Victorian Current Acts

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OWNERS CORPORATIONS ACT 2006 - SECT 169D

Prohibition order

    (1)     VCAT may make an order prohibiting the use of a lot or part of a lot for the purpose of a short-stay accommodation arrangement for a specified period if—

        (a)     a notice under section 159D has been served on a short-stay provider on at least 3 separate occasions within 24 months (regardless of whether the short-stay provider was an agent provider or a lessee of the lot or part of the lot); and

        (b)     each notice relates to an alleged breach by a short-stay occupant of the proscribed conduct specified in section 159A(2).

    (2)     Subject to subsection (3), a prohibition order ceases to have effect if the lot that is used (wholly or partly) for the purpose of a short‑stay accommodation arrangement is sold.

    (3)     A prohibition order does not cease to have effect upon the sale of a lot that is used (wholly or partly) for the purpose of a short-stay accommodation arrangement, if the sale of that lot is made—

        (a)     where the short-stay provider is the owner of the lot—to a person who has a beneficial relationship with the short-stay provider; or

        (b)     where one of the notices under subsection (1) was served on a short-stay provider who is not the owner of the lot—to the short-stay provider or a person who has a beneficial relationship with the short‑stay provider.

    (4)     For the purposes of subsection (3), a person has a beneficial relationship with a short-stay provider if the short-stay provider is—

        (a)     an associate of the person; or

        (b)     a body corporate of which the person, or an associate of the person, is a member; or

        (c)     a corporation over which the person (either as an individual or jointly with associates)
or an associate of the person, can exercise control of; or

        (d)     a corporation of which the person, or an associate of the person, is an executive officer; or

        (e)     in the case of a person that is a corporation—an executive officer of that corporation or an associate of an executive officer of that corporation; or

        (f)     the trustee of a discretionary trust of which the person, or an associate of the person, is a beneficiary; or

        (g)     a member of a firm of which the person, or an associate of the person, is a member.

    (5)     In this section the following definitions apply—

"associate" means—

        (a)     an employee of the person; or

        (b)     a spouse, domestic partner, parent, sibling or child of the person or the person's representative; or

        (c)     a child of the spouse or domestic partner of the person or the person's representative;

control has the meaning given by section 50AA of the Corporations Act;

"executive officer" means any person described as an executive officer, whether or not the person is a director of the corporation, who is concerned with, or takes part in, the management of the corporation.

S. 169E inserted by No. 34/2018 s. 7.



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