What’s the Process for Making or Changing a By-Law?

A Detailed Guide for NSW Self-Managed Strata Schemes

By-laws are one of the most powerful tools available to a strata scheme. They control behaviour, manage building use, regulate renovations, set pet conditions, and help the committee deal with issues quickly and fairly. But many self-managed schemes are unsure about the proper legal process for creating, amending, or repealing a by-law.

The steps are strictly defined under NSW legislation — and the process must be followed precisely. Here’s a clear, practical explanation of how by-laws are made or changed in a self-managed scheme.

1. Step One: Draft the By-Law Properly

A by-law must be:

• Written in clear, precise legal wording
• Consistent with NSW strata legislation
• Enforceable and reasonable
• Compatible with the scheme’s existing by-laws

There are several types of by-laws, including:

• Pet by-laws
• Renovation (Minor / Major Works) by-laws
• Behaviour / nuisance by-laws
• Parking management by-laws
• Access, security, or storage by-laws
• Common property rights by-laws (exclusive use or special privileges)

Poorly drafted by-laws are a common source of disputes — which is why many schemes use a specialist to prepare the wording.

2. Step Two: Prepare the Meeting Agenda and Motion

A by-law cannot be adopted or changed by the committee alone.

It must be approved by the owners corporation.

This requires:

• An AGM or EGM
• A properly drafted agenda
• A motion that includes:
  • The full text of the proposed by-law
  • Clear explanatory notes
  • Any required supporting documents (plans, diagrams, conditions)

By-laws must be provided to owners in the meeting notice, not tabled on the day.

3. Step Three: Vote on the By-Law at an AGM or EGM

By-laws require a special resolution.

A special resolution passes when:

• No more than 25% of votes cast are against the motion (by unit entitlement).

This means:

• A simple majority is not enough
• Abstentions are not counted
• Voting must be properly recorded in the minutes

Once the resolution passes, the by-law is approved — but not yet legally in force.

4. Step Four: Register the By-Law With NSW Land Registry Services (LRS)

A by-law only becomes enforceable after registration at NSW LRS.

Registration requires:

• The consolidated by-law document
• The signed meeting minutes showing the special resolution
• The LRS lodgement fee (currently $156)
• The certification by a strata lawyer or authorised witness
• Correct formatting and page structure

Registration can only be done by:

• A qualified solicitor or
• A person authorised to lodge documents with LRS

Unregistered by-laws have no legal effect even if all owners voted for them.

5. Step Five: Update and Issue the Consolidated By-Law Set

Once registered, the scheme must:

• Update the consolidated by-laws
• Add the new or amended by-law in the correct numbering sequence
• Provide a copy to all owners
• Keep the updated copy with the strata records
• Provide it to future buyers as part of strata searches

Failing to update the consolidated by-laws causes confusion and may create compliance problems during sales or disputes.

6. Step Six: Enforce the By-Law If Required

Once the by-law is validly:

1. Approved
2. Registered
3. Consolidated

It can now be enforced.

The enforcement steps are:

• Verbal reminder (optional)
• Written notice to comply
• Formal notice to comply under legislation
• NCAT application (if the issue continues)

A defective or unregistered by-law cannot be enforced at NCAT.

Strata On Demand Can Help

Strata On Demand offers professional, pay-as-you-go support for by-laws, with no contracts and no hidden extras.

Relevant services include:

1. By-Law Drafting & Lodgement

We prepare professionally drafted by-laws, arrange solicitor certification, provide the required resolution wording for your meeting agenda, and handle all documentation for LRS lodgement — ensuring your new by-law is legally enforceable from day one.

2. AGM / EGM Agenda Drafting

We draft clear, compliant agendas that include the required motions for making, amending, or repealing a by-law, along with voting thresholds, explanatory notes, and meeting procedures.

3. AGM / EGM Meeting Chairing

A professional chairperson to run your AGM or EGM, manage discussion around by-law changes, apply correct voting rules, and ensure the special resolution is processed properly and without conflict.

4. AGM / EGM Minute-Taking

Accurate, legally aligned minutes documenting the special resolution, voting results, explanatory notes, discussion, and all follow-up actions. These minutes are essential to support LRS lodgement and to demonstrate the by-law was passed correctly.

5. Drafting Notices & Letters

We prepare formal notices of meeting, owner circulars, and post-meeting confirmation letters, ensuring all communication is compliant with notice periods, wording requirements, and procedural rules for by-law changes.