Question: Our resident manager isn’t doing his job. What is classed as a breach of contract? Can we terminate his contract?
Our resident manager isn’t doing his job. He’s not repairing urgent issues eg we were given a defect notice 30 days ago for fire-stair lighting not working and this hasn’t been fixed. Also, he isn’t producing correct invoices for payments from appropriate works companies etc.
What is classed as a breach of contract? How and where we can get his contract terminated?
Answer: Read the caretaking agreement and understand what the caretaker’s duties are.
A caretaker’s role extends to whatever their caretaking agreement says it does. The starting point with any issue of this nature is to read the caretaking agreement and understand what the duties extend. What I would say is that a caretaker’s role would rarely extend to fixing fire stair lighting – as opposed to procuring the right person to do so. And that is then subject to instructions of the committee and finding a contractor to do it.
With respect to invoices, if it is the body corporate’s money that is being spent, it is simple. The body corporate is entitled to determine how its money is spent and accounted for. That would also normally be part of the contract.
Termination is a very rocky road. There are easier ways to deal with these issues than heading straight down that lawyer friendly path.
This post appears in Strata News #592.
Frank Higginson Redchip Strata Law E: FrankH@redchip.com.au P: 07 3193 0500