The Unsung Heroes: Understanding the Risks of Being a Trustee

Serving as a trustee is a voluntary role, but it is not a casual one. Trustees help protect the financial health, legal standing and day-to-day stability of the Body Corporate.

Where the risk comes from

Trustees are expected to act in the best interests of the scheme, apply the rules fairly, avoid conflicts of interest, keep proper records and make decisions on reliable information. Poor budgeting, weak levy control, ignored maintenance, incomplete minutes or informal approvals can all create avoidable exposure.

What trustees should insist on

• Clear meeting agendas, resolutions and minutes.
• Monthly financial reports that show arrears, expenditure and budget movement.
• Documented supplier decisions and written approvals.
• Insurance records, claim follow-up and compliance reminders.
• Professional managing-agent support when the issue needs specialist handling.

The best trustees do not try to manage everything alone. They ask questions, keep decisions documented and rely on strong administration to protect the community.