Governance by-laws
1. Duties of owner
(1) The owner of a lot must —
- (a) immediately carry out all work that may be ordered under a written law in respect of the lot other than such work as may be for the benefit of the building generally and pay all rates, taxes, charges, outgoings and assessments that may be payable in respect of the lot;
- (b) maintain and repair the lot, and keep it in a state of good condition, reasonable wear and tear, and damage by fire, storm, tempest or act of God excepted.
(1A) The owner of a lot must —
- (a) notify in writing the strata company immediately on becoming the owner of the lot, including in the notice the owner’s address for service for the purposes of this Act; and
- (b) if required in writing by the strata company, notify the strata company of any mortgage or other dealing in connection with the lot, including in the case of a lease of a lot, the name of the lessee and the term of the lease.
2. Power of strata company regarding submeters
- 2(1) Where the supply of gas, water or electricity to a lot is regulated by means of a submeter, the strata company may require the proprietor or other occupier of the lot to pay the strata company by way of security for the payment if charges arising through the submeter an amount not exceed $500 and, if any amount so paid is applied by the strata company under sub-bylaw (2), to pay such further amount or amounts by way of such security as may be necessary to maintain the amount of the security as, subject to this sub-bylaw, the strata company may require.
- 2(2) The strata company shall lodge every sum received under this by law to the credit of an interest bearing account with an ADI (authorised deposit taking institution) as defined in section 5 of the Banking Act 1959 of the Commonwealth and all interest accruing in respect of amounts so received shall, subject to this by law, be held on trust for the proprietor or occupier who made the payment.
- 2(3) If the proprietor or other occupier of a lot in respect of which a submeter is used for the supply of gas, water or electricity refuses or fails to pay any charges due for the supply of gas, water or electricity to that lot, the strata company may apply in payment of those charges all, or such part as is necessary, of any amount paid to the strata company by that proprietor or occupier under this by-law, including any interest that may have accrued in respect of that amount.
- 3(3) Where a person who has paid an amount under this by-law to a strata company satisfies the strata company that he is no longer the proprietor or occupier of a lot and that the strata company no longer has any liability or contingent liability for the supply of gas, water or electricity to that lot during the period when that person was a proprietor or occupier of the lot, the strata company shall refund to that person the amount then held on his behalf under this by-law.
3. Constitution of council
- (1) The powers and duties of the strata company must, subject to any restriction imposed or direction given at a general meeting, be exercised and performed by the council of the strata company and a meeting of the council at which a quorum is present is competent to exercise all or any of the authorities, functions or powers of the council.
- (2) Until the first annual general meeting of the strata company, the owners of all the lots constitute the council.
- (3) If there are not more than 3 lots in the scheme, the council consists of all of the owners of the lots and, if there are more than 3 lots in the scheme, the council consists of not less than 3 nor more than 7 of the owners of the lots, as is determined by the strata company.
- (4) If there are more than 3 lots in the scheme, the members of the council must be elected at each annual general meeting of the strata company or, if the number of lots in the scheme increases to more than 3, at an extraordinary general meeting convened for the purpose.
- (5) If there are co-owners of a lot, 1 only of the co-owners is eligible to be, or to be elected to be, a member of the council and the co-owner who is so eligible must be nominated by the co-owners, but, if the co-owners fail to agree on a nominee, the co-owner who owns the largest share of the lot is the nominee or, if there is no co-owner who owns the largest share of the lot, the co-owner whose name appears first in the certificate of title for the lot is the nominee.
- (6) Except if the council consists of all the owners of lots in the scheme, the strata company may by special resolution remove any member of the council before the expiration of the member’s term of office.
- (7) A member of the council vacates office as a member of the council —
- (a) if the member dies or ceases to be an owner or co-owner of a lot;
- (b) on receipt by the strata company of a written notice of the member’s resignation from the office of member;
- (c) at the conclusion of an annual general meeting of the strata company at which an election of members of the council takes place and at which the member is not elected or re-elected;
- (d) in a case where the member is a member of the council by reason of there being not more than 3 owners of lots in the scheme, on an election of members of the council (as a result of there being an increase in the number of owners to more than 3) at which the member is not elected;
- (e) if the member is removed from office under sub-bylaw (6);
- (f) if the Tribunal orders that the member’s appointment is revoked and the member is removed from office.
- (8) The remaining members of the council may appoint a person eligible for election to the council to fill a vacancy in the office of a member of the council, other than a vacancy arising under sub-bylaw (7)(c) or (d), and any person so appointed holds office, subject to this by-law, for the balance of the predecessor’s term of office.
