Supreme Court Orders Sale of Unit for Levy Payments!

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:

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.




NCAT Confirms that it Cannot Impose Penalties

In a recent decision, NCAT has confirmed that it does not have power to impose monetary penalties on persons who breach orders made by NCAT.

This decision highlights an important flaw in the new strata legislation which needs to be fixed.

Read on to find out more – NCAT Strata Disputes Floors and By-laws.docx

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




Template and Fixed Fee Strata By-laws

Be aware that the deadline for owners corporations to review their by-laws under the new Strata Schemes Management Act 2015 is fast approaching with only 66 business days remaining.

The Act states that owners corporations have 12 months to review and register any current by-laws. This means every owners corporation must review their by-laws by the deadline of 30 November 2017.

For the next 66 business days, owners corporations that have not already done so are meant to consider whether to:

  • Introduce new by-laws
  • Amend any existing by-laws
  • Repeal any by-laws

At JS Mueller & Co we have done hundreds of by-law reviews since the commencement of the new Act. We often recommend that new by-laws should be considered for the following topics:

  • Airbnb
  • Smoking
  • Minor Renovations
  • Major Renovations
  • Common Property Memorandum
  • Proxies
  • Electronic Voting

Plan Ahead NOW. Don’t wait until it is too late.

Fixed Fee By-laws

Get your by-law review done now.We can review your by-laws in detail, suggest amendments to the existing by-laws and recommend new by-laws. We do all of that for a fixed fee. for your fixed fee by-laws.

Click here NOW for a fixed fee by-law review.

Template By-laws

We have developed a range of by-laws that cover various topics.

Order a copy of our by-law templates here NOW Strata By-law Templates

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




Supreme Court Quashes NCAT Decision

An NCAT decision allowing a lot owner to keep unauthorised renovations was recently overturned by the Supreme Court.

In doing so, the Court confirmed that an owners corporation must act unreasonably before NCAT should overturn a decision of an owners corporation not to allow an owner to keep unauthorised alterations to common property.

Read on to find out why Supreme Court Quashes NCAT Decision to Allow Unauthorised Works

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




Case Halted Until Owners Corporation Gives Security

The Supreme Court has ordered an owners corporation suing its former lawyers to give security for the costs the lawyers will incur defending the case and has halted the case until the owners corporation does so.

In Court cases, the loser is normally ordered to pay most of the winner’s costs.  But what happens if the eventual winner is fearful that the loser will not be able to pay its costs?

Is there anything the winner can do to halt the case before it incurs substantial costs fighting the case?

This decision is a game changer.  Read on to find out why… Owners Corporation Security Costs for Building Defects

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




Is Fair Trading Wrong? Are Anti-Airbnb By-laws Valid?

Recently, NSW Fair Trading modified its well known “Strata Living” handbook to indicate that by-laws prohibiting short term lettings are invalid.

But, has Fair Trading got it wrong? Are anti-Airbnb by-laws valid?

For further details please click Short Term Letting and Fair Trading

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




Owners Corporations Can Make it Simpler

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.




You May Have Heard There’s Been a Delay!

The NSW Government recently announced the delay of the strata building bond and inspection scheme.

Originally announced to start 1 July 2017 the commencement date has now been revised to 1 January 2018.

The delay is to allow for issues arising from the consultation phase to be addressed.

Please refer to the Building Defect Bond Scheme for further information.

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




Are House Rules Binding? This will Surprise You!

 House rules are not binding right?  You might be surprised.

The rules which govern participation in a strata scheme are called by-laws.  By-laws are made by a developer on registration of a strata plan or by an owners corporation by special resolution passed at a general meeting. By-laws are registered on the title of the common property and are binding on the owners corporation and owners and occupiers of the lots.  If by-laws are breached, they are able to be enforced.

By-laws are registered on the title of the common property and are binding on the owners corporation and owners and occupiers of the lots.  If by-laws are breached, they are able to be enforced.

But…what about rules that are made by a strata committee and placed on a notice board? Strata Rules and By-laws

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

 




Lift Refurbishments and Compensation Payouts?

Can an owners corporation shut down the lifts in its building to refurbish them?

If so, does the owners corporation have to pay compensation to owners and tenants who cannot access their apartments via the lifts during a lift refurbishment? And does a lift refurbishment need to be authorised by special resolution?

There are many thorny issues to navigate, to find out more Strata Building Lift Refurbishments

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