Unfortunately doing nothing, i.e. not seeking to recover the unpaid levies does not seem to be working. It also raises time limitation issues, as a debt is usually only recoverable for maximum of 6 years. Meaning, that the owners corporation may only be able recover the last 6 years of unpaid levies.
Therefore, I suggest that the owners corporation obtains legal advice on the recovery of the unpaid levies, which may include a garnishee order on the rental income received. This is where the court orders any rent which is due to be paid by the tenant to be paid to the owners corporation to satisfy the debt.
Matthew Jenkins
General Manager / Partner, Bannermans Lawyers
Suite 702, 2 Elizabeth Plaza, North Sydney NSW 2060
PO Box 514 North Sydney NSW 2059
P 9929 0226 F 8920 2427
W http://www.bannermans.com.au
Bannermans Lawyers
www.bannermans.com.au