{"id":"nsw:act-1922-023","name":"Encroachment of Buildings Act 1922","slug":"encroachment-of-buildings-act-1922","collection":"act","jurisdiction":"nsw","status":"in_force","isInForce":true,"actNumber":"23 of 1922","makingDate":null,"administeringDepartment":null,"currentVersion":{"id":111932,"registerId":"nsw-act-1922-023-current","compilationNumber":null,"startDate":"2026-04-03","status":"InForce","reasons":null,"registeredAt":null},"sections":[{"sectionNumber":"1","sectionType":"section","heading":"Name of Act","content":"#### 1 Name of Act\n\n1 Name of Act\n\n> This Act may be cited as the [Encroachment of Buildings Act 1922](/view/html/inforce/current/act-1922-023).","sortOrder":0},{"sectionNumber":"2","sectionType":"section","heading":"Definitions","content":"#### 2 Definitions\n\n2 Definitions\n\n> In this Act, unless the context or subject-matter otherwise indicates or requires:\n> \n> Adjacent owner means the owner of land over which an encroachment extends.\n> \n> Boundary means the boundary line between contiguous parcels of land.\n> \n> Building means a substantial building of a permanent character and includes a wall.\n> \n> Court means the Land and Environment Court.\n> \n> Encroaching owner means the owner of land contiguous to the boundary beyond which an encroachment extends.\n> \n> Encroachment means encroachment by a building, and includes encroachment by overhang of any part as well as encroachment by intrusion of any part in or upon the soil.\n> \n> Owner means any person entitled to an estate of freehold in possession:\n> \n> > (a) whether in fee simple or for life or otherwise,\n> \n> > (b) whether at law or in equity,\n> \n> > (c) whether absolutely or by way of mortgage,\n> \n> and includes a mortgagee under a registered mortgage of a freehold estate in possession in land under the [Real Property Act 1900](/view/html/inforce/current/act-1900-025).\n> \n> Subject land means that part of the land over which an encroachment extends.\n> \n> **s 2:** Am 1989 No 171, Sch 2 (2).","sortOrder":1},{"sectionNumber":"3","sectionType":"section","heading":"Encroachments","content":"#### 3 Encroachments\n\n3 Encroachments\n\n> > (1) Either an adjacent owner or an encroaching owner may apply to the Court for relief under this Act in respect of any encroachment.\n> \n> > (2) On the application the Court may make such orders as it may deem just with respect to:\n> > \n> > > (a) the payment of compensation to the adjacent owner,\n> > \n> > > (b) the conveyance transfer or lease of the subject land to the encroaching owner, or the grant to the encroaching owner of any estate or interest therein or any easement right or privilege in relation thereto,\n> > \n> > > (c) the removal of the encroachment.\n> \n> > (3) The Court may grant or refuse the relief or any part thereof as it deems proper in the circumstances of the case, and in the exercise of this discretion may consider amongst other matters:\n> > \n> > > (a) the fact that the application is made by the adjacent owner or by the encroaching owner, as the case may be,\n> > \n> > > (b) the situation and value of the subject land, and the nature and extent of the encroachment,\n> > \n> > > (c) the character of the encroaching building, and the purposes for which it may be used,\n> > \n> > > (d) the loss and damage which has been or will be incurred by the adjacent owner,\n> > \n> > > (e) the loss and damage which would be incurred by the encroaching owner if the encroaching owner were required to remove the encroachment,\n> > \n> > > (f) the circumstances in which the encroachment was made.\n> \n> > (4) The Court may refer any question involved in proceedings on the application to:\n> > \n> > > (a) any registered land surveyor (within the meaning of the [Surveying and Spatial Information Act 2002](/view/html/inforce/current/act-2002-083)), or\n> > \n> > > (b) any valuer.\n> \n> > (5) This section applies to encroachments made either before or after the commencement of this Act.\n> \n> **s 3:** Am 2002 No 83, Sch 2.7 \\[1\\]; 2008 No 62, Sch 2.20; 2009 No 119, Sch 2.9; 2015 No 48, Sch 1.10 \\[1\\].","sortOrder":2},{"sectionNumber":"4","sectionType":"section","heading":"Compensation","content":"#### 4 Compensation\n\n4 Compensation\n\n> > (1) The minimum compensation to be paid to the adjacent owner in respect of any conveyance, transfer, lease, or grant to the encroaching owner shall, if the encroaching owner satisfies the Court that the encroachment was not intentional and did not arise from negligence, be the land value of the subject land, and in any other case three times such land value.