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Hi all,
We recently had an EGM where a motion was passed that owners/sc members were not allowed to be paid for work in the building, because it is essentially open to rorting and corruption.
The question is, this motion obviously comes into effect once it is passed, but does the condition only apply from that date on? Or can historic works be forced to be paid back? I assume it’s from the date the motion was passed. Is that correct? In NSW if that makes any difference.
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General legal principles apply to this (this is not legal advice). The resolution takes effect at the time it is passed, unless the resolution specifically provides otherwise.
In certain circumstances you could have a resolution that provides that owners are not allowed to be paid for work, and also in respect of payments made to owners previously, those payments must be paid back. That second part would be very hard to enforce – not impossible but hard.
On the basis of what you have said the resolution only applies going forward.
The resolution takes effect at the time it is passed, unless the resolution specifically provides otherwise.
Was the resolution in the form of a by-law? If so, you would have to wait until that by-law was registered for it to be valid.