Strata manager myth made ‘fact’ in SMH

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Can we just make something clear? Strata Community Association (NSW), the strata managers’ professional group, does NOT represent strata owners, residents or tenants. 

Why would anyone even think that? They are the professional body for strata managers and some service providers, right?

Well, in an otherwise sound Sydney Morning Herald expose of problems in strata, it said exactly that, identifying SCA-NSW as representing strata owners and tenants.

Now, to be fair, the SCA has had an owners sections in the past, but they didn’t represent owners then and they don’t now, any more than frequent flyer programs represent airline passengers.

We strata owners are their clients and their customers, not their constituency.  Many schemes – about half at the last count – don’t even have strata managers, so how can anyone think strata managers represent us?

And if you want to test this theory, take a complaint against your strata manager to the SCA and see what happens (bearing in mind that you have to be a member of the SCA before you can make a complaint). You’ll soon find out who represents whom.

Adding considerable edge to this issue, strata managers comprise the one group of professionals, more than any others, with whom strata owners are likely to be in conflict.

Why?  Because strata managers work for strata owners to advise and assist them.  Many do, and do so very well.  Some don’t – and when you complain, that’s when you find out who SCA-NSW really represents.

The point is, they are the professionals most likely to come into contact (and therefore potential conflict) with strata owners.

Strata managers also work for developers – and arguably make more money out of them than they do out of strata owners.  Do they represent them?  Ask a developer and stand well back in case they explode.

And, seriously, can strata managers “represent” strata owners while a huge chunk of their income is from the other group with which they (strata owners) are most likely to be in dispute?

Now, to be clear, there is no evidence that SCA-NSW told the SMH journo that they represented owners and tenants, but neither party is rushing to correct the record. The SMH journo was given the opportunity to amend the report online, at least, but told me “it depends what you mean by represent”.

OK, this is what the Cambridge Dictionary says “represent” means: “to speak, act, or be present officially for another person or people”; Oxford Words says: “be entitled or appointed to act or speak for (someone), especially in an official capacity”; the Collins English Dictionary says: “to act as or be the authorized delegate or agent for…”

Those emphases are mine but I just want to be clear that in this context “represent” requires the person or people or body represented to be officially appointed as that representative. 

And that’s what really worrying.  When misinformation becomes embedded in a “newspaper of record” it soon gets repeated and repeated until it’s accepted “fact”.

So, for the record, in case any journalists and especially editors and sub-editors are reading this, owners in NSW are represented by the Owners Corporation Network, tenants are represented by Tenants NSW, developers are represented by their own self-interest groups and most strata managers, but not all, are represented by SCA.

And there’s another question: if the SCA doesn’t represent all the strata managers in NSW, and not all owners employ strata managers – as very many don’t – how can anyone claim SCA represents strata owners?  Time for a reality check, methinks, and an online correction in that SMH article.

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  • #72693
    Jimmy-T
    Keymaster

      Can we just make something clear? Strata Community Association (NSW), the strata managers’ professional group, does NOT represent strata owners, resid[See the full post at: Strata manager myth made ‘fact’ in SMH]

      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.
      • This topic was modified 7 months, 3 weeks ago by .
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    • #72707
      TrulEConcerned
      Flatchatter

        I missed the SMH article but am entertained weekly by the SCA mouthpiece on Sunday afternoons on 2GB. I recall the SCA gentleman often giving the impression that owners, strata managers etc can all join the SCA. As though it’s just one big happy family where everyone’s interest is looked after equally. Never have I heard reference by him to the Owners Corporation Network or other organisation as a more suitable grouping for owners to in which to congregate.

        #72709
        Jimmy-T
        Keymaster
        Chat-starter

          I am told some (but not all) strata managers are advising their committees not to join OCN because they will be looked after by SCA for free.  These are the same people who “look after” owners by slipping one-sided, financially punitive embedded network contracts into first AGM agendas, when they know it’s just a way of ripping off apartment owners and lining the pockets of the developers.

          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.
          #72738
          LoveTheView
          Flatchatter

            It’s the Name – Strata Community Association – which is totally misleading.  The organisation should be called Strata Managers Association.

