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Property Management Companies

Dáil Éireann Debate, Wednesday - 21 October 2020

Wednesday, 21 October 2020

Ceisteanna (213)

Róisín Shortall

Ceist:

213. Deputy Róisín Shortall asked the Minister for Justice if she will provide details of the powers of homeowners and management companies under the provisions of the Multi-Unit Developments Act 2011 and related legislation, in relation to management agencies; and if she will make a statement on the matter. [31924/20]

Amharc ar fhreagra

Freagraí scríofa

The Multi-Unit Developments Act 2011, was enacted with the primary purposes of reforming the law relating to the ownership and management of common areas of multi-unit developments and facilitating the fair, efficient and effective management of owners' management companies (OMCs).  These are companies registered under the Companies Acts, the members of which are the owners of residential units within the development and which are established for the purposes of ownership and management of the common areas.

Under section 43 of the Property Services (Regulation) Act 2011, a person providing a property service, such as a managing agent, must enter into a letter of engagement with a client such as an OMC.  The letter of engagement outlines the service to be provided by the managing agent and must be signed, where the managing agent is a company, by two directors of the managing agent and two directors of the OMC.  Section 17 of the Multi-Unit Developments Act 2011, provides that, as part of the annual report of the OMC, details of contracts entered into by the company must be given to members and the OMC must hold a meeting at least once a year to consider the report.  It is, of course, open to any member of the company to raise any concerns they may have regarding any contract with the OMC or at the annual meeting.

One further aspect to note is that section 32 of the Multi-Unit Developments Act 2011, places restrictions on OMCs entering into long term contracts with providers of goods and services.  An OMC is not permitted to enter into contracts for a period in excess of 3 years.

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