DOCSLIB.ORG

Revised Legal Frameworks for Ownership and Use of Multi-Dwelling Units

Total Page：16

File Type：pdf, Size：1020Kb

Download full-text PDF Read full-text
Revised Legal Frameworks for Ownership and Use of Multi-Dwelling Units External Research Report Report ER23 Issue Date: 06/06/2017 ISSN: 2423-0839 Revised Legal Frameworks for Ownership and Use of Multi-dwelling Units Elizabeth Toomey, Jeremy Finn, Ben France- Hudson and Jacinta Ruru Project LR0480 University of Canterbury funded by the Building Research Levy © BRANZ 2017 1 BUILDING RESEARCH LEVY PROJECT Revised Legal Frameworks for Ownership and Use of Multi-dwelling Units Professor Elizabeth Toomey, Faculty of Law, University of Canterbury Professor Jeremy Finn, Faculty of Law, University of Canterbury Dr Ben France-Hudson, Faculty of Law, University of Otago Professor Jacinta Ruru, Faculty of Law, University of Otago 1 May 2017 2 AUTHORS’ FOREWORD One of the challenges of this collaboration was that two authors were based in Christchurch and one in Dunedin for the whole research period, and the fourth changed universities from one to the other during the project. Abundant use of e-mail, regular skype calls and some researcher meetings enabled us to ensure we reached agreement on critical issues. A research project of this kind and scope requires the assistance and support of a wide range of people in different roles. We have been exceptionally lucky that that assistance and support has been so generously given by so many people and we take this opportunity to express our gratitude for their contribution to the project. The principal funder of the research was the Building Research Association of New Zealand, and we have greatly appreciated their support. Further funding was provided by the New Zealand Law Foundation which enabled us to employ a number of research assistants to help us with this work and by the Law School of the University of Canterbury which provided funds for transcription of interviews. Their generosity was and is greatly appreciated. We are indebted to our researchers, and especially to our principal research assistant, Lara Goddard, who worked tirelessly on this project. Lara’s work was exemplary and her enthusiasm and humour were never more valuable than when things threatened to go awry. Other significant contributions were made by undergraduate research students at Canterbury and Otago - Anna Needham, Adelaide McCluskey, Rachel Kim, Joe Barclay and Laura Austin (University of Canterbury); Alice Eager, Laura MacKay, and Helen Baker (University of Otago). The production of this report was greatly assisted by the editorial work of Rachel Souness to whom we are greatly indebted. Nor could we have carried out the whole project without the skilled help and support of our wonderful administrator Fiona Saunders. The greatest debt of all is to the dozens of people in New Zealand, England, Australia, Canada and Hong Kong who gave up their time to be interviewed for this project or to complete our on-line survey. Their knowledge and insights provided much of our raw material; their willingness to assist was a constant reminder of the relevance of our project and also a spur to complete it to the best of our abilities. 3 Last but most importantly the researchers would like to thank their spouses - Michael, Anne, Rachel and Andrew - for support, understanding and encouragement while we have been engaged in our research and writing. Elizabeth Toomey Jeremy Finn Ben France-Hudson Jacinta Ruru Christchurch and Dunedin May 2017 4 TABLE OF CONTENTS AUTHORS’ FOREWORD ......................................................................................................... 2 CHAPTER 1 ................................................................................................................................ 9 INTRODUCTION ....................................................................................................................... 9 I THE GENESIS OF THE PROJECT ....................................................................... 10 II VALUABLE FUNDING ............................................................................................ 10 III BUILDING BETTER CITIES AND COMMUNITIES ......................................... 11 IV METHODOLOGY..................................................................................................... 11 V SYSTEM FAILURES ................................................................................................ 13 A Property owners do not understand what they own ............................................... 13 B Lack of governance structure ................................................................................... 17 C Insurers ...................................................................................................................... 19 D Vulnerable owners and residents .............................................................................. 21 E Poor communication .................................................................................................. 23 F Privacy issues .............................................................................................................. 25 G Access to justice .......................................................................................................... 26 VI OUR WORK ............................................................................................................... 27 VII OUTPUTS ................................................................................................................... 28 A Journal articles ........................................................................................................... 