XN000022-1989-01-20 — Page 4

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FRIDAY, JANUARY 20, 1989

"THEY WERE AIMED AT STRIKING A FAIR BALANCE BETWEEN THE OF DEVELOPERS AND THOSE OF THE PURCHASERS, MR LEUNG SAID.

...

AS FROM DECEMBER 1, 1987, SOLICITORS HAVE GUIDELINES IN DRAWING UP NEW DMC'S.

RIGHTS

HAD TO FOLLOW THE

THE AS FOR DMC'S ENTERED INTO BEFORE THAT DATE, NOW SUGGESTS THAT OWNERS OF ALL RESIDENTIAL FLATS CURRENTLY UNFAIR AND OPPRESSIVE CLAUSES BE INTRODUCTION MODELLED ON THE EXISTING GUIDELINES.

LEGISLATION OF

WORKING

CONTAINING

GRANTED RELIEF THROUGH

OF FAIR A CODE

GROUP BOUND BY THE CLAUSES

FOR, AMONG

THINGS, OTHER

TWO YEARS

A

THE PROPOSED CODE PROVIDES PROCEDURE FOR THE TERMINATION OF A MANAGER'S SERVICE AFTER FROM THE COMING INTO FORCE OF THE ENABLING LEGISLATION.

IT ALSO PROVIDES FOR A FAIR WAY OF SHARING MANAGEMENT EXPENSES, OF ANNUAL BUDGETS THE KEEPING OF FINANCIAL ACCOUNTS AND PREPARATION

INTERPRETATION AS WELL AS THE USE OF BY THE MANAGER, A DETAILED COMMON PARTS.

WOULD PROVIDE

THAT

THE TO

EXTENT

THAT

SUPERSEDED, SPELT OUT IN THE

"THE LEGISLATION EXISTING DMC PROVISIONS CONTRAVENE THE CODE, THEY WILL BE AND THAT TO THE EXTENT THAT THEY OMIT OBLIGATIONS CODE, THEY ARE TO BE SUPPLEMENTED ACCORDINGLY," MR LEUNG SAID.

"THE

WORKING

GROUP DOES

CONSIDER

THIS WOULD

NOT

THAT WITH PRIVATE CONTRACTUAL CONSTITUTE AN UNJUSTIFIABLE INTERFERENCE

FREEDOM TO NEGOTIATE THE RIGHTS BECAUSE OF THE ABSENCE OF ANY REAL TERMS OF THE DMC'S IN THE FIRST INSTANCE," HE SAID,

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FOR

NOT CONSIDER THAT FOR THE SAME REASON, THE WORKING GROUP DID

ANY JUSTIFIABLE CLAIMS THIS PROPOSED RELIEF WOULD GIVE RISE TO COMPENSATION, HE ADDED.

MAJOR DEFICIENCY IN

RIGHTS

SOME FOR POWER

THE WORKING GROUP CONSIDERS THAT A EXISTING DMC'S IS THAT DEVELOPERS OFTEN RESERVE EXCESSIVE THEMSELVES. THESE INCLUDE THE RIGHT TO USE COMMON AREAS AND THE TO APPOINT MANAGERS OF THE BUILDING.

OTHER MAJOR DEFICIENCIES INCLUDE UNFAIR AND MANAGERS BEING GIVEN OVERWHELMING POWERS.

RECOVERY OF EXPENSES

THE CONSULTATIVE PAPER WHICH GIVES THE BACKGROUND TO THE AND DETAILS OF THE PROPOSALS WILL BE ISSUED SHORTLY.

ISSUE

COMMITTEE ADVISORY

ON THE VIEWS OF THE NEWLY FORMED BUILDING MANAGEMENT, DISTRICT BOARDS AND OTHER INTERESTED BODIES AS THE LEGAL PROFESSIONS, PROFESSIONAL BUILDING MANAGEMENT INSTITUTES, THE REAL ESTATE DEVELOPERS' ASSOCIATIONS WILL BE SOUGHT.

PRIVATE SUCH

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