New South Wales act

Community Land Management Act 2021

In ForceNSW

Jurisdiction

New South Wales

Act Number

7 of 2021

Collection

act

Plain English Summary

8/10 complexity

This Act creates a detailed framework for running community, precinct and neighbourhood schemes: who manages them, how meetings and votes work, how levies and accounts are run, how maintenance and by‑laws are set, and how disputes are resolved and enforced. It assigns duties to associations, committee members, secretaries and original owners, and gives Tribunal and a Secretary enforcement powers. It matters because it determines who pays (owners/associations, sometimes original owner/developer), who decides (committees/associations/Tribunal/Secretary) and the compliance steps required (documents, notices, maintenance). (See ss7, 12–14, 109, 115, 177X–177ZC).

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What it does

The Community Land Management Act 2021 (the Act) is the primary statute governing the ongoing operation of community, precinct and neighbourhood schemes in New South Wales. These schemes arise under the companion Community Land Development Act 2021, which handles subdivision and creation; the Management Act then regulates day-to-day governance once the scheme is registered.

At its heart the Act establishes that an association (community, precinct or neighbourhood) is the body corporate responsible for the scheme (s 7(1)). It confers principal authority on the association for management and control of association property and administration of the scheme for the benefit of members and lot owners (s 7(2)). Specific responsibilities are allocated across finances (Part 5), records (Part 10), maintenance and repair (Part 6) and insurance (Part 9).

The Act prescribes detailed machinery for decision-making. Resolutions are classified as ordinary, special (s 5(1): not more than 25 % against, or <50 % for sustainability or accessibility infrastructure resolutions) or unanimous (s 5(2)). Voting entitlements are tied to unit entitlements (ss 5(3)–(5)), with a two-thirds reduction applied to the original owner’s lots when they exceed half the total (s 5(6)). This prevents developer dominance post-initial period.

Meetings are tightly regulated. The original owner must convene the first AGM within two months after the initial period expires (s 12(1)), with a mandatory agenda (s 13) that includes confirmation of contributions, election of the committee, insurance review, by-laws, managing-agent appointment and receipt of initial documents (s 14). Subsequent AGMs are required annually (s 16); other general meetings may be called by the committee or on a qualified request (25 % of unit entitlement) (s 17). Tribunal intervention is available where meetings are not held (s 18).

Current sections

Direct links to the current provisions in Community Land Management Act 2021.

302

Part 1

Preliminary

Part 1 Preliminary

Name of Act

1 Name of Act

This Act is the Community Land Management Act 2021.

Commencement

2 Commencement

This Act commences on a day or days to be appointed by proclamation.

Objects of Act

3 Objects of Act

The objects of this Act are as follows—

(a) to provide for the management of community, precinct and neighbourhood schemes,

(b) to provide for the resolution of disputes arising from those schemes.

Interpretation

4 Interpretation

(1) The Dictionary to this Act defines certain terms used in this Act.

Note.

The Interpretation Act 1987 contains definitions and other provisions that affect the interpretation and application of this Act.

(2) Notes included in this Act do not form part of this Act.

Resolutions of associations

5 Resolutions of associations

(1) In this Act, a resolution of an association is a special resolution if—

(a) it is passed at a properly convened meeting of the association, and

(b) of the value of the votes cast—

(i) not more than 25% are against the resolution, or

(ii) if the resolution is a sustainability infrastructure resolution—less than 50% are against the resolution, or

(iii) if the resolution is an accessibility infrastructure resolution—less than 50% are against the resolution.

(2) In this Act, a resolution of an association is a unanimous resolution if it is passed at a properly convened general meeting and no vote is cast against the resolution.

(3) For the purposes of determining the value of a vote for a special resolution or a poll of a community association—

(a) the value of the vote of a subsidiary body is equal to the unit entitlement of the former community development lot that was subdivided to constitute the subsidiary body, and

(b) the value of the vote of the owner of a community development lot is equal to the unit entitlement of the community development lot.

(4) For the purposes of determining the value of a vote for a special resolution or a poll of a precinct association—

(a) the value of the vote of a subsidiary body is equal to the unit entitlement of the former precinct development lot that was subdivided to constitute the subsidiary body, and

(b) the value of the vote of the owner of a precinct development lot is equal to the unit entitlement of the precinct development lot.

(5) For the purposes of determining the value of a vote for a special resolution or a poll of a neighbourhood association, the value of the vote of the owner of a neighbourhood lot is equal to the unit entitlement of the neighbourhood lot.

(6) However, if the total unit entitlement of lots for which the original owner is entitled to a vote is not less than half of the total unit entitlement for the association, the value of the vote in respect of those lots is taken to be reduced by two-thirds, ignoring any fraction.

Note.

A motion or election that is not required to be approved by a special resolution or unanimous resolution is passed by a simple majority of votes, unless there is a poll (see Schedule 1, clause 13).

(7) In this Act—

special resolution of a strata corporation has the same meaning as in the Strata Schemes Management Act 2015.

s 5: Am 2025 No 14, Sch 2[1].

Connected persons

6 Connected persons

(1) For the purposes of this Act, a person (the principal person) is connected with another person if the other person—

(a) is a relative (within the meaning of the Local Government Act 1993) of the principal person or, if the principal person is a corporation, is a relative of the holder of an executive position in the corporation, or

(b) is employed or engaged by the principal person or is a business partner of the principal person, or

(c) if the principal person is a corporation—holds an executive position in the corporation, or

(d) is the employer of the principal person, or

(e) is employed or engaged by, or holds an executive position in, a corporation that also employs or engages the principal person or in which the principal person holds an executive position, or

(f) has another connection or association with the principal person of a kind prescribed by the regulations.

(2) However, the principal person is not connected with a member of an association, or the committee of an association, merely because of any dealing, contact or arrangement the member has with the principal person in the capacity of a member of the association or committee.

(3) In this section, executive position in a corporation means the position of director, manager or secretary of the corporation, or any other executive position of the corporation, however those positions are designated.

Part 2

Management of schemes

Part 2 Management of schemes

Division 1

Functions of associations

Division 1 Functions of associations

Association responsible for management of scheme

7 Association responsible for management of scheme

(1) The association for a scheme has the principal authority for the management of the scheme.

(2) An association has, for the benefit of members of, and owners of lots in, the scheme—

(a) the management and control of the use of the association property, and

(b) the administration of the scheme.

(3) An association has responsibility for the following—

(a) managing the finances of the scheme (see Part 5),

(b) keeping accounts and records for the scheme (see Parts 5 and 10),

(c) maintaining and repairing its property (see Part 6),

(d) taking out insurance for the scheme (see Part 9).

Functions of associations generally

8 Functions of associations generally

(1) An association has the other functions that are conferred or imposed on it by or under this or any other Act.

(2) An association must not delegate any of its functions to a person unless the delegation is specifically authorised by this Act.

Other management bodies and persons who assist the association

9 Other management bodies and persons who assist the association

An association may be assisted in the carrying out of its management functions under this Act by 1 or more of the following—

(a) the association committee of the association,

(b) a managing agent for the scheme appointed in accordance with Part 4,

(c) a facilities manager for the scheme appointed in accordance with Part 4.

Association may employ persons to assist in exercise of functions

10 Association may employ persons to assist in exercise of functions

(1) An association may employ the persons it thinks fit to assist it in the exercise of any of its functions.

(2) An association must ensure that a person employed to assist it in the exercise of a function has the qualifications, if any, required by this Act or any other law for the exercise of that function.

Functions that may only be delegated to member of association committee or managing agent

11 Functions that may only be delegated to member of association committee or managing agent

(1) The following functions of an association, association committee or officer of an association may be delegated to or conferred only on a member of the association committee or a managing agent—

(a) the preparation of estimates for the purposes of section 83,

(b) the levying of contributions,

(c) the receiving of, acknowledgement of, banking of or accounting for money paid to the association,

(d) having custody of any money paid to the association or making payments from money paid to the association,

(e) taking out insurance required or permitted by this Act,

(f) the conduct of meetings of the association and handling of correspondence,

(g) the maintenance of records required to be kept under this Act,

(h) other functions that are prescribed by the regulations.

(2) This section is subject to sections 58 and 105.

Division 2

Meetings of associations

Division 2 Meetings of associations

First AGM must be held within 2 months after initial period

12 First AGM must be held within 2 months after initial period

(1) The original owner of land subdivided by a community plan, precinct plan or neighbourhood plan must convene and hold a general meeting of the association, in accordance with this Act and the regulations, within 2 months of the expiration of the initial period.

Maximum penalty—

(a) 100 penalty units, and

(b) for a continuing offence—a further 2 penalty units for each day the offence continues.

(2) An original owner who fails to comply with this section remains liable to the penalty for the contravention even if the Tribunal makes an order under this Division or a meeting is convened or held in accordance with the order or otherwise.

(3) An original owner required to convene the first annual general meeting of an association must give at least 14 days notice of the first annual general meeting to—

(a) each member of the association, and

(b) each first mortgagee or covenant chargee of a development lot or neighbourhood lot who is shown on the association roll, and

(c) each tenant of a neighbourhood lot or strata lot who has been notified to the association in accordance with this Act as a tenant of the lot.

s 12: Am 2025 No 14, Sch 2[2].

Matters to be determined at first AGM

13 Matters to be determined at first AGM

(1) The agenda for the first annual general meeting of an association must be set by the original owner.

(2) The agenda for the first annual general meeting of an association must include the following items and may include other items—

(a) to decide whether the amount of a contribution required to be made to the administrative fund or capital works fund should be confirmed or varied,

(b) to determine the number of members of the association’s committee and to elect the committee,

(c) to decide whether insurances taken out by the association should be confirmed, varied or extended,

(d) to decide if any matter or class of matter is to be determined by the association in general meeting,

(e) to decide whether by-laws should be made or changed, including by-laws controlling, prohibiting or otherwise regulating the passage of persons through, and the activities of persons on, private access ways and, to an extent not inconsistent with this or any other Act or law, open access ways,

(f) to decide whether an agreement to which section 122 applies should be ratified,

(g) to decide whether a managing agent should be appointed by the association and, if appointed, what functions of the association should be delegated to the managing agent,

(h) if there is a managing agent—a form of motion to consider the report by the agent as to whether, and what, commissions have been paid or are likely to be payable to the agent for the following 12 months,

(i) to decide whether a facilities manager should be appointed and, if appointed, what functions the facilities manager should exercise,

(j) to receive the documents required to be provided under section 14,

(k) to consider the accounting records and last financial statements prepared,

(l) to consider the initial maintenance schedule,

(m) to decide whether an auditor should be appointed and to appoint an auditor,

(n) if the association is a community association or is a neighbourhood association that is not part of a community scheme—to consider whether a revised schedule of unit entitlements should be registered under the Community Land Development Act 2021,

(o) any item prescribed by the regulations for the purposes of this section.

s 13: Am 2025 No 14, Sch 2[3] [4].

Documents and records to be provided to association at first AGM

14 Documents and records to be provided to association at first AGM

(1) An original owner required to convene a meeting under this Division must deliver the following to the association at least 14 days before the first annual general meeting of the association, or within 3 years after the scheme is registered, whichever is earlier—

(a) all plans, specifications, occupation certificates or other certificates, diagrams, depreciation schedules and other documents (including policies of insurance) relating to the scheme parcel,

(b) without limiting paragraph (a), all planning approvals, complying development certificates and related endorsed plans, approvals, “as built” drawings, compliance certificates (within the meaning of the Environmental Planning and Assessment Act 1979), fire safety certificates and warranties relating to the scheme parcel,

(c) the association roll and any notices or other records relating to the scheme parcel,

(d) a copy of the diagram illustrating the situation of all service lines referred to in section 34 of the Community Land Development Act 2021 that have been installed within the scheme under which the association is constituted,

(e) the initial maintenance schedule prepared by the original owner,

(f) any other document or item relating to the scheme parcel that is prescribed by the regulations for the purposes of this section.

Maximum penalty—

(a) 100 penalty units, and

(b) for a continuing offence—a further 2 penalty units for each day the offence continues.

(1A) An original owner of a multi-storey scheme who is required to convene a meeting under this division must deliver evidence of the following matters required under section 115(2A) to the association at least 14 days before the first annual general meeting of the association—

(a) that the initial maintenance schedule has been prepared in accordance with the prescribed form,

(b) that the estimates of contributions to the administrative fund and capital works fund meet the expected expenditure for the year ahead, based on the expenses provided by the original owner,

(c) that the person who reviewed and certified the initial maintenance schedule is an independent surveyor,

(d) that the person who reviewed and certified the estimates of contributions to the administrative fund and capital works fund is an independent surveyor or a person of a prescribed class.

Maximum penalty—

(a) for an individual—100 penalty units, or

(b) otherwise—500 penalty units.

(2) An original owner is only required under this section to deliver to the association a thing if that thing is in the possession or control of the original owner or may be obtained by the original owner by taking reasonable steps to do so.

