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These Model Rules have been drafted as a starting point for existing Bodies Corporate as well as developers of new unit title developments and their respective professional advisers. They have deliberately been drafted in a conservative manner to ensure compliance with the new legislation and existing case law. The majority of the Schedule Two rules under the Unit Titles Act 1972 have been entrenched into the provisions of the Unit Titles Act 2010 (“Act”). For this reason the Model Operational Rules do not cover matters that were previously in the Schedule Two rules. They are instead an extension of the matters contained in the default Operational Rules under Schedule One of Unit Titles Regulations 2011 (“Regulations’).
The Model Operational Rules incorporate the default Operational Rules under Schedule One of the Regulations and as result they are designed to replace the default Operational Rules in their entirety.
The Model Operational Rules act as precedents and as guidance to developers and Bodies Corporate but they are not designed to be a “one size fits all” set of rules. Each individual rule within each set of Model Operational Rules should be carefully examined and understood before being used. Developers of new unit title developments and Bodies Corporate will need to carefully consider which rules are suitable and whether any deletions, amendments or additions may be necessary. Where rule options are given, the option(s) not required must be clearly excluded. ADLS recommends that legal advice be sought during this process. By providing the Model Operational Rules and the information contained herein ADLS does not purport to provide legal advice on Operational Rules under the Act and Regulations.
By purchasing the license for this version of the Model Operational Rules, licensees acquire the right to incorporate the terms contained in this version of the Model Operational Rules in the agreements that their firm prepares for their clients. Clients preparing agreements themselves for their own use will need a separate licence.
Should a new version of the Model Operational Rules be made available, licensees will be required to purchase a license for the new version, unless the new version has been released within one year of the purchase of the previous version. In that instance, upon proof of purchase the licensee will be entitled to receive the new Model Operational Rules without further charge.
Model Operational Rules
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