28 B Conference Papers ..................................................................................................... 28 CHAPTER 2 .............................................................................................................................. 30 OVERSEAS FINDINGS ........................................................................................................... 30 I INTRODUCTION ...................................................................................................... 31 II ENGLAND .................................................................................................................. 31 A The culture around disaster response and housing repair and replacement ....... 31 B Recent developments .................................................................................................. 33 C The influence of leasehold tenure ............................................................................. 34 D Leasehold land and insurance ................................................................................... 35 E Leaseholds and repairs .............................................................................................. 35 F Freehold land, multiple owners and a company structure ..................................... 36 G Commonhold: an experiment and failure ................................................................ 37 III HONG KONG ............................................................................................................ 38 A State involvement and supervision ........................................................................... 38 B Deeds of Mutual Covenant ........................................................................................ 39 C Public liability insurance cover ................................................................................. 40 IV AUSTRALIA/CANADA ............................................................................................ 41 A The defective building: lack of regulation and sub-standard construction .......... 41 B Warranties and deductibles ...................................................................................... 42 C The disappearing developer ...................................................................................... 46 D Economic damage: the AirBNB problem ................................................................ 47 E Lack of maintenance/reserve funds .......................................................................... 48 F Victoria: large scale fires ........................................................................................... 51 5 G Canada: lien for repair .............................................................................................. 52 H Canada: licensing regime for strata managers ........................................................ 53 I Canada: airspace subdivisions .................................................................................. 53 J A New South Wales Reform ...................................................................................... 54 V SOME COMPARATIVE FINDINGS ...................................................................... 55 A Challenging body corporate decisions ...................................................................... 55 B Insuring the building ................................................................................................. 56 C The problem with end-of-life buildings and/or buy- out for redevelopment ........ 58 VI WHAT LESSONS CAN BE LEARNT .................................................................... 61 A A priority lien ............................................................................................................. 61 B Maintenance and reserve funds ................................................................................ 61 C Accessibility of the dispute resolution regime ......................................................... 62 D A warning about potential
Load more

Recommended publications
  • Lending Policy
    Origin Mortgage Management Services Lending Policy (Version 3.6 – 22 July 2019) commercial-in-confidence Origin MMS Lending Policy Table of Contents 1. Introduction ......................................................................... 1 1.1 Purpose of the Lending Policy .......................................................... 1 1.2 Responsibilities ................................................................................ 2 1.3 National Credit Code ........................................................................ 3 1.3.1 Introduction .................................................................................................... 3 1.3.2 Responsible Lending Obligations .................................................................. 4 1.3.2 Regulated and Unregulated Loans ................................................................ 5 1.3.3 Financial Obligations ..................................................................................... 7 1.3.4 Substantial Hardship ...................................................................................... 7 1.4 Lenders Mortgage Insurance (LMI) .................................................. 8 1.4.1 Purpose of Lenders Mortgage Insurance ....................................................... 8 1.4.2 Lenders Mortgage Insurance Approvals ........................................................ 8 1.4.3 Lenders Mortgage Insurance Policy .............................................................. 8 2.0 Products ............................................................................
