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Changing Strata Laws:

Why the Selection of
Your Strata Manager
is More Important
Than Ever

By Michael Teys, Lawyer
Strata Match 5 & 6 March 2013
© Copyright 2013 Teys Lawyers

www.teyslawyers.com.au
We Have a New Level of Government!
Federal
government

Housing policy and affordability

State government

Housing land release and zoning

Local government

Building approvals and
standards

Owners
corporation

By-laws about common property

© Copyright 2013 Teys Lawyers

www.teyslawyers.com.au
With All the Trappings of Office
Laws
(By-Laws)

Taxes

Elections

(Levies)

(Committee)

© Copyright 2013 Teys Lawyers

www.teyslawyers.com.au
Laws of the Strataverse

Strata
Act

Common
Law

78 Other
Acts

Bewildered Strata Owners
© Copyright 2013 Teys Lawyers

www.teyslawyers.com.au
Thou Shalt Act Reasonably

© Copyright 2013 Teys Lawyers

www.teyslawyers.com.au
Thou Shalt Repair & Maintain
 Reasonably?
 Strict liability?
 Changing common
property boundaries?
 Simplifying owners
renovations
 Terminating strata
schemes
© Copyright 2013 Teys Lawyers

www.teyslawyers.com.au
Thou Shalt Not Overcrowd
 Limits per room
 More by-law
enforcement power
 New CTTT powers
 New local council
powers
 Dangerous new
territory for owners
corporations
© Copyright 2013 Teys Lawyers

www.teyslawyers.com.au
Thou Shalt Respect Privacy
 Owner’s list must be
provided
 Privacy policy required for
unsolicited personal
information
 Limitations on marketing
to owners
 Discretion on by-law
infringements
 Discretion on levy
defaults
© Copyright 2013 Teys Lawyers

www.teyslawyers.com.au
Thou Shalt Not Discriminate
 Modifications for the
frail ($35,000)
 Rules restricting young
people using common
property ($7,500)
 Sign language for the
hearing impaired at
meeting ($5,000)

© Copyright 2013 Teys Lawyers

www.teyslawyers.com.au
Thou Shalt Fix Defects
 85% of new buildings
are defective
 Pro-developer
government
 Timeframes already
shortened
 Prescribed developer
maintenance schedule
 Limits on consultants
and lawyers
© Copyright 2013 Teys Lawyers

www.teyslawyers.com.au
The Role of Strata Managers
Company
Secretary

Tax Agent

Treasury

Insurance
Broker

Knowledge
Manager

WHS
Officer
© Copyright 2013 Teys Lawyers

Compliance
Officer
www.teyslawyers.com.au
7 Reasons For Firing Your Manager
1.
2.
3.
4.
5.
6.
7.

Non-responsive
Poor communicator
Lack of knowledge
Inability to advise
Poor interpersonal skill
No value for money
Conflicts of interest

Source: Governing the Compact City: The Role and Effectiveness of Strata Management, City
Futures Research Centre May 2012
© Copyright 2013 Teys Lawyers

www.teyslawyers.com.au
Good Luck Finding a New Manager








One-sided contracts
No copy of the contract
No owners’ mailing list
Manager’s hostility
No brand-name managers
No insight on operations
No transparency re costs

© Copyright 2013 Teys Lawyers

www.teyslawyers.com.au
The Strata Match Solution
Needs

Appointment

Shortlist

Recommendation

Tenders

Evaluation

© Copyright 2013 Teys Lawyers

www.teyslawyers.com.au
The Strata Match Proposition

3 New
Choices
© Copyright 2013 Teys Lawyers

Removes
Current
Manager

Free to
Owners

www.teyslawyers.com.au
About the Presenter
About the presenter - Michael Teys is the Founder and Principal Lawyer of
TEYS Lawyers. He has a Bachelor of Laws and practices exclusively in the
area of strata title law. He is a Fellow of the Australian College of
Community Association Lawyers. He was formerly an Adjunct Lecturer with
Charles Sturt University. He appears weekly on SKY News Business
Channel's Property Success with Margaret Lomas and is a regular panellist
for the property edition of Your Money, Your Call for the same channel. You
can read Michael’s blog at www.michaelteys.com and follow him on Twitter
at @MichaelTeys.com
Teys Lawyers practice nationally in strata title law representing owners corporations, bodies
corporate and apartment owners. The firm’s practice groups include building defects, strata
community disputes, strata titles property law, by-laws and levy collection.
Subscribe for their free e-newsletter StrataSpace and find out more about them at
www.teyslawyers.com.au

