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To add to Jimmy’s comments –
s 19 SSMA 2015 – Chairperson may rule certain motions out of order
The chairperson at a meeting may rule a motion out of order if:
(a) the chairperson considers that the motion, if carried, would conflict with this Act
or the by-laws of the strata scheme or would otherwise be unlawful or unenforceable, or(b) any requirement of this Act to include the form of the motion in the
notice of the meeting has not been complied with.Whilst I have no experience with mould, I have been to the Tribunal to oppose a claim by my landlord to retain a portion of a bond (for ‘tree trimming’).
The landlord’s application was rejected because property inspection report did not mention anything about maintaining height of trees – a very expensive exercise in my case.
The lack of a supporting property inspection report may go against you.
Presumably you will be having a close and meaningful conversation with your property manager as well.
I am happy to share our experience with you – but at the end of the day, you probably need legal advice (see sponsors of this forum).
Our insurance does not cover damage caused by leaks due to ‘defective’ work or poor maintenance.
All of our owners (245 lots in NSW) were legally obligated to contribute to repairs to about 20 apartments caused by a failed waterproofing membrane (Total costs about $2miilion).
Some owners struggling to pay their bit were offered a payment plan, others were taken through the courts.
Lawyers advised us (in the strongest terms) that the OC WILL pay for the repairs.
Trying to get ‘other responsible persons’ to pay cost us $300,000 +.
Compensation for loss of rent was allowed for in our settlement agreement.
Hope this helps.
Our scheme in NSW has just entered a $1million contract – predominantly covering works to replace defective roof membrane.
Our lawyers reviewed the contract and added clauses to cover ‘proportionate liability’ and ‘delay liquidated damages’. If you haven’t heard of these issues then you definitely need a lawyer.
A subject close to my heart.
As background – our NSW community of 9 strata schemes (representing about 1400 lots) has an ‘executive committee of 9 persons’ which is in the habit of making submissions to council and other government agencies on behalf of the community.
Since, these persons are also most likely to be the first to know what is going on in the wider community they should be proactive in generating community consultation and feedback or be silent (my personal opinion).
Unfortunately, the majority of members of this committee are developer influenced/related and are not only resistant to an inclusive approach they may actively support certain issues – ranging from short-term letting and dog walking to increasing building heights from 8 levels to 30!
Without consultation with the wider community, this committee is acting without ‘authority’ – in my view.
As well, this ‘authority’ trickles down to some individual strata committees who then feel they can duplicate this and make further submissions to the relevant bodies without consultation with owners in general.
Unfortunately for me, as Secretary of our 245 lot scheme, I am often the first to be pressured to take a stance (meat in the sandwich so to speak). One owner will want their committee to make representation on behalf of all owners, another challenges our right to do so.
Austman – my experience tells me that your committee is taking the right approach by placing a motion on the next meeting agenda. It is now up to you and other owners to have your say.
If enough owners agree with your point of view, then I doubt the committee would adopt the motion. If no-one objects, then the committee will likely feel it is ‘authorised’ to make an assumption that owners approve…….?
Forgot to add.
There was also a very generous first-home owners rebate and a waived NSW Government property tax (that alone saved about $25,000!)
Interesting.
From 2004-2006, a large developer in NSW offered ‘off-the-plan’ purchases that included:
1. 50% rebate of rent paid on another of their already built apartments to be counted towards the deposit – including 6.5% interest on that money. Rents at that time were $400-$500 a week.
2. An expectation that the ‘off-the-plan’ purchase would not settle for at least two years
3. For a 5% cash deposit on one apartment, you could purchase two apartments!
4. Guaranteed finance from one major or merchant bank
Needless to say, the GFC hit, the valuations of the apartments fell 20%, the merchant bank went belly-up, the major bank tightened its lending criteria, the developer tried to squib on its deposit agreement.
Like Boronia, our building insurance policy includes office bearer liability. No need for separate insurance.
Serious subject, but good to get a smile. Thanks Jimmy
Frankly, I think the time for logic has passed – those affected need to get emotional, band together, and create enough disturbance that MPs will understand their safe seats are at risk for ignoring community concerns. Think council mergers!
