For certain strata schemes, the Owners Corporation may decide to appoint a caretaker to help manage the common areas. While there is no legal requirement to appoint one, caretakers can provide valuable assistance in maintaining and managing a building. Their role is governed by New South Wales legislation.

What Is a Caretaker?

Under Part 40A of the Strata Schemes Management Act 1996, a caretaker is defined as a person who has exclusive possession of a lot or common property and assists with one or more of the following functions:

• Managing common property
• Controlling the use of common property by others
• Maintaining and repairing common property

What Can a Caretaker Do?

Caretakers can liaise with tradespeople and visitors and are responsible for the general maintenance, repair, and upkeep of the common areas. However, caretakers cannot enforce the by-laws of the scheme. Their functions are different from those of a Strata Committee or Strata Manager.

Appointment and Contracts

A caretaker must be appointed in writing. The contract is limited to a maximum of 10 years but can be renewed if both the caretaker and the Owners Corporation agree. Importantly, casual help or committee members performing caretaker-like duties do not qualify as official caretakers under the law.

Resolving Disputes

Disputes between caretakers and the Owners Corporation can be taken to the Consumer, Trader and Tenancy Tribunal. Common issues may include poor performance, excessive charges, or unfair contract terms. The Tribunal has the power to:

• Terminate the agreement
• Order compensation
• Change the terms of the agreement
• Dismiss the application

Why It Matters

Appointing a caretaker can provide practical benefits for maintaining common property, but it also introduces legal obligations and long-term commitments. Understanding the scope of their authority helps ensure smooth operation of the scheme and avoids unnecessary disputes.