B. Monthly financial reports. The administrator shall make monthly reports on all transactions that respect the property for the previous month, including a statement and operating balance sheet, detailed lists of receivables and monthly management fees, all presented in the standard format and software of the manager or any other form required by law. The above reports are submitted to the owner no later than 15 days after the end of the previous month. The Administrator also establishes a monthly property management report, which contains a summary of the month`s operating results, recommendations on the physical condition and operation of the property, a timetable for proposed capital improvements for the property, and any other information and analysis that the owner may reasonably require. To protect yourself, you should ensure that there is a “due diligence” clause in the agreement. For example, the manager is not responsible if the recruitment of a third party has been the subject of “due diligence”, even if he has to do his research and he should not hire a contractor with a history of complaints against him. Make sure the administrative agreement has a clear termination or revocation clause. It should indicate why and when the director or management company has the right to terminate the contract and when you, the lessor, have the right to terminate the contract. C. It is not necessary to obtain the consent or authorization of a government authority or other person or entity to allow the party to participate in and comply with this agreement. All company or partnership actions of the party necessary for the approval, implementation and provision of this agreement and the conclusion of this transaction, which is being considered, have been duly taken.
There should also be a list of tasks that need to be completed after the end and the window of opportunity in which it should be completed. For example, the property management company must provide the owner with copies of all leases within 14 days of the termination of the contract; or that all the money owed to one of the parties must be paid within 30 days of the termination of the contract. The administrator and any staff member or independent contractor hired by the manager assumes no liability under this contract, including in the event of a breach of persons or damage to property under the control of the trustee, except in cases of gross negligence or wilful misconduct by the administrator.