© Copyright 2013 Teys Lawyers

www.teyslawyers.com.au

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Changing Strata Law

  • 1. Changing Strata Laws: Why the Selection of Your Strata Manager is More Important Than Ever By Michael Teys, Lawyer Strata Match 5 & 6 March 2013 © Copyright 2013 Teys Lawyers www.teyslawyers.com.au
  • 2. We Have a New Level of Government! Federal government Housing policy and affordability State government Housing land release and zoning Local government Building approvals and standards Owners corporation By-laws about common property © Copyright 2013 Teys Lawyers www.teyslawyers.com.au
  • 3. With All the Trappings of Office Laws (By-Laws) Taxes Elections (Levies) (Committee) © Copyright 2013 Teys Lawyers www.teyslawyers.com.au
  • 4. Laws of the Strataverse Strata Act Common Law 78 Other Acts Bewildered Strata Owners © Copyright 2013 Teys Lawyers www.teyslawyers.com.au
  • 5. Thou Shalt Act Reasonably © Copyright 2013 Teys Lawyers www.teyslawyers.com.au
  • 6. Thou Shalt Repair & Maintain  Reasonably?  Strict liability?  Changing common property boundaries?  Simplifying owners renovations  Terminating strata schemes © Copyright 2013 Teys Lawyers www.teyslawyers.com.au
  • 7. Thou Shalt Not Overcrowd  Limits per room  More by-law enforcement power  New CTTT powers  New local council powers  Dangerous new territory for owners corporations © Copyright 2013 Teys Lawyers www.teyslawyers.com.au
  • 8. Thou Shalt Respect Privacy  Owner’s list must be provided  Privacy policy required for unsolicited personal information  Limitations on marketing to owners  Discretion on by-law infringements  Discretion on levy defaults © Copyright 2013 Teys Lawyers www.teyslawyers.com.au
  • 9. Thou Shalt Not Discriminate  Modifications for the frail ($35,000)  Rules restricting young people using common property ($7,500)  Sign language for the hearing impaired at meeting ($5,000) © Copyright 2013 Teys Lawyers www.teyslawyers.com.au
  • 10. Thou Shalt Fix Defects  85% of new buildings are defective  Pro-developer government  Timeframes already shortened  Prescribed developer maintenance schedule  Limits on consultants and lawyers © Copyright 2013 Teys Lawyers www.teyslawyers.com.au
  • 11. The Role of Strata Managers Company Secretary Tax Agent Treasury Insurance Broker Knowledge Manager WHS Officer © Copyright 2013 Teys Lawyers Compliance Officer www.teyslawyers.com.au
  • 12. 7 Reasons For Firing Your Manager 1. 2. 3. 4. 5. 6. 7. Non-responsive Poor communicator Lack of knowledge Inability to advise Poor interpersonal skill No value for money Conflicts of interest Source: Governing the Compact City: The Role and Effectiveness of Strata Management, City Futures Research Centre May 2012 © Copyright 2013 Teys Lawyers www.teyslawyers.com.au
  • 13. Good Luck Finding a New Manager        One-sided contracts No copy of the contract No owners’ mailing list Manager’s hostility No brand-name managers No insight on operations No transparency re costs © Copyright 2013 Teys Lawyers www.teyslawyers.com.au
  • 14. The Strata Match Solution Needs Appointment Shortlist Recommendation Tenders Evaluation © Copyright 2013 Teys Lawyers www.teyslawyers.com.au
  • 15. The Strata Match Proposition 3 New Choices © Copyright 2013 Teys Lawyers Removes Current Manager Free to Owners www.teyslawyers.com.au
  • 16. About the Presenter About the presenter - Michael Teys is the Founder and Principal Lawyer of TEYS Lawyers. He has a Bachelor of Laws and practices exclusively in the area of strata title law. He is a Fellow of the Australian College of Community Association Lawyers. He was formerly an Adjunct Lecturer with Charles Sturt University. He appears weekly on SKY News Business Channel's Property Success with Margaret Lomas and is a regular panellist for the property edition of Your Money, Your Call for the same channel. You can read Michael’s blog at www.michaelteys.com and follow him on Twitter at @MichaelTeys.com Teys Lawyers practice nationally in strata title law representing owners corporations, bodies corporate and apartment owners. The firm’s practice groups include building defects, strata community disputes, strata titles property law, by-laws and levy collection. Subscribe for their free e-newsletter StrataSpace and find out more about them at www.teyslawyers.com.au © Copyright 2013 Teys Lawyers www.teyslawyers.com.au