The Association Management Agreement serves as the foundational document governing the relationship between professional management companies and property associations in the United States. This contract type is essential when associations seek professional management of their communities, typically due to the complexity of operations or desire for professional oversight. The agreement comprehensively details the manager's authority, duties, compensation, and accountability measures while ensuring compliance with federal regulations and state-specific property management laws. It's particularly important in states with strict property management regulations and is designed to protect both the association's interests and the management company's professional obligations.
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1. Parties: Identifies the Association and Management Company, including full legal names and addresses
2. Background/Recitals: Establishes context of the agreement and basic facts about the association and property
3. Definitions: Defines key terms used throughout the agreement
4. Appointment and Authority: Formal appointment of manager and scope of authority
5. Term and Termination: Duration of agreement and conditions for termination
6. Manager's Duties and Responsibilities: Comprehensive list of services to be provided
7. Compensation: Fee structure and payment terms
8. Insurance and Indemnification: Required insurance coverage and mutual indemnification provisions
1. Emergency Services: Procedures for handling emergencies outside normal business hours and emergency response protocols
2. Special Projects: Terms and conditions for handling non-routine projects or improvements beyond regular management services
3. Banking Arrangements: Specific procedures for handling association funds, including separate accounts and signing authorities
1. Schedule A - Property Description: Detailed description of managed property including all common areas and facilities
2. Schedule B - Fee Schedule: Detailed breakdown of all management fees, service charges, and additional costs
3. Schedule C - Service Specifications: Detailed scope of services including maintenance, administrative, and financial management duties
4. Schedule D - Insurance Requirements: Specific insurance coverage requirements for both parties including types and minimum coverage amounts
5. Schedule E - Key Performance Indicators: Metrics and standards for evaluating manager's performance and service delivery
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