\n> \n> > (2) In determining whether the compensation shall exceed the minimum, and if so by what amount, the Court shall have regard to:\n> > \n> > > (a) the value, whether improved or unimproved, of the subject land to the adjacent owner,\n> > \n> > > (b) the loss and damage which has been or will be incurred by the adjacent owner through the encroachment and through the orders proposed to be made in favour of the encroaching owner,\n> > \n> > > (c) the circumstances in which the encroachment was made.\n> \n> **s 4:** Am 1981 No 119, Sch 1.","sortOrder":3},{"sectionNumber":"5","sectionType":"section","heading":"Charge on land","content":"#### 5 Charge on land\n\n5 Charge on land\n\n> > (1) The order for payment of compensation shall except so far as the Court may therein otherwise direct, upon registration operate as a charge upon the land of the encroaching owner in priority to any charge created by the encroaching owner or by his or her predecessor in title.\n> \n> > (2) In this section the land of the encroaching owner means the parcel of land contiguous to the boundary beyond which the encroachment extends, or such part thereof as the Court may specify in the order.","sortOrder":4},{"sectionNumber":"6","sectionType":"section","heading":"Encroaching owner—compensation and conveyance","content":"#### 6 Encroaching owner—compensation and conveyance\n\n6 Encroaching owner—compensation and conveyance\n\n> Wherever the Court sees fit, and in particular where the encroaching owner is not an owner beneficially entitled to the fee simple free from encumbrances, the Court may determine:\n> \n> > (a) by whom and in what proportions the compensation is to be paid in the first instance, and is to be borne ultimately,\n> \n> > (b) to whom, for whose benefit and upon what limitations the conveyance transfer or lease of the subject land or grant in respect thereof is to be made.","sortOrder":5},{"sectionNumber":"7","sectionType":"section","heading":"Adjacent owner—compensation and conveyance","content":"#### 7 Adjacent owner—compensation and conveyance\n\n7 Adjacent owner—compensation and conveyance\n\n> Wherever the Court sees fit, and in particular where the adjacent owner is not an owner beneficially entitled to the fee simple free from encumbrances, the Court may determine:\n> \n> > (a) to whom, for whose benefit and in what proportions the compensation is to be paid or applied, and\n> \n> > (b) by whom the conveyance transfer or lease of the subject land or grant in respect thereof is to be made.","sortOrder":6},{"sectionNumber":"8","sectionType":"section","heading":"Vesting order","content":"#### 8 Vesting order\n\n8 Vesting order\n\n> Wherever the Court may make or has made an order under this Act with respect to the subject land, the Court may make such vesting order as it may deem proper in lieu thereof or in addition thereto, or in default of compliance therewith.","sortOrder":7},{"sectionNumber":"9","sectionType":"section","heading":"Boundaries","content":"#### 9 Boundaries\n\n9 Boundaries\n\n> > (1) If any question arises as to whether an existing building encroaches or a proposed building will encroach beyond the boundary, either of the owners of the contiguous parcels of land may apply for a determination of the position of the boundary:\n> > \n> > > (a) to the Registrar-General under Part 14A (Boundary determinations) of the [Real Property Act 1900](/view/html/inforce/current/act-1900-025) (but only if the application could be made under that Part apart from this section), or\n> > \n> > > (b) if the application cannot be made under that Part or the Registrar-General refuses to make that determination—to the Court.\n> \n> > (2) On an application to the Court the Court may make such orders as it may deem proper for determining, marking, and recording the true boundary.\n> \n> > (3) The Court may refer to any registered land surveyor (within the meaning of the [Surveying and Spatial Information Act 2002](/view/html/inforce/current/act-2002-083)) any question involved in proceedings on the application.\n> \n> > (4) This section applies to buildings erected either before or after the commencement of this Act.\n> \n> **s 9:** Am 1989 No 171, Sch 2 (3); 2002 No 83, Sch 2.7 \\[2\\]; 2009 No 119, Sch 2.9.","sortOrder":8},{"sectionNumber":"10","sectionType":"section","heading":"Proceedings in the Supreme Court","content":"#### 10 Proceedings in the Supreme Court\n\n10 Proceedings in the Supreme Court\n\n> In any proceedings before the Supreme Court, the Supreme Court may:\n> \n> > (a) if it sees fit, exercise any of the powers conferred on the Land and Environment Court by this Act and may stay the proceedings on such terms as it thinks proper, or\n> \n> > (b) if of the opinion that the matter could more conveniently be dealt with by an application under this Act, stay the proceedings on such terms as it thinks proper.