The Community Management Statement (CMS) is a document that sets out the rules for living in a body corporate, the development of the body corporate, any common property allocated to individual lots and of course the all important who pays what towards upkeep.
The CMS sets out the name of the body corporate, the regulation module that applies and the real property address of the lots that are contained within that body corporate as well as five schedules – A through E.
SCHEDULE A – is the schedule of lot entitlements.
SCHEDULE B – sets out the development of the scheme land. This only really applies if a body corporate is a standard format plan since with an apartment building its unlikely that new lots will be added.
SCHEDULE C – sets out the by-laws.
SCHEDULE D – sets out the services location diagrams for the scheme, which is a nice neat diagram that shows where the services such as phone, electricity and sewerage lie within the common property.
SCHEDULE E – sets out exclusive use allocations.
Does The Community Management Statement Change?
A CMS is actually designed to make the process of changing details about the body corporate easier and simpler to keep track of.
CMS’s change for a number of different reasons, the most common being the owners vote to do so at a general meeting, usually changing the by-laws. A change of by-laws requires a special resolution and a change of lot entitlements or exclusive use requires a resolution without dissent.
But CMS’s can be recorded for other reasons as well. New lots may be added to the body corporate, and that requires a new CMS. Land may be resumed by the Government who then record a new CMS to record the change. A change can also be ordered by the Adjudicator or the Court.
Do All Body Corporate’s Have A Community Management Statement
Some body corporates are registered under different Acts and they are governed by the Building Unit and Group Titles Act (BUGT Act). The Community Management Statement is a requirement under the BCCM Act 1997 so some body corporates will not have a CMS.
Body corporate’s that were registered prior to 1997 were registered without a CMS. In those days every body corporate was registered with the by-laws set out in the BUGT Act and if they wanted to change them they needed to register a Notification of Change of By-Laws. Amendments to those by-laws were registered in another Notification.
With the passing of the BCCM Act 1997 those older buildings were given a period of time to register a new CMS. Any building without a CMS was generated a standard CMS on 15/7/2000. The by-laws are taken to be those in force on 13/7/2000.
Unless stated otherwise all the information on this website relates to Queensland legislation.
Originally l was told that l didn’t need a Body Corp. set up as Exclusive areas were created.Is this so?
Hi Sue
That’s not enough information for me to answer your question. What are we talking about?
A body corporate is created as part of strata titling, a form of subdivision. If you’re strata titling you create the body corporate by registering a Community Management Statement. The body corporate is what allows the lots to be sold individually.
Exclusive use areas are created when parts of the common property, the property held in trust by the body corporate, is allocated to one lot or another for their exclusive use. If you’re talking about a duplex it’s more effective to allocate the surrounds as part of the lot in a standard format plan than using exclusive use.
I need to get a copy of our Community Management Statement so that I can get a Body Corporate Manager. Do you know how I can get one myself? Also, the previous Body Corporate members have lost the form 8 for 2 of the units, are these recorded anywhere or is there an alternative document I can request?
Hi Tanya
If you’ve lost the CMS and need a new one you will need to buy a copy for the Titles Office. There are several places online you can access at different prices or alternatively I can order a copy for you at a cost of $77.00 (paid upfront).
Copies of the form 8’s are much harder to obtain. Do you have the details of the current owners? If you do then copies might not be too much of a problem. Alternatively you can ask the owners who their Conveyancer was and contact them to see if they have a copy.
If you don’t have the form 8’s and the owner has changed you will need to do a title search of the lot to find the new owners name and contact them by mail.
Hi – Does the CMS that is lodged with the Titles Office need to include all relevant schedules and by laws established by the Body Corporate? Also what happens if a Body Corporate or developer never prepared a CMA in the first place? Thanks for your help.
Hi Sean
From 1997 on a developer could not create a body corporate without registering a Community Management Statement. Older schemes were registered without a CMS and you can read more about them here.
The registered CMS is the scheme’s relevant schedules (A – E) including by-laws (schedule C). A scheme may have additional rules in the form of “house rules” but if they conflict with registered by-laws then the by-laws are what is enforced. Its the same as the legislation trumps registered by-laws, meaning just because a scheme registers a by-law doesn’t mean those by-laws are enforceable.
If the scheme is older it gets a bit more complicated. Have a read of the article and if you have more questions please let me know.
What happens is the first CMS registered has by-laws that are inconsistent with the original development approval?
Hi Kevin
I was unaware the development approval suggested by-laws. Assuming that’s correct it will depend on the by-law and clause in the DA. A body corporate cannot have a by-law that is inconsistent with legislation, or rather they can, but its not enforceable.
In the first instance committee’s enforce by-laws, and if they have no joy, then through Adjudication. Councils enforce DA clause’s. If you wanted to challenge an action as inconsistent with the DA then you’d need to a) report and discuss committee and b) discuss with the Council. They can issue a show cause notice if the breach warrants.
If I want to swap my exclusive use carpark with another lot owner I understand we can sign a re-allocation agreement and give notice of that to the Body Corporate. Does the CMS then have the be changed? If so, who pays for that and do all the owner have to vote at a general meeting to allow it?