    [Show full text]
  • Lending with Boq
    LENDING WITH BOQ Version Number: 20 Effective Date: 20 July 2020 Important: This is NOT a full version of the Bank of Queensland’s home loan policy. It is a guide only. Acceptance of any loan application is always at Bank of Queensland’s lending discretion, and this document is not to be relied upon or represented as the bank’s current policy. Bank of Queensland Limited ABN 32 009 656 740 (BOQ). Important: This is NOT a full version of the Bank of Queensland’s home loan policy. It is a guide only. Acceptance of any loan application is always at Bank of Queensland’s lending discretion, and this document is not to be relied upon or represented as the bank’s current policy. Bank of Queensland Limited ABN 32 009 656 740 (BOQ). TABLE OF CONTENTS Introduction 1 Forms of acceptable income 2 Validating income 4 Validating Savings, account conduct & expenses 9 Security 13 Established Multiple Units 4 TO 6 17 Guarantees 18 Property valuations 19 Important: This is NOT a full version of the Bank of Queensland’s home loan policy. It is a guide only. Acceptance of any loan application is always at Bank of Queensland’s lending discretion, and this document is not to be relied upon or represented as the bank’s current policy. Bank of Queensland Limited ABN 32 009 656 740 (BOQ). INTRODUCTION Loan Interviews • Conduct face-to-face loan interviews with all new Borrowers and Guarantor/s. • Obtain identification and verify inline with group Customer Identification Guidelines. Note: Face to Face loan interviews can be conducted via video conferencing facilities.
    [Show full text]
  • Real Rights in Louisiana and Comparartive Law: Part I A
    Louisiana Law Review Volume 23 | Number 2 The Work of the Louisiana Appellate Courts for the 1961-1962 Term: A Symposium February 1963 Real Rights in Louisiana and Comparartive Law: Part I A. N. Yiannopoulos Repository Citation A. N. Yiannopoulos, Real Rights in Louisiana and Comparartive Law: Part I, 23 La. L. Rev. (1963) Available at: https://digitalcommons.law.lsu.edu/lalrev/vol23/iss2/3 This Article is brought to you for free and open access by the Law Reviews and Journals at LSU Law Digital Commons. It has been accepted for inclusion in Louisiana Law Review by an authorized editor of LSU Law Digital Commons. For more information, please contact [email protected]. LOUISIANALOUSINAFebruary, Volume XXIII1963 LAW REVIEW Number 2 REAL RIGHTS IN LOUISIANA AND COMPARATIVE LAW: PART I A. N. Yiannopoulos* R ights, whatever this word may mean in the framework of a concrete legal system,' may be classified according to a variety of criteria. Philosophically inclined jurists in various parts of the world have established in their efforts at sys- tematization of the law classifications of rights varying from: the abstractions of a purely analytical jurisprudence to the crea- tion of working concepts tested by the functional method. 2 Modern American scholars postulate a classification of "in- terests" (rather than "rights") into the broad categories of interests in personality, interests in property, and interests in relations. 3 This tripartite division could, perhaps, be adopted for the purpose of a meaningful analysis of civilian institutions. 4 Civilian commentators, however, have not as yet fully explored this lucid approach.
    [Show full text]
  • Tenancy by the Entirety in North Carolina Robert E
    NORTH CAROLINA LAW REVIEW Volume 41 | Number 1 Article 8 12-1-1962 Tenancy by the Entirety in North Carolina Robert E. Lee Follow this and additional works at: http://scholarship.law.unc.edu/nclr Part of the Law Commons Recommended Citation Robert E. Lee, Tenancy by the Entirety in North Carolina, 41 N.C. L. Rev. 67 (1962). Available at: http://scholarship.law.unc.edu/nclr/vol41/iss1/8 This Article is brought to you for free and open access by Carolina Law Scholarship Repository. It has been accepted for inclusion in North Carolina Law Review by an authorized administrator of Carolina Law Scholarship Repository. For more information, please contact [email protected]. TENANCY BY THE ENTIRETY IN NORTH CAROLINA* ROBERT E. LEEf NATURE OF TENANCY BY THE ENTIRETY Where real property is conveyed by deed or by will to two persons who are at the time husband and wife, a "tenancy by the entirety" is created. Sometimes it is referred to as an "estate by the entirety." The husband and wife take the whole estate as one person. Each has the whole; neither has a separate estate or interest; but the survivor, whether husband or wife, is entitled to the entire estate, and the right of the survivor cannot be defeated by the other's conveyance of the property by deed or will to a stranger. The title to the land cannot be conveyed during the existence of the marriage without the signature of both the husband and the wife. Neither tenant can defeat or in any way affect the right of survivorship of the other.
