Patch wrote:
In theory Lot owners have rights to request information but in the real world the committee will never respond or address an issue if they have what might be perceived as a conflict of interest.How do you establish who owns the pump room ? And who decided on the level of compensation ?
There are so many possible angles you can take on this – and so many possible solutions – that you need to step back and assess what it is that you want and then what is the best way to achieve this.
Regarding who owns the pump room, that should be established by checking the original strata plan and then requesting copies of any documents showing the transfer of ownership (if they exist). These documents should be held by the strata manager.
Regarding the flaws in process, these can be remedied by having the by-law rescinded and/or having the treasurer/secretary removed from his position or from the committee entirely.
Here are some general observations and options for you to consider:
1. From what you say, the by-law was never valid to begin with because it was proposed by someone who did not have the right to do that. That’s a starting point but it doesn’t make the by-law automatically invalid if it hasn’t been challenged within a specific period. You might have to make that part of your challenge to the by-law as being unjust.
2. The secretary’s dealings with the owners corporation are not and can’t be “private”. As members of the OC, you and other owners are entitled to see every document that passes through as a record of the OC’s dealings with anyone about anything. Even “sealed” decisions of a court in relation of a case involving an owners corporation have to be available for viewing by OC members.
3. The secretary treasurer, in failing to run the scheme competently and within the parameters set down by the strata Act – especially regarding meetings, agendas and minutes – has rendered himself liable to removal on that basis alone.
4. The strata committee can replace the secretary or treasurer in those roles (but not as members of the committee) by a simple vote at the committee.
5. The Owners can remove the committee member – or the whole committee – by special resolution (75 percent of those voting) at a general meeting, either an EGM or AGM.
6. Any owner can apply to NCAT (via mediation at Fair Trading) for orders rescinding by-laws or removing committee members.
7. The ultimate, be careful what you wish for, option is to seek the appointment of a compulsory strata manager to take over the duties of the strata committee and the OC as a whole.
On the question of compensation, normally the committee would approach a couple of local estate agents and ask them for a valuation, averaging out the figures. No one should be plucking convenient figures (like the owner’s levies) out of thin air.
Finally, I think you need some level of professional advice and I recommend that you contact our sponsors, Strata Answers (click on the ad on the right) and they will advise you on what you can and can’t do, and the best way forward.
At the very least, it sounds like this committee member doesn’t know or care about strata law and is a bully – and that’s a very dangerous combination for any strata scheme.