[2026] NSWCATCD 27
General information, not legal advice.
NCAT Consumer and Commercial
2026-02-02
Mr J
Original judgment source is linked above.
Bischoff v Sahade [2015] NSWCATAP 135
Chen v The Owners - Strata Plan No. 7262 [2022] NSWCATCD 58
De Beck v The Owners - Strata Plan No 30468 [2024] NSWCATCD 11
Foo v Frew [2023] NSWCATAP 303 at [21]- [23]
Ma v The Owners - Strata Plan No 65870 [2023] NSWCATCD 140
Maple v The Owners - Strata Plan No. 8950 [2021] NSWCATCD 108
Thoo v The Owners - Strata Plan No 50276 [2011] NSWSC 657
Westerweller v The Owners - Strata Plan No. 18484 [2022] NSWCATCD 203
Cathie Galliott, Susie Elelman, Jai Galliott, Michele Selwyn and William Doyle (Applicants)
The Owners - Strata Plan No. 43251 (First respondent)
Pursuant to s.237(3)(a) of the [SSM Act], the existing management of SP 43251 is not functioning or is not functioning satisfactorily in that:
1. the existing [strata managing agent] has failed to properly manage significant conflicts of interest;
2. the strata committee is divided and unable to appropriately manage urgent matters;
3. there is evidence of fraud and/or financial mismanagement with Police involvement;
4. committee resignations have left the role of Treasurer vacant and unable to be filled; and
5. There is systemic neglect of the duty to repair and maintain in order to reduce outgoings by a committee dominated by non-resident investors with a pecuniary interest in the same.
AND
Pursuant to s 237(3)(c) of the [SSM Act], the Owners Corporation has failed to perform one or more of its duties, including:
1, the duty to repair and maintain common property per s.106 of the [SSM Act];
2. the duty to enforce by-laws per s. 146 of the [SSM Act];
3. the duty to provide notice of strata committee meetings under s.4, P2, Schedule 2; and
4. the duty to keep a pecuniary interest disclosure book under s.18, P3 of Schedule 2.
(1) Ms Heather Mahoney, who owns lots in the scheme;
(2) Mr William Doyle, who owns lots in the scheme and has occupied one of those lots for 20 years;
(3) Dr Jai Gallott, an academic who has occupied a lot in the scheme since July 2024 and serves as the attorney of the first-named applicant (Cathie Galliott), who is the owner of lots in the scheme;
(4) Ms Margaret McBride, whose superannuation fund owns lots in the scheme;
(5) Ms Victoria Sydun, who was friends with an occupant of the building in the late 1970's;
(6) Mr Ian Hamilton, a building manager for the scheme for a few years prior to 2005;
(7) Mr Warren Lambert, an electrician who provided electrical services at the building between the mid 1990's and around 2010 and did some further electrical work at the start of 2025;
(8) Mr Olly Houlton, a building surveyor with CMS Consulting, who was project manager of the fire safety order compliance project for the owners corporation between late 2021 and early 2025;
(1) Mr Paul Culbi, a licensed strata managing agent, and the chief governance officer/group licensee in charge at Jameson and Associates;
(2) Mr Nathan Frear, a licensed strata manager at Jameson, and the strata managing agent currently acting for the scheme; and
(3) Mr Phillip Thornburrow, a building manager with his own company, Sydney Property Care.
(1) the management of the scheme is not functioning, or not functioning satisfactorily;
(2) the owners corporation has failed to comply with a requirement imposed on it by an order made under the SSM Act;
(3) the owners corporation has failed to perform one or more of its duties; or
(4) the owners corporation owes a judgment debt.
It is well settled that the appointment of a compulsory strata manager is a serious step. The remedy has been described as "draconian": see Mortlock v Owners of Strata Plan No 55434 [2006] NSWSC 363 at [18]. Appointment of a compulsory strata managing agent removes lot owner democracy that is built into the SSMA: see Walker Corporation Pty Ltd v The Owners - Strata Plan No 61618 [2022] NSWSC 1246 at [150] and [173].
(1) Nr Nick Whiley, chairman;
(2) Mr James Ruben, secretary;
(3) Mr Michael Jarvin;
(4) Ms Selwyn;
(5) Ms Elelman; and
(6) Dr Galliott.
There were also two casual vacancies on the strata committee at that time. At that stage, Mr Whiley had served as chair of the strata committee for approximately 19 years - since about 2006.
(1) The initial fire safety order that was issued in May 2012, which was subsequently modified twice by agreement with the owners corporation (in December 2015 and January 2018), and then revoked in August 2019, when a second fire safety order was issued.
(2) A second fire safety order that was issued in August 2019 (at the same time as the first order was revoked), which has subsequently been modified four times by agreement with the owners corporation (in January 2021, February 2022, December 2022 and March 2025), and remains in effect in its modified form.
"... the owners corporation has systematically and grossly neglected its duty to repair and maintain common property ...
...
... highlighting in excess of several hundred individual defects, many of them critical, almost all with a detailed description, location, rectification and high resolution photographic evidence".
...
