Page 28 - Tropic Magazine Issue 12

Industry
Advice

Bad body corporate
behaviour

TCM Strata delves into some
common body corporate issues.
While unfortunately there are minimal ‘reasonable’. There are many solicitors who However, the Fair Work Commission
options available for addressing bullying will be able to assist in the wording of the (FWC) has now confirmed that it can hear
behaviour under the Body Corporate and new by-law. If adopted, the Committee will bullying claims involving bodies corporate.
Community Management Act, our team at be able to quantify their determination of If the bullying mostly occurs online, you
TCM Strata has collated information to ‘nuisance’, by assessing the frequency of could ask the police about the penalties for
assist you to develop an approach that is emails and volume of correspondence cyber-bulling. There are laws which apply to
right for you and your scheme. issued by a lot owner. serious online harassment and bullying,
If the person causing a nuisance is on the which can include offensive, menacing or
Seek legal advice Committee, consider calling an harassing behaviour through the use of
We advise you seek legal advice from a Extraordinary General Meeting and technology. Under the Criminal Code Act, it
solicitor who specialises in Body submitting a motion to remove them from is an offence to use the internet, social
Corporate disputes. Legislation office. media or a telephone to menace, harass or
determines that a Strata Manager is to Serious incidents cause offence. The maximum penalty for
remain impartial and therefore is unable If you are experiencing any behaviour that this offence is 3 years imprisonment or a
to mediate. We can certainly provide involves violence or threats of physical fine of more than $30,000.
guidance however and provide you with violence, you should immediately report In summary, take appropriate action before
the necessary tools to achieve a positive this to the police. A Strata Manager holds it escalates, ensure the perpetrator is aware
outcome. no authority to remove a person from a of the consequences and if you witness
Review your by-laws body corporate. bullying behaviour in your body corporate,
Does your Body Corporate have a nuisance You can submit an application for a show your support and send the message
by-law? How is nuisance defined? workplace bullying order. Until recently, that you will not tolerate this type of
Consider submitting a motion that will there has been a perception that bullying behaviour.
incorporate a new by-law that requires claims can only apply to those that are MORE: tcmstrata.com
communications (email and verbal) to be employees in a traditional workplace.

Danny Maher from Fiducia Private Wealth Management
tackles the latest in finance matters.

Switching super news is that the government has I absolutely agree that if you are
In recent weeks, the Royal Commission legislated that penalties and exit fees looking to appoint a financial adviser
into the banks and financial services are to be abolished on all then the ultimate ownership of your
has stolen the headlines with some superannuation funds so David will adviser’s license is a question you
disgraceful corporate behaviour by finally be able to move his money into must ask. In Australia, more than 70
AMP and the advice businesses of the his far more cost-effective and flexible per cent of advisers are licensed
big four banks. This has prompted quite superannuation fund with no penalty. through businesses owned by one of
a bit of concern in the community. These types of funds were sold by all of the big four banks, AMP or IOOF. Some
One of our clients, who we’ll call David, the major insurance companies in the of these make little or no reference to
recently asked whether he should 1980s and 1990s. We would encourage the ultimate ownership.
move his old superannuation policy to everyone who has these older style For example, Hillross and Charter are
his current fund in light of the policies to contact their adviser and both advice brands owned by AMP.
dishonest conduct by AMP executives. look for a more cost-effective Advisers own their own business in
We have been David’s advisers for a alternative. With respect to the many cases but the license and
number of years and have been behaviour of banking executives, approved product list is controlled by
reluctant to move his old policy from particularly AMP’s senior management, AMP. Recent research has shown that
AMP due to excessive penalty fees that it was deplorable and I think we will these businesses implement their
he would incur in the process. The good probably see some serious advice strategies using predominantly
consequences in the coming months. AMP products.
License ownership There are some very good advisers in
In a recent discussion with a colleague some of these businesses but they are
in the accounting profession, I was restricted from what I believe is at
asked for my thoughts about whether times providing the right advice for
advice businesses should disclose the clients.
ultimate ownership of the license they MORE: fiducia.net.au or (07) 4042 4000
operate under.

XX • tropicnow.com.au