(3) This section does not require an original owner to deliver to the association a document that exclusively evidences rights or obligations of the original owner and that is not capable of being used for the benefit of the association or any of the other owners.

(4) In this section—

scheme parcel of an association that is—

(a) a community scheme—means the community parcel, or

(b) a precinct scheme—means the precinct parcel, or

(c) a neighbourhood scheme—means the neighbourhood parcel.

s 14: Am 2022 No 59, Sch 1.6[1] [2]; 2023 No 45, Sch 4[1]; 2025 No 14, Sch 2[5] [6].

Tribunal may order initial documents to be provided

15 Tribunal may order initial documents to be provided

The Tribunal may, on application by an association, order an original owner required to convene a meeting under this Division to provide to the association a document that was required to be but was not delivered to the association at its first annual general meeting.

AGM must be held

16 AGM must be held

An association must hold an annual general meeting once in each financial year of the association.

Other general meetings

17 Other general meetings

(1) The secretary of an association or an association committee may convene a general meeting (that is not an annual general meeting) of the association at any time.

(2) The secretary of the association, or another officer if the secretary is absent, must convene a general meeting (that is not an annual general meeting) of the association as soon as practicable after receiving a qualified request.

(3) A meeting may be convened on a qualified request even if the first annual general meeting has not been held.

(4) A request is a qualified request for the purposes of a meeting of a community association or a precinct association if it is made by 1 or more owners of a development lot in the scheme or 1 or more subsidiary schemes and the total unit entitlements of the development lot or former development lot subject to the subsidiary scheme are at least one-quarter of the total unit entitlements of the community scheme or precinct scheme.

(5) A request is a qualified request for the purposes of a meeting of a neighbourhood association if it is made by 1 or more owners of neighbourhood lots in the scheme and the total unit entitlements of those lots are at least one-quarter of the total unit entitlements in the neighbourhood scheme.

(6) A request for a meeting may not be signed on behalf of a subsidiary body without the authority of a resolution of the body.

Tribunal may appoint person to hold first AGM and other meetings

18 Tribunal may appoint person to hold first AGM and other meetings

(1) The Tribunal may, on application by an association, a member of an association or a mortgagee or covenant chargee of a development lot, neighbourhood lot or strata lot within the scheme, order a person to convene and hold a meeting of the association within the time specified in the order if a meeting has not been convened and held in accordance with this Act.

(2) The person who is to convene and hold the meeting is to be a person nominated by the applicant, or appointed by the Tribunal, who has consented to the nomination or appointment.

Unanimous or special resolutions to be amended or revoked in same way

19 Unanimous or special resolutions to be amended or revoked in same way

(1) A unanimous resolution or special resolution of an association about a matter that is required by or under this Act or the by-laws of a scheme to be determined by a resolution of that kind cannot be amended or revoked other than by a subsequent resolution of the same kind.

(2) However, a unanimous resolution of an association dealing with association property may be amended by a special resolution.

Notice to be given of right to cast vote at meeting of association

20 Notice to be given of right to cast vote at meeting of association

(1) Person with right to vote at meetings must notify association A person who has an interest in a development lot or neighbourhood lot that, subject to this Act, gives the person the right to vote either personally or by nominee at meetings of an association must give the association written notice of that interest (an association interest notice).

(2) Contents of association interest notice The association interest notice must specify the following information and, if the interest is a mortgage, include confirmation by the mortgagor or be verified by statutory declaration of the mortgagee—

(a) the person’s full name and an address for service of notices,

(b) the lot concerned and the exact nature of the person’s interest,

(c) the date on which the person acquired the interest,

(d) in the case of a corporation, specify the full name and an address for service of notices of the nominee of the corporation who is to exercise the voting entitlement.

(3) Other matters to be specified in notice The association interest notice must specify the manner in which the interest arose and be verified by statutory declaration if any of the following applies to the interest—

(a) the interest is that of the executor or administrator of the estate of a deceased person,

(b) the interest is that of the liquidator or receiver in bankruptcy of any person,

(c) the interest has arisen by the operation of law or the order of any court,

(d) the interest has arisen in any other manner otherwise than by transfer of the interest from some other person or the discharge of a mortgage.

(4) Association may require notice to be given The secretary of an association may, if of the opinion that a person has failed to give notice as required under this section, by a written notice given to the person require the person—

(a) to state, within 14 days, whether or not the person is a person required to give notice under this section, and

(b) if the person is so required, to give that notice.

(5) Person prevented from voting if certain requirements not met A person is not entitled to vote at a meeting of an association if the person has not complied with a notice given to the person under subsection (4) or, in the case of a vote to be tendered through a nominee, if the nominee’s full name and address for service of notices have not been notified under this section.

(6) Changes in certain information to be notified A person who has given notice under this section may by further notice advise a change of nominee or of the person’s or nominee’s address for service.

Meeting procedures and voting

21 Meeting procedures and voting

Other procedures for general meetings of associations and voting at those meetings are set out in Schedule 1.

Order invalidating resolution of association

22 Order invalidating resolution of association

(1) The Tribunal may, on application by a person entitled to vote on a motion at a meeting of an association or the first mortgagee or covenant chargee of a lot of which the owner is so entitled to vote, make an order invalidating a resolution of, or election held by, the persons present at a meeting of the association if the Tribunal considers that the provisions of this Act or the regulations have not been complied with in relation to the meeting.

(2) The Tribunal may refuse to make an order under this section only if it considers—

(a) that the failure to comply with the provisions of this Act or the regulations did not adversely affect any person, and

(b) that compliance with the provisions would not have resulted in a failure to pass the resolution or affected the result of the election.

Order where voting rights denied or due notice of item of business not given

23 Order where voting rights denied or due notice of item of business not given

(1) The Tribunal may, on application by a person entitled to vote on a motion for a resolution of an association at a general meeting, order that a resolution passed at the general meeting be treated as a nullity on and from the date of the order.

(2) The Tribunal must not make the order unless the Tribunal is satisfied that the resolution would not have been passed but for the fact that the applicant for the order—

(a) was improperly denied a vote on the motion for the resolution, or

(b) was not given due notice of the item of business in relation to which the resolution was passed.

(3) An application for an order may not be made unless—

(a) an application for mediation of the dispute was made not later than 28 days after the date of the meeting at which the resolution was passed, or

(b) if an application for mediation was not made, the application for the order was made not later than 28 days after the date of the meeting at which the resolution was passed.

(4) If a resolution that is to be treated as a nullity by an order changes the by-laws and the order has been recorded in the Register under this Act, the by-laws have force and effect on and from the date the order is so recorded to the same extent as they would have had if the change had not been made.

(5) Subsection (4) is subject to the by-laws having been or being changed in accordance with this Act and to any relevant order made by a superior court.

References to “first annual general meeting”

24 References to “first annual general meeting”

For the purposes of this Act, the first annual general meeting of an association is—

(a) the meeting held under section 12, or

(b) if the meeting is not held—the meeting held in accordance with an order under section 18, or

(c) if the meeting is not held and an application for an order is not made—the first meeting of the association, however convened and whenever held, that has the agenda specified in section 13.

Division 3

Limitation on functions during initial period

Division 3 Limitation on functions during initial period

Restriction on powers of associations during initial period

25 Restriction on powers of associations during initial period

An association for a scheme must not, during the initial period for the scheme, do any of the following things unless the association is authorised to do so by an order of the Tribunal under this Division—

(a) incur a debt of an amount in excess of the amount then available for repayment of the debt from the administrative fund or capital works fund,

(b) borrow money or give security for the repayment of money,

(c) make, amend or repeal an association property rights by-law,

(d) add land to the scheme, whether as association property or as a development lot or neighbourhood lot, except in accordance with the development contract (if any) for the scheme,

(e) appoint for a period extending beyond the date of the first annual general meeting of the association—

(i) a managing agent, or

(ii) a facilities manager, or

(iii) another person to assist with the management, maintenance or repair of association property.

s 25: Am 2023 No 45, Sch 4[2].

Restriction on powers of neighbourhood associations

26 Restriction on powers of neighbourhood associations

A neighbourhood association must not, during the initial period for the neighbourhood scheme, do any of the following things unless the neighbourhood association is authorised to do so by an order of the Tribunal under this Division—

(a) grant a lease of neighbourhood property,

(b) create an easement burdening land within the neighbourhood scheme or a restriction on the use of land within the scheme,

(c) release an easement, or a restriction on the use of land, that benefits neighbourhood property,

(d) dedicate association property,

(e) transfer neighbourhood property except by way of sale to a resuming authority under Part 10, Division 6 of the Community Land Development Act 2021,

(f) erect a structure on neighbourhood property,

(g) subdivide or create neighbourhood property.

Restriction on powers of developers

27 Restriction on powers of developers

A developer must not, during the initial period for a scheme, do any of the following things unless the developer is authorised to do so by an order of the Tribunal under this Division—

(a) convert to association property a neighbourhood lot within the scheme,

(b) subdivide a neighbourhood lot within the scheme.

Order to authorise certain acts during initial period

28 Order to authorise certain acts during initial period

(1) The Tribunal may, on application, make an order—

(a) waiving, varying or extinguishing a restriction relating to the initial period for a scheme (whether or not imposed under this Act or the Community Land Development Act 2021), and

(b) authorising matters to be done in relation to the waiving, varying or extinguishing of the restriction.

(2) The application may be made by the association or developer to which the restriction applies.

(3) Written notice of an application must be given to—

(a) the association and each owner of a community development lot, precinct development lot or neighbourhood lot or proposed community development lot, precinct development lot or neighbourhood lot in the case of a community scheme, precinct scheme or neighbourhood scheme or proposed scheme to which the application relates, unless the association or the owner is the applicant, and

(b) each registered mortgagee of a lot in the scheme and any mortgagee specified on the association roll for the lot and any covenant chargee having the benefit of a covenant charge affecting a lot, and

(c) any other persons that the Tribunal directs.

(4) The Tribunal may order that notice of an application be dispensed with if the Tribunal considers it appropriate in the circumstances of the case.

(5) A person to whom notice is given is entitled to appear and be heard on the hearing of the application.

(6) Notice of an application is not required to be given to a mortgagee specified on the association roll for a lot if the rights of the person as a mortgagee—

(a) are suspended for the time being because of a sub-mortgage, particulars of which are specified on the association roll, or

(b) have been terminated because of an instrument, particulars of which are specified on the association roll.

Remedies for breach of restrictions

29 Remedies for breach of restrictions

(1) An association for a scheme may recover from the original owner under the scheme—

(a) as a debt—any liability incurred by the association because of a breach of this Division, or

(b) as damages for breach of statutory duty—any loss suffered by the association as a result of a breach of this Division.

(2) A member of an association for a scheme other than the original owner under the scheme may recover from the original owner as damages for breach of statutory duty any loss suffered by the member because of a breach of this Division.

(3) It is a defence to an action under this section for debt or damages if it is proved that the original owner—

(a) did not know of the breach on which the action is based, or

(b) was not in a position to influence the conduct of the association in relation to the breach, or

(c) used due diligence to try to prevent the breach.

(4) A remedy available under this section does not affect any other remedy.

Part 3

Association committees

Part 3 Association committees

Association to appoint committee

30 Association to appoint committee

(1) An association must ensure that a committee of the association is constituted in accordance with this Act.

(2) The association committee may take office before the first annual general meeting of the association.

(3) If there is no committee of an association, the scheme must be administered by the association, but nothing in this subsection prevents a managing agent appointed under this Act from exercising any functions conferred on the agent.

s 30: Am 2023 No 45, Sch 4[3].

Committee for association with 3 members or fewer

31 Committee for association with 3 members or fewer

(1) The association committee for an association with 3 members or fewer consists of the following—

(a) the nominee of each member that is a subsidiary body or other corporation,

(b) each other member or the nominee of the member.

(2) A member cannot have more than 1 nominee and a nominee must not be a corporation.

(3) The nominee of a subsidiary body must be a person who would be eligible under this Division to be an elected member of the association committee if the association had more than 3 members.

(4) (Repealed)

(5) The association committee ceases to hold office if a new committee is elected under this Division following an increase in membership of the association to more than 3 members.

s 31: Am 2023 No 45, Sch 4[4].

Committee for association with more than 3 members

32 Committee for association with more than 3 members

(1) The association committee of an association with more than 3 members is to consist of the number of persons determined by the association, but the number of members must—

(a) not be more than the number of members of the association, and

(b) not be more than 15.

(2) The members of the association committee—

(a) must be elected at—

(i) the first annual general meeting of the association, and

(ii) each subsequent annual general meeting, and

(b) may be elected at another general meeting called to elect members of the committee.

(3) If the number of members of an association increases to more than 3 after the first annual general meeting of the association, the members of the association committee of the association must be elected at a general meeting called to elect members.

(4), (5) (Repealed)

s 32: Am 2023 No 45, Sch 4[5]–[9].