    [Show full text]
  • Intestate Succession
    INTESTATE SUCCESSION: WHAT EVERY TEXAS LEGAL PROFESSIONAL NEEDS TO KNOW DR. GERRY W. BEYER Governor Preston E. Smith Regents Professor of Law Texas Tech University School of Law 3311 18th Street Lubbock, TX 79409-0004 (806) 834-4270 [email protected] http://www.ProfessorBeyer.com http://www.BeyerBlog.com SPRING 2019 PROBATE ACADEMY TEXAS ASSOCIATION OF COUNTIES Lubbock, Texas May 8, 2019 © 2019 Gerry W. Beyer Revised April 20, 2019 DR. GERRY W. BEYER Governor Preston E. Smith Regents Professor of Law Texas Tech University School of Law Lubbock, TX 79409-0004 (806) 834-4270 [email protected] – www.ProfessorBeyer.com EDUCATION B.A., Summa Cum Laude, Eastern Michigan University (1976) J.D., Summa Cum Laude, Ohio State University (1979) LL.M., University of Illinois (1983) J.S.D., University of Illinois (1990) SELECTED PROFESSIONAL ACTIVITIES Bar memberships: United States Supreme Court, Texas, Ohio (inactive status), Illinois (inactive status) Member: American Law Institute; American College of Trust and Estate Counsel (Academic Fellow); American Bar Foundation; Texas Bar Foundation; American Bar Association; Texas State Bar Association Editor-in-Chief, REPTL Reporter, State Bar of Texas (2013-present) Keeping Current Probate Editor, Probate and Property magazine (1992-present) CAREER HISTORY Private Practice, Columbus, Ohio (1980) Instructor of Law, University of Illinois (1980-81) Professor, St. Mary’s University School of Law (1981-2005) Governor Preston E. Smith Regent’s Professor of Law, Texas Tech University School of Law
    [Show full text]
  • LMI Guide Australia
    LMI Guide Australia August 2021 Contents 1. Introduction 3 2. Duty of Disclosure 3 3. Applying for Lenders’ Mortgage Insurance 4 4. Borrowers & Guarantors 6 5. Deposit & Equity 7 6. Employment & Income 8 7. Servicing capacity 10 8. Property / security 11 9. Property type 12 10. Loan purpose 13 11. Product parameters 18 12. Minimum Verification Standards 21 13. Minimum Valuation Requirements 25 14. LMI Premium Rates 27 15. Additional loans – premium calculation 27 16. Capitalisation of Premium 27 17. LMI Premium Refunds 27 18. Terminated LMI Policies 28 19. Stamp Duty 28 20. Policy Variations 28 Page 2 of 32 1. Introduction About QBE Lenders’ Mortgage Insurance Limited (QBE LMI) QBE Lenders’ Mortgage Insurance Limited is one of the largest mortgage insurers in Australia. Although the business names have changed over time, QBE LMI has been operating continuously in the Australian mortgage insurance market since 1965. What is Lenders’ Mortgage Insurance? Lenders’ mortgage insurance (LMI) covers the lender in the event of the borrower defaulting on their loan. If the property is subsequently sold and the amount from the sale is insufficient to pay off the loan in full, this insurance will cover the lender for the shortfall. The insurer may then exercise their legal right to recoup this shortfall from the borrower. The lender applies for LMI not the borrower and the insurance should not be confused with Mortgage Protection Insurance. The fee for LMI is paid as a once only fee at loan settlement and varies depending on the amount of money being borrowed and loan to valuation ratio (LVR).
