Dáil Éireann Debate, Tuesday - 12 November 2013
334. Deputy Caoimhghín Ó Caoláin asked the Minister for Justice and Equality the legislation which underpins the regulation and governance of housing estate management companies; and if he will make a statement on the matter. [48357/13]
View answerThe position is that the primary purpose of the Multi-Unit Developments Act 2011 is to reform the law relating to the ownership and management of common areas of multi-unit developments and to facilitate the fair, efficient and effective management of owners' management companies (OMCs). These are companies registered under the Companies Act, the members of which are the owners of residential units within the development, which are established for the management of such areas.
Section 2(2) provides that provisions set out in Schedule 2 of the Act will apply to multi-unit developments consisting of houses, whether detached, semi-detached or terraced, but which have an OMC structure. The relevant sections of the Act which apply to such developments are:
Section 4 — Transfer of common areas in cases where section 3 does not apply.
Section 5 — Obligation of developer to transfer ownership of common areas of completed developments to owners’ management company.
Section 6 — Owners’ management company to join in transfer to purchasers.
Section 7 — Obligations to complete development to remain with developer.
Section 8 — Automatic transfer of membership of owners’ management company on sale of unit.
Section 9 — Consequences of transfer of common areas.
Section 11 — Determination of certain beneficial interests on completion of development.
Section 12 — Determination of certain beneficial interests in common areas in certain cases.
Section 17 — Annual meetings and reports of owners’ management companies) — other than —
(a) section 17(2)(c) (unless a sinking fund exists in respect of the development),
(b) section 17(2)(g) (to the extent that provision related to the relevant part of the development), and
(c) section 17(2)(h) .
Section 18 — Annual service charges.
Section 20 — Application of section 19 to certain developments.
Section 21 — Owners’ management company annual charges.
Section 22 — (Recovery of charges and contributions).
Section 24 — Dispute resolution and rehabilitation of multi-unit developments (other than subsections (5)(b)and (5)(h) of that section).
Section 25 — Persons who may apply under section 24.
Section 26 — Jurisdiction and venue of Circuit Court.
Section 27 — Mediation conferences.
Section 28 — Report of chairperson of mediation conference.
Section 29 — Saver for existing jurisdictions.
Section 30 — Restoration of certain companies to register.
Section 31 — Transfer of benefit of guarantees and warranties.
Section 32 — Restriction on entering into certain contracts.
Section 33 — Exercise of power to make regulations.
Schedule 3 — Documentation to be handed over pursuant to section 31(2)
Section 2(2) of the Act was put in place in order to accommodate developments consisting of houses which have an OMC structure in accordance with the planning conditions. I understand that the practice of requiring an OMC structure has, under instructions from the Minister for the Environment, Community and Local Government, ceased. I should add that the taking-in-charge of such housing developments is a matter for the relevant local authority and I am aware that the Department of the Environment, Community and Local Government has issued a guidance document to the local authorities on this matter.
