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On what date does a by-law become effective, is it the date that the AGM votes to accept the by law or is it the date on which the by-law is registered?
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To avoid disputes, it's advisable to only implement Special By-Laws after they've been properly Registered.
Very good question davidp, on a topic I checked into myself recently. In NSW, according to the Office of Fair Trading, the by-law becomes effective as soon as it is appropriately approved at a General Meeting. Ludicrously though, the Owners Corporation's Executive Committee and / or Strata Manager have two years (yep, two years!) to actually register it.
What you often find is by-laws get approved then forgotten about and never registered, in which case they 'expire' after two years. Everyone might think a by-law exists because it was made yonks ago, but in reality it doesn't because the slackos never registered it.
Or in a Joseph Heller-esque scenario, a new by-law gets voted in but nobody knows because the Executive Committee and / or the Strata Manager don't spread the word.
Hi Urban & davidp,
I've never found the Office of Fair Trading to be particularly helpful, as the advice received too often depend upon who is giving it; precisely the same question can elicit different responses.
It's always best to abide by the Legislation, and in that way you're less likely to get into trouble; particularly if Resident/s object to compliance.
In that regard S48 of the NSW Strata Schemes Management Act (1996) states:
(1) An amendment or repeal of a by-law or, a new by-law, has no force or effect until:
(a) the owners corporation has lodged a notification, in the form approved under the Real Property Act 1900 , in the Registrar-General’s office, and
(b) the Registrar-General has made an appropriate recording of the notification in the folio of the Register comprising the common property.
(2) A notification cannot be lodged in the Registrar-General’s office more than 2 years after the passing of the resolution for the amendment, repeal or new by-law.
I hope this helps.
Very helpful thanks Whale. To both davidp and I, I expect.
So if davidp likes the new by-law, he badgers the EC and / or Strata Manager into making sure it's registered in a timely fashion. If he doesn't like the new by-law, he can try 'letting sleeping dogs lie' which is what's going on where I live. The two years will be up in a couple of months and the by-law will never be registered.
I can't think of a reason why two years might be allowed to register a new by-law which has been approved at a General Meeting. Any suggestions?
The “oops, I didn't get round to it because my cat's been sick and my mother visited from Dubbo and I don't get paid for this you know” scenario seems most likely. Pity help the person who buys into a building thinking it's pet friendly, for instance, only to discover it's not according to a by-law passed 18 months ago but never registered. Maybe there should be a statutory form on which you have to write new by-laws, record the date of the meeting and the result of the vote which goes straight in the post for registration as soon as the meeting's over.
The opinions offered in these Forum posts and replies are not intended to be taken as legal advice. Readers with serious issues should consult experienced strata lawyers.
Hey Jimmy – here's the Form that you wanted, all that needs to happen now is for Proprietors to insist that their EC Secretaries / Strata Managers complete and lodge it ASAP after General Meetings.
https://www.lpma.nsw.gov.au/__data/assets/pdf_file/0017/25550/15CB_v3-1.pdf
Thanks Whale – that's why you are a StrataGuru. Now all we need is for ECs to be compelled to register the by-laws withing 30 days or face penalties for not doing so.
The opinions offered in these Forum posts and replies are not intended to be taken as legal advice. Readers with serious issues should consult experienced strata lawyers.
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