WHS	  Compliance	  	  Using	  the	  Due	  Diligence	  Defence	                            A Presentation for QBM April 2013
A	  Body	  Corporate	  Duty	  of	  Care	  is	           Three	  Dimensional	  
The	  New	  WHS	  Approach	  	                                  PCBU	  ‘Work’	  is	  the	                                P...
Work	  Health	  Safety	  Stakes	  Are	  Higher	                              •    Recklessness	  /	  risk	                ...
But	  the	  Defence	  for	  Personal	  Liability	  is	                       Clearer	  1.  Keep	  up	  to	  date	  2.  Und...
Persons	  Who	  Are	  Not	  A	  PCBU	  	                             A	  strata	  body	  that	  is	                      r...
Not	  Only	  For	  ResidenCal	  Purposes	  •  OC	  /	  BC	  employees	  •  Common	  property	  with	     commercial	  lots...
The	  Basic	  WHS	  Duty	  of	  Care	                         “To	  ensure,	  so	  far	  as	  is	                         ...
The	  Latest	  From	  the	  High	  Court	  on	                       Safe	  Systems	  •  Amputee	  slipped	  on	  chip	  •...
A	  Strata	  Body’s	  General	  DuCes	  About	  Asbestos	                                    •  To	  ensure	  that	       ...
Your	  Insurance	  Does	  Not	  Cover	  This	  Risk	  
Strata	  Bodies	  Have	  Unlimited	  Liability	  	  •  An	  uninsured	  owners	     corporaCon	  or	  body	     corporate	...
Think	  3-­‐D	  ‘DemonstraCng	  Due	                    Diligence’	  
We	  Can	  Help	  You	  Develop	  a	  SystemaCc	  Approach	  to	  Due	  Diligence	                       •  27	  page	  ch...
About	  the	  Presenter	                        About the presenter - Michael Teys is the Founder and Principal Lawyer of ...
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WHS Compliance - Using the Due Diligence Defence

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A presentation for QBM 9 April 2013

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WHS Compliance - Using the Due Diligence Defence

  1. 1. WHS  Compliance    Using  the  Due  Diligence  Defence   A Presentation for QBM April 2013
  2. 2. A  Body  Corporate  Duty  of  Care  is   Three  Dimensional  
  3. 3. The  New  WHS  Approach     PCBU  ‘Work’  is  the   PosiCve  duty   Significantly   concurrent   key  concept   for  officers  to   increased   duCes  of  care,   not   exercise  due   personal   consultaCon  &   ‘Workplace’   diligence   liability   co-­‐operaCon  
  4. 4. Work  Health  Safety  Stakes  Are  Higher   •  Recklessness  /  risk   –  OC  /  BC  $3million   –  Volunteer  commiRee  -­‐  Nil   –  CommiRee  honorarium  $600,000  /  5   years  jail   –  SM  $300,000  /  5  years  jail   •  Breach  /  risk   –  OC  /  BC  $1.5  million   –  Volunteer  commiRee  -­‐  Nil   –  CommiRee  honorarium    $300,000   –  SM  $150,000   •  Breach   –  OC  /  BC  $500,000   –  Volunteer  commiRee  -­‐  Nil   –  CommiRee  honorarium    $100,000   –  SM  $50,000  
  5. 5. But  the  Defence  for  Personal  Liability  is   Clearer  1.  Keep  up  to  date  2.  Understand  operaCons  3.  Eliminate  or  minimise  risks  4.  Process  informaCon  5.  Supply  resources  and   processes    6.  Verify  provision  and  use  of   resources  and  processes  (Due  diligence  defence  S.27(5)  WHS  2011)  
  6. 6. Persons  Who  Are  Not  A  PCBU     A  strata  body  that  is   responsible  for  any  common   areas  used  only  for  residenCal   purposes  is  not  a  PCBU  so  long   as  no  worker  is  engaged  as  an   employee  (s.7  WHS  Act  2011)  
  7. 7. Not  Only  For  ResidenCal  Purposes  •  OC  /  BC  employees  •  Common  property  with   commercial  lots  •  On-­‐site  lecng  agent  •  Lots  used  as  home  businesses  •  Nannies  employed  in  lots  •  Lots  for  short  term   accommodaCon  •  CommunicaCon  towers  /   satellite  dish  /  adverCsing   signs  
  8. 8. The  Basic  WHS  Duty  of  Care   “To  ensure,  so  far  as  is   reasonably  pracCcable,   the  health  and  safety  of   workers  and  other   persons”     Hargreaves  v  Telstra  Corp   Ltd  [2011]  AATA  417  (17   June  2011)  is  the  high  water   mark  
  9. 9. The  Latest  From  the  High  Court  on   Safe  Systems  •  Amputee  slipped  on  chip  •  “Reasonable  care   requires  the  inspecCon   and  removal  of  slipping   hazards  at  intervals  not   greater  than  20  minutes”  •  Damages  awarded   $580,299.12  +  costs  Strong  v  Woolworths  [2012]  HCA  5,  7  March  2012      
  10. 10. A  Strata  Body’s  General  DuCes  About  Asbestos   •  To  ensure  that   exposure  to  airborne   asbestos  is  eliminated   or  minimised  so  far  as   reasonably  pracCcal   •  To  ensure  that   exposure  standards  for   asbestos  are  not   exceeded     s.420  WHS  RegulaCons   2011  
  11. 11. Your  Insurance  Does  Not  Cover  This  Risk  
  12. 12. Strata  Bodies  Have  Unlimited  Liability    •  An  uninsured  owners   corporaCon  or  body   corporate  must  sCll  pay  a   damages  award  •  Unlike  shareholders  and   club  members,  lot  owners   do  not  have  limited  liability  •  An  administrator  will  be   appointed  to  strike  a  levy  to   cover  damages  and  costs  
  13. 13. Think  3-­‐D  ‘DemonstraCng  Due   Diligence’  
  14. 14. We  Can  Help  You  Develop  a  SystemaCc  Approach  to  Due  Diligence   •  27  page  checklist  style  report   •  Specifically  addresses  the  6   due  diligence  requirements   •  Contains  8  easy  to  use  forms   and  precedents   •  Customised  for  each  OC  /  BC   at  $395  +  GST  
  15. 15. 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 Channels 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.comTeys Lawyers practice nationally in strata title law representing owners corporations, bodiescorporate and apartment owners. The firm’s practice groups include building defects, stratacommunity disputes, strata titles property law, by-laws and levy collection.Subscribe for their free e-newsletter StrataSpace and find out more about them atwww.teyslawyers.com.au

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