When it comes to strata buildings, there are two words that can turn a minor water issue into a major financial headache: strict liability. Under NSW strata law, strict liability means that your owners corporation is automatically responsible for certain types of damage — particularly water leaks in strata buildings — regardless of who was at fault. This legal reality has caught many committees by surprise, leading to disputes, unexpected costs, and lengthy insurance claims.
In this article, we unpack what strict liability means in the context of strata committee responsibility, explore how it affects your building’s maintenance obligations, and — most importantly — show how CPR’s Scaffold-Free™ remediation systems and SKY-FIMMS™ technology can help you stay compliant, efficient, and in control.
Understanding Strict Liability in Strata Law
What Is Strict Liability in Strata Law?
In simple terms, strict liability means that an owners corporation (the legal entity representing all owners in a strata building) is liable for defects or leaks affecting common property — even if no one was negligent. The key legislation, the Strata Schemes Management Act 2015 (NSW), requires owners corporations to properly maintain and repair common property, and failure to do so can trigger liability for any resulting damage.
If a ceiling leak originates from deteriorating membranes, corroded pipes, or cracked concrete on common property, the committee must act — and pay — whether the problem was foreseeable or not. This applies across all strata leaks liability scenarios.
Why Leaks Are the Most Common Source of Legal Trouble
Water is relentless. Over time, even a small leak can become a costly disaster, especially in multi-storey buildings. The problem is compounded when committees delay repairs or misunderstand their responsibilities. Under strict liability strata law, delays can increase exposure, and insurance may not always cover every cost.
Typical sources of leaks include:
- Damaged roof membranes or flashings
- Failing waterproofing in balconies or planters
- Deteriorating facade joints or window seals
- Cracked concrete or corroded reinforcement
- Blocked or rusted downpipes
Each of these falls under owners corporation liability, not the individual lot owner — even when damage occurs inside a unit.
Your Committee’s Legal and Financial Responsibility
Can a Strata Committee Be Sued for Water Leaks?
Yes. Under NSW strata law, owners corporations can be held legally responsible for water ingress that originates from common property. This means a resident or owner can take legal action to recover losses if their property is damaged by leaks that were preventable or neglected.
In some cases, the strata committee members themselves can face scrutiny if they failed to act on known defects or ignored professional advice. Although committee members are typically indemnified, the emotional and financial strain of defending these claims can be significant.
How Strict Liability Impacts Strata Insurance Claims
While strata insurance can cover water damage, policies often exclude defects caused by poor maintenance or wear and tear. If an insurer determines that the damage resulted from a lack of upkeep, the claim may be denied — leaving the owners corporation to pay for both the repair and the internal damage.
That’s why a proactive maintenance strategy is essential. Preventing leaks is not just about compliance — it’s about protecting your building’s long-term financial health.
How CPR’s Systems Keep You Compliant — and Stress-Free
The Problem: Cost, Disruption, and Uncertainty
Many committees delay addressing facade or waterproofing defects due to fears of cost blowouts, disruption, or distrust of contractors. These fears are valid — the strata industry has long suffered from opaque pricing and poor-quality repairs.
CPR was built to fix this broken system.
The Solution: Scaffold-Free™, Data-Driven, and Fully Transparent
CPR’s Scaffold-Free™ technology replaces traditional scaffolding with a smarter, safer, and quieter system of rope-based and elevated access platforms — including MARS™, PEARS®, and SkyPod®. This approach cuts project costs by up to 30%, shortens timelines, and eliminates the disruption that scaffolding brings to residents’ lives.
But access is only part of the story. With SKY-FIMMS™, CPR delivers quantifiable data and permanent visual proof of every inspection and repair. Each project is mapped, photographed, and logged into a 3D digital record accessible through CPR’s cloud-based client system.
This means for you:
- Certainty, not guesswork
- Fixed-cost, transparent quotes
- Peace of mind that every leak, crack, and patch is tracked and verified
- A permanent record of compliance for future strata audits or legal disputes
The Benefit: Long-Term Protection and Value
CPR’s AssetCare™ program extends your building’s protection beyond remediation. Through ongoing inspections and preservation treatments, your committee receives continuous support to prevent water ingress and degradation — ensuring the multi-decade longevity of your building envelope.
And when you work with CPR, you’re not just hiring contractors — you’re engaging Accredited Service Partners™, trained and certified to deliver consistent quality under our SFS360® and SE2EPC® systems.
These aren’t marketing terms — they’re documented, award-winning methodologies that guarantee peace of mind and compliance under NSW strata law.
Practical Steps for Strata Committees
Step 1: Know What’s Common Property
Under the law, the owners corporation is responsible for all elements that serve more than one lot — including external walls, roofs, balconies, and structural components. Misunderstanding these boundaries is one of the leading causes of insurance disputes.
Step 2: Implement Routine Inspections
Use professional inspections — ideally backed by SKY-FIMMS™ — to create a digital record of your building’s condition. This evidence is invaluable for early detection of leaks and for proving compliance with maintenance obligations.
Step 3: Act Quickly on Water Leaks
When leaks occur, time is your enemy. Early intervention prevents damage from spreading and reduces potential legal exposure.
Step 4: Document Everything
Maintain a digital record of all inspections, repairs, and contractor communications. CPR’s cloud-based system automatically does this for you, offering a complete audit trail that protects your committee if a claim arises.
Step 5: Partner with Transparent Experts
Choose a provider that offers not just technical expertise but also transparency and accountability. With CPR, you get both — through a combination of engineering innovation and ethical practice.
Why Strata Committees Trust CPR
- Over 450 major projects completed across NSW and ACT
- 30+ years of industry experience in high-rise and difficult-access buildings
- Proprietary Scaffold-Free™ systems designed to save money and minimise disruption
- Transparent digital tracking through SKY-FIMMS™
- Long-term protection via AssetCare™
- Award-winning safety and quality frameworks
When you’re managing a building worth millions, strict liability isn’t just a legal concept — it’s a call to action. Every delay, every ignored leak, and every reactive repair increases your exposure.
Ready to Protect Your Building — and Your Committee?
Don’t wait for the next leak to become a legal issue. Book a consultation with CPR today to see how our Scaffold-Free™ technology and SKY-FIMMS™ inspections can give your strata committee the clarity, compliance, and confidence it deserves.