Persons who are eligible to be members of community committee or precinct committee

33 Persons who are eligible to be members of community committee or precinct committee

(1) The following persons are eligible for nomination, appointment or election to a community committee or a precinct committee—

(a) a member of the association (other than a subsidiary body or other corporation) who is the sole owner of a development lot in the scheme,

(b) a company nominee of a member of the community association or precinct association that is a corporation but is not a subsidiary body,

(c) the only nominee of a member of the community association or precinct association who is eligible to be, but is not, a candidate,

(d) a member of a subsidiary body, or a member of the committee of a subsidiary body, who is nominated by a resolution of the subsidiary body and is the only person nominated by it,

(e) an individual who is the co-owner of a development lot in the scheme or a company nominee of a corporation that is a co-owner of a development lot in the scheme, if the person is nominated for election by an owner who is not a co-owner of the lot or by a co-owner of the lot who is not a candidate for election as a member,

(f) an individual who is not an owner of a development lot in the scheme, if the person is nominated for election by an owner of a development lot who is not a member, or is not seeking election as a member, of the committee.

(2) To avoid doubt, an individual who is a member of the community association or precinct association who is not a co-owner of a development lot in the scheme may nominate himself or herself for election as a member of the community committee or precinct committee.

(3) Only 1 co-owner of the same development lot may be a member of a community committee or precinct committee at the same time.

Persons who are eligible to be members of neighbourhood committee

34 Persons who are eligible to be members of neighbourhood committee

(1) The following persons are eligible for nomination, appointment or election to a neighbourhood committee—

(a) a member of the association (other than a corporation) who is the sole owner of a development lot in the scheme,

(b) a company nominee of a member of the neighbourhood association that is a corporation,

(c) the only nominee of a member of the neighbourhood association who is eligible to be, but is not, a candidate,

(d) an individual who is the co-owner of a neighbourhood lot in the scheme or a company nominee of a corporation that is a co-owner of a neighbourhood lot in the scheme, if the person is nominated for election by an owner who is not a co-owner of the lot or by a co-owner of the lot who is not a candidate for election as a member,

(e) an individual who is not an owner of a neighbourhood lot, if the person is nominated for election by an owner of a neighbourhood lot who is not a member, or is not seeking election as a member, of the committee.

(2) To avoid doubt, an individual who is a member of the neighbourhood association who is not a co-owner of a neighbourhood lot may nominate himself or herself for election as a member of the neighbourhood committee.

(3) Only 1 co-owner of the same neighbourhood lot may be a member of a neighbourhood committee at the same time.

Persons who are not eligible to be elected to association committee

35 Persons who are not eligible to be elected to association committee

(1) The following persons are not eligible for appointment, nomination or election as members of an association committee—

(a) the managing agent for the association or for a subsidiary body of the association,

(b) the facilities manager for the association or for a subsidiary body of the association,

(c) a real estate agent carrying out functions in connection with the leasing of a lot in the association scheme or a subsidiary scheme,

(d) a person who is connected with the original owner, unless the person discloses that connection at the meeting at which the election is held and before the election is held or before the person is appointed or nominated as a member,

(e) other persons prescribed by the regulations for the purposes of this section.

(2) An owner of a lot in a scheme who was an unfinancial owner at the date notice was given of the meeting at which the election of the association committee is to be held and who did not pay the amounts owing by the owner before the meeting is not eligible for appointment or election to the association committee.

(3) A person who becomes ineligible to be a member after becoming a member of an association committee must disclose that fact to the secretary or chairperson of the association as soon as possible after becoming aware of that fact.

(4) The disclosure is to be made by written notice given to the secretary or chairperson of the association, unless it is made at a meeting of the association or association committee.

(5) If the office of a member is vacated under section 38(1)(h) or 39(1)(f), the person is not eligible for appointment, nomination or election as a member for the period of 12 months commencing on the day the resolution is passed.

s 35: Am 2023 No 45, Sch 4[10] [11].

Tenant representatives on neighbourhood committees

36 Tenant representatives on neighbourhood committees

(1) This section applies to a neighbourhood scheme if there are tenants (being tenants notified in tenancy notices given in accordance with this Act) for at least half of the neighbourhood lots.

(2) The tenants of the neighbourhood lots (being tenants notified in tenancy notices given in accordance with this Act) may nominate a tenant representative for the neighbourhood committee.

(3) The tenant representative on a neighbourhood committee is, in that capacity—

(a) not entitled to vote on decisions of the committee or to put a motion or nominate a person for office, and

(b) not entitled to act as an officer of the association for committee purposes, and

(c) cannot be counted in determining whether there is a quorum of the committee.

(4) The neighbourhood committee, at any meeting or for the purpose of all meetings, may determine that a tenant representative is not entitled to be present when the following matters are being discussed or determined—

(a) financial statements and auditor’s reports,

(b) levying of contributions,

(c) recovery of unpaid contributions,

(d) any other financial matter specified by the regulations.

(5) The regulations may provide for the procedures for nomination of a tenant representative, including the term for which a tenant representative is appointed and the notification of an appointment.

Acting members of association committee

37 Acting members of association committee

(1) A member of an association committee may, with the consent of the committee, appoint a person who is eligible for election to the committee to act in the member’s place at a meeting of the committee.

(2) The person is, while so acting, taken to be a member.

(3) A person may be appointed whether or not he or she is already a member of the committee.

(4) A person who is appointed and who is already a member may, at any meeting of the committee, separately vote in the person’s capacity as a member and on behalf of the member in whose place the person has been appointed to act.

Vacation of office of elected member of community committee or precinct committee

38 Vacation of office of elected member of community committee or precinct committee

(1) An elected member of a community committee or precinct committee vacates office as a member—

(a) if the person ceases to be a member of the association or was nominated by a person who ceases to be a member of the association, or

(b) if the person was eligible to be a member at the time of appointment or election and the person ceases to be so eligible, or

(c) if the person was nominated by a member of the association or was a company nominee and the individual who nominated the person for election or the corporation for which the person is a company nominee gives written notice to the association that the person’s office is vacated, or

(d) if the person was nominated by a subsidiary body on the basis of being a member of the subsidiary body or of its committee or its council and ceases to be a member, or

(e) if the person was nominated by a subsidiary body and the body gives written notice to the association that the person’s office is vacated after being authorised to do so by a resolution of the subsidiary body, or

(f) on receipt by the association from the person of notice in writing of the person’s resignation as a member, or

(g) at the end of the next meeting at which a new association committee is elected by the association, or

(h) if the association, by resolution at a general meeting, determines that the person’s office as a member is vacated.

(2) A community committee or precinct committee may appoint a person eligible for election as a member to fill a vacancy in the office of a member of the committee, other than a vacancy arising under subsection (1)(g) or a vacancy in the office of an officer of the association.

Note.

Section 49(2) provides for the filling of vacancies in the office of members who are officers of the association.

(3) A person so appointed holds office, subject to this section, for the balance of the predecessor’s term of office.

(4) A resolution that the office of a member is vacated may relate to more than 1 member of a community committee or precinct committee or to all members of a committee.

s 38: Am 2023 No 45, Sch 4[12] [13].

Vacation of office of elected member of neighbourhood committee

39 Vacation of office of elected member of neighbourhood committee

(1) An elected member of a neighbourhood committee vacates office as a member—

(a) if the person ceases to be a member of the association or was nominated by a person who ceases to be a member of the association, or

(b) if the person was eligible to be a member at the time of appointment or election and the person ceases to be so eligible, or

(c) if the person was nominated by a member of the association or was a company nominee and the individual who nominated the person for election or the corporation for which the person is a company nominee gives written notice to the association that the person’s office is vacated, or

(d) on receipt by the association from the person of notice in writing of the person’s resignation as a member, or

(e) at the end of the next meeting at which a new committee is elected by the association, or

(f) if the association, by resolution at a general meeting, determines that the person’s office as a member is vacated.

(2) A neighbourhood committee may appoint a person eligible for election as a member to fill a vacancy in the office of a member of the committee, other than a vacancy arising under subsection (1)(e) or a vacancy in the office of an officer of the association.

Note.

Section 49(2) provides for the filling of vacancies in the office of members who are officers of the association.

(3) A person so appointed holds office, subject to this section, for the balance of the predecessor’s term of office.

(4) A resolution that the office of a member is vacated may relate to more than 1 member of a neighbourhood committee or to all members of a neighbourhood committee.

s 39: Am 2023 No 45, Sch 4[14] [15].

Functions of association committee

40 Functions of association committee

(1) An association committee has the functions conferred on it by or under this or any other Act.

(2) A decision of an association committee is taken to be the decision of the association.

(3) However, in the event of a disagreement between the association and the committee, the decision of the association prevails.

(4) The following decisions cannot be made by an association committee—

(a) a decision that is required by or under an Act to be made by the association by unanimous resolution or special resolution or in general meeting,

(b) a decision on a matter or type of matter that the association has determined in general meeting is to be decided only by the association in general meeting.

(5) An association may in general meeting continue to exercise all or any of the functions conferred on it by this Act or the by-laws even though an association committee holds office.

Duty of members of association committee

41 Duty of members of association committee

(1) Each member of an association committee of an association has the following duties—

(a) to exercise the member’s functions—

(i) with honesty and fairness, and

(ii) with due care and diligence, and

(iii) for the benefit, as far as practicable, of the association,

(b) to comply with this Act and the regulations,

(c) to only use or disclose information obtained as a member, including information about an owner of a lot—

(i) as required to carry out association committee functions, or

(ii) as authorised or required by law,

(d) to not behave in a way that unreasonably affects a person’s lawful use or enjoyment of a lot in the scheme or the association property.

s 41: Am 2025 No 14, Sch 2[7].

Acts and proceedings of association committee valid despite vacancies or defects

42 Acts and proceedings of association committee valid despite vacancies or defects

(1) This section applies if, when an act or proceeding of an association committee was done, taken or commenced there was—

(a) a vacancy in the office of an officer of the association or another member of the committee, or

(b) a defect in the appointment, or a disqualification, of an officer or member of the committee.

(2) An act or proceeding of an association committee done in good faith is as valid as if the vacancy, defect or disqualification did not exist and the committee were fully and properly constituted.

Meetings must be convened on certain requests

43 Meetings must be convened on certain requests

(1) The secretary of the association, or another member of the association committee, must convene a meeting of the committee if requested to do so by at least one-third of the members of the committee.

(2) The meeting must be held within the period, if any, specified in the request, subject to the requirements for notice of meetings.

(3) If meetings of 2 different association committees are held at the same time in 1 meeting, both meetings are invalid.

Meeting procedures and voting

44 Meeting procedures and voting

Other procedures for meetings of an association committee and voting at those meetings are set out in Schedule 2.

Division 4

Office holders

Division 4 Office holders

Association committee to appoint officers

45 Association committee to appoint officers

(1) The members of an association committee must, at the first meeting of the committee after they assume office as members, appoint a chairperson, secretary and treasurer of the committee in accordance with this Act.

(2) The chairperson, secretary and treasurer of the committee are also, respectively, the chairperson, secretary and treasurer of the association.

(3) A person may be appointed to 1 or more of the offices of chairperson, secretary and treasurer.

(4) Nomination for election as an officer of the committee may be made before or at the meeting at which the election is held.

(5) The regulations may provide for the procedures for nomination of officers of the committee.

Functions of chairperson of association

46 Functions of chairperson of association

(1) The functions of the chairperson of an association include the following—

(a) to preside at meetings,

(b) to make determinations, in accordance with this Act, as to quorums and procedural matters at meetings,

(c) to ensure the agenda is followed at meetings,

(d) to maintain order at meetings,

(e) to facilitate the fair, constructive and open discussion of matters at meetings,

(f) to encourage discussion by meeting attendees.

(2) In this section—

meetings means meetings of the association and the association committee.

s 46: Am 2025 No 14, Sch 2[8]–[10].

Functions of secretary of association

47 Functions of secretary of association

The functions of a secretary of an association include the following—

(a) to prepare and distribute minutes of meetings of the association and submit a motion for confirmation of the minutes of a meeting of the association at the next meeting,

(b) to give on behalf of the association and the association committee of the association notices required to be given under this Act,

(c) to maintain the association roll,

(d) to enable the inspection of documents on behalf of the association in accordance with this Act,

(e) to answer communications addressed to the association,

(f) to convene meetings of the association committee and (apart from its first annual general meeting) of the association,

(g) to attend to matters of an administrative or secretarial nature in connection with the exercise of functions by the association or the association committee,

(h) any other functions conferred on the secretary under any other Act or law.

Functions of treasurer of association

48 Functions of treasurer of association

(1) General functions The functions of a treasurer of an association include the following—

(a) to notify members of contributions levied in accordance with this Act,

(b) to receive, acknowledge, bank and account for money paid to the association,

(c) to prepare association information certificates,

(d) to keep the accounting records and prepare the financial statements.

(2) Delegation by treasurer of functions The treasurer of an association may delegate the exercise of any of the treasurer’s functions (other than this power of delegation) to another member of the association committee of the association if—

(a) the delegation is specifically approved by the committee, and

(b) the committee specifically approves of the function being delegated to that member, and

(c) the delegation is subject to the limitations as to time or otherwise that the committee requires.

