It is important that both parties are clear about what is stipulated in the treaty. Property managers and homeowners often have a verbal conversation about duties and responsibilities. The treaty replaces everything that has been agreed orally. If you hire a property manager, you should check the management contract carefully. You must ensure that you understand the responsibilities of the administrator, the responsibilities of the owner and make sure that you are protected if the administrator does not meet his obligations. A. Operational budget. At least [number (NUMBER)] days before the start of each [calendar/year, as determined by the owner], the manager establishes and submits to the owner a budget proposal for estimated revenues and expenses for aid, leasing, maintenance, operation and management of the property, including all capital expenditures (the “proposed budget”) for the following year[schedule/tax]; With respect to the proposed budget for the current [schedule/tax] year, the manager reviews and reviews in the [numbers in words (NUMBER) days following the validity date, if necessary, each existing budget or prepares a proposed budget for the property for the current [fiscal calendar/fiscal year] and forwards it to the owner. The owner must approve or reject the proposed budget within 14 days of the administrator submitting the proposed budget to the owner. The Administrator undertakes to make reasonable economic efforts to ensure that the actual costs of operating the property during the period covered by the approved budget do not exceed the amounts set there without reducing the quality of the property`s operation.

The administrator executes the approved budget and is authorized to incur expenses and commitments in the approved budget, without further approval from the owner, unless this applies to the restrictions in this section 4. The director is not authorized to incur expenses or to invoke an obligation for a position (or a group of similar positions) that represents five per cent (5%) the amount provided for this or the same group of similar positions beyond that. or more. Consider defining what a “big complaint” means. For example, a primary complaint could be defined against a dollar amount needed to process the complaint. In general, all that is disputed, the ability of a tenant to enjoy the property, and which could therefore be used as the cause of the failure, should be covered by the definition of the “main complaint”. Responsibility of the director. The owner hereby undertakes to keep the executives free of all claims, expenses, claims, claims and legal actions and to defend against all claims, fees, debts, claims and lawsuits. The landlord agrees to pay the manager`s legal fees as part of the management of the property described here by the manager and any liability in case of injuries on or above the property that may be borne by an employee, tenant or client on the property. The owner undertakes to keep all non-life insurance at risk satisfactorily and prudently and that the administrator be further designated as insured.

The owner must provide the trustee with a copy of this insurance policy for the trustee`s records. F. Taxes.