A NSW lot owner would like to know the procedure for renewing the management agency agreement. Rod Smith, The Strata Collective provides the following response.
Table of Contents:
- QUESTION: After the committee members have signed the management agency agreement, who has the right to hold a copy of the agreement?
- QUESTION: When renewing the management agency agreement, should the managing agent include all items on the agenda to be discussed at the AGM? Can they insert their fixed term prior to the AGM?
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Question: After the committee members have signed the management agency agreement, who has the right to hold a copy of the agreement?
After the committee members have signed the agency agreement, who has the right to have a copy of the agreement beside the secretary of the scheme?
Answer: The Management Agency Agreement forms part of the books and records of the Owners Corporation.
The Management Agency Agreement forms part of the books and records of the Owners Corporation. An owner is entitled to perform a search of the books and records at the prescribed cost of $34.10 per hour. This should be arranged directly through the strata manager.
Rod Smith
The Strata Collective
T: 02 9879 3547
E: [email protected]
This post appears in Strata News #426.
Question: When renewing the management agency agreement, should the managing agent include all items on the agenda to be discussed at the AGM? Can they insert their fixed term prior to the AGM?
When renewing the management agency agreement, should the managing agent include all items on the agenda to be discussed at the AGM? Can they insert their fixed term prior to the AGM?
If a Managing agent wants to change the structure of their management costs should they not include it on the Agenda and also discuss it with the owners corporation at the AGM?
Also if they want a fixed term of 3 yrs should this also not be discussed at the AGM and included in the Agenda?
Can the Managing Agent also type up their agreement with the fixed term inserted before the AGM?
The Motion on the Agenda was just for reinstatement of another fixed term which we have of 1 yr.
I have just received after asking for the 2018 Management Agreement to find out that they have got themselves 3 years.
Answer: The agreement should be sent with the agenda however it is not required to be circulated beforehand.
The agreement should be sent with the agenda however it is not required to be circulated beforehand. The agreement is able to be tabled at the meeting if the motion states that the agreement is to be tabled and accepted.
Yes, if they want a fixed term of 3 yrs this can be discussed at the AGM and included in the Agenda. Please see above. You can require an amended term down to one year. All that would need to happen is, you cross out the words ‘3 years’ and handwrite and initial ‘1 year’ in the agreement.
The Managing Agent can type up their agreement with the fixed term inserted before the AGM. However, this can be changed at the meeting.
Rod Smith
The Strata Collective
T: 02 9879 3547
E: [email protected]
This post appears in Strata News #358.
This article is for reference purposes only and is not intended to be a comprehensive review of the developments in the law and practice or to cover all aspect of the subject matter. It does not constitute legal or other advice and should not be relied upon this way. Readers should take legal or other advice before applying the information containing in this publication.
Have a question about renewing the management agency agreement or something to add to the article? Leave a comment below.
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Hi Samson
From my recent experience in SA, you need to know EXACTLY what you expect of your manager and fight to have it included in your agreement.
You also need to be quite clear with-in the Corporation -owners and committee (if you have one), of how involved you want to be in the running of the Corporation.
You need to investigate what software your proposed strata manager uses on their client portal and to what extent it can be manipulated to produce meaningful, easily found information for the owners. Files need to be accurately named to allow this.
If possible, ask the proposed Strata Manger to supply contacts from other Stratas that they manager. Speak to not just the Presiding officer but others within the Corporation, after you have CAREFULLY read minutes of AGMs and Committee. Select these contacts with similar size and apparent strata requirements that you have.
We are thinking of changing our Strata Management.
1) What process should we adopt to find and select a compatible. Professional Strata Management?
2) What activities, issues distinguish one Strata Manager from another?
3) Is there a list of and range of legitimate charges that is available to guide us in selecting a reasonable Strata Manager?
Thanks