#18786
Jef


    @Jef
    said:
    Our Owners Corporation which has 19 lots is in the process of signing an agency agreement with a new strata manager (agent).

    The draft contract has a clause (clause 6) which sets out the agent’s liability as follows: “The agent is excluded from all liability for any claim, liability or loss arising directly or indirectly out of the services or additional services or arising from any cause of action whatsoever except to the extent that the claim, liability or loss is caused or contributed to by the agent’s breach of the agreement, breach of statutory duty, negligence, dishonesty or fraud”.

    “This clause applies to the extent permitted by law”.

    The clause is taken from a document with copyright by Strata Community Australia (NSW) Issue Version 2012.

    In the case of a legal dispute could this clause cause the Owners Corporation to be held responsible for any claims, damages etc. by third parties that were contracted to do work etc. , the benefits of which would accrue to the Owners Corporation, irrespective of how diligent the new agency would act?