1. Description of Work
1.1. Euphoric Leisure (herein referred to as Euphoric) shall manage and market the Property on behalf of the Homeowner, on its real-time booking platform, with the goal of securing short-term bookings through its agent, members and rental clientele, to maximize the income for the Homeowner.
2. Rental Management Services
In exchange for the rental management fee that is charged to the Homeowner, Euphoric shall provide the following services:
2.1. Euphoric will endeavour to secure bookings for the Homeowner and will utilise multiple online booking platforms and a network of agents in order to increase exposure of the properties it manages.
2.2. Euphoric will write up the listing and optimize it across various booking platforms.
2.3. These online booking platforms typically charge 15%-17.1% (excl. VAT) of the gross booking value as a fee/commission on each booking they secure in a property. This fee is referred to as the platform fee and is payable to the relevant platform responsible for securing the booking. Examples of these platforms include Airbnb, Booking.com, Expedia, SA-Venues, Pangolin Collection, etc.
2.4. Euphoric also makes use of various independent agents who market Euphoric's properties to their respective client bases. These agents receive a 15% (excl. VAT) commission on the gross booking value of any bookings they secure in any property listed on the Euphoric website. This commission is referred to as the agent commission. On every booking there will either be a platform fee or an agent commission payable on the gross booking value, not both. These fees are collectively referred to as channel fees.
2.5. Euphoric is responsible for managing the pricing and availability across various channels as it deems fit. This is done through a thorough comparative market analysis. The Homeowner agrees that Euphoric has the mandate and expertise to make pricing decisions and is therefore not required to consult with them before accepting a booking from a Guest or setting the price for any Bookings. However, Euphoric will bear in mind the Homeowner's requirements and objectives for the property that have been communicated with Euphoric before making any decisions;
2.6. Euphoric will engage a photographer to take professional photos of the Property in a full photoshoot at the owners cost. A new photoshoot will be scheduled when there are any material updates to the property and new photos will be arranged to be taken every 2 or so years to ensure the property listing does not go stale with old photos.
2.7. Euphoric will respond to any enquiries raised by Guests in relation to a Homeowner's Listings and manage all communications with the Guests including any disputes that may arise.
2.8. Euphoric will arrange housekeeping and linen service for each Guest’s stay when Euphoric are responsible for the cleaning.
2.9. Euphoric will collect and process security deposits or damage waivers on the Homeowners' behalf.
2.10. The Homeowner can view the live availability of their property on Euphoric’s website and track all bookings on their specific real-time property report.
2.11. The Homeowner will receive his/her own Homeowner code that will trigger a 100% discount when booking his/her property on Euphoric's booking website. This homeowner code can be used to block off time in the calendar for personal or friends & family bookings. Homeowners understand that if any personal booking is not recorded on the live calendar and someone else books the property, then the confirmed booking must be honoured. Therefore, it's important that homeowners block off personal bookings through the platform, where they can see live availability, as soon as they decide to travel.
2.12. All bookings are governed according to the following definitions:
2.12.1. “Confirmed Booking”: Refers to a new booking that falls outside of the current cancellation period. This means the booking can be cancelled by the guest with a full or partial refund. The current cancellation policy can be found in 3.4 of the Rentals Ts&Cs: https://euphoricleisure.com/rental-ts-and-cs/. The cancellation policy is there to protect the Homeowner while remaining in line with market trends so as not to compromise bookings. The cancellation policy may vary per booking platform.
2.12.2. “Guaranteed Booking”: Refers to bookings within the current cancellation period, where the booking funds are guaranteed, even in the event of a cancellation.
2.13. Euphoric will market available time through online channels, social media, and its agent network, as well as to its existing rental base and Pangolin Club members. Euphoric will manage the calendar and all bookings must be routed through the Euphoric booking website or our office. The calendar is available for viewing on the Euphoric Leisure website: book.pangolincollection.com.
2.14. Euphoric may move bookings within the cancellation period due to extenuating circumstances that can be verified.
2.15. Euphoric will provide the Homeowner with a link to his/her own real-time property report that details each confirmed booking in the property, along with a breakdown of all the relevant fees and any miscellaneous sums owed or expenses incurred.
2.16. Homeowner pay-outs are consolidated on a monthly basis and a lump sum payment is made to the Homeowner by the 20th of each month following the relevant bookings check-in date. A booking’s check-in date determines in which month it is categorized. Therefore, if a booking is from 28th June to 5th July, this booking will be included in the June booking pay-out and will be paid by 20th July.
2.17. The Homeowner agrees that Euphoric shall not provide the Excluded Services (Appendix A) as part of this agreement. If there is a need for any of these Excluded services, both parties can discuss them as and when is needed and agree for Euphoric to arrange them at an extra cost.
