Unit Titles Act 2010 – Proposed Changes and consultation


The Ministry of Business, Innovation and Employment has its sights set on “innovating” the Unit Titles Act, following a review by the NZLS property section and a letter to the minister (copy here).

You can find the list of proposed changes here, to both the principal Act and to the Regulations.

There are a lot of cleanups of areas of confusion, such as whether matters delegated by the body corporate can be the subject of body corporate resolutions.

Notice timeframe provisions would also be tightened up…there are some disconnects between time frames for disclosure timeframes in the Act and deemed notice timeframes in s.205.

Cancelling a contract where pre-settlement and/or additional disclosure hasn’t been made would become immediate, rather than the farcical ten working days notice of cancellation now required.

Another interesting proposal is to vastly increase the range of orders available to the Tenancy Tribunal, including:

  1. The power to order a party to do anything necessary to rectify a breach (section 77(2)(l) of the RTA).
  2. The power to order a party to refrain from doing anything which constitutes a contravention (section 77(2)(m) of the RTA).
  3. The power to order a party to pay damages or compensation (section 77(2)(n) of the RTA).
  4. The power to make orders of a consequential or ancillary nature (section 77(2)(q) of the RTA).
  5. The power to order the payment of exemplary damages (section 109(4) of the RTA)

Far more extensive than the powers presently enjoyed, and necessary if the Tenancy Tribunal is to be effective.  Presuming, of course, that we all have boundless confidence in the competence of the Tribunal members to reach defensible decisions on very complex matters.  Apparently the idea is to have a separate division of the Tenancy Tribunal dealing in Unit Title matters, an idea I would strongly support.

Submission forms are here, for those interested in commenting.

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About Ivan McIntosh

I am a partner of Carter Atmore Law...residing in City Road just off the busy thoroughfare of Symonds Street, Auckland, New Zealand....where we are specialist business & property development lawyers, working for both local and international clients. Proud husband to Joanna, and dad to two sons. Passionate rugby supporter. Email: imcintosh@calaw.co.nz Ph: 64 9 921 5026
This entry was posted in Commercial Property, Property Law, Residential property, Unit Titles and tagged , , . Bookmark the permalink.

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