(3) While a delegate is acting in accordance with the terms of a delegation, the delegate is taken to be the treasurer of the association.

(4) Association committee may require treasurer to exercise functions jointly The association committee of an association may, by a written notice given to the treasurer of the association, order the treasurer not to exercise any of the treasurer’s functions that are specified in the notice unless the treasurer does so jointly with another person so specified.

Vacation of office by officer

49 Vacation of office by officer

(1) An officer of an association vacates office as an officer—

(a) if the person ceases to be a member of the association committee, or

(b) on the receipt by the association from the person of written notice of the person’s resignation as an officer, or

(c) if another person is appointed by the association committee to hold that office, or

(d) if the association, by resolution, declares that the person’s office is vacated, or

(e) if the person dies.

(2) An association committee is to appoint a person who is a member of the committee, or who is eligible to be a member of the committee, to fill a vacancy in the office of an officer of an association, other than a vacancy referred to in section 38(1)(g) or 39(1)(e).

(3) A person so appointed holds office, subject to this section, for the balance of the predecessor’s term of office.

s 49: Am 2025 No 14, Sch 2[11].

Payment of officers of association

50 Payment of officers of association

An association may pay to a person who is an officer of the association or another member of the association committee of the association an amount determined by the association at an annual general meeting in recognition of services performed by the person for the association in the period since the last annual general meeting.

Original owner to exercise officers’ functions before appointment of officers

51 Original owner to exercise officers’ functions before appointment of officers

The functions of the chairperson, secretary and treasurer of an association are to be exercised by the original owner, or an agent of the original owner authorised in writing, until the offices are filled or until the end of the first annual general meeting of the association, whichever first occurs.

Tribunal may order meeting if no officers or association committee

52 Tribunal may order meeting if no officers or association committee

(1) The Tribunal may, on application by a member or an owner, mortgagee or covenant chargee of a development lot in an association scheme, make an order appointing a person to convene and hold a meeting of the association if there is not a chairperson, secretary and treasurer of the association, or if no association committee exists, after the first annual general meeting of the association has been held.

(2) The Tribunal may make other ancillary orders it thinks fit, including the following orders—

(a) orders relating to giving notice of the meeting,

(b) orders relating to the person who is to preside at the meeting.

(3) The person who is to convene and hold the meeting is to be a person nominated by the applicant, or appointed by the Tribunal, who has consented to the nomination or appointment.

(4) The meeting is to be convened and held within the time (if any) specified in the order.

(5) A person appointed by an order under this section to preside at a meeting is taken, while so presiding, to be the chairperson of the association.

Part 4

Managing agents and facilities managers

Part 4 Managing agents and facilities managers

Appointment of managing agents

53 Appointment of managing agents

(1) An association may appoint a person who is the holder of a strata managing agent’s licence under the Property and Stock Agents Act 2002 to be the managing agent of the scheme.

(2) The appointment is to be made by instrument in writing authorised by a resolution at a general meeting of the association.

(2A) The Secretary may approve—

(a) the form of agency agreements for the appointment of managing agents, and

(b) the terms, conditions and other provisions that agency agreements for the appointment of managing agents must or must not contain.

(2B) The Secretary may approve 1 or more standard form of agency agreements for the appointment of managing agents.

(3) A reference in this section to a strata managing agent’s licence under the Property and Stock Agents Act 2002 includes a reference to a corporation licence under that Act that authorises the holder to act as, or carry on the business of, a managing agent.

(4) An owner who is seeking appointment as a managing agent is not entitled to vote or cast a proxy vote on the appointment at a meeting of the association.

s 53: Am 2025 No 14, Sch 2[12].

Term of appointment of managing agents

54 Term of appointment of managing agents

(1) The term of appointment (including any additional term under an option to renew) of a managing agent for a scheme expires (if the term of the appointment does not end earlier or is not ended earlier for any other reason)—

(a) if the managing agent is appointed by the association at the first annual general meeting—at the end of the period of 12 months following that appointment, or

(b) in any other case—at the end of the period of 3 years following the appointment.

(2) A person may be reappointed by the association by resolution at a general meeting as the managing agent for a scheme at the end of the person’s term of appointment.

(3) The appointment of a managing agent may be terminated in accordance with the instrument of appointment if authorised by a resolution at a general meeting of the association.

(4) The term of appointment of a managing agent may be extended by the association committee for successive periods of up to 3 months after it would otherwise expire (but not for any period that would extend beyond the date of the next annual general meeting of the association) pending a decision as to the reappointment of the managing agent.

(5) However, if an association committee has extended a term of appointment of a managing agent under this section, the association committee must give the managing agent at least 1 month’s notice of a decision not to reappoint the managing agent or not to further extend the appointment.

(6) A managing agent must give the association written notice of the end of a term of appointment—

(a) at least 3 months, but not more than 6 months, before the end of the term of appointment, and

(b) at least 1 month before the end of each extension of a term permitted by this section.

(7) An instrument of appointment of a managing agent for a period of 3 years (as referred to in subsection (1)(b)) is taken to include an option for the agent to extend the term of the appointment for a maximum period of 3 months after the end of the term of 3 years, if the association decides not to reappoint the agent and does not extend the term of appointment under subsection (4).

(8) The managing agent must give the association written notice of the exercise of the option.

(9) A managing agent is not entitled to exercise an option under subsection (7) if the association gives the agent written notice that the agent will not be reappointed at least 3 months before the end of the term.

(10) In this section, a reference to the appointment of a managing agent includes a reference to the reappointment of a managing agent.

s 54: Am 2023 No 45, Sch 4[16].

Transfer of functions of managing agent

55 Transfer of functions of managing agent

(1) A managing agent of an association may transfer the managing agent’s functions, but only if the transfer is authorised by a resolution at a general meeting of the association for the scheme.

(2) A person to whom the functions are transferred is taken to be appointed under this Division as a managing agent for the scheme.

(3) The term of appointment as a managing agent of the person to whom the functions are transferred ends on the same day as the term of the person by whom the functions were transferred would have ended if the transfer had not taken place.

Association may delegate functions to managing agent

56 Association may delegate functions to managing agent

(1) An association may, by the instrument appointing a managing agent or some other instrument, delegate to the managing agent—

(a) all of its functions, or

(b) any 1 or more of its functions specified in the instrument, or

(c) all of its functions except those specified in the instrument.

(2) An association must not delegate to a managing agent its power to make—

(a) a delegation under this section, or

(b) a decision on a matter that is required to be decided by the association, or

(c) a determination relating to the levying or payment of contributions.

(3) A delegation may be made subject to the conditions or limitations as to the exercise of all or any of the functions, or as to time or circumstances, that may be specified in the instrument of delegation.

(4) An association may delegate the functions only if authorised to do so by a resolution at a general meeting.

(5) An association may, if authorised to do so by a resolution at a general meeting, revoke or vary a delegation under this section.

Exercise of delegated functions by managing agent

57 Exercise of delegated functions by managing agent

(1) A function delegated under this Division may, while the delegation remains unrevoked, be exercised from time to time in accordance with the delegation.

(2) Despite a delegation made under this Division, the association may continue to exercise all or any of the functions delegated.

(3) An act or thing done or suffered by a managing agent while acting in the exercise of a delegation under this Division—

(a) has the same effect as if it had been done or suffered by the association, and

(b) is taken to have been done or suffered by the association.

(4) This section is subject to section 60.

Functions of officers and association committee may be given to managing agent

58 Functions of officers and association committee may be given to managing agent

(1) The instrument of appointment of a managing agent may provide that the managing agent has and may exercise all the functions of the chairperson, secretary, treasurer or association committee of an association or the functions of those officers or the committee that are specified in the instrument.

(2) However, the chairperson, secretary, treasurer and committee of an association may continue to exercise all or any of the functions that the managing agent is authorised to exercise.

(3) An act or thing done or suffered by a managing agent in the exercise of a function of the chairperson, secretary, treasurer or committee conferred on the managing agent in accordance with this section—

(a) has the same effect as if it had been done or suffered by the chairperson, secretary, treasurer or committee, and

(b) is taken to have been done or suffered by the chairperson, secretary, treasurer or committee.

(4) This section is subject to section 60.

Managing agent to record exercise of functions

59 Managing agent to record exercise of functions

(1) A managing agent who exercises a function of the association or of an officer of the association must, immediately after its exercise, make a record specifying the function and the manner in which it was exercised.

(2) The managing agent must, every 6 months, give the association a copy of the records kept for the preceding 6 months.

s 59: Am 2025 No 14, Sch 2[13].

Exercise of functions of managing agent appointed by Tribunal

60 Exercise of functions of managing agent appointed by Tribunal

If a managing agent is appointed by the Tribunal, or by an association or strata corporation on an order of the Tribunal, to exercise a function—

(a) the function cannot, while the managing agent holds office, be exercised by another person, and

(b) anything done or suffered by the managing agent in the exercise of the function has the same effect as it would have if it had been done or suffered by the person who, but for paragraph (a), could have exercised it.

Note.

The Tribunal may make an order appointing a managing agent under section 196.

Breaches by managing agent

61 Breaches by managing agent

(1) If a managing agent has been delegated a duty by an association and a breach of the duty by the association would constitute an offence under a provision of this Act, the agent is guilty of an offence under that provision (instead of the association) for a breach of the duty by the agent occurring while the delegation remains in force.

(1A) It is a defence to a prosecution under subsection (1) if the agent establishes that—

(a) the breach of the duty was caused by the association, and

(b) the agent took all reasonable steps to prevent the breach of the duty.

(2) A managing agent must not, in connection with the provision of services as a managing agent or the exercise of functions as a managing agent, request or accept a gift or other benefit from another person for himself or herself or for another person.

Maximum penalty—

(a) for a corporation—500 penalty units, or

(b) otherwise—100 penalty units.

(3) Subsection (2) does not apply to—

(a) remuneration paid to a managing agent or an employee or contractor of a managing agent by an association, or

(b) a monetary commission paid to a managing agent, if the payment of the commission is in accordance with the terms of appointment of the managing agent by the association or has been otherwise approved by the association, or

(b1) a training service provided to, or paid for, a managing agent, if it was related to management functions and the provision or payment is in accordance with the terms of appointment of the managing agent by the association or has been otherwise approved by the association, or

(c) a gift or other benefit that has a value that is less than the amount prescribed by the regulations for the purposes of this subsection.

(3A) An association may only give approval under subsection (3)(b) or (b1) by a resolution at a general meeting.

(3B) The motion for the resolution must be accompanied by a document prepared by the managing agent containing—

(a) details about the commission or training service, including—

(i) for a commission—the amount of the commission and the method of its calculation, or

(ii) for a training service—the monetary value of the training service or, if that is not known, an estimate of the monetary value of the training service, and

(b) details about the nature of the relationship between the person providing the commission or training service and the managing agent, and

(c) details about why the approval is in the association’s best interest, and

(d) a statement that the managing agent believes that accepting the gift or other benefit does not contravene the Property and Stock Agents Regulation 2022, Schedule 1, section 11 and the reasons for the belief.

(4) In this section—

gift has the same meaning as in the Electoral Funding Act 2018.

s 61: Am 2024 No 65, Sch 3[1]–[3]; 2025 No 14, Sch 2[14].

Managing agent may be required to provide information about trust account and other accounts

62 Managing agent may be required to provide information about trust account and other accounts

(1) An association may require a managing agent to provide the following information relating to the trust account that the agent is required to operate under the Property and Stock Agents Act 2002—

(a) the name and number of the account,

(b) the name of the authorised deposit-taking institution in which the account is current,

(c) the balance in the account standing to the credit of the association on a specified date,

(d) particulars of all cheques drawn on the account on behalf of the association as at that date and not presented and duly paid.

(2) An association may require a managing agent to provide the following information relating to other accounts on which the agent operates in the exercise of functions of the association—

(a) the names and numbers of the accounts,

(b) the names of the authorised deposit-taking institutions in which the accounts are current,

(c) the balance in each of the accounts standing to the credit of the association on a specified date,

(d) particulars of all cheques drawn on each of the accounts as at that date and not presented and duly paid.

Provision of information about money received and other transactions

63 Provision of information about money received and other transactions

(1) An association may require a managing agent to provide—

(a) full particulars relating to the payment of money to, or the receipt of money by, the agent on behalf of the association, and

(b) if the money is not still held by the agent, the manner and time of disposal of the money.

(2) An association may require a managing agent to provide full particulars of any specified transaction that has been entered into by the agent on behalf of the association.

