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ROLES AND RESPONSIBILITY
FINANCIAL MANAGEMENT
BY-LAWS
MEETINGS
BODY CORPORATE INSURANCE
​MAINTENANCE AND IMPROVEMENTS
​FORMING A BC COMMITTEE
RECORDS AND REGULATIONS
BODY CORPORATE DISPUTES

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ROLES AND RESPONSIBILITY
FINANCIAL MANAGEMENT
BY-LAWS
MEETINGS
BODY CORPORATE INSURANCE
​MAINTENANCE AND IMPROVEMENTS
​FORMING A BC COMMITTEE
RECORDS AND REGULATIONS
BODY CORPORATE DISPUTES

ROLES AND RESPONSIBILITY

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Body corporate legislation​
Most bodies corporate are a community titles scheme registered under the Body Corporate and Community Management Act 1997 (the BCCM Act). In addition to the BCCM Act, each scheme is registered under one of five regulation modules. There are also regulations that apply to all bodies corporate.
 
For a full copy of the BCCM Act and the regulations see:
  • Body Corporate and Community Management Act 1997 (PDF)
  • Body Corporate and Community Management (Standard Module) Regulation 2008 (PDF)
  • Body Corporate and Community Management (Accommodation Module) Regulation 2008 (PDF)
  • Body Corporate and Community Management (Commercial Module) Regulation 2008 (PDF)
  • Body Corporate and Community Management (Small Schemes Module) Regulation 2008 (PDF)
  • Body Corporate and Community Management (Specified Two-lot Schemes Module) Regulation 2011 (PDF)
  • Body Corporate and Community Management Regulation 2008 (PDF)
ROLE OF THE BODY CORPORATE​
The role of a body corporate in Queensland is to administer common property and body corporate assets for the benefit of all of the owners, and to undertake functions required under body corporate legislation.

​What is a body corporate?
A body corporate is a legal entity which is created when land is subdivided and registered under the Land Title Act 1994 (PDF) to establish a community titles scheme. All of the owners in a community titles scheme are automatically members of the body corporate when they buy their lot.
​
Community titles scheme
Community titles schemes allow you to privately own an area of land or part of a building, as well as share common property and facilities with other owners and occupiers.
A community titles scheme is made up of 2 or more lots, so it could be a:
  • duplex
  • residential unit block
  • townhouse complex
  • high rise accommodation building
  • shopping complex
  • business park.
Queensland has more than 43,000 community titles schemes with a total of over 400,000 individual lots.

What a body corporate does?
The body corporate is given powers under the legislation to carry out its necessary duties.
The body corporate:
  • maintains, manages and controls the common property on behalf of owners
  • decides the amounts to be paid by the owners to make sure the body corporate can operate
  • makes and enforces its own rules, called by-laws, which tell owners and other people who live in the scheme what they can and cannot do
  • takes out insurance on behalf of owners, such as public risk insurance over the common property and building insurance
  • manages and controls body corporate assets
  • keeps records for the body corporate, including minutes of meetings, roll of owners details, financial accounts, registers of assets, improvements to common property by owners, engagements and authorisations.
The body corporate makes decisions about these and other things at general meetings and through the committee.
BODY CORPORATE MANAGER​
A body corporate can engage a body corporate manager to supply administrative services to the body corporate.
At present body corporate managers are not required to be licensed in Queensland. There are no formal training requirements or qualifications needed to be a body corporate manager. 

When a body corporate manager is needed
There is no legal obligation for a body corporate to have a manager. A body corporate may choose to engage a manager when:
  • there is a committee—to perform some or all of the powers of the executive members of the committee to assist the committee
  • there is no committee—to carry out functions in place of the committee.

Duties of a body corporate manager
The duties of a body corporate manager can differ depending on whether the body corporate has a committee or not.

In a body corporate with a committee
If a body corporate has chosen a committee, the body corporate manager is engaged to help the committee. The manager can only do what the body corporate asks them to.
The duties of the manager are contained in the written engagement entered into with the body corporate.
A manager automatically becomes a non-voting member of the body corporate committee. The voting members of the committee can ask a manager not to attend a committee meeting.

Maintenance of common property
The manager is not responsible for the maintenance of the common property, but may organise work if the committee asks them to.

Exercising the executive committee member powers
Usually the manager is authorised to perform the duties of secretary and treasurer including:
  • calling committee and general meetings
  • sending out levy notices and by-law contravention notices
  • sending out the minutes of meetings and managing the body corporate’s money.
A manager authorised to exercise the chairperson’s powers can help the elected chairperson but can only chair the meeting if the:
  • elected chairperson is not present and the manager is elected to chair the meeting
  • role of the chairperson is vacant and the manager is elected to chair the meeting
  • manager is the only person forming a quorum at an adjourned meeting.
The committee’s powers are not lessened by the authority given to the manager. Executive members of the committee can still act within their authority (e.g. the secretary can still call a committee meeting if asked to do so).

In a body corporate with no committee
A body corporate manager engaged when there is no committee is authorised to carry out all the functions of a committee and to exercise all committee powers. The body corporate manager makes the decisions that a committee would usually make.
See sections 58 to 62 of the Body Corporate and Community Management (Standard Module) Regulation 2008 (PDF) (and equivalent sections in other regulation modules) for more information on the responsibilities of a manager during and at the end of a contract.

Managing administrative and sinking funds
A manager operating in a body corporate with or without a committee can be asked to manage funds.
When a manager is authorised to look after the body corporate’s administrative and sinking funds, the manager must:
  • comply with the sections of the regulations relating to the administrative and sinking funds
  • prepare a reconciliation statement, within 21 days after the last day of each month for all accounts including:
    • the financial institution statement showing amounts in and out of the account
    • invoices and other documents showing payments in and out of the account during the month.
Code of conduct of a body corporate manager
The body corporate manager must comply with the code of conduct for body corporate managers and caretaking service contractors when performing under their engagement.
The code of conduct is automatically included in the terms of their engagement. If there is a difference between the code of conduct and the manager’s engagement, then you should always refer to the code of conduct. Under the code of conduct, a body corporate manager must:
  • have a good knowledge and understanding of the Body Corporate and Community Management Act 1997 (PDF) and the code that applies to their functions
  • act honestly, fairly and professionally in doing their job
  • act in the best interests of the body corporate (if lawful to do so)
  • not be fraudulent or misleading
  • not unfairly influence the outcome of a committee election
  • keep records as required by the Act.
Engaging a body corporate manager
When there is a committee
The committee does not have the power to engage a body corporate manager.
The body corporate must pass a motion at a general meeting by ordinary resolution to engage a body corporate manager under a contract. The terms of the contract must be included in the documents sent to members of the body corporate before the general meeting takes place.
The written engagement must list:
  • all of the duties the manager is authorised to carry out
  • the length of the engagement—between 1 and 3 years
  • the payment arrangements.
When there is no committee
If a body corporate is unable to elect a committee, it can pass a motion at a general meeting to engage a manager.
The body corporate can hold an extraordinary general meeting if at the annual general meeting the body corporate:
  • is not able to fill all executive member positions on the committee, or
  • the total number of voting members of the committee is less than 3.
The extraordinary general meeting must be held within 2 months of the annual general meeting. The agenda for this meeting must include a motion to engage a body corporate manager. The motion is to be the last item on the agenda.
The notice for the extraordinary general meeting must include the terms of the contract and an explanatory note.
The explanatory note must outline:
  • the circumstances in which a manager can be engaged
  • the committee functions the manager will perform
  • restrictions applying to the manager’s authority
  • how the engagement can be terminated.
The motion must be a secret ballot if it is a new engagement and must pass by special resolution. No votes can be made by proxy.
The engagement must:
  • be in writing
  • state that the manager is required to carry out all the functions of the committee and each executive member of the committee
  • state that the manager is authorised to exercise all the powers of the committee and each executive member of the committee
  • state the way to work out payment for the manager’s services.
The engagement will end either:
  • at the end of the body corporate’s next annual general meeting held after the general meeting in which the engagement is approved, or
  • 12 months after the day the engagement began.

How to terminate a body corporate manager
A manager’s engagement can be ended if they:
  • agree
  • are convicted of an offence involving dishonesty, fraud or assault
  • fail to perform their duties, or comply with the Act or code of conduct.

Failing to perform or comply
To end a manager’s engagement for failing to perform duties, comply with the Act or code of conduct, the body corporate must issue a remedial action notice. This decision can be made by the committee of the body corporate.
The remedial action notice must state:
  • the duties the manager has not performed or the details of claimed breach of the code of conduct
  • a notice period (no less than 14 days) during which the manager must fix the issue
  • that if the manager does not comply with the notice within the notice period the body corporate can end their engagement.
If the manager does not comply with the notice within the period, the body corporate can terminate the manager’s engagement by ordinary resolution at a general meeting.

Serving a remedial action notice when there is no committee
​
If the body corporate wants to terminate a manager’s engagement when there is no committee, the decision to serve the remedial action notice can by made by the owners of a least one half of the lots included in the scheme.
Role of the committee​
A body corporate must elect a committee at each annual general meeting. The committee is made up of lot owners or people who act for them.
The committee is in charge of:
  • looking after the administrative and day-to-day running of the body corporate
  • making decisions on behalf of the body corporate
  • putting the lawful decisions of the body corporate into place.
The committee can make decisions by calling a committee meeting or by voting outside a committee meeting.

Committee members
The following information applies to schemes under the:
  • Standard Module
  • Accommodation Module
  • Commercial Module
A committee must have at least 3 members.
If the community titles scheme has more than 7 lots, the maximum number of committee members is 7.
If a community titles scheme has less than 7 lots, the maximum number of committee members is the same as the number of lots. This is called the ‘required number of committee members’.
The committee will usually include a chairperson, secretary and treasurer (known as the executive). One person may hold all or any two executive positions.
For schemes under the Small Schemes Module, the committee consists of a maximum of 2 members. The committee will only include a secretary and treasurer.
One person may hold the positions of secretary and treasurer at the same time.
For schemes under the Specified Two-lot Schemes Module there is no committee.
Find out further information about forming a body corporate committee in Meetings section.

The chairperson
The chairperson must chair all general meetings and committee meetings which they attend. If the chairperson is not at a meeting, the voters who are there can choose another person to chair the meeting.
When chairing a general meeting, the chairperson’s duties include:
  • ruling a motion out of order if
    • it is unlawful or unenforceable
    • it conflicts with a bylaw
    • the substance of the motion was not included in the agenda for the meeting
  • declaring the results of voting on motions at the meeting
  • confirming that each ballot-paper is the vote of a person who has the right to vote in the election (where a ballot for a committee position is needed)
  • declaring the result of an election for a committee position.
If the chairperson rules a motion out of order they must give reasons, and give the meeting the opportunity to overturn their decision.
The chairperson does not have any more authority than anyone else on the committee.

The secretary
The secretary's duties include:
  • sending out notices for meetings
  • asking for and receiving nominations for committee positions at an annual general meeting. If a notice inviting nominations is forwarded to lot owners, the secretary must also invite owners to submit motions for the meeting
  • making up the ballot papers for the committee election, and sending the ballot papers and the other material with the meeting notices
  • having all of the following available to be viewed by voters at a general meeting
    • the roll
    • a list of the persons who have the right to vote at the meeting
    • all proxy forms and voting papers
  • receiving the completed voting papers for a general meeting
  • receiving the completed proxy forms for general and committee meetings.
Often the secretary will take the minutes of meetings even though the legislation does not require them to.
If the body corporate has engaged a body corporate manager, it may authorise the body corporate manager to carry out the secretary's duties.

The treasurer
The treasurer’s duties under the legislation are limited.
If there is no body corporate manager, the committee may ask the treasurer to create a reconciliation statement. If the body corporate passes an ordinary resolution at a general meeting, a statement must be prepared, within 21 days after the last day of each month, for each account kept for the administrative and sinking fund, showing the reconciliation of:
  • a statement, from the financial institution where the account is kept, showing the amounts paid into and from the account during the month
  • invoices and other documents showing payments into and from the account during the month.
A treasurer may prepare budgets, manage funds and prepare levy notices, however the legislation does not require them to.
If the body corporate has engaged a body corporate manager, it may authorise the body corporate manager to carry out the treasurer’s duties.

Non-voting members of the committee
If the body corporate engages a body corporate manager or a caretaking service contractor, they are automatically non-voting members of the committee. A non-voting member does not have a right to vote on a committee decision.

Restrictions that apply to committee decisions
The committee cannot make a decision about:
  • setting or changing a body corporate levy
  • a change to the rights, privileges or obligations of lot owners
  • a decision that has to be made by ordinary resolution, special resolution, resolution without dissent or majority resolution
  • starting a legal proceeding unless it is:
    • to recover a liquidated debt against the owner of a lot
    • related to a proceeding where the body corporate is already a party
    • for an offence under the by-law contravention provisions of the Body Corporate and Community Management Act 1997 (PDF)
    • a dispute resolution application lodged with us
  • paying any money to committee members unless it is less than $50 incurred by a committee member attending a committee meeting and not more than $300 reimbursed to a committee member in a 12 month period.
See Sections 42 and 43 of the Standard Module for more information.

Committee spending limit
Committee spending is limited and money must be available in the budget before the committee can spend it. If there is not enough money in the funds the committee would have to think about calling a general meeting to amend the budget or to raise a special levy.
Service contractor/​​ROLE OF A SERVICE CONTRACTOR AND LETTING AGENT
A body corporate may engage
  • service contractors and
  • caretaking service contractors
A body corporate may also authorise letting agents.
These people perform specific duties to help a body corporate meet its legal obligations.  

What is a service contractor?
The information in this section applies to schemes registered under the all the regulation modules.
Where there is any differences between the regulation modules this will be specifically identified.
Service contractors supply services for the benefit of the common property or the lots included in the scheme.
A service contractor is someone engaged by a body corporate for at least 1 year to supply services other than administrative services.
See section 15 of the Body Corporate and Community Management Act 1997(PDF) for the definition of a service contractor.
The services they provide can include but are not limited to:
  • cleaning the pool
  • lawn mowing
  • gardening.
A service contractor is not an employee.    
Body corporate managers are not service contractors. Body corporate managers are contracted by the body corporate to supply administrative services. 

What is a caretaking service contractor?
Schemes that are registered under the Small schemes Module and the Specified two lot Module are not able to engage a caretaking service contractor.
A caretaking service contractor is a service contractor for a community titles scheme who can also be authorised as a letting agent for the scheme (or an associate of a letting agent for a scheme.)
See section 16 of the Body Corporate and Community Management Act 1997(PDF) for the definition of a letting agent.
If they own their lot they are able to vote at general meetings. They are automatically a non-voting member of the committee but are ineligible to be a voting member.
The person is often referred to as having the ‘management rights’ and can be known under different names such as the caretaker, building manager, onsite manager or resident manager.

What is an authorised letting agent?
Schemes that are registered under the Small Schemes Module and the Specified Two Lot Module are not able to authorise a letting agent for the scheme.
A letting agent is authorised by the body corporate to let lots and collect rents for investor owners. They must be licensed under the Property Occupations (PDF) Act 2014 .
Check licence requirements with the Office of Fair Trading
Generally a caretaking service contractor is also authorised to be the letting agent for the scheme and owns or leases a lot and runs the letting agent business from that lot  
There is no need for a letting agent to give the body corporate details of the letting arrangements.  However, they may have to give the body corporate some information on lots for the body corporate roll.
Owners do not have to use the authorised letting agent to let their lots.  Owners may choose to let their lots privately or use a real estate agent.

Codes of conduct
A caretaking service contractor must comply with the code of conduct for body corporate managers and caretaking service contractors as well as the code of conduct for letting agents.
See the Body Corporate and Community Management Act 1997 (PDF)
The code of conduct is automatically included in the terms of their engagement. If there is a difference between the code of conduct and their engagement, then you should always refer to the code of conduct.
Under the code a caretaking service contractor must:
  • have a good knowledge and understanding of the Act and the code that applies to them
  • act honestly, fairly and professionally in doing their job
  • act in the best interests of the body corporate (if lawful to do so).
  • not be fraudulent or misleading
The Act does not include a code of conduct for a service contractor.
​SERVICE CONTRACTOR/ENGAGING A SERVICE CONTRACTORSERVICE CONTRACTOR
The information on this page applies to schemes registered under all the regulation modules. Where there are any differences between the regulation modules, this is specifically identified.
Service contractors and caretaking service contractors are engaged by the body corporate.
The caretaking service contractor is also authorised to conduct a letting agent business for the scheme.
Service contractors and caretaking service contractors are not employees.
The original owner (developer) may initially engage a service contractor (or authorise a letting agent). The developer sets the initial salary, which should relate to the work done.
If the developer does not engage any service contractors, or the original term of engagement expires, the body corporate may decide on a new engagement by ordinary resolution at a general meeting.
The body corporate cannot sell the letting or caretaking rights.
The general meeting notice where a new engagement (for a service contractor) or authorisation (for a letting agent) is voted on must include the terms of the contract as well as any options of extension or renewal.
The new engagement or authorisation must:
  • be in writing
  • state the term (length) of the engagement
  • state the duties
  • include the payment arrangements.
An engagement or authorisation cannot be in the form of a by-law.
Schemes registered under the Small Schemes Module or the Specified Two-Lot Schemes Module cannot engage caretaking service contractors or authorise a letting agent for the scheme.
They can only engage service contractors.

Terms of engagements
The minimum term of engagement of a service contractor is 1 year.
The maximum term of engagement of a service contractor and a caretaker service contractor depends on the regulation module applying to the scheme.
The Standard Module allows for a maximum term of 10 years.
The Accommodation Module and the Commercial Module allow for a maximum term of 25 years.
Schemes registered under the Small Schemes or Specified Two-Lot Scheme modules can only engage a service contractor for a maximum term of 1 year.
The term of engagement includes any rights or options to extend or renew the contract — whether provided for in the first engagement or agreed to later.
SERVICE CONTRACTOR/​AMENDING AN ENGAGEMENT​
The information on this page is for body corporate schemes registered under the:
  • Standard Module
  • Accommodation Module
  • Commercial Module
  • Small Schemes Module
The body corporate can agree to amend the current engagement for a service contractor or a caretaking service contractor (service contractor who is also a letting agent). It can do this by ordinary resolution at a general meeting.
For a caretaking service contractor the motion to amend the engagement must be decided by secret ballot. No votes can be cast by proxy.
A motion to amend a service contractor engagement can be decided by open ballot and no votes can be cast by proxy.
The general meeting notice must include an explanatory note (in the approved form) explaining the amendment.
The amendment must:
  • be in writing
  • state the term of the engagement
  • state the duties
  • include the payment arrangements.
Two-lot Schemes
​
For schemes registered under the Two-lot Schemes Module, an amendment can be made by lot owner agreement.
SERVICE CONTRACTOR/​TRANSFERRING AN ENGAGEMENT
This information is for body corporates schemes registered under the:
  • Standard Module
  • Accommodation Module
  • Commercial  Module
Engagements cannot be transferred under the Small Schemes or Specified Two-lot Schemes modules.
A person’s right under an engagement as a service contractor, or under an authorisation as a letting agent, may be transferred. 
If they have body corporate approval, a service contractor can sell their business.
A transfer can be approved by a resolution of the committee.  Find out how the committee makes decision at a committee meeting or by vote outside a committee meeting.
The committee can consider the following:
  • the character of the transferee
  • the financial standing of the transferee
  • the terms of the transfer
  • the competence, qualifications and experience of the transferee
  • any training the transferee has completed or is likely to complete.
After being given the information necessary to decide on a transfer, the committee has 30 days to make a decision.
The committee cannot unreasonably withhold approval.
The committee can ask to be reimbursed for reasonable costs incurred during the approval process. The committee cannot receive or ask for any other fee or reward for considering the transfer.

Transfer fee
If the engagement is transferred within 2 years of the initial contract date, the person transferring their business may be asked to pay a fee.
The transfer fee will be either:
  • 3% of the fair market value for the transfer if the transfer is approved in the first year after the initial contract date
or
  • 2% of the fair market value of the transfer if the transfer is approved after the first year but before the end of the second year of the initial contract date.
The person transferring may ask the body corporate to waive the transfer fee if they are transferring their business because of genuine hardship.  Information to support this claim should be given to the committee.
SERVICE CONTRACTOR/​TERMINATING AN ENGAGEMENT
This information applies to schemes registered under all the regulation modules.
Any differences between the regulation modules will be specifically identified.
Note: body corporate schemes registered under the Small Schemes Module and the Specified Two-lot scheme Module can only engage a service contractor not a caretaking service contractor.
An engagement of a service contractor or a caretaking service contractor or an authorisation as a letting agent can be terminated:
  • by agreement
  • under the terms of the contract or authorisation
  • if the service contractor or letting agent is convicted of an indictable offence involving dishonesty, fraud or assault
  • if the service contractor or letting agent does not comply with a remedial action notice.

Terminating by agreement
The body corporate can terminate a person’s engagement as a service contractor or authorisation as a letting agent if:
  • it is agreed with that person
  • the terms of the contract allow for the termination of the engagement or authorisation.
The body corporate must agree to the termination by ordinary resolution at a general meeting.

Terminating for conviction of offences
The body corporate can terminate a person’s engagement as a service contractor or authorisation as a letting agent if the person (or director if it is a company):
  • is convicted of an indictable offence involving fraud or dishonesty (whether or not a conviction is recorded)
  • runs a business (involving the supply of services to the body corporate, or to owners or occupiers of lots) that is against the law
  • is convicted on indictment of an assault or an offence involving assault (whether or not a conviction is recorded)
  • transfers an interest in the engagement or authorisation without the body corporate’s approval.
The body corporate must approve the termination by ordinary resolution and by secret ballot.

Remedial action notice
The body corporate can terminate an engagement of a service contractor or authorisation of a letting agent for:
  • engaging in misconduct
  • being grossly negligent in carrying out their functions under the engagement
  • failing to perform duties as required under the engagement
  • failing to comply with the code of conduct
  • failing to comply with disclosure requirements.
The body corporate must first issue a remedial action notice—the decision to issue a remedial action notice can be made by the committee.
The remedial action notice must state:
  • that the person has not met their obligation in a way mentioned above
  • specific details to identify the issue (e.g. the duties not carried out)
  • a notice period (no less than 14 days) during which they must remedy the issue
  • that if the person does not comply with the notice within the notice period (no less than 14 days), the body corporate can terminate the engagement.
The termination must be by ordinary resolution at a general meeting.
If the engagement is terminated, the service contractor and/or letting agent is unable to transfer their business to someone else.

Transferring the engagement
Instead of terminating an engagement or authorisation the body corporate may make the service contractor and/or letting agent transfer it (i.e. sell it to someone else with approval of the body corporate).  
They may be able to leave the scheme with some financial return if the engagement is transferred.
Read more about transferring an engagement —the process leading up to the transfer or termination of an engagement is complex.
Note: The body corporate should consider getting private legal advice before it seeks to enter into, terminate, amend or transfer a legal contract.

Resolving disputes
The Office of the Commissioner for Body Corporate and Community Management has limited jurisdiction to resolve disputes involving service contractors and caretaking service contractors.
The legislation only recognises these disputes as between the body corporate and the contractor. A lot owner cannot lodge a dispute resolution application against a service contractor or a caretaking service contractor.
Disputes that are about a contractual matter relating to an engagement, the transfer of the engagement or the review of terms of an engagement are defined as complex disputes.
Complex disputes may be determined by the Queensland Civil and Administrative Tribunal or by a specialist adjudicator appointed by the Commissioner.

Specialist adjudication
An application for specialist adjudication must nominate someone to act as a specialist adjudicator. A specialist adjudicator can only be appointed if all parties to the dispute agree in writing on:
  • the person nominated
  • how much the specialist adjudicator is to be paid
  • how and by whom the amount is to be paid or agree that the amount is to paid in the way decided by the specialist adjudicator
The Commissioner must be satisfied that the nominated person has appropriate qualifications, experience and standing to perform the role.
BODY CORPORATE LEGISLATION DEFINITIONS
​This content is a list of terms used in the Body Corporate and Community Management Act 1997 (PDF), and definitions of their meanings. This is not meant to be a list of all body corporate related terms.
For more body corporate definitions see the dictionary section of Schedule 6 of the Act.

Adjustment order
For contribution schedule lot entitlements, an adjustment order is an order of a court, tribunal or specialist adjudicator, made before 14 April 2011, providing for an adjustment of the contribution schedule for an existing scheme.
An adjustment order does not include an order of a court or tribunal giving effect to a decision that is not made by the court or tribunal or another court or tribunal (including a decision that is not, but is taken to have been, made by a court or tribunal).
For example:
  • An order giving effect to the terms of the settlement of a dispute between a lot owner in an existing scheme and the body corporate, if the terms provide for the adjustment of the contribution schedule for the scheme.
  • A written agreement between a lot owner in an existing scheme and the body corporate which provides for the adjustment of the contribution schedule for the scheme, is filed in the registry of a court or tribunal, and is enforceable as an order of the court or tribunal.

Body corporate asset
Any real or personal property acquired by the body corporate, other than property that is incorporated into and becomes part of the common property. Body corporate assets may be any property an individual is capable of acquiring.
For example:
  • an air-conditioning unit may be a body corporate asset when bought by a body corporate, but it will become part of common property when it is installed as a fixture
  • a lot in the scheme acquired by the body corporate for the use of the letting agent freehold land
  • a lease
  • a licence to use land for a particular purpose
  • a billiard table
  • gardening equipment.

Common property
Freehold land forming part of the community titles scheme land but not forming part of a lot included in the scheme.

Complex dispute
A complex dispute is a dispute that can only be decided by a specialist adjudicator or the Queensland Civil and Administrative Tribunal in its original jurisdiction—or the appeal of a decision of a specialist adjudicator or the Queensland Civil and Administrative Tribunal.
Complex disputes include:
  • An application by an owner about whether a body corporate decision to change the contribution schedule lot entitlements was not consistent with the relevant deciding principle (section 47AA(3)(a) of the Act).
  • An application by an owner seeking to adjust the contribution schedule lot entitlement because of a material change to the scheme (section 47B(3)(a) of the Act).
  • An application by an owner seeking to adjust the interest schedule lot entitlements (section 48(1)(a) of the Act).
  • An application by an owner to relating to the reversion of contribution schedule lot entitlements (sections 385(8)(a), 387(6)(a), 405(2)(a), or 412(2)(a) of the Act).
  • A dispute about a review of the terms of a service contract (section 133 of the Act).
  • A dispute about the transfer of letting agent’s management rights (section 149A of the Act).
  • A dispute about a contractual matter about the engagement of a body corporate manager’s caretaking service contractor or the authorisation of a letting agent (section 149B of the Act).
  • An application by a body corporate to review of an exclusive use by law of a former body corporate manager, service contractor or letting agent (section 178 of the Act).

Community management statement
A community management statement is a document registered with Registrar of Titles that sets out the identification of a community titles scheme.
The community management statement identifies matters such as the:
  • scheme land
  • regulation module applying to the scheme
  • lot entitlement schedules
  • by-laws applying to the scheme.

Community titles scheme
A community titles scheme is scheme land and the single community management statement identified with the Registrar of Titles identifying that scheme land.
A community titles scheme comprises:
  • at least 2 lots
  • common property
  • a single body corporate
  • a single community management statement.

Contractors
Body corporate manager
A body corporate manageris a person or entity engaged by a body corporate (other than as an employee of the body corporate) to supply administrative services to the body corporate. A body corporate manager may or may not be engaged to carry out the functions of a committee, and the executive members of a committee, for a body corporate.

Caretaking service contractor
A caretaking service contractor is a service contractor for a scheme who is also a letting agent for the scheme, or an associate of the letting agent.

Service contractor
A service contractor is a person or entity engaged by the body corporate (other than as an employee of the body corporate) for a term of at least 1 year to supply services (other than administrative services) to the body corporate for the benefit of the common property or lots included in the scheme.
Services that a service contractor might provide include:
  • caretaking services
  • pool cleaning services.

Debt disputes
Debt dispute
A debt dispute is a dispute between a body corporate and a lot owner in the scheme about the recovery, by the body corporate from the owner, of a debt under this Act.

Related debt dispute
A dispute is a related disputeto a debt dispute if:
  • the subject matter of the dispute is related to the subject matter of the debt dispute
  • there are proceedings in a court or before QCAT about the debt dispute
  • the commissioner considers the disputes are connected in a way that makes it inappropriate for the dispute to be dealt with by one of our dispute resolution processes.

General meeting resolutions
Majority resolution
A motion is passed by majority resolution if the votes counted for the motion are more than 50% of the lots for which persons are entitled to vote on the motion.
For a motion to be decided by majority resolution, only 1 vote may be exercised for each lot in the scheme. The vote must be written and cannot be exercised by proxy.

Ordinary resolution if no poll requested
A motion is passed by ordinary resolution, if no poll is requested, if the votes counted for the motion are more than the votes counted against the motion.
Only 1 vote may be exercised for each lot included in the scheme, whether personally, by proxy or in writing.

Ordinary resolution if poll requested--
A motion is passed, if the total of the contribution schedule lot entitlements for the lots—for which votes are counted for the motion— is more than the total of the contribution schedule lot entitlements for the lots—for which votes are counted against the motion.
Only 1 vote may be exercised for each lot included in the scheme, whether personally, by proxy or in writing.
Requesting a poll voteA person entitled to vote at a general meeting may ask for a poll on a motion to be decided by ordinary resolution, other than an ordinary resolution conducted by secret ballot.
The person must ask for the poll before the meeting decides the next motion on the agenda or, for the last motion on the agenda, before the end of the meeting. The person must ask for the poll either:
  • in person at the meeting
  • on the voting paper on which the person votes in respect of the motion—whether or not the person is personally present at the meeting.
The request for a poll may be:
  • made whether or not the meeting has already voted on the motion without a poll
  • withdrawn by the person who made it at any time before the poll is completed.

