The Terminate Property Management Agreement is a crucial document used when either a property owner/owners' corporation or a property management company wishes to end their existing management arrangement in Hong Kong. This document becomes necessary when there's a need to change property management providers, when the existing contract term expires without renewal intention, or when either party needs to terminate the arrangement for cause or convenience. It must comply with Hong Kong's Property Management Services Ordinance (Cap. 626) and related regulations, particularly regarding licensing requirements and handover procedures. The document typically includes detailed provisions for the transition period, asset handover, financial reconciliation, and ongoing obligations, ensuring a systematic and legally compliant transfer of management responsibilities.
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1. Parties: Identification of the property owner/owners' corporation and the property management company
2. Background: Details of the original agreement, property details, and reason for termination
3. Definitions: Key terms used in the termination agreement
4. Effective Date of Termination: Specific date when the management agreement will terminate
5. Notice Period: Confirmation of required notice period and compliance
6. Handover Obligations: Detailed responsibilities for transitioning management duties
7. Financial Settlement: Settlement of accounts, outstanding fees, and deposits
8. Return of Property and Documents: Requirements for returning keys, documents, and other property
9. Mutual Release: Release of parties from future obligations post-termination
10. Surviving Obligations: Obligations that continue after termination
11. Governing Law: Confirmation of Hong Kong law governing the termination
1. Transition Services: Additional services to be provided during transition period, if agreed
2. Third Party Contracts: Handling of existing contracts with service providers, if applicable
3. Employee Matters: Treatment of existing employees, if relevant
4. Dispute Resolution: Specific dispute resolution procedures, if different from original agreement
5. Confidentiality: Additional confidentiality provisions, if needed beyond original agreement
6. Insurance: Specific provisions about insurance coverage during transition, if required
1. Schedule 1 - Original Agreement Details: Copy or details of the original property management agreement being terminated
2. Schedule 2 - Handover Checklist: Detailed list of items and documents to be handed over
3. Schedule 3 - Financial Statement: Statement of accounts and outstanding amounts
4. Schedule 4 - Property Inventory: List of property items to be returned or transferred
5. Appendix A - Handover Timeline: Detailed timeline for the transition process
6. Appendix B - Contact Details: Key contact information for both parties during transition
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