NCAT’s Appeal Panel has decided that strata records are not protected by privacy laws and that an owner is entitled to inspect strata records that relate to other owners.

Here we share the following case confirming that a strata manager or owners corporation cannot refuse to make available for the inspection of an owner records which the owner is entitled to inspect under the Strata Schemes Management Act 2015 on the grounds of privacy and that those records are not protected by privacy laws.

Read the full case here: Strata Records not Protected by Privacy By-laws

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.

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.

Owners Corporations and strata managers in NSW sometimes wonder how they can recover outstanding strata levies from owners of strata units who have disappeared and are nowhere to be found. Well, do not be disillusioned.

Muellers has now given hope to owners corporations and strata managers and has proved the naysayers wrong acting in what has been widely reported as the first ever sale of a strata unit by the NSW Sheriff.

In the recent case of The Owners-Strata Plan No. 7396 -v- Siak Hong law (unreported), in which Muellers acted for the successful owners corporation, the Supreme Court of NSW ordered that documents be served on a unit owner who was unable to be found, via substituted service orders.

More importantly, the Supreme Court also ordered the NSW Sheriff to sell the owner’s unit by a certain date to ensure the sale of the unit and recovery of overdue levies was not delayed.

This case shows that overdue levies can be recovered from an errant unit owner and that it is possible to force the Sheriff to sell a strata unit to ensure that overdue levies are paid to an owners corporation.

The outcome we achieved in the case was the result of much hard work, sheer determination and a never say die attitude to demonstrate that even in the most difficult cases it is possible for overdue levies to be recovered.

Setting a precedent, the case was also picked up by mainstream media:

• Sale of apartment owned by monk who disappeared overseas sets legal precedent
• Merry chase for mystery Malaysian monk who renounced his ‘worldly possessions’

At Muellers that is the approach we take to all our levy collection matters and that is why we are widely regarded as the leader in strata levy collections.

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

Did you know that the Sheriff can play an important role in the recovery of overdue strata levies?

How, you ask?

1. The Sheriff can be a very important ally when an owner fails to pay their strata levies, ignores repeated requests for payment and all else fails. So let’s bring in the Sheriff! Here’s how:

A Sheriff may act on a writ that we have arranged for the court to issue. Firstly, the Sheriff will attempt contact with the debtor via phone or written correspondence. If there’s no response the Sheriff will attend the debtor’s property and seize assets to be sold at auction to cover the value of the levy collection debt.

Sheriffs have been known to seize cars, bikes and household goods etc. This is called a ‘Sheriffs sale’ – it’s important to note that sometimes these can take time.

On a positive note, often just the Sheriff turning up on the debtor’s doorstep will action them into paying their strata levies.

2. Also, upon obtaining a Supreme Court Order for possession of a property, the Sheriff can then take possession of the property so it can be sold to pay the strata levy debt.

3. Sheriffs can also assist when the debtor has ignored an examination order to attend the court to explain his or her financial circumstances, an arrest warrant can be issued and the Sheriff can then arrest the debtor and take them to the court to be examined.

This can assist you in ascertaining the debtor’s financial circumstances and obtaining employment information so you can take further action and garnishee wages for payment of the outstanding strata levies.

So, how can you help?

Phone Numbers

Did you know that all Sheriff matters initially now go to the COU? From here, the Sheriff will attempt to make contact with the debtor via written correspondence and phone calls.

So, if you’re able to provide the debtor’s phone numbers at this point the Sheriff will more than often get a much better result.

Licence Plate Numbers

If the Sheriff has had no luck when phoning the person they will visit their premises during business hours and if the person isn’t available (as most people aren’t during these hours) they will leave a business card requesting them to call the Sheriff’s office.  Clearly, this is often ignored by the owner who is choosing not to pay their outstanding strata levies.

Again, if you can provide us with the licence plate number of the car the owner drives there is a strong chance that this will help us (and the Sheriff) locate the debtor quicker and recover the outstanding strata levies.

So, the Sheriff can be very effective in being that extra length of the stick to ‘poke the bear’ – and yes, some strata levy debtors will respond to the Sheriff even though they’ve already ignored repeated requests for payment of overdue levies.

