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Impediments to Effective Strata Governance

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Abstract

Effective governance is an essential component in the establishment of a successful strata title scheme. This chapter examines the role and influence of developers in the establishment of governance arrangements prior to and following the registration of a strata title scheme in Australia. The chapter examines the rights of the developer in the initial stage of project development and the consequences of such rights for a scheme’s reputation, functionality and viability. Drawing on a case study of strata development in Queensland, the paper identifies common practices that thwart effective governance. The case highlights that poor decision-making from the outset can impose a structure which leads to poor outcomes for the owners’ corporations for many years to come.

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Notes

  1. 1.

    The term bodies corporate is used in this chapter to denote the governing entity of a scheme.

  2. 2.

    Sphere Southport Living [2013] QBCCMCmr 338; Sphere Southport Living [2013] QBCCMCmr 338; Sitting Bear Pty Ltd (receivers and managers appointed) v Body Corporate for Sphere Southport Living CTS 37951 (2014) QCAT (APL 444-13); Sphere Southport Living [2014] QBCCMCmr 186.

  3. 3.

    Queensland Land Registry, Community Management Statements for Sphere Southport Living Community Titles Scheme 37951 dated 2008, 2011 and 2013.

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Legislation

Cases

  • Sphere Southport Living [2013]. QBCCMCmr 338.

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  • Sphere Southport Living [2014]. QBCCMCmr 186.

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  • Sitting Bear Pty Ltd. (receivers and managers appointed) v Body Corporate for Sphere Southport Living CTS 37951 (2014) QCAT (APL 444–13).

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Johnston, N., Too, E. (2018). Impediments to Effective Strata Governance. In: Altmann, E., Gabriel, M. (eds) Multi-Owned Property in the Asia-Pacific Region. Palgrave Macmillan, London. https://doi.org/10.1057/978-1-137-56988-2_4

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  • DOI: https://doi.org/10.1057/978-1-137-56988-2_4

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  • Publisher Name: Palgrave Macmillan, London

  • Print ISBN: 978-1-137-56987-5

  • Online ISBN: 978-1-137-56988-2

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