Who can be a trustee in a sectional title scheme?

Trustees are appointed by the body corporate. They may be owners or non-owners, provided they meet scheme requirements and are not legally disqualified.

What are the main responsibilities of trustees?

Trustees oversee levy management, maintain common property, enforce rules, ensure legal compliance, and manage scheme finances.

Do trustees have fiduciary duties?

Yes. Trustees must act honestly, in good faith, and in the best interests of all owners. Breaching fiduciary duty can lead to personal liability.

What rights do trustees have?

Trustees have the right to access scheme records, consult with experts, and make decisions necessary for managing the scheme, subject to the body corporate’s approval where required.

How are trustee responsibilities usually divided?

Schemes often allocate portfolios such as Finance, Security, Governance, Maintenance, Utilities, Facilities, and Communication to individual trustees.

Trustee Responsibilities: 4 Essential Duties for Successful Scheme Management

Roles, Rights, and Responsibilities Explained

So what is a trustee, and what exactly are trustee responsibilities?
Trustees are the decision-makers behind every sectional title scheme’s success. But what exactly is a trustee, and what do they do? Whether you’re newly elected or considering this role, understanding the responsibilities and legal framework is essential for effective and compliant scheme management.

Who Can Serve as a Trustee in a Sectional Title Scheme?

Trustees are appointed by the body corporate at the Annual General Meeting. While many are owners, trustees do not need to be owners to serve. Anyone with the skills and willingness to manage the scheme’s affairs can be elected, provided they meet the requirements set by the sectional title scheme rules and are not disqualified under law.

Trustee responsibilities go beyond simply holding the title. They’re entrusted with legal, financial, and operational duties that affect every owner — so the right skills and commitment are non-negotiable. Trustees must act with honesty, care, and diligence. They are expected to manage the scheme’s affairs impartially, avoiding any conflicts of interest or personal gain. These responsibilities form the foundation of good governance in every sectional title scheme.

Trustee Responsibilities in Sectional Title Schemes: An Overview

Trustees are responsible for overseeing the scheme’s financial, operational, and legal matters. Their core duties include:

1. Financial Oversight and Levy Management by Trustees

Approving budgets and levy increases.
Monitoring debt collection, cash flow, and financial reports.
Ensuring appropriate insurance coverage.
Planning for long-term maintenance guided by the Maintenance, Repair and Replacement Plan (also known as the property improvement plan).

2. Overseeing Maintenance and the Maintenance, Repair and Replacement Plan

Oversee the maintenance of common property and shared facilities.
Ensure sufficient budget allocation for maintenance activities.
Review and update the 10-year Maintenance Reserve Plan.
Approve service providers and verify the quality of completed work.

3. Enforcing Sectional Title Scheme Rules and Ensuring Legal Compliance

Enforce the sectional title scheme rules fairly and consistently .
Propose amendments to rules where needed, following legal process.
Ensure compliance with the Protection of Personal Information Act (POPIA), even though this requirement stems from separate data protection legislation, not the STSMA .
Seek sectional title legal advice when facing complex issues.

4. Trustee Governance, Communication, and Owner Engagement

Attend and contribute to trustee meetings.
Keep accurate records of resolutions and decisions.
Communicate transparently with owners while maintaining confidentiality.
Ensure timely reporting and regulatory compliance.

Example Trustee Portfolios: Managing Sectional Title Responsibilities:

In many schemes, trustees are assigned specific portfolios to streamline responsibilities and ensure focused oversight. For example:

Finance Portfolio: Reviews financial reports, works with the managing agent on budgets, and monitors levy collections. Oversees insurance renewals and financial audits.
Security Portfolio: Reviews security reports, ensures access controls are maintained, and liaises with security service providers.
Governance Portfolio: Manages legal compliance, monitors service level agreements (SLAs), and oversees POPIA implementation.
Maintenance Portfolio: Oversees landscaping, gardens, and building maintenance. Reviews the Maintenance Reserve Plan and ensures capital projects stay on track.
Utilities and Telecoms Portfolio: Oversees utility expenses and service providers for electricity, water, DSTV, and internet.
Facilities Portfolio: Ensures facilities like the clubhouse, pool, and laundry are maintained and rules are followed.
Communication and Engagement Portfolio: Manages resident communication and engagement, including newsletters, WhatsApp groups, and orientation sessions.

Across all portfolios, trustees are responsible for reviewing, selecting, and overseeing service providers. This includes verifying vendor compliance, reviewing performance, and approving payments — always within budget and with proper documentation.

Each of these portfolios maps back to the key duties trustees hold — assigning them ensures accountability and clarity

Legal Duties and Fiduciary Obligations of Trustees

Trustees have a fiduciary duty to act in the best interest of all members of the body corporate. Their decisions must be transparent, accountable, and compliant with the Sectional Titles Schemes Management Act (STSMA) and related regulations. Failure to act responsibly may result in personal liability.

Trustees must avoid conflicts of interest, declare any personal or financial interests, and maintain confidentiality, even after their term ends.

Why Trustee Responsibilities Matter in Sectional Title Schemes

Trustees play a critical role in maintaining property value, ensuring financial stability, and fostering a harmonious living environment. With proper support, legal resources, and a commitment to good governance, trustees help sectional title schemes run smoothly.

Final Thoughts

Trustees are more than volunteers — they are the stewards of the scheme’s financial and legal well-being. By embracing their responsibilities, using the property improvement plan, and seeking legal help when needed, trustees can ensure compliance, protect residents’ interests, and create a well-run community.

Get Legal Help and Trustee Support with EstateIQ

Looking for legal support or guidance in your role as trustee? EstateIQ offers digital solutions tailored to sectional title schemes, providing trustees with legal support 24/7.

Find Help for Trustees

Need confidence in your trustee decisions? EstateIQ offers the tools and legal support to help you get it right — request a demo or a 14-day free trial today.”

Visit our website:

www.estateiq.co.za

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Published on the EstateIQ Blog | By Jess Carrington, Trustee & Founder

Jess Carrington is a trustee and founder of EstateIQ, focused on building practical AI tools that support day-to-day estate management and compliance.

Trustee Responsibilities: 4 Critical Duties for Successful Scheme Management

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