Resolution without dissent
A motion is passed by resolution without dissent if no vote is counted against the motion.
Only 1 vote may be exercised for each lot included in the scheme, whether personally, by proxy or in writing.

Special resolution
Only 1 vote may be exercised for each lot included in the scheme, whether personally, by proxy or in writing.
A motion is passed by special resolution if:
  • at least two-thirds of the votes cast are in favour of the motion
  • the number of votes counted against the motion are not more than 25% of the number of lots included in the scheme
  • the total of the contribution schedule lot entitlements for the lots for which votes are counted against the motion is not more than 25% of the total of the contribution schedule lot entitlements for all lots included in the scheme.
However, for a meeting for which notice was given before 4 March 2003, the votes counted for the motion need only be more than the votes counted against the motion, instead of two-thirds in favour of the motion.

Improvements
For the purposes of improvements to common property, animprovementincludes:
  • the erection of a building
  • a structural change
  • a non-structural change, including, for example, the installation of air conditioning.
A change can include a change by addition, exception, omission or substitution (Acts Interpretation Act 1954).

Interested persons
Access to body corporate records
An interested person means:
  • the owner, or a mortgagee, of a lot included in the scheme
  • the buyer of a lot included in the scheme
  • another person who satisfies the body corporate of a proper interest in the information sought
  • the agent of a person above.

Inspections of applications and submissions
An interested person, for an application, means:
  • the applicant, the respondent or an affected person
  • the body corporate or a member of its committee
  • a person who has made a submission on the application.

Layered schemes
Layered arrangement of community titles schemes
A layered arrangement is a grouping of community titles schemes in which there is 1 scheme (principal scheme) which is not a lot in another community titles scheme and which is made up of:
  • the scheme land of all the community titles schemes in the grouping
  • its own common property
  • each lot (if any) that is not a community titles scheme, but is included in the scheme.
A layered arrangement must include at least 1 basic scheme, and there may or may not be 1 or more community titles schemes located between the principal scheme and each basic scheme.

Principal scheme
A community titles scheme which has 1 or more lots which are a community titles scheme, and which is not a lot within another community titles scheme.

Subsidiary scheme
A community titles scheme which is a lot in another community titles scheme (the principal scheme).
A subsidiary scheme may be a lot included in the principal scheme or may be a subsidiary scheme for another community titles scheme that forms part of the layered arrangement.

Basic scheme
A community titles scheme which has no lots which are a community titles scheme.

Number of layered lots
For a principal scheme in a layered arrangement of community titles schemes, the number of layered lots is the total of the:
  • number of lots (if any) in the principal scheme that are not a community titles scheme, and
  • number of lots in the community titles scheme (for each lot in the principal scheme that is a community titles scheme).

Lot entitlements
Contribution schedule lot entitlements
The contribution schedule is a schedule recorded in the community management statement that lists each lot’s contribution schedule lot entitlement.
The contribution schedule lot entitlement for a lot is the basis for calculating the:
  • lot owner’s share of amounts levied by the body corporate, unless the legislation provides another way for sharing body corporate expenses (such as some insurance premiums)
  • value of the lot owner’s vote for voting on an ordinary resolution if a poll is conducted for voting on the resolution (except in a scheme regulated by the Specified Two-lot Scheme Module).

Interest schedule lot entitlements
The interest schedule is a schedule recorded in the community management statement that lists each lot’s interest schedule lot entitlement.
The interest schedule lot entitlement for a lot is the basis for calculating the:
  • lot owner’s share of common property
  • lot owner’s interest on the termination of the scheme, including the lot owner’s share in body corporate assets
  • value of the lot, for the purpose of calculating local government rates and charges and other costs that are calculated on the basis of value.

Plans of subdivision
Building format plan
A building format plan of survey defines land using the structural elements of a building.
For example:
  • floors
  • walls
  • ceilings.
The structural elements, of a building, includes projections of, and references to, structural elements of the building (see section 48C of the Land titles Act 1994)

Standard format plan
A standard format plan of survey defines land using a horizontal plane and references to marks (such as posts) on the ground (see section 48B of the Land titles Act 1994).

Specified two-lot schemes 
The following terms apply only in a scheme regulated under the Specified Two-lot Schemes Module.

Contributing owner
The owner of a lot who pays a contribution payable for their lot by the date for payment.

Defaulting owner
An owner of a lot who does not pay a contribution payable for their lot by the date for payment

Lot owner agreement
An agreement between the owners of the lots, or their representatives.
​BODY CORPORATE REGULATION DEFINITIONS
This content is a list of terms used in body corporate regulation modules, and definitions of their meanings. This is not meant to be a list of all body corporate related terms.
For more body corporate definitions see the dictionary section of each regulation module schedule.

Abstain
When a voter chooses not to cast a vote on a motion, either for or against it. No vote is counted for an abstention.
​
Address for service
The address which body corporate notices must be sent to. The address for service for a lot owner, and any other person whose address for service needs to be given to the body corporate, is recorded on the body corporate roll.
Even if there are 2 or more co-owners for 1 lot, there must be only 1 address for service for a lot.

Standard module
The address for service in a standard module must be an Australian address. However, if the body corporate hasn’t been notified of an address, the address for service is the residential or business address that the body corporate was last notified of for the lot owner or another person (whether in or out of Australia).

Accommodation, Commercial, Small Schemes and Specified Two-lot modules
If no address for service has been notified to the body corporate in an accommodation, commercial, small schemes or specified two-lot scheme module, the address for service is the residential or business address that the body corporate was last notified of for the lot owner or another person (whether in or out of Australia).

Body corporate debt
Any of the following owed by an owner of a lot to the body corporate:
  • a contribution or instalment of a contribution
  • a penalty for not paying a contribution or instalment of a contribution by the due date
  • another amount associated with the ownership of a lot—for example an annual payment for parking under an exclusive use by-law or the cost of lawn mowing services arranged by the body corporate on behalf of the owner.


Committee members
Non-voting member of the committee

The body corporate manager and caretaking service contractor for the community titles scheme are automatically non-voting members of the committee, without further election or appointment, even if they are also lot owners. Non-voting members of the committee are not entitled to vote at committee meetings.

Voting member of the committee
An eligible person who is appointed to the committee by the body corporate. A voting member is able to vote at committee meetings. They do not include non-voting members of the committee.

Corporate owner
A corporation that is the owner of the lot. This does not include a body corporate for another community titles scheme that comprises a lot included in the scheme, in its capacity as the body corporate for a subsidiary scheme for the scheme.

Corporate owner nominee
The person who has been nominated by a corporate owner to represent the corporate owner on the body corporate.
A person is a corporate owner nominee, for the purpose of voting at a general meeting, if the corporate owner entity gives the secretary a written notice of nomination, stating either:
  • the name of the nominee
  • the names of 2 nominees, 1 of whom is to act in the absence of the other.
A corporate owner may change a nomination by giving the secretary written notice of a new nomination.

General meeting motions
Motion with alternatives

A motion with alternatives is needed when 2 motions propose alternative ways of dealing with the same issue, or 2 quotes are needed for spending. The voting paper for the motion must list each proposal as an alternative under 1 motion submitted by the committee.

Procedural motion
A procedural motion is a motion about the conduct of a general meeting. A procedural motion does not need to be included on the agenda.
An example of a procedural motion is a motion to reverse a decision of the chairperson to rule a motion out of order.
Other motions which do not need to be included on the general meeting agenda include:
  • a motion to amend a motion
  • a motion to correct minutes.

Statutory motions
A statutory motion at an annual general meeting, means a motion to:
  • present the body corporate’s accounts for the financial year
  • appoint an auditor of the body corporate’s accounts for the next financial year, or to not audit the accounts (except in the Small Schemes Module)
  • adopt administrative fund and sinking fund budgets, and (in the commercial module) a promotion fund budget, for the financial year
  • fix contributions for the next financial year
  • review each insurance policy held by the body corporate.

Initial contract date
For an engagement or authorisation of a service contractor or letting agent, the initial contract date is the earlier of either:
  • the day the service contractor or letting agent entered into the engagement or authorisation
  • the day the service contractor or letting agent first entered into any engagement or authorisation that has been continuously replaced or renewed (for a replacement or renewal of an engagement or authorisation).

Quorum
A quorum is the minimum number of members required to be at a valid meeting.

Committee meetings
A quorum at a committee meeting is at least half the number of voting members of the committee.
For example, if there are 6 voting members for the committee, a quorum is 3. If there are 7 voting members of the committee, a quorum is 4.
When deciding whether there is a quorum, a voting member who is present is counted as 1. If a voting member has the proxy of an absent voting member, and the use of proxies for the meeting is not prohibited, the member is counted as 2.
A non-voting member is not counted for deciding whether there is a quorum.

General meetings
A quorum at a general meeting is at least 25% of the number of voters for the meeting.
However, if:
  • the number of voters for the meeting is 3 or more, 2 voters must be present personally
  • if the number of voters for the meeting is fewer than 3, there is a quorum if at least 1 voter is present personally.
A voter is taken to be present at a general meeting if the voter is present at the meeting personally, by proxy or by written or electronic voting paper.

Representative of a lot owner
An individual is the representative of the owner of a lot, and entitled to vote for that owner at a general meeting, if the person is either:
  • the guardian, trustee, receiver or other representative of the owner of the lot, and is authorised to act on the owner’s behalf
  • authorised by a power of attorney given to the person by the owner of the lot, and is not the original owner (except under section 211 or 219 of the Act), or a body corporate manager, service contractor or letting agent.
A lot owner’s representative must give the secretary a copy of the document which authorises them as a representative, or otherwise satisfy the secretary of their representative capacity; and give the secretary their addresses.
A lot owner may revoke the authorisation of their representative in writing to the secretary.

Required number for committee
The required number of voting members for a committee is:
  • at least 3 but not more than 7 (if the community titles scheme includes 7 or more lots)
  • at least 3 but not more than the number of lots (if the scheme includes fewer than 7 lots).

Transferee
The person or entity to which the engagement or authorisation as a service contractor or letting agent is transferred.

Transferor
The person or entity engaged or authorised as a service contractor or letting agent that transfers the rights under the engagement or authorisation to another person or entity (the transferee).

Voter for general meeting
A voter for a general meeting of the body corporate is an individual:
  • whose name is recorded on the body corporate’s roll as the owner of a lot
  • whose name is recorded on the body corporate’s roll as the representative of a lot owner
  • who is the nominee of a corporation that is the representative of a lot owner
  • who is a corporate owner nominee who is a representative of a subsidiary body corporate.

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Financial

​FINANCIAL MANAGEMENT

* Please Click on "+" sign to expand and "-" sign to collapse the topic.
Budgets and funds/Body corporate budgets
The information on this page is for body corporate schemes registered under the:
  • Standard Module
  • Accommodation Module
  • Commercial Module
  • Small Schemes Module.
Schemes registered under the Specified Two-lot Schemes Module do not need formal budgets. However, they may agree on certain body corporate expenses to ensure adequate financial management.

Funds
A body corporate must have an administrative fund and a sinking fund. Budgets for these funds must be prepared every financial year.

The budgets for these funds forecast how much the body corporate expects to spend. How much each owner pays in body corporate levies depends on the budgets that the body corporate sets.

Preparing budgets
The committee must prepare the budgets for owners to consider at each annual general meeting. A copy of the proposed budgets must be included in the notice of an annual general meeting. 
A budget can be approved by ordinary resolution.
Owners can also propose budgets for annual general meetings or extraordinary general meetings. A proposed budget must be submitted by the owner in the form of a motion.

Changing budgets
When there is a need to change the budget, an explanatory schedule is sent to owners with the annual general meeting notice. It must include an explanatory note telling all owners that the budget might be adjusted.
A body corporate can only adjust a proposed budget at an annual general meeting if:
  • the amount of the adjusted budget is not more or less than 10% of the budget originally proposed
  • the adjustment is because of a decision at the meeting on a motion (on the agenda) to approve spending
  • the adjustment is approved by a majority of voters present and entitled to vote.
The levies that owners need to pay must be adjusted if the proposed budget is changed.
Budgets cannot be adjusted just because owners think the amounts are too high or too low.
If adjusted, a copy of the approved budget must be given to each owner with a copy of the minutes of the meeting.

Budget increases
The cost of goods and services often increase from year to year. Body corporate levies will normally increase to account for rises in the Consumer Price Index (CPI).
All bodies corporate are different so levels of spending (and levies) needed must be decided individually.
There is a range of information that can help the body corporate prepare its budget. Owners and the committee can get several quotes for goods or services when deciding how much they need to spend. A body corporate may also choose to obtain a professional sinking fund forecast.

Disputing budgets and levies
If you (as an owner) believe the proposed budgets and levies are too high, you can vote against any motion to approve the budget.
You can also propose a different sinking fund or administrative budget. You can do this by submitting a motion for owners to vote on at the annual general meeting.
Even if the annual general meeting decides to approve a budget, you can submit an alternative budget to be considered at an extraordinary general meeting.
There are a number of adjudicators’ orders about budgets and whether they are reasonable.
For example, Panorama 22 [2001] QBCCMCmr 80 (13 February 2001) discussed the requirements for budgets and says the body corporate is not prevented from making subsequent decisions on their budgets and contributions at an extraordinary general meeting if necessary.

You can apply for dispute resolution if you think the budget is unreasonably high.
If you apply for dispute resolution, you must explain which budget items you object to and why.
You should try all other ways to resolve your dispute before you apply for formal dispute resolution such as proposing alternative budgets that you believe are reasonable and necessary.

Spending
Putting an item of expenditure in a budget is not authority to spend the money.
Spending must be authorised by the body corporate, either at a general meeting or by the committee (within its spending limit).
Some expenses can only be paid from the sinking fund (e.g. the replacement of major items like fences or common property carpets).
All other expenditure must be paid from the administrative fund. The body corporate cannot transfer money from one fund to the other.
Payments from the funds can only be made by written request (like an invoice) or written evidence of payment—(like a receipt).
Budgets and funds/Sinking fund
A body corporate must have a sinking fund if is registered under the:
  • Standard Module
  • Accommodation Module
  • Commercial Module
  • Small Schemes Module.
Schemes registered under the Specified Two-lot Schemes Module do not need formal budgets. They may, though, agree on certain body corporate expenses to ensure good financial planning.

Money paid into the fund
A body corporate must have an administrative fund as well as a sinking fund. Money cannot be transferred between the funds. Money paid into the sinking fund includes:
  • owners’ contributions to the sinking fund
  • interest received from the fund’s investments
  • money from insurance pay outs (for major, capital  items that are destroyed or damaged).

Money spent from the fund
Money in the sinking fund can be spent on:
  • big or one-off items, like painting or structural repairs to common property
  • replacing major items, like common property fences or carpets
  • other items that should reasonably be met from capital, like pool furniture.

Budgets
The body corporate must prepare a sinking fund budgets (and an administrative fund budget) each financial year. The sinking fund budget must:
  • provide for necessary and reasonable spending  for the financial year
  • reserve an amount to meet likely spending for at least 9 years after the current financial year.
In the 10 year period, it must allow for:
  • likely spending of a capital or non-recurrent nature (e.g. painting of a building)
  • replacement of major capital items (e.g. replacing a boundary fence)
  • other costs that should reasonably be met from capital.
The fund must decide the amount to be raised from contributions to cover the expected capital costs

Planning ahead
A body corporate needs to budget for major capital spending for the current financial year and the next 9 years. A body corporate may ask a professional to prepare a sinking fund forecast for it. However a body corporate does not have to get a professional sinking fund forecast. The committee or an owner can estimate the likely spending requirements. This is a matter for each body corporate..

Sinking fund investments
The body corporate can invest money from the sinking fund if it’s not needed immediately. This is similar to the way a trustee can invest funds.
See section 96(2)(b) of the Body Corporate and Community Management Act 1997(PDF) for more information.
It is up to the body corporate to decide how to manage and invest its funds.
​
Budgets and funds/Administrative fund
A body corporate must have an administrative fund if is registered under the:
  • Standard Module
  • Accommodation Module
  • Commercial Module
  • Small Schemes Module.
Schemes registered under the Specified Two-lot Schemes Module do not need formal administrative budgets. They can, though, agree on certain body corporate expenses to ensure good financial planning.

Money paid into the fund
The body corporate must have a sinking fund as well as an administrative fund. Money cannot be transferred from one fund to the other. The regulation modules set out what money must be paid into and out of the sinking fund. Any other money must be paid into and out of the administrative fund.
Money that needs to be paid into the administrative fund includes:
  • owners’ contributions to the administrative fund
  • interest from investing administrative fund money
  • fees paid for inspection of records or copies of body corporate documents
  • any amount received that is not required to be paid into the sinking fund.

Money spent from the fund
Money in the administrative fund can be spent on anything that is not required to be paid from the sinking fund, including:
  • regular maintenance of the common property
  • insurance charges  
  • administrative expenses–such as secretarial fees and postage.

Budgets
The body corporate must prepare an administrative fund budget (and a sinking fund budget) each financial year.
The administrative fund budget must estimate the necessary and reasonable expenditure for the financial year for:
  • maintaining common property and body corporate assets
  • insurance charges
  • other costs incurred each year or more frequently (called recurrent expenditure, e.g. body corporate management fees, electricity, etc).
The fund must set the amount to be raised by owner contributions to meet the expected costs.

Administrative fund investments
The body corporate may invest money from the fund if it’s not needed immediately. This is similar to the way a trustee can invest funds.
See section 96(2)(b) of the Body Corporate and Community Management Act 1997(PDF) for more information.
It is up to the body corporate to decide how to manage and invest its funds.
Budgets and funds/Promotion fund
A body corporate registered under the Commercial Module can set up a promotion fund.
A promotion fund:
  • contains estimates of necessary and reasonable spending for the financial year to cover the cost of promoting the scheme (e.g. leasing, installing, maintaining and operating advertising signs)
  • set the amount that owners—who have agreed to make contributions—must pay into the fund.
Owners can agree to set up a fund by voting by ordinary resolution at a general meeting.

Preparing budgets
The committee must prepare the budgets for owners to consider at each annual general meeting. A copy of the proposed budgets must be included in the notice of an annual general meeting.
Owners can also propose budgets to be considered at an annual general meeting or an extraordinary general meeting. A proposed budget must be submitted as a motion.

Changing budgets
A promotion fund budget can only be amended at another general meeting.
Owners cannot adjust the proposed promotion fund budget at the same general meeting (this can only be done for sinking fund or administrative fund budgets).
Owners can be asked to pay a special levy if the body corporate wants more money for the promotion fund.

Investing promotion funds
The body corporate may invest money from the fund if it’s not needed immediately. This is similar to the way a trustee can invest funds.
See section 96(2)(b) of the Body Corporate and Community Management Act 1997 (QLD) (PDF).
It is up to the body corporate to decide how to manage and invest its funds.
​Authority to spend/Committee spending
The following information is for community titles schemes registered under the:
  • Standard Module
  • Accommodation Module
  • Small Schemes Module.

Spending limits
The relevant limit for committee spending (how much money a committee can spend) can be set by ordinary resolution of the body corporate (i.e. a motion voted on by the owners at a general meeting). There is no minimum or maximum limit that the body corporate can set.
If no amount is set by a general meeting resolution the relevant limit is calculated by multiplying the number of lots in the scheme by $200.
For example, in a body corporate with 6 lots, the relevant limit is $1,200 ($200 x 6).

GST included
The committee must allow for any goods and services tax (GST) in its spending.

For example, the committee spending limit for a scheme made up of 12 lots is $2,400 (12 x $200).

The committee has a quote for maintenance of $2,300 plus GST. The total amount, including the GST is $2,530. This is more than the committee’s spending limit of $2,400.

The committee would need approval by ordinary resolution at a general meeting to accept this quote.

Committee spending limits in a layered scheme
The relevant limit for committee spending in a layered scheme can be set by ordinary resolution of the body corporate. There is no minimum or maximum spending limit that can be set.

If no amount is set, the relevant limit is calculated by multiplying the number of layered lots in the scheme by $200.

​For example, the principal body corporate consists of 5 lots and common property. Four of the 5 lots are also community titles schemes with 20 lots each. These lots are referred to as the layered lots.
In this example the relevant limit for committee spending for the principal body corporate is $16,200.
The figure is calculated as: (1 + 20 + 20 + 20 + 20 ) x $200
= 81 lots x $200
= $16,200.

Available funds
Before the committee approves any spending within its limit it will need to be sure there is enough money in the budget for the specific expense.
The committee can call a general meeting to amend the budget or raise a special levy if no money or not enough money is available.

Spending in stages
The committee cannot divide a single project into smaller parts in order to bring the project within its spending limit.
For example, the committee for a scheme made up of 25 lots is limited to spending $5,000 (25 x $200). The committee wants to renovate the main foyer and has obtained quotes.
The costs are:
  • tiles $2,800
  • light fittings $3,000
  • paint $1,200.
Even though each quote is below the committee’s limit, it cannot do the renovations because the whole project is over the spending limit.
The committee would need approval by ordinary resolution at a general meeting.

Spending over the committee spending limit
The committee can only spend over its relevant limit if:
  • the spending is authorised by an ordinary resolution of the body corporateor
  • the owners of all lots in the scheme have given written consent or
  • an adjudicator has authorised the spending to meet an emergency or
  • the spending is needed to comply with a statutory order or notice given to the body corporate, or the order of an adjudicator, or the judgment or order of a court.

Quotes for spending
The number of quotes that a committee needs to consider when making decisions is determined by the relevant limit for major spending.
The body corporate may set the relevant limit for committee spending higher than the relevant limit for major spending by the scheme.
The committee must have at least 2 quotes for any spending that is more than the relevant limit for major spending by the scheme.

For example, if the committee spending limit is $12,000 and the major spending limit is $10,000, any spending over $10,000 but under $12,000 can be approved by the committee if it gets and considers at least 2 quotes.

The body corporate can obtain extra quotes even if the legislation does not require it.

Spending that is not permitted
The committee cannot spend more than its relevant limit for spending.
It can only spend on items provided for in the budget.
If there is no provision in the budget for the expense, the committee cannot authorise the spending even if the amount is within its spending limit.
A committee cannot spend on items that can only be approved by a general meeting resolution.
A committee should not spend funds above the level approved by the body corporate.

Improvements to common property
A body corporate committee can organise improvements to the common property. The authority of the committee is again set by spending limits.
Detailed information on improvements to the common property by the body corporate and the improvement limits is outlined on our improving common property and lots webpage.

Other regulation modules
Schemes registered under the Commercial Module must elect a committee but the committee does not have a spending limit.
Committees in those schemes can spend as much as needed. Spending must be authorised at either a committee meeting or by voting outside a committee meeting. 
Schemes registered under the Specified Two-lot Schemes Module do not need a committee.
​Authority to spend/Body corporate spending
Information on this page is for community titles schemes registered under the:
  • Standard Module
  • Accommodation Module
  • Small Schemes Module.
When spending is over the committee's relevant limit for spending and/or there is no or inadequate provision in the budget, a general meeting may need to be called to consider the proposal.
Schemes registered under the Specified Two-Lot Schemes Module and the Commercial Module do not have spending limits.

Major spending limit
The limit for major spending is only used to determine how many quotes are required when considering a motion at either a committee meeting or a general meeting. The body corporate can set the major spending limit by ordinary resolution at a general meeting. There is no minimum or maximum amount that can be set.
​
If no amount is set, the limit is the lesser of either:
  • $1,100 multiplied by the number of lots in the scheme
or
  • $10,000.

For example, the limit for a body corporate with 5 lots would be $5,500 ($1,100 x 5 lots), as this amount is less than $10,000.

In a 15 lot scheme the limit would be $10,000, because it is less than $16,500 ($1,100 x 15 lots).

Note: it does not prevent the body corporate or the committee from spending more than the major spending limit—it just requires 2 quotes to be considered.

GST included 
​
The body corporate must allow for goods and services tax (GST) when it is spending. 
For example, the major spending limit for a scheme of 12 lots is $10,000 (as no alternative amount has been set by ordinary resolution). 
A quote is obtained for maintenance of the building's roof. The cost is $10,000 plus GST. The entire amount, including GST will be spent from the body corporate funds and must be considered as part of the spending. 
This proposal would be above the major spending limit because the amount being spent is $11,000. Two quotes must be obtained. 

Major spending limits in a layered scheme
The relevant limit for major spending in a layered scheme can be set by ordinary resolution of the body corporate. There is no minimum or maximum spending limit that can be set.
If no amount is set, the relevant limit is the lesser of either: 
  • $1,100 multiplied by the number of layered lots in the scheme, or
  • $10,000.
For example, the principal body corporate consists of 5 lots and common property. Four of the 5 lots are also community titles schemes and consist of 20 lots each. These lots are referred to as the layered lots.

If no amount was set by ordinary resolution, the calculation would look like this:
Number of layered lots (1 + 20 + 20 + 20 + 20) x $1,100
= 81 x $1,100
= $89,100.

As this total amount is more than $10,000, the relevant limit for major spending for the principal body corporate in this layered scheme is $10,000.

Available funds 
When deciding to approve spending, the body corporate should consider if it has sufficient money available and allocated in the budget. 
The body corporate can consider a motion to amend the budget or raise a special levy if not enough money is available.

Spending in stages
The body corporate cannot break down a single project into smaller parts in order to bring it within the major spending limit.
If a single project is more than the relevant limit, the cost of any 1 of the parts is taken to be more than the relevant limit for major spending for the scheme.
For example, the major spending limit for a body corporate is $10,000. The body corporate is considering painting the building. One quote is obtained. The breakdown of costs is:
  • paint $3,900
  • scaffolding $4,000
  • labour $8,000
  • other $2,000.
The body corporate could not break the painting project into smaller projects to enable each part of the quote to be considered under the major spending limit.
The project is ‘painting the building’. The quoted cost of this project of $17,900 is above the major spending limit and 2 quotations would be needed.

Spending over the major spending limit 
If a proposal for spending is to be considered at a general meeting and the amount is more than the major spending limit for the scheme: 
  • at least 2 quotes must be obtained for the work
and
  • the 2 quotes must be included with the notice of meeting.
There is no restriction on the amount that can be spent with the appropriate approvals. The motion to approve the spending must be listed as a motion with alternatives.

Exception for 2 quote rule One quote may be enough in exceptional circumstances where it's not possible to get 2 quotes.

For example, if the body corporate wants to buy something that can only be obtained from a single source that would be considered an exceptional reason for not obtaining 2 quotations.  

Improvements to common property
A body corporate may approve improvements to the common property by ordinary resolution if the improvements are within the ordinary resolution improvement range for the scheme (but only one such motion can be approved in each financial year) all subsequent motions in that financial year must be approved by special resolution.
Detailed information on improvements to common property by the body corporate and the improvements limit is outlined in our improving common property and lots webpage.  

Spending approvals
See a guide to spending at general meetings for help working out how spending is authorised.
​Lot entitlements/About lot entitlements
This information is relevant to all schemes in Queensland registered under the Body Corporate and Community Management Act 1997 and any of the 5 regulation modules.
Lot entitlements in community titles schemes set out each owner’s:
  • body corporate costs and voting rights
  • share of common property and other assets
  • lot value for calculating government rates and other charges.
Lot entitlements are set by the original owner (the developer) when the community titles scheme is established.
Lot entitlement schedules for your community titles scheme are recorded in a document called the community management statement. Get a copy of your community management statement.

Lot entitlement schedules
There are 2 lot entitlement schedules.
They are the:
  • contribution schedule
  • interest schedule.
See an example of how these schedules could appear in the community management statement for a block of 8 units.
For each of the 2 schedules, each lot (or unit) in the scheme is identified and given a whole number. The aggregate or total of all of the lot entitlements is also shown—for the contribution schedule the aggregate is 8 lot entitlements. For the interest schedule it is 16.

Schemes before 13 July 1997
The registered plans for schemes created before 13 July 1997, have only 1 schedule of lot entitlements.
For these schemes, the law says that the contribution schedule lot entitlements and interest schedule lot entitlements are identical to the single schedule endorsed in the original plan.
See the Body Corporate and Community Management Act 1997 (PDF) (QLD) —transitional provisions for more information.

How lot entitlements are used
Contribution schedule
The contribution schedule lot entitlements are used to calculate:
  • each owner’s share of most body corporate costs (some costs, like building insurance premiums, may be divided in a different way)
  • the value of an owner’s vote if a ‘poll’ is called for when voting on an ordinary resolution.

Interest schedule
The interest schedule lot entitlements are used to calculate:
  • each owner’s share of the common property and body corporate assets if the scheme ends (e.g. a scheme could be terminated if all lot owners agreed to dispose of the scheme because they wanted to redevelop)
  • the value of the lot for calculating local government rates and charges, and other costs.

​Costs for services supplied to a lot (e.g. water and electricity) that can be separately measured and charged are not divided among the owners on the basis of lot entitlements. The owners are separately billed by the service provider for the cost of supplying the service to their lot.
Lot entitlements/Setting lot entitlements
​This information is relevant to all schemes in Queensland registered under theBody Corporate and Community Management Act 1997 and any of the 5 regulation modules.
Lot entitlements are set by the original owner (the developer) when a community titles scheme is established.

Lot entitlement schedules
The community management statement for community titles schemes in Queensland has 2 lot entitlement schedules.

They are the:
  • contribution schedule
  • interest schedule.

