Collective best interests in strata collective sales

Publication Type

Journal Article

Version

publishedVersion

Publication Date

12-2019

Abstract

New South Wales’ (NSW) strata regime has had considerable global influence, inspiring many jurisdictions across and beyond the commonwealth. Both Singapore and British Columbia, Canada have adopted NSW’s strata model. That being said, these jurisdictions have permitted a collective sale by a supermajority of owners for some two decades while NSW only recently enacted legislation allowing for a strata scheme to be redeveloped or collectively sold via a 75% majority. This marks a significant milestone as it departs from the orthodox position requiring unanimity. Given the newness of the legislative amendments, there is no jurisprudential guidance regarding the content of a strata renewal committee’s duty in NSW. Through a comparative analysis of British Columbia and Singapore, this paper suggests how NSW could articulate the duty of care imposed on the strata renewal committee when effecting a collective sale. Being only the second State in Australia to permit strata renewal by a supermajority, the issues raised by the paper may be of some interest in coming years.

Discipline

Property Law and Real Estate

Research Areas

Private Law

Publication

Australian Law Journal

Volume

93

Issue

12

First Page

1025

Last Page

1039

ISSN

0004-9611

Publisher

Thomson Reuters

Embargo Period

11-29-2021

Copyright Owner and License

Publisher

Additional URL

https://ssrn.com/abstract=3436526

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