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Our Owners Corporation which has 19 lots is in the process of signing an agency agreement with a new strata manager (agent).
The draft contract has a clause (clause 6) which sets out the agent’s liability as follows: “The agent is excluded from all liability for any claim, liability or loss arising …. except to the extent …..”
The clause is taken from a document with copyright by Strata Community Australia (NSW) Issue Version 2012.
In the case of a legal dispute could this clause cause the Owners Corporation to be held responsible for any claims, damages etc. by third parties that were contracted to do work etc. , the benefits of which would accrue to the Owners Corporation, irrespective of how diligent the new agency would act?
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