    [Show full text]
  • Residential Lending Policy
    Residential Lending Policy Updated: 3 October 2012 Firstmac Limited Telephone: 1800 651 898 +61 7 3017 8888 ACN 094 145 963 (AFSL / ACL 290600) Facsimile: (07) 3002 8400 GPO Box 7001 Riverside [email protected] Page 1 Brisbane QLD 4001 www.Firstmac.com.au Contents Residential Lending Policy.............................................................................................................. 1 Updated: 3 October 2012 ............................................................................................................... 1 Contents ........................................................................................................................................ 2 1 Introduction ........................................................................................................................... 5 3 Responsibilities .................................................................................................................... 5 3. 1 Firstmac credit ................................................................................................................. 6 3.2 National Consumer Credit Protection Act (“NCCP”) ........................................................... 7 3.3 Responsible Lending provisions........................................................................................ 7 4 Security requirements .......................................................................................................... 9 4.1 High Density apartments / units .....................................................................................
    [Show full text]
  • Judgment (PDF)
    [2012] UKPC 40 Privy Council Appeal No 0034 of 2010 JUDGMENT (1) Anthony Armbrister (2) Cyril Armbrister (as personal representatives of the Estate of Francis Armbrister) (Appellants) v (1) Marion E Lightbourn (2) Robin Mactaggart Symonette (in her capacity as the sole surviving executrix of the Estate of Sheila M Mactaggart – substituted Petitioner for Sheila M Mactaggart) (Respondents) From the Court of Appeal of the Commonwealth of the Bahamas before Lord Walker Lord Clarke Lord Sumption Lord Carnwath Sir Stephen Sedley JUDGMENT DELIVERED BY LORD WALKER ON 11 December 2012 Heard on 29 – 30 October 2012 Appellant Respondent Miss Carolyn Walton James Dingemans QC Miss Hannah Ilett Timothy Eneas (Bahamas Bar) (Instructed by E P Toothe (Instructed by Charles & Associates) Russell LLP) LORD WALKER: Introduction 1. This is an appeal from the Court of Appeal of the Commonwealth of the Bahamas in proceedings under the Quieting Titles Act 1959, Ch 393 (“the 1959 Act”). The original application was made over 30 years ago, by a petition presented on 15 March 1982 by two sisters, Marion E Lightbourn and Sheila M Mactaggart (“Mrs Mactaggart”), who were devisees under the will of their father, Herbert Arnold McKinney (“Mr McKinney”). On 5 July 1982 an adverse claim was made in the proceedings by Frances Fintel Armbrister (“Mrs Frances Armbrister”). During the protracted course of the proceedings Mrs Mactaggart and Mrs Frances Armbrister have died, as have two of Mrs Mactaggart’s personal representatives. The parties are now Mrs Lightbourn and Robin Mactaggart Symonette (the surviving personal representative of Mrs Mactaggart) as respondents in the main appeal and Anthony Armbrister (“Anthony Armbrister”) and his brother Cyril Armbrister (the personal representatives of Mrs Frances Armbrister) as appellants in the main appeal.
    [Show full text]
  • Residential Valuation Standing Instructions
    Australian Banking & Finance Industry Residential Valuation Standing Instructions For PropertyPRO, Restricted Valuation and Progress Inspection Reports Version 1.1.4 October 2016 Page 0 Contents VALUER QUALIFICATIONS ........................................................................................................................... 3 PROPERTYPRO GENERAL MATTERS ............................................................................................................ 4 In Scope .......................................................................................................................................................... 4 Out of Scope ................................................................................................................................................... 4 Limitations and Exclusions .............................................................................................................................. 5 Report Format & Guidelines ........................................................................................................................... 5 Administration ................................................................................................................................................. 5 Valuation Date and Signatories ...................................................................................................................... 5 Professional Expectations ..............................................................................................................................
