A strata scheme is a separate legal entity from the lot owners just as BHP is a separate legal entity from the shareholders. A strata scheme can be sued and can sue in its own right independently of the individual lot owners.
The property developer is responsible for the registration of the strata scheme and the setting up of all the Statutory records of the strata scheme as a well as the convening of the First Annual General Meeting
The proper initial setting up of the strata scheme after registration with the Land and Property Information Authority (formerly known as the Land Titles Office) is a critical step in ensuring that the developer is not liable for defects and to ensure that sales go smoothly as the wrong information and defects in the setting up of the statutory records can hold up the settlement of properties for which contracts have been exchanged which costs both time and money.
We work closely with the developer from the initial planning stages through to the registration and convening of the First Annual General Meeting during which time the developer has full responsibility to meet the Statutory compliance matters.
Once the First Annual Meeting has been held the strata scheme becomes completely responsible for its own operations and the executive committee is responsible to ensure the strata scheme is functioning in accordance with the provisions of the Strata Schemes Management Act, 1996.