New CSOS (Community Scheme Ombud Scheme) Services Directive - Issued 18 July 2025
- In July 2025, CSOS issued a consolidated directive which now binds any and all forms of community schemes. Herewith a summary of the Practice Directive. The purpose of this Practice Directive is to serve as single source of reference to the prescribed practice issued by CSOS:
a. It replaces all previous directives. Any conflicting statements or procedures from earlier documents are now considered void.
b. “Community Scheme” means any scheme or arrangement in terms of which there is shared use of and responsibility for parts of land and building, including but not limited to a sectional titles scheme, a share block company, a home or property owner’s association, however constituted, and established to administer a property development. It also includes housing schemes for retired persons.
c. All community Schemes must register with CSOS and are bound to these directives
- DISPUTES
a. Parties shall first exhaust all internal dispute resolution mechanisms available in terms of their Community Scheme rules prior to approaching the CSOS.
b. Only after such internal processes have been fully utilised and no resolution has been reached, with evidence of such attempts, may any party initiate proceedings with CSOS unless the matter is urgent and where a party seeks urgent interim relief which is necessary to prevent irreparable harm.
- INSPECTIONS
a. CSOS may visit any scheme to inspect compliance with this directive, and where lacking, may institute prosecutorial steps if found to be non compliant, and if they do not comply with CSOS proposals to address the issues.
b.The following conduct constitutes non-compliance in terms of the CSOS Act, namely:
- Failure to provide access to any books, accounts, documents, or assets when required to do so under the CSOS Act;
- Failure to comply with a directive(notice) issued under the CSOS Act;
- Failure or refusal to give access data or information, or giving of false, misleading data or information when required to do so; or
- Intentionally refuses to perform a duty or obstructs any person in the exercise of a power or performance of a duty in terms of this Act
c. Persons found guilty of any of the above conduct will be liable on conviction to a fine or imprisonment for a period not exceeding five years or to both a fine and such imprisonment.
b. Where a person is found guilty of a second or subsequent conviction for an offence contemplated under clause (e) above, he or she is liable to a fine or imprisonment for a period not exceeding 10 (ten) years or to both a fine and such imprisonment.
- STATE OF EMERGENCY
a. The directives also regulate the use of common property during a state of emergency.
- UNHAPPY WITH THE OUTCOME OF A PROPOSED RESOLUTION?
a. Any member of a scheme who seeks to obtain a special or unanimous resolution but fails to do so, may, within 90 days of failing, apply to the Chief Ombud to overrule this.
b. The application to the Chief Ombud must be made as a last resort after all the internal processes have been exhausted.
c. The application must be fully supported by the application that was voted on, minutes of such meeting and all relevant facts.
d. In the assessment process, the below-stated factors shall be taken into consideration: -
- The provision of the STSM Act and its regulations;
- The reasons submitted by members who voted against the resolution;
- The objective and purpose of the resolution; or
- Whether the resolution will enhance the living conditions of the members residing in the scheme or promote proper governance in the Community Scheme.
e. Within 30 days the Ombud must notify all persons having an interest in the application.
f. They will have 21 business days to respond. Thereafter the ombud must make a ruling within 30 business days.
g. Anyone unhappy with a decision may take it onto review to the High Court.
- CHANGES TO ANY RULES
a. Any changes may not be contrary to the Constitution of SA, the CSOS Act, STSM Act, the prescribed management and conduct rules, any other applicable legislation and relevant by-laws.
b. In addition, any amendment of the rules shall not be approved by the Chief Ombud if the Chief Ombud believes they are not reasonable and appropriate for the Community Scheme.
c. The Ombud will examine the proposed amendment and if he feels it is unreasonable, inappropriate or contravenes any legislation, he must refer it back to the Community Scheme.
d. To ensure uniform application, CSOS has identified the following as undesirable rules and are relevant for quality assurance purposes.
- A rule stipulating that any dispute in relation to PMR and/or PCR between the body corporate and an owner, or between owners must be determined by private arbitration.
Such a rule is undesirable because management rule 71 of the STA has been repealed, and the CSOS Act provides for the procedure for dispute resolution including adjudication.
- A rule that imposes penalties arbitrarily without notice/warning.
The trustees do not have any power to decide on fines and penalties on their own or take any action against an owner or occupier – a fair and equitable procedure must be followed. Fines may only be imposed after due notice and a chance to respond AND provided the rules expressly allow for this.
Fines and/or penalties may not be more than the applicable monthly levy of the unit concerned.
