@JimmyT said:The questions now are, will the Owners Corp take this to the Supreme Court? And how many other by-laws that stray into other areas of legislation – such as pet ownership and parking – may be invalidated because they ‘over-reach’?
One problem for an OC in Victoria wanting to take the matter to a higher court is that it needs a special resolution (OC Act s.18). As I know only too well, a special resolution in a large OC is very difficult to obtain (at least 75% must (1) actually vote and (2) vote for the resolution for it to be passed or 50% for and not more than 25% against for it to become interim).
If there is the desire, the state government could amend the OC Act to allow OCs to make rules about leases. But in Victoria new rules also need a special resolution. In many OCs rules are created by the original developer when they have 100% voting power. Still, allowing the rule would at least give OCs the chance to determine how their building is used.