STATUTES AMENDMENT (COMMUNITY AND STRATA TITLES) BILL

Committee Stage

In committee (resumed on motion).

Clause 1.

The Hon. J.R. RAU: I can advise the committee that I have had a brief discussion with the member for Bragg and we propose to move quickly through the bill and the government amendments, which I will move as and when they come up. The opposition will consider between the chambers whether there is going to be some prospect of an agreed set of subsequent amendments, or these amendments in another place. I think both the member for Bragg and I have stated our broad positions anyway before so we do not want to occupy too much time in the chamber going through each individual matter.

Clause passed.

Clauses 2 to 16 passed.

Clause 17.

The Hon. J.R. RAU: I move:

Page 9, after line 27 [clause 17, inserted section 78A]—After subsection (2) insert:

(2a) A delegation by a community corporation is to be made by ordinary resolution of the community corporation.

Amendment carried.

The Hon. J.R. RAU: I move:

Page 9, lines 36 to 37 [clause 17, inserted section 78A(4)(c)]—Delete paragraph (c) and substitute:

(c) is—

(i) in a case where there is a contract relating to the delegation between the corporation and a body corporate manager—revoked on termination or expiry of the contract; or

(ii) in any other case—revocably by the corporation at any time by notice given in writing (notwithstanding any agreement to the contrary by the corporation).

Where there is a contract relating to a delegation between a community corporation and a body corporate manager, whether entered into before or after the commencement of this section, the delegation is revoked (a) in accordance with the provisions of the contract or (b) on termination or expiry of the contract.

Amendment carried.

The Hon. J.R. RAU: I move:

Page 10, lines 39 and 40 [clause 17, inserted section 78B(3)(b)]—Delete:

(which must be not more than 2 years)

Amendment carried.

The Hon. J.R. RAU: I move:

Page 10, line 43 [clause 17, inserted section 78B(3)(d)]—Delete 'and section 78A(4)(c)'

Amendment carried.

The Hon. J.R. RAU: I move:

Page 11, lines 9 to 17 [clause 17, inserted section 78B(4)]—Delete subsection (4) and substitute:

(4) Where—

(a) there is a contract in force between a community corporation and a body corporate manager; and

(b) the community corporation has had relevant contractual arrangements with the body corporate manager for a continuous period of at least 12 months,

the community corporation may terminate the contract by written notice given to the body corporate manager at least 28 days (or a lesser period specified in the contract) before the termination of the contract is to come into effect.

(4a) The right of a community corporation to terminate a contract under subsection (4) is in addition to, and does not derogate from, any other right of the community corporation to terminate the contract.

Amendment carried.

The Hon. J.R. RAU: I move:

Page 11, line 19 [clause 17, inserted section 78B(5)]—Delete 'may' and substitute:

is to

Amendment carried.

The Hon. J.R. RAU: I move:

Page 11, after line 38 [clause 17, inserted section 78B]—After subsection (9) insert:

(10) In this section—

relevant contractual arrangements mean contractual arrangements relating to a delegation of functions or powers by a community corporation to a body corporate manager.

Amendment carried.

The Hon. J.R. RAU: I move:

Page 13, lines 1 to 14 [clause 17, inserted section 78D(6)]—Delete subsection (6) and substitute:

(6) If all delegations by a community corporation to a delegate are revoked, the delegate must return to, or make available for collection by, the corporation—

(a) all records of the corporation held by the delegate; and

(b) all trust money held pursuant to the delegations,

in accordance with any requirements prescribed by the regulations.

Maximum penalty: $2,000.

Amendment carried; clause as amended passed.

Clauses 18 to 45 passed.

Clause 46.

The Hon. J.R. RAU: I move:

Page 26, after line 28—After subclause (3) insert:

(3a) Section 3(1)—after the definition of occupier insert:

ordinary resolution of a strata corporation means a resolution passed at a properly convened meeting of the corporation by a simple majority of the votes of unit holders present and voting on the resolution;

Amendment carried; clause as amended passed.

Clauses 47 to 51 passed.

Clause 52.

The Hon. J.R. RAU: I move:

Page 30, after line 1—Insert:

(1) Section 27(2)—delete 'resolution' and substitute:

ordinary resolution

Amendment carried; clause as amended passed.

Clause 53.

The Hon. J.R. RAU: I move:

Page 30, after line 34 [clause 53, inserted section 27A]—After subsection (2) insert:

(2a) A delegation by a strata corporation is to be made by ordinary resolution of the strata corporation.

