Does a townhouse owners corporation need mechanical breakdown insurance?

By Neziah,

We are a set of townhouses in Victoria with an electronic gate. Our owners corporation manager told us that we did not need mechanical breakdown insurance, and the next year included $60,000 in mechanical breakdown coverage. The increase in the premium means more commission for the owners corporation manager.

Does every strata committee email need to include the strata manager?

By Neziah,

Does the strata committee have to include the strata manager in email communications that do not require a resolution? Our management company charges for every item under Schedule B, so some committee members feel it is only necessary to copy them on communications that are actionable. Are we legally required to include the strata manager in all correspondence?

Joseph Arena

By Neziah,

Joseph Arena is the founder of Embedded Network Arena and Managing Director of Arena Energy Consulting. With more than 20 years' experience in the Australian energy sector, including over 15 years focused on embedded networks, Joseph advises Owners Corporations, Body Corporates, strata committees and strata managers on embedded networks and emerging energy technologies. An independent consultant, Joseph has extensive expertise across embedded electricity, hot water, gas, air conditioning and electric vehicle charging networks.

Unauthorised works on common property and an intimidating committee member

By Neziah,

We have uncovered that building work, tree removal, and expenditure have taken place on common property without approval at a general meeting. One long-serving committee member acts as though they own the scheme and makes decisions that appear to enhance their own private section of the common property.

Legislation isn’t sexy, but it may just be your greatest ally in strata

By Neziah,

Legislation doesn't have to be intimidating, confusing, or something you hand straight to a lawyer. That was the core message from Chris Irons of Strata Solve in this national session, which drew strong numbers from across Australia and kept the live chat running hot from start to finish.

Unfair contracts, consumer protection and the impact on lot owners

By Neziah,

This article and video explores the important discussion about unfair contracts, consumer protection and the impact on lot owners within the strata industry. We ask Todd Garsden, Partner at Mahoneys and Gerard Brody, an independent consultant working in the Consumer Advocacy, governance and public policy space for their thoughts.

We explore the complexities surrounding consumer protection and whether a body corporate or owners corporation qualifies as a consumer under the Australian Consumer Law (ACL).

Q&A Restricted Issues, Committee Decisions and Insurance Renewals

By Neziah,

This video covered a queried from a QLD reader about timing of insurance renewals.

Question: Our strata insurance for the original AGM in our new building was valid until the 31 July 2020 with insurance company A. The following year it was paid on the 30 May 2021 to our body corporate management company's own insurance company B. Every year after, our AGM is in July or August. We're never given the chance to vote the insurance premium down as we vote after it's already been paid. Is this legal?

Key points covered in Tyrone's and Chris's response:

Work Health and Safety in Strata

By Neziah,

WHS as it applies to strata schemes and strata managers

The WorkSafe Commissioner's recent response following a meeting in September 2023, where SCA WA’s Position Paper was presented, has been helpful in clarifying several points of concern.

A residential strata scheme is a Person Conducting a Business or Undertaking (PCBU) unless it is excluded by subsection 5(8) of the Work Health and Safety Act (WHS):

Race to the Bottom or Sustainable Future? The Strata Management Fee Debate

By Neziah,

The recent webinar presented by strata law expert Michael Kleinschmidt from Budgen Allen Graham Lawyers tackled the industry hot topic of the declining cost of strata management fees. The session sparked a lively discussion, with both lot owners and strata managers offering their perspectives on the 'race to the bottom' trend.

Strata Insurance Commission in Australia: Is transparency enough?

By Neziah,

On the 20 June, 2024 we held an important webinar on strata insurance transparency and commissions in Australia, this time focussing on the remuneration of intermediaries and conflict of interest from third party payment arrangements with John Trowbridge from Trowbridge Consulting. The webinar concentrates on Phase 2 of John Trowbridge's Independent Review of Strata Insurance Practices, discussing “Black box” arrangements and other questionable practices that can lead to higher premiums and limited choices for strata owners.