2.18. Euphoric charges a rental management fee of 13% (excl. VAT) on the gross booking value of each booking made in the property.
2.29. The Homeowner share refers to the gross booking amount minus: the channel fee and the management fee.
2.20. Euphoric shall be the primary, but non-exclusive, rental agent of the property but may outsource certain functions at its own discretion.
2.21. All Pangolin Collection Homeowners agree to Pangolin Club members booking their property at the relevant discounted rates. The 50% discounts in the Pangolin Club collection exclude blackout dates (i.e. Peak Season), as shown in the calendar on the Euphoric booking website: https://www.book.pangolincollection.com/en/1993605/calendar. Pangolin Collection Homeowners automatically receive membership to the Pangolin Club for as long as their property remains listed in the Pangolin Collection.
2.22. Owners agree to provide Euphoric with five (5) free nights per year for site inspections, competition giveaways, influencer exchanges, team trips and the like.
2.23 Housekeepers or cleaning companies will be added to Euphoric's property management app and will receive notifications of confirmed bookings in the property so that they can schedule the relevant cleans.
3. Virtual Property Management & Administration Services
3.1. In order to maintain a high standard of accommodation for guests, should the Homeowner choose not to utilise Euphoric's virtual property management services, the Homeowner agrees to maintain the property to Euphoric's rental standards to ensure that guests have a great experience.
3.2. Should the Homeowner elect to make use of Euphoric's Property Management services, Euphoric shall provide the following services outlined below. It must be noted that these services are virtual and do not include being onsite. Onsite visits are only possible in certain destinations and are charged on an ad-hoc basis at a fee agreed with the owner.
3.2.1. Project management of any maintenance required on the property.
3.2.2. Sourcing of quotes for repairs and maintenance.
3.2.3. Management of contractors (excludes meeting with contractors onsite which will be charged on an ad hoc basis as and when required).
3.2.4. Replacement of damaged items (excludes any necessary collection or delivery fees).
3.2.5. Payment of 3rd party suppliers on the Homeowner's behalf (eg. cleaners, contractors, etc).
3.2.6. Property improvement and upgrade consultations.
3.2.7. Direct communication with the appointed ground operator regarding any maintenance requirements.
3.2.8. Communication with Homeowners regarding property management priorities and status updates.
3.3. Ensuring positive Guest experiences requires urgent attention to maintenance requirements. The Homeowner authorises Euphoric to incur expenses up to a maximum value of the property's security deposit (per month) on their behalf to conduct any emergency repairs or maintenance works or take such action that Euphoric believes is reasonably necessary to remedy/rectify a situation.
3.4. Euphoric agrees that it shall not undertake any significant or major repairs exceeding the property's security deposit amount without the Homeowners prior express consent except under Airbnb’s extenuating circumstances policy where there is a major safety hazard to life or property.
3.5. Should the Property receive 3 major complaints related to quality and upkeep within a 6-month period, or the property rating falls below an acceptable standard, Euphoric reserves the right to delist the Property until the Homeowner has addressed the issues or upgraded/refurbished the Property, and brought it back to a standard acceptable to Euphoric.
3.6. The Homeowner agrees that Euphoric may send members of their team to stay in the property for a minimum of 2 nights, twice a year, or in the event of multiple guest complaints more frequently, at the Homeowner’s cost, in order to do quality checks and provide feedback and suggestions to the Homeowner.
3.7. The Homeowner agrees to provide all the items set out in the Rental-Ready Checklist (see Appendix B). If these are not provided, Euphoric may buy these items and deduct the relevant amount + a 13% (excl. VAT) service fee from the next Homeowner’s monthly pay-out;
3.8. Property Management Fees 2023 (incl. VAT):
- 1 or 2 bedrooms: R750 per month
- 3 or 4 bedrooms: R1,100 per month
- 5 or 6 bedrooms: R1,350 per month
- 7 + bedrooms: R1,600 per month
Schedule: Billed monthly in arrears
3.9. If a Homeowner has not contracted Euphoric to conduct monthly virtual property management (which includes the above-listed services) but then requests any of the above-mentioned services to be carried out by Euphoric, Euphoric will charge a service fee of 13% (excl. VAT) of the total cost of the job/serviced rendered.
4. Duration of Work
4.1. The initial listing period will be for a period of 1 (one) year from the date of the property going live on the Euphoric platform and will continue in perpetuity unless cancelled by either party, giving 1 (one) months’ written notice. Cancellation of existing bookings by the Homeowner may be subject to cancellation fees detailed in clause 9.
5. Good Faith
5.1. The parties hereto shall act with the utmost good faith between each other in all matters concerning this agreement and the parties shall endeavour to ensure that the objectives of this agreement are met and realised.
