| The Owners Management Company (OMC) estate documentation; Articles of Association, Head Lease etc is compiled at the discretion and direction of the builder/developer and his or her legal team at the outset of construction. Alternatively, if the option to veto exists within the Head Lease you can, under the Multi-Unit Developments (MUD) Act 2011, make an application to the Circuit Court seeking an order for an amendment to the Lease. Some exemptions and waivers to the charge are provided for but none relate to holiday homes, with the possible exception that if the buildings are classified as mobile homes or caravans, they would be deemed exempt. The OMC is the vehicle by which owners have control over the common areas and through which they manage the estate collectively. The existence of any one owner's power to veto the reasonable decisions of the majority means that in the case of your OMC it may not always operate in the best interests of good estate management. Household Charges – Local Government (Household Charge) Act 2011. The Act also strongly advocates the use of mediation in the first instance and the Court may direct the parties to engage in mediation as an alternative dispute-resolution procedure. The current charge is €200 per annum per residence. Readers might like to check the Act, Section 4 (1 – 6) to identify possible exemptions. If the option to veto exists but is contained in the Articles of Association of the OMC rather than in the lease documentation, this can be amended at a general meeting of the owners by a special resolution. Some exemptions and waivers are again provided for in Section 4, but none pertain to holiday homes unless the owner is capable of demonstrating that the subject is a building that is not permanently attached to the ground – a vessel or a vehicle (whether mobile or not). The charge applies, as the Act does not exclude holiday homes in the definition provided for residential property which is not the sole or main residence of the owner, regardless of whether the owner is or isn't resident in the State. As with all statutory provisions, the devil is in the detail and, accordingly, readers should seek professional advice on a case-by-case basis. |
Friday, 13 April 2012
Property clinic
