Terms & Conditions
1. INTRODUCTION
These Terms and Conditions govern your use of our website, application, and services. By signing up or using our services, you agree to be bound by these Terms.
Preferental is not an insurance provider or broker. Insurance coverage and risk underwriting are handled exclusively by our partners, under their respective regulatory frameworks. Preferental acts as a facilitator to provide landlords access to these services.
2. FICA COMPLIANCE REQUIREMENTS
2.1. All Landlords must provide FICA documentation (e.g., proof of identity, proof of address) to Preferental for verification.
2.2. Documentation must be submitted within 5 business days of account creation or mandate acceptance.
2.3. If documentation is not submitted:
2.3.1. The Landlord’s account will have restricted access to services.
2.3.2. Property listings will be temporarily deactivated until compliance is met.
2.4. Access and services will be restored once the necessary documentation is verified.
2.5. Preferental reserves the right to terminate services for accounts that fail to comply with FICA requirements within 30 days
3. DEFINITIONS
3.1. “Administrative Fees” means the amounts payable to Preferental in accordance with the Administrative Fee Schedule as updated or changed from time to time and available for inspection at www.preferental.com
3.2. “Application” means collectively any application for mobile, tablet and other smart or feature devices and application program interfaces through which Preferental makes the services available.
3.3. “Collection Charges” means the Administrative Fees, Tracing Fees, Legal Fees and interest on the Outstanding Amounts, or any similar charges incurred in attempting to collect the Outstanding Amounts as specified in a Lease Agreement.
3.4. “Consumer Protection Act” means the Consumer Protection Act 68 of 2008, as amended.
3.5. “Deposit” means the rental deposit or security deposit payable by the Tenant in terms of a Lease Agreement, used for. repair and restoration of the Property or as determined in the Lease Agreement.
3.6. ”Intellectual Property” means all intellectual property rights relating to patents, trademarks, trade names, copyright (including rights in computer software, text, photographs, graphics, images, music, audio, video, information or other materials), design rights, trade or business names, domain names, know-how, database rights, and topography rights, whether registered or unregistered and all rights or forms of protection of a similar nature in any territory in the world, relating to the Site, Application or Services.
3.7. ”User Intellectual Property” means all intellectual property rights copyright relating to text, photographs, graphics, images, audio, video, information or other materials, or trademark, whether registered or unregistered, which a user of this Site may post, upload, publish, submit or transmit by their use of the Site, Application or Services.
3.8. “Landlord” means any natural or juristic person or persons who own a Property which is rented or leased using Preferental.
3.9. “Lease Agreement” means any agreement for the rental or lease of a Property entered into between a Tenant and a Landlord using the Application (” Preferental Lease Agreement”), or any other agreement for the lease or rental of a Property entered into between a Tenant and a Landlord in respect of which the Landlord has authorised Preferental to act as its agent and has subscribed to one or more of the Services and Preferental has accepted the lease agreement (“Private Lease Agreement “).
3.10. “Legal Fees” means legal fees and disbursements on the attorney-and-client scale.
3.11. “National Credit Act” means the National Credit Act 34 of 2005, as amended.
3.12. “Preferental” refers to Preferental Technologies (Pty) Ltd (registration number: 2016/241956/07 registered under the laws applicable in the Republic of South Africa, and the owner of the Site and Application and provider of the Services.
3.13. “Preferental Promise” refers to Preferental’s rental management support service provided by Preferental that includes a guarantee for rental income continuity and legal cost coverage for landlords in the event of tenant defaults or evictions.
3.14. “Personal Information” includes, but is not limited to, user IP address, name, surname, identify number, contact details, banking information, rental history, and any other data collected to provide the Service.
3.15. “PPRA Code of Conduct” governs property practitioners under the Property Practitioners Regulatory Authority.
3.16. “Property” means a house, apartment, flat, townhouse, land or other residential immovable property which is owned by a Landlord and rented or leased to a Tenant.
3.17. “Property Charges” means rates and taxes, electricity, water, levies and any other fees or charges that may be imposed by a municipality, local authority, property developer, or body corporate of a sectional title scheme for the use of a Property.
3.18. “Protection of Personal Information Act” means the Protection of Personal Information Act 4 of 2013, as amended.
3.19. “Rental” means the consideration sounding in money payable monthly by a Tenant for the exclusive use and enjoyment of a Property, as contemplated in the Lease Agreement.
3.20. “Rental Housing Act” means the Rental Housing Act 50 of 1999, as amended.
3.21. “Site” means preferental.com, app.preferental.com, products.preferental.com, screenings.preferental.com and any other websites through which Preferental makes the Services available.
3.22. “Services” means an online platform that connects the Landlord and Tenants and assists them in the management of a Property and their obligations towards each other. The Services include, Preferental Promise, a marketplace for the conclusion and processing of Lease Agreements between the Landlord and Tenant, and may include the provision of access to third-party services such as legal services, insurance or property maintenance services, which are accessed on the Site or Application and may be extended and improved upon from time to time.
3.23. “Service Charges” means the fees, whether fixed or relative, which Preferental charges a Landlord or a Tenant for the Services from time to time, and which are specified under clause 9 of these Terms and Conditions of Service.
3.24. “Tracing Fees” means fees incurred by Preferental and its agents or any legal practitioner appointed by Preferental in attempting to trace a Tenant or Landlord.
3.25. “Tenant” means any natural or juristic person or persons who have accepted and agreed to these Terms and Conditions of Service, and who have been screened and approved by Preferental, and to whom a Landlord may grant temporary and exclusive use and enjoyment of land or a part of a building to provide residential accommodation in exchange for rental.
3.26. “Outstanding Amounts” means overdue rental or fees payable by a Tenant under the Lease Agreement.
