New Body Corporate Laws

On March 21, 2024, the Queensland Government made a proclamation regarding the Body Corporate and Community Management and Other Legislation Amendment Act 2023 (BCCMOLA Act).

Effective as of May 1, 2024, several provisions under the BCCMOLA Act will come into force, bringing significant changes to community titles schemes. Here’s what you need to know:

Termination of Community Titles Schemes The changes introduce a new process for terminating a community titles scheme for economic reasons when there is less than unanimous support. This process includes:

• Preparing a pre-termination report.
• The body corporate deciding on economic reasons for termination at a general meeting through a majority resolution.
• Passing a termination plan resolution, requiring the preparation of a termination plan with essential information for lot owners.
• Providing minimum compensation for lot owners and parties with specific contractual interests in the scheme.

A termination resolution will be passed if 75% or more of all lot owners vote for it. Disagreements can be resolved through consumer protection mechanisms, including adjudication, or seeking orders from the District Court.

Second-Hand Smoke and Animals in Schemes Body corporates can now make by-laws prohibiting or restricting smoking on common property and outdoor areas of lots. Additionally, by-laws cannot prohibit keeping animals, and the body corporate must not unreasonably withhold approval for animal keeping, providing approvals and conditions in writing.

Towing of Vehicles The law clarifies that a body corporate can tow a motor vehicle from common property.

For detailed information and best practices, the Real Estate Institute of Queensland (REIQ) has created a factsheet for its members. If you have questions about these changes, contact the Agency Advisory Service for free advice.

 

For more information, you can find the most recent updates here.