Complete rewrite to Community Land Development and Management Acts
The old set of community scheme legislation was effectively blown into pieces with the new, commenced on 1 December 2021. Are you ready for all the changes?
The Development and Management Acts 1989 are now repealed with the staged commencement of the new counterparts (Community Land Development Act 2021 and the Community Land Management Act 2021) started in March 2021 and “finally” on 1 December 2021.
The official line is that the reforms align the community scheme laws with that of the strata schemes. And the official line is not wrong. However, there were significant points of differences between the two sets of legislation in the past and even now. And additionally, strata schemes simply do not have the more complex issues such as the tiered scheme systems such as neighbourhood and precinct schemes, association property, community management statement, etc.
You will be pleased to know that there are a number of “savings” provisions in the new legislation. For example, the executive committees and office holders elected under the old Act will remain, although they are now called association committee, and their next election will be governed by the new Act.
That said, the “alignment” came with a whole range of changes. Recently, we began looking into these at a more detailed level in the context of local planning laws. For example, there are various changes to the legal effects of planning approval given by the Local Environmental Court, appeal rights and processes relating to proposed amendments and stages to a development contract including that of a developer. The association by-laws are now also subject to the harsh, unconscionable or oppressive threshold requirements (similar to that of the strata legislation), but then, that in itself is evolving noting the recent case laws on that subject as well. Further, there are new processes of “amalgamations” of subsidiary schemes, creation of statutory easement (eg. easement for service lines), termination of schemes via the Land Registry Services NSW etc.
So, it is not exactly business as usual for existing or new community and subsidiary schemes.
More Information
Please contact our Strata Team at Matthews Folbigg Lawyers on 9635 7966 if you would like advice or assistance.
DISCLAIMER: This article is provided to readers for their general information and on a complimentary basis. It contains a brief summary only and should not be relied upon or used as a definitive or complete statement of the relevant law. Liability limited by a scheme approved under Professional Standards Legislation.
