Management committee

Questions about living in properties with shared/common facilities
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Bart
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Joined: 12 Mar 2013 20:51

Management committee

Post by Bart »

My understanding from the law is that once a building is completed it must be registered with the land registry. Then regulations must be registered with the land registry.However, if no regulations are registered then the standard regulations apply. Standard Regulations specify that the first general meeting of owners be called within 3 months from the date of registration in order to elect a management committee.

We own an apartment on a complex which was completed 3 years ago. We have never had an owners meeting called, never seen a copy of the accounts. We were forced into a maintenance contract with the developer.
If no management committee is in place then do we assume the developer acts as the management committee and has all the obligations that an elected management committee has as specified in the standard regulations?
Nigel Howarth
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Re: Management committee

Post by Nigel Howarth »

Bart wrote:If no management committee is in place then do we assume the developer acts as the management committee and has all the obligations that an elected management committee has as specified in the standard regulations?
Welcome to the forum Bart.

I don't believe that to be the case. The law makes specific reference to a Management Committee and there is no provision that I have seen that states in cases where no management committee has been elected, the developer is obliged to manage the complex.

I suggest that you and your fellow residents form a Management Committee and take matters into your own hands.

I guess you have a copy of the law? If not, you can download a copy in English from http://www.cyprus-property-buyers.com/f ... gs-law.pdf and you'll find a sample set of regulations for a hypothetical Management Committee at http://www.picas-cyprus.com/downloads/S ... ations.pdf

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Bart
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Re: Management committee

Post by Bart »

Thanks Nigel. We formed an owners association some two years ago. We have an elected committee. The problem we have is that the developer refuses to recognise us and in fact now fails to communicate with us in any way. We have requested meetings with them but they simply ignore us, not even giving us the courtesy of a reply.

Do we need to do anything to make ourselves "legal" in any way? The other issue we have is that we only have email contact with approx 50% of the owners as many of the apartments are vacant either due to absentee owners or they remain unsold. The developer refuses to give us details of the owners.
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Re: Management committee

Post by Nigel Howarth »

You need to establish your committee as required by law. Once you have done this the committee can take legal action against any of the non-payers (including the developer) and any action will allow you to claim the legal and other reasonable expenses.

Getting the contact details of the other 50% of the buyers can be difficult. Once you have established a recognised management committee the Land Registry may be willing to give you their details. If not, a lawyer who is known by the Land Registry may be able to get the information for you.

I included a link to the law in my earlier reply - and I suggest you take legal advice to ensure that you comply with the law when you establish your committee.

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Nigel Howarth
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Bart
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Re: Management committee

Post by Bart »

Thanks Nigel, this is very helpful. One final point. To establish our committee I assume we need to register with the land registry? Am I correct?
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Re: Management committee

Post by Nigel Howarth »

Bart wrote:I assume we need to register with the land registry? Am I correct?
This question came up at a recent PICAS meeting and the lawyer on the panel advised that all that is needed is to write to the Director of your District Land Registry advising him/her than a Management Committee has been established.

You need to have a rubber stamp made up with the name of the committee and use it to stamp the letter.

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Bart
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Re: Management committee

Post by Bart »

Sorry Nigel, I know I said that this was the last question. Just one more. In reading the law I see that the director shall have an obligation , if requested by the owners of the units who have applied for registration , to appoint in writing a temporary committee. First of all who is the director ( I assume he is at the land registry). Does this mean that we as owners can request the land registry to set up a committee? Without the need to get 75% of owners to request an AGM in order to set up a committee? I am just trying to establish if we can set up a committee even though we don't have details of 75% of owners and without involving the developer?
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Re: Management committee

Post by Nigel Howarth »

No worries Bart,

The director is the director of the District Lands Office in which the property is situated. I have not heard of a case where the director has appointed a temporary management committee.

You do not need 75% of the owners to set up a committee - if you read through the law it says what to do if people are unable to attend. As for notifying them - a poster on the door and leaflets in their mailboxes will suffice.

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AREonline
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Re: Management committee

Post by AREonline »

Dear Nigel

For the past 12 months our apartment complex has had a volunteer Management Committee in place of which I am the Secretary.

As our Developer pulled out of all Maintenance obligations last summer we appointed a British Property Management Company who are doing a great job. This company setup bank accounts on our behalf so that owners can pay their Communal Charge and additional money into a Contingency fund. However their are owners who refuse to pay their Communal Charges to our Management company stating they have never entered into a contract amongst other reasons.

Our Management company has put the responsibility on the Committee to collect the outstanding monies to pay the charges, however there is the possibility that the owners that are paying their Communal Charge will have to subsidise these non payers in future. This is totally unacceptable.

Where do we stand legally? We are still battling with our developer for Final Completion Certificate and Deeds of which I would like to ask a question under the relevant topic later.

Does the volunteer Committee have to setup and register it own company with a Chairman, Treasurer and Secretary, open our own bank accounts to be able to collect monies from owners and organise accounting, to then be able to take non paying owners to court to recover Communal Charge money? Do we have any powers as a volunteer Committee? Would our Management Company have to take non paying owners to court on the Committee's behalf at present?

Kind Regards
Andrew
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Re: Management committee

Post by Nigel Howarth »

Hi Andrew

As a voluntary committee you have no legal powers to take action against non-payers. I would urge you to set up a 'proper' Management Committee after which you can take action against non-payers.

More information in the law at http://www.cyprus-property-buyers.com/f ... gs-law.pdf (I also suggest you use a lawyer to make absolutely sure the correct procedures are followed).

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Nigel Howarth
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