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In the case in this thread, the OC withdrew the fees before the case was heard at VCAT. So we’ll never know if VCAT might have allowed some or part of them.
The Member said this:
“I have found that the disputed fees were not validly levied. In addition, there is no evidence that the Owners Corporation was authorised by special resolution, or ordinary resolution, to collect those disputed fees from Mr [Rodgers], either by debt collectors or subsequent legal proceedings, as required by s 18 of the OC Act.”
They added:
“I have found that the tax invoices comprising the disputed fees were not validly levied. However, had the proper process been followed, the Owners Corporation might well have been justified in charging back to Mr [Rodgers] the fees that all the lot owners had incurred as a result of Mr [Rodgers]’ extensive correspondence and requests for information.”
So now we know. If proper process had been followed, they could and probably would have allowed the charges.
FYI: Section 18 says this:
18 Power to commence legal proceeding
(1) Subject to subsection (2), an owners corporation must not commence any legal proceeding unless it is authorised by special resolution to do so.
(2) If a matter is within the civil jurisdictional limit of the Magistrates’ Court and an owners corporation is authorised to do so by ordinary resolution, the owners corporation may commence any legal proceeding in—
(a) the Magistrates’ Court; or
(b) VCAT or any other tribunal; or
(c) a court of another State or a Territory that corresponds to the Magistrates’ Court.