Effective management of abandoned goods in strata buildings is essential for maintaining order and cleanliness in common areas. As of 1 July 2020, Section 125 of the Strata Schemes Management Act (NSW) 2015, and clauses 32 to 34 of the Strata Schemes Management Regulations 2016, which previously addressed abandoned goods, has been repealed. The responsibility now falls under the Uncollected Goods Act 1995, requiring strata schemes to adapt their procedures and potentially update their by-laws to comply with the new regulations.
How to Deal with Abandoned Goods Under the Uncollected Goods Act 1995
The Uncollected Goods Act 1995 provides a clear framework for the disposal of abandoned goods. It grants the person in possession of the goods—in this case, the Owners Corporation—the authority to dispose of the goods after a specified period, depending on their type and value. The Act ensures that the rights of the original owner are respected while allowing the Owners Corporation to maintain the common property in good order.
Perishable Goods and Rubbish
Notice Required: No notice required
Disposal Guidelines: Can be disposed of immediately. This is crucial for maintaining hygiene and safety in common areas.
Low-Value Goods (Less than $1,000)
Notice Required: The Owners Corporation must provide either verbal or written notice to the owner at least 14 days before disposal.
Disposal Guidelines: The goods can be disposed of in an appropriate manner once the notice period has lapsed.
Medium-Value Goods ($1,000 to Less Than $20,000)
Notice Required: Written notice must be given to the owner 28 days before disposal.
Disposal Guidelines: Disposal should be conducted via public auction or private sale to ensure a fair value is received for the goods.
High-Value Goods (At Least $20,000)
Notice Required: Disposal of these goods requires an order from NCAT.
Disposal Guidelines: The disposal process must strictly follow the Tribunal’s instructions to ensure compliance with legal requirements.
Personal Documents and Memorabilia
Notice Required: Written notice must be provided 28 days before securely destroying the items or returning them to the author.
Motor Vehicles
Notice Required: The notice required depends on the value (low/medium/high-value) of the motor vehicle
Additional Requirements: A Personal Property Securities Register Certificate is needed to confirm that the vehicle is not stolen.
Disposal Guidelines: Motor vehicles can be moved or stored as per the Act’s criteria, and proper notice must be given to the owner.
Providing Notice
The process of giving notice to the owner of the abandoned goods is a critical step in compliance:
Delivery Methods: Notice can be delivered personally, via letter, or by email.
Required Information:
The name of the Owners Corporation.
A detailed description of the goods.
The address where the owner can collect the goods.
A statement of any charges related to the removal, storage, maintenance, and insurance of the goods.
A clear statement that the goods will be sold, kept, or destroyed if not collected by a specified date.
Record Keeping
Owners Corporations must maintain detailed records of the disposal process:
Low-Value Items: Records must be kept for at least 12 months.
Higher Value Items: Records must be kept for at least 12 years.
Documentation: Records should include a description of the goods, the date and manner of disposal, and details of the sale if applicable.
A record must be created within seven days of disposing of the goods.
The Uncollected Goods Act 1995 provides a structured approach for Owners Corporations in NSW to manage abandoned goods on common property effectively. By following the Act's guidelines on notice, disposal, and record-keeping, Owners Corporations can ensure they comply with legal requirements while maintaining a clean and orderly environment for all residents. Whether your community is dealing with abandoned goods or other strata-related challenges, our experienced team is here to help you every step of the way. Reach out now and ensure your strata scheme is well-managed and compliant.
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