- (9) Except if 1 person is the owner of all of the lots in the scheme, a quorum of the council is 2 if the council consists of 3 or 4 members; 3, if it consists of 5 or 6 members; and 4, if it consists of 7 members.
- (10) 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.
- (11) All acts done in good faith by the council, even if it is afterwards discovered that there was some defect in the appointment or continuance in office of any member of the council, are as valid as if that member had been duly appointed or had duly continued in office.
4. Election of council at general meeting
The procedure for nomination and election of members of a council must be in accordance with the following rules —
- (1) The meeting must determine, in accordance with the requirements of by-law 3(3) the number of persons of whom the council is to consist.
- (2) The chairperson must call on those persons who are present at the meeting in person or by proxy and entitled to nominate candidates to nominate candidates for election to the council.
- (3) A nomination is ineffective unless supported by the consent of the nominee to the nomination, given —
- (a) in writing, and furnished to the chairperson at the meeting;
- (b) orally by a nominee who is present at the meeting in person or by proxy.
- (4) When no further nominations are forthcoming, the chairperson —
- (a) if the number of candidates equals the number of members of the council determined in accordance with the requirements of by-law 3(3), must declare those candidates to be elected as members of the council;
- (b) if the number of candidates exceeds the number of members of the council as so determined, must direct that a ballot be held.
- (5) If a ballot is to be held, the chairperson must —
- (a) announce the names of the candidates;
- (b) cause to be furnished to each person entitled to vote and present in person or by proxy, a blank form in respect of each lot in respect of which the person is entitled to vote for use as a ballot form.
- (6) A person who is entitled to vote must complete a valid ballot form by —
- (a) writing on the form the names of candidates, equal in number to the number of members of the council so that no name is repeated;
- (b) indicating on the form the number of each lot in respect of which the person’s vote is cast and whether the person so votes as owner or first mortgagee of each such lot or as proxy of the owner or first mortgagee;
- (c) signing the ballot form; and
- (d) returning it to the chairperson.
- (7) The chairperson, or a person appointed by the chairperson, must count the votes recorded on valid ballot forms in favour of each candidate.
- (8) Candidates, being equal in number to the number of members of the council determined in accordance with by-law 3(3), who receive the highest numbers of votes are to be declared elected to the council.
- (9) If the number of votes recorded in favour of any candidate is the lowest of the numbers of votes referred to in sub-bylaw (8) and —
- (a) that number equals the number of votes recorded in favour of any other candidate;
- (b) if each of those candidates were to be declared elected the number of persons elected would exceed the number of persons required to be elected,
as between those candidates, the election must be decided by a show of hands of those entitled to vote and present in person or by proxy.
5. Chairperson, secretary and treasurer of council
- (1) The members of a council must, at the first meeting of the council after they assume office as such members, appoint a chairperson, a secretary and a treasurer of the council.
- (2) A person —
- (a) must not be appointed to an office referred to in sub-bylaw (1) unless the person is a member of the council;
- (b) may be appointed to 1 or more of those offices.
- (3) A person appointed to an office referred to in sub-bylaw (1) holds office until the first of the following events happens —
- (a) the person ceases to be a member of the council under by-law 3(7);
- (b) receipt by the strata company of a written notice of the person’s resignation from that office;
- (c) another person is appointed by the council to hold that office.
- (3A) The remaining members of the council must appoint a member of the council to fill a vacancy in an office referred to in sub-bylaw (1), and any person so appointed holds office for the balance of the predecessor’s term of office.
- (4) The chairperson is to preside at all meetings of the council but, if the chairperson is absent from, or is unwilling or unable to preside at, a meeting, the members of the council present at that meeting can appoint 1 of their number to preside at that meeting during the absence of the chairperson.
6. Chairperson, secretary and treasurer of strata company
- (1) Subject to sub-bylaw (2), the chairperson, secretary and treasurer of the council are also respectively the chairperson, secretary and treasurer of the strata company.
- (2) A strata company may at a general meeting authorise a person who is not an owner of a lot to act as the chairperson of the strata company for the purposes of that meeting.
- (3) A person appointed under sub-bylaw (2) may act until the end of the meeting for which the person was appointed to act.
7. Meetings of council
- (1) At meetings of the council, all matters must be determined by a simple majority vote.
- (2) The council may —
- (a) meet together for the conduct of business and adjourn and otherwise regulate its meetings as it thinks fit, but the council must meet when any member of the council gives to the other members not less than 7 days’ notice of a meeting proposed by the member specifying in the notice the reason for calling the meeting;
- (b) employ or engage, on behalf of the strata company, any person as it thinks is necessary to provide any goods, amenity or service to the strata company;
- (c) subject to any restriction imposed or direction given at a general meeting of the strata company, delegate to 1 or more of its members such of its powers and duties as it thinks fit, and at any time revoke the delegation.
