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Our strata manager is not performing. Apart from not responding to owner calls, they also have a loose interpretation of the strata laws.
Owners and committee are wanting a change.They have two years to run on their contract.
is there a provision under the SSMA to go to NCAT to have the Strata manager removed.
Dont want a compulsory strata manager appointed.
- This topic was modified 1 month, 2 weeks ago by .
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is there a provision under the SSMA to go to NCAT to have the Strata manager removed.
Section 72.
72 Strata managing agent and building manager agreements may be terminated or varied by Tribunal(1) The Tribunal may, on application by an owners corporation for a strata scheme, make any of the following orders in respect of an agreement for the appointment of a strata managing agent or building manager for the scheme—
(a) an order terminating the agreement,
(b) an order requiring the payment of compensation to a party to the agreement,
(c) an order varying the term, or varying or declaring void any of the conditions, of the agreement,
(d) an order that a party to the agreement take any action or not take any action under the agreement,
(e) an order dismissing the application.
(2) If the Tribunal makes an order terminating the agreement, the Tribunal may also order the strata managing agent or building manager to return to the owners corporation, within the period specified in the order, any documents or other records relating to the strata scheme that are in the possession of the agent or manager.
(3) The Tribunal may make an order under this section on any of the following grounds—
(a) that the strata managing agent or building manager has refused or failed to perform the agreement or has performed it unsatisfactorily,
(b) that charges payable by the owners corporation under the agreement are unfair,
(c) that the strata managing agent has contravened section 58 (2),
(d) that the strata managing agent has failed to disclose commissions or training services (including estimated commissions or value of training services or variations and explanations for variations) in accordance with section 60 or has failed to make the disclosures in good faith,
(e) that the strata managing agent or building manager has failed to disclose an interest under section 71,
(f) that the agreement is, in the circumstances of the case, otherwise harsh, oppressive, unconscionable or unreasonable.
Some further ideas….. thinking on ways to avoid the NCAT journey…
Is it the strata manager assigned to your scheme who is the problem or is the strata management company failing to perform?
Have you tried speaking to senior management at the SM company to get your manager changed ?
Have you discussed a parting of ways through mutual termination of the agreement without penalty ? Sometimes it might be worth paying something short of the two years’ fees just to get rid of them?
The very threat of going to NCAT gives you some leverage.
But note… If you go to NCAT seeking a compulsory manager under s 237, any lot owner can make the application.
If you don’t want a compulsory manager and just want to terminate the SM agreement under s 72, then it gets more complicated….
- You need to go to Mediation first
- The application has to be made by the Owners Corporation, not you as lot owner ; so you would need a resolution of owners ( will they support?) to do this, which no doubt the SM would try to obstruct
John HutchinsonS T R A T A A N S W E R S PTY LTD practical solutions for strata living
abn 11 600 590 083
http://www.strataanswers.com.auPh: 0418 797 470
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