An Owners Corporation (formerly known as a Body Corporate) is the collective name given to lot owners within a development that has common property. That is a property that all owners have the right to use, such as; a lift, driveway, swimming pool, tennis court, or community garden.
As a Lot Owner and Member of the Owners Corporation, you have benefits as well as legal and financial responsibilities to the Owners Corporation (other lot owners). You are entitled to:
- The right to use common property.
- Attend and vote at an Annual General Meeting (AGM) or Special General Meeting (SGM).
- Become an Owners Corporation committee member.
You are responsible for:
- Payment of Owners Corporation Contributions (fees).
- Complying with the Rules of Use, Owners Corporation Rules, Design Guidelines, the Owners Corporation Act 2006 and Owners Corporation Regulations 2007.
Owners Corporations are required to have rules for the management, use, and enjoyment of the shared property and of owner lots. These rules can be established by the Owners Corporation themselves to suit their particular requirements. Alternatively, the Owners Corporation can follow a set of rules which are the Owners Corporations Regulations 2007.
OWNERS CORPORATION CERTIFICATE
An owner’s corporation is required to keep records under the Owners Corporations Act 2006 and other laws, such as Commonwealth taxation laws and the Building Act 1993.
An owner’s corporation certificate is required to be attached to the Section 32 statement of the contract of sale. All Owners Corporations in Victoria are required to prepare and supply a certificate within ten business days to anyone who applies in writing and pays the relevant maximum fee for each certificate and is available through our search system.
What an owners corporation certificate must include
The certificate must include:
- current quarterly or annual fees for the lot
- the date to which fees have been paid
- total unpaid fees or charges for the lot
- the date that special fees or levies were approved and the due date for payment
- details of repairs, maintenance or other work that may incur extra charges to those already budgeted or approved
- details of insurance cover
- whether the owners corporation has resolved that members may arrange their own insurance and the date of this decision
- a total of funds held by the owners corporation
- whether the owners corporation has any other liabilities in addition to those listed above, and the details of those liabilities
- details of any contracts, leases, licences or agreements affecting the common property
- details of any agreements to provide services to lot owners, occupiers or the public
- details of any outstanding notices or orders served on the owners corporation in the past 12 months
- details of any legal proceedings involving the owners corporation and any circumstances likely to lead to proceedings
- whether the owners corporation has appointed or has resolved to appoint a manager and, if so, the name and address of the manager
- whether an administrator has been proposed or appointed for the owners corporation.