Hi Stratademocrat
Our scheme recently went through a similar process where we complained to NSW Fair Trading about a lack of ‘due process’ – that is, not receiving meeting notices.
In mediation, it was agreed that the notices would be emailed within the proper time frame. It was also agreed that the next agenda would include motions to that effect – that is the committee/SM agreed to ensure that all owners received notices in a timely manner.
As it turned out, the first meeting went swimmingly, but the second one reverted back. So, I politely reminded the committee/SM that I did not have to go back to Fair Trading again, but rather had the option to apply to NCAT for the SM to be replaced.
Of course, whether I would have won that is another matter but at least we are back on track again.
Now, I am the least favourite person in our community. Sigh!
Yes, you can complain, but I believe it is really the responsibility of the committee/Treasurer to ensure that all invoices are scrutinised prior to being paid. Expecting the strata manager to do it, is a bad idea in my experience.
We recently had a Sydney water bill increase from $8,000 to $40,000 over one quarter. But after much agitation from me (as Secretary) and panic by the building manager who could not identify a leak anywhere, it was confirmed by Sydney Water that there was a faulty meter (they guessed the usage!). The bill was reduced accordingly.
As Jimmy has said, there could be several reasons for the increased water usage Also, take a walk around the complex and check that there are no obvious leaks, and check the meters as well.
Good luck.
NSW Requirements:
17 Minutes and other records
(1) Records to be kept A strata committee must cause to be kept a record of its decisions, any notices given under this Schedule and full and accurate minutes of its meetings.
(2) The minutes must include minutes of all resolutions passed in accordance with this Schedule.
(3) Distribution of minutes and records of motions Within 7 days after a meeting of a strata committee or the passing of a resolution by the strata committee, the strata committee must provide copies of the minutes of the meeting or of the resolution in the following manner:
(a) by giving each member of the strata committee a copy,
(b) by giving each owner a copy, if the strata scheme is not a large strata scheme,
(c) by giving an owner a copy, if the strata scheme is a large strata scheme and the owner requests a copy within the period of 7 days.
Could it be that the committee is holding informal meetings – to chat and not make decisions…….? Our scheme has regular such meetings, but NO decisions are made.
Firstly, so that you have a record, I would email the SM and ask for copies of the agenda and minutes of those recent meetings. Then, depending on that response make a complaint to Fair Trading. If no response within a reasonable time, make the complaint anyway.
There appear to be differences between the Act and the Regulations – especially when it comes to flooring.
The Act – Minor Renovations:
(3) Minor renovations include but are not limited to work for the purposes of the following:
(a) renovating a kitchen,
(b) changing recessed light fittings,
(c) installing or replacing wood or other hard floors,
(d) installing or replacing wiring or cabling or power or access points,
(e) work involving reconfiguring walls,
(f) any other work prescribed by the regulations for the purposes of this subsection.
Regulations – Minor Renovations
28 Minor renovations by owners
Work for the following purposes is prescribed as minor renovations for the purposes of section 110 (3) of the Act:
(a) removing carpet or other soft floor coverings to expose underlying wooden or other hard floors,
(b) installing a rainwater tank,
(c) installing a clothesline,
(d) installing a reverse cycle split system air conditioner,
(e) installing double or triple glazed windows,
(f) installing a heat pump,
(g) installing ceiling insulation.
I agree with JimmyT – except for ” check the directors out through ASIC and then go to the Austlii website to see if their previous companies have been dragged before your state’s Civil Administration Tribunal more often than a good operator should”
In our experience of 7 years chasing defects, we learned that the smart/clever developers/builders don’t end up getting named adversely in any court system. Usually because the over-riding company use subsidiary names, and when getting close to losing a case they offer agreements on condition they do not get named!
My advice, is never buy anything off the plan or anything less than 10 years old. Stay away from complex setups such as community associations and certainly don’t go near mixed residential and commercial schemes. Also think twice about those fancy 20+storey schemes with massive pumping/plumbing arrangements to water plants hanging off the roof!