Validity of Actions – Body Corporate Documents

PMR (Prescribed Management Rule) 10 (1) Stipulates the following regarding Body Corporate Documents:

‘No document signed on behalf of the body corporate is valid and binding unless it is signed on the authority of a trustee resolution by — 

(a) two trustees or the managing agent, in the case of a clearance certificate issued by the body corporate in terms of section 1 5B(3)(0(aa) of the Sectional Titles Act; and

(b) two trustees or one trustee and the managing agent, in the case of any other document’.

It should be noted that actual signatures are required for documents that are to be binding on the Body Corporate. Signatures can be hand-written or digital signatures place on or sent with a digital copy of the respective document.

IMPORTANT TO NOTE:

It is essential to ensure that the required Body Corporate resolutions as per the STSMA (Sectional Title Schemes Management Act) are first obtained before documents are signed by any parties & presented to third parties outside of the Body Corporate. Trustees & Managing Agents must always ensure that the correct & legally required resolutions are obtained from members where necessary.

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