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Queensland Body Corporate and Community Management Commissioner - Adjudicators Orders |
Last Updated: 19 July 2006
REFERENCE: 0399-2005
ORDER OF AN ADJUDICATOR
MADE UNDER
PART 9 OF CHAPTER 6
BODY CORPORATE AND COMMUNITY MANAGEMENT ACT
1997
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Number of Scheme:
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30942
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Name of Scheme:
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Raby Bay Harbour
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Address of Scheme:
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152 / 166 Shore Street West CLEVELAND QLD 4163
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TAKE NOTICE that pursuant to an application made under the abovementioned Act by
Allan Jones, a member of the committee of Raby Bay Harbour
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C G YOUNGI hereby order that –
I further order
that within fourteen (14) days of the date of this order the administrator must
give a copy of this order to each person whose name
appears on the roll as the
owner of a lot in the scheme.
I further order that –
• to further delegate any of those powers to another person; or
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STATEMENT OF ADJUDICATOR’S REASONS FOR DECISION - REF
0399-2005
"Raby Bay Harbour" CTS 30942
The applicant, Allan Jones, a member of the committee of Raby Bay
Harbour, has sought the following order of an adjudicator under
the Body
Corporate and Community Management Act 1997 (the Act) quote:
That a professional manager be appointed and authorised to convene the AGM for Raby Bay Harbour CTS 30942 immediately.
That a professional manager be appointed and authorised to convene the AGM for the subsidiary bodies corporate being Raby Bay Harbour Villas CTS 30943, Raby Bay harbour Apartments CTS 30944 and Raby Bay Harbour Commercial Centre CTS 30945.
Section 276(1) of the Act provides that an
adjudicator may make an order that is just and equitable in the circumstances
(including a declaratory
order) to resolve a dispute, in the context of a
community titles scheme, about-
(a) a claimed or anticipated contravention of the Act or the community management statement; or
(b) the exercise of rights or powers, or the performance of duties, under the Act or the community management statement; or
(c) a claimed or anticipated contractual matter about-
(i) the engagement of a person as a body corporate manager or service contractor for a community titles scheme; or
(ii) the authorisation of a person as a letting agent for a community titles
scheme.
An order may require a person to act, or prohibit a person from
acting, in a way stated in the order (section 276(2)). An adjudicator's
order may contain ancillary and consequential provisions the adjudicator
considers necessary or appropriate (section 284(1)).
Specifically,
without limiting the power of an adjudicator to make an order under section
276(1), an adjudicator may make an order
appointing an administrator, and
authorising the administrator to perform obligations of the body
corporate, its
committee, or a
member of the committee under the Act or community management
statement.
Section 301 of the Act deals specifically with the appointment
of an administrator, quote:
301 Appointment of
administrator
(1) This section applies if an order is made under
this chapter appointing an administrator.
(2) The administrator has
the powers given to the administrator under the order.
(3) Without
limiting subsection (2), the power may include power to levy a special
contribution against the owners of lots included in
a community titles scheme to
meet the cost of complying with obligations to which the order relates and the
costs of the administration.
(4) The order may--
(a) withdraw all
or particular stated powers from the body corporate, a body corporate manager to
whom a power has been given under
section 119 or 120, or stated officers of the
body corporate
until the administrator has taken the necessary action to
secure compliance with the obligations; and
(b) require officers of the body
corporate or a body corporate manager mentioned in paragraph (a) to take stated
action to help perform
the work the administrator is required to perform;
and
(c) fix the administrator’s remuneration.
(5) The
administrator’s remuneration is to be paid out of the funds of the body
corporate.
(6) This section does not apply to the enforcement of a
monetary obligation of the body corporate arising under another Act unless it
is
an enforceable money order.
Raby Bay Harbour (RBH) is the principal body corporate in a layered arrangement. The scheme has 4 lots comprising a still to be developed lot and three subsidiary bodies corporate. These are:
• Raby Bay Villas CTS 30943;
• Raby Bay Apartments CTS 30944;
• Raby Bay Harbour Commercial Centre CTS 30945
The applicant advises that the previous body corporate manager terminated its management agreement with RBH and the three subsidiary schemes and since this time "the committee’s of Raby Bay Harbour, Raby Bay Harbour Villas and Raby Bay Harbour Apartments bodies corporate have obtained and considered quotations from numerous body corporate managers and have these quotations to be submitted to an AGM. Our preferred management company is Stewart, Silver, King and Burns ...".
The application further states:
All bodies corporate have a financial year end of 31 December and are now well out of the statutory 3 month period for holding of the AGM.
Other issues involving the principal and subsidiary
schemes have recently been brought to this office but I understand that for the
most part these applications have now been resolved.
I have previously
indicated to the applicant in a teleconference in June that I was only prepared
to deal with this application as
pertaining to one scheme, namely, the principal
scheme, RBH. As each scheme is an individual body corporate, I indicated that
any
dispute involving the individual subsidiary schemes would need to be the
subject of separate application. I am only prepared to consider
the current
application in so far as it pertains to the principal scheme, Raby Bay Harbour.
The difficulty in dealing with this application has been in ascertaining
the views of owners. Clearly, the several schemes in this
layered arrangement
are in disarray, with different views on the how this might and should be
remedied. It has been difficult to
obtain the views of "owners" to the proposals
made in the application. This is so since rather than being individual owners,
the
membership of the principal scheme is three subsidiary schemes, each with
different individual owners and different focuses. In this
regard, I acknowledge
that I have not received submissions from all owners.
Of those owners
which have responded, the tone of submissions is supportive of the application.
Moreover, I note that no submission
made seeks to challenge the right of the
applicant to bring this application in his capacity as a committee member of the
principal
scheme. I am assisted in my investigation by a submission from the
lawyer for Raby Bay Harbour Commercial Centre, a subsidiary scheme
of some 22
lots. The lawyer proposes the appointment of a different body corporate manager,
who he alleges has the support of certain
committee members, although no
evidence of this is provided, and these people would have been able to make
their own submission.
Importantly though, the submission
concludes:
We submit that there is no alternative but to appoint an administrator to call the AGM and determine the budgets, and in this regard the commercial scheme supports Mr Jones application (although seeking the appointment of a different administrator).
In the circumstances, I am satisfied
that the order sought should be made. I consider that it is appropriate to
appoint the applicant’s
nominee for administrator in preference to that
submitted by the lawyer for the Commercial Centre.
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URL: http://www.austlii.edu.au/au/cases/qld/QBCCMCmr/2005/508.html