#12777
Jimmy-T
Keymaster

    I don't think it's illegal, not sure if it's standard practice and whether or not it's ethical depends on how it's managed.

    There are obvious advantages on being approved by a strata manager and being able to advertise on their site.  There is obviously a cost involved in all of that and your question has to be whether it's worth it to your business or not.

    However, if the strata managers are, as you say, double dipping, it does sound a bit dodgy.

    But there is another point here.  Strata managers are notoriously underpaid for the work they do.  They are caught in a nexus where, if they put their fees up, someone else will offer a cheaper service and, since they are generally under-appreciated, a lot of OCs will grab the opportunity to save a few bucks.  It's almost never a good idea but it can take years of bad service before they realise they made a mistake.

    However, in the short term that forces strata manager fees down and leaves them to find other ways to make money or at least offset costs and it sounds like this might be one of them. 

    I'd be tempted to call some of the other tradies listed and ask them if they think it's a good deal.  If enough of them say no, then you might be able to change things.

    The opinions offered in these Forum posts and replies are not intended to be taken as legal advice. Readers with serious issues should consult experienced strata lawyers.