Strata in Tasmania: Rules for Small Schemes

When a strata plan is registered, a body corporate is set up under the name "Strata Corporation No." with the scheme's name added (Strata Titles Act 1998, s 71). Each lot owner is a member and may vote in person or by proxy (s 74). Levies follow each lot's unit entitlement (s 83).

The main laws are the Strata Titles Act 1998 and the Strata Titles (Insurance) Regulations 2019. We found no separate rules for small or two-lot schemes in the Act.

The body corporate "may appoint a manager" and hand over functions for the administration and control of the common property (s 80). The Recorder of Titles recommends that any appointment be in writing. A committee of management is also optional: the body corporate may appoint one by ordinary resolution (s 79), and it must have at least 3 members. As soon as practicable after it is set up, the body corporate must appoint a chairperson, a secretary and a treasurer (s 71(5)).

• First AGM: called by the original proprietor within 3 months after the plan is registered, or when at least half of the lots are sold, whichever is earlier (s 75(1)).
• Later AGMs within 15 months after the last one (s 75(2)). A special general meeting must be called if at least one-third of members require it (s 75(3)).
• Notice: at least 7 days, in writing, with the business and the terms of any proposed unanimous resolution (s 75(4)).
• Quorum: a majority of all members under the model by-laws, unless the body corporate has its own quorum by-law (Sch 1 model by-law 10).
• Votes are by show of hands; if a poll is demanded, they count by unit entitlement (s 76).
• Ordinary resolution: a majority of the votes of members present and voting. Unanimous resolution: no member votes against (s 3).
• For a unanimous resolution, a member may vote at the meeting or by written notice within 28 days after it (s 78).
• If the body corporate does not hold a meeting, an owner can ask the Recorder to appoint a person to call one.

The body corporate keeps one fund for its financial obligations, which may be split into a recurrent part and a capital part, at a level enough for reasonably foreseeable spending (s 82). It levies contributions in proportion to unit entitlement, due on a date it fixes and notifies in writing (s 83). Interest on overdue levies is charged at a fair and reasonable rate fixed by resolution (s 84).

To recover unpaid levies, the body corporate applies to the Recorder of Titles. The Recorder says many applications are refused because the levies were not properly raised, and lists the steps: a resolution at a properly constituted meeting, shares by unit entitlement, the amount and dates set in the resolution, written notice to owners, and a separate resolution fixing any interest rate.

We found no requirement for a sinking fund plan or maintenance plan in the Act.

The body corporate must insure the buildings and other improvements against fire, storm, tempest, explosion and other prescribed risks, with reinstatement costs such as debris removal, so the buildings can be restored "to their condition when new" (s 99). Where an excess arises from an event that affects only one lot, that owner pays it unless the body corporate decides by ordinary resolution that this would be unreasonable.

Public risk cover must be at least $10,000,000 (s 101; Insurance Regulations reg 3). If the body corporate does not insure, any owner may take out the insurance and recover the cost from it (s 103). It must show its current policies to an owner who asks (s 104).

On request from an owner or a person with an interest in a lot, the body corporate must certify the levy, its due date, any unpaid amounts, its funds and any legal action it is a party to (s 83(5)). The certificate is conclusive evidence in favour of a person dealing with the owner. It must also give a copy of the current by-laws to an owner or occupier who asks (s 97). Committee minutes must be kept and open to members (s 79).

The body corporate may make by-laws about the common property and the use of lots, and may adopt the model by-laws in Schedule 1 (s 90). The Recorder says by-laws can be made, changed or repealed by ordinary resolution. An application to register a by-law must be lodged within 3 months after the resolution, or the resolution lapses (s 92). Exclusive use by-laws need the written agreement of the owner who gets the rights and lapse after 5 years unless confirmed (s 94).

An application for relief goes in writing to the Recorder of Titles, with the grounds, the relief sought and the prescribed fee (s 105). The Recorder's guide says a person must first follow any dispute procedure in the scheme's by-laws. A decision can be appealed to the Tasmanian Civil and Administrative Tribunal within 30 days (s 144). The Act and the Recorder's June 2025 guide state the fees in different units, so check the current fee with the Recorder before you apply.