This article discussing the changes to strata disputes under the Strata Title Act amendments has been supplied by Anthony Quahe, Civic Legal.
The resolution of strata disputes is one of the key areas for reform in the amendments to the Strata Titles Act 1985 (WA).
This article will look at how these changes will affect the resolution of strata disputes.
Key Points
- The SAT will have sole jurisdiction for resolving strata disputes
- The SAT will have specialist strata expertise and powers to resolve strata disputes effectively
- The amendments are expected to come into effect in late 2019
Disputes in Strata Living
The occupants of strata properties tend to live in close proximity to one another, sharing common areas and services. A strata lot may comprise a private apartment as well as a share of rights and responsibilities in common property, such as stairwells, driveways and visitor car parking spaces.
As a result, strata living may give rise to disputes on issues such as noise, parking, use as short-term rental accommodation, or the costs of building maintenance.
Disagreements can arise:
- between neighbours, occupiers and owners;
- between lot owners and the strata council or strata managers (who act on directions of the strata council); or even
- between the strata council and the strata managers.
Strata by-laws provide an internal dispute resolution process. However, there are times when informal resolution is ineffective and a formal dispute resolution process is required.
Previous Problems With Dispute Resolution
The current Strata Titles Act 1985 contains complex provisions in relation to dispute resolution.
Until now, strata title disputes could be resolved in one of the three levels of courts in Western Australia, or in the State Administrative Tribunal (SAT). This availability of so many forums can cause confusion to those involved in a strata dispute.
What are the Changes Proposed to Dispute Resolution?
The main reforms propose to:
- give the SAT sole jurisdiction for the resolution of strata disputes; and
- strengthen the SAT’s powers to resolve strata disputes.
Giving the SAT sole jurisdiction will provide parties with a single clear pathway for resolving disputes”
What Does this Mean for Those Involved in Strata?
This means that parties involved in a strata dispute no longer have to agonise over which court to start legal action in. They can simply resort to the SAT. In this regard, the SAT is more approachable than the courts. It is also generally a quicker and more cost effective mechanism for resolving disputes than the courts.
The reforms will give the SAT enhanced powers to enable it to resolve strata disputes effectively, including making orders to:
- enforce by-laws;
- allow members to make an application on behalf of a strata company to act on behalf of all lot owners if the strata company unreasonably refuses to do so;
- make declarations about breaches of the Act, by-laws or lease;
- make declarations as to:
- the validity of by-laws, council decisions and resolutions, and appointments of strata council members
- whether there has been valid contract
- the avoidance of a contract of sale of a strata lot
- and a whole range of other matters relating to strata properties;
- make a party pay compensation to another in certain circumstances; and
- exempt a lot owner who wishes to make a structural alteration, from the need to obtain approval from the strata company.
In summary, whilst there are limitations on the SAT’s powers, the reforms will provide a more efficient and effective structure for resolving disputes than is currently in place.
This post appears in Strata News #254
Have a question about the resolution of strata disputes or something to add to the article? Leave a comment below.
For more information please contact:
Anthony Quahe
Managing Principal
Civic Legal
T: 08 9200 4900
E: aquahe@civiclegal.com.au
Disclaimer: This article contains references to and general summaries of the relevant law and does not constitute legal advice. The law may change and circumstances may differ from reader to reader. Therefore, you should seek legal advice for your specific circumstances. The law referred to in this publication is understood by Civic Legal as of publication date.
Please note: this article was provided prior to the proclamation of the new strata title amendments.
1 May 2020 Update:
The amended Strata Titles Act 1985 took effect in Western Australia on 1 May 2020. It includes grace periods for some new requirements to ensure those affected have adequate time to meet them. This information has been taken from Landgate: Timelines for Change.
More efficient dispute resolution: Strata disputes will have a more cost-effective and efficient dispute resolution forum.
| What’s new? | Timeline for change | Who needs to know? |
| State Administrative Tribunal (SAT) to become the ‘one-stop-shop’ for strata disputes in Western Australia. | Starting 1 May 2020:
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Can a SAT ruling breach or contravene the provisions under the Strata Titles ACT?
