ADVISORY: Highlights of the two relevant laws
The Valuers, Appraisers and Estate Agents Act 1981: Section 21(1) disallows those not registered as valuers or appraisers to practise, carry out the business or take up employment as valuers, appraisers, land economists, property consultants, property managers or their equivalents.
Exempted are owners of any land or building; those who have any interest therein who manage such land, building and interest; and registered estate agents authorised by the BVAEA to carry out property management.
The Building and Common Property (Maintenance and Management) Act 2007: Sections 26, 27 and 28 bar people having professional or pecuniary interest in any building or land intended for subdivision into parcels from being appointed as managing agents.
Such people include those responsible for the design or construction of the building; whose nominees or employees have any material interest in the building or land; and those who are partners or in the employ of people with material interest in the building or land.
Managing agents have to lodge a bond with the COB for the specified amount given by a bank, finance company or insurer that binds these agencies to make good any loss caused by the managing agents as a result of their failure to account for monies received or held.
Strata Management Bill 2012: This Bill has just been tabled in Parliament for first reading on Monday, 24 September and is due for second reading and debate in Parliament. This new Bill is envisaged to repeal BCPA and bring all issues related to management and maintenance referred to in the STA into the wholesome Strata Management Act 2012.