PROPERTY MANAGEMENT AGREEMENT
The appointment of a manager to let, run and account for a property on the owner's behalf
Executed at __________ on __________.
Parties
1. The Owner — __________, __________, resident of __________, mobile __________, email __________ ("the Owner").
2. The Manager — __________, of __________, mobile __________, email __________ ("the Manager").
Background
A. The Owner owns the property at __________, in __________: __________ ("the Property").
B. The Owner appoints the Manager to manage the Property on the terms of this agreement.
1. Term
1.1 This appointment runs from __________ to __________, unless it is ended earlier under clause 10.
2. What the Manager may do
2.1 Find prospective tenants, check their identity and references, and arrange for the tenant police verification that is the landlord's duty in Punjab and in Chandigarh to be completed before any tenant moves in.
2.2 __________
2.3 Collect rent, security deposits and other sums due from tenants, and give a signed receipt for every payment when it is made. For a tenancy governed by the Punjab Rent Act, 1995, a tenant who pays in cash is entitled to that receipt forthwith, and a landlord who fails to give it risks an order to pay damages of up to double the rent received.
2.4 Arrange routine repairs and maintenance, spending no more than __________ on any one repair without the Owner's prior written approval. In an emergency threatening safety or serious damage, the Manager may spend what is necessary, and must tell the Owner within 24 hours.
2.5 Pay, out of rent collected and with the Owner's standing approval, the property tax, society or association charges and other outgoings of the Property as they fall due.
2.6 Inspect the Property at least once every 3 months, and whenever a tenant leaves, and send the Owner a dated written report with photographs.
3. What the Manager may not do
3.1 Sign any lease, tenancy agreement, deed or other document for the Owner, except as clause 2.2 allows; sell, mortgage or part with the Property; or appear before any authority for the Owner without a power of attorney.
3.2 Occupy the Property, or let it or any part of it to the Manager, a relative, an employee or an associate, without the Owner's prior written consent.
3.3 Allow any person to occupy the Property except a tenant under a written tenancy the Owner has approved.
3.4 Make any structural alteration, or any change that needs a building-plan or municipal approval.
4. Money
4.1 All rent, security deposits and other money received for the Property will be paid into __________ ("the Collection Account"), which will be used for nothing else. The Manager will not mix the Owner's money with its own.
4.2 Tenants' security deposits are held for the Owner, stay in the Collection Account, and are returned to tenants only in accordance with their tenancy agreements.
4.3 The Manager may deduct its fee and approved outgoings from the rent collected before remitting the balance, and must show every deduction in the monthly statement.
4.4 On or before day 7 of each month, the Manager will send the Owner a statement for the previous month — rent due and received from each tenant, arrears, deposits held, each deduction with its supporting bill, and the balance — and remit that balance to the Owner.
5. The Manager's fee
5.1 The management fee is __________ per cent of the rent actually collected each month. No fee is earned on rent that is not collected.
5.2 The Manager takes no commission, discount or other benefit from any tenant, contractor or supplier in connection with the Property, and passes to the Owner any it is offered.
6. Accounts and records
6.1 The Manager will keep complete records of every tenancy, receipt, payment and repair, make them available to the Owner on request, and account to the Owner whenever asked.
7. No interest in the Property, and no lien
7.1 The Manager manages the Property as the Owner's agent. It acquires no interest in the Property, no right to occupy it, and no tenancy or licence of it.
7.2 The Manager has no lien over the Property, its keys or documents, or any money in the Collection Account, for any fee or dispute. Any claim the Manager has against the Owner is a claim for money only.
8. Care
8.1 The Manager will manage the Property with the care of a prudent owner, and is liable to the Owner for loss caused by its own negligence or default.
9. Keys and documents
9.1 Keys, access devices and documents the Owner gives the Manager are held for the Owner, listed in a signed custody receipt, not copied except for letting, and returned on demand.
10. Ending the appointment
10.1 Either party may end this appointment by 30 days' written notice.
10.2 When the appointment ends, the Manager will within 15 days hand over to the Owner, or to a new manager the Owner names, every key, document, tenancy file and deposit it holds, with a closing statement of account, and will tell each tenant in writing where rent is to be paid from then on.
11. General
11.1 This agreement is governed by the law in force in __________, and only the courts having jurisdiction where the Property is situated may decide a dispute about it.
11.2 A notice under this agreement is given in writing, by hand or by email, to the address given for the other party above.
Personal data
This notice is given under the Digital Personal Data Protection Act, 2023.
The names, addresses, telephone numbers and email addresses in this document are collected for one purpose: managing the Property, dealing with its tenants and accounting to the Owner. The Owner and the Manager each keep a copy. The Manager keeps tenants' personal data only for managing their tenancies. It may be shown only to the parties, a tenant or prospective tenant as far as their own tenancy is concerned, contractors engaged for the Property, and the police for tenant verification, and it will not be used for marketing.
If the engagement does not go ahead, the personal data in this document is kept for 90 days from that decision and then erased. If it goes ahead, this record is kept for the term of the engagement plus 12 months and then erased, unless a law requires a particular record to be kept longer.
Consent to the use of personal data in this document may be withdrawn at any time by writing to __________. A request to correct inaccurate data, to erase data once its purpose has ended, or to complain about how it has been handled may be sent to the same address, and will be answered within 30 days.
This document does not collect any Aadhaar number, PAN or copy of an identity document of the Owner; the Collection Account is identified by its bank and last four digits only.
Signatures
The Owner
Signature: ________________________
Name: __________
The Manager
Signature: ________________________
Name: __________
Witnesses
Witness 1
Signature: ________________________
Name: ________________________
Address: ________________________
Witness 2
Signature: ________________________
Name: ________________________
Address: ________________________