Guide for Strata Council

Understanding Your Legal Obligations as a Strata Council Member

As a strata council member in Western Australia, you have important legal responsibilities under the Strata Titles Act 1985 (STA). Here's what you need to know:

Your Role and Duties

As a council member, you must:

• Act honestly, with loyalty, and in good faith when performing your functions

• Exercise due care, skill, and diligence in carrying out your duties

• Make decisions that benefit all lot owners in the scheme, not just yourself 4

• Avoid using your position for personal gain or to cause detriment to the Strata Company

• Declare any conflicts of interest in writing as soon as you become aware of them
  
  

Compliance with the Strata Titles Act

The STA governs all registered strata properties in WA and covers:

• Subdivision of land by strata titles schemes

• Creation of strata titles

• Governance and operation of strata titles schemes 5
  
  

To stay compliant:

• Familiarize yourself with the key provisions of the STA

• Consult with a strata manager or legal professional when unsure about legal requirements

• Keep up-to-date with any changes to strata laws, such as the reforms that took effect on May 1, 2020 5
  
  

Transparent Record-Keeping

Maintaining transparent records is crucial:

• Keep accurate minutes of general meetings and council meetings

• Maintain financial statements and accounting records

• Preserve notices of meetings and proposed resolutions 1
  
  

Most records must be kept for seven years, and lot owners have the right to request access to these records 1.

FAQs

"Do I need to know all the strata laws?"

While you don't need to memorize every detail, understanding the basics is essential. A competent strata manager can guide you through compliance issues and help interpret complex legal requirements. 5

"What happens if we make a decision that's not legally compliant?"

Non-compliant decisions can be challenged by owners and may lead to disputes or legal action. The State Administrative Tribunal (SAT) can hear and decide cases relating to the Strata Titles Act 2. 

To avoid issues:

• Consult with professionals when making significant decisions

• Ensure all decisions align with the STA and your strata scheme's by-laws

• Document the reasoning behind decisions in meeting minutes
  
  

Remember, as a council member, you play a crucial role in maintaining a well-functioning strata scheme. By understanding and fulfilling your legal obligations, you contribute to a harmonious and well-managed community for all lot owners1.

Citations:

1. https://contessi.com.au/blog/the-strata-council-in-wa-roles-responsibilities-and-impact

2. https://www.sat.justice.wa.gov.au/S/strata_titles.aspx

3. https://www.stratanorth.com.au/nsw-strata-dealing-with-by-law-breaches-in-your-strata-scheme/

4. https://www.landgate.wa.gov.au/siteassets/documents/strata-and-community-titles/strata-titles/learn-about-strata/how-a-strata-scheme-operates---fact-sheet.pdf

5. https://www.landgate.wa.gov.au/strata-and-community-titles/strata-titles/strata-law-and-reform/

6. https://www.klgates.com/Owners-Beware-Consequences-for-Non-Compliance-With-Court--Ordered-Strata-Renewal-Plans-04-09-2020

7. https://www.wagov.pipeline.preproduction.digital.wa.gov.au/system/files/2021-03/LRC-Project-056-Project-Summary.pdf

8. https://mclp.com.au/owners-corporations-decision-when-is-it-unreasonable/

9. https://www.wa.gov.au/government/publications/project-56-the-strata-titles-act