Monday, May 14, 2012

Is NSW Strata Defective?

Over the last few weeks there's been a bit of press in Sydney about strata building defects and why they are a problem.  The articles have suggested that it's not the developer or builders fault but rather that it is 'ambulance chasing lawyers' who have escalated claims when the situation is not that bad.


I'd expect this from developers and builders.  After all, they are entitled to try to protect themselves in whatever ways they can legitimately get away with.  And, lawyers are a tough bunch that are unlikely to stop representing strata corporations or making defect claims because they get criticised.


But, when the NSW Minister for Fair Trading, the Honourable Anthony Roberts, says the same thing I start to get worried.  He was quoted in this SMH article as saying that lawyers can “find another ambulance to chase” and that “the banquet is over” which is pretty surprising.  


After all you don't have to speak to very many strata owners, committee members or managers to hear them speak about building defects and the challenges they have faced (or are facing) to get them fixed.  Far from being a 'beat up' by lawyers, building defects are very prevalent and a normal part of owning a strata apartment these days.


For example, in 2011 the City Futures Research Centre at UNSW identified that almost half the strata owners and committee members they surveyed reported experiencing building defects in their building and issued this Information Paper about Defects in Strata Schemes. That's a lot of defective buildings and a lot of problems for a lot of people that need fixing.


My worry is that if the NSW Minister responsible for strata buildings actually thinks there isn't a serious problem with apartment building quality and really believes its just litigation focused lawyers, he'll do things to limit legal actions for building defects rather than do things to ensure we get better buildings.  We've seen it happen before.


So, before you join the lawyer bashing bandwagon - remember the defects that lawyer may be litigating about might just be in your building and causing water to flood into your lounge room.


Francesco ...









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