A service of lawyers Curae Law
Recover unpaid strata levies in WA
We help WA strata companies and strata managers recover debts efficiently and promptly.
- WA Strata Debt Collection Experts
- Streamlined processes
- A knowledgeable team
- No commissions, no subscriptions
Your strata recovery contact
Meet Kiarra Searles
Kiarra manages strata levy recovery at Get PAID. She has over seven years of debt recovery experience, much of it in strata, across schemes from two lots to two hundred.
She handles your arrears from the first demand through to enforcement, so you are dealing with one person who knows your scheme. Kiarra works under the supervision of Nigel Siegwart, Legal Practitioner Director of Curae Law.
The short version
The power of section 100
Section 100 of the Strata Titles Act 1985 (WA) lets the strata company levy contributions, fixes when they fall due, makes an unpaid contribution bear interest, and makes the contribution and the interest recoverable as a debt in a court of competent jurisdiction, with power to compromise.
Provided the levies are properly struck, strata companies are legally entitled to take legal action to recover unpaid strata levies and can ultimately force the sale of the property of the defaulting owner to recoup the unpaid levies. As debt collection lawyers, we are licensed to take legal action if required to recover the scheme’s debts.
Most levy arrears sit in the Magistrates Court. Its general civil jurisdiction runs to $75,000.
Strata Titles Act 1985 (WA)
Four things worth knowing about strata levy recovery
01
Interest is payable
An unpaid contribution bears simple interest at the prescribed rate from the day it becomes due and payable, currently 11% per annum. Interest recovered goes back into the fund the contribution belonged to.
02
A grievance is not a reason to not paying
A levy becomes due and payable on the date set by the levy decision, and it is recoverable as a debt. Ordinarily an owner cannot use complaints about repairs, by-law enforcement or the council as a defence to the unpaid levy.
03
Recovery on the sale of the property
The strata company can obtain a judgment against the defaulting owner and usually force the sale of the property. On the sale of the property, the previous unpaid strata levies will be paid. This is because the legislation provides that any new owner will be liable for any previously unpaid strata debt, inevitably resulting in the arrears being paid at settlement.
04
The levy has to be struck properly
The power to raise a levy is a function of the strata company by resolution (unless the by-laws empower the council). It is important to check the levy has been properly struck before attempting to collect it.
The process
From arrears list to money in the bank
01 Instruct
Send the list
Get in touch and email us the arrears ledger and the resolutions raising the levies and any debt recovery resolutions passed by the scheme.
02 Demand
Legal Demand
Issued on lawyer’s letterhead. Many owners pay here. Where authorised, we can negotiate a payment plan including interest.
03 Judgment
Court claim
If the demand is ignored we file in the Magistrates Court and obtain a judgment.
04 Enforce
Get it paid
A judgment is a court order, not cash. We then take steps to enforce the judgment, often by a sale order for the property. Other options include means inquiries and earnings appropriation orders.
Why choose us
What sets us apart
Why should you engage us instead of a traditional debt collection agency?
01
We are more effective
Professional debtors know that debt collectors can’t take legal action. We are licensed to provide legal advice and commence court proceedings.
02
We are cheaper
We don’t charge hefty commissions. If a debt collection agent can’t collect your debt, they’ll usually hire a lawyer for you. You’ll probably end up paying both!
03
We are local
We are Western Australia based, with offices in the Perth CBD. Local knowledge, local experience and local service to get your bad debts paid.
05
Upfront fixed fees
We issue fixed fees for a particular scope of works and we can provide you with an estimate of what you can recover from the debtor, arming you with the information to decide whether a debt is worth pursuing.
06
Convenient
Instruct us on new matters and keep track of the progress of existing matters with our easy-to-use website.
For strata managers
Streamlined processes
- Email us the arrears ledger for your whole portfolio, in whatever format your software exports
- One contact who knows your schemes, not a new file handler every time
Fee Recovery
Who pays
Our fees are payable by the strata company. Whether the strata company can then on-charge them to the lot in arrears depends on your scheme by-laws, and on any costs order the court makes. When issuing court proceedings, we will review your scheme by-laws and let you know where you stand.