Owners corporations engaging lawyers under the new NSW law

Until 30 November 2016, owners corporations in NSW could not engage a lawyer or commence any legal action unless the engagement and the legal action was approved at a general meeting of the owners. There was an exception to that requirement if the lawyer’s costs were quoted at less than $12,500 or $1,000 per lot […]

Failing to be clear is fatal in litigation

In APX Projects Pty Limited v The Owners Strata Plan No. 64025, a lot owner attempted to:- argue that a large payment made to settle debt recovery proceedings should have been allocated to sinking fund levies rather than outstanding legal fees; and bring an action against the treasurer, on behalf of the owners corporation. The owner failed […]

Court of Appeal finds strata schemes may restrospectively approve legal action

December 2014 saw two decisions of the NSW Court of Appeal confirm the effect of section 80D of the Strata Schemes Management Act. This is the section that requires legal action to be approved by the general meeting if the reasonably estimated costs of taking that action exceed the amounts stipulated in the Regulation (currently $1000 per lot or $12,500 […]

Appealing to the Tribunal? Don’t miss the deadline

Amended provisions in the Strata Schemes Management Act which came into effect 1 January 2014 were recently put to the test by Lawyers Chambers before the NSW Civil and Administrative Tribunal (“NCAT”). In the case of Malcolm Patrick and Margarita Patrick v The Owners-Strata Plan No 9079 [2014] NSWCATCD 232 (2 December 2014), the NCAT accepted our argument that it […]