From 2011 original owners were required to set lot entitlements according to certain principles.  

Contribution schedule principles
The principles for deciding contribution schedule lot entitlements are:
  • the equality principle
or
  • the relativity principle.

The equality principle
Lot entitlements must be equal under the equality principle (except to the extent that it is just and equitable for them not to be equal). For example, if there is a commercial community titles scheme where the owner of 1 lot uses more water or runs a more dangerous or higher risk activity than the other lot owners it may be just and equitable for that lot to have a higher contribution schedule lot entitlement.

The relativity principle
Under the relativity principle, lot entitlements must consider the relationship between the lots according to a number of factors.
Factors include:
  • how the scheme is structured
  • the nature, features and characteristics of the lots
  • what the lots are used for
  • how each lot affects the costs of maintaining the common property
  • the market value of each lot.

The interest schedule principle
The principle for deciding interest schedule lot entitlements is the market value principle except to the extent that it is just and equitable not to reflect the market value.
The community management statement must say whether the market value principle applies and if not, explain why.
If you want to find out more about market values you may want to speak to a property valuer or a real estate agent.

Schemes after 14 April 2011
Contribution schedule
For any scheme established on or after 14 April 2011, or an adjusted scheme, the community management statement must show the deciding principle for the contribution schedule.
  • If the equality principle is used but the entitlements are not equal, explain why they are not equal.
or
  • If the relativity principle is used, explain how the principle was applied.

An adjusted scheme is a scheme that was established before 14 April 2011 but that has since adjusted the contribution schedule or interest schedule.

Interest schedule
For the interest schedule, the community management statement must say whether the market value principle applies and if not, explain why.

Schemes from 13 July 1997 to 2011
Before 2011, contribution schedule lot entitlements were set on the basis that entitlements must be equal (except to the extent that it is just and equitable for them not to be equal).
These lot entitlements will continue to apply unless an adjustment is made to 1 or both of the schedules.

Schemes before 13 July 1997
The registered plans for schemes created before 13 July 1997, have only 1 schedule of lot entitlements. For these schemes, the law says that the contribution schedule lot entitlements and interest schedule lot entitlements are identical to the single schedule endorsed in the original plan.
Lot entitlements/Applying lot entitlements
This information is relevant to all schemes in Queensland registered under the Body Corporate and Community Management Act 1997 (the Act) and any of the 5 regulation modules.
The community management statement for each community titles scheme in Queensland has 2 schedules of lot entitlements.
They are the:
  • contribution schedule
  • interest schedule.

Lot entitlements decide many issues including an owner’s share in body corporate costs.
This page gives you some examples of how lot entitlements would be applied when deciding body corporate spending and voting.

Owner contributions
At its annual general meeting a body corporate approves an administrative fund budget for expected expenses. They may include (but are not limited to):
  • maintenance of the common property gardens
  • payment of the body corporate management fees
  • cleaning of the common property driveway.
These expenses must be divided among the owners according to the contribution schedule lot entitlements. While schemes, registered under the Specified Two-lot Schemes Module do not have administrative or sinking funds, they are still required to divide the agreed expenses based on the contribution schedule lot entitlements.
If, for example, you have 3 contribution schedule lot entitlements and the total contribution schedule lot entitlements for the scheme is 30, you will contribute 3/30 or 10% of these costs.
The expenses are divided equally among the owners only if the contribution schedule lot entitlements for each lot in the scheme is equal. A body corporate cannot decide to equally share body corporate costs when the contribution schedule lot entitlements are not equal.
The scheme’s lot entitlements would have to be adjusted before owners would pay equal contributions.

Insurance
If a body corporate is required under the Act to take out building insurance, the premium may not be divided according to the contribution schedule lot entitlements of each lot.
This is because insurance is treated differently from most other body corporate expenses.
How building insurance costs are divided depends on the type of plan of subdivision that applies to the scheme.
  • In a scheme created under a building format plan, the cost of building insurance is divided among the owners based on the interest schedule lot entitlements for the scheme.
  • In a scheme created under a standard format plan, the cost of insurance is divided on the basis of the cost of re-instating the buildings on the lot.

Voting when a poll has been requested
Usually when voting on a motion that can be decided by ordinary resolution, each lot in the scheme has 1 vote. However, the Act allows owners to request a poll vote.
A poll is another way of counting votes. It takes into account the contribution schedule lot entitlements for the scheme.
There are strict laws around requesting a poll vote and counting votes for a poll. ​
​Lot entitlements/Adjusting lot entitlements
The community management statement for community titles scheme in Queensland has 2 lot entitlement schedules.
They are the:
  • contribution schedule
  • interest schedule.

Adjusting the contribution schedule
This information is relevant to community titles schemes registered under all 5 regulation modules.
There are 3 ways to adjust the contribution schedule lot entitlements:
  • a vote passes at a body corporate general meeting
  • 2 or more lot owners agree
  • a decision is made by a specialist adjudicator or the Queensland Civil and Administrative Tribunal.

General meeting
A body corporate can change its contribution schedule lot entitlements by ‘resolution without dissent’, at a general meeting.
The notice of general meeting where the motion is proposed must explain the proposed change and the reasons for it.
The changes must be consistent with either the principle on which the existing contribution schedule was decided or another contribution schedule principle.

The body corporate must, within 3 months, put in a request to record a new community management statement including the changed contribution schedule lot entitlements.
The community management statement is the document that records the lot entitlement schedules for your community titles scheme.

See section 47A of the Body Corporate and Community Management Act 1997(PDF) (the BCCM Act).

For schemes registered under the Specified Two-lot Schemes Module there is no need to call general meetings as all decisions are made by lot owner agreement. The same information applies as given above with the exception of calling and holding a meeting. All the remainder of the information must be relayed in a lot owner agreement and if both owners agree, the body corporate can lodge the request to record a new community management statement.

Agreement of lot owners
The owners of 2 or more lots can agree in writing to redistribute their lot entitlements among themselves. The owners of the 2 lots must:
  • agree in writing to change the lot entitlements of the lots and
  • under the agreed change the total lot entitlements of the lots is not affected. 

Decision of specialist adjudicator or QCAT
As a lot owner you may apply for an adjustment of the contribution schedule lot entitlements. However, the reasons are limited. They are:
  • the body corporate passes a motion (under section 47A of the Act) and you believe that the new contribution schedule does not follow the principle used as a basis for the change
  • you believe that an adjustment of the contribution schedule is needed because there has been a material change to the community titles scheme (e.g. 1 or more lots have been added or removed—see schedule 6 Dictionary of the Act)
  • the community titles scheme is set up after the start of the 2011 amendments and you believe the contribution schedule does not follow the principle used to set the lot entitlements.
If any of those apply, you can apply for either:
  • a specialist adjudicator under the Act—dispute resolution
or
  • an order from the Queensland Civil and Administrative Tribunal (QCAT) to adjust the contribution schedule.

How decisions are made
In deciding whether the contribution schedule follows the principle used to set it, a specialist adjudicator or the QCAT consider:
  • the principle on which the contribution schedule was decided
  • information in the community management statement on how the deciding principle was applied
  • if the contribution schedule lot entitlements was decided on the equality principle, why the applicant believes the lot entitlements do not reflect the equality principle (with respect to section 49 of the BCCM Act)
  • the applicant's reasons for seeking an adjustment
  • any matters raised by each respondent to support their claim that the entitlements are consistent with the deciding principle.
If the contribution schedule lot entitlements was decided on the equality principle, the adjudicator or QCAT would consider why the applicant believes the lot entitlements do not reflect the equality principle (with respect to section 49 of the Act).
See section 48A of the BCCM Act.

Adjusting the interest schedule
As a lot owner you can apply to a specialist adjudicator or the QCAT for an order to adjust the interest schedule lot entitlements.
The order of the specialist adjudicator or Queensland Civil and Administration Tribunal must be consistent with the market value principle.
​Lot entitlements/Changes to lot entitlements laws
This information is relevant to all schemes in Queensland registered under the Body Corporate and Community Management Act 1997 (the Act) before 2013.
Lot entitlements allocate each owner’s share of common property and assets, and their rights and expenses in the body corporate.
Generally, community titles schemes in Queensland have 2 lot entitlement schedules. They are the:
  • contribution schedule
  • interest schedule.
The laws around lot entitlements was last changed in 2013.

Laws before 2013 
Before 2011, the Act allowed lot owners to apply for an order to change their lot entitlements. If orders were made, these are known as ‘adjustment orders’.
In 2011 the Act was changed. Community titles schemes were allowed to change their contribution schedule lot entitlements back to the schedule that was in place before any adjustment orders. This could be done if a lot owner submitted a motion to the body corporate requesting the change.

This is known as the ‘2011 reversion process’. The 2011 changes also affected how those disputes were resolved. The 2011 reversion process is explained in more detail below.

Changes in 2013
Under the 2013 changes to the Act, bodies corporate no longer had to do the 2011 reversion process. They could also stop any current adjustment orders—those started on or after 14 September 2012. 
As a result of the changes, any unfinished matters or proceedings relating to a 2011 reversion process no longer applied.
See sections 397, 399, 400 and Schedule 5A of the Act (PDF) for more information.
The 2013 changes also:
  • set up a process to reinstate the contribution schedule lot entitlements that were adjusted under a 2011 reversion process
  • allowed bodies corporate to put in place adjustment orders that could not be registered because of the 2011 changes
  • clarified dispute resolution for lot entitlements.

These changes started on 27 March 2013.
Any incomplete matters or proceedings relating to a 2011 reversion process ceased to have effect when the changes started—see, sections 397, 399, 400 and Schedule 5A of the Act.

Dispute resolution 
Under the most recent changes in 2013, if a body corporate passes a resolution without dissent to change the contribution schedule lot entitlements, a lot owner who believes the changed entitlements are not in keeping with the relevant principle used can apply to:
  • a specialist adjudicator
or
  • the Queensland Civil and Administrative Tribunal.
The lot owner would apply for an order that the changed entitlements are not consistent with the relevant principle on which the contribution schedule is based.
For more information see:
  • section 47AA of the Act
  • setting lot entitlements section 
A lot owner can no longer argue whether or not the body corporate acted reasonably in passing or not passing the motion to change lot entitlements.
Adjudicators cannot determine an application
  • to give effect to a motion to change lot entitlements or
  • about whether the body corporate acted reasonably in deciding to pass, or not pass a resolution under section 47A of the Act (see section 47AA(5).
However, disputes about procedural irregularities in calling and holding a general meeting to consider a motion to adjust the contribution schedule lot entitlements can be resolved by an adjudicator. This is allowed under the Chapter 6 provisions of the Act.
The 2013 amendments also added requirements for:
  • disputes about a resolution to change the contribution schedule lot entitlements
  • the implementation of any order arising from the application.
See the Act, sections 47AB, 47AC and 47B.

Effect of the changes
A body corporate no longer has to undertake a 2011 reversion process. 
Any incomplete matters or proceedings about a 2011 reversion process will cease to have effect.
Bodies corporate can register a new community management statement in accordance with an adjustment order (referred to as a relevant decision) which was not able to be registered because of the 2011 amendments.
Bodies corporate and committees can reinstate the contribution schedule lot entitlements to the last adjustment order entitlements.

For more information see the Act sections:
  • 402 and 403
  • 409 and 410
  • 416 to 419—changes for lots which have been subdivided, amalgamated, had boundary or material changes.

Lot owner disputes
A lot owner can dispute the changed lot entitlements determined by the committee or body corporate under these processes if they believe the changes do not correctly reflect the decided entitlements or last adjustment order entitlements.
The owner may apply for an order of a specialist adjudicator or the Queensland Civil and Administrative Tribunal.

See the Act:
  • sections 405 and 412 for more information on disputes.
  • sections 406 and 413 for orders made under these sections to adjust the contribution schedule lot entitlements.

Recording changesUnder the 2013 amendments, it is an offence if a body corporate does not:
  • lodge a request to record a new community management statement
and
  • adjust the contribution schedule lot entitlements if a decision to do so is made by:
    • the body corporate committee
    • body corporate
    • specialist adjudicator
    • the Queensland Civil and Administrative Tribunal.
Accounts, audits and contributions/Body corporate accounts
The requirement for your body corporate to have an account and how it should be managed depends on which regulation module applies to your scheme.

​This information relates to the following regulation modules: 
  • Standard Module
  • Accommodation Module
  • Small Schemes Module
  • Commercial Module
The Specified Two-lot Schemes Module does not require a bank account, so this information is not relevant to those schemes.

The financial institution account
A body corporate must have 1 or more bank accounts kept in its name. The account must be at a financial institution such as a bank, building society or credit union.
An account opened after 4 March 2003 must only be opened with the consent of the body corporate.
This account can be run by:
  • anyone authorised by the body corporate (e.g. at least 2 members of the committee), or 
  • a body corporate manager or an associate of the manager who is authorised by the body corporate to operate the account.
Refer to section 151 of the Body Corporate and Community Management Act 1997 (the BCCM Act) for further information on the bank account requirements.

Body corporate manager
A body corporate manager can be authorised to operate a body corporate's bank account.
A body corporate manager cannot make decisions on what and when money is spent from the account and must ensure proper decisions are made before spending either by the: 
  • body corporate (general meeting), or
  • the committee (committee meeting or vote outside a committee meeting). 
The body corporate can tell the financial institution in writing if the body corporate manager’s engagement has ended. They must complete a BCCM form 2 - change of signatories form to change the signatories on a body corporate bank account.
The financial institution must not let the body corporate manager operate the account after this notice has been given.

Statement of accounts
​
The body corporate must keep proper accounting records and prepare them for each financial year.
The statement of accounts must:
  • show the income and spending of the body corporate for the financial year
  • include a statement of assets and liabilities
  • include corresponding figures for the previous financial year (if there was one). 
A copy of the statement of accounts must be sent with the notice of annual general meeting.

Cash or accrual
The following information is relevant only to schemes registered under either the:
  • Standard Module
  • Accommodation Module, or
  • the Small Schemes Module. 
The statement of accounts can be prepared on a cash or accrual basis. 
If the accounts are prepared on a cash basis, they must include information about:
  • total contributions paid in advance to the administrative and sinking funds
  • total contributions in arrears and total outstanding penalties
  • balances for all financial institution accounts
  • all outstanding receipts and payments.
If the accounts are prepared on an accrual basis, they must show the assets and liabilities of the body corporate at the end of the financial year.
The statement of accounts must include:
  • corresponding figures for the previous financial year
  • all remuneration, allowances and expenses paid to committee members.
Payments to committee members must be split into:
  • remuneration or allowances
  • expenses
    • travel
    • accommodation
    • meals
    • other expenses.

Administrative and sinking funds
There are rules on how to manage the administrative and sinking funds. These include:
  • funds must not be transferred between the administrative and sinking funds
  • payments from the administrative or sinking fund can only be made if there is either
    • a written request for payment or
    • written evidence of payment including for example a receipt
  • all payments from the administrative or sinking fund must be made from the financial institution account
  • the administrative and sinking funds may be invested in the way a trustee may invest trust funds
  • all money received to be credited to the administrative or sinking fund must be paid into the financial institution account held in the name of the body corporate.

Borrowing money
A body corporate can borrow money-the rules are different for each regulation module, including:
  • getting a bank loan
  • monetary limits, and
  • the type of resolution required to approve the borrowing of money. 
The body corporate and the lender would agree on security for the loan.

Standard Module 
A decision to borrow money can be decided by ordinary resolution at a general meeting unless the amount to be borrowed is more than $250 multiplied by the number of lots in the scheme.
If it is more, a resolution without dissent is needed. 

Accommodation Module and Commercial Module 
A decision to borrow money can be decided by ordinary resolution at a general meeting unless the amount to be borrowed is more than $250 multiplied by the number of lots in the scheme. 
If it is more,a special resolution is needed. 

Small Schemes Module 
A decision to borrow money can be decided by ordinary resolution at a general meeting unless the amount to be borrowed is more than $3000 (in total). 
If it is more, a resolution without dissent is needed.
Accounts, audits and contributions/Financial reporting
The following information is relevant to schemes registered under the:
  • Standard Module
  • Accommodation Module
  • Small Schemes Module
  • Commercial Module
Schemes registered under the Specified Two-lot Schemes Module do not have any financial reporting requirements.

Reporting to the committee 
A body corporate can engage a body corporate manager that is authorised to operate the bank account.
A body corporate manager who pays an bill that has been approved by the committee must (if asked) give the committee a written report on the payment.
This does not apply if the body corporate manager is engaged in place of the committee (under chapter 3, part 5 of the standard and accommodation modules).
Only under a Standard Module must a committee member give a written report (if asked) when they are acting on a committee decision and the spending is:
  • routine administration
  • under $200.

Reconciliation statements
A body corporate manager must prepare a reconciliation statement if they administer the body corporate’s administrative fund and sinking fund.
Under the Commercial Module the body corporate manager must also prepare a reconciliation statement for the promotion fund (if there is one).
The reconciliation statement must be prepared within 21 days from the last day of each month. The statement is for each account kept for the funds.
The statement must reconcile (or match up):
  • a financial institution statement showing the amounts paid into and from the account during the month
and
  • invoices and other documents showing payments into and from the account during the month.
If there is no body corporate manager the body corporate may require, by ordinary resolution at a general meeting, the treasurer to complete the reconciliation statement.

When a manager’s contract ends
A body corporate manager, who administers the administrative and sinking funds (or promotion funds for schemes under the Commercial Module), must give financial records to the body corporate when their contract ends (i.e. the termination date of their contract).
The records they must provide for each fund they administer are:
  • a balance sheet as at termination date (if required by the body corporate)
  • income and expenditure statement for the financial year in which the termination day falls
  • a list of all amounts owing to, and payable from the fund as at termination date
  • a reconciliation statement for the account or accounts for the most recent full month before termination date
  • details of the most recent notice given to each lot owner for a contribution payment or contribution instalment
  • a record of all contributions, or instalments, paid by lot owners during the financial year of the termination date
  • any other financial record held by the body corporate manager on the termination date, (e.g. financial institution deposit books).

Time limits
The manager has up to 30 days after their contract ends to give the body corporate these financial records.
However, during those 30 days, the committee can give notice to the manager asking for return of all body corporate’s records and property. If a notice is given, the body corporate manager has 14 days to return all the records and property.
Read more about returning records.
​Accounts, audits and contributions/Auditing body corporate accounts
The following information is relevant to schemes registered under the:
  • Standard Module
  • Accommodation Module
  • Commercial Module
Schemes registered under the Small Schemes Module do not have such strict auditing requirements-specific information for this module follows.
Schemes registered under the Specified Two-lot Schemes Module do not require a bank account and therefore do not need an audit.

Statement of accounts 
A statement of accounts shows the body corporate’s income and spending for the year. 
At its annual general meeting each year, the body corporate must about auditing the accounts. Owners vote to decide if the the accounts are audited or not.

Motion not to audit
The body corporate can pass a motion at its annual general meeting not to audit its accounts. The motion is passed by special resolution.
The motion not to audit must:
  1. be in the form: "that the body corporate’s statement of accounts for the financial year (state the financial year concerned) not be audited" and
  2. have voting instructions (an explanatory note) saying: "If you want the accounts to be audited, vote ‘no’; if you do not want the accounts audited, vote ‘yes’.
An owner wanting body corporate accounts to be audited should vote ‘no’ to the motion not to audit the accounts.
If a motion not to audit the accounts is not passed, the body corporate must have its accounts audited. It will need to pass a motion to appoint an auditor, which must be passed by ordinary resolution.

Audit at other times
If the body corporate decides at the annual general meeting not to audit its statement of accounts for a particular financial year, at any time it can:
  • pass an ordinary resolution to audit the accounts for a particular period or for a particular project, and
  • appoint an auditor.

Auditor
A body corporate must also include on each annual general meeting agenda a motion to appoint an auditor. This normally sits below the motion 'not to audit' the accounts.
The motion for the body corporate to appoint an auditor is not voted on if the body corporate has already passed the motion not to have their accounts audited.
The motion appointing the auditor must include the name of the auditor. The motion must pass by ordinary resolution.
The auditor must provide a certificate reporting on the accounts. A copy of the certificate must be included with the notice of the next annual general meeting to be held after the certificate is received by the body corporate.
Qualifications and experience of auditorThe auditor who is appointed by ordinary resolution of the body corporate must:
  • be independent
  • have appropriate qualifications and experience
  • not be a committee member or a body corporate manager.
The auditor examines the prepared financial statements and gives an opinion on whether the financial statements show all relevant information and provide a fair picture of the financial position of the body corporate.

Small and two-lot schemes
Different rules apply for bodies corporate registered under the Small Schemes Module and the Specified Two-lot Schemes Module.
Small schemes can decide to audit their accounts, but it is not compulsory for a motion about the audit to be on the agenda of the annual general meeting. 
Specified Two-lot schemes do not have a bank account and do not need to have an audit.
​Accounts, audits and contributions/Owner's contributions
Each lot owner must pay a share of body corporate expenses (i.e. owner contributions). Bodies corporate budget for expenses and then levy each owner in the scheme for the money they need to meet those expenses.
The following information is relevant to schemes registered under the:
  • Standard Module
  • Accommodation Module
  • Small Schemes Module
  • Commercial Module.

How contributions are decided
The annual levies that lot owners must pay each year are decided at each annual general meeting. At that meeting the body corporate must, by ordinary resolution:
  • agree on administrative and sinking fund budgets for the financial year
  • work out, based on the agreed budgets, the amount that each lot must pay
  • decide the number of instalments the levies must be paid in
  • set the date when each instalment is due.

Special contribution
Additional levies, known as a special contribution, must be collected by the body corporate if it has to pay for unexpected costs during the financial year. These can be costs that were either not included in the budget or not enough money was set aside to meet them.

For example, if the cost of painting common property is more than the amount allocated in the sinking fund budget for the work, the body corporate can decide to collect a special contribution from owners to meet the extra cost.
To agree to collect a special contribution, the body corporate must pass an ordinary resolution.

Interim contribution
The committee may fix an interim contribution for either the administrative or sinking fund levies.
An interim contribution helps the body corporate meet a shortfall in monies until new levies are set or received from 1 financial year to the next.
Interim contributions are calculated on the basis of contributions that were set for the previous financial year.
If an interim contribution is levied it must be offset against the relevant budget as decided at next general meeting.

Calculating levies
The contributions levied on the owner of each lot must be based on the contribution schedule lot entitlements, unless the legislation says otherwise.
The contribution schedule lot entitlements are listed in the community management statement recorded for the scheme.
One exception is building insurance. Insurance payments for owners in a building format plan are based on the interest schedule lot entitlements, not the contribution schedule lot entitlements.

Contribution notice
The body corporate must give each owner written notice of the contributions they owe. This notice must be given at least 30 days before a contribution is due.
The contribution notice must include:
  • the amount owing
  • the due date
  • any discount that can apply
  • any penalty if the payment is overdue
  • any previous payments that are overdue.

Discounts and penalties
The body corporate can use discounts and late payment penalties to encourage owners to pay contributions by the due date. The body corporate must decide by ordinary resolution to give discounts and charge penalties.
A discount may be given to an owner if their contribution is paid to the body corporate by the due date. The discount cannot be more than 20% of the instalment amount.
An owner can be charged a penalty if their contribution is not paid to the body corporate by the due date. The penalty will be simple interest at a set rate (not more than 2.5%) for each month that the contributions are overdue.
Even if a payment is late, the body corporate can decide to allow the discount or not charge the penalty, in full or in part, if there are special reasons.

Unpaid contributions
If a contribution is not paid by the due date, the body corporate can start debt recovery action to recover the amount.
If a debt has been overdue for 2 years, the body corporate must start debt recovery within 2 months of that date. This does not stop the body corporate from starting debt recovery earlier.

Debt recovery
The body corporate can lodge a debt dispute claim with:
  • the Queensland Civil and Administrative Review Tribunal (QCAT)--called a minor civil dispute
or
  • the courts.
A debt dispute or a related debt dispute cannot be decided by an adjudicator.

Conciliation
The body corporate or an owner can apply for conciliation through the Office of the Commissioner for Body Corporate and Community Management to determine a dispute about a debt.
However, if debt recovery action has been started in the QCAT or a court, the dispute cannot be conciliated. If debt recovery action is started after a conciliation application is lodged, the conciliation application must end.
​Accounts, audits and contributions/Owner's contributions for two-lot schemes
This information is for schemes registered under the Specified Two-lot Schemes Module.
Even if you only have 2 units in your scheme, you may not be registered under this module. The regulation module applying to your scheme will be listed on your community management statement.

Agreed body corporate expenses
Each lot owner must pay a share of body corporate expenses (called owner contributions).
An agreed body corporate expense is an amount that the 2 owners that make up the body corporate have decided to pay, by a lot owner agreement.

Some costs will automatically be agreed body corporate expenses. This includes costs the body corporate must meet to comply with:
  • the Body Corporate and Community Management Act 1997 (PDF) or the regulation module
  • a statutory order or notice given to the body corporate
  • an order of an adjudicator
  • a judgement or order of a court or the Queensland Civil and Administrative Tribunal.

Contributions
Each lot owner must contribute to an agreed body corporate expense. The contributions are calculated on the contribution schedule lot entitlement of the lot, except if the contributions are for insurance expenses.
For example, if the contribution lot entitlements for each lot are equal, each lot owner will contribute the same amount towards each agreed body corporate expense.

Contributions must be paid by the due date set in the lot owner agreement, or when required by the relevant order.
If no date has been fixed, the contribution must be paid on or before the date stated in the contribution notice for an agreed body corporate expense.

Contribution notice
If the body corporate or a lot owner gets a notice of an agreed body corporate expense, the lot owner can give the other lot owner a contribution notice.
The contribution notice must say:
  • the total amount of the expense
  • the share to be paid by each lot owner the due date for payment.
If an owner of a lot gives a contribution notice, it must be given as soon as possible after the notice of an agreed body corporate expense is received.
For example, if an owner gets notice of the cost to renew the body corporate’s insurance, the owner must give the other owner a contribution notice as soon as possible setting out the total cost of the renewal, the amount each owner owes, and the due date. 

Unpaid contributions
If an owner does not pay their share of an agreement there are steps the other owner can take.
Section 27 of the Specified Two-lot Scheme Module (PDF) refers to the ‘defaulting owner’ and the ‘contributing owner’.
A defaulting owner is an owner who does not pay their contribution by the due date.
A contributing owner is an owner who pays their contribution by the due date.
A contributing owner can choose to pay the defaulting owner’s contribution. If they do, the contributing owner can then get that amount back from the defaulting owner as a debt. The contributing owner can also recover any penalty for late payment and any reasonable costs that may have resulted.

The body corporate can recover the overdue amount from the defaulting owner as a debt. The contributing owner can start proceedings on behalf of the body corporate to recover the overdue contribution. Any penalty for late payment and any reasonable costs that may have resulted can also be recovered.

Debt recovery
The body corporate or the contributing owner can lodge a debt dispute claim with:
  • the Queensland Civil and Administrative Review Tribunal (called a minor civil dispute)
  • Queensland courts.
A debt dispute or a related debt dispute can not be decided by an adjudicator.

Conciliation
The body corporate or the contributing owner can apply for conciliation with us to determine a dispute about a debt.
However, if debt recovery action has been started in the Queensland Civil and Administrative Tribunal or a court, the dispute cannot be dealt with in conciliation. If debt recovery action is started after a conciliation application is lodged, the conciliation application must end.
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meetings

MEETINGS

* Please Click on "+" sign to expand and "-" sign to collapse the topic.
Annual general meetings/Holding an annual general meeting
At an annual general meeting, your body corporate will decide matters such as:
  • annual budgets
  • annual contributions
  • insurance
  • the election of the committee.
Your body corporate must hold an annual general meeting each year. 
The annual general meeting must take place:
  • within 3 months of the end of the body corporate’s financial year
  • at least 21 days after the notice of the meeting is given to lot owners.

The secretary must send a letter to all lot owners 3 to 6 weeks before the end of the body corporate’s financial year, inviting lot owners to submit motions for the annual general meeting and asking for committee nominations.

The financial year
The financial year for a body corporate is not always the same as the tax year (1 July to 30 June). The financial year for your body corporate is determined by either the year the body corporate was set up or by the date of the first annual general meeting.

Schemes established before 1997
Before the start of the Body Corporate and Community Management Act 1997(PDF) (BCCM Act), the Building Units and Group Titles Act 1980 (PDF) (BUGTA) applied.  Building unit plans and group title plans established under BUGTA are called ‘existing plans’.
For an existing plan, the financial year ends on the last day of the month in which the first annual general meeting was held (e.g. if the first annual general meeting was held on 10 May 1993, the financial year will be 1 June to 31 May).

An adjudicator may make an order under the dispute resolution provisions changing the financial year end date, usually if requested by a general meeting resolution.

Schemes established after 1997 
For schemes established under the BCCM Act, the financial year ends on the last day of the month, immediately before the month when the community titles scheme was established (e.g. if the scheme was established on 10 May 1998, the last day of the financial year is 30 April. The financial year will be 1 May to 30 April). An adjudicator may make an order under the dispute resolution provisions changing the financial year end date, usually if requested by a general meeting resolution.

First annual general meeting
The original owner (the developer) must hold the first annual general meeting. The meeting must be called and held within 2 months after either:
  • more than 50% of the lots included in the community titles scheme are sold
  • 6 months has passed since the establishment of the scheme.

