Ombud explains sectional title levy and what it's used for

Community Schemes Ombud Service of South Africa deals with complaints from residents of communally owned properties, including sectional title schemes and homeowners’ associations.

Residents can complain if they believe their complexes are being mismanaged or if they have a dispute with another resident. The levy charged pays for these disputes and the legal costs.

Following various emails from 702 listeners complaining about the levy, Chief Ombudsman, Themba Mthwethwa, explained why this levy is necessary.

It's a very minimal amount. Even if you have so much that you pay, the maximum that you pay is R40.

Themba Mthethwa, Chief Ombudsman of the Community Schemes Ombud Service of South Africa

We started taking matters as from October 2014. We received about 600 complaints, half of those were resolved through conciliation where you don't pay anything.

Themba Mthethwa, Chief Ombudsman of the Community Schemes Ombud Service of South Africa

Mthethwa explains that people do not have an option to pay or not. The payment of this levy has been legislated.

Everyone who lives in these community schemes have to pay.

Themba Mthethwa, Chief Ombudsman of the Community Schemes Ombud Service of South Africa

He says people cannot be reimbursed if there are no disputes in their complex after a certain time.

We have to monitor the community schemes to protect the public, to ensure that their investments are protected.

Themba Mthethwa, Chief Ombudsman of the Community Schemes Ombud Service of South Africa

This thing goes further than dispute resolution only.

Themba Mthethwa, Chief Ombudsman of the Community Schemes Ombud Service of South Africa

Listen to the full interview below for more information...

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