3.27. “Trust Accounts” refers to Preferental’s accounts used to process rental monies, audited and protected under the Property Practitioners Act.
4. GENERAL PROVISIONS
4.1. These Terms and Conditions shall be interpreted in accordance with South African law.
4.2. Preferental provides the Services on an “as is” and “as available” basis, without warranty of any kind, express or implied. Preferental disclaims all warranties, express or implied, including but not limited to implied warranties of merchantability, fitness for a particular purpose, and non-infringement.
4.3. To the fullest extent permitted by law, in no event will Preferental, its affiliates, officers, directors, employees, agents, suppliers, or licensors be liable for any indirect, consequential, exemplary, incidental, special, or punitive damages.
4.4. You acknowledge and agree:-
4.4.1. That no provisions, terms, conditions, stipulations, warranties or representations of whatsoever nature, whether express or implied, have been made by any of the parties to these Terms and Conditions of Service or on their behalf except as are recorded herein;
4.4.2. That no relaxation, extension of time, latitude or indulgence which any Party (“the grantor”) may show, grant or allow to another (“the grantee”) shall in any way constitute a waiver by the grantor of any of the grantor’s rights in terms of these Terms and Conditions of Service and the grantor shall not thereby be prejudiced or estopped from exercising any of its rights against the grantee which may have then already arisen or which may arise thereafter;
4.4.3. To do all such things, take all such steps and to procure the doing of all such things and the taking of all such steps as may be necessary, incidental or conducive to the implementation of the provisions, terms, conditions and import of these Terms and Conditions of Service;
4.4.4. You are not entitled to cede, assign or otherwise transfer any of your rights, interests or obligations under and in terms of these Terms and Conditions of Service without the prior written consent of Preferental.
4.5. Preferental reserves the right to modify or terminate its services with 30 days’ written notice.
5. COMPLIANCE WITH REGULATORY OBLIGATIONS
5.1. This document adheres to the standards and obligations of the Rental Housing Act 50 of 1999 and the Property Practitioners Regulatory Authority Code of Conduct (PPRA). Users are encouraged to familiarise themselves with these regulations to understand their rights and responsibilities.
6. ACCOUNT REGISTRATION AND USER RESPONSIBILITIES
6.1. To access certain features of the Site and Application and to subscribe to the Services, you must register and create an account as a Landlord or Tenant (” Preferental Account “, which may be referred to as a ” Preferental Landlord Account” or ” Preferental Tenant Account” as the context may specifically require).
6.2. The terms of this clause, including sub-clauses, apply to both Preferental Landlord and Tenant Accounts unless otherwise provided within a particular sub-clause.
6.3. Your Preferental Account will be created for your use of the Site and Application based upon the Personal Information you provide to Preferental. Your account may provide you with access to different Services, provide you with different rights, or require you to comply with different obligations depending on whether you have registered as a Landlord or a Tenant.
6.4. You agree to provide accurate, current and complete information during the registration process and to update such information to keep it accurate, current and complete. If any of your Personal Information changes, you are obliged to notify Preferental of the changes for Preferental to effect the changes on your Preferental Account.
6.5. You may not create a Preferental Account for any person other than yourself, and you may not transfer your Preferental Account to any other person.
6.6. Unless expressly authorised by a specific feature on the Site or Application, you are not permitted to share your Preferental Account with anyone or allow others to access or use your Preferental Account. You are responsible for safeguarding your password. You agree that you will not disclose your password to any third party.
6.7. You agree that you will take sole responsibility for any activities or actions under your Preferental Account, whether you have authorised such activities or actions or not. You will immediately notify Preferental of any unauthorised use of your Preferental Account.
6.8. You may not have more than one active Preferental Tenant Account and one active Preferental Landlord Account at a time. We reserve the right to suspend or terminate your Preferental Account and your access to the Site, Application and Services if you create more than one Preferental Tenant and/or Landlord Account, or if any information provided by you proves to be inaccurate, fraudulent, not current, incomplete, or otherwise in violation of these Terms and Conditions of Service.
6.9. The Site, Application and Services are intended solely for persons who are 18 or older. Any access to or use of the Site, Application or Services by anyone under 18 is expressly prohibited. By accessing or using the Site, Application or Services you represent and warrant that you are 18 or older.
6.10. If we suspend or terminate your Preferental Account for any reason whatsoever arising from our rights in these Terms and Conditions of Service, you agree that you will not create a new account.
7. SUBSCRIPTION OF SERVICES
7.1. Subscriptions may be terminated by either party with 30 days’ written notice, subject to the terms of the Preferental Mandate.
7.2. Preferental reserves the right to adjust fees with 30 days’ notice to subscribers.
7.3. You are required to access and subscribe to the Service which we may make available for you by requesting the Service for a Property that is linked to your Preferental Account from within the Site or Application.
7.4. If you create a Preferental Landlord Account, then you will be required to load your Property on the Application or Site and provide Preferental with information about your Property. The Property which you have loaded onto the Application or Site will be linked to your Preferental Account and available for you when signing in as a Landlord. By loading a Property on your Account, you warrant that you are the lawful owner of the Property and that you are lawfully entitled to rent the Property to a current or prospective Tenant.
7.5. To gain access to the Services available for a Property, the Landlord must invite a Tenant to use the Preferental Services by sending an invitation code to the Tenant on the Site or Application.
7.6. As a Tenant, you are required to create a Preferental Account ]. You agree that you are lawfully entitled to rent the Property from the Landlord in terms of these Terms and Conditions of Service or any applicable law.
7.7. You may subscribe to any Services available for your Property provided that both the Landlord and the Tenant have created Preferental Accounts and have accepted these Terms and Conditions of Service, and we have made the Services available to you.
