Ignoring problems does not make them go away.
Bad thinks happen because good people do nothing.
Throwing good money after bad.
See below Questions Committee members should answer re the latest committee motion
The committee state that they will not enter into correspondence into matters that have already been answered. My last email had new questions these were NOT answered.
I'm not aware of any legislation that states that I have to attend meetings to have my questions answered. If the committee believes otherwise, please inform me about it?
The biggest mistake that the committee are making is taking advice from Eagle Body Corporate, who are also making mistakes.
I don't no if Eagle are making mistakes because they are incompondent or they are being stregetic in furthering ther own interests.
As far as I no, ther are no qualifications or criteria required to become a body corporate manager. Anyone can be one. The body corporate community management ACT, Code of conduct for body corporate managers and caretaking service contracts talks about a good working knowledge and understanding of the Act. I don't know if a code of conduct is legally enforceable.
Basically, compared to other parts of the real estate industry, the body corporate management industry is unregulated.
I get the impression that the committee are unaware of this.
I have had corresponded with Eagle and have proven to them that ther interpretation of the act has been incorrect. Ther rebuf has been to not answer my questions
Now the committee are taking advise from Eagle to not answer my questions.
If any other owner feels my questions should not be answered I would like you to explain to me why?
This not answering questions is likely to be at the detriment to all owners. As can be seen with the SUBSTANTIAL increase in levies with the follow on, of the increasing number of owners in arrears.
The method that the committee, I assume suggested by Eagle, to handle the arrears, is flawed and does not comply with the Act regulations as described below
The debt recovery procedure that was described in the latest committee meeting minutes is flawed in three respects.
1. The wording used in a previous annual general meeting motion about the financial penalty, when in arrears, does not make grammatical sense.
2. The financial penalty does not comply with the body corporate regulations
3. Without knowing why owners are not paying ther levies and imposing additional financial penalties and threats of legal action is less likely to succeed than other methods.
Quote from AGM of 21/1/2025
This is (almost) the wording, of motion 9 that was voted for at the Annual General Meeting of 11/9/2023
“THAT in accordance with the Body Corporate and Community Management Act and Regulations (1997) the body corporate acknowledges the following contributions arrears collection policy.
15 days after the due date, a reminder notice is sent at $38.50
30 days after the due date, a reminder notice id sent at $38.50
45 days after the due date, a reminder notice is sent at $55.00 advising the matter will be referred to a collection agency without further notice.”
The wording “is sent” and “id sent” followed by a dollar sign, $, and a number, convay no sensical meaning.
I think what the author was trying to say, is that if the levies are not payed in that number of days that a penalty of that amount will be applied. However the wording does NOT say that.
I would suggest that the wording that the committee used, would not stand up, if any owner decided not to pay the, supposed penalties.
The Body Corporate and Community Management (Standard Module) Regulation 2020, states:
“165 Penalties for late payment
(1)The body corporate may, by ordinary resolution, fix a penalty to be paid by owners of lots if a contribution, or an instalment of a contribution, is not received by the body corporate by the date for payment fixed in notices of contribution given to the owners.
(2)The penalty must consist of simple interest at a stated rate, of not more than 2.5%, for each month the contribution or instalment is in arrears.”
The motion of the AGM of 12/9/2023 does not comply with this regulation in 2 respects:
1. The regulation only mentions a penalty. The motion appears to be trying to impose 3 penalties.
2. The regulation states that the penalty must be simple interest at a stated percentage rate, and specified the maximum rate. The motion appears to set 3 seperate fixed amounts.
It appears the committee are completely ignoring the regulations and are attempting to make ther own regulations.
If an owner where to disputes an imposed penalty, they are highly likely to succeed.
I am also an owner of another body corporate, where in the past an owner was in arrears and asked the committee for extra time to pay because they where having financial difficulties. The committee agreed and the debt was paid. Another owner in that same complex became in arrears because of a simple mistake, wrote to the committee, and the matter was resolved.
I noticed that an Algester Gardens owner has emailed Eagle about being charged a penalty for late payment that appears to have been caused by an email problem. The owner should direct his request to the committee as they partly are, and represent the body corporate. Ther appears to be some correspondence noted in the minutes about this, but it does not say if it has been resolved. If not I suggest that owner write to the committee quoting the above and ask the committee to reverse the penalty.
If the committee is not astute enough to ignore the advise that it has and appears to still be taking from Eagle, then all owners may end up paying for a legal dispute which will most likely be lost.
Body corporate management companies most likely make more profit by charging body corporates for ther extra services, which includes arranging for the recovery of unpaid levies and penalties. It is therefore in the interest of management companies to have owners in arrears and owners disputing the arrears penalties.
A better way to resolve unpaid levies is for the committee members to contact the owners concerned to find out why they are not paying ther levies and if appropriate make arrangements for more progress payments to be made. That this be done on an individual basis.
This is what business, including banks do.
I have no idea if the committee are aware of the longer term procedure that has to be gone through if debts continue not to be paid. I am aware of that procedure. It does not solve the problems.
I received an email from the Committee via Eagle saying the committee will vote on a motion to recover a debt from a particular owner. I would like the committee to tell me the answer to to following questions, before they vote on the motion:
Based on the minutes of the last committee meeting, I don't expect to get an answer to these questions, but I do want them answered. I want as many owners as possible to realise that such questions need to be answered before the committee vote on the motion.
Based on recient happening I believe the Committee, naively and unwitty is not acting in the interests of the body corporate, because they are taking advise from Eagle.