Friday, December 05, 2008

Building Disputes in Strata and Community Schemes


Before now, trying to lodge a complaint regarding common areas would require the majority of the owners to agree that an action proceed. Where the developer has majority ownership or voting rights, it can be difficult for the owners to agree. This sometimes occurs because the developer is also the builder, or is financially connected with the builder, and is seeking to avoid their responsibilities. 

The Home Building Act provides for complaints about defective building work on the common property of a scheme to be made to the Office of Fair Trading by an owners corporation, or by a community association in relation to association property in a community scheme. 

As of 1 August 2008, individual strata and community lot owners will be able to lodge complaints with Fair Trading and to invite a Fair Trading building inspector onto the common property of a strata scheme or association property in a community scheme. As a further safeguard, caretakers and other persons who control access to areas of the common property will be obligated to cooperate with officers from Fair Trading and provide assistance to enable the inspection to be carried out, for example by providing access to locked areas of the common property.