In with Property Occupations Act & changes to
OUT WITH PAMDA – IN WITH PROPERTY
OCCUPATIONS ACT
& CHANGES TO LICENSING LAWS
JOHN PUNCH
SHORT PUNCH & GREATORIX
PROPERTY OCCUPATIONS ACT 2014
• Limited changes – with effect from 1 st December 2014
• Eligibility for licences – Automatic licensing for existing licenses
– Body Corporate approval no longer required
– Importance of By-laws
– Requirement to live on-site
– Changed requirements to have an office
• Relationship to contiguous complexes – multiple building licence
– Requirement for licensed person to be in charge
– Licensed Director
PROPERTY OCCUPATIONS ACT 2014 - CONT.
• BCCM Act provisions still apply
• No affect on existing Body Corporate Agreements
• Why have a Letting Agreement with a Body Corporate
– Exclusivity
– Use of common property
• Red Tape requirements removed
– Display of licence
– Indicating auditor in licence application
– Keeping an employee register
FORM OF APPOINTMENT OF
PROPERTY AGENT OR RLA
S.104, 105 & 106 of the Act
• 104 – General Content of Appointment / Form 6
– Statement as to legal advice
– Single or continuing appointment
– Services, fees, charges & commissions/timing
– Expenses to be incurred
– Details of rebates, commission or benefit to the agent
– Conditions, limitations or restrictions
• 105 – Requirement to state Commission payable
– Letting of property or rental
• Expressed as a percentage
– Must only be on actual rental collected
• 106 – Statement that Appointment may be revoked
– By 30 days notice or earlier if agreed
• Regulations require disclosure of conflicts of interest
ASSIGNMENT OF APPOINTMENT
S.113
• If assigned – client continues with the
Assignee, Assignee must give each client written notice
– Within 14 days of assignment – penalty applies
– Details of Assignee in notice satisfying (a) to (d)
REVOCATION OF APPOINTMENT
S.114
• May be revoked by either party – at least 30 days notice. However initial term must be at least 60 days.
• Does not affect existing contracts
(i.e owner/client must honour bookings made)
LETTING AUTHORITIES
• New Form 6 replaces Form 20a
– One form fits all
– Automatic assignment
– Continuation of existing forms 20a as effective
– Termination notice by either party
• 30 days
• Commission Deregulated
See Annexure for terms & conditions
See Annexure
See Annexure
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X
X
See Annexure
See Annexure
