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NSW: What happens if a strata committee motion breaches the law?

NSW@2x

Question: What should the managing agent do if the strata committee approves a motion for him/her to implement, but the motion is in breach of the Community Land Management Act 2021?

Answer: As delegated chairperson, the managing agent should have declared the motion out of order at the meeting.

The chairperson is empowered to declare a motion out of order if the motion conflicts with the community management statement/the by-laws or is otherwise unlawful or unenforceable. In the first instance, as delegated chairperson, the managing agent should have declared the motion out of order at the meeting.

As the motion has already passed, the managing agent should recommend the motion be rescinded, or alternatively, ask the strata committee to seek legal advice on the legality of the motion to avoid the community association/owners corporation from potentially attracting unwanted liability.

This post appears in Strata News #701.

Leanne Habib Premium Strata E: info@premiumstrata.com.au P: 02 9281 6440

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