New Zealand Legislation: Acts

7 Representative claims in respect of multi-unit complexes: other relevant procedural provisions

• (1) Under section 23, if the rules, constitution, or lease requires more than 80% of owners to agree to a decision that relates to bringing, managing, or resolving a claim, or to an administrative decision relating to the claim, only 80% of owners are required to agree to the decision.

  (2) Under section 26, further owners may join a multi-unit complex claim under section 19 or 21 before, or with the tribunal's consent after, adjudication is initiated.

  (3) Under section 28, the owner of a dwellinghouse in a multi-unit complex may, at any time and by written notice to the representative, withdraw from a multi-unit complex claim under section 19 or 21. The withdrawal does not affect the ability of the representative to continue with the claim.

  (4) Under section 29, the representative in a section 19 or 21 claim must notify the chief executive or tribunal (as applicable) of any change of ownership of a dwellinghouse. The claim proceeds in respect of the remaining dwellinghouses only, but the new owner may be able to join the claim under section 26.

  (5) Under sections 52 and 53, the chief executive and the tribunal must terminate the following claims in the following circumstances:

  • (a) a claim in respect of a single dwellinghouse in a multi-unit complex that is not a stand-alone complex (under section 15) when a claim is brought in respect of, or certain penetration of water is likely to have damaged, 1 or more other dwellinghouses, or common areas, in the complex:

  • (b) a common areas only claim (under section 17) when a claim is brought in respect of, or certain penetration of water is likely to have damaged, 1 or more dwellinghouses in the complex:

  • (c) a stand-alone complex claim (under section 18) when a claim is brought in respect of, or certain penetration of water is likely to have damaged, 1 or more common areas in the complex.

  (6) Under section 30, for the purposes of representative claims in respect of a multi-unit complex, this Act applies, unless the context otherwise requires, as if—

  • (a) every reference in it to a dwellinghouse included a reference to the multi-unit complex or stand-alone complex concerned; and

  • (b) every reference in it to the owner of a dwellinghouse included a reference to the representative of the owners of the dwellinghouses in the multi-unit complex or stand-alone complex concerned; and

  • (c) every reference in it to a party or parties included a reference to the representative of the owners of the dwellinghouses in the multi-unit complex or stand-alone complex concerned.

  (7) Section 24 ensures that, except for the voting relief in sections 22 and 23, nothing in the Act limits any obligations of a body corporate or the obligations of any person under the rules or constitution of a body corporate or under any lease.

  (8) Under section 25, nothing in the voting relief provisions in sections 22 and 23 is to be taken into account when determining whether or not unit title rules are valid.

  (9) Under section 56, the chief executive has power to terminate claims not pursued.

  (10) This section is intended as a guide only.