Question: We changed strata managers. The previous strata manager provided electronic records to the new manager, but they were incompatible and never accessed. Does this gap in records impose any legal liability on our Owners Corporation?
Three years after the start of our strata, we changed strata managers. The previous strata manager provided complete records to the new manager on data file disks, but they were never incorporated with the new strata manager’s records. The excuse given was that the computer systems were incompatible.
There is a three-year gap in the strata records, including details of the important decisions taken in the original days of the strata. Does this impose any legal liability on our Owners Corporation or its strata committee? What steps should be taken to rectify this problem?
Answer: Unless the 7 year period has expired, you should take steps to attempt to reconstruct the events of that 3 year period where possible.
Under Section 180 of the Strata Schemes Management Act 2015, the books and records (including minutes, accounts etc) are required to be kept for 7 years. So, in time (if not already), those records lost will have less significance. The risk is conceivably, that if a new owner bought into the scheme and suffered loss or damage as a result of the incomplete records, the Owners Corporation would be exposed.
Unless the 7 year period has expired, you should take steps to attempt to reconstruct the events of that 3 year period where possible.
Leanne Habib Premium Strata E: info@premiumstrata.com.au P: 02 9281 6440