6. Liability and Indemnification
6.1. The Homeowner must ensure that they maintain adequate and suitable insurance cover for all hospitality use and ensure protection against public liability for any claim against Euphoric or the guests of the Property in respect of fire, theft, and such other perils as deemed necessary for the fixtures, fittings and movables in the Property, including operating equipment.
6.2. The Homeowner also agrees and understands that Euphoric is not providing investment advice or real estate advice and that the Homeowner shall make their own independent decision on whether short-term letting is the right solution for them. Notwithstanding any of these terms and conditions and whilst Euphoric warrants that it shall endeavour to ensure that the service provided is of the highest standard, no warranty can be given to the Homeowner in respect thereof. The Homeowner indemnifies Euphoric, its employees, contractors, guests and other persons connected in some way to the provision of the services against all claims for loss unless due to the deliberate or grossly negligent actions of the relevant party.
6.3. The Homeowner will contract directly with a guest and Euphoric will not be liable in respect of any matter arising which relates to a booking between the Homeowner, Euphoric, and a guest which includes the breakage of any items at the property caused by the guest or due to reasons beyond Euphoric’s reasonable control.
6.4. Any malicious or accidental damage to the Property caused by guests or their visitors, is the guest’s responsibility. All damages should be photographed and reported by the cleaning staff/company within 48 hours of the guest vacating the Property or before the next guest checks-in, whichever is sooner, along with details of the damages items (brand, size, colour, description, etc). Euphoric may hold a breakage deposit for bookings made through agents or the various online booking platforms. Euphoric is not responsible for payment of damages on unsuccessful claims and will not be held liable for any damages. Euphoric will merely act as a mediator between the Homeowner and the guest during the breakage claim process. Damage claims will only be processed on damages exceeding R150.00.
6.5. Euphoric will not be liable for the provision of services by third parties (any “Third Party Supplier”) including those who provide the Extra Maintenance Services or any other maintenance or repair services that Euphoric book on the Homeowner’s behalf. However, Euphoric will ensure that we take reasonable care and skill in selecting such Third Party Suppliers.
7. Arbitration and Jurisdiction
7.1. Should there be a dispute in regard to the interpretation of the terms of this Agreement or the standards to be achieved in respect of the project as a whole or in relation to a part thereof, the parties shall agree on the selection of an Arbitrator who shall have the appropriate qualifications to tend to such dispute.
7.2. Both parties shall draw up their contentions in respect of the dispute and shall forward the same to the Arbitrator within seven (7) days of the Arbitrator’s selection by the parties.
7.3. The Arbitrator may call upon the representatives of the parties either singly or together to elicit further information to assist the Arbitrator in making his/her decision.
7.4. The Arbitrator’s decision shall be final.
7.5. Such Arbitration proceedings shall not be subject to the Arbitrations Act 1965.
7.6. The party least favoured by the Arbitrator’s decision shall be liable for the entire costs of the arbitration proceeds.
7.7. Should the parties be unable to agree on the selection of the sole Arbitrator to attend to the dispute, the matter shall be referred to the group leader of advocates Group 621 or the Brooklyn Group of Advocates for an arbitrator to be appointed by the aggrieved party, which decision to appoint the Arbitrator shall be final.
8.1. Should either party be in breach of any provision of this Agreement, the aggrieved party shall, by means of a written notice give the offending party fourteen (14) working days within which to remedy the cause for complaint, failing which the aggrieved party shall have the right to:
- Grant the offending party further time to remedy the cause for complaint.
- Cancel this agreement with immediate effect and pursue damages.
9. Cancellation by Homeowner
9.1 The following cancellation penalties are applicable to a booking which has been confirmed by Euphoric and are applicable when a Homeowner cancels a booking, except if the booking is cancelled due to extenuating circumstances:
9.1.1 If the booking is cancelled by the Homeowner more than 30 days before check-in, a cancellation fee of 20% of the reservation amount is applicable.
9.1.2 If the booking is cancelled by the Homeowner more than 14 days but less than 30 days before check-in, then a cancellation fee of 35% of the reservation amount is payable by the Homeowner to Euphoric.
9.1.3 If the booking is cancelled by the Homeowner 14 days or less before check-in, then a cancellation fee of 60% of the reservation amount is payable by the Homeowner to Euphoric.
9.2. The Homeowner is required to make payment of the cancellation fee to Euphoric within 7 days of the booking being cancelled. Proof of the amount owing in terms of the cancellation is to be by way of a cancellation invoice generated and issued to the Homeowner and shall include inter alia the date of cancellation by the Homeowner, the original check-in date of the guests, and the amount to be paid by the Homeowner.