The vast majority of the issues listed in the defect Report have existed for several years without identification and/or attention.
Dr Galliott distributed that report to the "relevant" strata committee and the managing agent on 7 November 2024.
(1) failure to manage conflicts of interest;
(2) improper functioning of the strata committee;
(3) bullying, harassment and dishonesty;
(4) attempts to invalidate and/or obstruct motions;
(5) failures of the building manager;
(6) strata committee -related fraud; and
(7) failure of the owners corporation to perform its duties, including:
(a) the duty to maintain common property (section 106);
(b) the duty to enforce by-laws (section 146);
(c) the duty to give notice of strata committee meetings (Schedule 2); and
(d) the duty to keep a pecuniary interest disclosure book (Schedule 2).
(1) That the owners corporation has taken too long to respond to the fire safety order and has been inadequate in its response.
(2) That the owners corporation has taken too long to respond to the need to repair the common property and has been inadequate in its response.
(3) That the strata manager and building manager have been reluctant to act in relation to physical attacks and harassment against several occupiers in the building, by another occupier of the building (who I will refer to as "Ms A"), asserting that they had "no evidence" despite there being CCTV footage, witness reports, police involvement and other material. While management did ultimately issue a notice to Ms A, that action is considered to be "short of expectations".
(4) That the strata committee has failed to adequately respond to incidents where users of the building have been trapped in the elevator, and continue to be trapped in the elevator, including by failing to post inside the elevators notice identifying the address of the building, the identity of that lift and a telephone number that can be used to seek emergency help in the event of entrapment, despite being alerted of these issues since at least 2024.
(5) That the strata committee has failed to adequately respond to allegations of mail packages being stolen and opened in the building.
(6) That lot owners have experienced objects, such as bottles, oil containers, cigarettes and other items, being thrown onto their balcony "from height".
(7) That the strata committee and the building manager have not responded adequately to crime in the building, including broken security doors, citing that they had "no evidence" and evincing a pattern of a lack of concern by them for safety and damage.
(8) That the garage door to the building had been removed for an extended period because of the "severely delayed" fire order remediation works, removing or reducing the security at the building, with the building manager failing to inform the strata committee of concerns about this for a long time.
(9) That the strata committee has failed to undertake "critical" or "urgent" repairs to common property, impacting (or causing apprehended impact to) the health and safety of the building, despite reports and witness statements from 22 occupants of the building since March 2025.
(10) That the majority members of the strata committee, including the chair, engineered the removal of Dr Galliott from the strata committee, through improper meeting processes, falsehoods, defamation of the applicants and intimidation or inducement of lot owners who had given proxies to the applicants.
(11) That the majority members of the strata committee and/or the building manager have regularly defamed the applicants in various official notices.
(12) That Dr Galliott, Ms Elelman and Ms Selwyn assert that they have been subject to intimidation, bullying, harassment, gas-lighting behaviour and defamation since at least November 2024, when Dr Galliott undertook his review of the condition of the building.
(13) That strata committee meetings have been called without warning or consideration of the applicants' availability, since early April 2025, in an attempt to diminish their vote on the committee.
(14) That Dr Galliott has been the subject of targeted attacks on his lot, including placing or smearing liquid faeces around the entrance to his lot in March 2025.
(15) That Dr Galliott's all-floors access keys to the building were deactivated on 7 Apri 2025, preventing him from inspecting common areas, collecting evidence and speaking to other occupants who have made statements for the proceedings and supporting vulnerable building occupants, in an attempt to obstruct his ability to substantiate the claims made in this proceeding.
(16) That the owners corporation and the strata manager has not maintained the strata roll since 2019 or 2023, and/or has failed to provide access to a current strata roll on request by qualified persons to view the roll, deliberately frustrating the applicants' attempts to communicate with other lot owners about this proceeding.
(17) That the strata committee issued multiple frivolous and vexatious by-law enforcement notices to Ms Galliott in April 2025 as retaliatory steps for the commencement of this proceeding, and have failed to take "meaningful action" against strata committee members for "known and actual" unauthorised renovations.
(18) That the owners corporation, including the strata manager, has feigned the non-receipt of served documents in the proceeding, in an attempt to delay compliance with the Tribunal's orders.
(19) That the building manager and others have been covertly using the building's CCTV system to spy on Dr Galliott's presence int eh common areas of the building, notably during meeting times, intimidating Dr Galliott.
(20) That the strata manager has made "misleading" suggestions of safety concerns in response to requests for in-person meetings of the strata committee, in an "attempt to exercise greater control over meetings", and/or has "utilised paper votes and e-meetings to impose time limits on discussions or to eliminate it completely", silencing persons seeking to speak.
(21) That the owners corporation has refused to engage in settlement discussions in an attempt to resolve this proceeding.
(22) That the intimidation of Dr Galliott through the above means has caused Dr Galliott great distress and psychological impact over an extended period of time.
(23) That the owners corporation has failed to issue notices to tenants for meetings, including the extraordinary general meeting held on 24 March 2025 and has failed to issue notices in calling strata committee meetings since Dr Galliott has lived in the building, materially affecting the outcome of all meetings and denying interested parties procedural fairness.
