Wednesday, May 25, 2022

Strata Schemes Management Act 2015 No 50

Part 5
Division 1
Section 77

Distribution of surplus money in administrative fund or capital works fund | Section 77

(1)  An owners corporation for a strata scheme may, in accordance with a unanimous resolution, distribute between the owners any money in its administrative fund or capital works fund that is not, in the opinion of the owners corporation, required for the purposes of either fund.

(2)  A distribution to an owner of a lot or other person entitled to receive it under this section must be made in the same proportion that the unit entitlement of the lot bears to the aggregate unit entitlement.

(3)  Any money distributed under this section in relation to a lot that is subject to a mortgage or covenant charge shown on the strata roll is to be paid—

(a)  in accordance with the joint directions of the owner of the lot and the mortgagee or covenant chargee, or

(b)  if they cannot agree—in accordance with an order under this section.

(4)  The Tribunal may, on application by an owners corporation, an owner of a lot that is subject to a mortgage or covenant charge, or the mortgagee or covenant chargee concerned, make an order as to the payment of money under subsection (3).

(5)  An application under this section is to be made to, and determined by, the Supreme Court (and not the Tribunal) if—

(a)  the title to land is in question otherwise than incidentally, or

(b)  the matter is incidental to other proceedings being dealt with by the Court.

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Disclaimer: Reproduced from the Strata Schemes Management Act 2015 . This website does not give legal advice or other professional advice. You should seek legal or other professional advice before acting and not rely on any of the content on this website.

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