Important Recent Changes to Strata Laws

The NSW Government has made a number of important changes to the Strata Schemes Management Act 2015 (Act).

Sustainability Infrastructure, Voting and Proxies

On 24 February 2021, changes to the Act commenced that:

  • Make it easier for a lot owner or owners corporation to install “sustainability infrastructure” on common property such as solar panels and electric vehicle charging stations. A lot owner or owners corporation will be able to install “sustainability infrastructure” on common property if a “sustainability infrastructure resolution” is passed by a simple majority (i.e. 50% or more) at a general meeting;
  • Prevent an owners corporation making available for inspection any record that would disclose how an owner voted in a secret ballot unless the owners corporation is directed to do so by NCAT or a court;
  • Enable a lot owner who owns more than one lot to nominate one individual to act as a proxy for all the lot owner’s lots.

Fines

Since 1 July 2021, NCAT has had the power to order a person to pay a penalty of up to $5,500 where the person has breached an order by NCAT.

Pets

From 24 August 2021, an owners corporation will not be able to have a by-law which unreasonably prohibits the keeping of an animal on a lot. Further, it will be deemed reasonable to keep an animal on a lot unless keeping the animal unreasonably interferes with another occupant’s use and enjoyment of the occupant’s lot or the common property. Those changes codify the decision of the NSW Court of Appeal in Cooper v The Owners – Strata Plan No 58068 [2020] NSWCA 250 in which it was held that a “no pets” by-law is unenforceable.

If you need any assistance with updating your by-laws or navigating the new laws please contact us here, we’re happy to assist.




New Laws – Is it Time to Tweak Your By-laws?

It’s time for a by-law health check!

How do your by-laws stack up?

Do you rely on the model by-laws and little else?

Or do you tweak your by-laws to get the most out of them?

In this short article we explain how you can tweak some of the most common by-laws to improve them such as:

  • Parking
  • Pets
  • Floor Coverings
  • Moving In/Out
  • Renovations

Most buildings rely on the model by-laws. But the model by-laws are very basic. Yet, with some tweaking, the model by-laws can be significantly improved, as the examples in this paper New Laws – Tweak Your By-laws shows.

For all NSW strata legal advice including by-laws, building defects and levy collections contact us here or call 02 9562 1266, we’re happy to assist.




NCAT Dishes Out the Penalty for Order Breaches

In a recent case NCAT has penalized an owners corporation $6,600 for breaching an order to repair common property defects.

However, due to a quirk in the strata legislation, before NCAT could impose that penalty, the lot owners who sough the penalty had to obtain the consent of the NSW Attorney General to make the penalty application.

The case highlights the importance of new laws in the Strata Schemes Management Amendment (Sustainability Infrastructure) Bill 2021 that are expected to commence later this year that will give NCAT power to issue penalties of up to $5,500.00 (without the consent of the NSW Attorney General) for breaching orders made by NCAT.

Read on…NCAT dishes our punishment for order breaches

For all NSW strata legal including by-laws, building defect and levy collection advice contact us here or call 02 9562 1266, we’re happy to assist.




New Strata Legislation Will Soon Become Law

The Strata Schemes Management Amendment (Sustainability Infrastructure) Bill 2021 is expected to commence in mid-2021.

Overview of New Laws

The key features of the Bill are as follows:

1. An owners corporation will be able to authorise the installation of sustainability infrastructure (such as solar panels) on common property by passing an ordinary resolution.

2. Any decision by an owners corporation that would unreasonably prohibit the keeping of an animal on a lot will have no force or effect.

3. It will be possible for a by-law to prohibit the keeping of an animal (such as a dangerous dog) on a lot if that prohibition is reasonable.

4. An owners corporation will need to keep voting records regarding a secret ballot confidential unless directed to make those records available for inspection by a court or NCAT.

5. NCAT will need to provide a copy of any strata application that is lodged by any person to the owners corporation of the strata scheme concerned.

6. An owners corporation will need to serve a copy of any NCAT application it receives on each owner instead of just placing a copy of the application on the noticeboard.

