Commencing 1 December 2021, changes to the Community Land Development Act 2021 and Community Land Management Act 2021 will commence.

The new legislation will modernise and simplify the development process of community schemes within NSW, aligning the community schemes legislation with the Strata Schemes Management Act 2015 and Strata Schemes Development Act 2015.

What is the Aim of the New Community Title Legislation?

1. To create consistency between community lands and strata schemes laws in NSW
2. Provide modern, flexible, and democratic governance arrangements
3. Improve maintenance of shared property and financial management
4. Support a simpler and more flexible development process

What are the Key Changes to Community Title Legislation?

• To provide more flexibility for schemes with some requirements for unanimous resolutions to now be special resolutions
• Make it easier for schemes to deal with association property and add land to a scheme
• Introduction of a new process for development contracts bringing the process in line with strata schemes
• The simplification of tiered schemes
• Allowing schemes to apply to NSW LRS for a termination of a community scheme instead of going to court
• Allowing an association to also create statutory easements
• The introduction of a new process for amalgamations

For further information visit www.nswlrs.com.au.

How will this Affect Your Strata and Community Schemes?                              

• Your existing by-laws will need to be consistent with the new aligned community and strata schemes legislation otherwise they may not be enforceable
• You may also need to consider whether your community and neighbourhood management statements are in line with the new laws
• It is therefore important that you review any by-laws and management statements to ensure they are in line with these new laws
• This fact sheet includes detailed information about the different types of orders and how community schemes disputes are managed at NCAT – Community_Schemes_Fact_Sheet

Do you need help reviewing your by-laws and management statements to ensure they are in line with the new legislation? Contact us now, help is here.

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.

‘Smoke Drift’ in Strata Blocks

In Australia, most apartment blocks, old or new have banned smoking in common areas such as hallways, common living spaces, outdoor communal areas and more.

In some states, strata committees have completely banned smoking in all areas of apartments by introducing smoke free by-laws.

And… fast becoming a reality in strata living is a total ban with smoke free apartment blocks.

In recent times second hand smoke has become a major health concern in Strata blocks with organisations such as the Cancer Council getting behind the move.

With this fight against smoke drift and new precedents being set landlords, owners corporations and strata managers need to carefully consider what kind of smoking by-laws will be implemented in their strata blocks. Here we outline three options:

1. Unrestricted Smoking By-law

Many older strata blocks may have unrestricted smoking as a default by-law unaware that they are leaving themselves in a vulnerable position. They should consider reviewing their by-laws to keep up with the latest health concerns and legalities.

2. Limited Smoking By-law

A ‘middle ground’ by-law may limit lot owners and tenants to only smoking within their apartment but not in common areas. However, there have been a number of cases where fines of up to $11,000 have been issued due to second hand smoke creating health issues.

3. Complete Smoking Ban By-law

Only some states currently allow a complete smoking ban. A complete ban includes all areas of apartment blocks, including individual apartments, balconies and common areas.

Ensure Your ‘Smoke Drift’ By-laws are Up to Date

If smoking is a problem in a strata building, the owners corporation should make a by-law prohibiting smoking. This type of by-law is simple to prepare and enforce. Orders can be obtained to stop residents smoking and put an end to second hand smoke drift. It’s also important to note that smoke drift can also be caused by BBQ’s.

Support for smoke-free multiunit living is high particularly among people living with children. It is only a matter of time before most strata buildings go smoke free.

DO YOU NEED YOUR ‘SMOKE DRIFT’ BY-LAW CHECKED?

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.

On the 9 April 2021, the NSW government announced a new statewide policy for Short Term Rental Accommodation (STRA).

The commencement of this policy has been deferred to 1 November 2021.

The new STRA laws will override all short-term accommodation planning laws previously in place throughout NSW, including those enacted by local councils. (until the policy takes effect the regulation of STRA in NSW will continue to be the responsibility of local councils and owners corporations).

The NSW Government has implemented:

• a new statewide regulatory framework for short-term rental accommodation (STRA)
• fire safety standards for STRA dwellings
• a government-run STRA Register
• the STRA Code of Conduct and exclusion register that took effect on 18 December 2020

For full details of the new policy and delays please read New Delayed NSW Short Term Rental Accommodation Policy

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.

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.

Deadline Reminder By-law Registrations

From 11 October 2021 all ‘By-laws’ and ‘Changes of Address’ Must be Registered Electronically in NSW.

Strata managers and owners corporations can no longer lodge consolidated by-laws and changes of address over the counter. All consolidated by-laws and changes of address will need to be registered electronically through an ELNO such as PEXA.

Did you know the JS Mueller & Co Lawyers team was one of the first firms to register by-laws electronically?  We now have over 12 months experience completing electronic registrations.

If you need any assistance with electronic registrations our experienced team at JS Mueller & Co Lawyers is here to help you. Contact us now.

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.

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.

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.

A recent decision by NCAT reinforces the need for strata managers to dot their I’s and cross their T’s if they want to be paid for work they do for owners corporations.

The case sends an important message for strata managers to ensure that they have a strata management agency agreement signed by the owners corporation before providing any services to the owners corporation.

Here we share this case including some valuable lessons to be learnt with Strata Management Agency Agreements.

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.

There have been two recent court cases involving “squatter’s rights” over parcels of land in Sydney.

In both of those cases, people have acquired ownership of parcels of land they did not own through adverse possession by exercising “squatter’s rights”.

Both of these cases raise interesting questions for strata schemes:

• What are “squatter’s rights”?
• Can “squatter’s rights” exist in a strata scheme?
• Do the rules for “squatter’s rights” make it impossible for a person to claim ownership of part of the common property in strata scheme?
• Do those rules make it difficult for an owners corporation to claim ownership of a lot even if it has been abandoned?

Abandoned houses, “dunny lanes”, car spaces, storerooms and more: here we explain this complex area of law and share some recent cases – Squatters Rights in Strata Schemes.

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

New building bond and building defect laws commence today, 1 July 2020.

The new laws are part of the NSW Government’s promise to “get tough” on building defects and form part of a suite of new laws that have recently been introduced to combat the spate of poorly built strata buildings.

These new laws will strengthen the rights of owners corporations to make claims against builders, developers and other to have defects repaired or obtain compensation to cover the cost of repairing defects.

That Act introduces new laws with respect to the rectification of building defects in new strata buildings. In this article we take a look at those new laws:

• The New Laws and the Buildings They Apply to
• Changing Due Dates for Payment of Building Bonds
• Consequences for Failing to Provide a Building Bond and Increased Penalties
• Offences for Developers Providing False/Misleading Information
• Using Building Bonds to Pay Other Costs
• Extending  the Time Frame for Building Bond Claims
• Cancelling a Building Bond
• Recovering of the Building Bond from Developers
• Investigation and Enforcement Powers
• Protection of Building Inspectors from Personal Liability
• Forcing Developers to Provide Information to Inspectors

Here we outline the new laws New Building Bond and Defect Laws.

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