Answers on Owners Corporation Committee Decisions: At a Glance
On Approving Committee Matters Through via Email
Decisions made by the strata committee in the strata committee meetings by a simple majority vote. Matters that do not require a strata committee resolution while matters that require resolution are dealt through with a properly convened meeting of the strata committee.
In reality, verbal and email direction give their response to the strata manager. After this, the strata manager would obtain quotes or can issue a work order and approval of this will be confirmed in the next strata meeting.
On Approving Committee Meetings with No Notice of Motion
Minutes of the meeting should record the decisions made during the meeting while notice of the meeting includes the decisions that are to be considered. Decisions that do not appear on the agenda of the meeting are not considered.
An application to NCAT for resolving to invalidate the contract depends on the evidence and nature of expenditure.
Reversal of a Decision
Decisions can be reversed and any type of general meeting can revoke a decision made by another type of general meeting.
Under strata legislation, a special resolution of an owners corporation about a matter cannot be amended or revoked unless it is by the same kind of subsequent resolution. The position is subjected to change if a decision is incapable of being reversed or it is already implemented.
Once a motion is defeated at a committee meeting, a similar motion can be brought up years after. Owners Corporation can change their mind over time and over the issue. There has been no time when there was an impediment to the Owners Corporation in placing an old motion for reconsideration.
Justifiable Reasons for an Owners Corporation to call a vote to overrule strata committee decisions
Referring to the section above, the NSW Fair Trading talks about correspondence with the committee and they quote “Any decision made by the strata committee is treated as a decision of the owner’s decisions or put limits on what they can make decisions about.”
In the event of a disagreement involving the owners corporation and executive committee, the Owners Corporation prevails.
Reasons when the Owners Corporation is to call for overrule in its strata committee decisions is if it is not in the best interests of the Owners Corporation:
- If the strata committee makes a decision that is ultra vires or can only be made by the Owners Corporation
- If the decision of the strata committee was not in the best interests of the Owners Corporation
- A significant purchase is proposed to be made against the wishes of the individual lot owners
For other questions about strata and the Owners Corporation, here is a link to more questions on strata decisions being overruled: https://www.lookupstrata.com.au/nsw-overruling-strata-committee-decisions/?mc_cid=9f56adbb88&mc_eid=ed62dd1632