(24) That the written minutes of strata committee meetings have been "sanitised" or misleadingly paraphrased to remove any material that may be perceived as critical of management.
(25) That the strata manager has sought to mislead and bully strata committee members into not recording strata committee meetings for themselves.
(26) That the strata committee on 28 April 2025 voted to "improperly and irresponsibly" provide additional hours to the building manager for cleaning services, despite issues about the standard of his work, motions of no-confidence in the building manager, strenuous objections about the absence of any competitive tendering process and questions about whether the building manager is a fit and proper person for provision of services to the owners corporation.
(27) That the "faction" of members which controls the owners corporation and the strata committee has used the payment of those additional hours to the building manager "in return for his participating on improper proxy harvesting and the like".
(28) That there is a conflict io interest in the appointment of ChilledRite Refrigeration and Air Conditioning to undertake air conditioning work at the building, in circumstances where the director of that company is related to the Jameson's managing director, which the owners corporation has not managed appropriately.
(29) That there is a conflict of interest in the proposal to engage JS Mueller as the owners corporation's solicitors on this proceeding, because it serves Jameson's interest to prevent its own replacement, which the owners corporation has failed to manage appropriately.
(30) That there is a conflict of interest in the engagement of Sydney Property Care (Mr Thornburrow's company), Jameson and ChilledRite that the owners corporation has failed to manage appropriately, because those other companies are in receipt of work from Jamesons on several other strata plans.
(31) That the strata committee is unable to manage the owners corporation's affairs satisfactorily, because:
(a) The strata committee is (or was) effectively divided 50/50 between Mr Whiley and his supporters, and the applicants, resulting in a stalemate on important matters, such as enforcing by-laws and urgent repairs.
(b) The owners corporation has operated without proper financial oversight during Mr Robert Grey's tenure as treasurer, as Mr Grey regarded the role as "only a ceremonial post in which I performed no actual treasury function", resulting in some duplicate or improper payments during Mr Grey's tenure.
(c) The strata committee was unable to fill casual vacancies caused by the resignation of some strata committee members in December 2024-January 2025.
(d) The composition of the strata committee contributes to "ineffectiveness", because only one of the six committee members lives within the building and another only owns a car park space. There is also no tenant representative on the committee.
(e) There has been bullying, harassment and dishonesty, as asserted above.
(f) Attempts have been made to invalidate and/or obstruct motions of the strata committee in November-December 2024.
(g) Attempts have been made to remove committee members.
(32) That the building manager, Mr Thornburrow, has failed in his duties in many ways, including by failing to "properly" respond to complaints "in a timely fashion", by systematically failing to perform the required level of preventative and regular repair and maintenance, and by seeking to "enrich himself by quoting for repair and maintenance works not covered by his agreement rather than independently seeking external licensed contractors".
(33) That a former strata committee chair, from 20 years ago (Mr Hamilton), has exploited common property for personal enrichment by marking common property in the parking garage as a car space which he has subsequently let to a local lawyer for the last 20 years.
(34) That the owners corporation has "systematically and grossly" neglected its duties to enforce by-laws., in particular the by-law concerning obstructing common property by parking vehicles on the common property (by-law 3), the by-law concerning depositing rubbish on common property (by-law 9), the by-law concerning the drying of laundry items (by-law 10), the by-law concerning moving objects and furniture through common property (by-law 13), the by-law concerning floor coverings in lots (by-law 14), the by-law concerning parking only registered vehicles in parking spaces (by-law 20) and special by-law 6, for works within a lot.
(35) That the owners corporation has failed to display notice of strata committee meetings on the noticeboard "if any" maintained by the owners corporation.
(36) That the owners corporation has not kept a pecuniary interest disclosure book.
(1) The application is dismissed on the basis that the Tribunal is not satisfied to the civil standard (being the balance of probabilities) on the material put before it that there are grounds for the Tribunal to make the orders sought.
(2) If any party wishes to seek an order for costs, then:
(a) That party (the "costs applicant") is to provide to the other parties (the "costs respondents") and to the Tribunal any application for costs setting out the costs order they contend for and any written submissions (strictly not exceeding 5 pages) setting out the reasons relied on for making that order, together with any other relevant documents or material, within 14 days after the date this decision is issued to the parties.
(b) The costs respondents are to provide to the costs applicant and to the Tribunal written submissions in response (strictly not exceeding 5 pages) setting out the reasons relied on against making that proposed order, together with any other relevant documents or material, within 28 days after the date this decision is issued to the parties.
(c) The Tribunal proposes to dispense with a hearing in relation to the application for costs under section 50 of the Civil and Administrative Tribunal Act 2013 (NSW), with the intent that the costs issue will be determined on the papers. The parties are to include in their submission whether the application for costs can be adequately determined on the papers without the need for an oral hearing.
I hereby certify that this is a true and accurate record of the reasons for decision of the Civil and Administrative Tribunal of New South Wales.
Galliott
The Owners �e" Strata Plan No. 43251 [2026] NSWCATCD 27;