Question: If a person elected to a council of owners (COO) sells their lot, can they continue to serve on a COO? Can a COO operate without a chairperson?
Answer: The remaining members of the council must appoint a member of the council to fill a vacancy in an office.
The member cannot continue serving on the COO if they are no longer an owner. When the property is settled, they are removed from being on the COO.
The standard Schedule 1 Governance By-Laws note – (4) Constitution of Council notes:
- A member of the council vacates office as a member of the council
- if the member dies or ceases to be an owner or co-owner of a lot
- The continuing members of the council may act even if there is a vacancy in the council, but so long as the number of members is reduced below the number fixed by these by-laws as the quorum of the council, the continuing members or member of the council may act for the purpose of increasing the number of members of the council or convening a general meeting of the strata company, but for no other purpose.
Can the COO operate without a chairperson? Under the standard Schedule 1 Governance By-Laws note – (6) Chairperson, Secretary and Treasurer of Council it notes the remaining council must appoint a member:
(3A) The remaining members of the council must appoint a member of the council to fill a vacancy in an office.
This post appears in Strata News #702.
Jamie Horner
Empire Estate Agents
E: JHorner@empireestateagents.com
P: (08) 9262 0400
Strata News #442
Can I please have an updated response to Luke Downie comment re Pty Ltd Company COO appointee. .
I have just been advised by our Strata Manager that the current CoO Chairperson has sold, however said person will still sit on the CoO as a PTY LTD Owner representative – accepted no problem.
My question is does said person have to resign from the Office of Chairperson as an owner of Lot X and be re appointed to the position of Chairperson representing Lot Y (Pty Ltd Company) or is it a minuteless transition ?
What decisions can be made by the Council of Owners and what decisions can only be made by all lot owners?
I am a owner of a property in a strata complex WA, I was told by the strata manager that I am not allowed to have a direct contact to the council of owners. Is it true?
As a person on a CoO I hate being ‘door stopped’ by whinging tenants & owners
All matters should in the first instance go thru to the Property Managers who then forward to the CoO Secretary who will either call an urgent meeting or hold the matter over until the next scheduled CoO meeting.
Everyone should be able to have ‘quiet enjoyment’ of common areas without being berated, door stopped, yelled at, threatened whilst traversing common property!!
Hi Kerryn
Thank you for your question.
Chris Irons, Strata Solve has responded to your comment in the article above.
Can one and the same person hold the position of Secretary and Chairperson on the strata council. From what I have read, this a acceptable in Queensland, and possibly NSW, but I want to know if this is permitted in WA.
We have replied to this question in the article above.
I am an owner of a survey strata lot of some 19 lots We have a Council of 3 members whom are and have been since incorporated.Although we have a Strata Manager appointed nothing has been deseminated as to what the Strata Manager does. They do not have a contract with the SM and we don’t know what the council has instructed the SM to do.
We also don’t know if there is any formal contracts with the people employed to carry out maintenance work on our common property or assets. The Council doesn’t communicate in any way to what is either going on or if there are any issues.
Should we as lot owners be informed by way of a newsletter or some other means as to what the council is doing through out the year or are we just mushrooms in the picture.
Brian Rulyancich from Stratatac has replied to this question in the post above.
The Strata Manager acts on the behalf of owners. Anything that comes to the Strata Manager should be passed on to the Committee for direction.
Good on you Paul!
There are a few sources for information.
Becoming familiar of the rights and responsibilities of a Strata Company, the council of owners, and understanding the difference is important as the council is obliged to act in the best interest of the strata company rather than in favour of an individual owner.
The Strata Titles Act 1985 is the current legislation in WA and the most recent version can always be accessed via https://www.slp.wa.gov.au/legislation/statutes.nsf/law_a796.html
Of particular relevance in the legislation is to note where it states “MUST” (required) or “MAY” (optional).
Part IV, Divisions 1 & 2 relate to management and initially you could look at
Section 35 – Duties of strata companies
Section 44 – Duties of councils
The Strata Community Association Inc (SCAWA) hold seminars or short courses regularly that may be of interest and assistance to you and your fellow councillors. They also have information and publications available,
Ian Laird published “The Role of the Council in Strata Company Management” which, I believe, may still be available through SCAWA. [admin – we promote upcoming SCA (WA) events in our newsletter each week. To be kept informed, subscribe here]
Landgate produce a booklet entitled “A Guide to Strata Titles” which is available from their website, and which summarises some of the legislation.
Finally, reform of the Act is underway, so I’d suggest subscribing to updates which also come from Landgate. Landgate: Strata Reforms page.
It may sound complex, and is at times challenging, but it can fascinating and quite satisfying having input into ensuring your investment is maintained and run well. Even when a professional strata manager is engaged to carry out many of the tasks of management, it’s quite necessary to understand that a strata manager has only as much authority as they are delegated by the council, so having a growing understanding of what should be happening will make the process of communication much more meaningful.
I wish you every success. Happy to comment anytime.
I am to be elected unopposed as chairman of our Strata Council. Is there literature available that is concise and to the point on strata affairs? For example “Strata Council Chairman for Dummies” 🙂
Hi Paul
Congratulations! That is a great title for a book 🙂
This article is a good starting point: Effective Governance for Executive Bodies of Strata Communities: In the Chair
Hi Brian
The Strata Titles Act 1985 states
“a sufficient quorum is present if there are present at the meeting either personally or by proxy at the time when the resolution is voted on…”
This is the default position, and although your scheme may have changed by-laws it is unlikely the number of councillors required to form a quorum will be impacted. In a scheme of 60 there will still be a minimum of three and maximum of 7 to comprise the council of the strata company.
Given the Act is pre-electronic communication, unless a by-law is registered, no-one is considered to be “present” via Skype, or telephone or other electronic means.
However, you could appoint in writing another owner to attend as your proxy (not a third party – must be another owner) with directions on how to vote on the items listed for the meeting. You could even appoint the proxy plus listen-in via electronic means (if permitted) however you will not be able to vote directly – only direct your proxy on how they are to vote. In practice, there is often some flexibility, however should another owner question the validity of the quorum when a decision is made, there may be a problem.
In a scheme of 60 there will still be a minimum of three and maximum of 7 to comprise the council
Hope it works out.
I am a member of the council of owners for my building (60) apartments) in WA and will be overseas when our next meeting is held in early February. Should a quorum not be assembled, can I ‘attend’ by electronic means (Skype)? at the discretion of the Chairman and other members present. Thanks.