- (d) The Council may, be agreement of an absolute majority of its members, conduct a meeting of the Council by telephone, audio-visual or other agreed electronic means or any combination of these by which continuous communication is maintained between such of its members as constitutes a quorum under the by-laws.
- (3) A member of a council may appoint an owner of a lot, or an individual authorised by a corporation which is an owner of a lot, to act in the member’s place as a member of the council at any meeting of the council.
- (4) An owner of a lot or individual may be appointed under sub-bylaw (3) whether or not that person is a member of the council.
- (5) If a person appointed under sub-bylaw (3) is a member of the council the person may, at any meeting of the council, separately vote in the person’s capacity as a member and on behalf of the member in whose place the person has been appointed to act.
8. Powers and duties of secretary of strata company
The powers and duties of the secretary of a strata company include —
- (a) the preparation and distribution of minutes of meetings of the strata company and the submission of a motion for confirmation of the minutes of any meeting of the strata company at the next such meeting;
- (b) the giving on behalf of the strata company and of the council of the notices required to be given under the Act;
- (c) the supply of information on behalf of the strata company;
- (d) the answering of communications addressed to the strata company;
- (e) the calling of nominations of candidates for election as members of the council;
- (f) the convening of meetings of the strata company and of the council.
9. Powers and duties of treasurer of strata company
The powers and duties of the treasurer of a strata company include —
- (a) the notifying of owners of lots of any contributions levied;
- (b) the receipt, acknowledgment and banking of and the accounting for any money paid to the strata company;
- (c) the preparation of any certificate applied for;
- (d) the keeping of the records of account and the preparation of the statement of accounts.
10. Service of notices and documents
- 10.1 Notices and documents, including but not limited to notices and minutes of general meetings, notices of infringement of by-laws and invoices, may be served by the strata company by email or by other electronic means on any proprietor who has given written consent to that method of service.
- 10.2 The proprietors acknowledge that the Act obliges the strata company to allow any qualified applicant to inspect and obtain copies of all records relating to those notices and documents and their service on any proprietor.
11. Consent or approval of strata company or council
- 11.1 If the consent or approval of the Strata Company or council is requested, the strata company or the council, as the case may be, may refuse that request, grant that request or grant that request on such terms as it shall reasonably determine.
- 11.2 If the consent or approval of the Strata Company or council is required, that consent or approval shall only be taken to have been given if it is given in writing.
12. SECURITY
12.1 Security gate and access
Proprietors, tenants or other occupiers shall ensure that any gate affixed at the entrance to the common property lot is closed and properly secured at all times when not in use.
12.2 Security Key Devices
- Proprietors, tenants or other occupiers are to remain responsible at all times for security keyed devices supplied by the strata company and must take all reasonable steps to ensure that the security key is not lost or handed to any person other than another proprietor, occupier or other resident, and is not disposed of otherwise than by returning it to the proprietor or the strata company.
- Supply of any security keyed device shall only be made to the proprietor, tenant or other occupier during the hours of 9.00am to 5.00pm weekdays or such other times as may be decided by the council of the strata company.
- A proprietor must exercise a high degree or caution and responsibility in making a security key available for use by an occupier or resident of the lot and must take all reasonable steps including, without limitation, an appropriate agreement in any lease or license of a lot to an occupier, to ensure the return of the security key to that proprietor or the strata company.
- A proprietor, occupier or other residents of the lot shall within fourteen days of demand reimburse the strata company for all costs of replacing a security access key and the recording of the security system, if a security access key is lost or damage, how ever that occurs.
- A proprietor, occupier or other resident of a lot must promptly notify the strata company if a security key is lost or destroyed.
- If the loss or damage is covered by a policy of insurance effected by the strata company, the strata company shall remit to the proprietor, occupier or other resident of a lot (as the case may be) such amount as the strata company receives under the policy of insurance.
- The Strata Company may recover all amounts payable pursuant to this by-law as a liquidated debt in any court of competent jurisdiction and interest shall be paid on such amounts due but paid, as if such monies were unpaid levy raised pursuant to section 36 of the act.
- The strata company is to provide to each proprietor two original controllers together with any further controllers that the strata council may approve to enable a proprietor, occupier or other resident of a lot to operate the security gates. The cost of supply of an additional controllers is to be determined from time to time by the council and is to be at the expense of the proprietor, occupier or other resident who requests the additional controller.
- The council of the strata company may appoint a proprietor, tenant or other occupier as a key-caretaker (referred to as “key caretaker”) of the security key devices as it sees fit. The appointee shall maintain a register of all proprietors, tenants or other occupiers who have been given a security key device. Upon sale of a lot or upon cessation of any tenant or other occupier within the parcel, any security key devices shall be returned to the key-caretaker or other nominated person.
