Appointing a Manager and the Manager's Duties

Is appointing a manager compulsory?

Article 34 is explicit: if the property has eight or more independent units, appointing a manager is compulsory. In buildings with fewer than eight units it is optional, though owners may still appoint one.

The manager is appointed by a majority of the owners both in number and in land share. It may be one of the owners, an outsider, or a professional management company. A three-person board may also be elected.

If the owners cannot agree or fail to convene and appoint, the civil court of peace will appoint a manager on the application of any owner. A court-appointed manager cannot be replaced by the owners’ assembly for six months.

The manager’s principal duties

Article 35 lists them:

1. Carrying out the decisions of the owners’ assembly
2. Taking the measures needed to use, protect and maintain the property for its purpose
3. Insuring the property
4. Collecting and spending advances for common expenses
5. Accepting service of notices concerning the property as a whole
6. Taking steps to prevent the loss of a right through lapse of time
7. Keeping the ledgers and retaining documents
8. Holding collected funds in a bank account opened in the name of the property
9. Convening the owners’ assembly

The manager’s liability is heavy

Under Article 38 the manager is liable to the owners as an agent. That is a serious legal standard: a manager who falls short of the required duty of care can be held personally liable for the resulting loss.

The manager must also account to the owners within the periods set by the management plan or the law. Missing a lift inspection, letting a fire-extinguisher refill lapse or failing to renew the insurance all come back to the manager if an accident follows.

This is the clearest practical benefit of working with a professional management company: the liability passes to an insured legal entity that does this for a living.