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With a growing percentage of South African homeowners now living in community housing schemes, the ability to resolve disputes constructively has become a vital [part of protecting both lifestyle and property value.
That’s the word from Andrew Schaefer, MD of leading property management company Trafalgar, who notes that an estimated 44% of all property purchases are now taking place in sectional title (ST) developments and residential estates, which all bring residents with a wide variety of expectations, personalities, and lifestyles into close proximity.
“Differences of opinion and outlook are thus to be expected, but when trustees or directors know how to deal with these calmly and efficiently, it can make all the difference between a thriving community and a toxic living environment.”
The worst thing that trustees or directors can do, he says, is to ignore any disagreements between residents in the hope that they will somehow resolve themselves. “Even minor issues can rapidly spiral into formal complaints, hostile exchanges between owners, and threats of legal action if they’re not addressed, with the most common sources of friction being noise, parking, pets, and maintenance.
“On the other hand, early interventions such as mediated discussions and even just clear reminders about conduct rules often result in problems being resolved quickly and even amicably. It also really helps when trustees and directors can call on a professional managing agent for help in following the correct dispute resolution procedures.”
Schaefer recommends that trustees and directors apply four key principles for managing disputes effectively:
- Ensure that their scheme has conduct rules in place that have been modernised and customised to provide clear and specific guidelines for their community, and then approved and certified by the Community Schemes Ombud Service (CSOS). Many schemes are still using outdated or standard rules that are not well aligned to current social practices and issues, or amended rules that have not been approved and are thus not enforceable.
- Stay neutral and objective. Emotional or biased responses are likely to inflame tensions.
- Establish the full facts. Understanding both sides of any dispute is essential before taking any action to resolve it.
- Always follow the correct procedures. When the conduct rules of the ST scheme or estate are applied consistently to everyone, it builds trust and credibility.
“Clear communication is, of course, also essential. Requiring complaints to be submitted in writing and ensuring that meetings between the contending parties are well-managed and respectful helps to reduce misunderstandings and prevent emotional outbursts,” he says.
“However, some disputes just cannot be resolved internally, and at that point, the best course of action is to turn to CSOS to provide an independent, cost-effective solution.”
CSOS offers formal dispute resolution through conciliation and adjudication, giving owners, trustees, and directors access to a structured process without the costs, complexities, and long delays associated with Court proceedings. CSOS is also steadily increasing its adjudicator capacity to make this process even more efficient.
Schaefer says matters that CSOS typically deals with include noise and behavioural disputes, governance and conduct rule issues, levy and financial disagreements, and challenges to decisions taken by trustees or directors – and that the service has become an “essential resource” for community housing schemes.
“It provides a truly impartial platform where disputes can be resolved with clarity and finality, which is critical for maintaining stability and preserving property values within those schemes.”
In summary, he says, healthy schemes are those where disputes are not ignored but acknowledged as soon as they arise, and then handled swiftly, professionally, and with transparency.