Must the conduct rules of a HOA be registered and where . How can it be confirnmed that a HOA has registered the rules
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This legal entity is usually established in one of two ways: either as a non-profit company in terms of section 21 of the Companies Act, or as a common law association.The non-profit HOA company is constituted and registered like any other non-profit company; there are no special requirements for its registration simply because it will serve as the management body of an HOA. Common law HOAs are established when two or more people formally agree that it be established. There are no registration formalities; its terms are laid out in its constitution, which is signed by its founding members.
then purchaser buy from the developer and the process is the transfer of the individual properties from the developer to the new owners and the registration of the title deed conditions that are necessary to bind those owners to the HOA. These conditions make the owners members of the HOA and they are therefore liable for levies and must also obey the rules of the association.
The conduct rules are normally in one of three place
1) if company in the memorandum of agreement that is registered at the register of deeds. and as explained not necessary to have registered but a safe way if you where a developer. NO law that forces them to do it.
2) title deed of the owner. THe title deed may refer to the agreement and its rules or be the rules. Again it is in terms of the contract that is signed by the prospective owner. The title deed normally refers to the levies and conduct rules.
SO no the conduct rules do not need to be registered.
I trust the answer was helpfull.
BProc, LLB and MBA
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