and possible rectification order process. She gave evidence that there was some money still available for these purposes. A conflict of interest involves a has a personal interest situation where ‘a person in a matter which is the subject of a duty or decision of that Such a person’. conflict needs to be addressed and managed. For directors example, ‘company must not, in any matter falling within the scope of their service, have a personal interest or inconsistent engagement with a third party, except with the company's fully informed consent (the company directors conflict rule)’. Also, not misuse their position to their own or a third possible ‘must party’s advantage, except with the fully informed consent (the profit company’s … and must not the property for their own or a rule)’, ‘misappropriate company’s third benefit (the misappropriation The Corporations Act 2001 party’s rule)’. (Cth) (the Corporations Act) makes provision for disclosure of a ‘material personal in a matter that relates to the affairs of the company and interest’ related matters. Members of an executive committee under the UTM Act are in a similar position to company directors. An executive committee member must comply with the code of conduct set out in schedule 1, part 1.1 of the UTM Act, and this provides in section 8 that executive member must disclose to the ‘an executive committee any conflict of interest the member may have in a matter before the conflict needs to be then addressed and committee’. Any such managed. Certainly in relation to her membership of the executive committee for UP 3411, Ms Domazet appears to have a conflict of interest in considering issues concerning the alleged building defects, that is between her personal interest arising from her relationship with her father, the builder, and her position as a representative of Statehay, of which her father is a shareholder and director, on the one hand, and her duty and responsibility as a member of the executive committee of UP 3411 in making decisions concerning the legitimate complaints against her father, the builder, on the other. This conflict of interest needs to be disclosed, addressed and managed. In relation to the role of Statehay, and Ms Domazet as its representative, as a unit owner at the annual general meeting there is less room for the operation of conflict of interest principles. There is no equivalent of conflict of interest
and possible rectification order process. She gave evidence that there was some money still available for these purposes. A conflict of interest involves a situation where ‘a person has a personal interest in a matter which is the subject of a duty or decision of that person’. Such a conflict needs to be addressed and managed. For example, ‘company directors must not, in any matter falling within the scope of their service, have a personal interest or inconsistent engagement with a third party, except with the company's fully informed consent (the conflict rule)’. Also, company directors ‘must not misuse their position to their own or a third party’s possible advantage, except with the company’s fully informed consent … (the profit rule)’, and must not ‘misappropriate the company’s property for their own or a third party’s benefit (the misappropriation rule)’. The Corporations Act 2001 (Cth) (the Corporations Act) makes provision for disclosure of a ‘material personal interest’ in a matter that relates to the affairs of the company and related matters. Members of an executive committee under the UTM Act are in a similar position to company directors. An executive committee member must comply with the code of conduct set out in schedule 1, part 1.1 of the UTM Act, and this provides in section 8 that ‘an executive member must disclose to the executive committee any conflict of interest the member may have in a matter before the committee’. Any such conflict needs to be then addressed and managed. Certainly in relation to her membership of the executive committee for UP 3411, Ms Domazet appears to have a conflict of interest in considering issues concerning the alleged building defects, that is between her personal interest arising from her relationship with her father, the builder, and her position as a representative of Statehay, of which her father is a shareholder and director, on the one hand, and her duty and responsibility as a member of the executive committee of UP 3411 in making decisions concerning the legitimate complaints against her father, the builder, on the other. This conflict of interest needs to be disclosed, addressed and managed. In relation to the role of Statehay, and Ms Domazet as its representative, as a unit owner at the annual general meeting there is less room for the operation of conflict of interest principles. There is no equivalent of conflict of interest
gracie_v_the_owners_units_plan_3411_ors_unit_titles_2016_acat_3.docx