Written answers
Tuesday, 9 April 2024
Department of Justice and Equality
Regulatory Bodies
Aodhán Ó Ríordáin (Dublin Bay North, Labour)
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817. To ask the Tánaiste and Minister for Justice and Equality if she will establish an office of owner management company (OMC) regulator with a view to putting in place a code of conduct and register of OMCs, with the express function of addressing governance issues between owner occupiers and other owners of homes including potential conflicts of interest where OMCs are still controlled by the original builder-developers or large scale institutional investors inappropriate procurement practices being used in terms of awarding of contracts and payments being made to directors; and if she will make a statement on the matter. [13562/24]
Jim O'Callaghan (Dublin Bay South, Fianna Fail)
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888. To ask the Tánaiste and Minister for Justice and Equality whether consideration will be given to the establishment of an owner management companies regulator for the purpose of regulating owner management companies which impact the lives of so many residents; and if she will make a statement on the matter. [14548/24]
Helen McEntee (Meath East, Fine Gael)
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I propose to take Questions Nos. 817 and 888 together.
The Multi-Unit Developments (MUDs) Act 2011 was enacted with the primary purposes of reforming the law relating to the ownership and management of common areas of multi-unit developments, and facilitating the fair, efficient and effective management of owners' management companies (OMCs). Well-functioning OMCs are key to maintaining and sustaining higher-density residential developments, such as apartments.
As regards the establishment of a Regulator for OMCs, there are no plans at present to introduce a specific oversight and enforcement mechanism for OMCs. However, it should be noted that OMCs are subject to company law provisions, including their own memorandum of association, and are subject to oversight by the Companies Registration Office and the Corporate Enforcement Authority. Furthermore, the Competition and Consumer Protection Commission also plays a role in providing information and advice to intending purchasers of residential units in multi-unit developments.
In addition, the MUDs Act acknowledges the risk of disputes arising in the enforcement of rights and the performance of obligations imposed by its provisions and makes provision for the resolution of such disputes. For example, section 24 provides that a person, including any member of an OMC, may apply to the Circuit Court for an Order to enforce any rights conferred or obligations imposed by the Act. Section 24(2) allows the Court to take into account whether the parties have tried to resolve their differences by mediation or other alternative dispute resolution. While section 27 provides for court-directed mediation if the court considers that a ‘mediation conference’ between the parties would assist in reaching a settlement of the matter.
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