ARTICLE · 15 JUNE 2010

Consumer Protection Act - Home Owners Associations Beware!

AMC HUNTER INC

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In terms of the Consumer Protection Act which will become law in October this year, Home Owners Associations will also be regarded as ‘suppliers’ of services and thus home owners as their consumers, can exercise their consumer rights against such HOA.

South AfricaReal Estate and Construction

Karien Hunter

In terms of the Consumer Protection Act which will become law in October this year, Home Owners Associations will also be regarded as 'suppliers' of services and thus home owners as their consumers, can exercise their consumer rights against such HOA.

In practical terms this will mean that Home Owners Associations will no longer be able to be prescriptive to home owners with regard to the appointment of contractors or agents that would be allowed to work on an estate.

In terms of the Consumer Protection Act the consumer has a right to choose whom they wish to associate or contract with, and a supplier will infringe this right should such supplier prescribe that the consumer may only deal with certain contractors or estate agents, (the so-called 'accredited agencies'), to the exclusion of other registered estate agencies.

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