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My complex, in a resort, has two main leasing agents for the owners of the units. One of the agents also has the maintenance contract for the common property, but I believe it is under a different name. The agent who also does the maintenance gives access to their room cleaners, to use the laundry chute, that is in locked rooms (one on each floor). My agent who leases my rooms and other owners rooms has been denied access to these rooms so his cleaners cannot use the laundry chute. To me the Strata Board, by not letting my agent have access to the laundry chute, is giving unfair advantage to a company that is in competition with my agent, which may raise my cleaning fees, due to the extra work my agent cleaners have to do.
I believe in NSW their is a precedent called “fraud on the minority” but I do not know much about it.
Any court cases or other information would be greatly appreciated.
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laundry chute
“Laundry chute”? In a residential strata? What on ever for? To save lot occupiers the hassle of carrying laundry to a common laundry room?
My first thoughts are that in mixed stratas there can be multiple OC/BCs and multiple common properties. Sometimes one OC/BC owns and has access to (and maintains) certain common property areas that the other OC/BCs do not.
Common property in mixed stratas with multiple OC/BCs can be a bit of an odd world of it’s own.
But it should all be documented in the strata plan.
“Laundry chute”? In a residential strata? What on ever for?
It’s a resort, Joyce – meaning the apartments are designed to be serviced daily. Having laundry chutes makes good sense if the bedding is being changed frequently.
Strata Board?
Do you mean Strata Committee?
If you have a normally-constituted Committee, you need to start writing to them stating your concerns.
Fraud on the minority is a company law thing that probably applies to strata plans but there wouldn’t have been enough cases on it to provide a definitive answer. Who is the minority? Who is the majority? What is the fraud?
It’s a resort, Joyce – meaning the apartments are designed to be serviced daily.
Yes, that part was obvious. My point being why would a residential OC/BC need it? Many “complexes in a resort” are a mixed use strata. Both commercial and residential use. My family owns a lot in one but they are not part of the commercial resort operation.
So the laundry chute possibly belongs to the commercial OC/BC as part of their common property. And if so the residential OC/BC lot owners would not have access to it.
So the laundry chute possibly belongs to the commercial OC/BC as part of their common property. And if so the residential OC/BC lot owners would not have access to it.
And the serviced apartment operators might feel very territorial about it if residential owners were, say, running Airbnbs in the building in contravention of the block’s development approval.
I’m not saying that’s what’s happening here, but I could see it happening somewhere.
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.
First make sure there is no by-law that allows exclusive use of the laundry chutes by this company.
If not, there’s probably no need to go down the fraud or restraint of trade road. Propose to the committee that they ensure that all owners have access to the laundry chute.
When they refuse or fail to comply, apply to Fair Trading for mediation with a view to action at NCAT to force them to do so, under section 232(2).
If there is a by-law, you could challenge it at NCAT on the basis that it is “harsh, unconscionable or oppressive” given that it favours one commerical interest and its clients to the detriment of others.
It may be worth you and other owners contacting a strata lawyer to issue a legal letter. If you are going it alone, contact Marrickville Legal Centre which provides free strata legal advice for the whole of NSW for those who can’t afford it themselves.
FYI, the term OC/BC probably means Owners Corporation or Body Corporate (the old term) which will be represented by your strata committee.
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.
I’m curious to know where the laundry chute goes.
Is it to a common laundry facility that everyone in the complex has access to? It would seem an odd arrangement to allow various independent lots to use the chute as they please and then sort out which are their items later where they all “land” (in the laundry room) at the end of the chute.
That’s why laundry chutes are usually for single commercial type operations. I’d agree to check the by-laws to see if their use is covered by one.
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