9.3. The Homeowner agrees that the sum set out in the cancellation invoice shall be prima facie proof of:
9.3.1. The amount owing by the Homeowner to Euphoric (including without limitation accrued interest) in terms of the cancelled booking;
9.3.2. The due dates of performance in respect of any obligations of the Homeowner in terms of this Agreement;
9.3.3. The fact that the amount outstanding is due owing and payable and has not been paid or otherwise discharged
10. Extenuating Circumstances
10.1. Guests and Homeowners may cancel a booking due to extenuating circumstances without adverse consequences.
10.2. Guests that are impacted by an event covered in clause 10.4 can cancel their reservation and receive a travel voucher to the value of the reservation/booking amount..
10.3. Homeowners that are impacted by an event covered in clause 10.4 may cancel or move a booking without cancellation fees, as detailed in clause 9.
10.4. The following events would be considered extenuating circumstances as it relates to cancellations. These events must occur after booking, are unforeseen at the time of booking, and prevent or legally prohibit completion of the booking.
10.4.1. Changes to government travel requirements. Unexpected changes to visa or passport requirements imposed by a governmental agency that prevent travel to the destination. This doesn’t include lost or expired travel documents or other personal circumstances relating to a guest’s authorization to travel.
10.4.2. Declared emergencies and epidemics. Government declared local or national emergencies, epidemics, pandemics, and public health emergencies. This does not include diseases that are endemic or commonly associated with an area—for example, malaria in Thailand or dengue fever in Hawaii.
10.4.3. Government travel restrictions. Travel restrictions imposed by a governmental agency that prevent or prohibit traveling to, staying at, or returning from the Listing location. This does not include non-binding travel advisories and similar government guidance.
10.4.4. Military actions and other hostilities. Acts of war, hostilities, invasions, civil war, terrorism, explosions, bombings, rebellions, riots, insurrection, civil disorder, and civil unrest.
10.4.5. Natural disasters. Natural disasters, acts of God, volcanic eruptions, tsunamis, and other severe and abnormal weather events.
11. Cancellation of Mandate by Euphoric Leisure
11.1. In the event that Euphoric Leisure provide a Homeowner with notice of cancellation of their mandate, all existing confirmed bookings must be honoured and Euphoric Leisure must continue to provide the relevant rental management services relevant to these particular bookings. Any confirmed bookings that are not honoured by the homeowner will attract cancellation penalties as per point 9 of these T&Cs.
Appendix A: Excluded Services
Euphoric does not provide the following services as part of this agreement:
- Deep cleans including sofa, carpet and other upholstery cleanings
- Co-ordinating structural or major repairs or maintenance works on the Property
- External window washing
- Washing walls or repainting them
- Furniture treatment
- Animal waste removal
- Gardening, garden shed cleaning, patio cleaning
- Mould and/or bio-hazardous substance removal
- Industrial cleaning
- The lifting of heavy furniture
- Extermination (insects etc.)
- Yard work or garage cleaning
Appendix B: Rental-Ready Checklist
Euphoric reserves the right to buy these and charge you for them.
- Two pillows per person
- One duvet per bed
- Mattress protector
- Blackout curtains
- Bedside lamps
- Space to hang / store clothes
- Bedroom Furnishings
- Soft furnishings – rugs, extra cushions, throw
- Extra blankets for emergencies
- Kitchen Facilities
- Large Bin with cover
- Basic condiments for cooking* (for e.g. olive oil, salt, pepper, balsamic vinegar, sugar, basic spices etc)
- 2 plates, 2 bowls, 2 coffee mugs, 2 glasses, 2 wine glasses per person
- 2 forks, 2 regular spoons, 2 teaspoons, 2 knives per person
- Frying pans, saucepans and stock-pots in basic sizes
- Cutting knives and a chopping board
- Serving spoons
- Pair of scissors
- Bottle Opener
- Wine opener
Living Room Essentials
- Coffee table
- TV + DSTV or Mi Box* (If no DSTV there must be Netflix)
- Travel adaptor
Living Room Furnishings
- Soft furnishings
- Floor lamps
- Board / Card Games
- Bathroom Essentials
- Toilet brush
- Toothbrush holder
- Extractor fan / Dehumidifier
- Small Bin with cover
- Bathroom Furnishings
- Full-length mirror
- Toilet roll holder
- Rack or cabinet space for towels and guests’ toiletries
- Shower curtains for a bath-tub if necessary
- Cleaning Essentials
- Mop and Bucket
- Vacuum cleaner and 1 pack of bags
- Multi-surface cleaning liquid
- Dustpan & brush
- Dishwasher tablets
- Washer detergent tablets
- Dishwasher salt
- Diffuser liquid for bathrooms/room freshener
- Febreze fabric freshener
- Mould spray
Other Home Essentials
- Working wi-fi
- Iron & Ironing Board
- Washing Machine
- Clothes Stand (Even if you have a tumble dryer!)
- Extension Cord
- Extra batteries for remote controls
- Extra bulbs for lamps & ceiling down-lights with correct wattage and specs
- Electric heaters for emergencies