Provision of By-Laws

 

To continue our series of information regarding the impending changes to the Residential Tenancies Act, due for implementation on 23rd March 2020, this fortnight we will examine the changes relating to the provision of by-laws to a tenant when signing a lease in strata and the timeframes for compliance.

Under the current lease it states at clause 35: The landlord agrees to give to the tenant within 7 days of entering into this agreement a copy of the by-laws applying to the residential premises if they are premises under the Strata Schemes Management Act 2015, the Strata Schemes Development Act 2015, the Community Land Development Act 1989 or the Community Land Management Act 1989.

The new lease and the Residential Tenancies Act have changed the time frame in which the tenant is to receive the by-laws, requiring a tenant to have the by-laws provided to them prior to entering into the lease, under a disclosure principle:

Section 26 Disclosure of information to tenants generally

2A) Disclosure or provision of strata scheme information

If the residential tenancy agreement relates to residential premises that comprise or include a lot in a strata scheme (within the meaning of the Strata Schemes Management Act 2015) – a landlord or landlord’s agent must, before the tenant enters into the residential tenancy agreement:

• (a) give the tenant a copy of the by-laws for the strata scheme, and
• (b) if a strata renewal committee is currently established in relation to the strata scheme under the Strata Schemes Development Act 2015, disclose that fact to the tenant.

Furthermore, the new lease states:

• 38. The landlord agrees to give the tenant, before the tenant enters into this agreement, a copy of the by-laws applying to the residential premises if they are under the Strata Schemes Management Act 2015.
• 39. The landlord agrees to give the tenant, within 7 days of entering into this agreement, a copy of the by-laws applying to the residential premises if they are premises under the strata schemes development Act 2015, the Community Land Development Act 1989 or the Community Land Management Act 1989

What is important to note here is that if the premises are managed under the Strata Schemes Management Act 2015, the tenant must receive the by-laws PRIOR to entering into the lease. However, if the premises are in Community Title or managed under the Strata Schemes Development Act 2015, then the agent is required to provide the by-laws within 7 days of signing the lease.

There are fines that apply to the landlord or agent who does not provide the by-laws in accordance with the lease so it is important for property managers to ensure they are mindful of the new time frames and comply with them.