Body Corp Blog
Perhaps an often overlooked aspect of the Queensland community titles legislation is the requirement for owners of lots to provide relevant information to the Body Corporate in prescribed circumstances. Most usually, this will occur when there is a change in ownership of a lot and a new lot owner (or their solicitors) will complete the statutory ‘BCCM Form 8’ to notify the Body Corporate of the change.
However, the regulation modules which accompany the Body Corporate and Community Management Act 1997 also include other instances in which a lot owner (or mortgagee) has a duty to notify the Body Corporate of certain details pertaining to the lot, including:
- The creation of a leasehold interest in the lot for 6 months or more;
- The appointment of a managing agent in respect of the lot;
- The termination of a managing agent for the lot; and
- The entering into possession of the lot, or an interest in the lot, by a registered mortgagee.
If one of these relevant events happens, the owner (or mortgagee in the case of them entering into possession) must provide the Body Corporate with the specific details required by the legislation within 2 months.
The details that must be provided are set out in the legislation and relate mainly to address details for service of notices by the Body Corporate. The required information for each event is set out in the BCCM Form 8 and so completion of the relevant section/s of this form will ensure you have provided everything required.
It is also very important that owners update their address details as necessary throughout their ownership of the lot. Across the years, I have seen many people come unstuck by simply forgetting to update their address details with the Body Corporate when moving or changing postal address. These people receive a nasty shock when the Body Corporate (or their solicitors) finally manage to contact the person seeking recovery of outstanding levies. The sum can escalate quickly due to the addition of interest, penalties (waiver of discount) and recovery costs.
Incidentally, there are penalty provisions under the legislation for an owner or mortgagee failing to comply with the notification obligations. The penalty is 20 points (or currently $2,438), though I have never seen these provisions enforced (and it is not clear in what circumstances they would be). Nonetheless – all the more reason to make sure you comply with the legislative requirements!
Liability limited by a scheme approved under Professional Standards Legislation
Disclaimer – This article is provided for information purposes only and should not be regarded as legal advice.
Posted in: Body Corp Blog at 14 February 17
Body Corp Blog
Author: Jarad Maher
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