Gauteng Business News

Send  Share  RSS  Twitter  19 Dec 2011

PROPERTY: Pam Golding Terminates a Pretoria Franchise Arrangement


Recent Gauteng Business News

Pam Golding Franchise Services (PGFS) has terminated its franchise arrangement with Sunset Point Properties 106 (Pty) Ltd and its principal, Mr Gerrie Coetzee, which has been trading in the Pretoria Moot/Montana /Pretoria North area, and in addition, has filed a complaint with the Estate Agency Affairs Board (EAAB) regarding the conduct of Sunset Point Properties 106 (Pty) Ltd.

Comments Richard Day, director of Pam Golding Franchise Services (PGFS): “On 30 November 2011, PGFS gave its franchisee, Sunset Point Properties 106 (Pty) Ltd (Sunset Point Properties), trading in the Pretoria Moot/Montana/Pretoria North area, notice of termination of the franchise arrangement. This termination was due to take effect at the end of February 2012, in the process giving Sunset Point Properties time to separate its business operations from those associated with its rights under the franchise agreement.

Clients Not Happy with Pam Golding Franchise Termination

“Shortly after this, PGFS received numerous complaints from Sunset Point Properties’ clients relating to the non-payment of rentals collected by Sunset Point Properties. After receiving these complaints, PGFS immediately engaged in urgent discussions with Sunset Point Properties to resolve the complaints.

“Regrettably, however, Sunset Point Properties did not deal with the complaints, nor act appropriately to rectify the situation and furthermore, has become inaccessible to its clients. As a result PGFS has filed a complaint with the EAAB,” adds Day.

SPP Matters to be Resolved with Pam Golding

“PGFS continues to engage with Sunset Point Properties to resolve all matters pertaining to queries or complaints and will also assist the EAAB in whatever actions the EAAB deems necessary. Sunset Point Properties has advised PGFS that all monies due to its clients are retained in a bank account(s). Unfortunately, Sunset Point Properties has thus far not made payment to its clients, citing the EAAB as the necessary channel for clients to direct their complaints. We disagree with this approach but have no legal capacity to enforce the payments. It is for this reason that we have approached the EAAB to become urgently involved.

“To further assist clients, PGP, through Ms Retha Schutte (PGP’s Pretoria Region Executive Head) and her staff, is available to provide support. This is in particular regard to aggrieved rental clients with whom Pam Golding Properties has offered to conclude new mandates, and to manage those mandates without compensation for the duration of their original terms,” says Day.

As a direct result of the conduct of Sunset Point Properties, PGFS has given Sunset Point Properties notice of immediate termination of the franchise arrangements. Consequently, with immediate effect, neither Sunset Point Properties nor its principal, Mr Gerrie Coetzee, are associated with, or able to trade under, the Pam Golding Properties brand.

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