Disclosure by managing agents

64 Disclosure by managing agents

(1) A managing agent for a scheme must report the following at the annual general meeting of the association for the scheme—

(a) whether commissions have been paid to the agent (other than by the association) in connection with the exercise by the agent of functions for the scheme during the preceding 12 months and particulars of any such commissions,

(b) any such commissions and the estimated amount of the commissions that the agent believes are likely to be received by the agent in the following 12 months,

(c) whether, during the preceding 12 months—

(i) a supplier of goods or services for the strata scheme has become connected with the agent, or

(ii) an original owner of the strata scheme has become connected with the agent,

(d) the following information—

(i) the suppliers of goods or services for the strata scheme who are connected with the agent,

(ii) the original owners of the strata scheme who are connected with the agent,

(iii) for subparagraphs (i) and (ii)—details about the nature of the relationship between the agent and the supplier or original owner,

(iv) for subparagraph (i)—details about the goods and services provided by the supplier.

Maximum penalty—

(a) for a corporation—500 penalty units, or

(b) otherwise—100 penalty units.

Note.

It is an offence for an agent to receive commissions that are not of a kind permitted by the agent’s terms of appointment or approved by the association (see section 61).

(2) A managing agent must, as soon as practicable after becoming aware that commissions paid to the agent (other than by the association) differ from the commissions or an estimate of commissions disclosed at the annual general meeting, disclose to the association committee the variation and give an explanation for the variation.

Maximum penalty—

(a) for a corporation—500 penalty units, or

(b) otherwise—100 penalty units.

(2A) A managing agent must give written notice to the association before entering into a contract for the purchase of goods or services if either or both of the following apply—

(a) under the contract, a commission or training service of the kind referred to in section 61(3)(b) or (b1) may be paid to the agent,

(b) the contract is with a person connected with the agent.

Maximum penalty—

(a) for a corporation—500 penalty units, or

(b) otherwise—100 penalty units.

(2B) The notice must include the following—

(a) details, including the specific provision of the terms of appointment of the agent, if relevant, that demonstrate the payment of the commission or provision of the training service is permitted under section 61(3),

(b) details about the commission or training service, including the following—

(i) the amount of the commission and the method of its calculation,

(ii) for a training service—the monetary value of the training service or, if that is not known, an estimate of monetary value of the training service,

(c) details about the nature of the relationship between the person paying the commission or training service and the managing agent,

(d) details about why the contract is in the association’s best interest,

(e) a statement that the managing agent believes that entering into the contract does not contravene the Property and Stock Agents Regulation 2022, Schedule 1, section 11 and the reasons for the belief.

(2C) A managing agent must give written notice to the association as soon as practicable after becoming aware of the following—

(a) a supplier of goods or services for the scheme becomes connected with the agent,

(b) the original owner of the scheme becomes connected with the agent,

(c) the agent acquires a direct or indirect pecuniary interest in the scheme.

Maximum penalty—

(a) for a corporation—500 penalty units, or

(b) otherwise—100 penalty units.

(2D) The notice must include—

(a) for subsection (2C)(a) and (b)—details about the nature of the relationship between the agent and the supplier or original owner, and

(b) for subsection (2C)(a)—details about the goods and services provided by the supplier.

(3) The Tribunal may, on application by an association or the Secretary, order a managing agent to pay to the association—

(a) the whole or part of the amount of commissions paid to the agent and not disclosed in accordance with this section, or

(b) the whole or part of the amount of commissions paid to the agent that are not of a kind or an amount disclosed by the agent under this section, if the Tribunal is satisfied that the disclosure of commissions at the previous annual general meeting was not made in good faith.

s 64: Am 2024 No 65, Sch 3[1] [4]–[7].

Procedure for requiring information from managing agent

65 Procedure for requiring information from managing agent

(1) An association is to require information from a managing agent under this Division by written notice given to the managing agent.

(2) The notice must specify a member of the association committee to whom the information is to be delivered.

Offences for managing agent failing to give information

66 Offences for managing agent failing to give information

(1) A managing agent must comply with a notice to provide information under this Division by giving a written statement, in accordance with the notice, within 14 days after the notice is given.

Maximum penalty—20 penalty units.

(2) A person is not guilty of failing to comply with the notice if reasonable cause for the failure is shown.

(3) A managing agent must not knowingly provide information that is false or misleading in a material particular in a statement given in response to a notice to provide information under this Division.

Maximum penalty—20 penalty units.

s 66: Am 2025 No 14, Sch 2[15].

Responsibility for providing information if a managing agent ceases to hold a licence or dies

67 Responsibility for providing information if a managing agent ceases to hold a licence or dies

If a managing agent ceases to hold a licence under the Property and Stock Agents Act 2002 to carry on business as a managing agent or dies—

(a) this Division (except section 63) applies, as if the person were the managing agent, to any person who is required by that Act to maintain a trust account in connection with the business of the former licensee, and

(b) this Division (except section 62(1)) applies, as if the person were the managing agent, to any person who is required by that Act to preserve records kept by the former licensee.

Exemption for information relating to certain transactions

68 Exemption for information relating to certain transactions

A managing agent or other person is not required to provide information under this Division in relation to a transaction that took place more than 5 years before notice requiring the information was given.

Certain provisions of other Acts requiring agents to provide information not to apply to affairs of association

69 Certain provisions of other Acts requiring agents to provide information not to apply to affairs of association

Section 101 of the Property and Stock Agents Act 2002 does not apply to or in respect of a transaction if information about the transaction may be required to be provided to an association under this Division.

Note.

Section 101 of the Property and Stock Agents Act 2002 enables a person directly concerned in a transaction with a licensee under that Act to require an itemised account of the transaction from the licensee.

Facilities managers

70 Facilities managers

(1) A facilities manager is a person who assists in exercising 1 or more of the following functions of the association—

(a) managing association property,

(b) controlling the use of association property by persons other than the owners and occupiers of lots,

(c) maintaining and repairing association property.

(2) However, a person is not a facilities manager if—

(a) the person exercises the functions of a facilities manager only—

(i) on a voluntary or casual basis, or

(ii) as a member of the association committee, or

(b) the person, or a class of persons to which the person belongs, is prescribed as not being a facilities manager.

(3) A person may be both a facilities manager and a person who exercises the functions of an on-site residential property manager (within the meaning of the Property and Stock Agents Act 2002).

(4) A facilities manager may be a person who is entitled to exclusive possession (whether or not jointly with another person) of a lot or association property in a scheme.

(5) For the purposes of this Act, a person is taken to be a facilities manager for a scheme if the person meets the description of a facilities manager set out in this section, regardless of whether the title given to the person’s position is facilities manager, caretaker, resident manager or another title.

s 70: Am 2025 No 14, Sch 2[17].

Appointment of facilities managers

71 Appointment of facilities managers

(1) A facilities manager may be appointed for a scheme.

(2) The appointment is to be made by instrument in writing (a facilities manager agreement) executed before or after the scheme commenced by the facilities manager and—

(a) by the original owner, if executed before the scheme commenced, or

(b) under the authority of a resolution passed at a general meeting of the association of the scheme, if executed after the scheme commenced.

(3) The Secretary may approve—

(a) the form of facilities manager agreements, and

(b) the terms, conditions and other provisions that facilities manager agreements must or must not contain.

(4) The Secretary may approve 1 or more standard form of facilities manager agreements.

s 71: Am 2025 No 14, Sch 2[18].

Term of appointment of facilities managers

72 Term of appointment of facilities managers

(1) A facilities manager agreement (including an additional term under an option to renew it) expires (if the appointment is not ended for any other reason)—

(a) at the conclusion of the first annual general meeting of the association, if the agreement was executed before the meeting, or

(b) when 10 years have expired after it commenced to authorise the facilities manager to act under it, in any other case.

(2) A person may be reappointed as facilities manager for a scheme at the end of the person’s facilities manager agreement.

(3) The appointment of a facilities manager may be terminated in accordance with the facilities manager agreement, if authorised by a resolution at a general meeting of the association.

Transfer of functions of facilities manager

73 Transfer of functions of facilities manager

(1) A facilities manager may transfer the facilities manager’s functions to another person, but only if the transfer is authorised by a resolution at a general meeting of the association.

(2) A person to whom those functions are transferred is taken to be appointed as a facilities manager by the facilities manager agreement.

(3) The term of appointment as a facilities manager of the person to whom the functions are transferred ends on the same day as the term of the person by whom the functions were transferred would have ended if the transfer had not taken place.

Functions of facilities manager

74 Functions of facilities manager

(1) A facilities manager may, in accordance with the facilities manager agreement appointing the facilities manager, assist in exercising 1 or more of the functions of the association of managing and controlling the use of association property (otherwise than by the owners or occupiers of lots) and of maintaining and repairing association property.

(2) However, the association may continue to exercise all or any of those functions, subject to the facilities manager agreement.

(3) A person is not a managing agent for the purposes of this or another Act only because the person is a facilities manager acting in accordance with a facilities manager agreement.

74A

Duties of facilities managers

74A Duties of facilities managers

(1) A facilities manager must not, without reasonable excuse—

(a) fail to act in the best interests of the association, or

(b) breach a duty prescribed by the regulations.

Maximum penalty—

(a) for an individual—100 penalty units, or

(b) otherwise—200 penalty units.

(2) A facilities manager is not required to act in the association’s best interests if it would be——

(a) contrary to this Act or the regulations, or

(b) otherwise unlawful.

(3) The regulations may prescribe additional duties of facilities managers.

s 74A: Ins 2025 No 14, Sch 2[19].

Division 5

General

Division 5 General

Interests must be disclosed by potential managing agents or facilities managers

75 Interests must be disclosed by potential managing agents or facilities managers

(1) A person appointed as the managing agent or facilities manager for a scheme who has an interest that must be disclosed under this section must disclose the interest to the association before the appointment of the person.

Maximum penalty—

(a) for a corporation—500 penalty units, or

(b) otherwise—100 penalty units.

(2) The following are interests that must be disclosed to the association by a person—

(a) that the person is connected with the original owner,

(b) any direct or indirect pecuniary interest in the scheme (other than an interest arising only from an existing or prospective appointment as the managing agent or facilities manager for the scheme),

(c) that the person is connected with another person (the supplier) who routinely supplies goods or services for other schemes for which the person is the managing agent,

(d) that the person gave advice, whether under a formal contract or not, to the original owner during the previous 2 years about the community plan or another community plan or a strata plan,

(e) another interest prescribed by the regulations.

(3) The disclosure must—

(a) be made in writing, and

(b) for subsection (2)(c), include—

(i) details about the nature of the relationship between the person and the supplier, and

(ii) details about the goods and services provided by the supplier.

s 75: Am 2024 No 65, Sch 3[1] [8].

Managing agent and facilities manager agreements may be terminated or varied by Tribunal

76 Managing agent and facilities manager agreements may be terminated or varied by Tribunal

(1) The Tribunal may, on application by an association for a scheme, make any of the following orders in respect of an agreement for the appointment of a managing agent or facilities manager for the scheme—

(a) an order terminating the agreement,

(b) an order requiring the payment of compensation to a party to the agreement,

(c) an order varying the term, or varying or declaring void any of the conditions, of the agreement,

(d) an order that a party to the agreement take an action or not take an action under the agreement,

(e) an order dismissing the application.

(2) If the Tribunal makes an order terminating the agreement, the Tribunal may also order the managing agent or facilities manager to return to the association, within the period specified in the order, any documents or other records relating to the association scheme that are in the possession of the agent or manager.

(3) The Tribunal may make an order under this section on any of the following grounds—

(a) that the managing agent or facilities manager has refused or failed to perform the agreement or has performed it unsatisfactorily,

(b) that charges payable by the association under the agreement are unfair,

(c) that the managing agent has contravened section 61(2),

(d) that the managing agent has failed to disclose commissions (including estimated commissions or variations and explanations for variations) in accordance with section 64 or has failed to make the disclosures in good faith,

(e) that the managing agent or facilities manager has failed to disclose an interest under section 75,

(f) that the agreement is, in the circumstances of the case, otherwise harsh, oppressive, unconscionable or unreasonable,

(g) that the managing agent or facilities manager is carrying on a business involving the supply of services to the association, owners or occupiers of lots if carrying on the business is contrary to law.

s 76: Am 2025 No 14, Sch 2[20].

Part 5

Financial management

Part 5 Financial management

Administrative fund

77 Administrative fund

(1) Establishment of fund An association must establish an administrative fund.

(2) Amounts payable to fund An association must pay the following amounts into the administrative fund—

(a) the contributions levied on, and paid by, members for payment into the fund,

(b) the proceeds of the disposal of any personal property of the association,

(c) fees paid to the association for inspection of its records and the provision of information and certificates relating to its records,

(d) monetary penalties payable to the association under this Act,

(e) the proceeds of investment of the fund.

(3) An association may also pay the following amounts into the administrative fund—

(a) amounts paid to the association by way of discharge of insurance claims,

(b) income of the association, other than proceeds of investment of the capital works fund,

(c) amounts that may be, but are not required to be, paid into the fund under this Act.