- A rule that when a tenant or occupier amends their personal insurance policy (over their own movable property), the trustees should be notified.
- English is the only language to be used in communication with members and during meetings.
- Any owner who wishes to use an EU for a purpose other than what it was designed for may only do so if all owners have agreed in writing, eg; If you want to use your parking bay for basket-ball practice
- ELECTION OF TRUSTEES
a. Tenants may be nominated as trustees and the rules may not prohibit this.
- INTEREST ON ARREARS AND VOTING RIGHTS
a. Interest can be charged at the discretion of the trustees to a maximum of 24% per annum capitalised monthly in arrears. The interest rate must not exceed the maximum rate of interest payable per annum under the NCA from time to time.
b. Rules that seek to charge a member more than maximum rate of interest payable per annum under the NCA is undesirable.
c. The fact that you are in arrears with your levies may not prohibit you from voting unless you have failed to comply with a court order/adjudication award.
d. A member’s entitlement to vote on ordinary resolutions (not special and unanimous resolutions) can only be restricted if that particular member fails or refuses to pay the body corporate any amount due after a court or adjudicator has given a judgement or order for payment of that amount or that member persists in the breach of any of the conduct rules of the scheme after a court or an adjudicator has ordered that member to refrain from breaching such rule.
- DOMESTIC WORKERS
a. Rules that domestic workers are not allowed to receive visitors or talk to one another on common property or walk around the common property without a name tag or pass, trustees may refuse a domestic worker entry to the common property if found undesirable.
- TOWING OF VEHICLES
a. It is an undesirable rule to stipulate in the rules that a vehicle will be towed. Only a penalty may be imposed and the wheels may be clamped.
- SLAUGHTERING OF ANIMALS
a. The slaughtering of animals for cultural or religious purposes cannot be prohibited.
HOWEVER
- Conditions for slaughter may be imposed, for example:
At least 2 (two) weeks’ written notice of the intended religious or cultural event requiring such ritual slaughter shall be given to the trustees for approval;
The date and time of the proposed slaughtering;
The type of animal to be slaughtered;
The name and qualification of the person registered by the relevant authority to perform the religious or cultural slaughtering;
Confirmation that the animal will be brought onto the premises immediately
Prior to the ritual or cultural slaughtering and that all remains of the animal will be removed immediately from the premises after the act of ritual or cultural slaughtering;
A notice from the local authority must accompany the notice confirming that all by-laws with regards to the ritual or cultural slaughter have been/will be complied with;
A certificate from the Society for the Prevention of Cruelty towards Animals (SPCA) must accompany the above notice confirming that an official from the SPCA will be present at the proposed event to ensure that the animal to be slaughtered will not endure unnecessary pain and suffering during such slaughter;
Notice must be given to the Executive Committee Members.
The Executive Committee Members will provide notice to all adjacent units of the date and time of the proposed slaughter and proof of the receipt of such notice by the owner/tenant responsible for the unit must be timeously submitted to the Executive Committee Members;
Failure to comply with the requirements set out as per above will entitle the body corporate to prevent the act of ritual or cultural slaughtering from taking place on the premises or penalising the owner with a fine.
- PROPERTY PRACTITIONERS/DISCONNECTION
a. Any rule that only a certain property practitioner may let or sell a unit is not allowed.
b. Any rule that seeks to restrict and/or disconnect water and/or electricity supply to members due to non-payment of levies is not undesirable.
c. Due process must be followed by the Body Corporate prior to the discontinuation of utilities. The Body Corporate must approach the court to gain the necessary authority to disconnect utilities. Such recovery procedure should not involve self-help mechanisms where the Body Corporate disconnect the electricity without a notice and a court order.
- ALTERATIONS
a. A unit owner is at liberty to make any alteration to the inside of his/her section provided that such alteration does not affect the structural integrity of his/her section or the Community Scheme as a whole.
- CANNABIS
a. A rule that seeks to restrict the use and growth of cannabis in an owner’s unit is undesirable. The use or possession of cannabis by an adult for an adult’s personal consumption in private is permissible.
- ADJUDICATION
a. The directive sets out administrative procedures, dispute resolution procedures, however it is preferred to first try conciliation before adjudication.
b. If an adjudication order is granted and the affected person fails to comply, then the complainant may approach the court to have it made a court order.
c. Anyone dissatisfied with an adjudication order may take it onto appeal to the High Court.
03 Nov 2025
Author Robert Krautkamer – Miltons Matsemela Attorneys
Author Robert Krautkamer – Miltons Matsemela Attorneys