The agenda at the first annual general meeting must include specific motions.Refer to section 77(3) of the Standard Module (PDF).  There are corresponding sections in all other regulation modules except the Specified Two-lot Schemes Module. The original owner must hand over certain documents to the body corporate at the first annual general meeting.  Section 79 of the Standard Module(PDF) provides details.  There are corresponding sections in all other regulations modules except the Specified Two-lot Schemes Module.
Annual general meetings/Calling an annual general meeting
​Who can call an annual general meeting
The following people can call the annual general meeting:
  • a voting member of the committee (usually the secretary) who has been authorised by the majority of the committee voting members
  • a non-voting member of the committee (i.e. a body corporate manager) who has been authorised by the majority of the committee voting members
  • someone who has been authorised by an adjudicator’s order.

Giving lot owners notice
Each lot owner must be given a written notice of the annual general meeting. It is the secretary’s job to send the notice taking into account information about who is authorised to call the meeting.
The notice must be given to the lot owner personally or sent to the address for service for the lot.

The notice must include:
  • the time and place of the meeting
  • an agenda
  • a proxy form
  • a voting paper for all open motions
  • any explanatory schedule or explanatory material
  • committee ballots—including secret voting documentation if necessary
  • copies of proposed budgets
  • insurance details, including the
    • name of the insurer
    • amount of cover
    • type of cover (a summary)
    • amount of the premium
    • date the cover expires
  • a statement of accounts
  • a copy of the register of reserved issues.
For all motions decided by secret ballot, the notice must also include:
  • a secret voting paper
  • an envelope marked ‘secret voting paper’
  • a separate particulars tab, or envelope.

Agenda
The agenda must include:
  • any motions submitted by the committee
  • any motions submitted by lot owners—which the secretary must receive before the end of the body corporate’s financial year
  • a motion to confirm the minutes of the previous general meeting
  • any statutory motions, including
    • presenting the body corporate’s financial accounts for the financial year
    • appointing an auditor of the body corporate’s financial accounts for the next financial year, or deciding not to audit the accounts
    • adopting administrative fund and sinking fund budgets for the financial year
    • reviewing each insurance policy held by the body corporate.
Find out how to submit motions to the annual general meeting.


Voting papers
The secretary must prepare 1 voting paper for all open motions to be decided at the annual general meeting.
The secretary must also prepare a secret voting paper for any motion to be decided at the meeting by secret ballot. If there are 2 or more motions that need a secret ballot, they can appear on the same secret voting paper.
A voting paper must:
  • state each motion, as it was submitted, to be considered at the meeting—including any motions with alternatives
  • state the name and lot number of the person who submitted the motion or state ‘motion proposed by the committee’
  • state the type of resolution needed for each motion
  • allow voters to record a written vote on each motion to be considered at the meeting
  • say ‘secret voting paper’ (if it is a secret voting paper)
  • state if there is an explanatory note for the motion included in the explanatory schedule
  • give instructions on how a voter can vote electronically for an open or secret motion (if it is an option).

Explanatory schedule
The explanatory schedule is part of the notice of an annual general meeting. It includes material about motions on the agenda such as:
  • an explanatory note (of no longer than 300 words) about a motion given to the body corporate by an owner
  • an explanatory note that the administrative fund or sinking fund budget may be adjusted
  • the motions submitted to the body corporate and voting instructions (for a motion with alternatives)
  • for a motion proposing a change to the regulation module an explanatory note in the approved form explaining the effect of any proposed change.
The committee may include an explanatory note to the owners’ motions as long as the committee’s explanatory note is included with the notice of meeting on a separate explanatory schedule.
The committee is not subject to a word limit when including an explanatory note.
Annual general meetings/Running an annual general meeting
Chairing the annual general meeting
The chairperson must chair all of the annual general meetings that they attend.
If there is no chairperson or the chairperson is not at the meeting, people at the meeting who have a right to vote can choose another person to chair the meeting.
The body corporate manager can advise and help the chairperson. They can only chair the meeting if they are chosen by those people at the meeting who have a right to vote, or if they are the only person forming a quorum at the meeting (see Quorum at general meetings).
Duties and powers of the person chairing the meeting include: 
  • ruling a motion out of order
  • declaring the result of voting on motions and the committee elections.

Ruling motions out of order
A motion must be ruled out of order if:
  • the motion, if carried, would conflict with the legislation or the body corporate by-laws
  • the motion, if carried, would conflict with another motion already voted on at the meeting
  • the motion, if carried, would be unlawful or unenforceable for another reason
  • the substance of the motion was not included on the agenda for the meeting.
The person chairing the meeting must give reasons for ruling a motion out of order, which must be recorded in the minutes. Those who go to the meeting and are entitled to vote may, by ordinary resolution, reverse a ruling.
When declaring the result of voting on motions at the annual general meeting, the person chairing the meeting must state the votes for, against and abstentions on the motion.
When declaring the result of an election for a committee position, the person chairing the meeting must state the number of votes cast for each candidate.

Amending motions
A motion can be amended at a general meeting by the people present and who have a right to vote.
A motion to amend a motion is a procedural motion.
Any motion once amended is referred to as the amended motion.
When counting the votes for and against a motion to amend and an amended motion:
  • if the person has cast a written or electronic vote on the motion they must be counted as voting against the motion
  • those who are not present either personally or by proxy and have not cast a written or electronic vote on the motion must not be counted as voting for or against the motion.
An amendment cannot change the subject matter of the motion.

The secretary at the annual general meeting
The secretary (or their delegate, e.g. the body corporate manager) must have with them:
  • a copy of the body corporate roll
  • a list of the people who have the right to vote at the meeting
  • all proxy forms and voting papers.

Quorum at general meetings
A quorum is the minimum number of people who must be at an annual general meeting before it can start.
The quorum for a general meeting is at least 25 per cent of the number of voters, except if there are:
  • three or more voters for the meeting, when at least 2 voters must be personally present
  • less than 3 voters for the meeting, when at least one voter must be personally present.
If a quorum is not present after 30 minutes, the meeting must be adjourned (‘the adjourned meeting’) to be held at the same place, on the same day and at the same time, in the next week.
If at the adjourned meeting a quorum is not present after 30 minutes, the people who are there (whether personally or otherwise) can form a quorum if:
  • the chairperson is personally present or
  • the chairperson is not personally present, but a body corporate manager (exercising the powers of the chairperson) is personally present.

Minutes
Your body corporate must keep full and accurate minutes of every annual general meeting. This includes:
  • the date, time and place of the meeting
  • the names of people who attended the meeting and their capacity
  • details of proxies tabled
  • the words of each motion voted on
  • the voting results on motions, including the votes for and against and abstentions
  • if there is an election, the number of votes cast for each candidate
  • the time the meeting closed
  • the secretary's name and contact address. 
The minutes of an annual general meeting must be given to each lot owner within 21 days of the meeting.
A motion to confirm the minutes of the last general meeting must be on the agenda of the next general meeting held.
Extraordinary general meetings/Calling an extraordinary general meeting
An extraordinary general meeting is any general meeting of the body corporate that is not the annual general meeting. An extraordinary general meeting can be held at any time of the year. A body corporate can have as many or as few extraordinary general meetings as it wants.

Who can call an extraordinary general meetingAn extraordinary general meeting can be called by a:
  • committee member (if approved by the majority of voting committee members) or
  • written request signed by at least 25% of lot owners or their representatives or
  • person authorised by an adjudicator’s order.

Owners requesting an extraordinary general meeting
Usually the committee will decide to call an extraordinary general meeting. But owners can also ask for an extraordinary general meeting. The notice requesting the extraordinary general meeting must be given to the body corporate secretary, or in the secretary’s absence, the chairperson (the secretary is taken to be absent if they do not respond to the request within 7 days).
The request must include:
  • signatures of at least 25 percent of lot owners or their representatives
  • motions which the owners want to have decided at the meeting
The person receiving the request must call an extraordinary general meeting within 14 days.
The meeting must be held within 6 weeks of receipt of the notice.
If the meeting is not called within 14 days, the owners who signed the original request can ask another committee member to call the meeting. The meeting must be called within 14 days of receiving the new request.

Giving lot owners notice
Each lot owner has to be given written notice of an extraordinary general meeting at least 21 days before the meeting. The notice must be given personally or sent to the owner at their address for service.
The meeting notice must include:
  • the time and place of the meeting
  • the agenda
  • a proxy form
  • a company nominee form, if the owner is a company
  • a voting paper for all motions not being decided by a secret ballot
  • for all motions decided by secret ballot:
    • a secret voting paper
    • an envelope marked 'secret voting paper’
    • a separate particulars tab or envelope
  • any explanatory schedule or material required.

Agenda
The committee must decide on the agenda.
The agenda for the extraordinary general meeting must include:
  • any motions submitted by lot owners received prior to the calling for the extraordinary general meeting that can practicably be included on the agenda
  • any motions listed in the notice asking for an extraordinary general meeting to be called
  • any motions submitted by the committee
  • a motion to confirm the minutes of a previous general meeting
Find out how to submit a motion to a general meeting. 

Voting papers
The secretary must prepare 1 voting paper for all open motions to be decided at an extraordinary general meeting.
The secretary must prepare a secret voting paper for a motion to be decided by secret ballot. If there are 2 or more motions requiring a secret ballot they can appear on the same secret voting paper.
A voting paper for the meeting must:
  • state each motion, in the form it was submitted, - including a motion with alternatives
  • state the name and lot number of the person who submitted the motion or state ‘motion proposed by the committee’
  • state the type of resolution required for each motion
  • allow voters to record a written vote on each motion
  • say ‘secret voting paper’ (if it is a secret voting paper)
  • state if there is an explanatory note for the motion included in the explanatory schedule
  • give instructions on how a voter can vote electronically for an open or secret motion (if it is an option agreed to by the body corporate)

Explanatory schedule
​
The explanatory schedule is part of the notice of an extraordinary general meeting. It includes material about the motions on the agenda including:
  • an explanatory note (of no longer than 300 words) about a motion given to the body corporate by an owner who has proposed a motion
  • the motions submitted to the body corporate
  • voting instructions for a motion with alternatives
  • for a motion proposing a change to the regulation module an explanatory note in the approved form BCCM Form 19 explaining the effect of any proposed change.
The committee may include an explanatory note to owners’ motions as long as the committee’s explanatory note is included with the notice of the meeting on a separate explanatory schedule.
The committee is not subject to a word limit when including an explanatory note.
Extraordinary general meetings/Running an extraordinary general meeting
Chairing an extraordinary general meeting
The chairperson must chair all of the extraordinary general meetings that they attend.
If there is no chairperson or the chairperson is not at the meeting, the people at the meeting who have a right to vote can choose another person to chair the meeting.
The body corporate manager may advise and help the chairperson. However, they must not chair the meeting unless the people at the meeting who have a right to vote choose them, or they are the only person forming a quorum at the meeting.
The duties and powers of the person chairing the meeting include:
  • ruling a motion out of order
  • declaring the result of voting on motions and the committee elections.

Ruling motions out of order
A motion must be ruled out of order if:
  • the motion, if carried, would conflict with the legislation or the body corporate by-laws
  • the motion, if carried, would conflict with another motion already voted on at the meeting
  • the motion, if carried, would be unlawful or unenforceable for another reason
  • the substance of the motion was not included on the agenda for the meeting.
The person chairing the meeting must give reasons for ruling a motion out of order, which must be recorded in the minutes. Those who go to the meeting and are entitled to vote may, by ordinary resolution, reverse a ruling. The chairperson must tell the meeting how their ruling can be reversed.
When declaring the result of voting on motions at the annual general meeting, the person chairing the meeting must state the votes for, against and abstentions on the motion.

Amending motions  
A motion may be amended at a general meeting by the people present and who have a right to vote.
A motion to amend a motion is a procedural motion.
Any motion once amended is referred to as the amended motion.
When counting the votes for and against a motion to amend and an amended motion:
  • if the person has cast a written or electronic vote on the motion they must be counted as voting against the motion
  • those who are not present either personally or by proxy and have not cast a written or electronic vote on the motion must not be counted as voting for or against the motion.
An amendment cannot change the subject matter of the motion.

Records required for an extraordinary general meeting
The secretary (or their delegate, e.g. the body corporate manager) must have with them:
  • a copy of the body corporate roll
  • a list of the people who have the right to vote at the meeting
  • all proxy forms and voting papers.

Quorum for general meetings
A quorum is the minimum number of people who must be at an annual general meeting before it can start.
The quorum for a general meeting is at least 25 per cent of the number of voters, except if there are:
  • 3 or more voters for the meeting, at least 2 voters must be present personally
  • less than 3 voters for the meeting, at least 1 voter must be present personally.

Adjourned meetings
If a quorum is not present after 30 minutes, the meeting must be adjourned (‘the adjourned meeting’) to be held at the same place, on the same day and at the same time, in the next week.
If at the adjourned meeting a quorum is not present after 30 minutes, the people who are there (whether personally or otherwise) can form a quorum if:
  • the chairperson is present personally or
  • the chairperson is not present personally, but a body corporate manager (exercising the powers of the chairperson) is present personally.

Minutes of an extraordinary general meeting
The body corporate must keep full and accurate minutes of each general meeting. This includes:
  • the date, time and place of the meeting
  • the names of people present and details of the capacity in which they attended the meeting
  • details of proxies tabled
  • the words of each motion voted on
  • the voting results on motions, including the votes for and against and those who abstained
  • the number of votes cast for each candidate if there is an election,
  • the time the meeting closed
  • the secretary's name and contact address.
The minutes of a general meeting must be given to each lot owner within 21 days of the meeting.
A motion to confirm the minutes of the last general meeting must be on the agenda of the next general meeting held.
Committee meetings/Calling a committee meeting

This information is relevant to community titles schemes registered under the:
  • Standard Module
  • Accommodation Module
  • Commercial Module
There is no committee under the Specified Two-lot Schemes Module.
Any information specific to the Small Schemes Module will be given. 
Committee meetings are held for committee members to make decisions on behalf of the body corporate. There is no maximum or minimum number of meetings required each year. The committee meets as often as it needs.
The body corporate committee can also make decisions outside a committee meeting.

Who can call a committee meeting
A committee meeting is called by:
  • the secretary
  • the chairperson in the secretary’s absence
  • any committee member, in the absence of both the secretary and chairperson, with the agreement of a quorum of the committee
or
  • the secretary, or chairperson in the secretary’s absence, if asked by a quorum of the committee in writing.
The meeting must be held within 21 days after the secretary or chairperson receives the request to call it.
If the meeting is not held within 21 days, the meeting may be called by another member of the committee as long as enough members to form a quorum agree.
The secretary and chairperson may be presumed absent if no reply is received to the request within 7 days after it has been sent to the body corporate address for service.

Adjudicators’ orders
A number of adjudicators’ orders refer to questions about the authority of either the chairperson or the secretary to call meetings of their own volition. See the adjudicator’s decision and reasons in the matter of Sani Villa [2000] QBCCMCmr 491 (28 September 2000).
This extract from that decision deals with a secretary’s actions in calling a committee meeting:
‘Before calling a meeting of the committee, the secretary should approach fellow committee members to seek consensus as to when a meeting should be held or if a meeting is needed. At the same time the secretary should ask other committee members if they have items they want on the agenda for the committee meeting.’
Note: Under the Small Schemes Module, committee meetings are called and held in the way decided by the committee. The committee also decide the time and place of the meeting. Read more about committee structure under a Small Schemes Module.

Meeting notices
Written notice of a meeting must be given to each committee member (including non-voting members). The notice must be given at least 7 days before the meeting or at least 2 days if all voting members agree:
  • in writing
or
  • at the last meeting.
Each lot owner must be given a copy of the notice and agenda (unless they request otherwise). It must also be put on the body corporate notice board, if any.
There is no requirement under the Small Schemes Module for notice of committee meetings. Meetings can be called and held at times and places decided by the committee.

Agenda
The notice of the meeting must include an agenda that lists the issues to be considered. The committee can also consider other issues that are not on the agenda.
The agenda must include a motion to confirm the minutes of the last meeting as well as a motion to confirm any resolutions passed outside of a committee meeting.

Meeting location
The committee can decide where to hold a meeting. However it cannot be held more than 15 kilometres from the scheme land if half the number required for a quorum object in writing to the secretary. The limit about the number of kilometres does not apply to schemes registered under the Commercial Module.
​Committee meetings/Running a committee meeting
The information on this page is relevant to community titles schemes registered under the:
  • Standard Module
  • Accommodation Module
  • Commercial Module.
There is no committee under the Specified Two-lot Schemes Module.
Any information specific to the Small Schemes Module will be given. 
There is no maximum or minimum number of committee meetings required each year. The committee meets as often as it needs.
The committee can also vote outside a committee meeting (i.e. without holding a formal meeting).

Quorum for a committee meeting
A quorum is the minimum number of members that must be present before a meeting can start. For a committee meeting a quorum is at least half the voting members of the committee.
If there are 6 voting members of the committee, a quorum is 3.
If there are 7 voting members of the committee, a quorum is 4.

Chairing a meeting
The chairperson must chair all committee meetings he or she attends. If the chairperson is absent, another member can be chosen to chair the meeting by those present who are eligible to vote.

Conflict of interest
If a committee member is about to vote on a motion being decided at a committee meeting or by vote outside a committee meeting they must disclose any direct or indirect interest in the issue.
If a member discloses a direct or indirect interest in the issue the member is not entitled to vote on a motion involving the issue.
This applies if the interest could conflict with the appropriate performance of the member’s duties.

Who can attend
Non-voting members can attend committee meetings but will be required to be absent for certain agenda items if decided by the committee. For example, if the committee are discussing the person’s engagement the person must not be present. (This does not apply to schemes under the Commercial Module.)
Lot owners who are not committee members (non-members) have the right to attend a committee meeting.
A lot owner must give the secretary at least 24 hours written notice of their intention to attend.
However the lot owner can be asked to leave for certain agenda items (for example, a discussion or vote on a by-law contravention by the lot owner) if decided by the committee.
Other persons can be invited to attend a committee meeting by the committee.
A non-member may only observe the meeting and may only speak if invited to. They can be directed to leave if they do not comply.

Minutes of a committee meeting
The committee must keep full and accurate minutes of each committee meeting. Full and accurate minutes include:
  • the date, time and place of the meeting
  • the names of people present and details of the capacity in which they attended the meeting (e.g. a committee member or a lot owner)
  • details of proxies tabled
  • the words of each motion voted on
  • the results of voting on motions, including the votes for and against and those who abstained (did not vote)
  • details of any correspondence, reports, notices or other documents tabled
  • the time the meeting closed
  • details of the next scheduled meeting
  • the secretary's name and contact address.
The minutes of a committee meeting must be given to each lot owner within 21 days of the meeting unless the lot owner has told the secretary in writing that they do not want to receive a copy of the minutes.

Notice of opposition
The notice of opposition only applies to schemes under the Standard Module regulation.
A notice of opposition is a document, signed by or for the owners of at least half the lots in the scheme opposing a resolution of the committee.
The notice of opposition must be given to the secretary within 7 days after receiving a copy of the minutes of the meeting or a copy of the result of a vote outside a committee meeting at which the resolution was passed.
However, a notice of opposition cannot be given if:
  • it involves spending of not more than either $200 or $5 multiplied by the number of lots in the scheme (whichever is greater)
or
  • it involves a decision of a routine, administrative nature.

When the committee can act on its decision
A committee can act on the passed resolution only if:
  • no notice of opposition is given (Standard Module only)
  • there is an emergency (for example a burst water pipe on the common property) and the spending is within the relevant limit for committee spending or an adjudicator has authorised the committee to do so
  • the resolution has been previously approved by ordinary resolution at a general meeting
  • the resolution is of a routine, administrative nature and the cost is not more than the greater of $200 or $5 multiplied by the number of lots in the scheme.
​Drafting motions
The legislation does not set out how to word a motion. The following is a guide only.

Be clear and concise
Keep these general ideas and questions in mind when you are drafting a motion.
  • Concise—are you clearly and concisely explaining what should happen so the body corporate can adopt the proposal without any further decisions?
  • Legal—does the proposal have to meet any special requirements under the body corporate legislation or any other legislation (e.g., building regulations)?
  • Economic—can any action required by the motion be paid for? Are there funds in the budget or will a special levy have to be raised? Instead of submitting just 1 motion, should 2 quotes and 2 alternative motions be submitted?
  • Action-based—is there a clear action to be taken? Is a time frame set?
  • Realistic—can the proposed action be achieved? Is it something that other owners are likely to support?

Good and bad examples
Motion with not enough detail
Below is an example of an unsatisfactory motion submitted by a lot owner. It does not give a solution, say how the roof will be fixed, or authorise spending on the repairs.

Leaking roof: that the committee fix the waterproofing membrane because it is leaking into units 4, 5 and 6.

Ideally the person submitting the motion will obtain a quote for proposed work. The person submitting the motion may choose to word the motion to seek authorisation to spend body corporate funds and engage a suitable contractor to complete the work.
If the work is above the major spending limit, the motion should include 2 quotes and be submitted as a motion with alternatives.

Motions with good detail
Below are good examples of possible motions.

Example 1:
Leaking Roof: That the body corporate accept the attached quote to engage ABC Engineering to replace the waterproofing membrane above units 4, 5 and 6 at a cost of $3,999.
The work is to be paid from the $4,000 available in the sinking fund for roof repairs. As stated in the quote, the work will be guaranteed for 3 years.


Example 2:
Shade Sail: That the body corporate approves the installation of a shade sail on the exclusive use area of lot 1 in accordance with the attached plans and specifications. The owner of lot 1 will meet all installation and maintenance costs.
Submitting motions
A body corporate makes decisions in 2 ways:
  • The committee makes most day-to-day decisions (e.g. approving minor maintenance).
  • More important decisions (e.g. setting budgets and body corporate contributions) must be made by the lot owners in the scheme voting at a general meeting.
The following information outlines motions that can be submitted to general meetings and committee meetings.
Individual committee members, body corporate managers or resident managers cannot make decisions for the body corporate.

General meetings
Owners are able to submit motions to be voted on at general meetings. Motions must be submitted in writing. The committee may also agree to submit motions to be voted on at a general meeting.
The motion can be passed by either:
  • ordinary resolution
  • special resolution
  • resolution without dissent
  • majority resolution.

Annual general meetings
This information does not apply to the Small Schemes Module or the Specified Two-lot Schemes Module.
If a notice is sent to owners inviting nominations for the committee, owners must also be invited to put in motions for the agenda of the annual general meeting.
However owners can submit a motion at any time to be included on the agenda for the annual general meeting as long as they are with the secretary before the end of the body corporate financial year (read more about holding an annual general meeting for more information)
The committee also submits motions for the annual general meeting agenda, including statutory motions. However, the committee is not under the same time limits as owners. The committee may put motions on the annual general meeting agenda at any time before the notice and agenda is issued to the owners.

Extraordinary general meetings
Owners can also submit motions to be considered at an extraordinary general meeting at any time throughout the year.
If a motion is submitted, it must be included on the agenda for the next general meeting where practicable. For example, there must be ‘enough time’ from when the motion is received to when the meeting notice is issued for the committee to add it to the agenda.
The Act does not provide for a timeframe on this matter. It’s up to the committee to consider if there is enough time to include the motion.
Read more about calling an extraordinary general meeting. 

Motion requirements
A motion must:
  • be in writing
  • include any necessary quotes and other documents
  • be clear
  • be enforceable
An owner’s motion must be put on the voting paper without any change to the wording.
Even if the motion is unlawful, unenforceable or would, if passed, conflict with the Body Corporate and Community Management Act 1997 (PDF) the committee cannot refuse the owner’s motion. However, the chairperson may rule it “out of order” at the general meeting.
Read more about ruling motions out of order.

Explanatory notes
Owners can add extra information (called explanatory notes) to support their motion for an annual general meeting or an extraordinary general meeting. Explanatory notes must be no longer than 300 words.
The committee must include a schedule of explanatory notes with the meeting notice.
The committee can also include its own explanatory note about a motion submitted by an owner. This note must be on a separate schedule and must be included with the meeting notice.
There is no word limit for the committee’s explanatory notes.

Motions with alternatives
Motions with alternatives combine all motions dealing with the same issue. There are 2 parts to this type of motion—the motion itself and the alternatives.
The motion is submitted by the committee and it identifies the issue to be dealt with. The alternatives are the motions received by the body corporate proposing certain action in relation to the issue. The agenda and the voting paper should list the alternatives under the committee’s motion.
For example:
A lot owner and the committee each submit motions to a general meeting to engage a different body corporate manager. As both motions deal with the same issue, it is the committee's responsibility to list them as a motion with alternatives on the agenda for the meeting.

The motion may look like this:

MOTION 1: That the body corporate engage a body corporate manager for a period of 1 year commencing on 1 February 2015.
ALTERNATIVE A: That the body corporate engage ABC Pty Ltd at a cost of $5,000 a year, on the terms set out in the attached draft agreement
ALTERNATIVE B: That the body corporate engage XYZ Pty Ltd at a cost of $500 a month, in accordance with the attached terms and conditions.
Extra information must be included in the notice of a general meeting if a motion with alternatives is listed on the agenda. This information must be included in the explanatory schedule. It must:
  • for each alternative, include the words of the original motion submitted to the body corporate
  • include instructions on how to vote.  

Voting on a motion with alternatives
Voting on a motion with alternatives is different to other motions.
A lot owner may vote either:
  • for the motion, by voting for the motion and for 1 of the alternatives listed under the motion or
  • against the motion.
If the motion is passed, the alternative that has the most votes is accepted.

Once-a-year motions
Some motions cannot be considered more than once in the body corporate’s financial year. These motions include:
  • a change to the regulation module for the scheme
  • changes to payments for a service contractor
  • a right or option of extension or renewal to a service contractor or letting agent.
A motion should not be placed on the agenda for a general meeting if this would result in one of the above type of motions being considered more than once in a financial year.

Committee meetings
Body corporate legislation does not deal with owners’ motions to committee meetings. However the minutes of committee meetings must include details of any correspondence (notes or letters) presented to the meeting.
Therefore an owner can send correspondence to the committee and this can include a request for the committee to vote on at its next meeting.
​
However, if a request is put more formally as a motion, it can be dealt with more efficiently.
A number of adjudicators’ orders refer to committee transparency and adding items to agendas. You can search for adjudicator’s orders on the Australasian Legal Information Institute (AustLII) website.
​Voting at body corporate meetings/Committee voting
Committee members make decisions by voting at committee meetings.
For schemes registered under the Small Schemes Module a committee is made up of a secretary and a treasurer. If both positions are held by 1 person, decisions are made by that person. If there are 2 people (in the secretary and treasurer positions) they must agree on any decisions.

Schemes registered under the Specified Two-lot Schemes Module do not have committees.
Information on this page is for schemes registered under the:
  • Standard Module
  • Accommodation Module
  • Commercial Module.

Making a decision at a committee meeting
Each voting member of the committee has 1 vote on any matter decided by the committee. Even if an executive member holds more than 1 position on the committee, they still have only 1 vote. For example if a person is both a secretary and a treasurer they only have 1 vote on the committee.
To vote, a voting member of the committee must be present at the meeting, or represented by a proxy.

Declaring an interest
If a committee member or their proxy has a direct or indirect interest in a matter to be decided by the committee, and this could affect the way they do their duties they must tell the committee. They must not vote on the issue.

Passing the motion
A motion is passed at a committee meeting if a majority of voting members present (and entitled to vote) is in favour of the motion. If there is a tied vote the motion is lost.
For example, if there are 7 voting members present, a majority is 4 members. If there are 6 voting members present, 4 votes will still be needed to pass a motion.

Proxies
A voting member of the committee can appoint another voting member of the committee as their proxy. The proxy can then vote for the committee member at a committee meeting.
To appoint a proxy, the voting member must complete the proxy form and give it to the secretary before the start of the committee meeting (or at an earlier time if 1 is set by the body corporate).

Restrictions
There are restrictions on the use of proxies.
Restrictions include:
  • A voting member of the committee can only hold 1 proxy.
  • The secretary or treasurer can only appoint a proxy with the committee’s approval.
  • A body corporate manager or a caretaking service contractor cannot hold a proxy for a voting member of the committee (because they are non-voting members).
  • A proxy lasts for 1 committee meeting and ends after the meeting.

The body corporate can pass a special resolution to limit or ban committee proxies.

Voting outside a committee meeting
The committee can make decisions without holding a formal committee meeting. This is sometimes called a ‘flying minute’ or a ‘VOC’.
To vote outside a committee meeting, notice of the motion must be given to all committee members. The committee members must vote on the motion in writing. The legislation does not say how much notice must be given for the motion or when votes must be made.
The notice of the motion must be given to lot owners as well as committee members.

Passing the motion
To pass the motion a majority of all voting members of the committee who are eligible to vote (not just a majority of those who return a vote) must be in favour of the motion.
Committee members can contact one another before or during the vote.
When notice of the motion is given to the committee members, advice of the motion must also be given to lot owners. A record of the motion voted on must be given to all committee members and all owners within 21 days after the motion is decided.

Emergency vote
In an emergency, notice of the motion only needs to be given to those committee members that it is reasonably practical to contact.
Votes can be made verbally or in some other form. Advice of the motion can be given to owners when it is reasonably practical to do so.
Any motion voted on outside a committee meeting must be confirmed at the next committee meeting.
​Voting at body corporate meetings/General meeting voting
Information on this page is for community titles schemes registered under the:
  • Standard Module
  • Accommodation Module
  • Commercial Module
  • Small Schemes Module.
Many  body corporate decisions have to be made at a general meeting where owners can vote. Schemes registered under the Specified Two-lot Schemes Module do not have general meetings because they vote by lot owner agreements. 

