What A Strata Committee can and cannot do


What A Strata Committee can and cannot do

The Strata Committee (SC) is in many respects like the board of directors of a company.

The SC has wide ranging powers to make decisions on behalf of the Owners Corporation unless restricted by the Owners Corporation at a general meeting or by operation of the Act.

Limitations on an SC arising from the Act include:

  • Determining levies, including a special levy.
  • Changing by-laws.
  • Selling, acquiring or leasing common property.
  • Terminating or replacing the strata manager.

The SC can range in number from 1 to 9, all of whom are elected annually at the AGM. There is no qualification to being a member of the SC, even non owners can be members. To be a member of the SC it is necessary for an owner to make the nomination either before or at the AGM.

There is no stipulated frequency for holding SC meetings. The quorum for an SC meeting is 50% of the members of the SC. Meetings may be held by post. Meetings are open to all owners, however, owners are not allowed to speak at the meetings unless permitted by the SC. Notice of SC meetings must be given at least 72 hours prior to the meeting by being posted on the noticeboard or, if there is no noticeboard, then all owners must be sent a copy of the notice. Minutes of meetings must be posted on the noticeboard or if there is no noticeboard then posted to every owner, within 7 days of the meeting. A member of the SC may appoint a substitute to attend an SC meeting so long as they are an owner and are approved by the SC at the meeting.

Members can be paid an honorarium if the Owners Corporation decides at a general meeting. Honorariums cannot be paid in advance.

The decisions of the SC are binding on all owners. In the event of a dispute between the SC and the Owners Corporation, the decision of the Owners Corporation will prevail.

No Comments

Post A Comment