In NSW if the Owner Corporation (OC) or the Strata Committe (SC) wishes to seek legal advice or take legal action where the cost will be borne by the Strata Scheme then they need an authority to proceed motion to be resolved at a general meeting.
Limited circumstance exceptions to this requirement for a resolution at a general meeting are when the SC may approve such legal action when:
(1) the matter is urgent AND the legal costs do not exceed $15,000.00, or
(2) the matter is not urgent AND the cost does not exceed $3,000.00.
Quotes for legal costs should be obtained prior to proceeding to ensure that the correct process is being undertaken.
The relevant section in SSMA 2015 for authority, exceptions, and notifications etc are found in [s26] and [s103] and [s105].
Contributions for legal costs awarded in proceedings between owners and OC are found in [s90].
https://www.austlii.edu.au/au/legis/nsw/consol_act/ssma2015242/