New South Wales Consolidated Acts
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STRATA SCHEMES MANAGEMENT ACT 2015 - SECT 86
Recovery of unpaid contributions and interest
86 Recovery of unpaid contributions and interest
(1) The Tribunal may order the owner of a lot in the strata scheme, or other
person, to pay a contribution that is payable by the owner or other person
under this Act that is not paid at the end of 1 month after it becomes due and
payable, together with any interest payable on that unpaid contribution and
the reasonable expenses of the owners corporation incurred in recovering those
(2) The Tribunal may make an order under subsection (1) only--
on the application of the owners corporation, and
(b) if proceedings between
the owners corporation and the owner of a lot in the strata scheme or other
person are pending before the Tribunal.
(2A) An owners corporation may,
without obtaining an order under this section, recover as a debt in a court of
competent jurisdiction, a contribution not paid at the end of 1 month after it
becomes due and payable, together with any interest payable on that unpaid
contribution and the reasonable expenses of the owners corporation incurred in
recovering those amounts.
Note : Clause 6 of Schedule 4 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.
(3) Interest paid or
recovered forms part of the fund to which the relevant contribution belongs.
(4) An owners corporation 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 21 days notice of the action.
(5) 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.
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