- This topic has 6 replies, 4 voices, and was last updated 8 months ago by .
-
Topic
-
Dear Flatchat Readers,
Re: Seeking Guidance on Unfair Costs Order Following Strata By-Law Vote
I am writing to share a cautionary tale based on my recent experience with a costs order from a NCAT determination. I believe it is crucial for all strata members to be aware of the potential consequences associated with voting on strata by-laws.
Ten months ago, I voted against a proposed by-law that aimed to grant exclusive use of common property already enclosed by fencing two years prior.. The by-law lacked a sunset clause, which raised concerns about its long-term implications. To my surprise, I recently received a costs order from NCAT for my dissenting vote.
The strata secretary initiated the NCAT action as a private party, bypassing mediation even after a strata members’ solicitor countered the application, citing the body corporate’s unnecessary rejection of the proposed by-law.
During the Extraordinary General Meeting (EGM) where the vote took place, no information was provided by the strata manager regarding the potential consequences of voting against the by-law. I assumed the process was democratic and unconditional. It is disheartening to discover that my exercise of democratic rights have resulted in a financial penalty.
As a strata, non-committee, member, I was not privy to information related to the NCAT process, and I did not attend any hearings. The strata secretary and his spouse represented themselves at the hearing and witnessed their claim dismissed by NCAT, followed by a successful counterclaim presented by the strata members’ solicitor.
What troubles me is the 50:50 split of the costs order between the two members who voted against the by-law, me and the strata secretary. This division appears unfairly punitive, especially considering I was not instructed to participate in the legal process and have not been provided with a breakdown of costs. The representing solicitor has given me a mere seven days to agree to the costs order or face the threat of doubled costs.
As a pensioner, the financial burden of these multi-thousand-dollar costs is overwhelming, and attempting to secure professional guidance, especially during the holiday season, poses significant challenges.
I am reaching out to the community for any suggestions or support you may offer. This situation is bewildering, and I believe it is important for us to collectively address these issues and ensure fairness and transparency in our strata dealings.
Thank you for your attention, and I appreciate any assistance or advice you can provide.
- This topic was modified 8 months, 3 weeks ago by .
- You must be logged in to reply to this topic.