7.8. Preferental does not guarantee the availability of all Services. To access some of the Services, you may be required to subscribe to another Service first, or your Landlord or Tenant (as the case may be) may be required to subscribe to a particular Service first.
7.9. Some Services may only be available to you if you pay a Service Charge. If you fail to pay a Service Charge as required then we may suspend or cancel your subscription to a Service.
7.10. We may limit the Services offered to any Landlord or Tenant:
7.10.1. if you fail to comply with these Terms and Conditions of Service,
7.10.2. in accordance with our rights under these Terms and Conditions of Service, or
7.10.3. following a background screening process undertaken by us which results in an
7.10.4. unfavourable outcome for you, whether the screening process is stipulated in these Terms and Conditions of Service or not.
8. PREFERENTAL SERVICES AND PACKAGES SERVICE CHARGES
Preferental offers a range of property management packages, each providing specific services as described below. By selecting any of these packages, the Landlord agrees to the terms applicable to the chosen service package.
8.1. Basic Management Package
8.1.1. The Basic Management Package includes monthly rental invoicing, rental payment facilitation, access to maintenance partners, renewal management, and monthly statements.
8.1.2. This package does not cover legal and eviction fees, rent guarantees or property damage.
8.2. Legal Package
8.2.1. The Legal Package includes all features of the Basic Management Package, coverage for all legal fees related to eviction proceedings initiated by Preferental, eviction process management, including sheriff fees.
8.2.2. This package does not cover rent guarantees or property damage.
8.3. Standard Promise Package
8.3.1. The Standard Promise Package includes all features in the Basic Management Package, a rental guarantee of up to two months, regardless of tenant payment status, property damage cover up to one month’s rent, all legal fees related to eviction proceedings, including sheriff costs.
8.3.2. Rental payment to the Landlord on the fifth day of each month, when collected.
8.4. Premium Package
8.4.1. The Premium Package includes all features of the Basic Management Package, a four-month rental guarantee, regardless of tenant payment status, property damage cover up to one month’s rent, all legal fees related to eviction proceedings, including sheriff costs.
8.4.2. Rental payment to the Landlord on the first day of each month, when collected.
8.5. Package Allocation Based on Tenant Risk Assessment
Preferental allocates packages based on a tenant risk assessment. Coverage and service levels vary depending on the tenant’s risk profile and the chosen service package.
8.6. Compliance with PPRA Code of Conduct
Preferental operates in compliance with the Property Practitioners Regulatory Authority (PPRA) Code of Conduct, including requirements for transparency, non-discrimination, and ethical business practices.
9. TENANT SCREENING PROCESS BACKGROUND SCREENING AND RISK ANALYSIS
9.1. All tenant screening services, including credit checks, affordability assessments, background checks, and identity verification, are managed through the Preferental App.
9.2. By using these services, users consent to the collection and processing of personal data in accordance with the Preferental Screenings App Terms and Conditions.
9.3. Preferental utilises third-party service providers for screening and disclaims liability for their data accuracy.
9.4. Fees for these services are payable as outlined in the Preferental Screenings App Terms and Conditions.
10. PROPERTY LISTINGS
10.1. By listing your property with Preferental, you agree to the terms and conditions herein.
10.2. The standard listing duration is three (3) months 93 Days, after which, if still vacant, the property will be automatically removed from all listing portals. A reminder will be sent as the listing approaches its expiration date for easy re-submission.
10.3. Image Upload and Copyright Compliance
10.3.1. Responsibility for Uploaded Images: Landlords are solely responsible for the images they upload to the Preferental platform when listing a property. By uploading images, the landlord represents and warrants that they own the copyright to the images or have obtained the necessary permissions or licenses to use them.
10.3.2. Copyright and Authenticity: Preferental does not verify the authenticity or copyright status of images uploaded by landlords. Any copyright infringements or legal issues arising from the use of unauthorised images are the sole responsibility of the landlord.
10.3.3. Indemnity and Compliance with PPRA Requirements: Preferental shall not be held liable for any fines, penalties, or consequences—including the suspension or revocation of its PPRA license—arising from the landlord’s failure to comply with copyright laws or provide authentic images. The landlord agrees to indemnify Preferental against any claims, damages, or costs resulting from the unauthorised use of images.
10.3.4. Right to Remove Non-Compliant Content: Preferental reserves the right to remove any images that it deems, in its sole discretion, to be potentially non-compliant with copyright laws or PPRA regulations.
10.4. Single Unit per Listing: Each available rental unit must be advertised separately, and a single advertisement cannot be used to advertise multiple units.
10.5. Landlords must be reachable by potential tenants during the advertising period. If we receive complaints that a landlord cannot be reached or fail to get a response from the landlord, we reserve the right to temporarily block the listing until the issue is resolved.
10.6. Preferental reserves the right to remove any listing that violates our policies or fails to meet the standards we require. We will notify the landlord of any such removal and provide assistance if needed to reactivate the listing. However, any property that remains unoccupied or unavailable after three months of listing will be removed without prior notice.
10.7. Landlords and agents are responsible for ensuring the accuracy and authenticity of the property listings provided. Preferental reserves the right to verify the authenticity of listings and may temporarily or permanently remove listings found to be inaccurate or misleading.
10.8. If the property has been subject to any active leases, it cannot be removed but will be archived to safeguard historical data.
10.9. If a current tenant is associated with the property, complete deletion is restricted. The property will be archived to maintain tenant information.
10.10. Should there be any connections to applications or leasing processes, the property won’t be removed but archived to retain these ties.
10.11. Boosted Listings
10.11.1. Once payment for the ‘boosted listing’ has been made and activated, it is non-refundable.
10.11.2. The listing will be ‘boosted’ as soon as proof of payment has been received and will be active for 30 calendar days if on Private Property and 7 Days on Property24, after which it will no longer be a ‘boosted/featured’ listing.
