Changes to strata by-Laws in NSW.
In November 2016 changes to the Strata Management Act and the Strata Management Regulations introduced new model by-laws that can be used for new strata schemes or adopted by an Owners Corporation.
These changes also included a requirement that any strata plans registered prior to the commencement of the Strata Schemes Management Act 1996 automatically adopted a new set of by-laws under Schedule 2.
Under this new legislation there is also a requirement that the Owners Corporation consider reviewing their by-laws and if a new by-law is registered a consolidation of the by-laws in place must take place as part of the consolidation with the Land Registry Service.
The Land Registry Service has useful information here on the process.
Strata Life recommends most schemes consider adopting a number of Special By-Laws which can assist in the smooth running of the scheme. Examples of such By-laws include minor renovations, waterproofing works, recovery of costs and occupancy limits.
Frequently Asked Questions
How is a by-law changed or a new by-law adopted?
The change to a by-law must be dealt with at a General Meeting and must be passed by Special Resolution (if more than 25% of those owners present vote against the resolution, the motion is not passed). The motion to change or adopt a by-law must be included on the agenda of an Extraordinary or Annual General Meeting so that owners can consider if they need to attend or provide a proxy to have a say on the change.
Note – A Common property rights(Exclusive use) by-law has additional specific requirements including owners consent and may confer special rights or privileges.
Can I prepare my own by-law?
There is nothing to stop someone preparing their own by-law but it is not recommended as this is a complex area of the legislation. As such it is always suggested that specialist legal representation is retained or the Owners Corporation obtain legal advice on a by-law prepared by an owner to ensure there are no legal loopholes and it will be enforceable.
Why should I bother with a by-law?
From the Owners Corporation perspective:
- A By-law ensures that the obligation is correctly document and enforceable. For example in the case of a renovation, it may ensure that the responsibility to repair and maintain works and replace when required remains with the owner of the lot and any subsequent owners of the lot rather than falling on the shoulder of the Owner’s Corporation.
- The formal process of by-law adoption and approval ensures that all parties are aware of the legislation and that all necessary requirements are met.
From the Owners perspective
- If not formally approved the Owners Corporation could take action to make an owner remove any works undertaken and reinstate common property.
- When looking to sell you unit potential purchasers may wish to view documentation confirming that changes or additions to the lot are subject to registered By-law and/or have had formal approval.
About Strata Life – Strata Management Services
At Strata Life we strive to take the pressure of the day to day running of a strata scheme off of the shoulders of the committee members and owners. Whilst the nature of strata itself does mean that the owners/ committee are responsible for the decisions, the pressure is reduced by having a proactive manager provide guidance with a plain sense approach and quickly actioning issues as they arise.
We appreciate Committee members often have full time jobs and busy lives. Add to this that the strata scheme is often your home where Committee members do not want to have to police other residents.
Our aim is to minimise the work and time where we can, take on the role of reminding owners and residents of the by-laws so that everyone can peacefully enjoy community living.
Our team has extensive experience with properties on the Upper North Shore, Hornsby and the Northern Beaches areas, with excellent local contractors and superior local knowledge.
Helpful links
- The Strata Life advantage »
- Our service level guarantee »
- Our strata managers »
- The history of Strata Life »
- Changing strata managers »
Get in touch
Whether you’re an existing client or not, our strata managers are here to help with all matters relating to strata schemes and community living. Our office is open Monday – Friday, 8am – 6pm to answer your call or, for after-hours assistance, please complete our online enquiry form and we’ll get back to you the following business day.
Telephone : 02 9456 9965
Email : contact@thestratalife.com.au
Online enquiry form »
Disclaimer: The information contained in this article is general information only and not legal advice. The currency, accuracy and completeness of this article (and its contents) should be checked by obtaining independent legal advice before you take any action or otherwise rely upon its contents in any way. Strata Life disclaims any liability for negligence or otherwise in any way connected with this article.