Sectional title ombudsman

Consultants under the leadership of Graham Paddock have been appointed by the Department of Land Affairs to assist in creating new legislation to deal with the administration and management of sectional titles and to provide appropriate dispute resolution structures for sectional titles consumers.

To quote the summary:
"The need has arisen because the DLA exists primarily to deal with registration and survey issues; it does not have the capacity and expertise to deal with the complaints it receives from sectional owners, bodies corporate and professional managers arising from the administration and management of sectional titles schemes.

The dispute resolution mechanisms currently available to sectional titles consumers are ineffective in practice. Access to the courts to resolve sectional titles disputes is too expensive and time-consuming. The arbitration provision inserted in the management rules prescribed under the Act has not provided a viable alternative. There is a recognised need for the creation of a structure to address consumer issues arising from sectional ownership and the provisions of the Act.

In view of its inability to solve consumer related problems, the DLA has decided that it is imperative that legislation be promulgated providing for the establishment of the office of a sectional titles ombudsman."

In short the mandate is to:

• Investigate, consult on and recommend an appropriate dispute resolution system;
• Draft and assist the DLA in the passing of appropriate dispute resolution legislation and the promulgation of appropriate regulations; and
• Draft legislation to remove consumer related aspects from the Act.