Are Explanatory Notes Required?

Do explanatory notes need to be included in the agenda of a general meeting of an owners corporation?  The answer might surprise you.

Since the commencement of the Strata Schemes Management Act 2015 on 30 November 2016, a practice has arisen for explanatory notes to be included in an agenda of a general meeting of an owners corporation.  The purpose of the explanatory notes is to provide a brief explanation of the purpose of each motion that appears on the meeting agenda.

But are these explanatory notes necessary? Click here to find out – Are Strata Meeting Explanatory Notes Required

For NSW strata legal or levy collection advice please contact us here or call 02 9562 1266, we’re happy to assist.




The New Rules for Appointing Lawyers

There are new rules an owners corporation must follow before appointing a lawyer or taking legal action (legal services).

If legal services:

  • will not cost more than $3,000, or
  • are urgent and will not cost more than $15,000, or
  • relate to obtaining legal advice before taking legal action, or
  • concern the collection of overdue levies,

the strata committee is able to approve those legal services: see section 103 Strata Schemes Management Act 2015 and cl 26 Strata Schemes Management Regulation 2016.

If the above applies, there is no need for an owners corporation or strata manager to send a lawyer’s costs agreement or costs disclosure to owners and committee members under section 105 Strata Schemes Management Act 2015.

The above assumes the power of the strata committee to obtain legal services or spend money has not been restricted at a general meeting and owners who hold 1/3 of the unit entitlements do not block a proposed decision of a strata committee to obtain legal services.

In all other cases, the owners corporation must approve of the legal services by passing a resolution at a general meeting in accordance with s 103(1) Strata Schemes Management Act 2015.

The new rules will reduce the scope for a strata committee to approve legal services as a result of the threshold amount to avoid general meeting approval reducing from $12,500 to $3,000 in most cases.

For NSW strata legal or levy collection advice please contact us here or call 02 9562 1266, we’re happy to assist.




New Rules on Strata Meetings and Voting

Under the new strata regulations, proxy voting will prevent any individual attempting to control owners’ decisions by obtaining a majority of proxy votes.

The number of proxy votes able to be held by one person will be limited to:

  1. Schemes – 20 lots or less

For schemes with up to 20 lots, a person will be permitted one proxy vote.

  1. Schemes – more than 20 lots

For schemes with more than 20 lots, a person will not be able to hold proxies for more than 5% of the total number of lots in that scheme (rounded down to the nearest whole number).

There is also an introduction of remote voting meaning owners need not be in the same country, let alone the same room, to cast a vote.

Telephone, video conferencing, email voting and even a voting website will all be permissible, with the approval of the owners corporation or strata committee.

Click here to read the full article – New Rules on Meetings and Voting

For NSW strata legal or levy collection advice please contact us here or call 02 9562 1266, we’re happy to assist.




Are You Prepared for the New Strata Laws?

October 2016 the JS Mueller & Co team presented to the strata industry on the new strata laws ‘Are you Prepared for the New Strata Laws?’ This is in preparation for the new Strata Schemes Management Bill 2015 and the Strata Schemes Development Bill 2015 due to commence 30 November 2016.

The JS Mueller and Co team presented:

  • James Moir: Works By-laws – How will they operate under the new laws?
  • Adrian Mueller: Meetings – What are the changes under the new laws?
  • Faiyaaz Shafiq: Levy Collection – Procedural changes under the new laws?
  • Anna Minassian: Building Defects – What impact will the new laws have?
  • Trish Smith: LevyCollect – How can it benefit you?

Please click below to view presentations and papers:

JS Mueller & Co New Strata Laws Forum Presentations_Oct16
JS Mueller & Co Forum Papers_Oct16

For NSW strata legal or levy collection advice please contact us here or call 02 9562 1266, we’re happy to assist.

 




Can a Strata Meeting be Recorded?

It’s becoming increasingly common for strata meetings to be recorded.

So what happens when a person announces that he or she intends to record a strata meeting and some of those present object to the meeting being recorded?

Is it legal to do so?  The answer might surprise you.

To read the full article click here now – Recording Strata Meetings

For NSW strata legal or levy collection advice please contact us here or call 02 9562 1266, we’re happy to assist.




Strata Managers Forum – Proposed New Strata Laws

In September 2015 the JS Mueller & Co team presented at a forum to the strata industry the new proposed strata laws.

  • James Moir: By-laws – How will they operate under the proposed laws?
  • Adrian Mueller: Meetings – What are the changes under the proposed laws?
  • Iain Fairholm: Strata Managers – How will the proposed laws affect you?
  • Faiyaaz Shafiq: Levy Collection – Procedural change?
  • Bruce Bentley: Building Defects – What impact will the proposed laws have?

Since the forum, it has been announced that the new strata laws will come into operation on 1 July 2016.

On 29 Oct 2015, the New South Wales Parliament passed the new Strata Schemes Management Bill 2015 and the Strata Schemes Development Bill 2015.

Papers and presentations are available to view here:

JS Mueller & Co Forum Presentations_Sept15
JS Mueller & Co Forum Papers_Sept15

For NSW strata legal or levy collection advice please contact us here or call 02 9562 1266, we’re happy to assist.

 

 




Supreme Court Ups the Ante on General Meetings

A new decision not only renders void resolutions passed at general meetings called improperly but paves the way for owners who lose valuable rights because a resolution is invalid to sue the person responsible for the calling off the meeting. 

Click here to read the full article – Strata General Meetings

For NSW strata legal or levy collection advice please contact us here or call 02 9562 1266, we’re happy to assist.