Contractors
Engaging contractors, committee approval, payment and contractor disputes.
Contractors Questions
Yes — within limits. The committee has authority to engage contractors for maintenance and repairs to common property without calling a general meeting, provided the cost falls within the committee's approved spending limit. For routine maintenance (garden services, cleaning, pool maintenance) the committee can engage contractors under ongoing service agreements. For one-off repairs, the committee can approve spending up to its limit per item. Expenditure above the spending limit — other than genuine emergency repairs — must be approved at a general meeting. For larger or more complex works, the committee should also obtain multiple quotes and follow good procurement practice before engaging a contractor, even if the cost is within its limit. This article is general information only and not legal advice.
Full answer →If a contractor is injured on common property, several legal frameworks apply: **Body corporate insurance:** The body corporate's public liability insurance should respond to compensation claims arising from the injury. **Work Health and Safety Act 2011 (Qld):** The body corporate has obligations as a person conducting a business or undertaking (PCBU). This includes taking reasonable steps to ensure contractors can work safely — providing a safe work area and not directing unsafe work. **Contractor's own insurance:** The contractor should hold workers compensation insurance covering their employees, and their own public liability insurance. Before engaging contractors, always verify they hold current public liability and (where applicable) workers compensation insurance. Keep copies of certificates of currency. Engaging uninsured contractors leaves the body corporate exposed to significant liability. This article is general information only and not legal advice.
Full answer →No — not without the body corporate's approval. Common property is collectively owned, and the body corporate is solely responsible for arranging its maintenance and repair. An individual lot owner cannot appoint or pay a contractor to work on common property without the committee's prior agreement. If you have reported a maintenance issue and the body corporate is not acting: 1. Follow up in writing and set a reasonable deadline 2. Escalate to the Commissioner's office if still no response The exception is a genuine emergency — where there is immediate risk of serious damage or injury and the committee genuinely cannot be contacted in time. In that scenario, arrange the minimum necessary emergency work, notify the body corporate immediately in writing, and keep all documentation for reimbursement. Undertaking unauthorised work on common property can make you personally liable for the cost and any resulting damage. This article is general information only and not legal advice.
Full answer →Yes, where a licence is required by Queensland law for the type of work being performed. Licensed trades in Queensland include: - Electrical work (licensed electrician required) - Plumbing and drainage (licensed plumber) - Building and construction work above certain thresholds (QBCC licence) - Pest control (licensed pest manager) - Asbestos removal (licensed asbestos removalist) The body corporate (or its manager) should verify that any contractor holds a current and appropriate Queensland Building and Construction Commission (QBCC) licence before work commences. Engaging an unlicensed contractor for licensed work is an offence, may void the body corporate's insurance, and can leave the body corporate with no legal recourse if the work is defective. Licence currency can be verified on the QBCC website. This article is general information only and not legal advice.
Full answer →The committee's spending limit is set by the body corporate at the AGM and determines the maximum the committee can authorise for a single item of expenditure without going to a general meeting. Key rules: - The limit applies per item — not per year - Splitting a single job into smaller amounts to avoid the limit is not permitted - For emergency repairs necessary to prevent serious damage or injury, the committee can exceed the limit — but must report the expenditure to owners as soon as practicable - Limits are typically separate for administrative fund and sinking fund spending If the body corporate does not set a limit at the AGM, a default limit applies under the relevant module regulation. For significant works, the committee should consider bringing the matter to a general meeting for owner approval regardless of whether the cost is within its limit. This article is general information only and not legal advice.
Full answer →Before engaging any contractor to work on common property, the body corporate should verify that the contractor holds current and adequate insurance: **Public liability insurance** — minimum $10–20 million is standard for commercial contractors. This covers third-party injury or property damage claims arising from their work. **Workers compensation insurance** — required if the contractor has employees. Covers the contractor's workers if injured on the job. **Professional indemnity insurance** — relevant for consultants, engineers, and building managers who provide advice. **QBCC home warranty insurance** — applies to certain building work over prescribed thresholds, providing a warranty to the body corporate if the contractor fails to complete or rectify defective work. Ask for a certificate of currency (not just a policy number) and check the expiry date. Keep copies in the body corporate's records. This article is general information only and not legal advice.
Full answer →For significant expenditure on common property maintenance or improvements, follow this process: 1. **Define the scope of work clearly** — get a building consultant or engineer to specify the work if it is complex 2. **Obtain at least 2–3 independent quotes** from qualified, licensed contractors 3. **Ensure all quotes are for the same scope** — you cannot compare quotes that cover different work 4. **Check each contractor's licence and insurance** before inviting them to quote 5. **Assess on value, not just price** — consider experience, references, programme, and warranty 6. **Present to the committee or general meeting** for approval before committing For spending that exceeds the committee's limit, the quotes and recommendation must go to a general meeting for owner approval. Document the entire process — if any owner later challenges the expenditure, records of the quote process demonstrate proper governance. This article is general information only and not legal advice.
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