Strata by-laws explained: what they are, how they change and how they are enforced

What are strata by-laws?

By-laws are the house rules of a strata scheme. Under section 136 of the Strata Schemes Management Act 2015 (NSW), by-laws can deal with the management, administration, control, use or enjoyment of the lots and the common property. They bind owners, tenants and other occupiers, and a by-law has no effect to the extent it is inconsistent with any Act or law (Strata Schemes Management Act 2015).

Owners can get a copy from the strata committee secretary or strata manager, or buy one from an NSW LRS approved information broker. Tenants must receive the by-laws from their landlord or agent before signing the lease, and a new copy within 14 days of any change (NSW Government – Strata by-laws).

What are model by-laws?

Model by-laws are template rules published by the NSW Government in Schedule 3 of the Strata Schemes Management Regulation 2016 (NSW). They only apply if the owners corporation adopts them or they were lodged with the strata plan. Many schemes adopt them and then add their own rules. The residential model by-laws cover vehicles, changes to common property, keeping animals (two options), noise, behaviour, children on common property, smoke penetration (two options), fire safety, appearance of the lot, window cleaning, washing, waste, notice of a change of use (including short-term letting, 21 days ahead) and compliance with planning and occupancy laws (Model by-laws, Schedule 3).

How are by-laws made or changed in NSW?

1. Draft the change. Any owner can propose a by-law. If there is no similar model by-law, NSW Fair Trading suggests getting a lawyer to word it.
2. Write a motion and explanatory note. The explanatory note can be up to 300 words.
3. Send it to the secretary before notice of the next general meeting goes out, so it makes the agenda.
4. Vote by special resolution. No more than 25% of the votes cast (by unit entitlement) can be against it (s 141(1)).
5. Register it. The owners corporation lodges a notice with the Registrar-General within six months. The change has no effect until it is recorded (s 141(2)–(3)). Lodgement is online, usually through a solicitor or conveyancer.

A common property rights by-law, such as exclusive use of a car space or a garden, also needs written consent from each owner who receives the right, and it must say who maintains the area (NSW Government – Strata by-laws).

What can a by-law not do?

• Be harsh, unconscionable or oppressive. NCAT can declare such a by-law invalid (ss 139(1), 150).
• Stop an owner selling, leasing or mortgaging a lot (s 139(2)), except for some short-term rental restrictions.
• Restrict people under 18 living in a lot, other than in retirement or aged housing (s 139(4)).
• Unreasonably prohibit keeping an animal (s 137B), or affect an assistance animal.
• Block sustainability infrastructure because of appearance, unless the building is heritage listed or in a heritage conservation area.

Common by-law topics

Because move and lift rules are scheme-specific, check your registered by-laws and the building's house rules before booking removalists.

How do the rules compare across states?

Sources: Queensland Government, Consumer Affairs Victoria, Landgate, Law Handbook SA.

How are by-laws enforced in NSW?

1. Talk first. The committee or strata manager may simply raise it with the person.
2. Notice to comply. The owners corporation can issue a notice in the approved form with a copy of the by-law. A resolution of the owners corporation or strata committee is needed first, unless the function is delegated to a strata managing agent or it is a two-lot scheme (s 146).
3. Mediation. To seek an order to stop a breach, NSW Fair Trading's free mediation usually comes first. It is not needed for a penalty application.
4. NCAT. If the breach continues after a notice, NCAT can impose a penalty of up to 10 penalty units (stated by NSW Fair Trading as up to $1,100), and up to 20 penalty units ($2,200) for a repeat within 12 months of a previous penalty. The application must be made within 12 months of the notice (s 147). A fine of up to $5,500 can apply if a previous order is not followed.

How Watchdog Strata helps

Watchdog Strata lets building management pin the current by-laws and house rules as notices, so residents can find them on their phone. Residents book the lift or loading dock for a move through bookings, management approves, and the request is kept in the change history. It does not issue notices to comply; those stay with the owners corporation or strata manager.

General information only, not legal advice. Check the current legislation or ask a strata lawyer for your scheme.