Amendment carried.

The Hon. J.R. RAU: I move:

Page 31, lines 5 to 6 [clause 53, inserted section 27A(4)(c)]—Delete paragraph (c) and substitute:

(c) is—

(i) in a case where there is a contract relating to the delegation between the corporation and a body corporate manager—revoked on termination or expiry of the contract; or

(ii) in any other case—revocable by the corporation at any time by notice given in writing (notwithstanding any agreement to the contrary by the corporation).

Amendment carried.

The Hon. J.R. RAU: I move:

Page 32, lines 1 and 2 [clause 53, inserted section 27B(3)(b)]—Delete:

'(which must be not more than 2 years)'

Amendment carried.

The Hon. J.R. RAU: I move:

Page 32, line 5 [clause 53, inserted section 27B(3)(d)]—Delete 'and section 27A(4)(c)'

Amendment carried.

The Hon. J.R. RAU: I move:

Page 32, lines 14 to 22 [clause 53, inserted section 27B(4)]—delete subsection (4) and substitute:

(4) Where—

(a) there is a contract in force between a strata corporation and a body corporate manager; and

(b) the strata corporation has had relevant contractual arrangements with the body corporate manager for a continuous period of at least 12 months,

the strata corporation may terminate the contract by written notice given to the body corporate manager at least 28 days (or a lesser period specified in the contract) before the termination of the contract is to come into effect.

(4a) The right of a strata corporation to terminate a contract under subsection (4) is in addition to, and does not derogate from, any other right of the strata corporation to terminate the contract.

Amendment carried.

The Hon. J.R. RAU: I move:

Page 32, line 24 [clause 53, inserted section 27B(5)]—Delete 'may' and substitute 'is to'

Amendment carried.

The Hon. J.R. RAU: I move:

Page 32, after line 42 [clause 53, inserted section 27B]—After subsection (9) insert:

(10) In this section—

relevant contractual arrangements mean contractual arrangements relating to a delegation of functions or powers by a strata corporation to a body corporate manager.

Amendment carried.

The Hon. J.R. RAU: I move:

Page 34, lines 7 to 20 [clause 53, inserted section 27D(6)]—Delete subsection (6) and substitute:

(6) If all delegations by a strata corporation to a delegate are revoked, the delegate must return to, or make available for collection by, the corporation—

(a) all records of the corporation held by the delegate; and

(b) all trust money held pursuant to the delegations,

in accordance with any requirements prescribed by the regulations.

Penalty: Division 7 fine.

Amendment carried; clause as amended passed.

Clauses 54 to 59 passed.

Clause 60.

The Hon. J.R. RAU: I move:

Page 38, after line 45—After subclause (2) insert:

(3) Section 34(8)—delete subsection (8) and substitute:

(8) Except where otherwise provided by this Act or by the articles of a strata corporation, the decisions of the corporation in general meeting will be made by ordinary resolutions.

Amendment carried; clause as amended passed.

Clause 61 passed.

New clause 61A.

The Hon. J.R. RAU: I move:

Page 39, after line 36—Insert:

61A—Amendment of section 35—Management committee

Section 35(1) and (5)—delete 'resolution' wherever occurring and substitute in each case 'ordinary resolution'

New clause inserted.

Clauses 62 to 72 passed.

Schedule 1.

The Hon. J.R. RAU: I move:

Page 43—Lines 23 and 24—Delete 'by the corporation at any time (notwithstanding any agreement to the contrary by the corporation)' and substitute:

as follows:

(a) in a case where there is a contract relating to the delegation between the corporation and a body corporate manager—the delegation is revoked on termination or expiry of the contract;

(b) in any other case—the delegation is revocable by the corporation at any time by notice given in writing (notwithstanding any agreement to the contrary by the corporation).

Amendment carried.

The Hon. J.R. RAU: I move:

Page 43—After line 24—Insert:

(2) In this clause—

body corporate manager means a person who carries on a business, or is an employee in a business, that consists of, or includes, acting as a delegate of community corporations under the Community Titles Act 1996 or of strata corporations under the Strata Titles Act 1988.

Amendment carried; schedule as amended passed.

Title passed.

Bill reported with amendment.

Third Reading

The Hon. J.R. RAU (Enfield—Deputy Premier, Attorney-General, Minister for Justice, Minister for Urban Development, Planning and the City of Adelaide, Minister for Tourism, Minister for Food Marketing) (16:56): With some trepidation, I move:

That this bill be now read a third time.

Bill read a third time and passed.