Sudiksha Prasad received a one thousand dollar fine from Successful Strata Management for moving personal items into her new Prospect apartment in Sydney’s west last October.
The twenty-eight-year-old finance worker, who emigrated from New Zealand ten years ago, had just purchased her first apartment. Within days of unpacking her boxes, the invoice arrived in her inbox citing a breach of bylaws for illegally moving in.
Prasad had already paid a four hundred dollar refundable deposit. She needed a few extra items brought into the unit later in October when security footage captured her friends helping her carry shoe boxes, clothes, and a vacuum cleaner through the basement.
Prasad Faces Financial Stress from Strata Fine
“I was shocked. I was stressing… like shaking and everything,” Prasad told nine.com.au. “I was like, ‘Oh my God, what am I going to do now?’ I still have to pay my mortgage, and then my strata fees on top of this one thousand dollar fine. It adds up a lot, it puts me under a lot of stress.”
Following the email, Prasad requested that Successful Strata provide a written justification outlining the legal grounds for the fee. She maintained that no damage was done to common areas and that her contract prohibited large furniture movement rather than personal items brought through the basement. At the time of writing, she is yet to receive a response.
NSW Law Restricts Strata Fines
Under New South Wales law, strata committees or owners corporations generally cannot directly issue a fine to property owners. According to NSW Fair Trading, a notice to comply must be issued first to the person who has broken a bylaw, asking them to stop the breach or risk being taken to the tribunal.
Prasad has disputed the charge with NSW Fair Trading, challenging the validity of the invoice. The NSW Civil and Administrative Tribunal is the sole authority permitted to mandate financial penalties for bylaw infractions, and it may only do so if the strata management company applies after completing the procedures outlined in the Strata Schemes Management Act 2015.
| Dispute Element | Action Taken | Governing Authority |
|---|---|---|
| Initial Invoice | One thousand dollar fee issued | Successful Strata Management |
| Compliance Notice | Required prior to penalties | NSW Fair Trading guidelines |
| Tribunal Review | Dispute lodged and under investigation | NSW Civil and Administrative Tribunal |
Strata Owners Alliance co-founder Adam Promnitz described the fee as Mickey Mouse nonsense. “Strata committees and managers don’t get to appoint themselves as strata cops, dishing out their own penalties dressed up as administration fees,” Promnitz said. “The law is very clear, only NCAT has the ability to prescribe a penalty.”
The Strata Owners Alliance has called on NSW Fair Trading to take a hard stance on stamping out unfair behaviours in the industry. Promnitz said that the issue occurs far too often because new owners are too scared to speak up.
Prasad Disputes the Unpaid Fee
The fee remains unpaid pending the outcome of Prasad’s complaint with regulatory authorities. Successful Strata Management did not respond to repeated requests for comment from nine.com.au.
“I feel like it’s an unfair charge,” Prasad said.