\n> \n> **s 10:** Subst 1989 No 171, Sch 2 (4).","sortOrder":9},{"sectionNumber":"11","sectionType":"section","heading":"Application by summons","content":"#### 11 Application by summons\n\n11 Application by summons\n\n> Until otherwise prescribed by rules of Court, any application under this Act may be made by summons.","sortOrder":10},{"sectionNumber":"12","sectionType":"section","heading":"Persons interested","content":"#### 12 Persons interested\n\n12 Persons interested\n\n> In any application under this Act the Court may require:\n> \n> > (a) that notice of the application shall be given to any person interested,\n> \n> > (b) that any person interested shall be made a party to the application.","sortOrder":11},{"sectionNumber":"13","sectionType":"section","heading":"Registration","content":"#### 13 Registration\n\n13 Registration\n\n> > (1) Where any land affected by any application or order under this Act is not under the provisions of the [Real Property Act 1900](/view/html/inforce/current/act-1900-025), the application or order may be registered in the register of causes, writs, and orders affecting land.\n> \n> > (2) Where any land affected by any application or order under this Act is under the provisions of the [Real Property Act 1900](/view/html/inforce/current/act-1900-025), a caveat may be lodged under that Act in respect of the application, and the order may be registered under that Act.\n> \n> **s 13:** Am 1997 No 55, Sch 1.6.","sortOrder":12},{"sectionNumber":"14","sectionType":"section","heading":"Costs","content":"#### 14 Costs\n\n14 Costs\n\n> In any application under this Act the Court may make such order as to payment of costs charges and expenses as it may deem just in the circumstances and may take into consideration any offer of settlement made by either party.","sortOrder":13},{"sectionNumber":"15","sectionType":"section","heading":"Rules and practice","content":"#### 15 Rules and practice\n\n15 Rules and practice\n\n> > (1) Rules of Court may be made for the practice and procedure of the Court in applications under this Act.\n> \n> > (2) The practice and procedure of the Court shall, except so far as they are inconsistent with this Act or any rules of Court, apply to applications under this Act.\n> \n> **s 15:** Am 1989 No 171, Sch 2 (5).","sortOrder":14},{"sectionNumber":"16","sectionType":"section","heading":"Savings and transitional provisions","content":"#### 16 Savings and transitional provisions\n\n16 Savings and transitional provisions\n\n> Schedule 1 has effect.\n> \n> **s 16:** Ins 1989 No 171, Sch 2 (6).","sortOrder":15},{"sectionNumber":"Schedule 1","sectionType":"schedule","heading":"Savings and transitional provisions","content":"# Schedule 1 Savings and transitional provisions\n\nSchedule 1 Savings and transitional provisions\n\n(Section 16)\n\n**sch 1:** Ins 1989 No 171, Sch 2 (6). Am 2015 No 48, Sch 1.10 \\[2\\].","sortOrder":16},{"sectionNumber":"1A","sectionType":"section","heading":"Regulations","content":"#### 1A Regulations\n\n1A Regulations\n\n> > (1) The regulations may contain provisions of a savings or transitional nature consequent on the enactment of any Act that amends this Act.\n> \n> > (2) Any such provision may, if the regulations so provide, take effect from the date of assent to the Act concerned or a later date.\n> \n> > (3) To the extent to which any such provision takes effect from a date that is earlier than the date of its publication on the NSW legislation website, the provision does not operate so as:\n> > \n> > > (a) to affect, in a manner prejudicial to any person (other than the State or an authority of the State), the rights of that person existing before the date of its publication, or\n> > \n> > > (b) to impose liabilities on any person (other than the State or an authority of the State) in respect of anything done or omitted to be done before the date of its publication.","sortOrder":17}],"analysis":{"issue_detection":{"absurdities":[],"contradictions":[]},"kimi_summary":{"content_quality":"ok","complexity_score":4,"scope_assessment":{"changed":false,"description":"The legislation remains tightly focused on its original purpose: resolving building encroachments across property boundaries. The 1989 amendments transferred jurisdiction from the Supreme Court to the Land and Environment Court and added boundary determination procedures, but these were procedural modernisations rather than scope expansion. The Act has not grown to cover other types of boundary disputes or property matters beyond building encroachments."