New South Wales Consolidated Acts

STRATA SCHEMES MANAGEMENT ACT 1996 - SECT 162

162 Order appointing strata managing agent to exercise certain functions

(1) Order appointing strata managing agent to exercise functions of owners corporation An Adjudicator may by order appoint a person as a strata managing agent:

(a) to exercise all the functions of an owners corporation, or

(b) to exercise specified functions of an owners corporation, or

(c) to exercise all the functions other than specified functions of an owners corporation.

(2) Order may confer other functions on strata managing agent An Adjudicator may also order, when appointing a strata managing agent under this section, that the strata managing agent is to have and may exercise:

(a) all the functions of the chairperson, secretary, treasurer or executive committee of the owners corporation, or

(b) specified functions of the chairperson, secretary, treasurer or executive committee of the owners corporation, or

(c) all the functions of the chairperson, secretary, treasurer or executive committee of the owners corporation other than specified functions.

(3) Order may be made without application in certain circumstances An Adjudicator may make an order under this section, without an application having been made for the order, but only if satisfied that the management structure of a strata scheme the subject of an application under this Chapter is not functioning or is not functioning satisfactorily.

(3A) Order may be made on application in certain circumstances An Adjudicator may make an order under this section, on application, but only if satisfied that:

(a) the management structure of a strata scheme the subject of an application under this Chapter is not functioning or is not functioning satisfactorily, or

(b) an owners corporation has failed to comply with a requirement imposed on the owners corporation by an order made under this Act, or

(c) an owners corporation has failed to perform one or more of its duties, or

(d) an owners corporation owes a judgment debt.

(4) Qualifications of person appointed A person appointed as a strata managing agent under this section must:

(a) hold a strata managing agent’s licence issued under the Property, Stock and Business Agents Act 2002 , and

(b) have given consent in writing to the appointment, which consent, in the case of a strata managing agent that is a corporation, may be given by the chief executive officer of the corporation.

(5) Terms and conditions of appointment A strata managing agent may be appointed under this section on such terms and conditions (including terms and conditions relating to remuneration by the owners corporation and the duration of appointment) as may be specified in the order making the appointment.

(6) Revocation of certain appointments An order made in the circumstances referred to in subsection (3) may be revoked or varied by an Adjudicator on the application of a person entitled to make an application for an order under this section and, unless sooner revoked, ceases to have effect at the expiration of such period after its making (not exceeding 12 months) as is specified in the order.

(7) Who may make an application? An application for an order under this section may be made only by:

(a) a person who obtained an order under this Act that imposed a duty on the owners corporation or on its executive committee, chairperson, secretary or treasurer and that has not been complied with, or

(b) a person having an estate or interest in a lot in the strata scheme concerned or, in the case of a leasehold strata scheme, in a lease of a lot in the scheme, or

(c) the authority having the benefit of a positive covenant that imposes a duty on the owners corporation, or

(d) a judgment creditor to whom the owners corporation owes a judgment debt.