NSW Questions on Liability Concerns

[TAM91]

Hi All,

I am potentially entering into a co-op gym where say 20 people put $1k into an account and that money is used to buy a lease on a garage for a year where we'll set up a gym. The people that pay the money get a key and so far they're allowed to bring 1 person in with them. (at no cost)

My concerns are that there's no insurance. I'm not to worries about potential property damage, more so if someone gets hurt and tries to sue, who is liable? If my name isn't on the lease do I need to worry at all? Is signing a waiver a thing at all? Or is that directly tied to insurance?

Any help would be lovely, also apologies if this was the wrong subforum.

Kind Regards

 

[Rod]

Whose name is on the lease? And what kind of legal entity is the co-op? Partnership, club, company, other? If a club get incorporated.

And take out insurance regardless. You have cause for concern.

 

[TAM91]

Whose name is on the lease? And what kind of legal entity is the co-op? Partnership, club, company, other? If a club get incorporated.

And take out insurance regardless. You have cause for concern.

A few of the people putting in money will be on the lease. I'm not really sure what type of legal entity it is. It's literally 20 mates putting money together to set up somewhere to train together.

I'm just wondering of my only part is putting in money. Is it possible for that alone without having my name on anything to put me in a position that I become liable for anything?

 

[Rod]

Hard to say without seeing the wording of the various agreements. It can be interpreted either way as to your liability. One argument is you are only an investor with rights of use. But if someone is seriously injured your mates' lawyers will be arguing everyone is responsible. Both are valid points of view.

 

[TAM91]

Hard to say without seeing the wording of the various agreements. It can be interpreted either way as to your liability. One argument is you are only an investor with rights of use. But if someone is seriously injured your mates' lawyers will be arguing everyone is responsible. Both are valid points of view.

Thanks mate. That's pretty much what I wanted to know