Article 24 of the Property Management Regulations stipulates that

Article 24 of the Property Management Regulations stipulates as follows:

1, the state encourages construction units to select property service enterprises through bidding according to the principle of separating real estate development from property management;

2, residential property construction units, should choose the realty service enterprise through bidding;

3. The area where the property is located if there are less than 3 bidders or the residential scale is small; With the approval of the real estate administrative department of the county people's government, the realty service enterprise can be selected by agreement.

Property service responsibilities are as follows:

1, within the property management area, water supply, power supply, gas supply, heating, communication, cable TV and other units shall charge relevant fees to the end users;

If the realty service enterprise accepts the entrustment to collect the fees mentioned in the preceding paragraph, it shall not collect additional fees such as handling fees from the owners;

2, the property management area in violation of public security, environmental protection, property decoration and use of laws and regulations. , the realty service enterprise shall stop it and report to the relevant administrative departments in a timely manner;

3. After receiving the report from the realty service enterprise, the relevant administrative department shall stop the illegal act or deal with it according to law;

4. The realty service enterprise shall assist in the safety work within the realty management area. When a safety accident occurs, the realty service enterprise shall, while taking emergency measures, report to the relevant administrative departments in a timely manner to assist in the rescue work;

5, the realty service enterprise to hire security personnel, shall abide by the relevant provisions of the state. Security personnel shall perform their duties when maintaining public order in the property management area, and shall not infringe upon the legitimate rights and interests of citizens.

To sum up, this article stipulates the selection method of property management enterprises engaged in early property services. Therefore, it is illegal for developers to directly entrust their subsidiaries as property service enterprises, and property service enterprises should be selected through bidding. If the subsidiary of the developer meets the bidding conditions and wins the bid under the condition of fair competition, it is also legal as a property service management company.

Legal basis:

Article 24 of the Regulations on Property Management

The state encourages construction units to select and employ property service enterprises through bidding in accordance with the principle of separating real estate development from property management.

The construction unit of residential property shall select the realty service enterprise through bidding; If the number of bidders is less than three or the residential scale is small, with the approval of the real estate administrative department of the district or county people's government where the property is located, the property service enterprise may be selected by agreement.

Article 56

If, in violation of the provisions of this Ordinance, a residential property construction unit fails to employ a property service enterprise through bidding or employs a property service enterprise through agreement without approval, the real estate administrative department of the local people's government at or above the county level shall order it to make corrections within a time limit, give it a warning and may impose a fine of more than 6,543,800 yuan.