10.11.3. Once payment has been made and a tenant is placed before the end of the ‘boosted’ period, a refund will not be permitted.
10.11.4. Boosted Listings are in the order from most recently approved. When a property is ‘boosted’, it may appear at the top of the page on Property24 when your specific suburb, city and province are searched but may go lower down on the page once someone else pays the next ‘boosted’ listings fee. However, it will still be higher on the search list than those who haven’t used the ‘boosted’ feature.
10.11.5. By clicking on ‘Pay Now’, you have read and agreed to the terms and conditions of Preferental and Property24.
10.11.6. Whilst Preferental has taken reasonable measures to ensure the integrity of our website and its contents, no warranty is given that it will operate error-free.
10.11.7. Limitation of Liability: Preferental will not be liable under any contract, negligence, or other legal theory for the: interruption of use, loss or corruption of data.
11. INSPECTIONS
11.1. All property inspections, including those at the start and end of a tenancy, as well as interim inspections, must be conducted in accordance with the provisions set out in the Lease Agreement and Preferental Mandate.
11.2. Inspections may be required before occupation, during the tenancy, and upon termination, as detailed in the Lease Agreement.
11.3. These inspections must be completed by both the Landlord and Tenant and signed by both parties, following the processes outlined in the applicable agreements.
12. RENTAL COLLECTION AND FINANCIAL SERVICES
12.1. Preferental manages rental collection via Trust Accounts, ensuring compliance with the Property Practitioners Act.
12.2. Monthly financial statements are provided to Landlords.
12.3. Any late payments will incur penalties as per the Lease Agreement.
13. PROPERTY MANAGEMENT SERVICE
13.1. Preferental offers an online platform in which we provide a guarantee for the payment of Rental to the Landlord based on the package and the Tenant’s risk assessment. The guarantee includes the institution of eviction proceedings against a defaulting tenant, cover for Legal Fees incurred in eviction and cover for property damage up to the value of one month’s Rental. (“Preferental Promise”).
13.2. Preferental does not act as a debt collector for the Landlord or any other party. We only collect payments owed directly to Preferental under the Preferental Promise or related services.
13.3. We agree to accept your subscription to this Service and to pay the benefits of the Service to you, provided you accept all the criteria stipulated in these Terms and Conditions of Service.
13.4. For this clause, including sub-clauses, “you” and “your” refer to a Landlord only.
13.5. Mandate and Appointment as Representative: Upon subscription to the Property Management Service, you mandate and appoint us, as your exclusive representative for the collection of Rental, Deposit, Property Charges and Collection Charges in respect of any Property and corresponding Lease Agreement entered into between you and a Tenant. You mandate us as your representative to provide all the services specified under clause 6 and clause 7 including sub-clauses, for each Property to which you have subscribed for the Property Management service. If you have more than one Property making use of the Property Management Service which is subject to the Preferental Promise then this Mandate then these Terms and Conditions will apply to each Property and its corresponding Lease Agreement individually.
13.6. The Mandate will be effective from the start date of the Lease Agreement. The Mandate will terminate on the date of expiry of the Lease Agreement or the date on which all the obligations of all parties to the Lease Agreement have been fulfilled, whichever occurs later.
13.7. Collection of Rental and Related Charges: We will collect the monthly Rental and Property Charges and ad hoc Collection Charges which are due to you in terms of the Lease Agreement directly from the Tenant in accordance with the provisions of clause 7 (Rental, Deposit, Collection Charges & Property Charges) of these Terms and Conditions of Service.
13.8. Rental
The Property Management Services will only be effective once we receive payment of:
13.8.1. the Deposit required in terms of clause 7.5 (dealing with calculation and payment of the deposit), and
13.8.2. the 1st (first) month’s Rental due by the Tenant.
13.9. We will pay the 1st (first) month’s Rental to you within 5 (five) business days after receiving payment from the Tenant. Thereafter, we will pay the Rental to you on the 1st (first) working day of each successive month, irrespective of whether the Tenant has paid the rental to Preferental or not. The Rental payable to you will be reduced by any deductions which we are permitted to make under these Terms and Conditions of Service.
13.10. Property Charges: The Property Charges that we collect will be determined in accordance with the terms of your Lease Agreement. Only those charges which are specified in your Lease Agreement and are part of the obligations of the Tenant will be collected from the Tenant.
13.11. We will pay the Property Charges to you together with your Rental payment 1 (one) month in arrears after we have received the payment from the Tenant. We will not be liable to pay any Property Charges which we have not received from the Tenant, and you acknowledge that Property Charges are excluded from the Preferental Promise.
13.12. It is your duty to ensure that the Property Charges are paid to the respective municipality, local authority, developer, or body corporate as they fall due and you indemnify Preferental against any losses or damage caused to the Tenant as a result of your failure to settle the Property Charges on time or at all. You will remain liable for the payment of Property Charges irrespective of whether we have collected them from the Tenant or not.
13.13. Cession of Rights to Collection Charges: By subscribing to the Property Management Service, you cede and assign to Preferental all rights to any Collection Charges which may be due to you in terms of the Lease Agreement. You agree that we may determine the Collection Charges in our exclusive discretion, and may impose Collection Charges on the Tenant for defaulting on any payments.
13.14. Deposit: You authorise and provide Preferental with full powers as your Representative to retain the Deposit and apply the Deposit in accordance with clauses 7.9 (investment of the Deposit) and 7.10 (repayment of the Deposit). You agree that these powers are irrevocable and material for the provision of the Preferental Promise. If you revoke our power to apply the Deposit in accordance with these Terms and Conditions of Service we may suspend or cancel your subscription to the Preferental Promise service and terminate the Mandate.