13. Financial year
The financial year of the strata company is the period of 12 months ending on 30th of September.
14. Costs recovery
14.1 For the purposes of these by-laws:
- 14.1.1 Act means the Strata Titles Act 1985.
- 14.1.2 Costs include, without limitation:
- (a) the strata manager’s costs;
- (b) debt recovery costs;
- (c) legal costs and disbursements on a solicitor and own client indemnity basis;
- (d) costs of any consultants and experts; and
- (e) costs of any employees of and contractors to the strata company preparing for or being involved in the Legal Proceedings.
- 14.1.3 Legal Proceedings include, without limitation:
- (a) the issuing of a notice alleging a breach of the Act or by-laws that could lead to an application to the State Administrative Tribunal (SAT), a tribunal or any court;
- (b) an application to a court, or any other tribunal:
- (i) to recover any amount of money owing to the strata company by an owner; or
- (ii) for any other matter;
- (c) an application to SAT for relief under the Act, which includes without limitation any order, interim order or declaration made by SAT; and
- (d) an application for leave to appeal to the Supreme Court or the Court of Appeal from an order of SAT or another court order and any further appeals related to that appeal.
14.2 An owner will indemnify the strata company and each of its employees, agents, contractors, sub-contractors and authorised representatives against any injury, harm, loss or damage suffered or incurred by them as a result of any breach of these by-laws or the Act by the owner or any of the occupiers of the owner’s lot.
14.3 Without limiting by-law 14.2, an owner will pay on demand the whole of the strata company’s Costs incurred in relation to any or all of the following:
- 14.3.1 recovering outstanding contributions levied by the strata company on that owner pursuant to either or both section 43 or 100 of the Act;
- 14.3.2 recovering any outstanding amounts otherwise owing from the owner to the strata company under either or both the Act or these by-laws;
- 14.3.3 making good any damage to the common property or personal property of the strata company caused by:
- (a) the owner or an occupier of the owner’s lot;
- (b) an invitee of the owner; or
- (c) an invitee of the occupier of the owner’s lot;
- 14.3.4 remedying a breach of the by-laws or the Act committed by:
- (a) the owner; or
- (b) an occupier of the owner’s lot;
- 14.3.5 rectifying any unauthorised works on common property undertaken as a result of an instruction or action of the owner or occupier of the owner’s lot;
- 14.3.6 all Legal Proceedings taken by the strata company against the owner or an occupier of the owner’s lot;
- 14.3.7 all Legal Proceedings taken by the owner against the strata company or in which the strata company becomes involved and the owner is not successful or is only partly successful in those Legal Proceedings; and
- 14.3.8 all Legal Proceedings taken by:
- (a) an occupier of the owner’s lot; or
- (b) a mortgagee of the owner’s lot,
against the strata company or in which the strata company becomes involved and that occupier or mortgagee (as the case may be) is not successful or is only partly successful in those Legal Proceedings.
14.4 The council of the strata company is empowered:
- 14.4.1 to include the amount of the Costs in the amounts to be raised for the purposes of section 100(1)(a) of the Act; and
- 14.4.2 raise the amount of the Costs by levying a contribution for those Costs solely on that owner referred to in by-law 14.3 in accordance with section 100(1)(c)(ii) of the Act.
14.5 The Costs are also recoverable by the strata company against the owner as a liquidated debt and the strata company may take action for the recovery of those amounts in any court of competent jurisdiction.
15. Insurance excess
15.1 An owner is responsible for the cost of any insurance excess payable as the result of an insurance claim made against the strata company’s insurer by the owner, including any claim whether such loss or damage occurs:
- 15.1.1 to any part of the building within their lot;
- 15.1.2 to any part of the common property surrounding the owner’s lot;
- 15.1.3 to the fixtures and improvements of the owner’s lot; and
- 15.1.4 to any part of the common property, other than the common property referred to in by-law 15.1.2, where the owner is directly responsible for the loss of, or damage to, that common property, where the insurance claim is made by the strata company.
15.2 The responsibility of the owner under by-law 15.1 extends to, but is not limited to, an insurance claim for damage, breakage or loss, whether accidental or otherwise, to:
- 15.2.1 glass (windows, doors, shower screens & mirrors); and
- 15.2.2 porcelain, vitreous china, or similar fixtures (such as vanity basins).
15.3 All amounts payable as an insurance excess referred to by-law 15.1 become a debt due by the owner of that lot to the strata company and the strata company may take action for the recovery of those amounts in any court of competent jurisdiction.