This agreement is essential to protect you from liability. It also offers a structure for an advantageous partnership between the owner and the property management company. For services considered extra, the agreement should clearly define how these obligations will be charged to you. Is it a flat fee, a percentage fee, or is the fee set on a case-by-case basis before the service is provided? You often have to pay a fee for early termination of the contract. This fee ranges from a few hundred dollars to the payment of all costs that the management company would have accumulated over the remaining term of the contract. To protect yourself, you should ensure that there is a “due diligence” clause in the agreement. For example, the manager is not responsible if the recruitment of a third party has been the subject of “due diligence”, even if he has to do his research and he should not hire a contractor with a history of complaints against him. The conclusion of a land management contract, registered as a land title contract or as another form of legally binding agreement, is an important decision with long-term implications for future development and management of the land. Administration fees are the most common type of fees charged by a property manager.
Keep a close eye on how this tax is broken down. Any agreement should be designed to best match both parties and the property itself. For example, an agreement for a commercial property that houses several companies will require specific consideration for companies located in the building. A residential property may have other considerations. As a general rule, you must terminate between 30 and 90 days in advance to terminate the contract. Make sure that the agreement also stipulates that the property management company must give you at least 30 days at least 30 days in advance if it decides to terminate the contract. Use this contract to define responsibility for the management of the property to avoid any misunderstandings. With excellent communication, there is less chance of arguing unnecessarily and there are more benefits for all residents, because the building is better maintained. The department may give this consent under a delegated authority. It is important that you go to the department as soon as possible to ensure that it is assisted in the development of these land management agreements, throughout the extension of the project and in the ongoing negotiations. There should also be a list of tasks that need to be completed after the end and the window of opportunity in which it should be completed. For example, the property management company must provide the owner with copies of all leases within 14 days of the termination of the contract; or that all the money owed to one of the parties must be paid within 30 days of the termination of the contract.