13.15. Legal Action and Eviction: You authorise and instruct Preferental to institute and conduct legal action whether in our own right or on your behalf against any Tenant who is in breach of the Lease Agreement, provided that the course of Legal Action complies with any terms of the Lease Agreement regulating the procedure to be followed in the event of breach.
13.16. Notwithstanding anything to the contrary in clause 6.14, you authorise and instruct Preferental immediately, and without notice to you, to terminate a Lease Agreement and to institute and conduct eviction proceedings on your behalf against a Tenant who has defaulted on the Rental.
13.17. Preferental will be liable for Legal Fees incurred in respect of any eviction or debt recovery proceedings instituted against the Tenant which are brought in terms of the Lease Agreement or these Terms and Conditions of Use, provided that:
13.17.1. The legal proceedings are instituted on our instructions, irrespective of whether the Landlord or Preferental is dominus litis or appears as a party to the proceedings, and
13.17.2. The legal proceedings are carried out by a legal practitioner approved and appointed by Preferental for the institution of legal proceedings.
13.18. Payment of Service Charges and other Amounts: You agree that Preferental may deduct the Service Charges from the Rental which we pay to you. The Service Charges include the fees as set out in clause 9.2.1 and may include fees as set out in 9.2.2.
13.19. Where a Tenant pays an amount into your bank account, you are obliged to pay the amount over to Preferental within 1 (one) working day. Failing this, we will recover the amounts from you in terms of the provisions of clause 6.18.
13.20. If any amounts are due and payable by you to Preferental, then you authorise Preferental, without any notice to you, to
13.20.1. Set off the amount payable to Preferental against any amount which Preferental are required to pay to you, or
13.20.2. Require you to make payment to Preferental or recover any amount due to Preferental by any one of the payment methods available under clause 10.
13.21. Cancellation of the Preferental Property Management Service: You may cancel this Service and terminate the Mandate at any time by providing Preferental with 30 (thirty) days’ notice. If you cancel this Service and terminate the Mandate, then we will remove the Service from your Preferental Account.
13.22. Specific Conditions: You may only subscribe to and use the Preferental Property Management Service if your Tenant or prospective Tenant has created a Preferental Account and agrees to every term of these Terms and Conditions of Service. If the Tenant does not agree to the use of the Preferental Site or Application, or to these Terms and Conditions of Service, or revokes any consent required by these Terms and Conditions of Service, or repudiates their agreement with Preferental as contained in these Terms and Conditions of Service, then Preferental will be entitled, in their sole discretion, to immediately cancel your subscription to the Preferental Property Management Service.
13.23. Specific Exclusions: Subject only to the provisions of these Terms and Conditions of Service, we reserve the right to accept, reject or accept subject to conditions, any instructions from you as principal within Preferental exclusive discretion. We reserve the right to reject or accept subject to conditions your subscription as Landlord to the Preferental Property Management Service.
13.24. We may, within our sole discretion, decline to offer the Preferental Property Management Service in respect of a Private Lease Agreement if we are not satisfied with the terms of the Private Lease Agreement. You may enter into a Preferental Lease Agreement to replace and vary your Private Lease Agreement for the remaining period of the lease provided that the Tenant also agrees to enter into the Preferental Lease Agreement.
13.25. The Preferental Property Management Service is only available to residential immovable properties situated within the Republic of South Africa where both the Tenant and Landlord are South African citizens or juristic persons.
13.26. Preferental will not pay any benefits of the Preferental Property Management Service relating, directly or indirectly, to:
13.26.1. Any Rental arrears that arose before the subscription and commencement of the Mandate or after the termination of the Mandate;
13.26.2. Vacancy as a result of the expiry of a Lease Agreement;
13.26.3. Loss of rental where a Tenant cannot take vacant occupation of a Property because of renovations being performed, the property not being in good repair or lettable conditions, or any reason that has the effect of making it impossible to offer a prospective tenant immediate occupation (in the opinion of Preferental)
13.27. The Preferental does not guarantee any loss of Rental, damage or liability directly or indirectly caused by or related to:
13.27.1. Loss due to destruction or damage to the Property by fire, explosions, lightning, earthquake, storm, wind, water, hail, snow or caused by tidal wave originating from earthquake or volcanic eruption;
13.27.2. Aircraft or other aerial devices or articles dropped therefrom;
13.27.3. Impact by animals, trees, aerials, satellite dishes or vehicles;
13.27.4. Civil disobedience, labour disturbances, riot, strike, lock-out or public disorder or any activity which is calculated or directed to bring out these situations;
13.27.5. War, invasion, the act of a foreign enemy, hostilities, or warlike operations (whether declared or not) or civil war;
13.27.6. Any act which is calculated or directed to bring about loss or damage to further any political aim, objective or cause, or to bring about any social or economic change or protest any State or Government or any provincial, local, or tribal authority or for inspiring fear in the public or any section thereof;
13.27.7. Lonising radiations or contamination by radioactivity from any nuclear fuel or nuclear waste from the combustion of nuclear fuel, or nuclear weapons or material. For this exception only, combustion shall include any self-destructing process of nuclear fission.
13.28. Preferental will not be liable to pay any Rental to you while there is a valid legal dispute between you and the Tenant or where the Tenant has applied for a Court Order to stop Preferental from paying any amounts to you. For the purposes of this clause, a ” valid legal dispute” means a material breach by the Landlord in terms of the Lease Agreement where the breach has been referred to a legal practitioner, adjudicator or mediator for resolution, and where the material breach may support the non-payment of rental by the Tenant to the Landlord.
13.29. Landlords who fail to adhere to their duties and obligations as outlined below will forfeit their cover under the Preferental Property Management Services.
