Question from Axeman, Can a Body Corporate in Victoria Oncharge Owners Legal Fees for the Recovery of Levies in 2015?
Answer from AI:
In general, a Body Corporate (also known as an Owners Corporation in Victoria, Australia) has the ability to recover unpaid levies from owners, including any reasonable legal costs associated with this recovery. However, the specifics of this process and the ability to oncharge legal fees can depend on a variety of factors, including the rules of the Body Corporate and the laws in place at the time.
Legal Framework
The Owners Corporations Act 2006 (Vic) governs the operation of Owners Corporations in Victoria. According to Section 32 of this Act, an Owners Corporation can recover as a debt any unpaid amount of fees, charges, contributions, interest, or other amounts that an owner is liable to pay.
Recovery of Legal Costs
The Act also provides that the Owners Corporation can recover any reasonable legal costs and expenses associated with the recovery of these amounts. However, the Act does not explicitly state that these costs can be oncharged to the owner who owes the unpaid amounts.
Considerations
There are several factors that can affect whether a Body Corporate can oncharge legal fees to an owner:
- Rules of the Body Corporate: The rules of the Body Corporate may provide for the recovery of legal costs from owners. These rules should be reviewed to determine if they allow for the oncharging of legal fees.
- Reasonableness of the costs: The Act provides that only “reasonable” legal costs can be recovered. What is considered reasonable can depend on a variety of factors, including the complexity of the matter and the amount of the unpaid levies.
- Changes in the law: The laws governing Owners Corporations can change over time. It’s important to consider the laws that were in place in 2015, when the levies were incurred.
Seeking Legal Advice
Given the complexity of this issue, it’s recommended that individuals consult with a legal professional for personalized advice. A lawyer can review the specific circumstances of the case, including the rules of the Body Corporate and the laws in place at the time, to provide a more accurate assessment of whether legal fees can be oncharged.
For more information on the Owners Corporations Act 2006 (Vic), you can visit the Victorian Legislation and Parliamentary Documents website. For general legal guidelines and self-help resources, you can visit the Consumer Affairs Victoria website.
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