Who can vote
When voting at a general meeting each lot gets 1 vote on each motion listed on the voting paper. If a lot owes a body corporate debt, a vote cannot be exercised for the lot on:
  • motions (other than a motion that needs a resolution without dissent)
  • electing members of the committee. 
All owners in the scheme are members of the body corporate. For general meetings of the body corporate each lot owner is a ‘voter’.
However, a voter for a general meeting must be an individual. Their name must be on the body corporate roll as:
  • the lot owner
  • the representative of a lot owner
  • someone nominated by a corporate owner (the corporate nominee).
The number of voters for a general meeting may be different to the number of lots in the scheme. Working out the number of voters compared to the number of lots is only relevant when working out a quorum (minimum number of people) for a general meeting.
For example, a person who owns more than 1 lot in the same name, is normally only considered as being 1 voter (1 individual).
Read more about quorums and how they are calculated when:
  • running an annual general meeting
  • running an extraordinary general meeting. 

How to vote
A body corporate may decide, by special resolution, that voting will be done in another way. If this decision has not been made you can vote for motions:
  • personally
  • by written vote (voting paper)
  • by proxy
  • by electronic vote (if electronic voting has been authorised by general meeting decision of the body corporate).
For motions decided by secret ballot you can only vote by:
  • written vote (secret voting paper)
  • electronic vote (if electronic voting has been authorised by general meeting decision of the body corporate).

Voting personally
You can vote personally at a general meeting by:
  • a show of hands
  • giving a completed written voting paper to the secretary (or if the secretary is not present, the person chairing the meeting) before the start of the meeting.

Voting by voting paper
You can make a written vote by completing a voting paper and giving it to the secretary before the start of the general meeting.
A written vote:
  • can be given by hand, by post or by fax
  • can be withdrawn at any time before the result of the motion is declared
  • cannot be withdrawn by the voter’s proxy.
You must give your voting paper to the secretary. No one can do this for you or your vote might be declared invalid.

Voting by proxy
A proxy is a person who represents a voter at a general meeting.
You can appoint a proxy by filling in the proxy form and giving it to the secretary before the start of the meeting (unless an earlier time is set by the body corporate).

A proxy:
  • can be given by anyone who has the right to vote at a general meeting
  • must be a named individual
  • cannot be transferred to a third person
  • ends at the end of the body corporate’s financial year (unless a shorter period is listed on the proxy from).

Restrictions on proxies
Restrictions on the use of proxies include:
  • a person must not hold more than 1 proxy if there are less than 20 lots in the scheme
  • for schemes registered under the Standard Module and with 20 or more lots, a person must not hold proxies for more than 5% of the total number of lots
  • for schemes registered under the Accommodation Module and with 20 or more lots, a person must not hold proxies for more than 10% of the total number of lots
  • a body corporate manager or an associate of a body corporate manager cannot be appointed as a proxy
  • a proxy cannot vote
    • on a motion to engage a person as a body corporate manager or a service contractor, or to authorise a person as a letting agent
    • on a ballot to elect a member of the committee
    • on a motion where the owner has submitted a written vote on that motion
    • at a general meeting if the member who gave the proxy is personally present unless the member consents at the meeting.
For schemes registered under the Commercial Module and the Small Schemes Module there is no restriction on the number of proxies a person can hold at a general meeting.

Voting electronically
A body corporate can decide by ordinary resolution to allow voters to vote electronically.
If this happens, you can send an electronic vote to the secretary. The vote must be made according to the Electronic Transactions (Queensland) Act 2001 (PDF)(PDF) and the instructions given with the voting papers for the meeting.

Voting outside a general meeting
Schemes registered under the Commercial Module and the Small Schemes Module can decide on motions outside a general meeting.  
A body corporate can make a decision outside a general meeting if:
  • a vote is cast for each lot by a person entitled to vote at a general meeting, but not a proxy
  • each vote is a “yes” vote
  • each vote is in writing.
If these conditions are met, the motion is passed by the body corporate and has effect as either a:
  • resolution without dissent
  • special resolution
  • ordinary resolution as required by the motion.
The legislation does not say how a vote outside a general meeting should be conducted. The committee should prepare notices for the meeting and send to all owners. Owners should be told how and when to respond.
Schemes registered under the Standard Module and the Accommodation Module cannot vote outside a general meeting.
​Voting at body corporate meetings/General meeting resolutions
Many body corporate decisions have to be made at a general meeting. A decision is made at a general meeting if a motion is included on the agenda, and owners vote to pass the motion. This is called a resolution.
There are different types of resolutions for general meetings. When a motion is included on a general meeting agenda, the voting paper must say what type of resolution is needed to pass the motion.
The Body Corporate and Community Management Act 1997 (PDF) says how to count the votes for each type of resolution to work out whether the motion passes or fails.
In some cases the legislation will say what type of resolution is needed to pass a motion on a certain issue.
If no resolution type is given the issue can be decided by an ordinary resolution. The committee may also be able to decide the issue.

Ordinary resolution
Ordinary resolutions are the most common type of general meeting resolution.
A motion is passed by ordinary resolution if the votes counted for the motion (“yes” votes) are more than the votes counted against the motion (“no” votes). If a voter abstains from voting, that is not included in the count of votes.
Examples of motions which need an ordinary resolution include:
  • adopting administrative and sinking fund budgets
  • setting annual body corporate contributions.
Each lot has 1 vote on a motion that can be decided by ordinary resolution. However, a person entitled to vote can ask for a poll vote.

Special resolution
The motion is passed by special resolution only if:
  1. at least two-thirds of the votes cast are in favour of the motion 
  2. the number of votes against the motion is not more than 25% of the total number of lots
  3. the total contribution schedule lot entitlements of the votes against the motion is not more than 25% of the total contribution schedule lot entitlements for all lots in the scheme.
All 3 conditions must be met for the motion to pass by special resolution. If 1 of the conditions is not met the motion will fail.
The types of motions which need a special resolution include:
  • consent to record a new community management statement to change the body corporate by-laws (not including exclusive use by-laws)an improvement to common
  • property by the body corporate costing more than $2000 per lo
  • a motion to engage a body corporate manager to act for the committee.
If a voter abstains from voting, that is not included in the count of votes.

Resolution without dissent
A motion is passed by resolution without dissent only if there are no votes against the motion (i.e. there are no, “no” votes).
If a voter abstains from voting, that is not included in the count of votes.
Examples of motions which need a resolution without dissent are:
  • a proposal to sell or dispose of part of common property
  • to consent to record a new community management statement to amend or add an exclusive use by-law.

Majority resolution
Majority resolutions are uncommon.
A motion is passed by majority resolution if the votes counted for the motion (“yes” votes) are more than 50% of the lots whose owners are entitled to vote on the motion. Votes must be in writing. Proxies are not allowed.
If a voter abstains from voting, that is not included in the count of votes.
An example of a motion which needs a majority resolution is a motion to transfer a letting agent’s management rights.
​Voting at body corporate meetings/Voting by a poll vote
This information is for schemes registered under the:
  • Standard Module
  • Accommodation Module
  • Commercial Module
  • Small Schemes Module.
Schemes registered under the Specified Two-lot Schemes Module do not have general meetings.

When a poll vote can be used
A poll vote can only be used on a motion that can be decided by ordinary resolution.

When voting on a motion to be decided by ordinary resolution each lot has 1 vote.

A poll is a different way of counting votes for the motion. It takes into account the contribution schedule lot entitlements for the scheme.

Asking for a poll
Any person entitled to vote at a general meeting can ask for votes (on a motion to be decided by ordinary resolution) to be counted by a poll.
The person must ask for the poll:
  • in person, at the meeting
    or
  • on the voting paper, whether or not present at the meeting.
The request for the poll:
  • can be made whether or not the meeting has already voted on the motion
  • can be withdrawn by the person who asked for it at any time before the poll is finished.
The request for a poll must be made:
  • before the meeting decides the next motion (if it is not the last motion) 
    or
  • before the meeting ends (if it is the last motion).

Counting votes if a poll is asked for
Instead of counting each vote for and against a motion, a poll counts the contribution schedule lot entitlements of the lots voting for and against a motion.
The motion is passed only if the total ‘contribution schedule lot entitlements’ of the lots that vote for the motion are more than the total contribution schedule lot entitlements of the lots that vote against the motion.

For example, a scheme has 8 lots and all lot owners are entitled to vote on a motion that can be decided by ordinary resolution.
Three owners vote for the motion (“yes” votes) and 5 owners vote against the motion (“no” votes). The motion is lost, because there are more votes against the motion than in favour of the motion.

​However, an owner immediately asks for a poll vote. The votes must now be re-counted taking into account the contribution schedule of lot entitlements for the scheme.
The owners of 3 lots voted in favour of the motion. These owners have different lot entitlements.
  • Lot 1 has 1 lot entitlement.
  • Lot 2 has 3 lot entitlements.
  • Lot 3 has 4 lot entitlements.
The tally of the votes for the motion is 8.
The owners of the other 5 lots voted against the motion. These owners all have 1 lot entitlement each.
The tally of the votes against the motion is 5.
Under a poll vote the motion is passed— 8 in favour and 5 against.
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bylaws

BY-LAWS

* Please Click on "+" sign to expand and "-" sign to collapse the topic.
Making by-laws
By-laws are a set of rules that a body corporate makes to control and manage:
  • the common property
  • body corporate assets
  • services and facilities provided by the body corporate
  • the use of lots.
A body corporate can choose to adopt the standard by-laws that are set out in Schedule 4 of the Body Corporate and Community Management Act 1997 (QLD)(PDF) or it can make its own.
The by-laws for a body corporate are in the community management statement which is recorded for each community titles scheme. 
The body corporate committee may want to give copies of the by-laws to owners and occupiers, so they know their rights and responsibilities.

Making and changing by-laws
A body corporate can make new by-laws, or change its existing ones at any time.
To do this a body corporate must pass a motion to record a new community management statement that includes changes to the by-laws. 
Usually a motion agreeing to change the by-laws must be agreed to by a special resolution at a general meeting. If the change includes a new or amended exclusive use by-law, a resolution without dissent is needed.
The body corporate must register its new community management statement with the Titles Registry Office it has 3 months, from the date the motion to change the by-laws is passed, to do this.

A by-law starts on the day the registrar records the new community management statement that contains the by-law (unless the by-law sets a later date).
Recording by-laws with the Titles Registry Office does not automatically make them valid.

Invalid by-laws
A body corporate can only make a by-law on a matter allowed under the Body Corporate and Community Management Act 1997. 
By-laws cannot:
  • be inconsistent with the Act or any other legislation
  • stop or restrict a sale, lease, transfer, mortgage or other dealing with a lot
  • discriminate between types of occupiers
  • be unreasonable, when the interests of all owners and occupiers in the scheme and the use of the common property are considered
  • restrict the type of residential use of a residential lot
  • impose a monetary liability on an owner or occupier (except in an exclusive use by-law)
  • stop an owner or occupier from installing solar hot water or solar power on their lot because it affects the look of the building
  • stop a person with a disability from having a guide, hearing or assistance dog on the scheme.
If a by-law does not comply with the legislation, it may be invalid.
If an adjudicator decides that a by-law is invalid, they may make the body corporate record a new community management statement—removing or amending the invalid by-law.
However a body corporate’s recorded by-laws apply unless and until an adjudicator decides a by-law is invalid.

Examples of invalid by-laws
Not consistent with the Act
A by-law would be inconsistent with the Body Corporate and Community Management Act 1997 if it said that the body corporate did not have to hold annual general meetings.

Discriminates between types of occupiers
A by-law that only allows owners and not tenants to use the common property pool, may be discriminating between different types of occupiers.

Monetary liability
A body corporate could not make a by-law that made an owner or occupier pay a bond before moving in, because it would be imposing a monetary liability.
Enforcing by-laws
​A body corporate is responsible for enforcing its own by-laws.

Owners and occupiers can also take action to enforce the by-laws.

The steps that must be taken depend on who is enforcing the by-laws.

Body corporate enforcing by-laws
If a body corporate believes that an owner or occupier is breaching the by-laws, the body corporate can speak to the owner or occupier informally to try to fix the issue.
If that doesn't work, the first formal step under the Body Corporate and Community Management Act 1997 (PDF) is for the body corporate to give a by-law contravention notice to the person it believes is breaching the by-laws.
The decision to give a by-law contravention notice can be made by the committee, or the body corporate at a general meeting.
The body corporate usually cannot take action to enforce the by-laws until it has sent a by-law contravention notice.

Types of contravention notices
Continuing contravention notice
The continuing contravention notice is our Body Corporate and Community Management form 10.
The body corporate can give a continuing contravention notice to an owner or occupier if it believes that they are breaching a by-law, and it is likely that this will continue.
An example of this type of breach is where an owner has made a change to the outside look of their lot without the approval required in the by-law.
The purpose of the notice is to ask the person to fix the problem within a certain time.
The notice must:
  • say that the body corporate believes the person is breaching a by-law
  • detail the by-law that the body corporate believes is being breached
  • explain how the by-law is being breached
  • set a time period for the person to fix the problem
  • explain that if the person does not comply the body corporate may
    • start proceedings in the Magistrates Court
    • make a conciliation application.
The continuing contravention notice can be used, or the body corporate can send a letter that says all those things.

Future contravention notice
The future contravention notice is our Body Corporate and Community Management form 11.
The body corporate can give a future contravention notice to an owner or occupier if it believes the person has breached a by-law and it is likely that the contravention will be repeated.
This notice would apply if, for example, an occupier often had parties which breached a noise by-law.The purpose of the notice is to ask the person not to repeat the breach.The notice must
  • say that the body corporate believes the person in breaching a by-law
  • detail the by-law that the body corporate believes is being breached
  • explain how the by-law is being breached
  • tell the person not to repeat the breach
  • explain that if the person does not comply with the notice the body corporate may
    • start proceedings in the Magistrates Court
    • make a conciliation application.
The future contravention notice can be used, or the body corporate can send a letter that says all those things.

Who the notice is sent to
The body corporate sends the contravention notice to the person they believe has breached the by law.
If the body corporate believes an occupier, who is not the owner, has breached the by-laws, the contravention notice must name the occupier and not the owner or property manager.
However, the body corporate must also give a copy of the notice to the owner. The body corporate must give a copy to the owner as soon as possible after giving the notice to the occupier.

Not complying with a contravention notice
If a person does not comply with a by-law contravention notice, the body corporate can decide to either
  • start proceedings in the Magistrates Court for the offence of failing to comply with the notice
  • apply for conciliation to enforce the by-law.
A fine up of up to $2,200 can be imposed by the Magistrates Court for failure to comply with the notice.

Owner or occupier enforcing by-laws
An owner or occupier can take steps to enforce the by-laws if they reasonably believe that:
  • another owner or occupier has breached the by-laws
and
  • it is likely the breach will continue or be repeated.
The owner or occupier can send an approved notice to the body corporate to their body corporate asking that the body corporate send a contravention notice to the person they believe is breaching the by-laws.

Taking it further
If the committee does not tell the owner or occupier who is making the complaint (the complainant) within 14 days that a contravention notice has been issued, the complainant can apply for conciliation against the person they believe is breaching the by-laws.

The complainant must try to fix the issue with the other person before they apply for conciliation. Before lodging an application you should read Practice Direction 6 about by-law enforcement applications.
If the body corporate advises that it has issued a contravention notice, but the complainant is not satisfied with their action to enforce it, the complainant can apply for conciliation against the body corporate.
A complainant usually cannot apply for conciliation about a by-law breach unless they have given their body corporate a notice about the breach.
An owner or occupier cannot start proceedings in the Magistrates Court.

Urgent by-law issues
In some cases, a body corporate can make a dispute resolution application without issuing a contravention notice.
In some cases, an owner or occupier can make a dispute resolution application without giving the body corporate a notice about the breach.
This would apply if:
  • the by-law breach is incidental to an application for an order under section 281(1) of the Body Corporate and Community Management Act 1997 , (to repair damage or reimburse the cost of repairs arising from a breach of the legislation)
or
  • the application is for the interim order of an adjudicator
and
  • there are 'special circumstances' which justify the dispute being resolved urgently — that is, if the alleged by-law breach is
    • likely to cause injury to people or serious damage to property
    • a risk to people's health or safety
    • causing a serious nuisance to people
    • for another reason, giving rise to an emergency.
Exclusive use by-law
An exclusive use by-law is attached to a lot in a body corporate. It gives the occupier of that lot the right to the exclusive use (or other special rights) to a part of the common property or a body corporate asset.

For example, an exclusive use by-law may give the occupiers of a unit an exclusive right to use the common property next to that unit as a courtyard, or part of the basement as a car space.
The part of the common property, or asset, is usually identified in the by-law.
An exclusive use by-law cannot give rights to utility infrastructure that is common property or a body corporate asset.

Making an exclusive use by-law
The rules for making exclusive use by-laws are stricter than those for making other by-laws.
An exclusive use by-law may be attached to a lot only if:
  • the body corporate passes a resolution without dissent to record a new community management statement that includes the by-law
and
  • the owner of the lot that benefits from the by-law agrees in writing or votes personally on the resolution.
The body corporate must record the new community management statement that includes the exclusive by-law with the Titles Registry Office within 3 months after passing the resolution.
The by-law will only apply when the new statement is recorded.

Removing an exclusive use by-law
Once an exclusive use by law is recorded it is difficult to have it removed or changed.
An exclusive use by-law will only end if:
  • the body corporate passes a resolution without dissent to record a new community management statement  that changes the by-law
 and
  • the owner of the lot that benefits from the by-law agrees in writing or votes personally on the resolution.

Reallocating exclusive use areas
Two or more owners can decide to swap the areas of common property or body corporate assets identified in the exclusive use by-laws applying to their lots. This is done by an agreed allocation.
The owners must give details of the reallocation to the body corporate. Once the body corporate is told of the reallocation, the body corporate must lodge a new community management statement that includes the changes.
A general meeting resolution is not necessary in this case.

By-law conditions
The body corporate can impose conditions when giving exclusive use rights.
For example, the person who benefits from an exclusive use by-law might have  to pay the body corporate a regular fee.
If an owner does not make the payments this becomes a body corporate debt. The body corporate can recover the debt from:
  • the owner of the lot at the time of the debt
or
  • any new owner of the lot if the debt is unpaid when the lot is sold.

Maintaining an exclusive use area
The lot owner with exclusive use or other rights must maintain and pay any operating costs for the exclusive use area—unless the by-law says otherwise.
However, if the lot was created under a building format plan of subdivision and the by-law does not say otherwise, the owner is not responsible for:
  • roofing membranes that are on part of the common property to which the by-law applies and give protection for other lots or common property
  • maintaining in a structurally sound condition structural parts that are on the common property to which the by-law applies and were not built by or for the owner. These are
    • foundation structures
    • roofing structures providing protection
    • essential supporting framework, including load-bearing walls.
An exclusive use by-law cannot make a lot owner responsible for the maintenance of any utility infrastructure (such as pipes, wiring or equipment) that is common property or a body corporate asset.

Improving exclusive use areas
An exclusive use by-law may allow the owner who has the benefit of the by-law to make improvements to that area. This can include installing fixtures (like an air conditioner) or making other changes to the common property.
If the by-law does not give the right to make improvements, the owner can only make an improvement if the body corporate agrees.
The committee can approve improvements to exclusive use areas if the cost is $3,000 or less.
Improvements over $3,000 must be approved by ordinary resolution at a general meeting.
​Enforcing by-laws in the Two-lot Schemes Module
The body corporate is responsible for enforcing its by-laws.
Depending on who is taking action to enforce the by-laws, there are different steps that must be taken.
This information outlines how to deal with by-law breaches for schemes registered under the Specified Two-lot Schemes Regulation Module.

Contravention notices
If a lot owner believes that another owner or occupier is breaching the by-laws, they can speak to them informally to try and resolve the issue.
If that doesn’t work, the first formal step under the Body Corporate and Community Management Act 1997 (PDF) is to give a by-law contravention notice to the person it believes is breaching the by-laws.
There are 2 types of contravention notices, continuing contravention notices and future contravention notices.

Continuing contravention notice
The lot owner (the complainant) may give a continuing contravention notice to an owner or occupier if they reasonably believe the person is breaching a by-law, and it is likely that they will continue.
For example, if an owner has made a change to the outside of the appearance of their lot without the approval required in the by-law.
The purpose of this notice is to ask the person to fix the problem within a certain time.
The notice must:
  • say that the complainant believes that the person is breaching a by-law
  • detail the by-law that the complainant believes is being breached
  • explain how the by-law is being breached
  • set a time period for the person to fix the problem
  • explain that if the person does not comply the complainant may
    • start action in the Magistrates Court
    • lodge a conciliation application with us.
The owner can use the Notice on continuing contravention of a body corporate by law (Specified Two-Lot Scheme) BCCM Form 27, or send a letter which says all those things.
When the notice is issued, the person (complainant) must also:
  • give a copy of the notice to the body corporate
  • if the notice was given to an occupier, give a copy of the notice to the owner of that lot
  • if the notice was given because a complaint was made by the occupier of the owner’s lot, let the occupier know that the notice has been given.

Future contravention notice
The lot owner (the complainant) may give a future contravention notice to an owner or occupier if they reasonably believe the person has breached a by-law, and it is likely that the breach will be repeated.
This notice would apply if an occupier often had parties which breached a noise by-law.
The purpose of the future contravention notice is to ask the person not to repeat the breach.
The notice must:
  • say that the complainant believes that the person is breaching a by-law
  • detail the by-law that the complainant believes is being breached
  • explain how the by-law is being breached
  • tell the person not to repeat the breach
  • explain that if the person does not stop, the complainant may
    • start action in the Magistrates Court
    • lodge a conciliation application with us.
The owner can use the Notice regarding likely future contravention of a body corporate bylaw (Specified Two Lot Scheme) BCCM Form 28, or send a letter which says all those things.
When the notice is issued, the person (complainant) must also:
  • give a copy of the notice to the body corporate
  • if the notice was given to an occupier, give a copy of the notice to the owner of that lot
  • if the notice was given because a complaint was made by the occupier of the owner’s lot, let the occupier know that the notice has been given.

Complaint by an occupier
If the occupier of a lot believes that another owner or occupier has breached a by-law, they can ask the owner of the lot they occupy, to give a contravention notice.
They do this by giving the owner a Notice to owner of a contravention of a body corporate by-law (Specified Two-Lot Scheme) (BCCM Form 25). 

Failure to comply with a contravention notice
If a person does not comply with a contravention notice they have been given, the complainant may choose to:
  • start proceedings in the Magistrates Court for the offence of failing to comply with the notice
  • lodge a conciliation application with us to enforce the by-law.
The Act empowers the Magistrates Court to impose a fine for failure to comply with the notice. Currently the fine is set at a maximum of $2,200.

Dispute resolution applications
An owner or occupier can apply to us to enforce the by-laws if they have undertaken the required steps.

Application by a lot owner
A lot owner can only lodge an application with us to enforce a by-law if they have issued a contravention notice to the owner or occupier they believe is breaching the by-law.
However, an exemption may apply in urgent circumstances.

Application by an occupier
An occupier who believes another owner or occupier is breaching a by-law must first give the owner of the lot they occupy a notice of the by-law breach.
The occupier can only lodge an application with us to enforce a by-law if the owner of their lot has not sent a contravention notice or told them within 14 days of getting the complaint notice that they have sent the contravention notice.
However, an exemption may apply in urgent circumstances.

Urgent by-law issues
In some cases an application may be made to us without following the steps above.
This would apply if:
  • the by-law breach is incidental to an application for an order under section 281(1) of the Body Corporate and Community Management Act 1997 (PDF) to repair damage or reimburse the cost of repairs arising from a breach of the legislation
or
  • the application is for the interim order of an adjudicator
and
  • there are ‘special circumstances’ which justify the dispute being resolved urgently—special circumstances are if the alleged by-law breach is:
    • likely to cause injury to people or serious damage to property
    • a risk to people’s health or safety
    • causing a serious nuisance to people
    • for another reason, giving rise to an emergency.
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insurance

​BODY CORPORATE INSURANCE

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Building insurance and valuation
A body corporate must have insurance for:
  • common property
  • body corporate assets
  • public risk
  • every building that contains a lot. 
The insurance a body corporate must have is affected by the type of survey plan the scheme is registered under.
The 2 common types of survey plan are:
  • building format
  • standard format. 

Buildings in a building format plan
Schemes that are registered under a building format plan of subdivision are usually multi-storey buildings like blocks of residential units. Some townhouses can also be registered under a building format plan of subdivision.
In this type of scheme, a body corporate must insure (for the full replacement value) each building that contains an owner’s lot (e.g. a unit or apartment). 

Buildings in a standard format plan
Schemes are usually registered under a standard format plan of subdivision if they are low-rise developments. An example is a townhouse complex where there is a building on each lot with a backyard or courtyard.
The body corporate must insure (for the full replacement value) each building that shares a wall with another building (known as a common wall).  
The lot owner is responsible for insuring their own building if it is:
  • free standing—does not share a common wall with another building 
and 
  • registered under a standard format plan.

Optional building insurance
The body corporate can set up a voluntary insurance scheme to insure buildings that do not have common walls. 
The owner of a lot with a free-standing building does not have to take part in a voluntary insurance scheme.
An owner who does take part in a voluntary insurance scheme must:
  • tell the body corporate the replacement value of the building to be insured
  • comply with the
    • body corporate decision to setup the voluntary insurance scheme
    • insurance policy.
Each owner who takes part in a voluntary insurance scheme must pay part of the insurance premium—the fee paid to the insurance company.

What the policy must cover
The building insurance which a body corporate takes out must cover:
  • damage to the building
  • other costs to reinstate or replace the insured buildings (e.g. professional fees and costs for removing debris). 
Under the insurance policy the property must be returned to new condition. The body corporate can take out extra building insurance for things like floods. A motion to do this would have to be passed by ordinary resolution at a general meeting.

Valuation
If the body corporate has to insure 1 or more buildings, it must get those buildings valued for the full replacement cost. An independent valuation must be done at least every 5 years.
Each owner must pay part of the cost to have the property valued. How much they pay depends on their share of the building insurance premium.

The body corporate collects money for the cost of valuations as part of the owner contributions to the administrative fund. These are collected each year.

Insurance definitions
The legislation defines the terms building and damage.

Building definition
A ‘building’ includes any improvements made to the building and fixtures added to the building. It does not include:
  • temporary wall, floor and ceiling coverings, carpets
  • fixtures that can be removed by a lessee or tenant at the end of a lease or tenancy
  • mobile or fixed air conditioning units for a particular lot
  • curtains, blinds or other internal window coverings 
  • mobile dishwashers, clothes dryers or other electrical or gas appliances that are not wired or plumbed in.

Damage definition
Damage includes:
  • earthquake, explosion, fire, lightning, storm, tempest and water damage
  • glass breakage
  • damage from impact, malicious act and riot.

Getting insurance information
​At its annual general meeting each year the body corporate must give owners information about its insurance policies and any valuations that have been done.
Details for the valuation must include the:
  • date of the valuation
  • full replacement value of the buildings.
​Compulsory insurance
​A body corporate must have insurance for:
  • common property
  • body corporate assets
  • public risk
  • every building which contains a lot.

Public risk insurance
The body corporate must have public risk insurance for:
  • the common property
  • body corporate assets for which it is practical to have public risk insurance (a body corporate asset might include gym equipment or pool furniture).
The body corporate does not have to take out public risk insurance for any other property that is not owned by the body corporate.
Public risk insurance must cover amounts the body corporate could be liable to pay for:
  • compensation for death, illness and injury
  • damage to property.
The policy must be for at least $10 million for a single event, and at least $10 million for the length of time the insurance policy covers.
The body corporate can take out more insurance than it has to under the regulation module that applies to the scheme. For example, it can get cover for committee members —known as office bearers’ liability.
​
Insuring common property and assets
The body corporate must insure the common property and the body corporate assets for their full replacement value.
The insurance policy must cover:
  • damage
  • extra costs to reinstate or replace the insured buildings (e.g. professional fees, or removing debris)
  • returning the property to new condition.
Insurance premium and excess
A body corporate must take out insurance for its community titles scheme. Each owner must pay part of the costs for that insurance (i.e. the premium).
The body corporate collects money for the insurance premiums as part of owner contributions to the administrative fund. These are collected each year.

Premiums for building insurance
How much you (as an owner) pay towards the building insurance depends on what type of survey plan your body corporate scheme is registered under.

Building format plan
If your scheme is registered under a building format plan (or volumetric format plan of subdivision), your share of the insurance premium is based on the interest schedule lot entitlement.

Standard format plan
In a standard format plan, if the body corporate has to insure buildings with common walls, your share of the insurance premium relates to the cost of reinstating the buildings on your lot.
If your body corporate sets up a voluntary insurance scheme, and you decide to take part, you must pay an amount that relates to:
  • the value of your building as a part of the total replacement value of the buildings insured under the policy
  • what you do on your lot and how that affects the total risk covered by the policy (e.g. if you store chemicals which could be a fire risk).

Adjusting building insurance premiums
In some cases the body corporate can change the amount an owner pays towards the insurance premium.
The body corporate can do this if:
  • the lot has better fittings and fixtures than other lots and that affects the premium
  • improvements have been made to the common property which benefit the lot and that affects the premium
  • what is done on the lot increases the total risk covered by the insurance policy (e.g. you must pay more if you store flammable chemicals for your business, and the insurance premium is higher because there is a greater fire risk).


Premium for common property and assets insurance
What you pay for insurance of the common property and body corporate assets is based on the interest schedule lot entitlements.

Premium for public risk insurance
What you pay for body corporate public risk insurance is based on the contribution schedule lot entitlements.

