Queensland Subordinate Legislation as Made

BODY CORPORATE AND COMMUNITY MANAGEMENT (STANDARD MODULE) REGULATION 2020 - REG 152

152 Termination for failure to comply with remedial action notice

(1) The body corporate may terminate a person’s engagement as a body corporate manager or service contractor if the person, including, if the person is a corporation, a director of the corporation—

(a) engages in misconduct, or is grossly negligent, in carrying out functions required under the engagement; or

(b) fails to carry out duties under the engagement; or

(c) contravenes—

(i) for the body corporate manager—the code of conduct for body corporate managers and caretaking service contractors; or

(ii) for a service contractor who is a caretaking service contractor—the code of conduct for body corporate managers and caretaking service contractors or the code of conduct for letting agents; or

(d) fails to comply with section 154 (2) , 155 (2) or 156 (2) ; or

(e) for a body corporate manager—

(i) commits an offence under section 168 (2) ; or

(ii) if the body corporate manager is acting under a chapter 3 , part 5 engagement—fails to give a report under section 78 .

(2) Also, the body corporate may terminate a person’s authorisation as a letting agent if the person, including, if the person is a corporation, a director of the corporation—

(a) engages in misconduct, or is grossly negligent, in carrying out obligations, if any, under the authorisation; or

(b) fails to carry out duties under the authorisation; or

(c) contravenes the code of conduct for letting agents or, for a caretaking service contractor, the code of conduct for body corporate managers and caretaking service contractors; or

(d) for a caretaking service contractor—fails to comply with section 154 (2) , 155 (2) or 156 (2) .

(3) The body corporate may act under subsection (1) or (2) only if—

(a) the body corporate has given the person a remedial action notice under subsection (4) ; and

(b) the person fails to comply with the remedial action notice within the period stated in the notice; and

(c) the termination is approved by ordinary resolution of the body corporate; and

(d) for the termination of a person’s engagement as a service contractor if the person is a caretaking service contractor, or the termination of a person’s authorisation as a letting agent—the motion to approve the termination is decided by secret ballot.

(4) For subsection (3) , a remedial action notice is a written notice stating each of the following—

(a) that the body corporate believes the person has acted—

(i) for a body corporate manager or a service contractor—in a way mentioned in subsection (1) (a) to (e) ; or

(ii) for a letting agent—in a way mentioned in subsection (2) (a) to (d) ;

(b) details of the action sufficient to identify—

(i) the misconduct or gross negligence the body corporate believes has happened; or

(ii) the duties the body corporate believes have not been carried out; or

(iii) the provision of the code of conduct or this regulation the body corporate believes has been contravened;

(c) that the person must, within the period stated in the notice but not less than 14 days after the notice is given to the person—

(i) remedy the misconduct or gross negligence; or

(ii) carry out the duties; or

(iii) remedy the contravention;

(d) that if the person does not comply with the notice in the period stated, the body corporate may terminate the engagement or authorisation.

(5) Despite subsection (3) (a) , if the person is a body corporate manager acting under a chapter 3 , part 5 engagement, the owners of at least one-half of the lots included in the community titles scheme may, on behalf of the body corporate, give the person a remedial action notice.