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Our Executive Committee is preventing the attachment of Strata Seals to a council document and I am wondering what course of action we have?
I live in unit 5 of a 6 unit building; I and the other top floor unit owner (unit 6) are submitting a DA for renovations that will allow us to go into the roof space. This is all very above board and clearly outlined in our By-Laws that we have permission to do this.
After the DA was submitted to council, the council asked us to provide the Strata secretary’s name, signature and contact details, as well as the strata seal. A very easy request and what should be a formality.
When we approached the Strata manager to supply this information he refused on the grounds that, although he is the holder of the seals, he is not the “secretary”. He made it very clear that he would not attach the seals without consent from the Executive Committee.
Our Executive Committee consists of 3 members and they do not have any specific titles i.e. there is no identifiable “Chairman”, “Secretary” or “Treasurer”. However, 2 of the 3 executive Committee Members have already voiced their opinion that they do not believe we should do this renovation and ‘booom’ you can see the problem. These Executive Committee Members are using their power to prevent us from submitting our application. PS. The 3rd Executive Committee Member is my neighbour, the owner of unit 6 that is making the DA with me.
Any quick solution ideas? I know through reading several articles that I can ask for a GM, but this will take several weeks to complete. What fast, short term courses of possible action do I/we have?
One thought I have had is to write to the Executive Committee stating the Strata rules, regulations and procedural formalities that they are not following. I.E. That it is inappropriate for the Executive Committee to refuse a reasonable request for personal reasons.
Are there other parts of the Strata Act that may apply? Can anyone point me to various parts of the act that could be important? I am in Bondi, NSW.Finally, does the Strata Manager have the right note to provide information or place the Strata Seal on any authorized Council Documents? What are his roles and responsibilities in this matter? Delays to the construction could have financial implications to me – can I forward these onto the Strata Manager if he is acting improperly?
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Waz – an Owners Corporation granting the type of consent that you state is in your Plan’s By-Laws is quite unusual, and as your proposed works would have required a vote at a General meeting as a Special Resolution, where an opposing vote by only those two Executive Committee Member/Owners that you’ve referred to would, depending upon their unit entitlements, have seen your proposal defeated in that forum, I’m wondering if you actually have the type of consent that’s required for the scope of works that you propose.
So before I and others head down a blind alley, could you please advise the nature and content of the By-Law that you’ve referred to, and by what process it came into being?
I have a slightly ‘off topic’ question! What are Strata Seals?
Should each Owner’s Corporation have a seal. I have been in our strata and on the EC for 10 years and we have no seals. We just sign for and on behalf of Strata Plan XXXXX. We have never been asked for Strata Seals!
Strata Seal is a rubber stamp with the number of your strata plan on it. It’s usually kept by the strata manager (which may explain why you have never seen it …).
Not to be concused with Navy Seals, who are the USA’s elite special forces unit who, among other things, “got” Osama Bin Laden.
Oh, that we had Strata Seals like that!
Apropos of nothing, the phrase “signed, sealed and delivered” comes from affixing a seal in wax to a document. The seal was also often used to keep it closed until received by the appropriate person. “Sealed” in that phrase has nothing to do with enveloped that have been glued shut.
Anyway, here is a reference to seals from the Act:
Part 4 Seal of owners corporation
(1) If an owners corporation has only one owner, the seal of the owners corporation must be kept by the owner or by the strata managing agent of the owners corporation.
(2) If an owners corporation has 2 or more owners, the seal of the owners corporation must be kept:
(a) by an owner, or member of the executive committee, that the owners corporation determines is to keep the seal or, in the absence of a determination, by the secretary of the executive committee, or
(b) by the strata managing agent of the owners corporation.
(3) A strata managing agent is entitled to custody of the seal of an owners corporation only to permit the exercise of the strata managing agent’s functions.
(4) Section 50 (2) and (3) of the Interpretation Act 1987 do not apply to an owners corporation.
Note. Section 50 (1) (b) of the Interpretation Act 1987 provides that statutory corporations are to have a seal. Section 50 (2) and (3) of the Interpretation Act 1987 contain provisions relating to the keeping of the seal of a statutory corporation and the authentication of documents by a statutory corporation.
238 How should the seal of the owners corporation be affixed?
(1) If an owners corporation has only one owner or 2 owners, the seal of the owners corporation must not be affixed to any instrument or document except in the presence of the owner or owners or the strata managing agent of the owners corporation.
(2) If an owners corporation has more than 2 owners, the seal of the owners corporation must not be affixed to any instrument or document except in the presence of:
(a) 2 persons, being owners of lots or members of the executive committee, that the owners corporation determines for the purpose or, in the absence of a determination, the secretary and any other member of the executive committee, or
(b) the strata managing agent of the owners corporation.
(3) The strata managing agent must attest the fact and date of the affixing of the seal:
(a) by his or her signature, or
(b) if the strata managing agent is a corporation, by the signature of the president, chairperson or other principal officer of the corporation or by any member of staff of the corporation authorised to do so by the president, chairperson or other principal officer.
(4) A strata managing agent who has affixed the common seal of the owners corporation to any instrument or document is taken to have done so under the authority of a delegation from the owners corporation.
(5) Subsection (4) does not operate so as to enable a person to fraudulently obtain a benefit.
(6) A person is taken not to have fraudulently obtained a benefit from the operation of subsection (4) if the benefit was, without any fraud by the person, obtained before the seal was affixed.
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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