Oh, and did you know…

Some interesting historical information on what was once part of a Sheriff’s role in NSW. They were once responsible for:

• Carrying out death sentences in criminal cases
• Discharging the duties of the Coroner
• Running the gaols
• Executing all the judgments, decrees and orders of the Supreme Court

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

Did you know that the information an owners corporation has about their owners can actually make it much simpler for us to act more effectively in recovering strata levies?

To assist you with the details that can help us, the team at JS Mueller & Co has developed a handy list of items for consideration when briefing your next strata levy debt recovery instruction:

1. If you know that the unit is tenanted but the address for service of notices is at the unit, let us know, particularly if you’re aware of whom the real estate agent is.
2. When advising your levy recovery person to enter Judgment and take the next step, the following information can greatly assist:

•  Details of where the lot owner works so JS Mueller & Co can organise to garnishee their wages – much cheaper and more effective than a Sheriff.
• Details of their motor vehicle type and registration number and a time they’re normally home – this will make it easier for the Sheriff to seize goods.

Historically when matters have been difficult to serve, the information an owners corporation has access to, can assist us greatly in a successful and quicker levy debt recovery.

Here are some examples of how information has assisted JS Mueller & Co in faster recovery of strata levies… who would have thought!

 Hockey Training

We’ve successfully served a guy with a Statement of Claim (SOC) at hockey training.  All because the owners corporation advised us that he rode his bike once a week to hockey training.

Pony Club

JS Mueller & Co was able to serve another woman at Pony Club when we were advised by an owner/occupier that she stored her Pony Club stuff in the garage.

So, you can see little pieces of information an owners corporation knows about a lot owner can provide us the little piece of magic we need to get a successful result.

Keep the list above in a handy place for when you next provide a levy debt recovery instruction.

Our levy collection service is available across regional and metropolitan NSW so let us know if you need any assistance with levy recoveries, we’d be happy to assist.

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

Great news!

LPI NSW has updated the Registrar-General’s directions concerning the requirements to register a Consolidation/Change of By-Laws.

The Registrar-General’s directions now state as follows:

A consolidated version of the by-laws affecting the strata scheme must be included as an annexure, incorporate the change that is referred to at panel (E) and include any model by-laws.

Note: It is not acceptable to annex previously registered Change of By-laws forms as if it is a consolidated version.

It is suggested that a consolidated version:

• omit all by-laws that have been previously repealed,
• include all by-laws that have been previously added, and
• include all other by-laws as previously amended, or
• set out in some other way that lists the by-laws that currently affect the strata scheme.

For further information please refer to – LPI NSW Government

A separate Registrar-General’s direction for ‘Consolidated By-Laws’ now says the following:

The following requirements must be complied with:

• The new change of by-law must be made in accordance with a resolution of the owners corporation and a completed Consolidation/Change of By-Laws dealing form (Form 15CH) must be lodged at LPI not more than 6 months after the passing of the resolution to make the by-law  (See section 141 Strata Schemes Management Act 2015).
• A consolidated version of by-laws, which incorporates the new change of by-laws, must form an annexure to the Consolidation/Change of By-Laws dealing form (Form 15CH).
• The consolidated version must include those by-laws lodged with (referred to as ‘developer by-laws’ or ‘strata by-laws’) or adopted (Model By-laws)  by the scheme on the registration of the strata plan together with any changes to those by-laws made since the registration of the strata plan. The text of the by-laws must be fully set out.
• Where the Common Property Memorandum prescribed by the Strata Schemes Management Regulation  is adopted:
  – it may be included by reference only if the Common Property Memorandum is adopted in full and without any modifications as follows: “The Common Property Memorandum prescribed under clause 27 Strata Schemes Management Regulation 2016 has been adopted as a by-law”; or
  – where the Common Property Memorandum has been modified as provided in s. 107(3) Strata Schemes Management Act 2015,  the full text of the Common Property Memorandum as modified must be included.
• Every subsequent change of by-laws will require a new consolidated list incorporating the change to accompany the Consolidation/Change of By -Laws form.
• The Registrar General may waive the requirement to lodge a consolidated version (see clause 24(3) Strata Schemes Development Regulation 2016). A letter setting out the circumstances for assessment by the Registrar General must accompany the dealing.

