The NSW Court of Appeal has handed down the most important decision concerning building defects in many years.

This decision means that builders and developers can be held liable for design defects.

This is a positive decision for owners corporations as it extends the scope of the statutory warranties concerning the quality of residential building work that is given by builders and developers to owners corporations under the home building legislation.

The case concerned defective residential building work that was undertaken to convert a warehouse complex originally built in 1928 into a mixed use strata development in Camperdown, Sydney.

So, what was the case about? Building Defects Case Important Decision

For NSW levy collection or strata legal advice please contact us here or call 02 9562 1266, we’re happy to assist.

Thanks strata for attending our recent forum. In the busy and hectic world of strata, we appreciate you taking the time and effort to join us.

We hope you enjoyed the forum as much as we did presenting and sharing our knowledge.

As promised, please find below copies of all presentations and papers.

If there is anything we can assist you with please do not hesitate to contact us here or one of our lawyers below.

How have the New Laws Shaped Up?

Warwick van Ede 
The Dawn of a New Era  I  Strata Renewals  and Collective Sales  Presentation and  Paper

Daniela Terruso 
How to Avoid the Pitfalls and Correct the Mistakes  I  By-law Reviews  Presentation and Paper

Faiyaaz Shafiq
The New Procedures and Traps for Young Players  I   Levy Recovery  Presentation and Paper

Adrian Mueller
Goodbye, Thoo  I  Novel Compensation Claims Against Owners Corporations Presentation and Paper

Adrian Mueller
How to Make You Look Good  I  The 5 Most Useful By-laws Presentation and Paper

Helen Amanatiadis
The New Regime  I  Building Bonds and Inspection Reports  Presentation and Paper

Adrian Mueller
The Good, Bad and Ugly  I  The New Strata Laws Presentation and Paper

For NSW strata legal or levy collection advice please contact us here or call 02 9562 1266, we’re happy to assist.

We’ve been receiving a few enquiries in regards to the rules for levy recovery and payment plans under the new strata legislation.

You may recall late 2016 the new laws came into play giving lot owners the specific right to request an owners corporation to agree to a payment plan for any levies in arrears.

However, before a levy recovery payment plan can be put into place,  the owners corporation must accept the payment plan at a general meeting.

Therefore any lot owner who wants to pay their levies by instalments through a payment plan has to do the following:

1. Make a request (supported by owners who hold at least 25% of the unit entitlements) to the owners corporation to hold an EGM at which the owners corporation will consider the request of the lot owner to enter into a payment plan.
2. Pay the costs of holding the EGM at which the owner wants the payment plan to be approved.
3. Explain to the owners corporation why the payment plan should be approved to convince other owners why they should be given more time to pay their levies.
4. Have the payment plan approved at the EGM or alternatively, wait until the AGM for the plan to be approved.

Important

It’s important to note that by holding an EGM it is not guaranteed that the request for the payment plan will be approved as the entry into a payment plan is a discretionary matter for the owners corporation and it is not a mandatory requirement that such a plan has to be accepted.

Conversely, an owners corporation in a deserving and genuine case may decide to accept a request for a payment plan provided the owners corporation is of the view that the plan is likely to be adhered to and is fair and reasonable.

If a request for a payment plan is refused the lot owner may decide to take legal action in NCAT to ask for more time to pay their levies (but this would be unusual) or seek orders from the Local Court to permit the levies to be paid by instalments.

Any payment plan approved by an owners corporation cannot extend beyond 12 months and still does not prevent the owners corporation taking legal action against the lot owner to recover overdue levies.

For the full details of the new levy collection laws read our paper – Levy Collection New Laws

For NSW levy collection or strata legal advice please contact us here or call 02 9562 1266, we’re happy to assist.

JS Mueller & Co has been serving the strata industry for almost four decades, since 1979, and as our business grows, so does our team of strata experts. As such, we’re proud to announce the addition of three new strata lawyers to our team.

Adrian Mueller partner JS Mueller & Co said “our team of strata lawyers is growing fast and we pride ourselves on recruiting experts with the right mix of experience and knowledge helping us to continue to expand our presence as a leader in the strata industry. We’d also like to thank our existing clients for their ongoing support.”

“In my 40 years as senior partner of our firm I have not experienced a team of lawyers as proficient as the team we have today. I am proud that we are able to provide unparalleled service to our clients from the best strata lawyers in NSW”, said Jeffrey Mueller.

Please join us in giving a warm welcome to our newest team members.

Warwick VanEde I Lawyer I 28 Years I Strata Law I Property Law I Litigation
Warwick is a NSW Law Society Accredited Specialist in property law who has significant experience advising on strata and community title developments. He has a focus on providing assistance to developers and owners corporations including drafting by-laws, community and strata management statements, conveyancing and all aspects of strata law. He is also an accomplished litigator having appeared as advocate in most senior courts in NSW. Full profile.

Helen Amanatiadis I Lawyer I 20 Years I Strata Law I Property Law I Litigation I Construction
Helen has extensive experience acting for owners corporations, particularly in relation to construction related matters. Her experience includes building contract negotiations, preparing payment schedules and adjudication responses in security of payment claims by contractors against owners corporations, and acting in building contract and defects disputes. Helen also advises on insurance claims, easements, compulsory acquisitions, strata disputes and by-laws. Full profile.

Daniela Terruso I Lawyer I 15 Years I Strata Law I Property Law
Daniela has significant experience in providing legal services to owners corporations and developers in a wide variety of areas. Her background includes working on the acquisition of development sites and preparation of off the plan contracts, by-laws and management statements for vacant land, housing and strata and community title developments. Daniela also specialises in drafting complex by-laws. Full profile.