    [Show full text]
  • Lenders Mortgage Insurance
    As at June 2016 Lenders Mortgage Insurance Underwriting Policy, Product Parameters and Management Guidelines Australia LMIUWPA0616 0 Disclaimer This is the Lenders Mortgage Insurance (LMI) Underwriting Policy, Product Parameters and Management Guidelines (Underwriting Policy) by which Genworth Financial Mortgage Insurance Pty Limited (Genworth) considers and assesses proposals for LMI. The LMI Underwriting Policy has been made publicly available by Genworth to assist those involved in the mortgage lending industry to gain a better understanding of the basis on which Genworth considers proposals for LMI. Genworth reserves the right to change the LMI Underwriting Policy at any time, without prior or subsequent notice to any person. Genworth reserves the right to accept and approve LMI proposals in its absolute and sole discretion and decline any LMI proposal notwithstanding the fact that the LMI proposal may comply or appear to comply with the LMI Underwriting Policy. The LMI Underwriting Policy should not replace a credit provider’s own lending guidelines and prudent lending practices. No party may rely on the LMI Underwriting Policy when considering applications for mortgage credit and if, and to the extent that any party does so rely, then Genworth bears no liability or responsibility to that third party whatsoever. To the maximum extent permitted by law, Genworth disclaims all liability for loss or damage whether foreseeable or not, suffered or incurred by you or any other person howsoever caused (including negligence on the part of Genworth) as a result of the use of, or any purported reliance on, the LMI Underwriting Policy. Originators and mortgage managers access to LMI products is subject to the acceptance of these products by the Funding Program.
    [Show full text]
  • Instructor's Notes for Louisiana Civil
    Instructor’s Notes For Louisiana Civil Law Certified by the Louisiana Real Estate Commission R.L. Ponthier, Ph.D., Ed.D., CDEI, DREI Director ©2017 5/17 Louisiana Civil Law – I PROPERTY I. Classifications of Property (Things); In Louisiana, property means things. The term is also used in reference to the relationship that exists between people and property. Property, or things, can fall into several classifications that are not mutually exclusive. That is, a thing can simultaneously fall into one or more of the following classifications A. Corporeal Things - things with a body - can be touched or felt (Example: a table, a dog) - animate or inanimate B. Incorporeal Things - things without a body - rights on things are incorporeal (Example: inheritance rights, servitudes, obligations) C. Private Things - owned by individuals or corporations D. Common Things - may not be owned by anyone (Example: air, the high seas) E. Public Things - things owned by the state (Example: running water, the territorial seas, the seashore) F. Movable Things - personal property, not real estate G. Immovable Things - real estate II. Immovables (Real Property); “real estate” is defined as including condominiums and leasehold interests, as well as any other interest in land with the exception of oil, gas, and other mineral rights, and whether the real estate is situated in Louisiana or elsewhere A. Tracts of land - when their component parts are immovables B. Component parts – Objects that are considered to be real estate such as buildings, other construction permanently attached to the ground, standing timber, unharvested crops or ungathered fruits of trees are component parts when they belong to the owner of the ground.
    [Show full text]
  • Residential Valuation Standing Instructions 1.1.1
    Australian Banking & Finance Industry Residential Valuation Standing Instructionsuse in for PropertyPRO, Restricted Assessments and Progress Inspectionlonger Reports no Version 1.1.1 - SUPERSEDED August 2014 Page 0 Australian Banking & Finance Industry Residential Valuation Standing Instructions Contents PROPERTYPRO GENERAL MATTERS ............................................................................................................ 3 In Scope .......................................................................................................................................................... 3 Out of Scope ................................................................................................................................................... 3 Valuer’s Qualifications..................................................................................................................................... 4 Limitations and Exclusions .............................................................................................................................. 5 Report Format & Guidelines ........................................................................................................................... 5 Administration ................................................................................................................................................. 5 Valuation Date and Signatories ...................................................................................................................... 5 Professional
    [Show full text]