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Regulations of the Owners Corporation
01/10/2010
When you buy strata title property you automatically become a member of the Owners Corporation (or the Body Corporate).
The Owners Corporation has regulations, known as ‘by-laws’, which owners and occupiers must abide by.
By-laws relate to things like the behaviour of residents, and how common property may be used. For example, they might set out how garbage is to be disposed of, whether pets are allowed, parking restrictions, and landscaping guidelines. By-laws are enforceable by law.
All members (owners) are required to pay levies to the Owners Corporation, known as the ‘sinking fund’, to cover maintenance and repairs of common property.
The Owners Corporation meets at least once a year for an Annual General Meeting (AGM). There are specific rules for how these meetings must be carried out, and how owners can put motions on the agenda for discussion and voting. Minutes must be taken, and a copy of the financial statements for the year (ie. what money was received and spent) provided.
An Executive Committee (EC) is appointed at the AGM, which typically includes a Chairperson to preside over meetings, a Secretary to take minutes, and a Treasurer. The EC oversees the day-to-day administrative issues that don’t require owner involvement, such as organising the repair of a broken lift.
Often though, a Strata Managing Agent is appointed (particularly when there are many owners), who acts as the Chairperson, and looks after the accounting, compliance and legal side of things for the Owners Corporation.
An Extraordinary General Meeting (EGM) may be called if there is something specific to discuss and vote on before the next AGM. For example, an owner may wish to propose having a by-law amended or added, or to renovate their unit, requiring the permission of the Owners Corporation.
Watson and Watson strata lawyers can assist owners, Strata managers and Executive Committees to understand the law and resolve Owners Corporation disputes. We can advice you about compliance issues, such as regulations regarding AGM’s and EGM’s.
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19/12/2017From 30 November 2016 there has been a change in the strata law with the introduction of the Strata Schemes Development Act 2015. This act refers to the obligations and processes that apply in relation to strata renewal process, by way of collective sale or redevelopment of the strata.Read more...
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07/09/2017Watson & Watson commercial litigation Solicitors, in particular in relation to building defects, building disputes and building issues are experienced and can provide you with cost efficient advice.Read more...
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12/07/2017A recent Supreme Court case highlighted a difficulty for Owners Corporations which bring cases against Builders or other parties. The recent case of the Owners Corporation – Strata Plan 64415 v Serman decided that it was possible that a Defendant to a claim bought by an Owners Corporation may obtain in the appropriate circumstances, an order that the Owners Corporation provide security for costs as a precondition of the Owners Corporation proceeding with its case.Read more...
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05/07/2017Generally, the Owner’s Corporation enforces breaches of the by-laws by an individual lot owner in the strata scheme.Read more...
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09/06/2017The model rules on keeping of pets provide as a first option that it is possible for owners or occupiers of lots to keep animals so long as those owners or occupiers give written notice of their intention and they make sure the animal stays within the lot, is supervised on common property and the owner cleans up common property areas if required.Read more...
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06/06/2017In late 2016, the NSW government introduced new laws regarding smoking. The laws allow a strata scheme to adopt new “model rules” covering these topics.Read more...
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17/03/2017Recent Amendments from December 2016 makes it easier for Lot Owners to recover losses due to failure by Owners Corporation.Read more...
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21/02/2017There have been very extensive changes to the Strata Laws as from 30 November 2016.Read more...
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28/07/2016In the decision of Thadani the Owners Corporation Strata Plan 46619 [2015] NSW CATCD 153 Senior Member Meadows ordered that the Respondent the Strata Owners Corporation pay a pecuniary penalty in the amount $5,000. The Owners Corporation had failed to comply with an Order made against it to correct a Building Defect to the common property causing damage to an individual lot.Read more...
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21/07/2016The rules and legislation governing strata law provide that in some cases, a Lot Owner can request that a Compulsory Strata Manager be appointed to a Strata Scheme. In order to have such a manager appointed, one must make an application to the New South Wales Civil and Administrative Tribunal (“NCAT”).Read more...
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14/07/2016Often we at Watson & Watson experienced Strata Lawyers receive enquiries from Owners within a Strata Plan, the Owners Corporation or Strata Managers as to what can be done when the Owners Corporation is not functioning properly.Read more...
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07/07/2016Owners of Lots in Strata Schemes often want to carry out work on their unit or townhouse. This article concerns the approvals required to carry out the work.Read more...
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New Law Governing Unfair Contract terms relating to Builders between Businesses and Small Businesses20/04/2016The Federal Government recently passed changes to the Law which may affect Building Contracts, with those changes scheduled to commence in November 2016.Read more...
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21/12/2015Strata laws were first introduced in New South Wales in the 1960s and now most units and townhouses or other community accommodation are Strata and are subject to the Strata Schemes Management Act 1996 as is amended from time to time.Read more...
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14/12/2015Liability not limited to cost of repair Lot Owner may have claim for losses.Read more...
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01/12/2015Right to appoint Strata Manager in place of the Executive Committee and Owners Corporation - Section 162 Strata Schemes Management Act 1996.Read more...
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10/08/2015Attached is a letter from the Department of Fair Trading to the Principal, Richard Watson seeking his views on the drafting of the Strata Schemes Development Bill 2015 and Strata Schemes Management Bill 2015 before they are introduced into the NSW Parliament. If you wish to make any Submissions in respect of these Bills, you should send your Submissons to policy@finance.nsw.gov.au by 12 August 2015.”Read more...
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01/11/2010Watson & Watson strata lawyers can help the owners of strata lots and Owners Corporations and executive committees resolve disputes involving defective building works by the original developer or other building contractors including disputes with builders, subcontractors, consultants, architects and engineers where the building work is faulty either by way of faulty work or faulty material or inappropriate design and other related issues.Read more...
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03/10/2010Watson & Watson’s building and construction lawyers have many years of experience resolving building disputes, including those relating to work undertaken within a Strata Scheme.Read more...
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30/09/2010“Some small light has been shed on the whether legal costs can be included in a suit by an owners corporation for strata dues.” “An owners corporation should include in any action for contributions an amount for costs…and should be ready ay any contested hearing to provide an estimate of its costs…”Read more...
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20/09/2010A Section 109 Certificate is a certificate issued by the Owners Corporation of a Strata Scheme, containing detailed financial information about a specific ‘lot’, and information about the management of the scheme.Read more...
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01/09/2010Watson & Watson have lawyers experienced with strata titles and other multi ownership of property such as company titles with over 20 years experience handling strata matters, ranging from those that arise within residential strata schemes, commercial strata schemes and industrial strata schemes and company title ownership. Watson & Watson act for Owners Corporations, Strata Managers, strata title property owners, and developers of strata properties.Read more...
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