},"complexity_factors":["Straightforward structure with only 16 sections plus a short schedule","8 defined terms in section 2, all clearly explained without circular definitions","Minimal cross-referencing — primarily references to the Real Property Act 1900 and Surveying and Spatial Information Act 2002 for procedural matters","Conditional logic limited to the compensation formula in section 4 (intentional/negligent vs accidental encroachment) and discretionary factors in section 3","No nested exceptions or deeply conditional provisions","Language is relatively modern and accessible for a 1922 Act, with amendments (particularly 1989) updating court references and terminology","Single purpose legislation that hasn't expanded beyond its original remit"],"plain_english_summary":"This law deals with what happens when a building accidentally or deliberately crosses over onto a neighbour's property — what lawyers call an \"encroachment\".\n\n**What it does:**\n- **Sets up a court process** for resolving disputes when a building (or part of one, like a wall or roof overhang) crosses a property boundary.\n- **Lets either neighbour apply** — whether you're the one whose land is being built over (the \"adjacent owner\"), or the one whose building has crossed the line (the \"encroaching owner\").\n- **Gives the court flexible powers** to:\n  - Order the building to be removed\n  - Allow the building to stay in exchange for compensation paid to the neighbour\n  - Transfer ownership or grant rights over the affected land to the building owner\n\n**Key rules on compensation:**\n- If the encroachment was **accidental and not negligent**, the minimum compensation is simply the land value of the bit that's been built over.\n- If it was **intentional or negligent**, the minimum compensation **triples** to three times the land value.\n- The court can award more than these minimums based on factors like damage caused, the value of the land, and how the encroachment happened.\n\n**Other important features:**\n- **Security for payment:** Compensation orders become a charge (like a mortgage) on the encroaching owner's land, giving the neighbour security for payment.\n- **Complex ownership situations:** The court can work out who actually pays and who benefits when properties are mortgaged or held in trust.\n- **Boundary disputes:** The law also covers disagreements about exactly where the boundary line is, with applications possible to either the Registrar-General or the Land and Environment Court.\n- **Applies to old and new buildings:** The law covers encroachments whether they happened before or after 1922.\n\n**Who it affects:**\n- Property owners in New South Wales who discover (or are accused of) a boundary encroachment.\n- Buyers, sellers, and mortgagees who need to know who has rights over disputed land.\n\n**Why it matters:**\nWithout this law, a neighbour whose building crossed the boundary could be forced to demolish it even when that would be wasteful and expensive. The law provides a practical alternative: keep the building, pay fair compensation, and formalise the arrangement through the court. It balances the rights of property owners against the practical reality of construction errors and long-standing boundary issues."},"flash_summary":{"complexity_score":5,"scope_assessment":{"changed":true,"description":"The statute as presented includes later amendments and cross-references that alter procedure and institutional roles compared with the original 1922 text. Amendments are recorded in the section notes (for example s 3, s 4 and s 9 show amendment dates), and the Act now expressly channels applications in some cases to the Registrar-General under the Real Property Act Part 14A and to the Land and Environment Court; it also references contemporary surveyor registration legislation (Surveying and Spatial Information Act 2002) (s 3(4), s 9(1), s 9(3)). Schedule 1 adds explicit savings and transitional regulation powers (cl 1A). Those amendments change procedural pathways, evidence tools and the statutory interface with land title systems and court jurisdictions compared with the original enactment."},"complexity_factors":["Judicial discretion with multiple listed factors for decision-making (s 3(3))","Different remedy types (compensation, conveyance/lease/grant, removal, vesting) that can be combined or substituted (ss 3, 8)","Compensation formula with a fault-dependent multiplier (s 4)","Interaction with other statutes and external decision-makers (Registrar-General under Real Property Act Part 14A; registered surveyors under Surveying and Spatial Information Act) (s 9(1), s 3(4), s 9(3))","Registration and priority rules for charges on land, affecting secured interests and mortgage priorities (s 5, s 13)","Provisions for allocation of payment and beneficial interests when parties hold encumbered or non-beneficial title (ss 6–7)","Retrospective application to pre-existing encroachments and buildings (s 3(5); s 9(4))","Procedural