Tag: Strata

Common Questions about Risk Management for Strata Businesses

Posted on by Liam Kerr
Managing Risk in Strata

In a recent SCA NSW fortnightly webinar, Wal Dobrow, Director from BIV Reports, answered common questions and provided insights into effective risk management for strata businesses.  

Here are some common questions addressed during the session, as well as key documents: 

Can an Insurer Conduct Risk Assessments? 

Strata managers may feel uncomfortable performing on-site risk assessments as it is beyond their role responsibilities. However, insurers or other work health and safety professionals can undertake these assessments. In the event that hiring such experts is too expensive, strata managers can do a quick 30-second assessment to mitigate legal liabilities. 

Should Work Health and Safety Reports Be Conducted for All Strata Schemes? 

Yes, work health and safety reports should be conducted for all types of strata schemes, including commercial, industrial and residential schemes. 

Can Strata Managers Be Held Liable If the Owners Corporation Declines Safety Recommendations? 

Yes, strata managers are accountable for ensuring the safety and well-being of occupants in the strata property. To mitigate further liability, strata managers should take proactive measures. This includes documenting the recommendation in official communications sent to lot owners and minute-taking during meetings.  

Additional Resources:

Can the Owners Corporation Choose Not to Implement Safety Recommendations? 

While strata managers can offer guidance and advocate for necessary safety measures, the ultimate authority to enact changes lies with the owners corporation. Should the owners corporation opt not to proceed with recommended safety measures, they assume responsibility for any legal or financial consequences that may result. 

 

Is Ignorance a Defence for Not Undertaking Safety Inspections? 

Strata managers often encounter resistance from owners corporations when recommending safety inspection reports for commercial, industrial and residential schemes. One common argument posed is, “If we don’t know what to fix, we don’t need to fix it.” However, claiming ignorance is not a valid defence.  

As lot owners, individuals are obligated to address potential hazards and maintain a safe environment for occupants. The core of the matter lies in the principle of duty of care. As part of the owners corporation, Lot owners have a duty to ensure the safety and well-being of all occupants in the strata property. This duty extends to identifying and addressing foreseeable risks, regardless of whether they are immediately apparent or not. 

 

Can a Safety Report Substitute a Work Health and Safety Risk Management Plan? 

No, a safety report provides insights into general risks, but a work health and safety risk management plan covers specific risk management processes, procedures, responsibilities and best practices. 

 

Proxies in Strata – Six Things You Need to Know

Posted on by Liam Kerr

Proxies can be a confusing concept, but they are important for everyone living in a strata scheme.

A proxy is a written authority permitting a person to vote at a general meeting of an owners corporation on an owner’s behalf. This ensures that all persons have the opportunity to participate in decision-making processes even if they cannot attend the meeting.

In a recent SCA NSW fortnightly webinar, Matthew Jenkins, SCA NSW Board Member/Bannermans Lawyers, delved into proxies.

 

Here are six key things you need to know when it comes to proxies: 

Proxy Appointments 

According to Clause 26 (1) of the Strata Schemes Management Act 2015, a person becomes a duly appointed proxy if they are appointed through an instrument in a form approved by the Secretary. This form must be signed by the person appointing the proxy or executed in a manner permitted by the regulations. 

 

Proxy dates 

Proxies must contain the date on which they were made. This requirement is not only legislated but also serves the purpose of defining the period of the proxy. Proxies are not indefinite; they are only effective from one specified date to another. 

 

Proxy Expiration  

Proxies come with a defined expiration. In particular, proxies will:  

  • Expire on the day specified in the proxy. 
  • If revoked in writing by the appointing person. 
  • If a subsequent proxy is provided to the secretary. 
  • After 12 months or two consecutive annual general meetings—whichever occurs later—unless the proxy specifies a shorter period. 

Missed any fortnightly webinars? 

Webinar Resources – Strata Community Association (NSW)

Proxy Notices 

The process of appointing a proxy involves providing the proxy to the secretary of the owners corporation. In larger schemes exceeding 100 lots (excluding utility or parking lots), proxies must be submitted 24 hours before the first meeting. In smaller schemes with 100 lots or less, proxies should be provided at or before the meeting. 

 

What can proxies do? 

Proxies hold significant powers in the decision-making processes of owners corporations. They can attend general meetings (including via electronic means), speak at general meetings, call for polls and vote on various motions (including procedural ones such as motions to adjourn or amend). 

 

What about Proxy Farming? 

It’s important to note that there are restrictions in place to prevent proxy abuse. Proxy farming, the practice of accumulating numerous proxies to influence decisions, is curtailed by limits on the total number of proxies an individual can hold. For strata schemes with 20 lots or less, one proxy is allowed. For those with more than 20 lots, the number is restricted to not more than 5% of the number of total lots (e.g., schemes with 40 to 59 lots are allowed only two proxies). 

Industry focus on Australian Standards (AS) for glass safety

Posted on by Lindsey

Are your Glass Balustrades fit for purpose?

If you’re the owner or manager of an apartment building, then your glass balustrades could be deemed unsafe under a new Australian Standard (AS).

AS 1288: 2021 Glass in Buildings: Selection and Installation, was introduced in 2021 in response to the lack of clarity in the previous standard, and is about to be incorporated into the national construction code (NCC).

This means a new standard for the glass balustrades in apartment buildings, to ensure they’re fit for purpose and safe for residents – to prevent any risk of falling through or climbing over.

What is a balustrade?

A balustrade refers to a barrier along stairs, balconies, ramps, raised levels and terraces, with a railing usually supported by posts or panes of glass.

While they can be part of an architectural design, the main function of a balustrade is to provide safety – where there is a drop between levels of ground of one metre or more, a balustrade is required to prevent falls.

Glass balustrades are a great option for many building barriers – they provide a safe barrier, while giving a clear line of sight and optimising views, and offer a much more appealing aesthetic than bars or poles.

Safety first

According to the new standard, to reduce the risk of someone falling balustrades need to be at least 1 metre high, with no openings greater than 100mm at the base of the barrier, or 125mm at other openings. They also mustn’t be climbable – another reason glass is a great material for balustrades.

Glass balustrades at a height of 5 metres or more require a certain kind of laminated safety glass, and for new buildings, the AS 1288 : 2021 will need to be considered in the construction of balustrades, in accordance with the NCC.

What does this mean for existing balustrades?

As a rule, the NCC is not generally retrospective, meaning it doesn’t apply to existing balustrades. However, given the risks around unsafe balustrades, there are some areas of grey to be considered.

In a recent case, an apartment owner succeeded in taking her owners corporation to the NCAT Appeal Panel, as there was evidence of prior knowledge of their apartment’s top floor courtyard balustrade being deemed unsafe.

So in situations where there is a clear risk to safety, the AS 1288 : 2021 could be brought into effect so that balustrades are fit for purpose and effective in keeping residents and visitors safe. If an expert opinion is given deeming a balustrade is unsafe, then an owners corporation needs to act on this advice.

The new standard also looks at the installation of barriers – for example if balustrades are installed via spigot, core drill fittings or point-fixed, they must comply with the NCC and adhere to new load guidelines for these types of barriers.

 

Peace of mind

Unsure about the safety and compliance of your existing balustrades? Speak to our expert team about an audit of your building’s glass barriers for peace of mind.

Click here for more information.