Whether you are buying a property or selling one, it is vital to plan financially. In particular, work up a cash flow plan before you commit yourself to anything so that you know what you have to pay, and when. You certainly don’t want to be taken by surprise with an unexpected expense.

But who pays what?

We list the most common costs and expenses payable by buyers, and then those payable by sellers. Investigate which of them apply to you then plan your finances accordingly.

 


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July 2022 NEWSLETTER
Buying and Selling Property: Who Pays What Costs?

Whether you are buying a property or selling one, it is vital to plan financially. In particular, work up a cash flow plan before you commit yourself to anything so that you know what you have to pay, and when. You certainly don’t want to be taken by surprise with an unexpected expense.

But who pays what?

We list the most common costs and expenses payable by buyers, and then those payable by sellers. Investigate which of them apply to you then plan your finances accordingly.

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Trusts on Divorce: Are You Stuck with an Ex-Spouse as Trustee?
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Divorce can be a costly and traumatic process, and if you and your ex-spouse are still co-trustees of your family trusts afterwards, you may well find the situation untenable.

A recent High Court fight over a “not the Titanic” divorce saw ex-spouses both applying for the removal of the other as trustee. In deciding the case, the Court addressed questions of a trustee’s duties, whether a trustee must be impartial, and the grounds on which it will remove a trustee.

We’ll close with a piece of advice on how to avoid the situation these ex-spouses found themselves in.

   
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Bodies Corporate: Forcing Access to Units, and Round Robin Resolutions
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What happens when a body corporate, in trying to trace a leak while carrying out its duty to properly manage the sectional title scheme, is refused access by a “recalcitrant” owner?

We address that question with reference to a High Court decision which saw the unit owner in question concede access to the body corporate only at the very last minute, and then try to dodge liability for costs by attacking the validity of the body corporate’s “round robin” resolutions.

We end off with a strong warning from the Court to approach the Community Schemes Ombud with such disputes rather than the High Court wherever possible.

   
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Verbal Agreements – Not Much Good, But Lots of Bad and Ugly
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There is a pervasive myth that in South Africa you can’t be held to a verbal agreement. In fact the opposite is true, and with only a few exceptions contracts do not have to be written down and signed to be fully valid and enforceable. 

We discuss what verbal agreements aren’t binding, the danger of not being careful in agreeing to things orally, and four very good reasons why the “verbal contract” is one to be avoided at all costs. 

We conclude with a note on the concept of contracting electronically - a scenario carrying both risks and benefits.

   
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Website of the Month: Don’t Let Hybrid Work Break Your Company Culture!
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As pandemic restrictions ease around the world, many businesses forced by lockdown to “go remote” are torn between returning to office and keeping everyone working remotely. An increasing number are opting for one or other hybrid model, which can come with major benefits but also major challenges.

One of those challenges is the risk of losing a cohesive company culture built up over years and perhaps decades of in-office teamwork.

Have a read of PwC’s “Three ways to prevent hybrid work from breaking your company culture” here for some ideas on mitigating that risk.

   
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Disclaimer

The information provided herein should not be used or relied on as professional advice. No liability can be accepted for any errors or omissions nor for any loss or damage arising from reliance upon any information herein. Always contact your professional adviser for specific and detailed advice.


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