FAQs

I am a minority shareholder and I believe the majority are acting badly, what are my options?

Given the scope of company law and breadth of varying divergence between majority and minority shareholders, let us consider the most common disputes whereby the company’s affairs are contrary to the interests of its members or are oppressive, unfairly prejudicial or unfairly discriminatory against a member(s). Examples include: Improper diversion of a business to another […]

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What is the process for getting a by-law amended or repealed?

If a by-law needs to be AMENDED it is necessary to look at s 141 of the Strata Schemes Management Act 2015(the Act) as it provides the procedure for changing by-laws. Simply, the owners corporation, through a special resolution, can alter by-laws as they wish. This change however does not come into effect until the owner’s […]

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Should I use a Deed or a Contract?

Nicholas Seddon observes in Seddon on Deeds (The Federation Press, 2015), 19: “As a general principal, a contract should be preferred over a deed if there is a choice.”

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What is the difference between a guarantee and an indemnity?

Lord Justice Pearce in Yeoman Credit Ltd v Latter (1961) WLR 828, at p.830. said: “In its widest sense a contract of indemnity includes a contract of guarantee. But in the more precise sense … a contract of indemnity differs from a guarantee. An indemnity is a contract by one party to keep the other […]

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When can Legal Aid NSW register a caveat?

Firstly, a caveat (form 08X) is a warning that informs the public that someone has a priority interest in a property, and the party that lodges the caveat is the caveator. Secondly, an individual must have a ‘caveatable interest’ to lodge a caveat. So, under what circumstances can Legal Aid NSW be a caveator? Pursuant […]

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I have been served with a ‘Lapsing Notice,’ what do I do?

A lapsing notice is a form which once served on the caveator will cause a caveat registered on title to ‘lapse’ after 21 days of the service of the noticeunless orders are obtained from Supreme Court for an extension of the caveat. You must obtain those orders before the expiry of 21 days. Generally on service of a lapsing […]

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I’m purchasing a property, should I get a building inspection and white ant and borer report?

In the case of freehold, definitely, in the case of strata, it depends.

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I’m hoping to buy a Strata Title unit. What do I need to be careful about?

Maintenance and Repair Strata Title units and schemes have ongoing maintenance requirements like any property. The danger for purchasers is to understand that every owner through the Owners Corporation has an obligation under Section 106 of the Act to pay for the maintenance and repair of the common property. What constitutes “common property” is much wider […]

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What is a cooling off period and a Section 66W certificate?

You might hear an agent say in a private treaty situation that the vendor will only exchange if the purchaser provides a “66W certificate”. The request is a reference to Section 66W of the Conveyancing Act 1919. The agent is telling you that the vendor doesn’t want to exchange contracts with a purchaser who retains the […]

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The agent says I can sign the contract, only pay 0.25%, and can still get out of it if I don’t wish to proceed. Is it ok to sign?

The agent might be correct but as solicitors our advice is always don’t sign until you have had independent legal advice on the contract. If you have signed the contract, while you can rescind if a Section 66W certificate hasn’t been provided (and only before 5pm on the fifth business day and losing your 0.25% deposit) it […]

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