Common Property, Clear Duty: The 2025 NCAT Decision Every NSW Strata Owner Should Know

Many lot owners assume that a strata committee’s “no” to repairs is the final word. According to the 2025 decision in Nicholson v The Owners – Strata Plan 104042, it is not. In that case, a Sydney lot owner experienced ongoing water ingress from a common property roof. The Owners Corporation disregarded expert evidence and delayed action, ultimately opting for cheaper, temporary fixes rather than a proper repair. The Tribunal made it clear that this response was not legally acceptable. Under section 106 of the Strata Schemes Management Act 2015 (NSW), the duty to repair and maintain common property is strict and non-delegable. Put simply: if something is defective, it must be properly repaired, regardless of cost pressures or committee disagreement.

The Tribunal also clarified the concept of “reasonableness”. While an Owners Corporation has some discretion in how it carries out repairs, that discretion is not unlimited. Choosing a short-term patch over a proven long-term solution—particularly where earlier repairs have failed—was found to be unreasonable. Importantly, high cost is not a valid reason for inaction. If funds are insufficient, the law requires the Owners Corporation to raise a special levy. In Nicholson, the lot owner successfully claimed damages for loss of rent and internal property damage caused by the failure to maintain common property.

This is even more relevant in 2026. Many strata buildings across NSW from the 1970s and 1980s are reaching the end of their waterproofing lifespan. Committees face financial pressure, while owners face rising levies—creating the conditions for disputes. Nicholson confirms that cost-cutting cannot override statutory obligations. Timing and evidence are critical. Generally, owners have two years to bring a claim for damages once loss becomes apparent. Delays can significantly affect recovery, even where a breach is clear.

A structured approach can make a real difference:

  • Document the issue early, clearly referencing section 106 to create a paper trail.
  • Monitor strata meeting minutes for delays, refusals, or repeated avoidance of the issue.
  • Obtain independent expert reports rather than relying solely on the committee’s preferred contractors.

Evidence was central to the outcome in Nicholson. The successful owner relied on independent engineering and plumbing reports, which carried more weight than the committee’s position. The key takeaway is simple: documentation and expert evidence often determine the outcome of strata disputes.

There is also a broader legal context. By-laws cannot unreasonably restrict the lawful use of a lot unless such restrictions are justified and proportionate. Similarly, enforcement actions—such as notices to comply—must follow proper legal processes and be reasonable in scope. The law is increasingly clear: denying necessary repairs or imposing unreasonable conditions will not be tolerated.

Flash Conveyancing Advice:

If you believe a strata scheme is avoiding its repair obligations, act early, keep detailed records, and seek independent advice. A timely expert report and a clear paper trail can be the difference between a swift resolution and a costly dispute.

Flash Conveyancing, led by Julian & Renee, are specialists in property transactions across New South Wales. With extensive experience working with councils including Blacktown, Hawkesbury, Blue Mountains, The Hills, Hornsby and Parramatta, they provide a personalised approach to every settlement. Whether you are buying or selling in Blacktown, Kellyville, Rouse Hill, Schofields, The Ponds, Castle Hill or Baulkham Hills, your transaction will be managed smoothly, compliantly and with confidence.

Authors

  • A licensed conveyancer with a MBA, Julian is a fast-paced, detail-oriented conveyancer dedicated to creating stress-free property transactions across New South Wales. He specializes in making the process seamless for clients whether they are buying, selling, or transferring property. An animal lover and gym enthusiast, Julian spends his free time riding motorcycles, fixing cars, watching anime, and playing video games.

    Licensed Conveyancer MBA
  • With over 15 years in conveyancing and more than 13 years as a business owner, Renee passionately guides clients through buying and selling residential property in New South Wales at Flash Conveyancing. Before finding her true calling in property law, she built a diverse professional background working in banking and other major industries. Married to Julian and a mother of two, she balances her career with motorcycle riding, painting, favorite TV series, and a strong focus on health and fitness at the gym.

    Licensed Conveyancer Founder & JP
  • Holding a degree in philosophy and finishing a postgraduate degree in journalism, Alberto is recognized as one of Colombia’s top writers and editors, currently working with a publishing company to release his upcoming book on the history of rock music. A true polymath, he is also an accomplished multi-instrumentalist on guitar and drums with a relentless attention to detail in his craft. Outside of his professional life, Alberto is a self-proclaimed book addict who devours one to two books a week while maintaining a dedicated, daily routine at the gym.

    Legal Editor

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Disclaimer: All content shared by Flash Conveyancing is for general informational purposes only and does not constitute legal, financial, or investment advice. Accessing this information does not create a conveyancer-client relationship. Property laws and economic conditions change rapidly; we recommend seeking professional legal advice tailored to your specific circumstances before making any property-related decisions.

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