            #72740
            Jimmy-T
            Keymaster
            Chat-starter

              As if they would set out to mislead!  FYI, when the OCN first started about 20 years ago, the fledgling Victorian Strata Managers body called itself Owners Corporation Network (this statement is not entirely accurate and has been corrected below – JT)

              It must be deeply embarrassing for the decent strata managers – of whom there are many – to see how low some of their colleagues are prepared to sink to support their profit and maintain their cartel.

              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.
              • This reply was modified 7 months, 3 weeks ago by .
              #72742
              JulieMcLean
              Strataguru

                Hi Jimmy, just a correction. SCA (Vic) was never called it’s self OCN. Nor would I call it fledgling. In its 30 plus years history it has been:

                1989 IBCM – Institute of Body Corporate Managers

                2007 OCV – Owners Corporation Victoria – reflecting the change in legislation from body corporate to owners corporation.

                2011 Strata Community Management Vic – reflecting the desire of all states and territories to unite as a federal body.

                OCN Docklands as it was known however has struggled in the past and indeed has been fledgling. However, the good and exciting news is we now have a Victorian board member on the OCN board and I hope this is a big turning point for us in Victoria.

                Fledgling no more for Victoria. Both organisations SCA and OCN are already working together to bring sustainability solutions, disaster resilience and best practices for the benefit of both owners and managers. I agree there will always be differences and times we will both speak independently but most of the time we are working to support each other when we can.

                There is so much good we can do together and the reason why I and so many others volunteer.

                Keep up the good work Jimmy.

                #72748
                Michele
                Flatchatter

                  Morning , OCN was set up for Owners .. it wasn’t just Docklands and the plan was to grow . We had people from Kensington and South bank . Very early days of larger complexes to Victoria. If I remember correctly we had the name first then when there was a name change NSW took the name . I’m pleased to know after 20 years there’s movement but well and truly overdue!

                  #72755
                  Jimmy-T
                  Keymaster
                  Chat-starter

                    Hi Jimmy, just a correction. SCA (Vic) was never called it’s self OCN. Nor would I call it fledgling. In its 30 plus years history

                    I stand corrected, although I was referring to a time more than 20 years ago when strata management in Victoria was still finding its feet to some extent.

                    More importantly, is OCN Victoria a similar organisations to OCN NSW, and if so how can I get in touch with them?

                    And it’s good to hear from you again, Julie, even if it is to have my knuckles rapped.

                    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.
                    #72779

                    Hi Jimmy

                    Thanks for article and I had made the same point to the journalist who wrote that article.

                    In addition to your previously made points about SCA proporting to be an owners representative, (ie conflict and embedded networks)  I think there are a few more questions one should ask:

                    What is their view on the one sided SCA Strata Management Contract?  OCN has some advice on our website as to how to deal with some of the more offensive clauses.

                    What is their view on insurance commissions?  There have been much written and said about a business model which relies on what are often excessive commissions.  OCN and many others have advocated for ceasing commissions and getting back to true strata management business.  We are aware that there are strata management companies who agree with this approach.

                    Just how many submissions have they made advocating for the rights of strata owners?   We know they have done some advocating for the rights of their constituency, ie strata managers. But how many for owners?  Conversely we have done almost 100 such submissions in just the last 10 years.

                    On the question of other states, our business name is Owners Corporation Network of Australia ltd. Although we have been mostly focussed on NSW, we currently have a sub-committee working on a nation model.  We have OCNACT, Queensland representation on that sub-committee as well as the Victorian representative on our board and sub-committee, that Julie mentioned.  More on the outcomes at a later date

                    #72786
                    Jimmy-T
                    Keymaster
                    Chat-starter

                      Good point on submissions.  How can they claim to represent owners when they never publicly advocate for them? I’m sure that SCA would argue that all their submissions would benefit strata owners because anything that’s good for them is good for everyone involved.  Poppycock, obviously, but that wouldn’t stop them saying it.

                      Some of us can remember when the SCA’s predecessors, the ISTMS, threatened to sue owners corporations if they tried to modify its one-sided contracts, on the grounds that they were “copyright”.

                      It was a cartel then and nothing has changed except that it is now officially a “profession” – which only means it has a different code of conduct to ignore.

                      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.
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