Strata Committee overriding owner’s decisions

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  • #350527
    Homia
    Member

    At our last AGM, the strata manager put a proposal to get a risk and hazard assessment be done annually. The owners approved the proposal.

    Recently the strata manager forward to the strata committee quotes for the risk and hazard assessment be done. A vote for the strata committee was put to a vote with the current active strata committee members voting against the assessment be done. The current strata committee seems to think that they can override the decisions made by the owners at the AGM. Can the strata committee members act against the decisions made by the owners? What should owners tell the strata manager to do as our strata manager is not assertive and bends to the will of the strata committee. At what point can the strata committee be considered dysfunctional and get NCAT involved to replace them?

    TIA

     

    #362971
    ts1904
    Expert

    Hi Homia,

    The first question I would ask is, have they explicitly decided not to do the report? Or just not to accept one of the quotes. The difference may be them just wanting more quotes for example.

    If they have decided not to, remind them of their obligations under section 26(2) of the Act whereby in the event of a disagreement between the owners corporation and the strata committee, the decision of the owners corporation prevails.

    If they continue to do things not in accordance with the Act, you can put forward a motion in accordance with section 35(1)(e) of the Act, to remove them by special resolution at a general meeting.

    If all else fails, and you have gathered sufficient evidence, then you can seek orders from the Tribunal under section 238, to remove them. You are going to need a lot of evidence for this as I don’t think the Tribunal would make orders like this lightly.

    #375074
    Amanda Farmer
    Expert

    +1 to ts1904, and also remember the right of owners to oppose a strata committee decision before it’s made: see clause 9(3) in schedule 2 to the NSW Act:

    (3) Decisions to have no effect if opposed by more than specified owners A decision of a strata committee has no force or effect if, before the decision is made, notice is given to the secretary of the owners corporation by one or more owners, the sum of whose unit entitlements exceeds one-third of the aggregate unit entitlement, that the making of the decision is opposed by those owners.

    So, for example, if there is notice of a strata committee meeting at which a motion is proposed “That the carrying out of the risk assessment be deferred/cancelled” owners whose unit entitlement exceeds 1/3rd of the aggregate could give notice to the secretary before the meeting that the making of that decision is opposed.

    Amanda.

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