The Institute of Strata Title Management Agreement 2008 is a currently widely used agreement. An updated version by the new representative body, Strata Community Association Agreement was released in 2012.
- Strata Management Agency Agreement 2012
- Building Management Committee Agency Agreement 2012
- Community Scheme Management Agency Agreement 2012
- Company Title Management Agency Agreement 2012
These new Agency Agreements have involved substantial engagement and input from the Owners Corporation Network of Australia.
Prior to this 2012 agreement was the Institute of Strata Title Management Agreement 2008 (see Section 6Institute of Strata Title Management Agreement). The main changes are:
- Eliminating wording that is already present in the legislation;
- The amendment for the termination clause to comply with the Property Stock and Business Agents ACT 2002 (NSW); and
- A general modernisation and streamlining of the agreements overall.
It is worth considering renegotiating updating to the 2012 agreement and agreeing to a reasonable term because:
- The new agreement has fairer terms and conditions than the older one.
- Many old agreements have a 5% annual price uplift as standard, this means that management fees may have outstripped inflation.
- Most complaints about strata managers are due to a mismatch of expectation and contractual requirement. Rolling on without having a two way conversation about the next period of management is not in anyone's interest.
However this will mean that you will be locked-in again for the minimum term of the new contract rather than the legislated 3 month writing in notice period after the old contract minimum term expires.