We have an owner that refuses to stop structural works or submit plans to renovations to his lot on the street frontage. The council of owns have expressed their disapproval of the works with the strata manager who has made contact with said owner, but without any success.
what can be done to stop him.
thanks
concerned owner
Can You give me the legal requirements of calling a Strata Owner’s E.G.M. 100 units & common property
are owned outright. Our elected Council of Owners can no longer work peacefully together.
I know we have the numbers to call an EGM , but I do not want the possibility of S A T dispute. Thank you. Lyn
Hi Lyn
Hopefully, this Q&A will provide some assistance: Question: The Council of Owners is not acting in the best interest of the lot owners. We’ve tried to make changes but the Chair holds proxies. We are at a loss as to how we can change anything.
I am a owner of a apartment complex in Joondalup. 2 weeks ago , my tenant advised me that he heard rain coming into my ceiling and that the Strata had organised workers in the ceiling and had mist likely forgot to replace a roof tile. It was the tenants last day as he was vacating the property and I am in the process of advertising for a new tenant . This was a Sunday when he reported this issue , so I immediately phoned the Estate agency on the following Monday , who were managing my property to investigate .
On investigation , they reported that water had entered my ceiling and the damage was substantial. Now , the ceiling had to be replaced , insulation replaced, and a new coat of paint .
As far as I’m concerned , this damage done is due to negligence of the contractor who was paid by the strata . Therefore they are responsible to fix it and pay for the work to replace my ceiling. Also , fir each week that goes by , I lose out in getting a tenant and am losing rent.
My question : can u ask the strarta to pay for each week lost in rent till they fix this problem ?
What can I do to make sure they pay for this ? What are my legal rights ?
Hi,
My Strata company acting on behalf of the council of owners has recently given me a bill for allege damage i caused to our shared drive way. i have told them i didn’t cause any damage but they have not responded to me. They do not have any proof i caused the damage and haven’t even been able to give the invoice for the company that did the repair. Of which i requested from them. I do not know were to go from here as i do not want to be stuck with a $400 bill for damages that i did not cause.
Any advice would be greatly appreciated
Hi Jono
Civic Legal has responded to your question in this article: WA: Q&A Common property damage
Hi
Is it legal according to STA Act for a member of a Council of Owners to be tendering and intending to provide strata management services to the same Scheme or property he is residing in. Thanks
The new STAA provides for dispute resolution between scheme participants, and it considers an occupier a scheme participant (STAA 197(2e)).
This would mean a tenant would be an occupier under this categorisation.
My questions are:-
(1) Is there a clearer definition of an occupier? Are sublets not on tenancy agreement also considered occupiers? For that matter, air BnB are also occupiers?
(2) if the basis is to allow greater participation from tenants, would that not blur the lines of roles of property manager and strata manager?
Thank you for any insights,
Hi Danny
Thanks for your comments. We have received the following response from Civic Legal:
The new definition of an occupier will be contained in section 3 of the amended Strata Title Act 1985 (WA) once the amendments come into effect. The definition of an occupier of a lot will mean a person who occupies the lot, whether on a temporary or permanent basis … and could potentially also include a person who is unlawfully in occupation of a lot.
This would mean that a tenant is likely to be considered an occupier, as it would do under the current legislation. Depending on the facts, it could in theory also include a sub-tenant or Airbnb guest. It may, however not be effective or practical to enforce an order, say against an Airbnb occupier who would only be an occupier for a short period of time. A more practical approach would be to take appropriate action against the owner of the strata lot.
Whether greater participation from tenants blurs the lines of the roles of property manager and strata manager will depend on the circumstances. In the end, the roles are different in nature from each other: the property manager manages the issues that arise as between a lot owner and their tenant whereas a strata manager manages the issues that affect all lot owners.
Disclaimer: This comment contains references to and general summaries of the relevant law and does not constitute legal advice. The law may change and circumstances may differ from reader to reader. Therefore, you should seek legal advice for your specific circumstances.