DID YOU KNOW? THE ROLE AND RESPONSIBILITIES OF TRUSTEES

One of the most important decisions owners make at an Annual General Meeting (AGM) is the appointment of trustees to act on their behalf for the ensuing body corporate financial year.  By accepting the nomination to stand as a trustee one also needs to be aware that this comes with responsibilities.

A trustee's responsibility extends to the following:

• Financial management
• Maintenance management
• Scheme rules
• Record keeping

A common misconception when a managing agent is appointed by trustees of a community scheme, is that the managing agent assumes the role and takes on the responsibilities of trustees in all matters relating to the scheme. Contrary to this misconception, the managing agent forms an important piece of the puzzle, as service provider to the registered community scheme, taking instructions from the trustees based on decisions / restrictions / limitations (if any) placed on the elected trustees at an AGM of owners. As service providers it is important that the managing agent provides the trustees (and owners) with all financial and other information necessary to equip them to make informed decisions, in the best interest of the relevant scheme.

Well informed and pro-active trustees form the cornerstone of a well-managed scheme, which best serves its member's interests.  Our Steer & Co community schemes division believes in equipping trustees (and owners) with professional advice based on our experience in the property management industry, so that a harmonious and well-managed scheme is achieved.