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Home » Bylaws » Bylaws NSW » NSW: Q&A Is Strata Schemes Management Act 2015 for Residential Only?

NSW: Q&A Is Strata Schemes Management Act 2015 for Residential Only?

Published April 9, 2019 By Allison Benson, Kerin Benson Lawyers 4 Comments Last Updated February 19, 2025

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This article about the Strata Schemes Management Act 2015 has been supplied and written by Allison Benson, Kerin Benson Lawyers.

Question: Is the Strata Schemes Management Act 2015 only for residential schemes or do all parts of the Act apply to all types of strata scheme developments such as residential, commercial, mixed use, industrial?

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If this general question cannot be answered there is something wrong with this Act.

Have spoken to 3 people at Fair Trading, 2 have answered it can be used for commercial and 1 for residential only.

Surely it’s just a simple yes or no question which must have come up before.

Is the Strata Schemes Management Act 2015 for residential only or do all parts of the Act apply to all types of strata scheme developments such as residential, commercial, mixed use, industrial?

NSW Fair Trading has advised that Part 11 – Building Defects of the Act can only be applied to residential building Strata developments and not industrial strata developments. Is it correct that Parts of this Act are only applicable to Residential or is Clause 191 of the Act applicable to all Strata developments?

Answer: The Act covers all strata schemes whether residential, commercial, mixed use, industrial etc.

The Strata Schemes Management Act 2015 covers all strata schemes be they residential, commercial, mixed use, industrial etc.

Are the Model Bylaws only for Residential Strata?

What the person may be referring to is whether the model by-laws under schedule 2 of the Strata Schemes Management Regulations 2016 are for residential only. They are an update on the residential model by-laws from the 2010 regulations. The 2010 regulations also contained model by-laws for other types of schemes such as industrial, commercial etc. There are no specific model by-laws for different types of schemes in the 2016 regulations so they can be used for all types of schemes but they may need to be tailored for commercial, industrial etc schemes.

The lot owner is correct. Part 11 of Strata Schemes Management Act 2015 relates to a building defect regime for residential buildings.

Allison Benson
Kerin Benson Lawyers
E: allison@kerinbensonlawyers.com.au
P: 02 4032 7990

You can access a printable version of the Act here: Strata Schemes Management Act 2015 PDF.

You can access a printable version of the Regulations here: Strata Schemes Management Regulation 2016 PDF.

This post appears in Strata News #240.

Have a question or something to add to the article? Leave a comment below.

Read next:

  • NSW: Some Common Property Just Reached Into My Pocket

Visit our Strata By-Laws and Legislation OR Strata Legislation NSW pages.

Looking for strata information concerning your state? For state-specific strata information, take a look here.

Are you not sure about some of the strata terms used in this article? Take a look at our NSW Strata Glossary to help with your understanding.

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About Allison Benson, Kerin Benson Lawyers

Allison is a strata lawyer who has provided general strata advice, acted in strata disputes (including building defect disputes) and worked with clients in preparing and enforcing by-laws and strata management statements, since 2008. From 2012 onwards, Allison has acted exclusively on behalf of owners corporations and lot owners in respect of both strata and community association disputes and building and construction disputes.

Allison has extensive experience in commercial litigation and dispute resolution, having represented clients in contractual claims, interpretation of by-laws and rules, Home Building Act claims and levy recovery claims at all levels of court proceedings, including in the Court of Appeal and in the former CTTT (now the NSW Civil and Administrative Tribunal known as NCAT). Allison’s knowledge across a variety of strata schemes matters enables her to advise owners corporations, lot owners and other interested parties on a range of issues and to represent their interests both informally and before the courts.

Allison is a member of the Australian College of Community Association Lawyers (ACCAL), the Newcastle Law Society and the Society of Construction Law Australia. She holds a Bachelor of Laws (Hons) from Macquarie University and a Bachelor of Business from the University of Newcastle.
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Allison is a regular contributor to LookUpStrata. You can take a look at Allison's articles here .

Comments

  1. Paul Origlasso says

    March 27, 2021 at 8:59 am

    We recently held our AGM. One of the lot owners paid their outstanding levies half an hour before the start of the meeting. We were unaware of this at the start of the meeting and the meeting was conducted, votes counted etc.with the understanding that the unfinancial lot owner’s votes were invalid. The meeting was closed. After this, the unfinancial lot owner states to the strata manager that he had paid and provided evidence of payment. The strata manager then decides to accept this lot owner’s vote and alter the outcome of the closed meeting. Please note that despite payment being made to the strata management company, the monies didn’t arrive into the relevant strata scheme’s account for at least three working days. Is this lot owner entitled to a valid vote and can the strata manager alter the outcome of a meeting once the meeting is declared closed?

    Reply
    • Liza Admin says

      April 1, 2021 at 12:12 pm

      Hi Paul,

      Allison Benson, Kerin Benson Lawyers has responded to your question in the following article: NSW: Q&A What is an unfinancial lot owner and can they vote?

      Reply
  2. Dorothy Brett says

    April 9, 2019 at 3:29 pm

    I cannot understand how a commercial lot, tho paying a little more in levies can make claims on the strata. They are a profit making lot, unlike ordinary residents, who now need permission to use their home as Airbnb for instance.
    There are 16 outside lights left on from dusk till dawn, they use a toilet in our common area, by gaining access from the shop, which having 60 seats should have its own facilities.
    We pay for rubbish re oval from the shops along with our own. Sure a restaurant should pay for their own.
    Windows got broken in the two shops and this made a claim on our insurance. Surely commercial premises should have their own insurance as shops on the streets do.

    Reply
    • Liza Admin says

      April 1, 2021 at 12:14 pm

      Hi Dorothy,

      Allison Benson, Kerin Benson Lawyers has responded to your question in the following article: NSW: Q&A Strata Unit Entitlements – How are they Calculated?

      Reply

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