13.29.1. Consequences of Landlord’s Non-Compliance with Lease Agreement and Terms of Service
You are required to honour your obligations under the Lease Agreement and these Terms and Conditions of Service. If the Tenant vacates the Property because you failed to adhere to any of your duties and obligations in terms of the Lease Agreement, Rental Housing Act and these Terms and Conditions of Service, Preferental may cancel the Mandate and your subscription to the Preferental Property Management Service, and you will be liable to the Tenant and us for any consequential losses suffered.
13.29.2. Lease Cancellation by Landlord
Should the landlord elect to terminate the lease agreement for legally valid reasons other than the tenant’s rental default, our cover shall extend only up to the final day as stipulated in the lease cancellation notice. Any financial obligations extending beyond this termination date will not be covered.
13.29.3. Neglect of Maintenance Obligations
The cover shall be rendered null and void in scenarios where the landlord fails to address reasonable maintenance issues or respond to reasonable maintenance logs submitted by the tenant in a timely and appropriate manner. It is the landlord’s responsibility to ensure the rental property remains habitable and well-maintained as per the agreed terms of the lease.
13.29.4. Unethical Conduct by Landlord
In the event that a landlord engages in unethical conduct, including but not limited to discrimination, harassment, or any form of illegal activity, our cover will not provide any payout. Ethical compliance is a fundamental requirement for the validity of our cover, and any breach of ethical standards will result in the immediate termination of cover benefits.
13.29.5. Compliance by Property Managers
In instances where landlords delegate their decision-making responsibilities to property managers, it is crucial that these individuals strictly adhere to the Preferental rules, policies, and procedures, as well as the laws of the Rental Housing Act. Our unwavering commitment to fairness and excellence in service demands a corresponding level of dedication from our collaborators.
13.29.6. Unlawful Actions and Spoliation
You may not act in any manner or take any action outside of those actions lawfully permitted under the Lease Agreement or in law. If you take any action which may be in violation of the law, including (but not limited to) the spoliation of the Tenant’s right of use and enjoyment of the Property, then we may, in our absolute discretion and without any notice to you
13.29.6.1. Cancel this Mandate and your subscription to the Preferental Promise service and
13.29.6.2. Hold you liable to us and the Tenant for any damage or losses suffered and
13.29.6.3. Withhold any payment which is due to you under these Terms and Conditions of Service and utilise the amount withheld to satisfy the losses or damages sustained by Preferental or the Tenant.
13.30. Where a defaulting Tenant vacates the Property, and the Property requires repairs to be put in a lettable condition, you will be obliged to restore the Property to a lettable condition.
14. INDEMNITY BY TENANT
14.1. As a Tenant, you agree and undertake:
14.1.1. to keep Preferental indemnified and to hold Preferental harmless against all payments, loss or damage, from any cause arising, which Preferental may sustain as a result of having paid the Landlord in terms of the Preferental Promise; and
14.1.2. to waive the benefit of the exceptions non causa debiti, non-numerate pecuniae, and excursions.
14.2. The indemnity is continuing in nature and shall not be terminated or revoked by the cancellation or avoidance of the Lease Agreement.
14.3. Our insurer has the right to request Preferental to cede our rights and claims under the indemnity to the insurer. In such circumstances, Preferental may cede the rights, title and interest, and you agree and consent to the cession.
15. GENERAL TERMS APPLICABLE TO ALL PACKAGES
15.1. Fees and Payments: Service charges for each package include a monthly admin fee and a percentage-based package fee calculated on the monthly rental amount. There are additional once off fees that the Landlord is responsible for associated with initiating services under the chosen package.Fees are automatically deducted from the rental collected.
15.2. Limitations of Liability: Preferental acts solely as a representative t for services related to each package selected and does not assume responsibility for actions outside of those specified within each package’s terms.
15.3. Amendments and Termination: Either party may terminate the service agreement with 30 days’ notice, provided all outstanding obligations are fulfilled. Should a party be in breach, written notice with 20 business days to rectify the breach will apply.
16. FEES AND PAYMENT TERMS
16.1. Preferental offers various facilities and methods of payment for Service Charges, Rental, Deposits, Property Charges and Collections Charges. These facilities may be made available by Preferental directly or through our agents or third-party companies authorised by Preferental to collect and facilitate payment.
16.2. For this clause, the words “we”, “us”, and “our” refer to Preferental, including its agents and authorised third parties.
16.3. For the purposes of this clause, ”Outstanding Balance” means and includes:
16.3.1. any Service Charges that may be payable by either a Tenant or Landlord to us in accordance with these Terms and Conditions;
16.3.2. any Rental, Deposit or Property Charges that we are entitled to collect from a Tenant for purposes of the Preferental Promise service;
16.3.3. any Collection Charges that may be incurred by us in attempting to collect any amounts from a Tenant or Landlord;
16.3.4. any amounts which are due by a Landlord to Preferental as contemplated in clause 6.19 (amounts due by Landlord to Preferental).
16.4. You may settle any Outstanding Balance by direct payment by way of Electronic Funds Transfer (EFT) into the Preferental bank account.
16.5. You must ensure that the correct payment reference is used when making a payment via EFT in order for Preferental to allocate your payment to your account. Preferental will not consider a payment as received until it has been allocated.
16.6. Preferental may directly debit the bank account associated with your Preferental Account if you elect the debit order service as your preferred payment option for your Outstanding Balance. Preferental may directly debit your bank account if a debit order is not your preferred payment option if your Outstanding Balance was not settled on time.
16.7. You hereby instruct and authorise us to draw against your account with the bank whose details have been provided to us for the registration of your Preferental Account (or any other bank or branch to which you may transfer your account) your Outstanding Balance on the first working day of each month. All such withdrawals from your bank account by you shall be treated as though they had been signed by you personally. You hereby authorise us to verify your bank account details with your bank.