Changes that affect insurance premiums
Improvements to lots
You must tell the body corporate if you make improvements or changes that could affect the insurance premium.
This includes improvements to:
  • your lot
  • the common property, for the benefit of your lot
or
  • an area of common property where you have exclusive use.
You must give the body corporate details of the improvements and how much they cost.
This must be done as soon as possible after the improvements have been made.
If you do not tell the body corporate, you may have to pay for any repair or replacement costs that are not covered by insurance.

Use of lots
You must give the body corporate details if your lot is used in a way that is likely to affect the premium for the body corporate’s building insurance or public risk insurance.

Excesses
The body corporate can decide to take out an insurance policy where an excess has to be paid on an insurance claim. An excess is an amount of money paid (by the body corporate or an owner) towards a claim you make on the insurance policy.
The excess must not create an “unreasonable burden” on the owners of individual lots.

Who pays the excess
Who pays the excess on an insurance claim depends on a number of things. For example, if the body corporate claims on its insurance because a lot has been damaged by water from a leak in that lot, the lot owner would normally pay the excess.
However, if the damage to the lot happened because the body corporate did not properly maintain the common property, it would be reasonable for the body corporate to pay the excess.
As a guide, if the event affects:
  • only 1 lot—the owner should pay the excess unless the body corporate decides that it is unreasonable for them to do so
  • 2 or more lots—the body corporate should pay the excess unless the body corporate decides it is reasonable for the excess to be paid by 1 or more of the affected lots
  • 1 or more lots and the common property—the body corporate should pay the excess unless the body corporate decides it is reasonable for the excess to be paid by 1 or more of the affected lots.
MBCS Insurance claims process
Please click here to access MBCS Insurance materials and claim process
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maint

​MAINTENANCE AND IMPROVEMENTS

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Body corporate maintenance
The body corporate and owners are both responsible for maintenance in a community titles scheme. 
Sometimes it can be hard to work out who is responsible for what.
An important first step is to find out:
  • which plan of subdivision your scheme is registered under
and
  • what regulation module applies to your scheme.
The regulation module is set out in the community management statement for your community titles scheme.
Community titles schemes are registered under a plan of subdivision. This is recorded as a survey plan. The survey plan shows the boundaries of the common property and the lots in that scheme.
There are several types of survey plans. Boundaries will be defined differently depending on the type of plan registered. The 2 common types of survey plans are:
  • building format plans
  • standard format plans.
Contact the Titles Registry Office to get a copy of your scheme’s:
  • registered survey plan
  • community management statement—this will tell you what your regulation module is.
Once you know the boundaries of the lots and common property, the survey plan and the regulation module, you can work out what maintenance the body corporate is responsible for and what maintenance each lot owner must do.

Maintenance of common property and lots
A body corporate must maintain the common property in a good and structurally sound condition. The owner of a lot must maintain their lot in good condition. 
Maintenance can include work that is needed to prevent damage. For example, a body corporate or lot owner may have to take steps to prevent termite damage to lots or the common property.

An owner may be liable if they do not maintain their lot and this causes damage to another lot or common property.
A body corporate may also be liable if it does not maintain common property and that results in damage to a lot.
Maintaining lots and common property is different to making an improvement. 
Building format plan maintenance
A building format plan is a form of subdivision which usually applies to multi-story unit complexes, and in some cases, other developments like townhouses.
A building format plan defines land using the structural elements of a building, including floors, walls and ceilings.
Defining lots and common property The Land Title Act 1994  defines a building format plan (BFP), previously known as a building unit plan (BUP). Where 1 lot is separated from another lot or common property by a floor, wall or ceiling, the boundary of the lot is the centre of the floor, wall or ceiling.

This diagram represents a typical 2-storey building format plan. It shows how common property and lots may be drawn on a plan.
Picture
Picture
On a building format plan, the boundaries of a lot are represented by hard black lines. The diagram of level A shows the common property surrounding the building and parts of the 4 lots (units) on level A.
Plans can also show visitor parking spaces, carports or other features such as swimming pools. This common property and the lots together make up the scheme land.
The diagram of level B shows the rest of the 4 lots and a common property balcony running along the eastern (right) side of the building. 
The thin line around this balcony shows that it is outside the boundaries of the lots, so the balcony is on common property.
Compare this to the hard black lines around the smaller balconies on the western (left side) of lots 2 and 3. This shows that these balconies are within the boundaries of lots 2 and 3.
Where a balcony is included in a lot (as in lots 2 and 3 in the diagram of level B) the boundary of the lot is the face of the balcony.

Body corporate maintenance
The body corporate must maintain common property, as well as some things that are not on common property.
The body corporate is usually responsible for maintaining:
  • the outside of the building
  • the foundations and roof of the building
  • roofing membranes that are not on common property but give protection for lots or common property
  • essential structural elements of the building (like foundation structures, roofing structures that provide protection and load-bearing walls) even if they are not on common property 
  • roads, gardens and lawns on common property 
  • facilities on common property (like swimming pools and barbeques)
  • railings or balustrades on, or near to, the boundary between a lot and common property, including the balustrade on a private balcony
  • any doors or windows, and their fittings in a boundary wall between a lot and the common property (including in balconies, and including garage doors and their fittings)
  • utility infrastructure (like equipment, pipes and wiring) that is on common property, or in a boundary structure, or services more than 1 lot. 
Lot owner maintenance
The lot owner is generally responsible for:
  • the inside of the lot, including all fixtures and fittings inside the lot
  • doors and windows leading onto a balcony that forms part of the lot 
  • a shower tray used by the lot, even if it is not within the boundaries of the lot
  • utility infrastructure (like equipment, pipes and wiring) that is within the boundaries of the lot and only services that lot
  • utility infrastructure (including equipment and associated wiring and pipes) that is on common property, if it only services that lot and is a hot water system, washing machine, clothes dryer, air-conditioner or similar equipment
  • any fixtures or fittings, including on common property, that were installed by the occupier of a lot for their benefit
  • exclusive use areas the owner has the benefit of, unless the exclusive use by-law says otherwise.

Paying for maintenance
  • The body corporate must consider its spending limits and budgets if it has to spend money on maintenance.
  • The body corporate cannot pay for, or levy owners for, maintenance that a lot owner is responsible for (such as cleaning windows within a lot), unless it:
  • has an agreement with an owner
and
  • charges that owner for the cost of the work.
A body corporate can undertake maintenance and recover the ‘reasonable cost’ from the lot owner if the owner has not done maintenance required under:
  • body corporate legislation
  • a notice given under other legislation
  • the community management statement, including the by-laws
  • an adjudicator’s order
  • the order of a court or tribunal.
Standard format plan maintenance
A standard format plan (SFP), previously known as a group title plan(GTP), defines land horizontally, using marks on the ground or a structural element of a building (e.g. survey pegs in the ground or the corner of a building).
A community titles scheme registered under standard format plan can include a townhouse complex where each lot has a building and a yard. The boundaries of lots in the scheme are defined by the measurements shown on the survey plan and any marks put on the ground when the survey was done.

This diagram of a standard format plan shows 5 lots and an area of common property. Each boundary on the plan is clearly defined using the reference marks.
Picture
Body corporate maintenance
The body corporate is usually responsible for maintaining:
  • roads, gardens and lawns on common property
  • facilities on common property (like swimming pools and barbeques)
  • utility infrastructure (like equipment, pipes and wiring) that is on common property, or in a boundary structure, or services more than 1 lot.

Lot owner maintenance
he lot owner is generally responsible for:
  • the inside of the building, including all fixtures and fittings (except utility infrastructure that is common property)
  • the outside of the building within their lot boundary, including exterior walls, doors, windows and roof
  • the building foundations
  • all lawns, gardens and driveways inside the boundary of their lot
  • utility infrastructure (like equipment, pipes and wiring) that is inside the boundaries of the lot and only services that lot
  • any fixtures or fittings (including on common property) that were installed by the occupier of a lot for their benefit
  • exclusive use areas the owner has the benefit of, unless the exclusive use by-law says otherwise.

Paying for maintenance
The body corporate must consider its spending limits and budgets if it needs to spend money on maintenance.
The body corporate cannot pay for, or levy owners for, maintenance that a lot owner is responsible for (such as painting the building), unless it:
  • has an agreement with an owner
and
  • charges that owner for the cost of the work.
A body corporate can carry out maintenance and recover the ‘reasonable cost’ from the lot owner if the owner has not done maintenance required under:
  • body corporate legislation
  • a notice given under other legislation
  • the community management statement, including the by-laws
  • an adjudicator’s order
  • the order of a court or tribunal.
​Improving common property and lots
The body corporate and a lot owner in a community titles scheme can both make improvements to the common property, if they are approved.

Maintenance or improvement
It can be hard to tell whether work is an improvement or maintenance.
An improvement can include:
  • putting up a new building
  • a structural change
or
  • a non-structural change, like installing air conditioning.
See the definition in schedule 6 of the Body Corporate and Community Management Act 1997 (the BCCM Act).
A change can include adding, removing or swapping something. See section 36 of the Acts Interpretation Act 1954 (PDF).  

​The BCCM Act does not define maintenance.

Adjudicator’s orders have used a ‘like for like’ rule when deciding whether the work is maintenance or an improvement.
For example, if you replace a wooden fence with a similar wooden fence it is maintenance. If you replace a wooden fence with a colorbond fence it is an improvement because there is a change to the existing fence.
However, if you can’t get the same product or material, a change is not automatically an improvement. For example, the body corporate is repairing some foyer tiles. It can’t get the same tiles, so uses a similar, modern tile. This can still be considered maintenance.
Most day-to-day work is maintenance.

Improvements by a body corporate
This information is for schemes under the:
  • Standard Module
  • Accommodation Module
and
  • Small Schemes Module.
A body corporate can make an improvement to common property for the benefit of the body corporate, if it is approved. The type of approval the body corporate needs depends on the cost of the improvement.
The 3 improvement limits are shown in this table. They are:
  • basic improvements limit
  • ordinary resolution improvement range
  • other.
​
Picture
*If a number of improvements make up 1 project, the approval needed will be based on the total cost of the project.
The body corporate (or committee) will need to consider whether the proposed work is maintenance or an improvement, when it considers what approval is needed.
An owner who disagrees can apply for dispute resolution.

Specified Two-lot Schemes Module
For schemes registered under the Specified Two-lot Scheme Module, the body corporate can make improvements to the common property if authorised by a lot owner agreement.

Commercial Module
For schemes registered under the Commercial Module, the body corporate can make improvements to common property if they are approved by ordinary resolution at a general meeting or by an adjudicator.
The committee cannot approve improvements to the common property.

Improvements by a lot owner
An owner can make an improvement to common property if approved by the committee or the body corporate at a general meeting.
The committee can approve an improvement by an owner if the:
  • total cost is less than $3,000
  • improvement does not detract from the appearance of a lot
  • body corporate is satisfied that the use and enjoyment of the improvement is not likely to be a breach of the owner’s duties as an occupier (e.g. by causing a nuisance to others in the scheme).
If the committee cannot approve the work it must be authorised by ordinary resolution at a general meeting.
The owner must:
  • comply with any conditions of approval
and
  • maintain the improvement.
When an improvement is made to the common property by a lot owner they must give the body corporate details of the type of work and value of the improvement.
If the improvement increases the body corporate’s insurance premium, the owner may have to pay the extra.

Specified Two-lot Schemes Module
For schemes registered under the Specified Two-lot Schemes Module the body corporate can allow an owner to make improvements to the common property. This would need a lot owner agreement. There are no limits on the cost of the improvement.

Commercial Module
There is no limit on the value of the improvement under the Commercial Module. This means the committee can approve all improvements to common property made by an owner of a lot regardless of the cost.

Alterations to a lot
The BCCM Act does not restrict the changes or improvements an owner can make to their own lot.
If an owner wants to change their lot they should consider whether the change will affect common property.
The lot owner should also see whether there are any by-laws that affect what change or improvements they can make.

For example putting hard floors (like timber or tiles) in a lot is the subject of many body corporate disputes. Because of this, some bodies corporate have by-laws which say owners need approval for changes to flooring.
Even if an improvement or change to a lot does not need approval under a by-law, an owner should consider how the change would affect others in the scheme, including neighbours.
For example, if hard floors make extra noise for a lot below, this may be a breach of a by-law about noise or may create a nuisance which is against section 167 of the Act (PDF).
For more on by-laws about hard flooring and tiling, see the appeal decision of the Queensland Civil and Administrative Tribunal: Princess Palm (PDF).
Utility infrastructure maintenance
Utility infrastructure is the pipes, cables, wires, sewers, drains, plant and equipment which supply a utility service to the lots or the common property in a community titles scheme.
Utility services include:
  • water, gas or electricity supplies
  • air conditioning
  • telephone, data or television services
  • drainage
  • waste disposal
  • a sewer system.
It can also be another system or service designed to benefit a lot or common property.

Utility infrastructure and common property
The body corporate is usually responsible for utility infrastructure that is part of common property.
If the utility infrastructure is not part of common property, the lot owner is generally responsible for maintaining it.
All utility infrastructure in a community titles scheme is part of common property except for utility infrastructure that:
  • supplies a utility service to only 1 lot
and
  • is within the boundaries of the lot
and
  • is not within a boundary structure for the lot.
A boundary structure for a lot in a scheme means a floor, wall or ceiling, other than a false ceiling, in which is located the boundary of the lot with another lot or common property. This definition applies to all schemes regardless of the plan of subdivision.
It is important for both the body corporate and lot owners to understand the boundaries of lots and know if utility infrastructure is part of common property. 

Building format plan
​This diagram gives an example of utility infrastructure responsibilities in a building format plan.
Picture
  • In the above diagram, the body corporate is responsible for the cold water pipes of cables shown in red as they are located within a boundary structure. The lot owner is responsible for:
  • the cold water pipes or cables showing in blue as they service 1 lot only and are located within an internal wall (not a boundary structure)
  • a hot water system, including the associated pipes and wiring, supplying the service solely to the lot, even if the system is on common property
  • an air-conditioning system including the associated pipes and wiring, supplying the service solely to the lot, even if the system is on common property.​

Standard format plan
This diagram gives an example of utility infrastructure responsibilities in a standard format plan.
Picture
  • In this diagram, the body corporate is responsible for the:
  • water pipes or cables shown in red as these supply the service to more than 1 lot
  • guttering and associated downpipes shown in pink which span 2 lots (1 and 2 and 3 and 4) supplying a service to more than 1 lot. 
  • any television antenna that services 2 or more lots.
The lot owner is responsible for the:
  • water pipes or cables shown in blue as they are located within the lot boundary and service 1 lot only
  • guttering and associated downpipes shown in brown above lot 7. 

Exclusive use by-laws
Exclusive use by-laws cannot give exclusive use rights to utility infrastructure that is part of common property.

When different rules apply
In some cases a lot owner (or occupier) can be responsible for maintenance even if the items are on common property or outside their lot.
This can include:
  • utility infrastructure (including equipment and associated wiring and pipes) on common property that only services 1 lot and it is a hot water system, washing machine, clothes dryer, air conditioner or similar equipment
  • a shower tray even if it is not inside the lot
  • utility infrastructure that is installed on common property by an occupier for the occupier’s benefit.
A meter installed to measure water supplied to a community titles scheme may remain the property of the property of the provider supplying the water, and will not be part of common property. This applies to meters installed in schemes established after 1 January 2008.
Utility infrastructure installed under an agreement with the original owner (developer) or the body corporate (for example, cable television equipment), may remain the property of the service provider. It will only be part of common property if ownership is transferred to the body corporate under the terms of the agreement.
​Other maintenance issues
The legislation that controls bodies corporate cannot include specific laws about every possible maintenance issue in a community titles scheme.
If the legislation does not deal directly with your issue, the first thing to do is see where the item is located and who is responsible for that location and that item.
This will depend on the plan of subdivision your building/s is registered under and the regulation module that applies.
Adjudicators are able to make orders in most body corporate disputes. Search online at the Australasian Legal Information Institute for decision by adjudicators from the Office of the Commissioner for Body Corporate and Community Management.
This page lists some of the maintenance issues that may come up in your body corporate. It also gives you a link to adjudicators’ orders on the topic to help you work out who is responsible for the maintenance.

Dividing fences
Questions about fences that divide properties may come under the Neighbourhood Disputes (Dividing Fences and Trees) Act 2011 (PDF)(previously known as the dividing fences legislation).

Section 311 of the Body Corporate and Community Management Act 1997(PDF) says that responsibility for a:
  • fence between a lot and the common property is shared equally between the lot owner and the body corporate
  • fence between 2 lots is shared equally between the lot owners
  • boundary fence between a lot and an adjoining property is shared equally between the body corporate and the adjoining property owner because the fence is in essence the boundary of the scheme.
See Everton Manors for an adjudicator’s decision on dividing fences.

Pest control
The body corporate is generally responsible for any pest inspection, prevention and treatment work on common property.
A lot owner is responsible for any pest inspection and treatment work that is needed within their lot.

See the adjudicator’s order in Magnetic International Resort Hotel for more on who is responsible for pest control.

Supply of services by a body corporate
To benefit lot owners and occupiers, the body corporate may offer to supply or arrange for services that owners or occupiers are responsible for.
For example, the body corporate could:
  • organise for cleaning or painting of the exterior of lots (which owners are responsible for)
  • provide mowing of yards within lots
  • arrange pest inspections or treatments (that owners are responsible for)
  • supply electricity or other services used by the occupiers of lots
  • supply communication services such as a PABX or pay television to lots.
It can be cheaper or easier for the body corporate to organise for work or a service for many lots, rather than each owner or occupier organising it individually. The body corporate can do this at the same time as it does work or organises services that it is responsible for.
The body corporate can only supply a service to an owner or occupier if it has an agreement with the owner or occupier. It is not enough for the body corporate to have passed a general meeting resolution agreeing to provide the service.

Paying for services
The body corporate can charge its costs as part of the service supply agreement with the owner or occupier.
These costs can include:
  • installing, maintaining and operating any utility infrastructure needed to supply the service
  • buying, operating, maintaining and replacing any equipment needed to supply the service.
The body corporate cannot charge users of the service for its administrative work and cannot make a profit from the supply of the service.
Supply charges for the service must be paid by each user. They are not part of the body corporate levies.
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forming

​FORMING A BODY CORPORATE COMMITTEE

* Please Click on "+" sign to expand and "-" sign to collapse the topic.
Committee structure
A body corporate must have a committee. The committee will be responsible for the day-to-day running of the body corporate.
Committee membership is different between the regulation modules. The following information applies to schemes registered under the:
  • Standard Module
  • Accommodation Module
Schemes registered under the Specified Two-lot Scheme Module do not have a committee.

Need for a committee
Bodies corporate must choose a committee at each annual general meeting.
Once the committee has been elected the body corporate must keep the same number of members for the rest of the year. The body corporate cannot increase or decrease the number of people on the committee until the next annual general meeting.  
If a committee member leaves their position for any reason (called a casual vacancy) the vacant position may be filled by the committee or at an extraordinary general meeting.
If not all positions on the committee are filled at the annual general meeting, the body corporate may need to hold an extraordinary general meeting to fill the remaining positions. If the body corporate is unable to fill at least 3 committee positions, or if not all executive positions are filled, the body corporate can choose to engage a body corporate manager to act as the committee. This would require a special resolution at the same extraordinary general meeting.

Members of the committee
The committee consists of:
  • executive members (chairperson, secretary and treasurer)
  • ordinary members
  • non-voting members.

Voting members
The term ‘voting member’ means a member of the committee other than a non-voting member. The chairperson, secretary, treasurer and ordinary members are voting members.

Non-voting members
Any body corporate managers and caretaking service contractors engaged by the body corporate are automatically non-voting members of the committee.

Number of voting members
The regulations say that a body corporate must have the ‘required number’ of committee members.
This means the committee must have a minimum of 3 but no more than 7 voting members.
If there are 7 or greater lots in a scheme, the body corporate committee must have at least 3 voting members and a maximum of 7 voting members.
If there are fewer than 7 lots, the maximum number of voting members equals the number of lots. For example, if there are 5 lots in the scheme, the body corporate committee must have at least 3 voting members and a maximum of 5 voting members.

Committee structure under Small Schemes Module
In schemes registered under the Small Schemes Module the committee consists of a secretary and a treasurer. These are the voting members of the committee.
One person may hold both positions, or the positions may be held by 2 people.
The body corporate may also engage a body corporate manager, who would be a non-voting member of the committee.
A body corporate operating under the Small Schemes Module cannot engage caretaking service contractors (but it may engage a service contractor).

Committee structure under Commercial Module
​In schemes registered under the Commercial Module, the committee still consists of a secretary, treasurer, chairperson, ordinary members and non-voting members.
However a non-voting member, for example a body corporate manager, may be chosen to be a secretary or treasurer (or both).
If this happens, the body corporate manager who is chosen to be secretary ot treasurer (or both) still does not have a vote at a committee meeting.
​Nominations and eligibility for body corporate committees
​The Body Corporate and Community Management Act 1997 (PDF, 1.4MB) sets out how you can nominate someone to be appointed to a body corporate committee, and who is eligible to be a voting member on the committee.
The following information applies to schemes under the:
  • Standard Module
  • Accommodation Module
  • Commercial Module
  • Small Schemes Module.
For schemes under the Specified Two-lot Schemes Module there is no committee.

Standard and Accommodation Modules
Making a committee membership nomination
Before the annual general meeting each year, the secretary must send a written invitation to each lot giving them the opportunity to make a nomination for committee membership. There is no form for this—the committee can choose how to write the invitation.
The invitation must be given to each lot owner at least 3 weeks before, but no more than 6 weeks before, the end of financial year for the scheme.
If an owner wants to make a nomination, they must send their nomination back to the secretary by the end of the body corporate’s financial year.
We do not produce a committee nomination form. Details of what needs to be included on a nomination form can be found in the Regulation Module that applies to your scheme. For more information contact your body corporate.
When the secretary gets a completed nomination form, they must let the owner know that they have received it. They must do this ‘as soon as it is practicable’. When the secretary acknowledges the nomination, they don’t have to say whether or not it is a valid nomination.

Number of nominations owners can make
Each lot owner can only nominate 1 eligible person for committee membership. However, the 1 person nominated can be nominated for more than 1 position on the committee.
If there is more than 1 owner of a lot, only 1 nomination may be made by the owners of that lot.
If an owner owns more than 1 lot in the scheme, they may be able to nominate more than 1 person.
An owner who owns:
  • 2 lots can nominate 2 people
  • more than 2 lots can nominate 2 people, if there are less than 7 lots in the scheme
  • more than 2 lots can nominate 3 people, if there are more than 7 lots in the scheme.
For example, Ms Jones owns 3 lots in a scheme that includes 6 lots. Ms Jones may nominate 2 people for election. Mr and Mrs Brown co-own 5 lots in a scheme that includes 12 lots. Mr and Mrs Brown may nominate 3 people for election.
A lot owner is not able to nominate a person for committee membership if the lot owner owes the body corporate money when the secretary gets the nomination.

Who is eligible to be nominated
The following sets out who lot owners can nominate for committee membership.

Who an individual can nominate
A lot owner who is an individual can nominate any of the following individuals:
  • themselves
  • another lot owner
  • a person they have appointed as their power of attorney
  • a member of their family.
A family member means:
  • the lot owner’s spouse, including ‘de facto’ spouse
  • children of the lot owner or their spouse who are over 18 (including a stepchild or adopted child)
  • the lot owner’s parents or step parents
  • the lot owner’s brother or sister.
Usually only 1 co-owner of a lot can be appointed as a voting member of the committee, on the basis of the ownership of that lot, at a time. In some situations, if there are no other nominations, more than 1 co-owner can be appointed to the committee at the same time.

Who a corporation can nominate
A lot owner that is a company may nominate any of the following individuals:
  • another lot owner
  • a director of the corporation
  • the secretary of the corporation
  • another nominee of the corporation.

Who a subsidiary scheme can nominate
The body corporate for a subsidiary scheme may nominate a representative to sit on the committee of the principal scheme.
The representative must be a member of the committee for the subsidiary scheme.
If the committee has not appointed a representative, the chairperson automatically fills this role.

People who are not eligible to be voting members
A person is not eligible to be a voting member of the committee if they:
  • are a body corporate manager
  • are a service contractor
  • are a letting agent
  • conduct a letting business for a number of lots in the scheme
  • are an associate of a body corporate manager, service contractor or letting agent
  • are a lot owner who owes money to the body corporate at the time when the committee is chosen
  • have been nominated by a lot owner who owes money to the body corporate at the time when the committee is chosen.

Small Schemes and Commercial Modules
Nominations for committee membership
There is no requirement under the Small Schemes Module or the Commercial Module for the secretary to invite owners to make committee membership nominations.
Nominations for the secretary or treasurer may be given in writing before the meeting or orally at the meeting.
A lot owner is not able to nominate a person for committee membership if the lot owner owes a body corporate debt when the secretary gets the nomination.

Eligibility for committee membership
Owners who are an individual are eligible to be voting members of the committee.
Only 1 co-owner may be on the committee.
Owners can also nominate other individuals for committee membership.
A person is not eligible to be a voting member of the committee if they are:
  • a body corporate manager
  • a service contractor
  • a letting agent
  • someone who conducts a letting business for a number of lots in the scheme
  • an associate of a body corporate manager, service contractor or letting agent
  • a lot owner who owes money to the body corporate when the committee is chosen
  • a person nominated by a lot owner who owes money to the body corporate when the committee is chosen.
Standard Module elections
This information on body corporate committee elections explains how a committee is elected in schemes registered under the Standard Module only.

Schemes registered under the Specified Two-lot Schemes Module do not have a committee.

Running an election
A body corporate must choose a committee at the annual general meeting each year.
Elections must be run so that all owners who are entitled to vote can do so and that their votes are kept secure.
Normally elections must follow the process in sections 16 to 27 of the Standard Module (PDF, 1.06MB). However, the body corporate can pass a special resolution to hold its elections in another way, as long as that method is fair and reasonable.
The committee election is the last item on the agenda of the annual general meeting.
An eligible candidate may be elected to hold 1, 2 or all 3 of the executive positions (chairperson, secretary and treasurer), but they cannot simultaneously hold an executive and ordinary position.
The elected committee members start their role as soon as the meeting ends.

Need for a ballot
Lot owners must complete and return nominations by the end of the body corporate’s financial year.
If only 1 nomination is received for any executive position on the committee, a ballot will not be required for that position and the person nominated can be elected unopposed. If the number of nominations for the ordinary positions is fewer than or equal to the number required, each nominee is elected unopposed and no ballot will be required.
Separate ballots must be held for the positions of chairperson, secretary and treasurer. Another ballot is required for the ordinary member positions. However, it is not necessary to have separate ballot papers for each position.
Note: the election must be conducted by secret ballot unless the body corporate has passed an ordinary resolution deciding to hold open ballots (see sections 21 and 22 of the Standard Module (PDF, 1.06MB) for information on running secret ballots and open ballots).

Ballot papers
The secretary must prepare ballot papers for any position for which a ballot is needed.
If satisfied that a nomination is valid, the secretary includes each candidate’s name and details on the ballot paper.
The secretary must send the ballot papers, ballot envelope and (in the case of a secret ballot) particulars envelope to owners with the notice of the annual general meeting.
Voters complete the ballot papers and give or forward them to the secretary before or at the annual general meeting.

Election process
The ballots occur in the following order:
  • chairperson
  • secretary
  • treasurer
  • ordinary members.
At the meeting, the secretary gives the ballot papers and envelopes to the person chairing the meeting. The chair then checks the details on the envelope to ensure the voter is eligible to vote in the election.
The chair then records the count of votes.
Any function of the chair in the election can be delegated to an independent person. However, there is no requirement for a returning officer to be appointed.

Executive positions
If no nominations are received for any executive position, the person chairing the meeting must invite nominations from eligible persons.
Nominations can be accepted from:
  • a lot owner present at the meeting
  • in writing from a lot owner not present at the meeting.
A ballot is held if more than 1 person is nominated for a position. The person with the highest number of votes is elected to the position.
If 2 or more candidates get the equal highest number of votes, the winner is decided by chance in a way the meeting decides (e.g. by a toss of a coin).
The chair must tell the meeting the result of the election and the number of votes cast for each candidate. This is recorded in the minutes.

Ordinary positions
The ballot for ordinary positions on the committee is held after the executive positions are filled.
The nomination of a person for an ordinary position will not be considered if they have already been elected as an executive member.
If the number of candidates for ordinary member positions plus the number of elected executive members is fewer than the required number of committee members, the chair must invite nominations at the meeting to reach the required number of committee members.
Nominations can be accepted from:
  • a lot owner present at the meeting
  • in writing from lot owners not present at the meeting.
A ballot is held if there are more nominations than available positions.
The candidate with the most votes is elected first, the candidate with the next highest votes is elected second and so on, until each available position is filled.
If 2 or more candidates get the same number of votes, the deadlock may be decided by chance in a way the meeting decides (e.g. a toss of a coin).
The chair must tell the meeting the result of the election and the number of votes cast for each candidate. This is recorded in the minutes.

Vacancies from the annual general meeting
An extraordinary general meeting must be called within 1 month if the election at the annual general meeting results in:
  • at least 1 executive position not being filled
  • the total number of voting members being less than 3.
At the extraordinary general meeting, the body corporate may appoint a person who is eligible to be a member of the committee to fill any vacancy. There is no need for an election.

​If 1 co-owner of a lot has been elected to the committee, 1 other co-owner of the lot may be nominated as an ordinary member of the committee, but only if necessary to bring the number of voting members of the committee to 3.