cross-over between Land and Environment Court and Supreme Court (s 10) and default procedural forms (s 11)","Potential need for expert evidence (valuers, surveyors) and attendant costs (s 3(4), s 9(3))","Transitional/savings provisions and delegated regulation power to change saving/transitional dates (Schedule 1, cl 1A)"],"plain_english_summary":"What this law does\n\n- The Act gives either the owner of land that is being encroached on (the adjacent owner) or the owner whose building encroaches (the encroaching owner) a legal route to resolve building encroachments by applying to the Land and Environment Court (\"the Court\"). (s 3)\n\n- The Court can order one or more of the following: payment of compensation to the adjacent owner; transfer, conveyance, lease or grant of an interest in the part of the land that is encroached on to the encroaching owner; or removal of the encroachment. The Court decides what is just in the circumstances. (s 3)\n\nWho pays and who decides\n\n- The Court decides the outcome and allocates who pays or who receives property rights. It can also decide allocation where owners are not beneficially entitled (for example, where mortgages or other interests exist). (s 3, s 6, s 7)\n\n- Compensation rules: the Act sets a minimum compensation amount. If the encroaching owner persuades the Court the encroachment was neither intentional nor caused by negligence, minimum compensation is the land value of the subject land. If not, the minimum is three times that land value. The Court may award more than the minimum after considering the subject land's value to the adjacent owner, losses suffered, and the circumstances of the encroachment. (s 4)\n\nSecurity for payment\n\n- A compensation order (unless the Court directs otherwise) operates as a registered charge on the encroaching owner's land, taking priority over charges created by that owner or prior owners. The Court can specify which parcel or part of the parcel is charged. (s 5)\n\nProcedural and evidentiary features\n\n- The Court has broad discretion and may consider factors such as who applied, the value and situation of the subject land, the nature and intended use of the encroaching building, losses to each party, and how the encroachment arose. (s 3(3))\n\n- The Court may refer technical questions to a registered land surveyor or a valuer. (s 3(4); s 9(3))\n\n- Boundary location disputes can be sent first to the Registrar-General under the Real Property Act Part 14A when that route is available; if not available or refused, the dispute can be brought to the Court. The Court can determine, mark and record a true boundary. (s 9)\n\n- Applications may be made by summons until court rules say otherwise, the Court can require notice or join interested persons, and it may order costs as it deems just (taking into account settlement offers). (s 11, s 12, s 14)\n\nRegistration and interaction with land title systems\n\n- Where affected land is not under the Real Property Act, the application or order may be registered in the register of causes, writs and orders affecting land. Where land is under the Real Property Act, a caveat may be lodged and the order registered under that Act. (s 13)\n\nOther powers and transitional matters\n\n- The Court can make vesting orders in lieu of or in addition to other orders. (s 8)\n\n- The Supreme Court may exercise the powers of the Land and Environment Court under this Act or stay proceedings where appropriate. (s 10)\n\n- The Act applies to encroachments and buildings made before or after the Act's commencement. (s 3(5); s 9(4))\n\n- Regulations and schedule provisions allow for savings and transitional arrangements when this Act is amended, with limits to avoid prejudicing existing private rights before publication. (Schedule 1, cl 1A)\n\nWhy it matters (official purpose and the mechanisms that produce effects)\n\n- The Act establishes a court-based dispute-resolution mechanism to convert an encroachment problem into specific legal remedies: monetary compensation, transfer of title or interests, or removal of structures. The official rationale (as embodied in the remedies and procedures) is to provide legally enforceable options to resolve disputes about buildings that cross boundaries. Those options create concrete incentives and costs:\n  - Encroaching owners face an economic choice: remove the encroachment, compensate the adjacent owner (possibly at a minimum of land value or triple that value depending on fault), or acquire the affected land or an interest in it (s 3, s 4). The compensation multiplier increases the financial cost where the encroachment is intentional or negligent (s 4(1)).