

However, contributions are the lifeblood of the scheme. The trustees would be well advised to carefully review the financial status of the scheme, before making such changes, taking into account reserves, cash flow and upcoming projects or expenses.

Intersect and COVID-19

Following the releases and regulations issued by President Ramaphosa in terms the Coronavirus outbreak, and, in an attempt to protect both our clients and our staff members, Intersect Sectional Title Services has implemented the following measures, with immediate effect:

Office Hours:

Whilst we will continue to maintain our current office hours, we will be operating off site to ensure that essential services are undertaken, whilst, at the same time, limiting the contact between staff and or clients.

Meetings:

Video conferencing meetings may be scheduled, provided all parties to the meeting have access to same, this may be set up with the property manager concerned.

3rd party service providers:

A great deal of our time is spent dealing with 3rd party service providers, such as security, cleaning, hygiene and maintenance companies, and, equally, we will all be at the mercy of whatever measures those companies have put in place to protect their clients and staff, so we ask that all clients be patient and understanding under the circumstances.

Likewise, if your telephone call and or email is not responded to immediately, please be accordingly patient.

Like all companies currently, we regret any inconvenience that this may cause, but in the spirit of containing the spread of the Coronavirus, and in the responsible interests of both our clients and our staff, we believe the above measures to be the least we can do at this uncertain times.

We wish all of our clients all the very best over this trying period and hope that same is short-lived.