One of the owners at a complex pointed out that fines were illegally being raised on owners’ levy accounts.It was investigated and found that the Body Corporate never amended the Conduct rules to include raising fines.
The PMR state the following about debits to an owner’s account – cannot do it unless it is in terms of the Act or the Rules:
The body corporate must not debit a member’s account with any amount that is not a contribution or a charge levied in terms of the Act or these rules without the member’s consent or the authority of a judgment or order by a judge, adjudicator or arbitrator
The criteria to be met before you can fine someone then being :
- It must be in the rules filed at the Deeds Office (before 7 Oct 2016) or approved by CSOS (after 7 Oct 2016)
- The principle of natural justice must be applied – Let both sides be heard (Audi alteram partem)– the transgressor should be invited to a meeting to state his side of the story before the fine is implemented
- The fines must be reasonable amounts