For further information please refer to – LPI NSW Government

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

There are new rules an owners corporation must follow before appointing a lawyer or taking legal action (legal services).

If legal services:

• will not cost more than $3,000, or
• are urgent and will not cost more than $15,000, or
• relate to obtaining legal advice before taking legal action, or
• concern the collection of overdue levies,

the strata committee is able to approve those legal services: see section 103 Strata Schemes Management Act 2015 and cl 26 Strata Schemes Management Regulation 2016.

If the above applies, there is no need for an owners corporation or strata manager to send a lawyer’s costs agreement or costs disclosure to owners and committee members under section 105 Strata Schemes Management Act 2015.

The above assumes the power of the strata committee to obtain legal services or spend money has not been restricted at a general meeting and owners who hold 1/3 of the unit entitlements do not block a proposed decision of a strata committee to obtain legal services.

In all other cases, the owners corporation must approve of the legal services by passing a resolution at a general meeting in accordance with s 103(1) Strata Schemes Management Act 2015.

The new rules will reduce the scope for a strata committee to approve legal services as a result of the threshold amount to avoid general meeting approval reducing from $12,500 to $3,000 in most cases.

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

With the introduction of the new strata laws, you’ll need to be aware of the key changes to the levy collection procedure.

To familiarise yourself with the top 10 changes click here –  Levy Collection Changes Under the New Strata Laws

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

Current Position

Under the current law there are no legal rights for lot owners to request an instalment payment plan from an owners corporation should they fall behind in their levy payments – although an instalment plan is sometimes agreed to by an owners corporation in an appropriate case.

New Position

As of 1 December 2016 the new laws will give a lot owner the right to request an owners corporation to agree to a payment plan for any levies in arrears. Before the owners corporation can accept a payment plan they will need to have such a request properly approved at a general meeting.

The lot owner will have to do the following:

1. Make a request 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. The lot owner may be required to pay the costs of holding the EGM at which the owner wants the payment plan to be approved.
3. The owners corporation will then consider the payment plan at the EGM.
4. Alternatively, an owners corporation can approve a plan at an AGM.

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 will have 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 more likely to be adhered to.

An owners corporation will have to be aware that if a request for a payment plan is unreasonably refused the lot owner may decide to take legal action against a refusal and seek orders from a Court of Law or Tribunal forcing the owners corporation to enter into a payment plan.

Click here for the full details of the new Levy Collection laws – Levy Collection New Laws

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

Trial Our FREE Time Saving LevyCollect App…

Our levy collection service is second to none with our integrated  ‘LevyCollect’ app. Simple, free and easy to use – accessible through your device, on the go. Benefits include:

• Reduces your workload – gives you time back
• 24/7/365 access from your desktop, laptop, smartphone or tablet – anytime, anywhere
• Gives you greater access to your Levy Collection matters
• You choose when to access your matters
• All of your matter communication conveniently located in one place
• Regular reporting – you choose when and how often you receive reports
• Simple, easy to use app for your phone or tablet and portal login for your desk/laptop

To trial our FREE LevyCollect online portal and app service contact jsmmarketing@muellers.com.au

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

Nikki Jovicic, LookUpStrata interviews Adrian for the ‘Strata Snapshot Series’.

In this interview, Adrian addresses the NSW Strata Reforms and the new strata laws, looking at how the top five ways the new laws and the changes to body corporate fines will affect you.

For more information visit New Strata Laws and How Fines will Affect Body Corporates

About JS Mueller & Co

JS Mueller & Co has been servicing the strata industry across NSW for almost 40 years. We are a specialist firm of strata lawyers with in depth and unmatched experience in, and comprehensive knowledge of strata law and levy collection. We are there to assist you every step of the way.

JS Mueller & Co Headquarters
Level 1, 240 Princes Highway
Arncliffe Sydney Australia 2205
www.muellers.com.au

Media inquiries: Contact Julie Schoneveld on 02 9562 1266 or 0435 939 491

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