This article discusses verbal approval of major works in strata and why written approval is required.
Question: Can the owners corporation make verbal approvals of the major work by-law?
An owner has installed an awning over her front door without Owners Corporation approval.
I notified the Strata Manager of this issue and they replied “We understand prior to our management (appointed in 2020), this was approved by owners verbally.”
Can the owners corporation make verbal approvals of the major work by-law? As I know, all of the unauthorised works should be applied in writing to the Owners Corporation, and then the outcome should also be written. Am I correct?
Answer: Any approval should be recorded in writing because it needs to be made by a general meeting or at a strata committee meeting (if authorised to approve minor renovations) and both types of meetings must have written minutes.
You are likely to be correct.
Any approval should be recorded in writing because it needs to be made by a general meeting or at a strata committee meeting (if authorised to approve minor renovations) and both types of meetings must have written minutes.
It is likely that the awning must be approved by special resolution of a general meeting. This is because it is a new structure affixed to common property (assuming the wall is common property which is most likely the case in most strata plans in NSW) and new structures must be approved by special resolution of a general meeting under section 108 of the NSW Strata Schemes Management Act 2015 (SSMA 2015) before they are installed. If it is intended that the lot owner be responsible for the repair and maintenance of the new structure, then under section 108 a by-law needs to be passed and registered making the lot owner responsible and if there is no such by-law, then the owners corporation remains responsible for repair and maintenance.
It is unlikely the awning could be approved as a minor renovation under section 110 of the SSMA 2015 because it would change the external appearance of the lot, may involve structural changes or may have needed planning approval. More detail would need to be provided to determine if the awning could be a minor renovation. However, under section 110, minor renovations can only be approved before they are installed.
If there has not been a proper approval for the awning, then the owners corporation has three options to choose from. The first is to remove the awning as part of its duty to repair and maintain common property because the awning is an illegal addition to common property. The second is to apply for an NCAT order under section 132 of the SSMA 2015 to compel the lot owner to remove the awning. The third is to pass a by-law ratifying the installation of the awning and making the lot owner responsible for its repair and maintenance. The owners corporation needs to consider all the facts of the case and what it wishes to achieve before deciding which option it wants to choose.
This post appears in Strata News #465.
Carlo Fini Lawyer (NSW)