Hi Brooke
To swap exclusive use you fill in the re-allocation agreement with the other owner and give to the BC. There is provision in the legislation for that to be binding without needing a motion at general meeting.
Yes the re-allocation will need to be registered in a new CMS. The cost should be borne by the owners who require the change to be registered. In practice I think a lot of people wait until the CMS has to be changed for something else and then do a whole lot at once. Its not strictly lawful but cheaper for everyone. Discuss with your BCM to see how they choose to handle things.
Hello , where do I find the re-allocation agreement and also do you know if the CMS changes need to be done through a lawyer or can the body corporate make the changes and Lodge it themselves.
Thanks Ray
Hi Ray
There is no proforma re-allocation agreement that I’m aware of. The ones I’ve seen are as simple as a letter.
The CMS can be done by the body corporate and lodged themselves. There is no requirement for it to be done by a Solicitor. The problem is going to be getting someone to do it. Most body corporate managers wouldn’t touch the idea as it will open them up to legal risk.
Hi Lisa, Would a Community Management Statement have details who is responsible for the repair of wall cladding in Lot owners private yards in a townhouse complex under a standard module and a BFP ? I have a Survey plan showing each separate lot , also total lot area for each house and private yard of the five townhouses. We are five separate lots with a common property which is driveway area. The date on the plan is 9/3/2000. I don’t know if CMS statements would cover this. I just got a Registration Confirmation Statement. When I bought my townhouse. I have spent hours checking but seem to be going round in circles. With thanks for any information. Doris
Hi Doris
The CMS may have some details regarding who’s responsible. It is most likely going to be the lot owner. If the area in question is a private courtyard then its either part of the lot, and lot owner responsibility, or exclusive use area for the lot. If its exclusive use you’ll need to refer to the terms of the exclusive use allocation in the CMS. Its most likely that the lot owner will be responsible since the area is for your exclusive use.
Hi Lisa, What do you do when your body corporate treasurer and secretary ignore the community management statement.We have a clause in ours that states lot 3 the local caravan park is responsible for the maintenance of all utilities.Our treasurer is the old caravan park owner and the secretary is the new caravan park owner.I have beyond reasonable proof of this occurring often and believe I am a victim of false advertising.
Hi Malcolm
There are a few things that could be happening here. Firstly, by-laws as set out in your Community Management Statement should be obeyed by the lots. So if it states that lot 3 must maintain all utilities (not sure what you mean here) then is should be obeyed, IF the by-law is actually enforceable. For instance a by-law could state “no one driving a ford ute is allowed to own a lot in the scheme”. This would be discriminatory under other Australian legislation and is therefore unenforceable.
I’m not sure what you mean by “maintenance of utilities” but if this is something that relates to all lots then it could be asking one owner to carry out works would not be enforceable. My intention here is to get you thinking that there may be a valid reason for what’s being done. Its best to keep an open mind when dealing with disputes.
Equally, it is possible your scheme is not doing what its supposed to do in terms of valid by-laws. If that is the case, and you have evidence to prove, you have a dispute and you should follow the dispute resolution process. First you must try and self resolved. This could be done by submitting a motion to committee that the by-law in question be followed. If nothing further happens you, as an owner, can issue the body corporate with a breach notice that they are not enforcing by-laws. If that fails then you make seek an Adjudicators Order that they do what is required. Please note it would be legal action and there is no guarantee of success.
Hi Lisa, We have a Community Management Statement .we are a Standard Module and A Building Format Plan . On our site plan it states for every townhouse : Private Court Yard. At the end of the By Laws on the CMS . We have Exclusive Use. 12. Exclusive usemay be allocated by a person (who may be the original owner or the original owner or the original owner’s agent) authorised under the by -law to make the allocation (an authorised allocation). Under this is : Similar maintenance and colour scheme. 13. The occupier of a lot who is responsible for the maintenance of the external walls and structures shall maintain the same in a similar condition as the other walls and structures and use the same colour scheme and ensure a similar standard of workmanship. I understand this to mean each owner is responsible for our wall cladding and possibly the wall structure in our own private court yards. I have been in touch with Justices Department and their Adjudicators in cases as ours have found that it is the responsibility of each owner for their own townhouse repair in private court yards. However, our Management Company don’t agree, and other owners in the complex don’t agree with Adjudicator. I am the only one who says we are responsible for any repair to our wall cladding in our own town house private court yards. It is complicated and Iwonder what to do in this situation as I feel clause 13 in our CMS makes it clear it is each owner’s responsibility for our walls in Private Court Yard. Would be grateful Lisa for your thoughts on this. I also understand Body Corporate money is for common property by the law. With thanks for any l information you can give. Doris.
Hi Doris
I agree with you: seems clear to me that the owner is responsible for maintenance of walls in the exclusive use area.
If the body corporate tries to pay for works to someones courtyard you may lodge an Adjudication Application seeking an order that the works should not be completed as the matter is not body corporate responsibility. Presumably then an Adjudicator would decide based on the facts of the case.
Hi Lisa
I am glad that you have put in the effort that is needed good job