(4) Amounts payable from fund An association may pay money from its administrative fund only for the following purposes—

(a) payments of the kind for which estimates have been made under section 83(1),

(b) payments made in accordance with this Division on a distribution of a surplus in the fund,

(c) payments to a member of the association committee in accordance with this Act,

(d) other payments in connection with exercising its functions under this Act or the by-laws, or the Community Land Development Act 2021, except payments that are permitted to be made from the capital works fund,

(e) monetary penalties payable by the association under this Act,

(f) the transfer of money to the capital works fund or to pay expenditure that should have been paid from the capital works fund.

Capital works fund

78 Capital works fund

(1) Establishment of fund An association must establish a capital works fund.

(2) Amounts payable to fund An association must pay the following amounts into the capital works fund—

(a) the contributions levied on, and paid by, members for payment into the fund,

(b) amounts paid to the association by way of discharge of insurance claims, unless paid into the administrative fund,

(c) an amount received by the association that is not required or permitted to be paid into the administrative fund,

(d) the proceeds of investment of the fund.

(3) An association may also pay the following amounts into the capital works fund—

(a) any income of the association,

(b) any amount that may be, but is not required to be, paid into the fund under this Act.

(4) Amounts payable from fund An association may pay money from its capital works fund only for the following purposes—

(a) payments of the kind for which estimates have been made under section 83(2),

(b) payments made in accordance with this Division on a distribution of a surplus in the fund,

(c) the transfer of money to the administrative fund or to pay expenditure that should have been paid from the administrative fund.

Investment of money in administrative fund or capital works fund

79 Investment of money in administrative fund or capital works fund

(1) An association may invest money in its administrative fund or capital works fund in a manner permitted by law for the investment of trust funds or in an investment prescribed by the regulations.

(2) Interest received on an investment made under this section forms part of the fund to which the investment belongs.

Use of administrative fund or capital works fund for purposes of other fund

80 Use of administrative fund or capital works fund for purposes of other fund

(1) This section applies if an association—

(a) transfers money from the administrative fund or capital works fund to the other fund, or

(b) pays money from the administrative fund or capital works fund for expenditure that should have been paid from the other fund.

(2) The association must, within 3 months of the transfer or payment, determine, by resolution at a general meeting—

(a) whether the money, or part of the money, should be reimbursed to the fund from which it was transferred or paid, and

(b) if the association determines that part or all of the money should be reimbursed—the amount to be—

(i) transferred from the administrative fund or capital works fund to the fund from which the transfer or payment was made, or

(ii) levied as a contribution to the fund from which the transfer or payment was made.

(3) Section 84(3) and (5) apply to a contribution determined under subsection (2)(b)(ii).

s 80: Subst 2023 No 45, Sch 4[17].

Distribution of surplus money in administrative fund or capital works fund

81 Distribution of surplus money in administrative fund or capital works fund

(1) An association may, in accordance with a unanimous resolution, distribute between its members money in its administrative fund or capital works fund that is not, in the opinion of the association, required for the purposes of either fund.

(2) A distribution to a member by a community association or precinct association must be made in the same proportion that the following unit entitlements for the community scheme or precinct scheme bear to the total unit entitlement for the scheme—

(a) the unit entitlement for the development lot, if the member is the owner of the development lot,

(b) the unit entitlement for the applicable former development lot, if the member is a subsidiary body of the association.

(3) A distribution to a member of a neighbourhood association or strata scheme who is the owner of a lot in the scheme must be made in the same proportion that the unit entitlement of the lot bears to the total unit entitlement of the neighbourhood scheme or strata scheme.

(4) Money distributed under this section in relation to a lot that is subject to a mortgage or covenant charge shown on the association roll is to be paid—

(a) in accordance with the joint directions of the owner of the lot and the mortgagee or covenant chargee, or

(b) if they cannot agree—in accordance with an order under this section.

(5) The Tribunal may, on application by an association, an owner of a lot that is subject to a mortgage or covenant charge, or the mortgagee or covenant chargee concerned, make an order as to the payment of money under subsection (4).

(6) An application under this section is to be made to, and determined by, the Supreme Court (and not the Tribunal) if—

(a) the title to land is in question otherwise than incidentally, or

(b) the matter is incidental to other proceedings being dealt with by the Court.

Accounts of association

82 Accounts of association

(1) An association must pay amounts that are received by it and are not otherwise invested in accordance with this Act into an account established in an authorised deposit-taking institution in the name of the association.

(2) This section does not apply to an association that has appointed a managing agent to whom the duty of the association under this section is delegated in accordance with this Act.

Estimates to be prepared of contributions to administrative and capital works funds

83 Estimates to be prepared of contributions to administrative and capital works funds

(1) An association must, not later than 1 month after the constitution of the association and at each annual general meeting after that, estimate how much money it will need to credit to its administrative fund for actual and expected expenditure—

(a) to maintain in good condition on a day-to-day basis the association property and any personal property vested in the association, and

(b) to provide for insurance premiums, and

(c) if the association is a subsidiary body—to pay contributions levied on it by the community association or precinct association, or both, and

(d) to meet other recurrent expenses.

(2) An association must, not later than 1 month after the constitution of the association and at each annual general meeting after that, estimate how much money it will need to credit to its capital works fund for actual and expected expenditure—

(a) for painting or repainting any part of the association property that is a building or other structure, and

(b) to acquire personal property, and

(c) to renew or replace personal property, and

(d) to renew or replace fixtures and fittings that are part of the association property, and

(e) to replace or repair the association property, and

(e1) to install, replace or repair infrastructure, fixtures and fittings that are part of the association property for the purposes of the sustainable use of the scheme, and

Examples—

electricity meters, solar panels and sustainable building materials

(f) to meet other expenses of a capital nature.

(3) When estimating amounts needed to be credited to the administrative fund or the capital works fund, the association must have before it, and take into account, a statement of the existing financial situation of the scheme and an estimate of receipts and payments.

(4) An estimate prepared before the first annual general meeting of an association is to take into account the initial maintenance schedule provided by the original owner for that meeting.

s 83: Am 2024 No 53, Sch 1.4; 2025 No 14, Sch 2[21].

Association to set contributions to administrative and capital works funds

84 Association to set contributions to administrative and capital works funds

(1) The association must determine the amounts to be levied as a contribution to the administrative fund and the capital works fund to raise the amounts estimated as needing to be credited to those funds.

(2) The determination must be made at the same meeting at which those estimated amounts are determined.

(3) The association must levy on each member the contribution determined.

(4) If the association is subsequently faced with other expenses it cannot at once meet from either fund, it must levy on each member a contribution to the administrative fund or capital works fund, determined at a meeting of the association, in order to meet the expenses.

(5) A contribution is, if an association so determines, payable by the regular periodic instalments specified in the determination setting the amount of the contribution.

Contributions payable by members of community and precinct associations

85 Contributions payable by members of community and precinct associations

The contribution to be paid to a community association or precinct association by each of its members is the amount that is in the same proportion to the total amount of contributions that the following unit entitlements for the community scheme or precinct scheme bear to the total unit entitlement for the scheme—

(a) the unit entitlement for the development lot, if the member is the owner of the development lot,

(b) the unit entitlement for the applicable former development lot, if the member is a subsidiary body of the association.

Contributions payable by members of neighbourhood schemes

86 Contributions payable by members of neighbourhood schemes

The contribution to be paid to a neighbourhood association by the owner of a neighbourhood lot is the amount that is in the same proportion to the total amount of contributions that the unit entitlement of the lot bears to the total unit entitlement of the neighbourhood scheme.

Individual contributions may be larger if greater insurance costs

87 Individual contributions may be larger if greater insurance costs

(1) If the use to which a development lot, a former development lot or a neighbourhood lot is put by a member of the association causes an insurance premium for the scheme to be greater than it would be if it were not put to that use, so much of a contribution payable by the member as is attributable to insurance premiums may, with the consent of the member, be increased to reflect the extra amount of the premium.

(2) The Tribunal may, on application, make an order for payment of contributions of a different amount to one or more contributions levied or proposed by an association on a member if the Tribunal is of the opinion that the owner’s consent has been unreasonably refused under this section.

Levying of contributions

88 Levying of contributions

(1) An association levies a contribution required to be paid to the administrative fund or capital works fund by a member by giving the member written notice of the contribution payable.

(1A) The written notice must be accompanied by the information approved by the Secretary.

(2) A contribution levied by an association becomes due and payable to the association on the date set out in the notice of the contribution.

(3) The date set out in the notice must be—

(a) for a contribution levied for the purpose of carrying out emergency repairs—at least 14 days after the day the notice is given, or

(b) otherwise—at least 30 days after the day the notice is given.

(4) A notice by a precinct association levying a contribution payable by a subsidiary body must include the following information—

(a) the amounts of any regular periodic contributions required to be made by the precinct association to the administrative fund, and the capital works fund, of the community association of which the precinct association is a member,

(b) the dates on which those contributions are required to be paid,

(c) the amount of any contributions of that kind that are unpaid when the notice is given.

(5) Regular periodic contributions to the administrative fund and capital works fund of an association are taken to have been duly levied on a member even though notice levying the contributions was not given to the member.

(6) In this section—

emergency repairs means urgent repairs to a building on association property that are necessary to mitigate a serious and imminent threat to the health or safety of the occupants.

s 88: Am 2023 No 45, Sch 4[18] [19]; 2025 No 14, Sch 2[22].

Liability of persons other than members for contributions

89 Liability of persons other than members for contributions

(1) If, at the time a person becomes the owner of a development lot or a neighbourhood lot, another person is liable to pay a contribution in respect of the lot, the owner is jointly and severally liable with the other person for the payment of the contribution and any interest on the contribution.

(2) If, at the time a development lot becomes subject to a precinct scheme, a neighbourhood scheme or a strata scheme, the owner of the development lot was liable to pay a contribution in respect of the lot, the precinct association, neighbourhood association or strata corporation is jointly and severally liable with the other owner for the payment of the contribution and any interest on the contribution.

(3) A mortgagee or covenant chargee in possession of a development lot or neighbourhood lot is jointly and severally liable with the owner of the lot—

(a) for any regular periodic contributions to the administrative fund or capital works fund together with any interest on those contributions, and

(b) for any other contribution together with interest on that contribution, taken to recover unpaid contributions, if the mortgagee or covenant chargee has been given written notice of the levy of the contribution, and

(c) for any costs payable as a debtor in respect of enforcement action to recover unpaid contributions.

(4) Subsection (3) does not affect the liability under this section of an owner of a lot for a contribution.

Interest, discounts on contributions and payment plans

90 Interest, discounts on contributions and payment plans

(1) A contribution, if not paid when it becomes due and payable, bears until paid simple interest at an annual rate of 10% or, if the regulations provide for another rate, that other rate.

(2) Interest is not payable if the contribution is paid not later than 1 month after it becomes due and payable.

(3) However, an association may, by resolution at a general meeting, determine (either generally or in a particular case) that a contribution is to bear no interest.

(4) An association may, by resolution at a general meeting, determine (either generally or in a particular case) that a person may pay 10% less of a contribution levied if the person pays the contribution before the date on which it becomes due and payable.

(5) An association and a member of the association may agree to enter into a payment plan for the payment of overdue contributions.

(5A) A request by an owner to enter into a payment plan (the request) may be reasonably refused by the association.

(5B) The regulations may prescribe what constitutes a reasonable refusal in relation to payment plans.

(5AA) A payment plan is limited to a period of 12 months but a further plan may be agreed to.

(5AB) An association must not, by resolution, refuse to enter into payment plans for the payment of overdue contributions.

(5AC) Despite subsection (5AB) an association may refuse to enter into payment plans for the payment of overdue contributions in particular cases.

(6) A payment plan is to be limited to a period of 12 months but a further plan may be agreed to by the association by resolution.

(7) The regulations may prescribe requirements for payment plans, including the following—

(a) eligibility,

(b) the form of the request,

(c) evidence that must or must not be included in the request,

(d) how information supporting the request must be stored, secured, used, disclosed or disposed of,

Example of information—

financial records relating to the owner

(e) maintaining the confidentiality of the owner’s information given in support of the request,

(f) the form of the payment plan or minimum requirements,

(g) requirements for the association committee to report on payment plans to the association,

(h) requirements for the association to give written reasons to the owner if the owner’s request is refused,

(i) the termination of a payment plan.

(8) (Repealed)

(9) The Tribunal or a court may, on application by a member, order that no interest is chargeable on a specified contribution if the Tribunal or the court is satisfied that the association should reasonably have made a determination not to charge interest for the late contribution.

(10) The Tribunal may, on application by the owner, order that the association agree to the owner’s request if the Tribunal is satisfied that the refusal by the association of the request was not reasonable.

s 90: Am 2023 No 45, Sch 4[20]; 2025 No 14, Sch 2[23]–[27].

Recovery of unpaid contributions and interest

91 Recovery of unpaid contributions and interest

(1) The Tribunal may order a member of the association, or other person, to pay any of the following that are payable by the member or other person under this Act—

(a) a contribution not paid at the end of 1 month after it becomes due and payable,

(b) interest payable on an unpaid contribution,

(c) the expenses of the association incurred in recovering any such amounts.

