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STRATA MANAGEMENT PART 2-2, STRATA MANAGEMENT PART 2-3 - Coggle Diagram

- - - - Strata developments of more than one use type e.g. residential lots and non residential lots
        
        Examples
        
        Sunplaza,
        
        Northpoint City
        
        and NEWest
      - ❖ Single use developments where buildings are substantially different e.g. high rise apartment blocks and walk-up apartment blocks
      - Two types
        
        More than 1 use type
        
        First tier
        
        Common properties which are used by all SPs
        
        Second tier
        
        Limited common property (LCP)
        
        Residential (swimming pool, BBQ pit etc.)
        
        Retail (escalator, central air-con etc.)
        
        single use type
        
        Second tier
        
        Limited common property (LCP)
        
        High rise (Lifts)
        
        Low rise (pitched roofs)
        
        Layouts and boundaries of common properties and LCP clearly distinguished on the strata title plan
        SPs have to contribute to the
        management fund & sinking fund of both MC & sub-MC they belong to
        
        Managed by Sub-MCs
        
        First tier
        
        Common properties which are used by all SPs
    - - 1) which can sue, be sued
      - 2) can make and break contracts in their own name
    - - 1.Record keeping requirement
        (for at least 5 years)
        
        Accounting records, financial statements, and other documentation
        
        • Records of any letters received or court orders served
        
        • All drawings, papers, and materials received from all parties were described and filed.
      - 2.Compliance with auditing
        requirements
        
        ensure yearly audit checks are carried out along with the reports
      - Prepare and maintain Strata Roll
        
        Information inside the Strata Roll:
        
        Share value of each lot
        
        Name & addresses of each SP
        
        Name of the Nominee
        
        Discharge, transfer, assignment or submortgage
        
        Entry into possession
        
        Updated address
      - 3.Financial management &
        accounting
        
        Collection and apportion of maintenance contributions into Management Fund & Sinking Fund
        
        • Preparation of financial statement regularly
        
        • Safe keeping of documents
        
        • Grant rebates in maintenance contribution
      - 4. Convene meetings & keep
        records in connection
        
        Prepare Agenda, give required Notice, Minutes taking with details of any motions passed
        
        • Keep records & copies of all correspondences received & sent (for minimum 5 years)
      - 16. Management & maintenance
        
        HR hiring staff
        
        • outsourcing services & works and contracts administration
        
        • Development of SOPs for operational management administration
      - Effect insurance
        
        Damage to property
        
        Fire, lightning and other specified occurrences
        
        Public liability and workmen compensation
      - 9.Make, amend, add or
        repeal by-laws
        
        Not later than 45 days following the date of the AGM, lodge all new, revised, and/or repealed bylaws with the COB.
      - 10.Enforce By Laws
        
        Issue Notice of Non Compliance
        Represent MC in application to court for
        
        Order to enforce performance/restrain breach of by law
        
        Recover Damages for loss or injury to persons or property arising out of breach
      - 12.Display / supply of by-laws
        
        Make available for viewing, free of charge, the
        prescribed by-laws & any by-laws made by MC
        
        Notice board
        
        Apply for viewing at the MC office
        
        Receipt of an application made by a SP handwritten / authorized person to apply on behalf of the SP for a copy of the by-laws
      - Provision of information
        
        information on transactions at each AGM To all SPs & other stakeholders
      - Terminate MC
        
        In the event of a successful Collective Sale like a en bloc sale, the need to pass a Resolution by Consensus to terminate the strata scheme has been waived through Ordinary Resolution
      - 13.Handle Complaints/ feedbacks/ disputes
        
        Establish procedures for:
        
        Documenting complaint/ feedback/ disputes, follow up and closure done
        
        Dispute resolution mechanisms
        
        Feedback mechanism for MC Council meetings
        
        Investigation procedures for inter-floor leaks and other related SP issues
        
        Assisting MC or SP to file action ( if required ) with Strata Titles Boards
      - 11.Improvements and
        Additions to Lots
        
        Strictly only allowed by MCs
        
        interfere with the aesthetics of any of the buildings listed in the strata title plan
        
        affect any structure included in the strata title plan's structural integrity
        
        influence how a building's exterior looks
        
        MC is satisfied with any improvements that have been carried out
        
        By written notice of the lot sent over to SP at the time requiring SP to do and finish, at his own expense, rectification works
        
        In the event that the SP is unable to complete the rectification works, do so and recover the expense from the SP.
      - 15.Defects Management
        
        Act on behalf of SPs on defects in common property
        
        Authorised by Ordinary Resolution, MC may represent SP in proceedings to:
        
        Appoint consultants to determine extent of defects
        
        Obtain Legal opinion and to represent MC
        
        Approve a Budget for expenses involved
        
        Empower MC Council to negotiate, accept & agree on terms of settlement
      - 14.Receive Summons/ legal process/ other documents served
        
        Summons / legal process may be served on a MC by leaving it with Chairperson or secretary of MC or with any member of council
        
        All other documents may be served by:
        
        Leaving with the Chairperson or Secretary of the MC or
        with any member of the Council
        
        Sending by registered post to MC at address recorded on portfolio of land-register comprising common property
        
        Email to previous email address sent to sender by (Sub)MC
    - - Existing provision/guidelines under the Land Titles (Strata) Act states that Single management corporation (MC)
        
        One MC for all strata developments
        
        regardless of whether the strata
        
        developments are of single use or mixeduse types.
      - Amendments under BMSMA states that a 2-tier MC System
        
        A top tier MC to take care of the common property such as carparks, drive way etc. Used by all SP in the development.
        