\n  - Adjacent owners can insist on removal, seek payment, or accept conveyance/easement arrangements; they receive security for payment via registration of a charge (s 5).\n  - The Court’s discretion and ability to allocate payment responsibilities and limit beneficiaries (s 6, s 7) introduces legal complexity where property rights are encumbered by mortgages or other interests.\n\nImplementation, compliance burden and decision-making discretion\n\n- Parties must use court procedure, which entails court fees, possible expert surveys and valuations, and legal costs (s 3(4), s 11, s 14). The Court’s broad discretion (s 3(3)) and the option to refer technical matters to surveyors or valuers (s 3(4); s 9(3)) mean outcomes depend on judicial assessment and expert evidence.\n\n- The Act interacts with the Real Property Act title system (s 9(1), s 13) and with rules about boundary determination, which affects where parties must start (Registrar-General) and how orders are registered.\n\nTrade-offs and concrete constraints\n\n- The statutory minimum compensation and the charge-on-land mechanism create enforceable financial claims against encroaching land, but the Court may vary allocation and beneficiary arrangements when ownership interests are complex (s 4, s 5, s 6, s 7).\n\n- The Act permits retrospective application to earlier encroachments and buildings (s 3(5); s 9(4)), and contains provisions for transitional regulations to address future amendments (Schedule 1, cl 1A).\n\nMain sections to consult quickly: definitions (s 2); remedies and Court discretion (s 3); compensation formula and factors (s 4); charge on land (s 5); allocation for complex title situations (ss 6–7); boundary determinations (s 9); registration (s 13)."},"summary":{"complexity_score":3,"scope_assessment":{"changed":false,"description":"Based on the available information, the Act appears to have retained its original narrow scope — resolving disputes where buildings physically encroach on neighbouring land. The amendments noted (1989, 1999) were purely administrative in nature, involving capitalisation of 'Court' and removal of non-section headings, with no substantive change to the operative scope of the legislation."},"complexity_factors":["The Act is over 100 years old, meaning interpretation may require reference to historical common law principles not immediately obvious from the text alone","Interaction with other property law concepts (easements, title, compensation) adds some legal layering","Limited metadata provided — the full text of the Act's operative sections is not reproduced here, making complete analysis impossible","Cross-jurisdictional nuance: similar but distinct laws exist in other Australian states, which could cause confusion for readers","Sparse amendment history suggests the core provisions are old and may use archaic legal language"],"plain_english_summary":"## Encroachment of Buildings Act 1922 (NSW)\n\n**What is this law about?**\nThis is a New South Wales law dating back to 1922 that deals with situations where a building or structure physically crosses over a property boundary onto a neighbouring person's land — known as an **encroachment** (when your building accidentally or otherwise extends onto land you don't own).\n\n**Who does it affect?**\n- Property owners whose building or structure crosses over onto a neighbour's land\n- Property owners who discover a neighbour's building is sitting on part of their land\n- Developers and builders dealing with boundary disputes\n\n**Why does it matter?**\nWithout this law, if your building accidentally extended even a few centimetres over a boundary, your neighbour could force you to demolish that part of the structure. This Act gives courts the power to find a **practical, fair solution** — such as:\n- Granting the encroaching owner a legal right to keep the building there (called an **easement** — a formal right to use someone else's land for a specific purpose)\n- Ordering compensation to be paid to the affected neighbour\n- In some cases, ordering a transfer of the land the building sits on\n\nRather than requiring costly demolition, the law allows courts to weigh up the hardship on both sides and reach a proportionate outcome.\n\n**Important note:** This is a very old, relatively narrow piece of legislation. It has had only minor administrative amendments since 1922 and remains in force in NSW."}},"importantCases":[],"_links":{"self":"/api/acts/encroachment-of-buildings-act-1922","history":"/api/acts/encroachment-of-buildings-act-1922/history","analysis":"/api/acts/encroachment-of-buildings-act-1922/analysis","conflicts":"/api/acts/encroachment-of-buildings-act-1922/conflicts","importantCases":"/api/acts/encroachment-of-buildings-act-1922/important-cases","documents":"/api/acts/encroachment-of-buildings-act-1922/documents"}}