52Legal effect of by-laws

52 Legal effect of by-laws (1) There are taken to be agreements under seal between the body corporate of a community title scheme and the owner of each lot in the scheme that is not common property, and between the owner of each lot in the scheme that is not common property and the owner of each other such lot, under which the body corporate and the owners of the lots agree to be bound by the by-laws of the scheme. (2) An occupier of a lot in a community title scheme (who is not the owner of the lot) is bound by each by-law of the scheme as if the occupier were the owner of the lot, unless the by-laws provide otherwise. (3) If the owner of a lot in a community title scheme does not occupy the lot, the owner is liable separately and collectively with an occupier of the lot for any breach of the by-laws of the scheme by the occupier, unless the owner establishes that the owner took reasonable precautions and exercised appropriate care to prevent the breach.

Section 53 (4) An occupier of a lot in a community title scheme who occupies the lot under a residential tenancy agreement within the meaning of the Residential Tenancies Act 1997 is not bound by any by-law of the scheme to the extent that the by-law is inconsistent with the prescribed terms (or terms to the effect of the prescribed terms) to which the agreement is subject under section 8 of that Act.