Our Team
We are continuing to build our team. In our view, there is no substitute for experience and that is why we have assembled a team of lawyers that have real expertise in strata law. As our firm further grows, you can expect that we will continue to keep you up to date with all of the latest developments in strata law.

If you are interested in working for JS Mueller & Co Lawyers please send us a covering letter and resume.

For NSW strata legal or levy collection advice contact us here or call 02 9562 1266, we’re happy to assist.

Did you know a person involved in a strata dispute in NCAT must get permission from NCAT to be represented by a strata lawyer?

Under the previous legislation, legal representation at NCAT was allowed. However, all of that changed with the introduction in 2014 of the NCAT and in 2016 the Strata Schemes Management Act 2015.

This has created problems and questions for many owners corporations which require legal representation in NCAT such as:

• When and will NCAT grant permission for a party to be represented by a lawyer?
• What happens if NCAT refuses to allow a strata lawyer to represent an owners corporation – who will present the owners corporation’s case?
• Can the strata lawyer still help if they cannot provide representation at NCAT?

So, what role can a strata lawyer for an owners corporation play when NCAT does not allow the lawyer to represent the owners corporation?  What is The Right to Strata Legal Representation in NCAT?

For NSW strata legal or levy collection advice contact us here or call 02 9562 1266, we’re happy to assist.

Must strata lot owners pay, as part of their levies, maintenance of the common property they do not use?

Are all strata owners responsible for paying for the maintenance of every part of the common property even if some owners cannot or do not use part of the common areas?

Is it possible for an owners corporation to raise a differential contribution that is levied on some but not all owners or is levied in shares that are not proportional to the unit entitlements of the lots?

Here are some typical examples where owners often query if they should pay for maintenance of these areas:

• A strata scheme that contains multiple stages – should they pay for stage 2 if they’re in stage 1?
• The owner of a ground floor lot who does not use a lift servicing the upper levels of the building
• The owner who does not use recreational facilities such as a swimming pool, gym or tennis court

Are these exceptions or are common areas in strata residential blocks treated as a whole?

Read this paper to find out the true position – Common Property Use and Differential Levies in Strata Blocks

For NSW strata legal or levy collection advice contact us here or call 02 9562 1266, we’re happy to assist.

Illegally parked vehicles taking up visitor parking spaces in strata blocks are becoming more and more of an issue as the Sydney community grows and creates more demand for parking. 

It’s reported that residents and non-residents are taking up visitor car parking with their extra cars, strangers dumping unregistered vehicles and apartments near major centres or transport hubs being targeted by commuters, all ignoring the rules and causing grief across Sydney’s high-rise strata communities.

So, what can be done?

Are owners corporations powerless to remove illegally parked vehicles from visitor parking spaces in strata blocks? A recent article in SMH Domain suggests this is the case.

But what is the true position? Download to find out what can be done about Illegally Parked Vehicles in Strata. 

For NSW strata legal or levy collection advice contact us here or call 02 9562 1266, we’re happy to assist.

It is anticipated that mid 2018 changes to the NSW property licensing laws are planned to take effect, subject to NSW parliament approval, which means changes for some strata managers.

The new NSW property licensing laws have been designed to increase consumer protection measures and will include the improvement of entry requirements for the real estate and property industry, including strata managers.

The main reasons for these changes are to:

• Provide a clearer career progression for real estate and property industry professionals
• Avoid start-up companies by individuals with no experience
• Reduce the risk of misappropriation of trust funds

Strata managers who currently hold a licence will still hold a licence under the new legislation.

Post introduction of the new laws, to obtain a licence in NSW will require strata managers to have 12 months’ experience working in strata. Currently, there is no strata experience required.

Continuing Professional Development (CPD) will also change to ‘hourly’ rather than a ‘points’ based system.

In summary, NSW property owners can rely on the fact that every strata manager in NSW will have a strata property manager licence within four years of the new legislation coming into force.

For further information on these proposed changes please refer to NSW Fair Trading.

For NSW strata legal or levy collection advice contact us here or call 02 9562 1266, we’re happy to assist.

The Supreme Court recently ordered a lot owner who succeeded in litigation against an owners corporation to pay the owners corporation’s legal costs.

This is one of the first times a litigant has been punished by an adverse costs order for approaching the Supreme Court for relief which could have been given by NCAT.

We recently wrote about this case and the decision of the Supreme Court. The Court decided that an owners corporation of an apartment building in inner Sydney could not upgrade or build on common property in a way that would prevent a lot owner gaining access to, and egress from, a car space lot with a regular sized car.

So, what was the outcome after the Court handed down its judgment? Why did the Court decide that the lot owner should pay the litigation costs?

Read the full details here Supreme Court Orders Winner to Pay Legal Costs.

For NSW strata legal or levy collection advice contact us here or call 02 9562 1266, we’re happy to assist.

The Supreme Court has rejected a proposal by an owners corporation to upgrade its common property in a way that would have impeded access to an owner’s car space.

The building is a residential strata scheme in inner Sydney containing 80 residential apartments, 27 car space lots and common property.

A particular car space, not attached to any apartment lot within the building, was purchased as an investment.

The owners corporation of the building proposed to change the use of and upgrade an area of common property adjacent to this car space. This upgrade, if implemented, would have impeded the ability of the owner or tenant to drive a standard size vehicle into and out of car space.

What are the broader implications of this case? Read our case paper to find out Common Property and Supreme Court

For NSW strata legal or levy collection advice contact us here or call 02 9562 1266, we’re happy to assist.