(2) The Tribunal may make an order under subsection (1) only—

(a) on the application of the association, and

(b) if proceedings between the association and the member or other person are pending before the Tribunal.

(3) An association may, without obtaining an order under this section, recover as a debt in a court of competent jurisdiction the following—

(a) a contribution not paid at the end of 1 month after it becomes due and payable,

(b) interest payable on an unpaid contribution,

(c) the expenses of the association incurred in recovering those amounts.

Note.

Schedule 4, clause 6 to the Civil and Administrative Tribunal Act 2013 provides for the transfer of proceedings between the Tribunal and a court which has jurisdiction (and vice versa) if the parties to the proceedings agree or if the Tribunal or court of its own motion or on the application of a party so directs.

(4) Interest paid or recovered forms part of the fund to which the relevant contribution belongs.

(5) An association must not take action to recover an amount under this section unless it has given the person against whom the action is to be taken at least 30 days notice of the action.

(6) The notice of the action must set out the following—

(a) the amount of the contribution, interest or expenses sought to be recovered,

(b) the recovery action proposed,

(c) any other matter prescribed by the regulations for the purposes of this subsection.

(7) An association must not take action to recover an amount under this section from an owner if—

(a) the amount is being dealt with under a payment plan, and

(b) the payment plan is being complied with by the owner.

(8) Payments by an owner in arrears must be applied in the following order—

(a) to contributions, in order of due date,

(b) to interest,

(c) to expenses of the association in recovering contributions ordered to be paid under this section.

(9) Subsection (8) does not apply to the extent that—

(a) a court or the Tribunal has made an order specifying how payments must be applied, or

(b) the owner in arrears specifies how payments must be applied.

s 91: Am 2025 No 14, Sch 2[29] [30].

Orders varying contributions or payment methods

92 Orders varying contributions or payment methods

(1) The Tribunal may, on application, make either or both of the following orders if the Tribunal considers that an amount levied or proposed to be levied by way of contributions is inadequate or excessive or that the manner of payment of contributions is unreasonable—

(a) an order for payment of contributions of a different amount,

(b) an order for payment of contributions in a different manner.

(2) An application for an order may be made by an association, a member of an association or a mortgagee or covenant chargee in possession.

Effect of order varying contributions where payments have been made

93 Effect of order varying contributions where payments have been made

If a contribution that is the subject of an order by the Tribunal under this Division has been wholly or partly paid—

(a) an order to pay more has effect as if the association had decided to levy a contribution equal to the difference, and

(b) an order to pay less imposes a duty on the association to refund the difference.

Order requiring original owner to pay compensation for inadequate estimates and levies

94 Order requiring original owner to pay compensation for inadequate estimates and levies

(1) The Tribunal may, on application by the association or a member of a scheme, order the original owner to pay compensation to the association if the Tribunal determines that the estimates and levies determined during the initial period for the purposes of determining and meeting expenditures relating to the scheme were inadequate to meet the actual or expected expenditures of the association.

(2) The Tribunal must not make an order under this section if the original owner satisfies the Tribunal that the original owner used due care and diligence in determining the estimates and levies.

(3) An application under this section must be made not later than 3 years after the end of the initial period.

Contributions for legal costs awarded in proceedings between members and association

95 Contributions for legal costs awarded in proceedings between members and association

(1) This section applies to proceedings brought by 1 or more members against an association or by an association against 1 or more members, including 1 or more members joined in third party proceedings.

(2) The court may order in the proceedings that any money (including costs) payable by an association under an order made in the proceedings must be paid from contributions levied only in relation to the members and in the proportions that are specified in the order.

(3) The association must, for the purpose of paying the money ordered to be paid by it, levy contributions in accordance with the terms of the order and must pay the money out of the contributions paid in accordance with that levy.

(4) This Division (other than provisions relating to the amount of contributions) applies to and in respect of contributions levied under this section in the same way as it applies to other contributions levied under this Division.

Association must prepare financial statements and statements of key financial information

96 Association must prepare financial statements and statements of key financial information

(1) An association must cause financial statements, and a statement of key financial information, to be prepared for each reporting period for the administrative fund, the capital works fund and any other fund kept by the associations.

(2) The reporting period for financial statements or a statement of key financial information prepared under this Division is—

(a) the period that commences on the date of the constitution of the association and ends on a date that is not earlier than 2 months before the date of the first annual general meeting, and

(b) each period that commences on the date up to which those statements were last prepared under this Division and ends on a date that is not earlier than 2 months before the next succeeding annual general meeting.

Requirements for financial statements

97 Requirements for financial statements

(1) The financial statements are to be prepared on a cash or accrual basis and to comprise only the following matters—

(a) a statement of income and expenditure for the administrative fund,

(b) a statement of income and expenditure for the capital works fund,

(c) a statement of income and expenditure for any other fund that is the property of the association.

(2) The financial statement for an administrative fund or capital works fund must specify the following—

(a) the fund, and the reporting period, for which it is prepared,

(b) the balance carried forward in the fund from the previous period,

(c) the particulars and amount of each item of income of the fund received during the current period,

(d) the particulars and amount of each item of expenditure from the fund during the current period,

(e) the amount of the contribution to the fund determined for each person liable to make a contribution,

(f) the balance outstanding for each contribution,

(g) the cash in the fund at the end of the current period,

(h) the balance of the fund,

(i) in respect of each liability to contribute to the fund—any unpaid arrears and any balance outstanding,

(j) the extent to which, at the end of the current period, the fund is in debit or credit.

Note.

The financial statements of an association prepared under this section can deal only with income and expenditure from the administrative and capital works funds and any other fund authorised to be established under this Act and are therefore separate from any other financial statements that might be prepared in relation to the scheme (for example, financial statements in relation to the provision of services for a retirement village).

(3) The financial statements for other funds must specify the following—

(a) the fund, and the reporting period, for which it is prepared,

(b) the balance carried forward in the fund from the previous period,

(c) the particulars and amount of each item of income of the fund received during the current period,

(d) the particulars and amount of each item of expenditure from the fund during the current period,

(e) the cash in the fund at the end of the current period,

(f) the balance of the fund,

(g) the extent to which, at the end of the current period, the fund is in debit or credit.

Statement of key financial information

98 Statement of key financial information

The statement of key financial information for an administrative or capital works fund or other fund must be in the form approved by the Secretary and specify the following matters—

(a) the fund, and the reporting period, for which it is prepared,

(b) the balance carried forward in the fund from the previous period,

(c) the total income of the fund received during the period,

(d) the total interest earned by the fund during the period,

(e) the total contributions paid to the fund during the period and the total of all arrears in contributions payable to the fund,

(f) the total expenditure for maintenance from the fund during the period,

(g) the total expenditure for administration costs from the fund during the period,

(h) the balance of the fund and the balance of the fund shown in the statement for the previous period,

(i) the principal items of expenditure for maintenance proposed during the next year.

Auditing of accounts and financial statements

99 Auditing of accounts and financial statements

(1) The association for a scheme for which the annual budget exceeds $250,000 (or another amount prescribed for the purposes of this section by the regulations), must ensure that the accounts and financial statements of the association are audited before presentation to the annual general meeting.

(2) The association for a scheme for which the annual budget does not exceed $250,000 may determine that the accounts and financial statements of the association are to be audited.

(3) An audit of the accounts and financial statements of an association under this section must be carried out in accordance with the Australian Auditing Standards.

(4) The regulations may specify the manner in which the annual budget of an association scheme is to be determined for the purposes of this section.

(5) In this section—

Australian Auditing Standards means the standards issued by the Auditing and Assurance Standards Board, as in force for the time being, and including any modifications prescribed by the regulations.

s 99: Am 2024 No 82, Sch 1.5.

100

Accounting records must be kept by association

100 Accounting records must be kept by association

(1) An association must keep accounting records in accordance with this Division.

Maximum penalty—5 penalty units.

(2) The accounting records may be made and stored in the form determined by the association.

(3) Separate accounting records must be kept for the administrative fund and the capital works fund.

(4) The regulations may prescribe accounting records that are required to be kept by an association.

101

Receipts

101 Receipts

(1) The treasurer of an association must, if requested to do so, issue a receipt for each payment received by the treasurer for the association and must cause a record to be kept of the details of the receipts.

(2) Each receipt must contain the information prescribed by the regulations for the purposes of this section.

102

Transaction records

102 Transaction records

(1) The treasurer of an association must record particulars of money received or money disbursed by the association as soon as practicable after each transaction occurs.

(2) The treasurer must balance the records of transactions and carry the balance forward at the end of each prescribed period.

(3) At the end of each prescribed period, the treasurer must compare the entries in the records of transactions with the banking records for the account of the association and enter in the records of transactions—

(a) the amounts credited to the account and appearing in the banking records for which no receipt had been given, and

(b) the amounts debited to the account and appearing in the banking records for which no cheque had been drawn.

(4) Any necessary reconciliation (showing the balance in the account of the association as indicated in the banking records, and adding money received but not banked and deducting cheques drawn but not presented for payment) must be entered by the treasurer in the record of transactions at the end of the entries for the relevant prescribed period.

(5) In this section—

prescribed period means 12 months or, if an annual general meeting of the association determines a shorter period, that shorter period.

103

Levy register

103 Levy register

The treasurer of an association must keep a levy register that includes, for each member in the scheme, the following particulars in relation to contributions payable—

(a) the date on which the contribution is due and payable,

(b) the type of contribution and the period in respect of which it is to be made,

(c) the amount of the contribution levied shown as a debit,

(d) the amount of each payment shown as a credit,

(e) the date on which each payment relating to the contribution is made,

(f) whether a payment made was made in cash or in some other specified manner,

(g) whether an amount paid comprised full payment or part payment,

(h) details of any discount given for early payment,

(i) the balance of the account.

104

Power to borrow money

104 Power to borrow money

(1) An association may borrow money and secure the repayment of money and of any interest in a manner agreed between the association and the lender, otherwise than by charging the repayment on the association property.

(2) An association must not borrow money, or secure the payment of money and interest, unless a resolution approving the relevant loan has been passed at a general meeting of the association.

105

Persons who can exercise functions relating to the finances and accounts of the association

105 Persons who can exercise functions relating to the finances and accounts of the association

A person must not exercise the functions of an association or the treasurer of an association relating to the receipt or expenditure of, or accounting for, money of the association or the keeping of the books of account of the association unless the person is—

(a) the treasurer of the association, or

(b) a managing agent who is empowered to exercise that function, or

(c) a person with whom the treasurer of the association is required by an order of the association committee to exercise that function jointly, and who is enabling the treasurer to comply with the order, or

(d) a member of CPA Australia, or a member of the Institute of Chartered Accountants in Australia, authorised by the association to exercise the function, or

(e) a member of the Institute of Public Accountants authorised by the association to exercise the function, or

(f) during the initial period only—a person authorised by the association to exercise the function.

Maximum penalty—5 penalty units.

105A

Limits on spending by association

105A Limits on spending by association

(1) An association must obtain at least 2 independent quotations for proposed expenditure for an item or matter that is more than the amount prescribed by the regulations for this section.

(2) If the association is not able to comply with subsection (1), the secretary of the association must add an item to the agenda of the next general meeting of the association to note—

(a) the item or matter the quotations were required for, and

(b) the reasons the association was unable to obtain more than 1 quotation.

(3) This section does not apply to expenditure for emergency purposes, including in relation to the following—

(a) burst or blocked water or sewerage pipes,

(b) serious damage caused by a storm, fire or another natural disaster,

(c) unexpected electrical or security system failures,

(d) glass breakages that affect the security of a building on association property or could result in damage to the inside of the building.

(4) In this section—

independent quotations means quotations from persons who are not connected with each other.

s 105A: Ins 2023 No 45, Sch 4[21].

106

Legal services to be approved by general meeting

106 Legal services to be approved by general meeting

(1) An association or association committee must not obtain legal services requiring payment unless a resolution passed at a general meeting of the association approves the obtaining of the services—

(a) with unlimited costs for the services, or

(b) up to a maximum amount of costs for the services.

(2) An association or association committee may obtain legal services without approval under subsection (1) if—

(a) it is of the opinion that urgent action is necessary to protect the interests of the association, and

(b) the cost of the legal services does not exceed $10,000 or another amount prescribed by the regulations for the purposes of this subsection.

(3) Approval under this section is not required for the following—

(a) to obtain legal advice before commencing legal action,

(b) to take legal action to recover unpaid contributions, interest on unpaid contributions or related expenses,

(c) to obtain legal services prescribed by the regulations.

(4) A failure by an association or the association committee to obtain an approval under this section does not affect the validity of any proceedings or other legal action taken by the association.

(5) In this Division—

legal services includes obtaining legal advice and taking legal action.

s 106: Am 2025 No 15, Sch 2[31] [32].

107

Restrictions on payment of expenses incurred in Tribunal proceedings

107 Restrictions on payment of expenses incurred in Tribunal proceedings

(1) A community association or precinct association cannot, in respect of its costs and expenses in proceedings brought by or against it for an order by the Tribunal, levy a contribution on—

(a) another party who is successful in the proceedings, or

(b) a subsidiary body of which the party is a member.

