This article discusses tenant car damage in a strata car park, explaining who a tenant should contact and how claims for damage caused by leaks are usually handled.
Question: A tenant sustained damage to their car from a leak in the car park. Should they contact the lot owner or the committee?
A tenant in our apartment building sustained damage to the paintwork on their car from a leak into the lot’s car park. The parking space is on the lot’s title.
The tenant contacted our committee and strata manager to seek compensation for the minor damage. Is our owners corporation committee obligated to engage directly with the tenant, or should we refer them to the lot owner?
If we follow this process, the lot owner will be aware of the issue. The owner can then deal with our committee if there is any claim on the owners corporation.
Answer: The lot owner is not a party to this dispute.
The dispute is one between the owners corporation and tenant. The lot owner is not a party to this dispute (even though they rent their lot to the tenant).
Car park leaks frequently result in claims under the public liability section of a policy, which specifically covers incidents involving injury or property damage to others which the owners corporation legally becomes responsible for.
The lot owner’s involvement will probably not benefit the process of managing this issue. If the owners corporation believes the costs for the claim are unreasonable, they can get an alternate quote, or if the claim amount is small, they can choose to pay the settlement without making an insurance claim.
This post appears in the June 2023 edition of The VIC Strata Magazine.
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