Salacia Commercial [2011] QBCCMCmr 585 (23 December 2011)

Last Updated: 4 January 2012

ADJUDICATOR’S ORDER
Office of the Commissioner
for Body Corporate and Community Management

CITATION:	Salacia Commercial [2011] QBCCMCmr 585
PARTIES:	The Body Corporate for Salacia Commercial (applicant)
SCHEME:	Salacia Commercial CTS 42046 (Salacia Commercial)
JURISDICTION:	Sections 227(1) and 229(3)(a) of the Body Corporate and Community Management Act 1997 (Qld) (Act), applying the Act and the Body Corporate and Community Management (Commercial Module) Regulation 2008 (Commercial Module).
APPLICATION NO:	1161-2011
DECISION DATE:	23 December 2011
DECISION OF:	S Zeidler, Adjudicator
CATCHWORDS:	FINANCIAL YEAR – whether the end of financial year date should be changed. Act, s283.

ORDERS MADE:

I hereby order that for the purposes of the Body Corporate and Community Management Act 1997 (“the Act”), and pursuant to section 283 of the Act, the next financial year end date of the Body Corporate for Salacia Commercial shall be 31 July 2012, in place of the previous financial year end date. I further order that, thereafter, each successive financial year for the Body Corporate for Salacia Waters shall commence on 1 August and end on 31 July.

REASONS FOR DECISION

[1] This application was made under the Body Corporate and Community Management Act 1997 (Act) by the Body Corporate for Salacia Commercial (applicant) seeking the following declaratory order:

Change of the Body Corporate End of Financial Year from 30 November to 31 July.

[2] The application is made pursuant to Motion 13 at an extraordinary general meeting of the Body Corporate held on 28 October 2011. The resolution agreed to change the end of financial year to 31 July.

Jurisdiction

[3] An adjudicator may make an order that is just and equitable in the circumstances to resolve a dispute, in the context of a community titles scheme, about: a claimed or anticipated contravention of the Act or the CMS; or the exercise of rights or powers, or the performance of duties, under the Act or the CMS.[1] An order may require a person to act, or prohibit a person from acting, in a way stated in the order. Further, an adjudicator's order may contain ancillary and consequential provisions the adjudicator considers necessary or appropriate.[2]
[4] Section 283 of the Act specifically provides that, with the consent of the body corporate, the order of the adjudicator may include a change of a body corporate’s financial year and of the dates when later financial years will begin.
[5] I am satisfied that this matter falls within the legislative dispute resolution provisions.[3]

Analysis

[6] The application says a change of financial year is sought to bring the Body Corporate’s end of financial year date in line with other bodies corporate in the layered scheme.
[7] In the circumstances, I am satisfied that the Body Corporate has properly consented to the proposed change of the Body Corporate’s financial year and that it is appropriate to make an order changing the financial year end date to 31 July in each year.
[8] This order results in the Body Corporate having an abnormal length financial year for one year. The Body Corporate should be cognisant of this fact when managing its financial affairs.

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[1] Section 276 of the Act
[2] Section 284(1) of the Act
[3] See sections 227, 228, 276 and Schedule 5 of the Act