16.8. You may incur Collection Charges or Administrative Fees if your payment is not received in the Preferental bank account or allocated on or before the date on which it is due. These charges and Administrative Fees will be billed to you irrespective of the cause of the delay in payment, and it is your responsibility to ensure that Prefernetal receives the payment on time.
17. DISCLAIMERS AND LIMITATIONS OF LIABILITY
17.1. Preferental makes available an online platform or marketplace with related technology for Tenants and Landlords to conclude Lease Agreements, and Preferental provides Services and tools to assist the Tenant and Landlord in managing their obligations towards each other. Preferental is not an owner of Properties, nor is it a provider of Properties, and Preferental does not own, sell, resell, furnish, provide, rent, re-rent, manage, insure and/or control properties. Unless explicitly specified otherwise in the Preferental platform, Preferental’s responsibilities are limited to facilitating the availability of the Site, Application and Services.
17.2. Preferental is not responsible for the condition of a Property or its maintenance or repair. These issues must be dealt with between the Landlord and the Tenant by the terms agreed between them in a Lease Agreement.
17.3. Preferental is not responsible for any damage or loss of furniture or other articles kept by a Tenant or a Landlord on a Property caused by leakage, rain, hail, snow, fire or interruption of water or electricity supplies or any cause whatsoever.
17.4. Preferental does not insure the Property, the contents of the Property or any other property of the Tenant or Landlord, whether movable or immovable, and it is your responsibility to ensure that your property and possessions are adequately insured.
17.5. Preferental will not be responsible or liable to the Tenant or the Landlord, or family, friends, servant or guests of the Tenant or Landlord for any loss sustained by any of them as a result of any theft, burglary or fire on or in or about the Property or any damages suffered as a result of any negligent act or omission on the part of the Tenant, Landlord, Preferental or its agents, as the case may be.
17.6. Preferental will not be responsible or liable for any personal injury which may be sustained in or on or about a Property by the Tenant or the Landlord, or family, friends, servant, or guests of the Tenant or the Landlord or any other person whatsoever, however, such injury may be caused.
17.7. In no event will Preferental be liable for any damages, including without limitation direct or indirect, special, incidental, or consequential damages, losses or expenses arising in connection with this site or any linked site or use thereof or inability to use by any party, or in connection with any failure of performance, error, omission, interruption, defect, delay in operation or transmission, computer virus or line or system failure, even if given gain, or representatives thereof, are advised of the possibility of such damages, losses or expenses.
18. VARIATION
18.1. Preferental reserves the right, at our sole discretion, to modify or terminate the Services or to vary these Terms and Conditions of Service at any time and without prior notice.
18.2. Should these Terms and Conditions of Service very, we will post the variation on the Site or via the Application and/or provide you with notice of the variation by email. Preferental will also update the “Last Updated” date at the top of these Terms and Conditions of Service.
18.3. Changes to the Terms and Conditions of Service will be effective at the time of posting. Your continued use of the Services will constitute acceptance of the revised Terms and Conditions of Service.
18.4. If the varied Terms and Conditions of Service contain material changes applicable to existing Landlords or Tenants (by decreasing your rights or increasing your responsibilities), Preferental will provide you with notice prior to the changes taking effect.
18.5. If the varied Terms and Conditions of Service are not acceptable to you, your only recourse is to cease using the Services and terminate your Preferental Account. If you do not close your Preferental Account, you will be deemed to have accepted the changes.
19. INTELLECTUAL PROPERTY
19.1. You acknowledge and agree that the Intellectual Property is the exclusive property of Preferental and its licensors. You will not remove, alter or obscure any copyright, trademark, or other Intellectual Property rights notices incorporated in or accompanying the Site, Application, or Services. All trademarks, logos, trade names, and any other devices of Preferental used on or in connection with the Site, Application, or Services are trademarks or registered trademarks of Preferental in the Republic of South Africa and abroad. Trademarks, logos, trade names and any other devices of third parties used on or in connection with the Site, Application, or Services are used for identification purposes only and may be the property of their respective owners.
19.2. Subject to your compliance with these Terms and Conditions of Service, Preferental grants you a limited, non-exclusive, non-transferable license to (i) access and view any Intellectual Property solely for your personal and non-commercial purposes and (ii) access and view any User Intellectual Property to which you are permitted access, solely for your personal and non-commercial purposes. You have no right to sublicense the license rights granted in this section.
19.3. You will not use, copy, adapt, modify, prepare derivative works based upon, distribute, license, sell, transfer, publicly display, publicly perform, transmit, broadcast or otherwise exploit the Intellectual Property or User Intellectual Property, except as expressly permitted in these Terms and Conditions of Service. No licenses or rights are granted to you tacitly or by implication under any intellectual property rights owned or controlled by Preferental or its licensors except for the licenses and rights expressly granted in these Terms and Conditions of Service.
19.4. Preferental may, in our sole discretion, permit you to post, upload, publish, submit or transmit User Intellectual Property. By making available any User Intellectual Property on or through the Site, Application, Services, or through promotional campaigns, you hereby grant to Preferental a worldwide, irrevocable, perpetual (or for the term of the protection), non-exclusive, transferable, royalty-free license, with the right to sublicense, to use, view, copy, adapt, translate, modify, distribute, license, sell, transfer, publicly display, publicly perform, transmit, stream, broadcast, access, view, and otherwise exploit such User Intellectual Property on, through, by means of or to promote or market the Site, Application and Services. Preferental does not claim any ownership of User Intellectual Property, and nothing in these Terms and Conditions of Service will be deemed to restrict any rights that you may have to use and exploit any such User Intellectual Property.
