As we head into the first quarter of 2018, it is worth providing a brief update on the revision of the Unit Titles Act 2010. You may be aware that the proposed changes, which were wide-ranging, were expected to be in place in August, 2017. Unfortunately, this did not occur and we have yet to be notified when this can be expected.
One of the expected changes with the new legislation is more accountability from your body corporate administrator. This will likely mean a requirement to join a professional property organisation and a recommendation to be part of a body corporate industry-related organisation; however, what this looks like in the final legislation is speculative. As it stands currently, however, the go-to place for any disputes will remain the Tenancy Tribunal.
It is worth noting that owners are always able to determine the suitability, or otherwise, of their administrator. There have been several Tenancy Tribunal matters between bodies corporate and some administrators over poor performance. This includes questionable financial record keeping and charges, questionable service contracts, and conflict of interest issues.
One quick way to check on the background of any given administrator is to undertake a simple Google search. Something along the lines of “XYZ limited legal issues”, or similar, should provide some initial feedback. Asking the administrator how many properties they have lost, or for their staff turn-over in the past twelve months, can provide background information to consider.
Changing managers should not be a complicated or stressful process, and it is important to keep in mind that the administrator is a paid contractor and the body corporate is the client. Often, the best way to get a company’s attention is by advising them you are looking at alternative options, even if you decide to stay put.
If you have any questions regarding the information above, or any other unit title matters, please feel free to call Scope Strata for no-obligation assistance.