(2) A neighbourhood association or a strata corporation cannot, in respect of its costs and expenses in proceedings brought by or against it for an order by the Tribunal, levy a contribution on another party who is successful in the proceedings.

(3) A neighbourhood association or a strata corporation that is unsuccessful in proceedings brought by or against it for an order by the Tribunal cannot pay the whole or a part of its costs and expenses in the proceedings from its administrative fund or capital works fund, but may make a levy for the purpose (other than as provided by subsection (2)).

(4) In this section, a reference to proceedings includes a reference to proceedings on appeal from the Tribunal.

108

Disclosure of matters relating to legal costs

108 Disclosure of matters relating to legal costs

If a disclosure under another Act is made to an association in respect of the costs of legal services to be provided to the association and the legal services are services for which approval is required under section 106, the association must give a copy of the disclosure to each member and association committee member within 7 days of the disclosure being made.

108A

Bonds or fees relating to keeping of animals not payable

108A Bonds or fees relating to keeping of animals not payable

An association must not require an owner or occupier of a lot in the scheme to—

(a) pay a bond or fee relating to the keeping of an animal on the lot, or

(b) obtain insurance for an animal kept on the lot.

s 108A: Ins 2023 No 45, Sch 4[22].

Part 6

Property management

Part 6 Property management

109

Duty of association to maintain and repair property

109 Duty of association to maintain and repair property

(1) An association must properly maintain and keep in a state of good and serviceable repair the association property and personal property vested in the association, including any open access ways or private access ways.

(2) An association must renew or replace fixtures or fittings comprised in the association property and personal property vested in the association.

(3) This section does not apply to a particular item of property if the association determines by special resolution that—

(a) it is inappropriate to maintain, renew, replace or repair the property, and

(b) its decision will not affect the safety of a building, structure or association property in the scheme or detract from the appearance of property in the scheme.

(4) An association may defer compliance with this section in relation to damage to association property until after the taking of action if—

(a) the action is taken by the association against an owner or another person in relation to the damage, and

(b) the deferment will not affect—

(i) the safety of buildings, structures or association property in the association scheme, or

(ii) a person’s access to or use of the association property or a lot in the association scheme.

(5) A member of an association may recover from the association, as damages for breach of statutory duty, any reasonably foreseeable loss suffered by the member as a result of a contravention of this section by the association.

(6) A member of an association may not bring an action under this section for breach of a statutory duty more than 6 years after the member first becomes aware of the loss.

(7) This section is subject to the provisions of any by-law made under this Act.

(8) This section does not affect a duty or right of the association under another law.

s 109: Am 2024 No 53, Sch 1.4; 2025 No 14, Sch 2[33] [34].

110

Control and management of access ways and other property

110 Control and management of access ways and other property

(1) An association must control and manage its open access ways and private access ways, and all other parts of the association property, and must do so for the benefit of its members.

(2) This section does not authorise an action that would be inconsistent with the application of the provisions of an Act to an access way, or a function that may be exercised on or in relation to an access way, in accordance with section 112.

111

Use of association property for commercial purposes

111 Use of association property for commercial purposes

An association must inform the local council if any part of the association property is to be, or is, used for commercial purposes, or a different commercial purpose.

112

Open and private access ways

112 Open and private access ways

(1) An open access way is not a road or road related area or a public place but, except to the extent that this Act or the Community Land Development Act 2021 otherwise provides, the following provisions apply to an open access way as if it were a road or road related area—

(a) the road transport legislation within the meaning of the Road Transport Act 2013,

(b) the Motor Accidents Compensation Act 1999 or the Motor Accident Injuries Act 2017,

(c) Division 2 of Part 7 of the Roads Act 1993,

(d) the Summary Offences Act 1988.

(2) An open access way is a private road for the purposes of the Roads Act 1993 and is not a public road for the purposes of that Act.

(3) A private access way is a road or road related area for the purposes of the Motor Accidents Compensation Act 1999 and a road for the purposes of the Motor Accident Injuries Act 2017.

(4) An authorised person may enter an open access way or a private access way and there exercise a function that the person could have exercised if the access way had been a road or road related area.

(5) Except as provided by subsections (3) and (4), a private access way is not for any purpose a road or road related area, a public road or a public thoroughfare or way.

(6) In this section—

authorised person means—

(a) a police officer, or

(b) an employee of Transport for NSW, or

(c) a person authorised by Transport for NSW, or

(d) a person prescribed by the regulations as an authorised person for the purposes of this section.

road or road related area means a road or road related area within the meaning of section 4(1) of the Road Transport Act 2013 (other than a road or road related area that is the subject of a declaration made under section 18(1)(b) of that Act relating to all of the provisions of that Act).

113

Payments to or by association in relation to association property

113 Payments to or by association in relation to association property

An association may, in accordance with a special resolution, make an agreement with a member of the association regarding—

(a) payment to the member of money that would otherwise be payable to the association under a transaction involving association property, or

(b) payment of money by the member in relation to restricted property.

114

Carrying out of work on association property by developer

114 Carrying out of work on association property by developer

(1) This section applies to an agreement for the carrying out of a work of preparation, construction or maintenance on association property made between the developer of a scheme and a person other than the association in which the property is vested.

(2) For the purpose of ensuring that a work is carried out in accordance with an agreement to which this section applies, the association on whose association property the work has been, or is to be, carried out may, as if it were a party to the agreement—

(a) enforce against the developer a right or remedy available to another party to the agreement, or

(b) enforce against another party to the agreement a right or remedy available to the developer.

(3) Subsection (2)—

(a) does not oblige an association to carry out a work or pay for the carrying out of a work, and

(b) does not relieve the developer from any obligation to pay for the carrying out of a work.

(4) The rights conferred by subsection (2) are in addition to, and do not derogate from, a right or remedy enforceable under the agreement—

(a) against the developer by another party, or

(b) by the developer against another party.

115

Initial maintenance schedule must be prepared

115 Initial maintenance schedule must be prepared

(1) The original owner must prepare an initial maintenance schedule for the maintenance of the association property setting out the matters prescribed by the regulations for the purposes of this section.

Note.

The purpose of the initial maintenance schedule is to provide information to the association about obligations and costs relating to the maintenance of the association property.

(2) The initial maintenance schedule must be in the form prescribed by the regulations.

Maximum penalty—

(a) for an individual—100 penalty units, or

(b) otherwise—500 penalty units.

(2A) For a multi-storey scheme—the original owner must, before the first annual general meeting of the association, engage—

(a) an independent surveyor to—

(i) review the initial maintenance schedule, and

(ii) certify that the initial maintenance schedule has been prepared in accordance with the prescribed form, and

(b) an independent surveyor or a person of a class prescribed by the regulations to—

(i) review the estimates of contributions to the administrative fund and capital works fund, and

(ii) certify that the estimates meet the expected expenditure for the year ahead, based on the expenses provided by the original owner.

(2B) The original owner must not engage a person under subsection (2A) who is connected with the original owner.

Maximum penalty—

(a) for an individual—100 penalty units, or

(b) otherwise—500 penalty units.

(3) The initial maintenance schedule may be considered in proceedings for the purpose of determining whether or not a defect in or damage to a building could have been avoided by the taking of specific action.

s 115: Am 2025 No 14, Sch 2[35].

116

Mail

116 Mail

(1) An association must provide proper means for the receipt of its mail.

(2) The means provided—

(a) must be clearly identified as a receptacle for the receipt of mail addressed to the association, and

(b) may be provided in more than 1 position.

117

Powers to deal with property

117 Powers to deal with property

(1) An association may dispose of or otherwise deal with a lot vested in the association as a result of a subdivision effected under the Community Land Development Act 2021.

(2) An association may acquire or dispose of personal property or otherwise deal with personal property of the association.

(3) Section 50(1)(d) of the Interpretation Act 1987 does not apply to an association.

Note.

Section 50(1)(d) of the Interpretation Act 1987 provides that a statutory corporation may, for the purpose of enabling it to exercise its functions, purchase, exchange, take on lease, hold, dispose of and otherwise deal with property.

118

Association may carry out work required to be carried out by others

118 Association may carry out work required to be carried out by others

(1) Application of section For the purposes of this section, the association that may carry out work on a lot is as follows—

(a) for a community development lot—the community association,

(b) for a precinct development lot—the precinct association,

(c) for a neighbourhood lot—the neighbourhood association.

(2) Work required by public authority If the owner of a community development lot, precinct development lot or neighbourhood lot does not do work on or in relation to the lot in accordance with a notice given to the owner by a public authority, the association may carry out the work after giving the owner notice that it proposes to do so.

(3) Work required to be carried out under term or condition of by-law If the owner, mortgagee or covenant chargee in possession, lessee or occupier of a community development lot, precinct development lot or neighbourhood lot is required to do work under a by-law relating to restricted property of the association and fails to carry out the work, the association may carry out the work.

(4) Work that is duty of owner or occupier to carry out If the owner, mortgagee or covenant chargee in possession, lessee or occupier of a community development lot, precinct development lot or neighbourhood lot is in breach of a duty imposed by Part 8 and does not carry out the work required to remedy the breach, the association may carry out the work.

(5) Work resulting from breach of duty not to interfere with services If the owner, mortgagee or covenant chargee in possession, lessee or occupier of a community development lot, precinct development lot or neighbourhood lot is in breach of the duty not to interfere with the passage or provision of services and does not carry out the work required to remedy the breach, the association may carry out the work.

(6) Work required to be carried out under order If the owner, mortgagee or covenant chargee in possession, lessee or occupier of a community development lot, precinct development lot or neighbourhood lot fails to comply with an order to carry out work in relation to a lot, the association may carry out the work.

(7) Recovery of costs as a debt The costs incurred by an association in carrying out work referred to in this section may be recovered by the association as a debt from the person who failed to carry out the work or from a subsequent owner of the lot.

119

Powers of entry of association

119 Powers of entry of association

(1) An association may, by its agents, employees or contractors, enter any part of the community, precinct or neighbourhood parcel to do any of the following—

(a) to exercise its powers under this Part,

(b) to carry out work ordered by the Tribunal,

(c) to carry out work required to be carried out by the association by a notice given to it by a public authority,

(d) to renew or replace its personal property or any fixtures that are part of its association property.

(2) An association may, by its agents, employees or contractors, enter on any part of the parcel for the purpose of determining whether work is required to be carried out by the association in accordance with this Act.

(3) In an emergency, the association may enter any part of the parcel for those purposes at any time.

(4) In a case that is not an emergency, the association may enter any part of the parcel for those purposes with the consent of any occupier of that part of the parcel or, if the occupier does not consent, in accordance with an order of the Tribunal under this Division.

(5) A person must not obstruct or hinder an association in the exercise of its powers under this section.

Maximum penalty—2 penalty units.

(6) An association is liable for any damage to a development lot, neighbourhood lot or strata lot, or its contents, caused by, or arising from the carrying out of work, or the exercise of powers referred to in this section, unless the damage arose because the association was obstructed or hindered.

120

Orders by Tribunal relating to entry to carry out work

120 Orders by Tribunal relating to entry to carry out work

(1) The Tribunal may, on application by an association, make an order requiring the occupier of a lot or part of a lot in the association scheme to allow access to the lot for the following purposes—

(a) to enable the association to carry out work referred to in section 118 or to determine whether the work needs to be carried out,

(b) to enable an entry referred to in section 119 to be carried out.

(2) This section does not limit the power of an association to enter a lot under this Division in an emergency without applying for an order.

121

Provision of amenities or services

121 Provision of amenities or services

(1) A community association may agree with the owner or occupier of a development lot, a neighbourhood lot or a strata lot within the community scheme to provide amenities or services to the lot or to the owner or occupier.

(2) A precinct association may agree with the owner of a precinct development lot, a neighbourhood lot or a strata lot within the precinct scheme to provide amenities or services to the lot or to the owner or occupier.

(3) A neighbourhood association may agree with the owner or occupier of a neighbourhood lot to provide amenities or services to the lot or to the owner or occupier.

122

Termination of certain agreements

122 Termination of certain agreements

(1) This section applies to an agreement with a person (other than a public authority) for the continuing provision to an association, or to the members of an association, of services or recreational facilities.

(2) If an association enters into an agreement to which this section applies during the initial period for a scheme, the agreement terminates at the end of the first annual general meeting of the association unless—

(a) its effect was disclosed in the association’s management statement before the transfer of any lots in the scheme, or

(b) it is ratified at the meeting.

(3) An association is guilty of an offence if—

(a) during the initial period, it enters into an agreement to which this section applies, and

(b) the agreement would terminate at the end of the first annual general meeting of the association unless ratified at the meeting, and

(c) the association did not, before entering into the agreement, inform the other party, or each of the other parties, to the agreement that it would so terminate.

Maximum penalty—5 penalty units.

(4) In this section—

services does not include the services of a managing agent.

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