Body Corporate and Community Management (Commercial Module) Regulation 2020 (Commercial Module)

INTERIM ORDER - whether to extend an existing interim order - whether to instead appoint an administrator at an interlocutory stage.

1. Duncan Lee of Pinnacle Strata is hereby appointed as administrator for the body corporate for 211 Ron Penhaligon Way Offices CTS 25277, from 31 May 2025 until close of business 20 June 2025, with authority and powers necessary to:
   1. hold the Body Corporate records and facilitate any proper request for access to those records,
   2. chair the extraordinary general meeting presently schedule for 16 June 2025,
   3. hand over the books and records of the Body Corporate to any duly engaged body corporate manager, and
   4. do any other things reasonably arising.
2. In Mr Lee's absence, Lisa Norvock of Pinnacle Strata may act as Mr Lee's delegate.
3. Mr Lee's and his delegate's services may be remunerated at the rate $250.00 including GST per hour.

• [1] These orders and reasons should be read in conjunction with the orders and reasons issued on the application for interim orders in this matter on 9 May 2025.[1]
• [2] On that date, I made the following order (9 May interim order):

Until the earlier of 30 May 2025, or these orders are cancelled, varied or renewed, or a final order is made, the body corporate must keep the body corporate records with the body corporate manager Pinnacle Strata.

• [3] That order was made in response to a concern expressed by the applicant that the body corporate records may be tampered with if not held by an independent party, as they are presently with the outgoing body corporate manager. I noted then, and repeat, that while I have formed no view as to whether tampering would be likely to occur, it is a sufficiently serious matter as to warrant consideration.
• [4] I noted in those reasons that the 9 May interim order was made without the benefit of submissions from the respondent and other parties, because of the urgent circumstances.[2] I also indicated I would subsequently request the Commissioner to invite submissions on the interim order application, with a view to reconsidering my decision.[3]
• [5] I have received such submissions and now reconsider that decision.
• [6] The other parties' submissions were to the effect that, while some parties deny or dispute material allegations in the application and intend to oppose the final orders sought, it is common ground that, due to the mistrust between owners in the scheme, all interests would best be served by Pinnacle Strata remaining in sole possession of the body corporate records.
• [7] It was also commonly requested that the effect of the 9 May interim order be extended beyond 30 May 2025 (coinciding with Pinnacle Strata's proposed end date as the scheme's body corporate manager) as there was no prospect of a new body corporate manager being engaged by that date.
• [8] I was told that Pinnacle Strata agreed to continue to hold the records past that date, for reasonable remuneration, but would not otherwise provide body corporate management services. I presume that last part was to reassure me that the engagement would not contravene section 91(2)(a) of the Body Corporate and Community Management (Commercial Module) Regulation 2020, which requires that a body corporate must pass an ordinary resolution to engage a body corporate manager. I also note that section 14 of the Act defines a body corporate manager simply as someone engaged (other than as an employee) to provide 'administrative services', a term which clearly has fairly broad reach.
• [9] I then wrote to the parties and owners indicating I was open to extending the period for Pinnacle Strata to hold the records, but expressing my concern that, because interested parties are entitled to inspect and get copies of those records, Pinnacle Strata might inadvertently provide body corporate management services in facilitating such a request. I therefore proposed, as a way of dealing with the section 91 restraint, making an interim order appointing Duncan Lee of Pinnacle Strata as an administrator for a limited period and with the limited functions of holding the records and facilitating any request for access to them.
• [10] The applicant then responded with a further suggestion that Mr Lee be appointed on those terms, until 20 June 2025, but also be tasked with chairing an extraordinary general meeting (EGM) on 16 June 2025 at which a proposal to engage a new body corporate manager could be put to owners.
• [11] I put that proposal to the other parties and asked them to respond, by mid-morning today. The proposal received wide support, and no opposition, by the time I directed submissions to be made.
• [12] I am also informed that an EGM is now scheduled for 16 June 2025.
• [13] Mr Lee consents to his appointment on the proposed terms, and informs me that while he does not propose to charge for holding the records, he requests remuneration for services supplied under the appointment at $250.00 including GST per hour. Mr Lee also informs me that he will be overseas and uncontactable for some of that period and, at my invitation, named Lisa Norvock of Pinnacle Strata to act in his stead at that time.
• [14] I will make an order so appointing Mr Lee and allowing him to delegate any such authority to Ms Norvock in his absence.
• [15] Finally, I note that an administrator appointment is not usually made at an interlocutory stage of an application, not least because interim orders generally are designed to do little more than maintain the status quo until a final determination of the issues. However, in circumstances where it is in effect an order requested to be made by consent of the parties, and will undoubtedly assist all parties in avoiding further disputation, I am prepared to make the appointment at this stage.
• [16] The application will now be returned to the Commissioner for case management of the application for final orders.

[1] Published as 211 Ron Penhaligon Way Offices [2025] QBCCMCmr 152

[2] An interim order application may be referred to an adjudicator by the Commissioner without notice to the respondent and affected parties: Act, s. 247

[3] An interim order may be extended, varied, renewed or cancelled by the adjudicator until a final order is made: Act, s. 279(2)