7. NCAT will have the power to require a person to pay a penalty of up to $5,500.00 for breaching an order made by NCAT.

8. A person who owns more than one lot in a strata scheme will be able to appoint a single proxy in respect of all of the lots (to prevent the limitation on the number of proxies a person can hold stopping this from occurring).

9. A proxy appointment form for a meeting will still be valid even if the meeting is adjourned to a later date.

Conclusion

These new laws will make it easier for owners corporations and owners to install solar panels and implement other “green” initiatives, clarify the validity of “no pets” by-laws and close a loop hole in the strata legislation that prevented NCAT imposing penalties on people who breach orders.

For all NSW strata legal including by-laws, building defect and levy collection advice contact us here or call 02 9562 1266, we’re happy to assist.




The New Laws that will Impact Strata Industry

On 10 June 2020, the New South Wales Government made new laws regulating the construction of apartment buildings.

Those new building defect laws commenced on 1 September 2020 and will have a significant impact on all owners corporations and the strata industry.

In this paper we discuss the new laws and how they will impact the strata industry including:

  • Occupation Certificates
  • Stop Work Orders
  • Rectification Orders
  • Delegation of Powers
  • Retrospectivity

Read the full paper here: New Laws that will have a significant impact on the Strata Industry.

For all NSW strata legal, by-law, building defect and levy collection advice contact us here or call 02 9562 1266, we’re happy to assist.




Five Most Useful By-law Factsheets

The five most useful by-Laws inclusive of factsheets.

Muellers has drafted 1000’s of by-laws over the course of 40 years.

During that time we have learnt what does and does not work.

So what are the five most useful by-laws?

We have come up with the following shortlist:

  1. Cost Recovery By-Law
  2. Master Renovations By-Law
  3. Parking By-Law
  4. Proxy By-Law
  5. Repairs By-Law

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




Strata Reforms and Collective Sales

One of the big ticket items introduced as part of the new strata laws that commenced in November 2016 was strata renewal or collective sales. These laws allow a strata building to be sold or redeveloped with the approval of at least 75% of owners.

However, many stakeholders in the strata industry including strata managers have needed clarification and clearer guidance in regards to the strata renewal and collective sale process.

Indeed, the industry has been looking for more practical and specific guidance from regulatory bodies on the implementation of strata renewal reforms.

In late 2018 new guidelines and resources were published by the Office of the Registrar General and can be found on their website.

If you’re looking for some guidance it’s a great first step. The website includes information about:

The website also confirms that strata managers should now be making all inquiries with the Office of the Registrar General in relation to strata renewal (or collective sales) and NSW Fair Trading is no longer able to assist.

The Office of the Registrar General website outlines 6 steps for the strata renewal process as follows:

  1. Vote to opt into the process
  2. Initiate the collective sale/renewal process
  3. Form a strata renewal committee
  4. Develop a strata renewal plan
  5. Consider the plan
  6. Approval of the plan

For more information visit Office of the Registrar General or for more detailed legal advice please contact us here or call 02 9562 1266, we’re happy to assist.




Thank You Strata. We Wish You a Happy Holiday Season.

JS Mueller & Co Strata Lawyers

To contact us during this period please leave a message and we’ll get back to you on our return.




A Big Shout Out to Our Strata Community

Thank you for your continued support. We’re looking for a new team member and reaching out to our strata community to help find one.

We’ve been servicing the strata industry for almost 40 years and as our business and the strata industry continue to grow, so does our team of strata experts.

We’re Hiring!

Do you know of a Strata Lawyer looking for a new opportunity who would love to:

  • Work with an established and highly regarded law firm
  • Learn from leading lawyers who are making new law
  • Work across a wide variety of matters
  • Progress their career
  • Enjoy flexible working conditions
  • Enjoy a great salary package

Confidential

If you know of a strata lawyer looking for a new opportunity please contact partner, Adrian Mueller, direct on adrianmueller@dev.muellers.4data.com.au

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

 




Thank You Strata for Your Support!

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   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  The 5 Most Useful By-laws Presentation and Paper

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

Adrian Mueller
The Good, Bad and Ugly  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.