Resources · Disputes

I have an owners corporation dispute.

There is no single mandatory ladder for every dispute. The correct path depends on the legal issue, who is taking action, the result sought and whether the matter concerns rules, fees, repairs, the registered plan or building work.

Before anything else

Two things to do today.

These steps preserve evidence and expose urgent dates while the correct legal pathway is identified.

01
Preserve the recordKeep the registered plan and rules, resolutions, minutes, contracts, notices, emails, photographs and expert reports. Build a dated chronology without altering the original documents.
02
Capture every deadlineRecord notice dates, meeting and hearing dates, contractual time bars and possible limitation dates. Negotiation does not necessarily stop time running.

Choose the correct pathway first

The subject of the dispute changes the procedure.

Before sending a formal notice or commencing a proceeding, identify which legal regime applies. Using the rules-enforcement process for a fee, defect or plan dispute can waste time and create avoidable procedural arguments.

01
Rules or conductAn alleged breach by a lot owner, occupier or manager may engage the internal grievance procedure and Part 10 of the Owners Corporations Act 2006 (Vic).
02
Unpaid fees or leviesRecovery follows the separate fee-notice and final-notice provisions. The Part 10 complaint process expressly excludes recovery of amounts owing under section 28.
03
Repairs or common propertyThe registered plan is the starting point for boundaries. Repair duties, access, water, insurance and urgent-loss provisions may then determine the remedy.
04
Plans, lot liability or easementsThese matters may arise under Part 5 of the Subdivision Act 1988 (Vic), which gives VCAT specific powers concerning owners corporation and easement disputes.
05
Building work or defectsThe parties, contract, type of work and relief sought determine whether the domestic building dispute process, VCAT or a court is the proper route.

Rules and conduct complaints

From formal complaint to possible VCAT application.

This sequence concerns an alleged breach of the Owners Corporations Act 2006 (Vic), the regulations or an owners corporation rule by a lot owner, occupier or manager. It is not the pathway for personal injury or recovery of fees, charges or other amounts owing under section 28. Owners Corporations Act 2006 (Vic) ss 152(1), 152(4), 153(1A)

1
Check the obligation and the applicable grievance ruleConfirm the alleged breach and obtain the owners corporation’s registered rules. The applicable grievance rule may be a registered rule or, where the model rule applies, Schedule 2 model rule 7. Under model rule 7, a written complaint must be made in the approved form, the grievance committee or owners corporation must be notified, and the parties must meet to discuss the dispute within 28 calendar days after it comes to every party’s attention. Owners Corporations Act 2006 (Vic) ss 138–139; Owners Corporations Regulations 2018 (Vic) reg 11, sch 2 model rule 7
2
The owners corporation decides whether to actIt may take action under Part 10, apply to VCAT for an order requiring rectification, or take no action. For a complaint under section 152, the rules-based dispute process must first have been followed and the owners corporation must reasonably believe the breach occurred. A decision not to act requires written reasons. Owners Corporations Act 2006 (Vic) ss 153–154
3
Notice to rectify, if that enforcement route is chosenThe approved notice must identify the alleged breach and require rectification within 28 days. If the person is an occupier, a copy must also go to the lot owner. Owners Corporations Act 2006 (Vic) s 155
4
Decision after the first noticeIf the breach is not rectified, the owners corporation may extend time, give a final notice or take no further action. Owners Corporations Act 2006 (Vic) s 156
5
Final notice, if the owners corporation proceedsThe approved final notice gives a further 28 days to rectify and warns that the owners corporation may apply to VCAT. If the breach continues, the owners corporation must decide whether to apply or take no further action. Owners Corporations Act 2006 (Vic) s 157
6
VCAT, where an application is authorised and appropriateSection 163 identifies who may apply. VCAT may strike out an owners corporation’s rectification application if section 153 was not followed, and section 165 gives VCAT broad power to make fair, interim and ancillary orders. Owners Corporations Act 2006 (Vic) ss 163–165

Voluntary dispute resolution

DSCV is an option, not a compulsory stage.

Consumer Affairs Victoria provides information and approved forms. Current Victorian Government guidance directs parties seeking voluntary dispute-resolution assistance to the Dispute Settlement Centre of Victoria.

DSCV involvement is not required before a VCAT application and can proceed only if the parties agree to participate. It may be useful after the internal grievance process where the dispute is suitable for consensual resolution.

Consumer Affairs Victoria: complaint handling and resolving disputes

Other common pathways

The complaint sequence does not fit every dispute.

These matters require a separate analysis of standing, preconditions, authority, forum and relief.

01
Unpaid fees and leviesA fee notice gives 28 days to pay. If unpaid, the owners corporation may issue an approved final notice. A VCAT payment application by the owners corporation cannot be made until a further 28 days after that final notice. Section 30 also permits recovery in a court of competent jurisdiction. Owners Corporations Act 2006 (Vic) ss 30–32, 163(2)
02
Repairs, water ingress and urgent riskThe registered plan and the repair duties in sections 46 and 47 are central. The complaint process does not prevent work necessary to ensure safety or prevent significant loss or damage, and VCAT may make interim orders where appropriate. Owners Corporations Act 2006 (Vic) ss 46–47, 153(5), 165(3)
03
Plan, lot-liability and easement disputesPart 5 of the Subdivision Act 1988 (Vic) provides specific VCAT routes for disputes arising under that Act, easements, proposed alterations to plans and duties imposed on owners corporations. Subdivision Act 1988 (Vic) ss 34A–34F
04
Building defects and contractsIf a matter is an eligible domestic building dispute, the parties generally must attempt resolution through Building and Plumbing Commission Dispute Resolution before applying to VCAT. Other defect, insurance, statutory-duty and commercial claims may follow different routes.
05
Urgent injunctions or protective ordersDo not wait for an ordinary sequence where immediate work or interim relief is required to protect people, property or a legal position. The evidence, authority and correct forum still need to be addressed.

Forum and authority

VCAT and court are not consecutive rungs.

The correct forum turns on jurisdiction, parties, cause of action and relief. VCAT has broad statutory powers in owners corporation disputes. Courts remain relevant to debt, contract, building and other claims. Under the Subdivision Act 1988 (Vic), VCAT may refer specified owners corporation or easement disputes to the County Court after considering importance, complexity and amount.

Before an owners corporation commences proceedings, authority must also be checked. Section 18 of the Owners Corporations Act 2006 (Vic) generally requires a special resolution, but an ordinary resolution can authorise proceedings within the Magistrates’ Court civil jurisdictional limit in the forums specified by section 18(2). Owners Corporations Act 2006 (Vic) s 18; Subdivision Act 1988 (Vic) s 34C

Where we fit

Use the right process from the first formal step.

We identify the legal character of the dispute, check the plan, rules, notices and authority, and recommend the proportionate next step before time and cost are committed to the wrong route.

This page is general information, not legal advice. It was reviewed on 6 August 2026 against authorised version 23 of the Owners Corporations Act 2006 (Vic), authorised version 2 of the Owners Corporations Regulations 2018 (Vic), authorised version 84 of the Subdivision Act 1988 (Vic), and current Victorian Government procedural guidance.

Owners Corporations Act 2006 (Vic) · Owners Corporations Regulations 2018 (Vic) · Subdivision Act 1988 (Vic)

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