Report on Multi-Unit Developments - Law Reform Commission

- an obligation to discharge all responsibilities expected as member of
the management company; including payment of building investment
fund contributions and service charges;
- an obligation to obtain the permission of the board of directors of the
management company before making any external and/or structural
alterations to the unit;
- an obligation to keep the management company updated with accurate
contact details;
- an obligation, in the event of being elected as a director of the
company, to discharge all relevant directors‘ duties and act in the best
interests of the company. [Paragraph 4.82]
8.48 The Commission recommends that the Conveyancing Committee of
the Law Society along with other key stakeholders in the multi-unit development
sector may have input into devising a standard set of covenants to be included
in the conveyance of every unit. [Paragraph 4.83]
8.49 The Commission recommends that the powers provided for under
Head 62 of the 2006 General Scheme of the Property Services Regulatory
Authority Bill (concerning the powers of investigation and sanction of the
proposed National Property Services Regulatory Authority) be extended to
situations where advised prices for services provided by property managing
agents are unreasonable. [Paragraph 5.24]
8.50 The Commission recommends that the National Property Services
Regulatory Authority should be empowered to impose sanctions on managing
agents who engage in anti-competitive practices. [Paragraph 5.28]
8.51 The Commission recommends that property managing agents should
be prohibited from exercising the role of secretary in an owners‘ management
company. [Paragraph 5.30]
8.52 The Commission recommends that the National Property Services
Regulatory Authority should develop a model contract and model letter of
engagement concerning the services to be provided by managing agents to
owners‘ management companies. [Paragraph 5.32]
8.53 The Commission recommends a mandatory statutory requirement for
the establishment of a building investment fund for all larger multi-unit
developments, that is, those involving 5 units or more. [Paragraph 6.21]
8.54 The Commission recommends that majority approval of the board of
directors of the owners‘ management company will be necessary for any
expenditure of the building investment fund; and that this should be provided for
in the owners‘ management company model Articles of Association. [Paragraph
6.24]
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