        lower tier of sub-MC to take care of their respective limited common property like mixed-used development, the residential sub-MC would take care of the swimming pool where the commercial sub-MC can take care of the central air-conditioning of the shops
- - - - Plan & Distribute minutes of meetings
        Submit a motion for confirmation of min. at next meeting
        Give required notices under BMSMA
        Maintain Strata roll
        Facilitate Inspection of MC's documents by a person
        Answering Correspondences
        Convene Meetings of Council and AGMS
        Attend to Administrative or secretariat Functions
        ( secretariat = a permanent administrative office or department, especially a governmental one.)
    - - Notifies SPs of any levies under BMSMA
        Issues receipts for payment received
        Bank Related matters
        Accounting for any money paid to MC
        Prepare financial certificate under BMSMA
        Keeps accounting records and prepares financial statements
        Cannot remain in office for more than 2 consecutive terms
    - - Preside at Council Meetings, AGM, EOGM
        Ensure meeting is conducted properly
        Authority to rule person out of order at meeting
        Authority to rule whether a particular motion is in order
        Authority to declare results of voting
        In tie, Chairperson cannot break tie with second vote
    - - Act Honestly and use reasonable diligence in discharge of duties
        disclose interest in contracts and declare any conflict of interest
        Not to abuse position to gain, directly and indirectly, an advantage for themselves or cause detriment to MC
  - - - When lot is sold
        A nominee of an SP ceases to be an SP
        On written notification to MC Council by the nominator on change of nominee
        Failure to attend 3 consecutive Council Meetings without prior permission
        Submission of written resignation
        Election of new MC council at new AGM
        Removal at EOGM
        Member dies or becomes mentally disordered
        Conviction on or after 1 April 2005, by a Singapore court or elsewhere of a Fraud or dishonesty offence
        Automatic Vacation regardless of whether a new MC Council is elected
    - - Vacation of an office bearer prior to an AGM:
        :check: MC Council may appoint an eligible person to fill vacancy for the balance of the term at Council Meeting
        Alternatively convene an EOGM for that Purpose
  - - - How?
        
        Original Resolution at Annual general meetings
        
        Misconduct, neglect of duty, incapacity / failure to carry out duties satisfactorily
        
        Removal by MC Council
        
        When maintenance contributions are in arrears for more than 3 months
        
        Failure to attend 3 consecutive Council meetings without permission
    - - Appointed at AGM?
        
        Removed at Extra Ordinary General Body Meeting (EOGM)
      - Appointed at Council meetings?
        
        Removed at Council meeting
- - - - Professional Liability Insurance, a.k.a. Errors & Omissions is a
      - form of liability insurance which helps protect professional advice and
      - service providing individuals and companies from bearing the full cost
      - of defending against a negligence claim made by a client, and
      - damages awarded in such a civil lawsuit
- - - - pay maintenance contributions imposed by MCs for maintenance and management of common property
      - Late payment: Interest charge & Written demand given to SP
      - Payment failure (after 14 days):
        
        SPs are held liable to an offence, subjecting them to a fine
        
        MC is able to recover the unpaid contributions as debt through Small Claim Tribunal or Court
        
        Charge registered against the strata lot by the MC
        
        Unpaid contributions can also be recovered through force of sale of a unit
        
        b) A special resolution must be passed to be able to sell the unit
        
        c) A notice of the sale must be published in one or more authorized daily publications.
        
        a) Charge must be registered with the Registrar of Titles
        
        d) If no legal action is taken to prevent the sale after six weeks, the MC may sell the unit.
    - - Exterior features include operable-openable window
      - To maintain these features so that it will not cause injury to others and there is no damage to property
      - Servicing pipes that serve solely on the lot
    - - Unless proven otherwise, upper floor unit owners are presumed liable for inter-floor leaks
      - Both upper and lower floor units investigate the cause of leak &
        proceed with any repairs together
    - - Failure to comply
        
        Required works to be carried out may be arranged by the MC
        
        Recovery of costs incurred as a debt owed to MC by SP
    - - Improvement and additional works to the lot which may result in an increase in total gross floor area (GFA) of
        entire development cannot be carried out by SPs
        
        SPs need to apply to MC and obtain a 90% resolution from general body
        
        Dependent on the nature of the improvement works, consent may be needed to be obtained from other approving authorities
        such as URA, BCA, etc
    - - Update their contact with MC
      - MC must receive written notice of the transfer from SP no later than 10 days after the completion of the transfer of ownership.
    - - cannot be prohibited from installing safety equipment
        
        A common feature would be
        
        A window grille or screen
        
        A balustrade, railing or fence
        
        Devices capable of restricting the opening of a window or door or an opening which is outdoor facing:
        
        ❑ Any screen or other device to prevent entry of animals or insects on the lot
        
        Any intruder alarm or monitoring systems
        
        Any lock or other security mechanism that is designed to protect occupiers of the lot against intruders to the lot
      - Responsibility of SPs
        
        to repair any damage caused to any part of the common property by installation
        
        Make sure that any such structure or equipment installed has no impact on the uniformity of the appearance of the building.
- - - - person who leases the unit from
        the SP (Tenant)
    - - stays in the development but
        may not be the Lessee
    - - Lender- give loans & takes mortgages
      - Mortgagee in Possession (MIP) -
        Example: SP mortgages their unit to Bank ABC. ABC becomes the MIP when SP defaults in mortgage repayment
  - - - Understand & observe the by-laws of the MC
      - • Ensure use of the lot in a manner that does not interfere with any support or shelter provided in that lot for other areas in the development, the passage or provision of water, sewerage, drainage, gas, electricity, garbage, artificially heated or cooled air & other services (including telephone, radio & television services)
      - • Use or enjoy the lot or common property in such a manner that does not cause a nuisance or hazard to occupiers of other lots