The agenda of the extraordinary general meeting must include a motion to approve the engagement of a body corporate manager to act in place of the committee under Chapter 3 Part 5 of the Standard Module.
The motion will only be considered if either:
  • at least 1 executive member position is not filled
  • the total number of voting members is less than 3.
If the body corporate passes a motion to engage a body corporate manager under Chapter 3 Part 5 all committee member positions will become vacant and there will be no committee.
​
Accommodation Module elections
This information on body corporate committee elections explains how a committee is elected in schemes registered under the Accommodation Module only.

Schemes registered under the Specified Two-lot Schemes Module do not have a committee.

Running an election
A body corporate must choose a committee at the annual general meeting each year.
Elections must be run so all owners who are entitled to vote can do so and that their votes will be kept secure.
Normally elections must follow the process in sections 17 to 28 of the Accommodation Module (PDF, 1.0.4MB). However, the body corporate can pass a special resolution to hold its elections in another way, as long as that method is fair and reasonable.
The committee election is the last item on the agenda of the annual general meeting.
An eligible candidate may be elected to hold 1, 2 or all 3 of the executive positions (chairperson, secretary and treasurer), but they cannot simultaneously hold an executive and ordinary position.
The elected committee members start their role as soon as the meeting ends.

Need for a ballot
Lot owners must complete and return nominations by the end of the body corporate’s financial year.
If only 1 nomination is received for any executive position on the committee, a ballot will not be needed for that position and the person nominated can be elected unopposed. If the number of nominations for the ordinary positions is less than or equal to the number required, each nominee is elected unopposed and no ballot will be required.
Separate ballots must be held for the positions of chairperson, secretary and treasurer. Another ballot is required for the ordinary member positions. However, it is not necessary to have separate ballot papers for each position.
The Accommodation Module sets out some procedures for conducting a ballot. For those matters not set out in the regulations, the body corporate can decide by ordinary resolution how to conduct the ballot.

Ballot papers
The secretary must prepare ballot papers for any position for which a ballot is needed.
If satisfied that a nomination is valid, the secretary includes each candidate’s name and details on the ballot paper.
The secretary must send the ballot papers and ballot envelope to owners with the notice of the annual general meeting.
Voters complete the ballot papers and give or forward them to the secretary before or at the annual general meeting.

Election process
The ballots occur in the following order:
  • chairperson
  • secretary
  • treasurer
  • ordinary members.
At the meeting the secretary gives the ballot papers and envelopes to the person chairing the meeting. The chair then checks the details on the envelope to ensure the voter is eligible to vote in the election.
The chair then records the count of votes.
Any function of the chair in the election can be delegated to an independent person. However, there is no need for a returning officer to be appointed.

Executive positions
If no nominations are received for any executive position, the person chairing the meeting must invite nominations from eligible people.
Nominations can be accepted from:
  • a lot owner present at the meeting
  • in writing from a lot owner not present at the meeting.
A ballot is held if more than 1 person is nominated for a position. The person with the highest number of votes is elected to the position.
If 2 or more candidates get the equal highest number of votes, the winner is decided by chance in a way the meeting decides (e.g. by a toss of a coin).
The chair must tell the meeting the result of the election and the number of votes cast for each candidate. This is recorded in the minutes.

Ordinary positions
The ballot for ordinary positions on the committee is held after the executive positions are filled.
The nomination of a person for an ordinary position will not be considered if they have already been elected as an executive member.
If the number of candidates for ordinary member positions plus the number of elected executive members is less than the required number of committee members, the chair must invite nominations at the meeting to reach the required number of committee members.
Nominations can be accepted from:
  • a lot owner present at the meeting
  • in writing from lot owners not present at the meeting.
A ballot is held if there are more nominations then available positions.
The candidate with the most votes is elected first, the candidate with the next highest votes is elected second and so on, until each available position is filled.
If 2 or more candidates get the same number of votes, the deadlock may be decided by chance in a way the meeting decides (e.g. by a toss of a coin).
The chair must tell the meeting the result of the election and the number of votes cast for each candidate. This is recorded in the minutes.

Vacancies from the annual general meeting
An extraordinary general meeting must be called within 1 month if the election at the annual general meeting results in:
  • at least 1 executive position not being filled
  • the total number of voting members being less than 3.
At the extraordinary general meeting, the body corporate may appoint a person who is eligible to be a member of the committee to fill any vacancy. There is no need for an election.
If 1 co-owner of a lot has been elected to the committee, 1 other co-owner of the lot may be nominated as an ordinary member of the committee, but only if necessary to bring the number of voting members of the committee to 3.
The agenda of the extraordinary general meeting must include a motion to approve the engagement of a body corporate manager to act in place of the committee under Chapter 3 Part 5 of the Accommodation Module.
The motion will only be considered if either:
  • at least 1 executive member position is not filled
  • the total number of voting members is less than 3.
If the body corporate passes a motion to engage a body corporate manager under Chapter 3 Part 5, all committee member positions will become vacant and there will be no committee.
Commercial Module elections
This information on body corporate committee elections explains how a committee is elected in schemes registered under the Commercial Module only.

Schemes registered under the Specified Two-lot Schemes Module  do not have a committee.

Running an election
A body corporate must choose a committee at the annual general meeting each year, unless all lots in the scheme are owned by the same person or by only 2 different people.

Elections must be run so that all owners who are entitled to vote can do so and that their votes are kept secure.
The body corporate must run the election in the way decided by special resolution. The way decided must be fair and reasonable.
An eligible candidate may be elected to hold 1, 2 or all 3 of the executive positions (chairperson, secretary and

Committees in schemes with 1 or 2 owners
If all lots are owned by the same person, the committee is made up of the individual who is the owner, or their nominee. That person holds the 3 executive positions.
If all lots are owned by 2 owners, the committee consists of the 2 owners. They must decide between them who will hold the executive positions. If they cannot agree, the 2 committee members will hold the executive positions jointly.

Alternative to a committee
If no committee has been appointed, the Body Corporate and Community Management Act 1997 (PDF, 1.4MB) (PDF) allows the body corporate to authorise a body corporate manager to exercise the powers of a committee and executive committee members. The authorisation must be made in writing. The body corporate can, in writing, revoke the authorisation at any time.
Small Schemes Module elections
This information on body corporate committee elections explains how a committee is elected in schemes registered under the Small Schemes Module only.

Schemes registered under the Specified Two-lot Schemes Module do not have a committee.

Running an election
A body corporate must choose a committee at the annual general meeting each year, unless either:
  • all lots in the scheme are owned by the same person, or by 2 different people only
  • a body corporate manager is engaged to act for the committee.
Elections must be so that all owners who are entitled to vote can do so and their votes will be kept secure.
The positions of secretary and treasurer may be held by 1 person or 2 people. 
The community management statement can contain rules which outline how the body corporate chooses the committee. The body corporate can pass a special resolution to decide how to hold an election if this is not set out in the community management statement.

Committee in schemes with 1 or 2 owners
If all lots are owned by the same person, the committee is made up of the individual who is the owner, or their nominee. That person is both secretary and treasurer.
If all lots are owned by 2 owners, the committee consists of the 2 owners, or their nominees, unless both owners agree that only 1 of the owners will be the committee. If there are 2 committee members, they must decide between them who will be the secretary and who will be the treasurer. If they cannot agree, the 2 committee members will hold both positions jointly.
However, the above does not apply if the body corporate has passed a resolution to engage a body corporate manager to act for the committee, under Chapter 3, part 5.

Alternative to a committee
Instead of appointing a committee, the body corporate can engage a body corporate manager (under Chapter 3 Part 5 of the regulation) to carry out the functions of the committee, the secretary or the treasurer.
The body corporate must pass a special resolution at a general meeting to engage, or amend an engagement, of a body corporate manager to act for the committee.
If a body corporate manager is engaged in this way, there is no committee.
​Removing committee members
The legislation details the term of office of a committee member. It also outlines how a body corporate can remove a committee member from office.
This information is relevant to schemes registered under the: 
  • Standard Module
  • Accommodation Module
  • Commercial Module
  • Small Schemes Module
Schemes registered under the Specified Two-lot Schemes Module do not have a committee.

Term of office 
The position of a voting member of the committee becomes vacant (known as a casual vacancy) if the member: 
  • resigns in writing to the chairperson or secretary
  • is not present personally or by proxy at 2 committee meetings in a row without the committee's consent (this does not apply to the Small Schemes Module)
  • is convicted of an indictable offence (i.e. a more serious crime, whether or not a conviction is recorded)
  • is removed by an ordinary resolution of the body corporate
  • dies
  • becomes ineligible to hold the position.
 A member can become ineligible to hold a committee position if they:
  • were a lot owner at the time they were elected, but have since stopped being a lot owner
  • were not a lot owner but was nominated by a lot owner who has since stopped being a lot owner
  • have been engaged as a body corporate manager or service contractor or authorised as a letting agent.

Code of conduct
If it decides to by ordinary resolution, the body corporate can remove a voting member from the committee for a breach of the Code of conduct for voting members of the committee. 
Before it can pass a resolution to remove a committee member for a breach of the code of conduct, the body corporate must: 
  • pass an ordinary resolution deciding to give the committee member a breach notice
  • give the committee member a breach notice that includes the things stated in
    • section 34 of the Standard and Accommodation Module
    • section 16 of the Small Schemes and Commercial Module
  • allow the committee member to make a written response to the notice
  • pay the committee members costs of sending out the response, if asked
  • attach the breach notice to the agenda of the general meeting considering a motion to remove the member from the committee.

​Remove for another reason
As an alternative to the code of conduct process, a body corporate may remove a member from office by ordinary resolution at a general meeting. 
The person submitting the motion to a general meeting does not need to give the reason for the removal. 
If the submitter of the motion does give a reason that refers to the code of conduct, then the process outlined above applies.
It is suggested there is a separate general meeting motion for each member being removed. 
​Filling casual vacancies
The number of committee members a body corporate has for the whole year is determined at each annual general meeting. Throughout the year, the body corporate cannot increase or decrease its numbers on the committee. For example, if 6 people were elected to the committee at the last annual general meeting the body corporate must ensure it keeps 6 members for the whole year.
From time to time a casual vacancy can occur. There are many reasons for this and some of those include: 
  • an owner selling their lot
  • a person dies
  • a member is removed from office.
How a body corporate fills a vacancy depends on how the vacancy arose and which regulation module the scheme is registered under. 

Commercial Module 
If a position on the committee becomes vacant (for any of the reasons outlined above) the committee must—even if it does not have enough members to form a quorum—appoint an eligible person to the committee, or call an extraordinary general meeting to appoint someone to fill the vacancy.

Small Schemes Module 
If a position on the committee becomes vacant (for any of the reasons outlined above) the body corporate must hold an extraordinary general meeting to appoint someone to fill the vacancy. The person appointed must be eligible.  

Standard and Accommodation Module 
Removal by ordinary resolution 
If the body corporate passes an ordinary resolution at a general meeting to remove a committee member from their position, it can pass a resolution to fill the vacancy at the same general meeting. Otherwise it can fill the vacancy at the next general meeting. 
While the person appointed must be eligible to hold a position on the committee, there is no need to invite nominations or hold a ballot. 

Filling other vacancies 
If a position on the committee becomes vacant (except when a member is removed by ordinary resolution) and there are still enough committee members to form a quorum, the committee may either call:  
  • a committee meeting and appoint an eligible person to fill the vacancy
  • a general meeting to choose an eligible person to fill the vacancy.
If a member has been removed by ordinary resolution, or there are no longer enough committee members to form a quorum, the committee must call a general meeting to fill the vacancy.
The process for filling a vacancy at a general meeting is different to electing a committee at an annual general meeting. This process is set out in sections 39, 40 and 41 of the Standard and Accommodation Module, and includes the following: 
  • the notice of the meeting must include an explanatory note about nominating and voting for the position
  • nominations can be made at the meeting or given in writing before the election occurs
  • an owner must be present personally at the meeting to be able to vote in the election.
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reg

​BODY CORPORATE RECORDS AND REGULATIONS

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Access to records
 A body corporate must keep certain records, and allow some people to see and copy those records.

Who can access body corporate records
This information is for schemes registered under the:
  • Standard Module
  • Accommodation Module
  • Commercial Module
  • Small Schemes Module.

​You can see and/or get copies of a body corporate’s records if you are:
  • an owner of a lot in the scheme
  • a mortgagee of a lot
  • the buyer of a lot
  • someone who satisfies the body corporate of a proper interest in the records (e.g. a tenant who wants information about living in or using a lot)
  • the agent of someone in this list.
See the adjudicator’s order in Kidston Terrace Chermside for more information on who can see the body corporate’s records.

Asking for access to records
If you are entitled to see the records, you must:
  • give a written request to the body corporate
  • pay a fee.
The body corporate must let you see and/or give you copies of the records within 7 days of getting your written request and fee.
You can request that copies of documents which exist in the records be given to you.  You must identify the documents you want.  You do not have to personally search the records to obtain copies of identifiable documents.
If you cannot name the specific documents, you will need to search the records yourself and find the documents you want copied. You can appoint another person to do the search for you.
The body corporate can only charge the copying fee when supplying copies. A search fee will only apply if you inspect the records in person.
It is an offence for a body corporate not to allow access to its records when requested. A fine in excess of $2,400 applies.
A body corporate must give committee members reasonable access to its records at no cost.
A body corporate can be asked by a buyer for an information certificate.

When access can be refused
A body corporate does not have to make a document available if it reasonably believes the document has defamatory material in it.
A body corporate may be able to keep records confidential because of ‘legal professional privilege’.
To be ‘privileged’ the document would need to be:
  • a communication between a lawyer and their client
  • created for a lawyer as part of legal advice to their client, or to take current or planned legal action
  • kept confidential by the client.
A body corporate does not have to give a committee member privileged records if legal action between the body corporate and the committee member has started or is threatened.
The Privacy Act 1998 (Cwlth) and the Information Privacy Act 2009 (QLD) (PDF) may apply to the body corporate (and its agent).
The privacy restrictions do not apply to information that must be given by law. This means the body corporate cannot refuse to make documents available because of privacy legislation.
See the adjudicator’s decision in Club Lodge for more information on making documents available.

Access to records in the Specified Two-lot Schemes Module
For schemes registered under the Specified Two-lot Schemes Module, a lot owner (or their representative) is entitled to reasonable access to the body corporate’s records.
The body corporate, or a person appointed to keep the records, must make them available.
A lot owner’s first request is free. Otherwise, fees apply to see or get copies of the records.
The body corporate does not have to give access if:
  • the records are privileged and a legal action has started or is planned between the body corporate and the person who wants to see the records
  • the body corporate reasonably believes the record has defamatory material in it.
Keeping and disposing of records
​A body corporate must keep certain records. There are rules about how these records must be kept and when they can be disposed of.

Keeping records
This information is for schemes registered under the:
  • Standard Module
  • Accommodation Module
  • Commercial Module
  • Small Schemes Module.

A body corporate must keep:
  • accounting and financial records, including accounts, bank statements and invoices
  • orders and notices from a court, tribunal, council or other authority
  • body corporate insurance policies 
  • correspondence to and from the body corporate
  • general and committee meeting minutes and meeting material
  • notices and responses for motions passed outside a committee meeting
  • contracts with a body corporate manager or service contractor, and letting agent authorisations
  • any authority for a service contractor or letting agent to occupy common property
  • agreements made under an exclusive use by-law
  • reports given by a body corporate manager acting for the committee.

The body corporate must also keep rolls and registers . These are:
  • a roll with the name, address and other details of each lot and lot owner
  •  registers of things like assets, exclusive use allocations, and issues reserved to be decided at a general meeting.

A body corporate can choose to keep any other records.

Disposing of records
Some records can be disposed of after 6 years (unless they are still current). They are:
  • statements of account
  • meeting notices and papers
  • records about major repairs and installations to common property
  • orders and notices from a court, tribunal, council or other authority
  • contracts which the body corporate is a party to
  • reports given by a body corporate manager acting for the committee.
Some records can be disposed of after 2 years (unless they are still current). They are:
  • committee and general meeting material
  • correspondence that is not important or no longer of interest
  • financial statements, including bank statements and invoices. The Australian Tax Office  may require that some records are kept for longer.

Records in a Specified Two-lot Schemes Module
A body corporate in a Specified Two-lot Schemes Module must keep:
  • all lot owner agreements
  • written requests to enter into a lot owner agreement
  • orders and notices from a court, tribunal, council or other authority
  • insurance policies, and other records about insurance
  • correspondence to and from the body corporate
  • contracts with a body corporate manager or service contractor
  • agreements made under an exclusive use by-law
  • documents about owner representation
  • bank statements and accounting records
  • contribution notices
  • documents about work done for the body corporate
  • a person’s resignation as a record keeper.

Some records can be disposed of after 6 years (unless they are still current). They are:
  • accounts
  • documents about work done  for the body corporate
  • orders and notices from a court, tribunal, council or other authority
  • written agreements which the body corporate is a party to.

These records can be disposed of after 2 years (unless they are still current):
  • correspondence that is not importance or no longer of interest
  • financial statements, including bank statements and invoices
  • documents about owner representation (i.e. power of attorney).
The Australian Tax Office may require that some records are kept for longer.
Returning records
A body corporate must keep certain records. It can ask a person who has its records (or other body corporate property) to return them.

Documents held by an individual
A body corporate can ask for its records to be returned if the person got the records as:
  • a member of the body corporate
  • a member of the committee
  • a body corporate manager
  • a service contractor
  • an associate of someone in this list.
This applies if someone has:
  • a body corporate record or document
  • a body corporate asset
  • the body corporate seal.
The committee must pass a resolution for the records or other property to be returned. The person who has the items must return them (to whoever is named in the notice) within 14 days of getting the committee’s notice.
For schemes registered under the Specified Two-lot Scheme Module, the request can be given by 1 or both lot owners.
Often a body corporate will ask someone to return records after their body corporate management contract ends or when they stop being a committee member. However, the body corporate can ask for records to be returned at any time.
It is an offence not to do so. A fine of up to $2,356 applies.
A person cannot keep records until the body corporate pays a debt or meets some other obligation.

Documents held by a body corporate manager
If a body corporate manager’s engagement ends and they have records in electronic form, the body corporate can ask them to give it the records:
  • on a disc or other accessible form (such as an electronic or scanned file)
    or
  • on paper.
The body corporate manager must pay any costs.
Body corporate rolls and registers
The body corporate must keep up-to-date information about lots (the roll) and registers. Registers record things like:
  • the use of common property
  • engaging service contractors
  • committee voting.
This information is for schemes registered under the:
  • Standard Module
  • Accommodation Module
  • Small Schemes Module
  • Commercial Module.

The roll of lots and entitlements
The roll is a detailed list of information about each lot in a community titles scheme , as well as the original owner (developer).
Information that must be kept on the roll includes:
  • the name, residential or business address and the address for service (if different) of each current lot owner or co-owner
  • details of any mortgagee in possession of a lot (a lender who has taken over a lot if the owner failed to make repayments)
  • the name and address of the tenant and the term of the lease (if a lot is leased for 6 months or more)
  • the name and business address of the letting agent (if a person is engaged by an owner to let the lot)
  • the name of the person who votes for a lot, including a representative of a lot or the nominee of a corporation that owns a lot
  • the contribution and interest schedule lot entitlement for each lot
  • details about the original owner, including their name, addresses and their Australian Company Number (ACN) or Australian Business Number (ABN) if a corporation.

Notices for roll
A lot owner must tell the body corporate if there are any changes to information kept on the roll. They must do this within 2 months of the change.
For example, within 2 months of becoming the owner of a lot, the owner must tell the body corporate their address and how they became the owner.

Forms for roll information
​See the information for body corporate roll form for a guide to the details you must provide to the body corporate if you are an owner (or acting on behalf of the owner).

A body corporate can send an information required by body corporate form if the lot owner has not given the body corporate all the information needed for the roll.

Address for service
The lot owner must give the body corporate an ‘address for service’. This is the address where notices from the body corporate and other information will be sent.
If the address for service changes, the lot owner must give the body corporate the new address in writing.
If no address for service is given, the body corporate will send all correspondence to the last address it has for the lot (whether inside or outside Australia).
For schemes registered under the Standard Module, the address for service must be an Australian address. This is not required for schemes registered under the other regulation modules.
There must only be 1 address for service even if there are 2 or more lot owners.

Register of assets
A body corporate asset is an item of real or personal property bought or received by the body corporate. A body corporate asset does not include property which becomes part of the common property. For example, a rainwater tank is a body corporate asset before it is installed. After it is installed it forms part of the common property.
Any assets valued at more than $1,000 must be listed in an assets register.
The register must include:
  • a brief description of the asset
  • if bought—its cost ,where and when it was bought
  • if a gift—the estimated value, and details of who gave it to the body corporate.

Register of engagements and authorisations
The body corporate must have a register of any engagements of body corporate managers and service contractors and any authorisations of letting agents.
The register must include:
  •  the name and address of the body corporate manager, service contractor or letting agent
  • their duties
  • details of their remuneration (e.g. wages or allowances)
  • the term of the engagement or authorisation
  • information about any powers given to the body corporate manager
  • an original copy of the contract.

Register of common property authorisations
If a service contractor or letting agent is allowed (authorised) to use the common property, or if a lot owner is allowed to improve the common property, information about this must be kept in a register.
The register must include:
  • when the resolution giving the authority was passed
  • a description of the area of common property (the authorised area)
  • any conditions made when the authority was given.

Register of exclusive use allocations
The body corporate must keep a register of areas and assets affected by an exclusive use by-law . These are by-laws that give a lot exclusive use of common property or body corporate assets.
The register must include:
  • details of the relevant exclusive use by-law
  • the area of common property affected
  • the lot that benefits.

Register of reserved issues
The body corporate can decide to stop its committee from making decisions on particular issues. These are known as reserved issues.
Reserved issues can only be decided by ordinary resolution at a general meeting.
The body corporate must keep a register of reserved issues.
The register must include:
  • a description of the issue
  • the date of the decision to reserve the issue.
A copy of the register of reserved issues must be given to all owners with the notice of each annual general meeting.
​Regulation modules/ABOUT REGULATION MODULES
Most bodies corporate are a community titles scheme registered under the Body Corporate and Community Management Act 1997 (PDF).
As well as the Act there are regulation modules which set out more detailed laws that a body corporate must follow.

How modules apply
There are 5 regulation modules for bodies corporate in Queensland.
This is a general guide to the type of scheme each module is aimed at:
  • Standard Module—highly regulated, suitable for all schemes but especially where most owners live in their own lots.
  • Accommodation Module—less regulated, suitable for schemes where most owners let their lots.
  • Commercial Module—some regulation, suitable for commercial premises.
  • Small Schemes Module - some regulation, for schemes with 6 lots or less.
  • Specified Two-lot Schemes Module—less regulation, for schemes with 2 residential lots.

If you want to find out if your scheme is registered under the BCCM Act or find out what regulation module applies to your body corporate, you can get a copy of the community management statement from Titles Registry. Schemes that do not have a Community Management Statement registered do not fall under the BCCM Act and regulations.

How modules are set
Only 1 regulation module applies to a body corporate at any time.
The regulation module for the scheme is set by the developer (original owner) of the scheme, unless the body corporate changed it later.
Once a scheme is built, the developer has to register it by recording the plan of subdivision and a community management statement with the Lands Titles Registry.
A community management statement has details about the scheme, including which regulation module applies.

Changing a regulation module
A body corporate can change the regulation module it is registered under if it believes another regulation module is more suited to the scheme.
REGULATION MODULES/TWO-LOT SCHEMES MODULE
The Specified Two-lot Schemes Module aims to make the day-to-day management of community titles schemes with only 2 lots easier for owners.

A body corporate under the Two-lot Schemes Module is formed by the owners of the 2 lots.

Applying the Specified Two-lot Schemes Module
The Specified Two-lot Schemes Module applies if:
  • there are only 2 lots in the scheme
  • the community management statement for the scheme shows that the Specified Two-lot Schemes Module applies
  • the lots are residential, or were when the community management statement was registered.
The Specified Two-lot Schemes Module does not apply if:
  • there is a letting agent for the scheme
  • the scheme is part of a layered arrangement of community titles schemes.

Residential lots
A residential lot is a lot that is used for residential purposes (people live there) including short or long term leases.
In some cases the Specified Two-lot Schemes Module can still apply even when the lots are not residential.
This could happen if:
  • the first community management statement showed that the Specified Two-lot Schemes Module applied, and the lots were originally meant to be residential, but they were not used as residential lots
or
  • the lots were previously residential lots, but no longer are, even though the first and later community management statements showed that the Specified Two-lot Schemes Module applied.

For example, a new building with 2 lots was registered under the Specified Two Lot Schemes Module with the intention of selling the lots for people to live in. The lots were bought by someone who set them up as shops.
The Specified Two Lot Schemes Module will still apply unless the body corporate changes the community management statement.

Lot owner agreements
Unlike other regulation modules where decisions are made either at committee or general meetings, a body corporate under the Specified Two-lot Schemes Module makes decisions by lot owner agreements.
Lot owner agreements must:
  • be in writing
  • show the date of the agreement
  • detail what has been agreed to
  • be signed by the owners of both lots.
If the agreement is made by electronic communication (e.g. email), the communication must show that each owner has agreed.
Electronic communication (e.g. emails) must be consistent with the Electronic Transactions (Queensland) Act 2001 (PDF).
An agreement made by 1 co-owner of a lot applies to all co-owners of that lot.
For more information on committee and general meetings in other regulation modules see:
  • voting
  • meetings.

Owner’s representative
The owner of a lot can be represented by someone else.
The owner’s representative can be:
  • a guardian, trustee, receiver or someone else authorised in writing to act on the owner's behalf
or
  • someone acting under a power of attorney given by the owner. The original owner cannot act for an owner under a power of attorney unless it was given under sections 211 and 219 of the Body Corporate and Community Management Act 1997 (PDF).
The owner’s representative must act according to the written document which appointed them.
The owner’s representative must give the other lot owner:
  • a copy of the written document that allows them to act as the owner’s representative
or
  • proof that they are acting on behalf of the lot owner
and
  • their residential or business address (in writing).
An owner’s representative has the same powers as the owner. They can do anything the owner has to do under the Body Corporate and Community Management Act or the community management statement.
The owner’s representative can make a lot owner agreement.

Engaging a body corporate manager or service contractor
The body corporate can (by a lot owner agreement) engage, or amend the engagement of a body corporate manager or a service contractor.
An engagement must be in writing and it must set out:
  • when the term begins and ends (not more than 1 year)
  • the term of any right or option of extension or renewal of the engagement
  • the functions the body corporate manager or service contractor is required to do
  • what the body corporate manager or service contractor will be paid.
The body corporate can (by a lot owner agreement) terminate the engagement of a body corporate manager or a service contractor.

Body corporate accounts
The body corporate can (by a lot owner agreement) decide to keep body corporate funds in 1 or more accounts with a financial institution (e.g. bank or building society).
However it is not required to do so by law.

Funds held under a previous regulation
If a scheme has changed from another regulation module (e.g. the Standard Module) to the Specified Two-lot Schemes Module, and the body corporate has funds that are held in a financial institution, the body corporate must:
  • use money in the administrative and sinking funds to pay for agreed body corporate expenses, including body corporate insurance
and
  • continue to use the administrative and sinking funds until the funds are spent.

Body corporate records
The body corporate must (by a lot owner agreement) appoint someone to keep body corporate records.
This person can be a lot owner; a representative of a lot owner, a body corporate manager or the owners of both lots.
REGULATION MODULES/CHANGING A REGULATION MODULE
There are 5 regulation modules for bodies corporate in Queensland.
The regulation module that applies to your body corporate is listed in its community management statement.

A body corporate can change its regulation module at any time if it:
  • passes a special resolution at a general meeting to change its community management statement
  • meets the criteria set out in the module.

General meeting motion
This information is for bodies corporate registered under the:
  • Standard Module (PDF) 
  • Accommodation Module (PDF) 
  • Commercial Module (PDF) 
A general meeting motion proposing to change the regulation module must include an explanatory note in the approved form which outlines the effects a change in the regulation module will have. The approved form is the BCCM Form 19.
The explanatory note must be sent with the voting paper for the general meeting.

Small and two-lot schemes
If your scheme is registered under the Small Schemes Module or the Specified Two-Lot Schemes Module you do not have to include the BCCM Form 19 explanatory note with a motion or proposal to change the regulation module.

Criteria to change
You can only change your body corporate to a different regulation module if your scheme meets the criteria set out in the new module.

Standard Module
There are no restrictions under the Standard Module.

Accommodation Module
Under the Accommodation Module, the lots are mostly accommodation lots (or were when the community management statement was recorded).
An accommodation lot is a lot that is let or available to be let, or is part of a hotel.

Commercial Module
Under the Commercial Module, lots are mostly commercial lots (were or were intended to be when the community management statement was recorded.)
A commercial lot is for commercial, retail or industrial use, and is not an accommodation or residential lot.

Small Schemes Module
Under the Small Schemes Module there are no more than 6 lots, the scheme is not layered  and there is no letting agent.

Specified Two-lot Schemes Module
​Under the Two-lot Schemes Module — there are only 2 lots and both are residential (or were when the identifying this regulation module was recorded).
The scheme is not layered and there is no letting agent.
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dispute

BODY CORPORATE DISPUTES

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Types of dispute resolution/Practice directions
Practice directions are guides written by the Commissioner for Body Corporate and Community Management to help explain the rules for body corporate disputes and the steps you must follow.
Practice directions give more information about the Body Corporate and Community Management Act 1997 (PDF, 2MB). They do not replace the Act or the Commissioner’s ability to decide what is required for a particular dispute.

