18 October 2021
Many people get caught up on the fine details of what it is to be a Trustee and/or Committee Member in a residential estate. Many folks find themselves intimidated by what they perceive to be expected of them.
We like to use the following explanation:
Trustees/Directors/Committee members, regardless of the type of complex you find yourself in, can liken themselves to the Directors of a company who have to answer to their shareholders.
There is no duty to do any of the "work" yoursleves and this is the reason for our existence. We are the managing agents. The only duty that truly exists is that of a fiduciary duty.
A fiduciary duty requires committee mebers to always be acting in the best interests of their estate and/or complex. This may mean taking decisions which are not necessarily popular, such as instituting Special Levies, or raising levies as required by the obligations of the estate/complex, but your decision making must ALWAYS be aimed at the interests of the complex/estate as a whole.
There is no duty to keep levies as cheap as possible, on the contrary, your duty is to ensure that the complex can meet its obligations, which includes maintenance.
Sectional Title Trustees and HOA Directors are often afraid to take decisions due to a lack of knowledge of where their obligation and responsibility begins and ends.
Let us assist you and guide you through your decision making processes and assist you in assessing the risks you face and how best to plan on dealing with them.
For more information please email firstname.lastname@example.org