19.5. You acknowledge and agree that you are solely responsible for all User Intellectual Property that you make available through the Site, Application, Services or through promotional campaigns. Accordingly, you represent and warrant that: (i) you either are the sole and exclusive owner of all User Intellectual Property that you make available through the Site, Application, Services or through promotional campaigns, or you have all rights, licenses, consents and releases that are necessary to grant to Preferental the rights in such User Intellectual Property, as contemplated under these Terms and Conditions of Service; and (ii) neither the User Intellectual Property nor your posting, uploading, publication, submission or transmittal of the User Intellectual Property or Preferental’s use of the User Intellectual Property (or any portion thereof) on, through or by means of the Site, Application, the Services or promotional campaigns will infringe, misappropriate or violate a third party’s patent, copyright, trademark, trade secret, moral rights or other proprietary or intellectual property rights, or rights of publicity or privacy, or result in the violation of any applicable law or regulation
19.6. Intellectual Property Claims: Preferental respects the intellectual property rights of others and expects users to do the same. Preferental will respond to clear notices of alleged copyright or trademark infringement consistent with applicable intellectual property law.
20. PRIVACY POLICY
20.1. Your personal information is managed per our Privacy Policy, which explains how Preferental collects, uses, and protects your data. By using our services, you agree to the terms of the Privacy Policy.
21. CURRENCY, TAXES AND LAW
21.1. All amounts stated in these Terms and Conditions of Service and the Site are in the currency of the Republic of South Africa
21.2. All amounts stated in the Terms and Conditions of Service are inclusive of Value Added Tax (VAT) as determined in the Value Added Tax Act.
21.3. These Terms and Conditions of Service shall be governed by and construed per the laws of the Republic of South Africa, and you agree to submit to the exclusive jurisdiction of the South African courts.
21.4. Despite anything to the contrary in these Terms and Conditions, Preferental has the right to do all things necessary or appropriate to comply with the provisions and requirements of any legislation or regulatory authorities.
22. SIGNATURE
22.1. By accessing and using the Preferental website and services, and by completing the sign-up process, you acknowledge and agree to be bound by these Terms and Conditions, as well as any other policies or agreements referenced herein.
22.2. No digital or physical signature is required to accept these Terms and Conditions; your continued use of the website and services constitutes your acceptance.
23. THIRD-PARTY SERVICES DISCLAIMER
23.1. The use of third-party services is done at your discretion and risk, and with your agreement that you will be solely responsible for any damage you experience as a result of your use of Third-Party Services. Any warranty that is provided by a third party is provided solely by such a Third Party and not by Preferental or any Preferental affiliate
23.2. You acknowledge and agree that Preferental is not responsible for Third-Party Services and that Preferental makes no representations or warranties regarding Third-Party Services.
23.3. Preferental does not endorse and is not responsible or liable for any content, advertising, products or other materials on or available from any Third Party Services.
23.4. Preferental will not be responsible or liable, directly or indirectly, for any actual or alleged damage or loss caused by or in connection with the use of or reliance on any Third Party Services.
23.5. If you decide to enable, access or use Third Party Services, be advised that your access and use of such Third Party Services are governed solely by the terms and conditions of such Third Party Services.
23.6. You irrevocably waive any claim against Preferental and its affiliates concerning such Third Party Services. “Third Party Services” means third-party products, applications, services, software, networks, systems, directories, websites, databases and information which a Preferental Service links to, or which you may connect to or enable in conjunction with a Preferental Service, including, without limitation, Third Party Services which may be integrated directly into your account by you or at your direction.
24. PROPERTY TRANSFER PROCESS
24.1. If the new owner has an existing Preferental account, provide their User ID, you will have to request this from Preferental admin@preferental.com.
24.2. If the new owner doesn’t have an account, invite them to Preferental and wait for them to create an account.
24.3. Once the new owner has an account, provide their User ID to finalise the property transfer. Please contact Preferental for assistance in obtaining the User ID.
24.4. Remember, transferring a property ensures a smooth transition of ownership and historical information within the Preferental platform.
25. PROPERTY REACTIVATION
25.1. You’ve chosen to reactivate your archived property. By doing so, the property will be moved back into your active property portfolio, allowing you to manage it just like before. Here’s what will happen:
25.2. The property will be restored to your property portfolio overview.
25.3. You can edit, list/advertise, and manage the property as needed.
25.4. Any historical data associated with the property will be made accessible again
26. TECHNOLOGY INTEGRATION:
26.1. Preferental may employ AI, machine learning, and other emerging technologies to enhance user experiences and improve service delivery. By using our services, you agree to the application of such technologies in accordance with our Privacy Policy.
27. INDEMNIFICATION
27.1. You agree to indemnify, defend, and hold harmless Preferental, its officers, directors, employees, agents, and third parties for any claims, losses, liabilities, damages, and costs (including attorney’s fees) arising from your use of the Services or violation of these Terms and Conditions.
28. ARBITRATION
28.1. Any dispute arising out of or in connection with this agreement, including any question regarding its existence, validity, or termination, shall be referred to and finally resolved by arbitration under the rules of the Arbitration Foundation of Southern Africa.
29. TERMINATION OF SERVICE
29.1. Either party may terminate services with 30 days’ written notice.
29.2. Termination due to breach requires 20 business days to remedy the breach, failing which Preferental may terminate immediately.
30. PROCESS ACKNOWLEDGEMENT
30.1. By engaging in any process on our platform, you acknowledge and agree that each process may have its own set of policies and procedures. Your commencement and continuation of any process constitutes your acceptance and agreement to adhere to the respective policies and procedures governing that process at that time.
31. ACCEPTANCE OF TERMS
31.1. By using Preferental’s platform, users agree to these Terms and Conditions.
31.2. Users are encouraged to regularly review the Terms and Conditions for updates.
Preferental: Terms and Conditions of Service | Updated Date 25/02/2025