You can now download all 33 Practice Directions (PD) in one document.

General—relating to most disputes:
  • Evidence of a dispute (PD 1)
  • Internal dispute resolution (PD 23)
  • Standing of parties (PD 22)
  • Representation (PD 2)
  • Communication and document management (PD 3)
  • Electronic communication (PD 33)
  • Fees and charges for dispute resolution applications (PD 4)
  • False and misleading information or documents (PD 26)
  • Material submitted in relation to an application (PD 30)
  • Legal and other assistance (PD 29)

Disputes—details the requirements for specific types of disputes:
  • By-law enforcement applications (PD 6)
  • Administrator appointments (PD 17)
  • Emergency expenditure applications (PD 18)
  • Expeditable applications (PD 19)
  • Debt disputes (PD 24)
  • Complex disputes (PD 25)
  • Approval of alternative insurance (PD 28)
  • Dismissal of applications (PD 27)

Conciliation—details the requirements for conciliation:
  • Conciliation process (PD 7)
  • Conciliation applications (PD 8)
  • Matters not appropriate for conciliation (PD 9)
  • Preparing for conciliation (PD 10)
  • Representation and attendance at conciliation sessions (PD 11)
  • Admissibility of information from conciliation (PD 12)

​Adjudication—details the requirements for adjudication:
  • Adjudication process (PD 13)
  • Adjudication applications (PD 14)
  • Application time limits (PD 15)
  • Interim order applications (PD 16)
  • Specialist adjudication (PD 20)
  • Adjudicator’s orders (PD 21)
  • Consent orders (PD 31)
  • Supplementary orders (PD 32)
  • Parties’ costs (PD 5)
Types of dispute resolution/Self resolution for disputes
If you have a dispute with the body corporate, the committee or another owner or occupier you must try to resolve it with the other party first.
This is known by the Office of the Commissioner for Body Corporate and Community Management (the BCCM Office) as self resolution or internal dispute resolution. It is any reasonable steps taken by you to resolve the issue within the body corporate before making a formal dispute resolution application.

It can involve you:
  • communicating with the other person (preferably in writing, as this may be needed as evidence of self resolution later on)
  • presenting a motion to the committee
  • presenting a motion to a general meeting.
You may need to try all of these, depending on who your dispute is with, what it is about and how hard it is to resolve.

Get the committee involved
If the committee can make a decision on your issue the first step may be to write to them outlining the matter and your request (this is called a motion).
Sometimes the committee may not be able to make a decision— for example where an owner wants to make an improvement to the common property for the benefit of his or her lot and the work is valued at more than $3,000.
You may have to submit a motion to the next general meeting if the committee cannot make a decision.
Whenever you contact the committee (or the body corporate manager) you should do so in writing.

Benefits of self resolution
If you can resolve a dispute among yourselves it will:
  • stop the issue from getting more serious
  • be faster and cheaper
  • lead to better relationships
  • stop further disputes (or make them easier to resolve).

A successful result
Here is an example of how a dispute was resolved successfully.

A lot owner (J) often let water run off her balcony after watering her plants with a timing device. The lot owner below (M) complained that water poured from rainwater spouts into his courtyard and onto his BBQ and furniture.
The body corporate committee, responding to a letter with a written motion from M, asked J to either stop watering or remove the plants. J refused, saying that it was her right to maintain plants in her own home and that the spouts were there to drain water from her balcony.
The argument got worse. J and M were yelling at one another whenever they were outside.
J said she was proud of her plants and didn’t want them removed because they provided screening and a good environment for her unit.
M said he had recently bought the BBQ and furniture, and enjoyed entertaining. He felt that the overflow from the watering was at its worse when he had guests.
The committee helped J and M discuss the issues and reach an agreement. M agreed to move his furniture. J agreed to buy trays to put under each plant, to put in water-retaining soil, and to water less. J also agreed to change the timing device so plants weren't watered when M was likely to be entertaining.

If self resolution fails
You can apply for dispute resolution with us if self resolution fails. In most cases you must attempt conciliation as the compulsory first step in dispute resolution.
In conciliation an impartial person (a conciliator) with knowledge of the Body Corporate and Community Management Act 1997 (PDF) helps those involved in a dispute to negotiate their own resolution.
Conciliation normally involves either a face-to-face meeting or a teleconference between you, the other parties and the conciliator.
You will be asked to show that you have tried self resolution before you can apply for dispute resolution.
Types of dispute resolution/Conciliation for body corporate disputes
​In conciliation an independent person who understands body corporate law (a conciliator employed by the Department of Justice and Attorney-General) helps you and the other parties try to resolve your dispute.
You must show that you have tried to solve the problem yourself (called self resolution) before you can apply for conciliation.

Download the conciliation application form.

​
There are fees for conciliation applications.

Benefits of conciliation
Conciliation can often resolve issues more quickly than adjudication—a more formal dispute resolution process where parties provide written submissions and we make an order.
Conciliation can help those involved to:
  • have a say, listen to one another and suggest solutions
  • reach their own agreement and not have one decided for them (as happens with adjudication)
  • develop or maintain good relations—especially important if they live in the same building
  • gain useful information that might prevent further disputes.
In some cases, the Commissioner may decide that a dispute is not suitable for conciliation. If this happens, you can apply for adjudication.

Role of the conciliatorA conciliator:
  • remains impartical, meaning they do not act for either side in the dispute
  • helps parties talk to each other to see if they can reach an agreement to solve some or all of the issues in dispute
  • runs the conciliation process in a way the conciliator decides will be most helpful
  • gives parties information about the body corporate legislation and legal decisions related to their issues
  • invites up to 2 committee voting members to attend, when the body corporate is involved
  • makes sure everyone is treated fairly
  • accepts written information from any person and gives this material to any other person if it will be useful for the  conciliation
  • gives copies of any signed agreement to everyone who participated in the conciliation
  • keeps what you say in the conciliation confidential.

A conciliator does  not:
  • make a legal decision about who is right or wrong
  • give legal advice
  • change conciliation dates or times to fit in with somebody's work or personal commitments or a wish to have a specific committee member or support person come to conciliation
  • allow non-voting committee members, for example body corporate managers, to represent the body corporate
  • force the parties to carry out their agreement, or tell parties what to do
  • tell anyone what happened during the conciliation
  • give copies of any agreement to body corporate managers or other people who were not part of the conciliation.

Preparing for conciliation
To get the best from your conciliation, you should:
  • make a list and a clear summary of all the issues
  • come along with a range of options to resolve the dispute, realising that you may have to compromise to reach an agreement
  • provide to the conciliator any information they ask
  • discuss any special needs you have with the conciliator (e.g. an interpreter).
The conciliator will contact you before the conciliation to explain the process and answer any questions you have.

Attending a session
Only the people involved in the dispute can attend meetings with the conciliator. However, you may be able to have a support person with you, usually a friend, if the conciliator agrees. In some circumstances a conciliator may also allow an agent to represent you.

If you can't attend a scheduled conciliation session you must let the conciliator know as soon as possible. In exceptional circumstances, the conciliator may arrange another session.

If you are the applicant and don't attend the conciliation session (or make a reasonable attempt to be there) you may not be able to apply for adjudication on that dispute.
A respondent (i.e. the other person in the dispute) who does not make a reasonable attempt to attend may have to repay the applicant's conciliation and adjudication application fees, if the applicant asks the adjudicator for this outcome in an adjudication application.

If you agree
An agreement you and the other party reach will be written up by the conciliator. You and the other party will then sign that agreement.
Conciliation agreements are not enforceable under the Body Corporate and Community Management Act.

Consent orders
If you reach an agreement in the conciliation session, and both parties want the agreement formalised as a consent order (meaning the agreement will be enforceable), the Commissioner must refer the agreement to an adjudicator for a consent order.

The adjudicator may, in his or her discretion, issue a consent order. 

If you don’t agree
You may choose to apply for adjudication if your dispute cannot be resolved by conciliation. You will be charged an adjudication fee.
If you apply for adjudication you will have to abide by the adjudicator’s decision.
Privacy
​Please be aware that we will provide your application to the other party.
Read more about privacy and access to personal information.
​Types of dispute resolution/Adjudication for body corporate disputes
Adjudication is a more formal process than conciliation. An adjudicator makes a decision after considering the application and written submissions from all those affected by the dispute.
​
You can only make an adjudication application if you (as the applicant) have tried self resolution and in most cases attempted conciliation with the Office of the Commissioner for Body Corporate and Community Management (the BCCM office).


Download the adjudication application form.

What disputes can be decided by adjudication
Adjudicators determine disputes that involve claimed contraventions (breaches) of:
  • the Body Corporate and Community Management Act 1997 (PDF, 1.40MB)
or
  • a community management statement for a community titles scheme.

Disputes an adjudicator cannot decide
An adjudicator cannot:
  • resolve questions about title of land
  • decide a dispute about a debt owed to the body corporate.
Decisions about these certain types of complex disputes can only be made by:
  • a specialist adjudicator
or
  • the Queensland Civil and Administrative Tribunal.

The adjudication process

Applying
To apply for adjudication, you must complete the adjudication application form.
You will be asked for more details if your application is not complete, is unclear, or does not meet the requirements of the legislation. Your application could be rejected if you do not provide all the information requested.
You can amend or add to your application after it is lodged. If your amendment is not received before submissions have been sought from others, conditions may be imposed (e.g. you may have to send the amendments to everyone who has been asked to make a submission).

Submissions
The respondent (i.e. the other person in the dispute) and others affected by the dispute will usually be asked to make a written submission.
If invited to make a submission, it is an individual's choice if he or she wants to do so. However, if you choose not to make a submission you need to be aware that this may limit your ability to appeal any order made.
Those invited must make any submissions within a specified timeframe. In some cases, the Commissioner may extend the time limit.
The body corporate, a committee member or anyone who has made a submission may ask for a copy of the application and all submissions. The BCCM Office must charge a legislative fee for the copies and it must be paid by whoever requests them.

Right of reply
You (the applicant) can make a written reply to the submissions. You are the only person who has a right of reply.
Your reply must not bring up any new issues. If it does, your reply might have to be circulated to the others involved for further submissions. This could delay the dispute.

Ways to resolve the dispute
Once the reply period has ended, the Commissioner will decide the best way to resolve the dispute. The most common options include:
  • adjudication
  • conciliation

What the adjudicator considers
When considering a dispute, an adjudicator has the power to:
  • request information (e.g. expert reports)
  • interview the people involved in the dispute (and others if necessary)
  • obtain or inspect body corporate records
  • inspect lots, or common property in a community titles scheme.

The adjudicator will make a formal order deciding the dispute after considering:
  • the application
  • all submissions
  • the reply to submissions
  • any further information the adjudicator has asked for.

Adjudicator’s orders
An adjudicator must decide whether an order should be made. An adjudicator can make an order that is ‘just and equitable’ to resolve the dispute.
For example:
  • declare a committee or general meeting, or a motion at a meeting, void
  • declare a committee or general meeting motion to have passed
  • require a general meeting to be held to deal with specific business
  • declare a by-law invalid
  • require the body corporate or an owner to undertake maintenance
  • require a body corporate to provide access to body corporate records.
An adjudicator can also appoint an administrator with the authority to do the job of a body corporate or committee.

An adjudicator can dismiss an application if it is frivolous, vexatious or without substance. You (the applicant) may have to pay up to $2,000 in costs if your application is dismissed for one of these reasons.
An adjudicator can also dismiss an application for other reasons such as:
  • if they don't have the authority to decide the dispute
  • if the dispute should be decided by a court or tribunal.

Withdrawing an application
If you decide you don’t want to proceed with your application—because the dispute is resolved or for any other reason—you can ask in writing to withdraw the application.
The application fee will not be refunded.

Enforcing an adjudicator’s order
The Magistrates Court can enforce the adjudicator's order.
The court can impose fines of up to $48,000 if you do not comply with an order.

Appealing against an order
You can appeal an adjudicator's order with the Queensland Civil and Administrative Tribunal as per section 289 of the Body Corporate and Community Management Act.
You must start the appeal within 6 weeks from the date of the adjudicator’s order (unless a later start is allowed by the court).

Specialist adjudicators
You can ask for a specialist adjudicator to be appointed to decide a dispute. This can be useful if your dispute is complex or requires expert knowledge.
You and the other people in the dispute must agree on both appointing a specialist adjudicator and who that person will be. You must also agree on how you will pay the costs.

Privacy
Please be aware that we will make your application available to others in the dispute. Some information in your application will also be made public if the adjudicator makes an order.
Read more about privacy and access to personal information.
Types of dispute resolution/Enforcing adjudicators’ orders
An adjudicator has powers under the Body Corporate and Community Management Act 1997 (PDF, 1.4MB) (the Act) to decide disputes about a breach of the Act or the community management statement for a community titles scheme.
An adjudicator is an independent decision maker and their decision is legally binding. Once an order is made it is expected that it will be followed.
Adjudicators' orders can be enforced through the Magistrates Court. Enforcement is not an appeal—it is not a review or re-hearing of the original application.
Neither the adjudicator who made the order nor the Commissioner for Body Corporate and Community Management are involved in proceedings to enforce an order.
Contact the Magistrates Court for more information on the enforcement process.

Starting an enforcement proceeding
If an adjudicator’s order made in your favour is not complied with, you can apply to the Magistrates Court to have the order enforced. For example, an enforcement proceeding to get the person to do the work or pay the money as ordered by the adjudicator.
You can look at sections 286 and 287 of the Act which explain what you need to do to enforce an order in the Magistrates Court. The forms and processes to enforce an order also have to comply with the Uniform Civil Procedure Rules 1999(PDF, 1.9MB) (UCPR).

To start an enforcement proceeding you must give the Magistrates Court registrar both:
  • a copy of the adjudicator’s order, certified by the Commissioner for Body Corporate and Community Management (see below for more information)
  • your sworn statement (DOC, 41KB) that shows how much money you have not been paid or the action required under the order which has not been done.
Once you file these documents with the registrar, the register will then register the order in the Magistrates Court.
After it has been registered with the Magistrates Court, the adjudicator's order can be enforced as if it was a judgement of the court.
Once you have the court's judgement, you can take enforcement proceedings.

Enforcing an order to perform work
If the order required a body corporate, committee, committee member or an owner or occupier to do something, the Magistrates Court may make an order appointing an administrator to do it. See section 287 of the Act for more information.
If you want an administrator appointed, you must give the court the name of a suitable and willing administrator and complete form 9 (DOC, 48KB) of the UCPR.
​

Enforcing an order to pay money
You can apply to the court for:
  • a hearing to find out the financial situation of the debtor (an enforcement hearing)
  • an enforcement warrant to seize and sell property, redirect another debt or redirect earnings of the person
  • an order to require the person to pay by instalments.

Fines
Anyone who does not carry out an adjudicator's order (other than an order for the payment of money) has committed an offence. They can be fined 400 penalty units which is currently in excess of $48,000. They may also have to pay other legal and court costs.

You can look at section 288 of the Act which explains what you need to do to ask a court to impose a fine on the person who has not complied with the order. The form and process to do this has to comply with the Justices Act 1886. The court may then impose a penalty for non-compliance with the order and may also order the person to pay your costs for taking this action.
This is a separate action you can choose to take that is not related to enforcing the order (outlined above).

If you want to ask the Magistrates Court to impose a fine you must be one of the following:
  • an applicant in the original application for the order
  • a respondent in the original application for the order
  • a person in whose favour the order was made
  • the body corporate
  • an administrator appointed to act for the body corporate or the committee.
You must:
  • complete a sworn complaint and summons
  • file the complaint and summons with the Magistrates Court and pay the required fee
  • attend a hearing before a magistrate and provide evidence to show that the person has breached the order.
You should consider getting independent legal advice before you start proceedings. You could be liable for the other person's legal costs if you do not prove why the person should be fined.
The adjudicator who made the order, and the Commissioner for Body Corporate and Community Management, have no role in prosecuting someone for not complying with an order.

Fees
Fees may apply for registering an adjudicator’s order in the Magistrates Court.
Fees may apply for filing a complaint and summons in the Magistrates Court.
Types of dispute resolution/Adjudicators' decisions
Reading a decision that an adjudicator has made in a past case can help you understand how the body corporate legislation is interpreted and applied.
The subject matter or details of a past dispute may not be the same as a situation within your own body corporate. However the adjudicator's decision may give you general information about the dispute resolution process. It will also help you understand how adjudicators make 'just and equitable' decisions when resolving body corporate disputes.
A list of adjudicator's decisions made since 2000 is available online. You can search the online database of decisions by the name of the scheme which was involved in the dispute, the date of the decision, or words in the decision.

Decisions made before August 2008
While adjudicator's decisions made before August 2008 may be relevant they will reference regulation modules made in 1997 rather than the current regulation modules. Also, many sections of the BCCM Act (PDF) were renumbered in March 2003. So decisions made before that date will reference the previous section numbers.
Types of dispute resolution/Search of adjudicators' orders
Body Corporate and Community Management Act 1997.
  • Search fees are:
    • $17.20 if the information is given to the applicant in person and collected (after 1-2 working days) 
    • $20.00 if the information is posted to the applicant (4-5 working days not including Australia Post delivery times) .
    • $25.80 if the information is faxed (after 1-2 working days).
  • The search results cannot be emailed to you.
  • Search fees are exempt from GST.
  • Search fees are non-refundable.
  • Scheme details may be specified in the 'Property Address' section of your contract of sale.
  • It is your responsibility to ensure that the information supplied on this form is complete, accurate and current.
  • Results of the search are based on data-matching the information the applicant provided. It is essential that you provide the full and correct property description.
  • This search does not include any current or resolved conciliation applications lodged in this Office.
Body corporate fees/Fees for body corporate dispute applications
You must pay a fee if you are applying for adjudication and/or conciliation.

We can only process applications if the fee has been paid.
The prescribed application fees for conciliation and adjudication are:
  • $76.50 for a conciliation application
  • $76.50 for an adjudication application (final order only)
  • $160.70 for an adjudication application (interim and final order)
Fees are current as of 1 July 2016. These fees do not include GST.

Inspecting applications and submissions
During the adjudication process an ‘interested person’ can see or get copies of the application, submissions and reply to submissions.

An interested person is usually:
  • an applicant
  • a respondent
  • someone affected by the dispute
  • the body corporate
  • a committee member
  • a person who made a submission in response to the application.

The fees to inspect the application and/or the submissions are:
  • $16.65 per hour or part of an hour
  • $65.40—maximum fee for a day.

​Fees for copies of the application, submissions and the reply to submissions are:
  • $1.90 per page for less than 20 pages
  • $1.55 per page for 20 to 50 pages
  • $1.15 per page for more than 50 pages.
Body corporate fees/Fees for search of adjudicators’ orders
A body corporate dispute may go to adjudication if it cannot be resolved by conciliation or self-resolution.
​To resolve a dispute, an adjudicator makes an order.
​
You can apply to see if any orders (or current adjudication applications) have been made for a particular community titles scheme. This is often done when people are thinking about buying a body corporate property.
There is a fee for a search of orders.

Conciliation applications are not recorded as part of a search for adjudicator’s orders and cannot be searched separately.

Search fees
Fees for a search of orders are:
  • $17.20 if you pick up the search result 
  • $20.00 if the search result is posted to you
  • $25.80 if the search is faxed and posted to you.
Fees are current as at 1 July 2016. You do not have to pay GST.
Body corporate fees/Fees for access to body corporate records
​Body corporate records are not private or confidential.

Section 205 of the Body Corporate and Community Management Act 1997 (PDF, 2.03MB) allows interested persons to see and get copies of body corporate records.

Fees are charged as set by the Act.
The body corporate cannot charge any other costs for giving you the information (e.g. a charge for the body corporate manager’s time).
You must write to the body corporate and ask for documents or an inspection and pay the correct fee. Once you have done this, the body corporate has 7 days to give you copies of the document or allow you to see them.
A committee member is entitled to ‘reasonable access’ to body corporate records without having to pay a fee.

Fees
These fees apply for bodies corporate registered under the:
  • Standard Module
  • Accommodation Module
  • Commercial Module
  • Small Schemes Module.

Fees are current as at 1 July 2016.

Inspect the records
The cost to inspect the records if you:
  • are a lot owner—$16.10
  • are not a lot owner—$30.95.
The law does not give a time limit on how long you can spend viewing the records.

Copies of records
To get copies of body corporate records, the fee is $0.65 a page.
You do not have to pay the inspection fee if you only want to get copies. So if you ask for copies of specific documents, you only pay a fee of $0.65 per page and not the inspection fee of either $16.10 or $30.95 as well.

Information certificates
You can also ask for a body corporate information certificate. The information certificate sets out how much money has to be paid by a particular lot to the body corporate in its current financial year. This includes any amounts due but not paid.
The fee for an information certificate is $59.65.
There is an extra fee of:
  • $15.45 if you want the certificate faxed to you
  • $22.40 priority fee if you want the information certificate within 24 hours.
If you do not get the information certificate within 24 hours the priority fee must be refunded.

Specified Two-lot Schemes
Under the Body Corporate and Community Management (Specified Two-lot Schemes Module) Regulation 2011 (PDF, 559KB) the fees for access to records are different to other schemes.

To inspect the records
The fees to inspect body corporate records if you are:
  • a lot owner
    • no fee for a first request to see the records
    • $16.10 for every other request
  • not a lot owner—$30.95.
Copies of records
​The fee is $0.65 a page for copies of body corporate records.
You do not have to pay the inspection fee if you only want to get copies. So if you ask for copies of specific documents, you only pay a fee of $0.65 per page and not the inspection fee of either $16.10 or $30.95 as well.

Information certificates
​The fee for an information certificate is $59.65.
There is an extra fee of:
  • $15.45 if you want the information certificate faxed to you
  • $22.40 priority fee if you want the information certificate within 24 hours.
If you do not get the information certificate within 24 hours the priority fee must be refunded.
Body corporate fees/Building Units and Group Titles Act fees
Some of the fees that apply under the Building Units and Group Titles Act 1980(PDF, 833KB) (BUGTA) and the Building Units and Group Titles Regulation 2008(PDF, 410KB) are listed on this page.
Referees feesThese fees are paid to the referee in the Office of the Commissioner for Body Corporate and Community Management:
  • $76.50--application for a final order of a referee
  • $160.70--application for interim and final orders of a referee
  • $76.50—notice of appeal against the order of a referee
  • an inquiry (under section 117(1) of BUGTA) about applications for orders of a referee and orders made
    • $17.20—if the reply is collected from our office
    • $20.00—if the reply is posted to you
    • $25.80—if the reply is sent to you by fax.
Fees are current as at 1 July 2016. You do not have to pay GST.
Fee for summons
If there is an appeal against the order of a referee, the tribunal hearing the appeal may summon a person to attend the hearing.
The fee to issue a summons (under section 103(1) of the BUGTA) is $76.50. It must be paid directly to the tribunal.
Fees paid to the body corporateFees for some information and records must be paid directly to your body corporate.
These are:
  • $33.80—information about the name and address of committee members and the body corporate
  • an inspection of records and documents held by the body corporate
    • $17.20—for a proprietor or mortgagee of the lot for which the application is made, or a person authorised in writing by that proprietor or mortgagee
    • $33.80—for a person who has signed a contract of sale or other instrument to purchase the lot for which the application is made
  • $67.65—a certificate about the financial obligations of a lot
    • $91.80—extra fee if the certificate, is provided within 24 hours of the request
    and/or
    • $17.20—extra fee for sending a certificate by fax
  • $0.65 cents a page—copy of the by-laws.
Fees are current as at 1 July 2016.
​Glossary of dispute resolution terms
This glossary explains common terms used in dispute resolution by the Office of the Commissioner for Body Corporate and Community Management (the Commissioner’s Office).

Adjudication
The process of determining an adjudication application. Adjudicators consider written material submitted by parties, and undertake further investigations if required. Adjudication does not involve a hearing.

Adjudicator
A professionally qualified, independent decision-maker who determines adjudication applications under the BCCM Act. In making decisions, adjudicators are not subject to direction (for example, by the Commissioner or Attorney-General).
See also Specialist Adjudicator

Administrator
A person appointed by an adjudicator to undertake specified functions of a body corporate, committee or committee member, such as calling a general meeting of the body corporate.

Affected person
A person named by an applicant as being affected by the outcome sought in a conciliation or adjudication application.

Appeal
An application by a person aggrieved by an order to overturn the order. Adjudicator’s orders can be appealed to QCAT on a question of law and referee’s orders can be appealed to the Magistrates Court. The BCCM Office is not a party to an appeal and has no role in the appeal.

Applicant
A person who applies for conciliation or adjudication under the BCCM Act or for an order of a referee under the BUGT Act.

Application
A request, made in the required form and accompanied by the prescribed fee, for conciliation or for an order of an adjudicator or a referee.

Amendment
A request by an applicant to change or add to their application. Amendments require the approval of the commissioner, which may be subject to conditions if sought after parties have been invited to make submissions.

BCCM Act
Body Corporate and Community Management Act 1997.

BCCM Office
Office of the Commissioner for Body Corporate and Community Management.

Body corporate
The legal entity created when a community titles scheme is established. All lot owners are automatically members of the body corporate. The ‘body corporate’ is different from the ‘committee’ elected to administer it on a day-to-day basis or a ‘body corporate manager’ engaged to assist with administrative duties. Distinct from a ‘body corporate manager’.

Body corporate manager
A manager (individual or a company) may be appointed by a body corporate to provide administrative services (for example, sending out levy and meeting notices). Distinct from a ‘body corporate’.

BUGT Act
Building Units and Group Titles Act 1980.

Case management
The assessment of an application to determine if it meets the requirements of the body corporate legislation, and the management of applications through to their referral to conciliation or adjudication.

Commissioner
Manages the dispute resolution and information services provided by the BCCM Office. The Commissioner makes decisions about the case management of applications under the BCCM Act, but does not consider the merit of an application, make orders, or review orders.

Complex dispute
A dispute which can only be determined by QCAT or a specialist adjudicator. Includes certain disputes about contractual matters and lot entitlement issues.

Conciliation
A process in which the parties to a dispute meet with a conciliator to try and reach agreement on how to resolve the dispute.

Conciliator
An impartial dispute resolution professional who assists parties to resolve their dispute. The conciliator does not decide the merits of a dispute or how to resolve it.

Conciliation agreement
The written document signed by the parties to a conciliation application, detailing the things they have agreed on. It is a good will agreement and is not legally enforceable.

Consent order
An order made in the terms agreed to by the parties. A consent order can be enforced but cannot be appealed.

Declaratory order
An application for an order about an operational matter where there is no dispute and no respondent (e.g., requests to change the financial year end date). A declaratory order is not appropriate where there is a dispute over an issue or an applicant is seeking an interpretation of or a ruling on a legal issue.

Dispute resolution recommendation
A decision of the commissioner or delegate as to how an application should be resolved (e.g. conciliation or adjudication).

Dismissal
A decision of the commissioner or an adjudicator not to decide an application that is within the jurisdiction, on the basis that it would be better determined in a court or tribunal of competent jurisdiction.

Emergency application
An application that can be referred to an adjudicator to determine without the usual submissions process, usually if there is no dispute (eg. if a body corporate seeks urgent authorisation of spending).

Expeditable application
An application for final orders that may be progressed more quickly, either because there is no dispute or because of the urgency of the circumstances.

Extension
Extra time which may be allowed on the due date to provide information, make a submission, or reply to submissions.

Interim order
A temporary order which puts an action on hold or keeps things as they are until a final order can be made about the dispute. Interim orders are distinct from expeditable applications.

Jurisdiction
The legislative power of a conciliator to conciliate an application; or an adjudicator or referee to decide an application.

Order
The written decision of an adjudicator or referee to determine an application, accompanied by a statement of reasons. An order may grant or dismiss the orders sought, or made alternative orders. An order is legally binding and enforceable. It is an offence to contravene an order.
See also Interim order, Declaratory order and Consent order

Parties to a dispute
Those named in an application as being involved in a dispute – the applicant, respondent and affected persons.

QCAT
Queensland Civil and Administrative Tribunal. QCAT determines appeals of adjudicators’ orders and complex disputes, as well as disputes about debts owed by owners to a body corporate.

Referee
A professionally qualified, independent decision-maker who determines applications for orders under the BUGT Act.

Regulation module
Each community titles scheme is registered under one of five regulations (subordinate legislation) made under the BCCM Act which helps determine the procedures applicable to that scheme.

Rejection
A decision of the commissioner to end an application, for example because it is not within jurisdiction, or the applicant has not attempted self-resolution or conciliation, or the applicant has not supplied requested information.

Reply to submissions
A written response made by an applicant to the submissions made about their application.

Respondent
A person named by an applicant as the person against whom the outcome in an application is sought.

Self resolution
Attempts to resolve a dispute before lodging an application. Self-resolution is compulsory for all applications.

Specialist adjudicator
A professionally qualified, independent decision-maker who determines adjudication applications, particularly complex disputes, under the BCCM Act. Appointed by the commissioner at the request and with the agreement of the parties to the dispute.

Submission
Written comments on an application made by a person invited to make a submission. Submissions cannot be confidential.

Withdrawal
A request by an applicant not to proceed with an application. An application must be withdrawn in writing.
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e-Learning topics last updated 30 May 2016 and adapted with modifications from the BCCM Commissioner's Office Website under licence.
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BODY CORPORATE LAW IN QLD 
PRACTICE AND PROCEDURE
​(BCLQ)
By MBCS Director
​​​​Marc J. Mercier
​​​BCLQ is a textbook and practitioner’s reference on the law of Body Corporate in Queensland

Released in April 2018 by Wolters Kluwer CCH
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