WA: Q&A We have no Strata Company. Is this Legal?

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Wa lot owners are wondering if is it legal to not have formed a Strata Company. Shane White, Strata Title Consult, provides the below response.

Question: There are 4 units in our strata. There is no strata company. Is this legal?

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Answer: At the time of registration of the strata plan, a strata company is always created.

At the time of registration of the strata plan, a strata company is always created.

Strata Titles Act 1985

14. Strata company

1. On registration of a strata titles scheme, a strata company is established for the strata titles scheme.
2. The name of the strata company is “The Owners of [the name of the scheme] (survey-strata scheme/strata scheme [according to the type of strata titles scheme] [the reference number allocated to the scheme by the Registrar of Titles])”.
3. The name of the strata titles scheme is the name stated in the scheme notice.
4. The address for service of the strata company is the address for service stated in the scheme notice.
5. A strata company —
1. is a body corporate; and
2. has perpetual succession; and
3. is capable of suing and being sued in its own name; and
4. has, subject to this Act, all the powers of a natural person that are capable of being exercised by a body corporate.
6. The governing body of a strata company is the council of the strata company.
7. A strata company may have a common seal, but it does not have to do so.
8. A strata company is comprised of the owners for the time being of the lots in the strata titles scheme (who are the members of the strata company).

There should always be a Roll of the owners kept unless section 106 comes into effect:

106. Address for service if no roll maintained in 2, 3, 4 or 5-lot scheme

1. If, in accordance with section 140, a roll is not maintained by a strata company for a 2, 3, 4 or 5-lot scheme, the owner of a lot in the scheme must give written notice to the strata company and the owner of each other lot of the owner’s address for service.

Penalty for this subsection: a fine of $3 000.

2. If, on a change of ownership, the owner of a lot in a scheme for which a roll is not maintained notifies an address for service to the strata company and the owner of each other lot, each of the other owners must give written notice to the new owner of their respective addresses for service.

Penalty for this subsection: a fine of $3 000.

Shane White
Strata Title Consult
E: [email protected]

This post appears in the August 2020 edition of The WA Strata Magazine.

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Disclaimer: this article should not be relied on as legal advice.

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