Management agent issues

zack01

Hi

I don't know if this has been covered here before but basically we're looking for a bit of advice here.
We own a duplex in a 46 unit complex in Dublin, the units are nine years old.
We did have a management company for the first five years who in my opinion ran things well, ie the upkeep of the area etc was up to standard and they held AGM's each year and all residents / owners knew exactly where they stood.
However since 2008 a new management company was hired to replace them, no one knows why , no meeting was called by the Director who i've since found out was given the position by the developers, he went and hired the new management company without informing the residents who should have been notified as we are supposed to members off the management commitee?
The first six months of the new management company's term was fine until the complex started to become shabby and neglected. Myself and several of the residents phoned them up and asked for a meeting to try and find out what exactly was happening, of course no meeting was called and the complex was kept neglected except for a 'gardener' who called every two weeks and in the majority of the residents minds left the place in a worse state not counting the mess his dog left behind him.
Several emails and calls were made to the management company regarding our issues but these fell on deaf ears, the management agent was nowhere to be seen during this time.
I spoke with several of the residents and we decided the only way to make ourselves heard was to withhold payment of our fees.
So for the next three years the majority of residents witheld their fees, last October we all recieved letters informing us that legal action would be taken to recover the fees, we called the number provided and again expressed our views and demanded an EGM, but low and behold these fell on deaf ears again.
Over the last week i took it upon myself to track down the Agent and after finally getting hold of a number for him i called him up.
He told me that the management company was 'let go' last year and that all the residents must cough up their fees.
I explained to him that i have every budget that they issued each year and that absolutely nothing on the budget except for a block insurance was paid, and that if anything else was paid put we would naturally pay up. I even went as far as to tell him that he had no right releasing or retaing a managemnt company without discussing it with the residents. I have since found out that the management company he hired was owned by a friend of his and he had used him on several occasions before in other developements he was an agent off.
Am i right in thinking that tenders should be put out for new companies?
I asked him this and he said letters were sent out to all residents regarding this but again no letters were recieved.
Yesterday i called him to arrange an EGM in the next few weeks as residents are at this stage p***ed off with the whole thing.
So can anyone let me know.
At the AGM can we
Voted him out as Agent for our complex?
Decide wheter we actually need a management company?
What should we do about monies owed? If he hired a company without our approval is he liable?

Sorry for rambling on, i hope it makes sense and if anyone has any advice or has expierienced the same problems please let me know.

Thanks in advance.

Paulw

zack01 wrote: »

He told me that the management company was 'let go' last year and that all the residents must cough up their fees.
I explained to him that i have every budget that they issued each year and that absolutely nothing on the budget except for a block insurance was paid, and that if anything else was paid put we would naturally pay up.

Am i right in thinking that tenders should be put out for new companies?

Yesterday i called him to arrange an EGM in the next few weeks as residents are at this stage p***ed off with the whole thing.
So can anyone let me know.
At the AGM can we
Voted him out as Agent for our complex?
Decide wheter we actually need a management company?
What should we do about monies owed? If he hired a company without our approval is he liable?

It is good practice to tender for a management agent. There is no direct requirement though.

At an AGM, you can elect your own directors. The directors can hire/fire the management agent, depending on what contract is in place with the agent. Some write in clauses for the period of notice, so watch for that.

You need a management company, but may not need a management agent. Note the difference.

All management fees should be paid to the management company, NOT to a management agent.

So, you live in Development X. The management company is usually Development X Management Company Ltd. Your management agent is usually Comapny Y. All bank accounts should be owned by Development X Management Company Ltd. All payments should be made to Development X Management Company Ltd. Company Y, the agent, should only be able to spend money with the consent of the directors. In most cases, only directors of your management company (residents elected to directors) should be able to sign cheques for payments.

You should have audited accounts each year, presented at the AGM. You should also be able to check the bank records.

odds_on

If you haven't got it already, google Management Companies Act 2011 which is downloadable.

markpb

odds_on wrote: »

If you haven't got it already, google Management Companies Act 2011 which is downloadable.

I presume you mean Multi Unit Development Act?

odds_on

markpb wrote: »

I presume you mean Multi Unit Development Act?

Sorry, you're quite right. When I downloaded it, for some reason, I changed the name on my saved copy.