Choi v The Body Corporate of Macquarie Place [2025] QCATA 128
QUEENSLAND CIVIL AND
ADMINISTRATIVE TRIBUNAL
CITATION: Choi v The Body Corporate of Macquarie Place CTS
10897 [2025] QCATA 128
PARTIES: YUK SUM CHOI
(appellant)
v
THE BODY CORPORATE OF MACQUARIE
PLACE CTS 10897
(respondent)
APPLICATION NO/S: APL161-25
MATTER TYPE: Appeals
DELIVERED ON: 19 December 2025
HEARING DATE: 5 November 2025 and later written submissions
HEARD AT: Brisbane
DECISION OF: Member Roney KC
ORDERS: 1. I set aside the orders made by the Adjudicator and
remit the matter to the Commissioner for further
adjudication and consideration in relation to the
following:
(a) Whether section 177 of the Body Corporate
and Community Management Act 1997 (Qld)
applied because the exclusive area affected by
the smoke lock was utility infrastructure,
having regard to the submissions the parties
have since made on that issue, and any
relevant evidence which bears upon that issue.
(b) Whether in all the circumstances, it is
reasonable that the Body Corporate insist on
reinstatement of the smoke lock having regard
to its own conduct and any other relevant
considerations.
(c) What is to the proper construction of by-law 5
and as to whether it applied to the relevant
works of and associated with removing the
airlock, notwithstanding the approval by the
body, corporate of those works.
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(d) What are the implications for a Body
Corporate in sanctioning work which
arguably contravenes by-law 5?
(e) Does it constitute a waiver of any by-law
contravention or is the Body Corporate
estopped from asserting that the works must
be removed because of by-law 5.
(f) Must the Body Corporate enforce by-law 5
contravention if it has in practical effect
sanctioned and approved the works allegedly
contravening it?
(g) Is it feasible, possible and appropriate from a
proper building and engineering perspective
to reinstate the smoke lock and what other
modifications would be necessary to be made
to the appellant’s lot in order for that to
occur? As an associated issue, what methods
are appropriate to reinstate the smoke lock
and make the other modifications and what
costs would be associated with that work?
(h) Having regard to the answer and outcomes
from these issues, who should bear the cost of
doing that reinstatement and/or any other
associated rectification work having regard to
what is just inequitable and reasonable in the
circumstances?
2. I make a direction that the parties act reasonably in
all relevant respects in seeking to provide such
information, submissions and expert opinion to the
adjudicator as may be necessary in order for the
adjudication to determine those issues.
3. I direct that the appellant provides such access to
the lot as may reasonably be requested and or
required by the respondent on reasonable notice
from time to time, and permit its representatives,
agents, consultants any expert to conduct a proper
examination of the features of the lot in order to
assist the adjudicator to arrive at a just and
equitable outcome.
4. I direct that if the appellant proposes to contend in
the further adjudication process that there are
oppressive or significant financial consequences for
her in reinstating the smoke lock, that she files with
the Commissioner’s office evidence as to the cost of
reinstating, the smoke lock within 90 days of the
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making of these orders or such further time, as the
adjudicator may permit.
5. I grant the parties liberty to apply in respect of any
other consequential or other orders which might be
required to be made.
CATCHWORDS: APPEAL AND NEW TRIAL – APPEAL – GENERAL
PRINCIPLES – RIGHT OF APPEAL – WHEN APPEAL
LIES – ERROR OF LAW – where s 289(2) of the Body
Corporate and Community Management Act 1997 (Qld)
allows a person aggrieved by an Adjudicator’s order to
appeal on a question of law to the Queensland Civil and
Administrative Tribunal – what is error of law – whether
there was an error of law – whether deciding an application
on a basis not contended for by the parties and without
giving an opportunity to make submissions was an error of
law
REAL PROPERTY – STRATA AND RELATED
TITLES – MANAGEMENT AND CONTROL –
BYLAWS – whether Body Corporate in Committee
meeting acted reasonably in passing motions requiring a
fire safety facility which it approved for removal by a lot
holder and in respect of which it gave exclusive use, and
involved other associated renovations to the lot ought to
be reinstated at the lot holder’s expense – whether Body
Corporate estopped from enforcing its By-laws in the
circumstances
COMMON PROPERTY – GRANT OF EXCLUSIVE
USE – IMPROVEMENT TO EXCLUSIVE USE AREA –
whether appellant was wrongly granted exclusive use of
common property comprising a “smoke lock” containing
utility infrastructure in contravention of Building Code of
Australia and section 177 Body Corporate and
Community Management Act 1997 (Qld)
BODY CORPORATE AND COMMUNIUTY
MANAGAMENT – Adjudicator’s investigation – extent
of obligation to investigate matter or invite submissions on
an issue adversely decided against a party – whether failed
properly to investigate or invite submissions from a party
– scope of duty to accord procedural fairness
HUMAN RIGHTS – human right to property – where
adjudication of dispute between the lot owner and the
Body Corporate – where adjudicator is a public entity –
where act or decision of a public entity unlawful if a
person’s human right not considered – where adjudicator
did not consider the appellant’s right to property –
whether the Human Rights Act 2019 (Qld) applied to the
adjudication – whether the adjudicator was engaging in a
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function of a public nature – whether error of law not to
have regard to the Human Rights Act 2019 (Qld) in the
adjudication
Body Corporate Community Management Act 1997
(Qld), s 94, s 100(5), s 100(1), s 171(3)(b), s 177, s 184, s
276(3), Schedule 5 Items 10 21
Building Act 1975 (Qld)
Building Code of Australia
Building Fire Safety Regulation 2008 (Qld)
Fire and Emergency Services Act 1990 (Qld)
Human Rights Act 2019 (Qld)
National Construction Code 2022
National Construction Code 2016
Queensland Civil and Administrative Tribunal Act 2009
(Qld), s 146
Ainsworth & Ors v Albrecht & Anor (2016) 261 CLR 167
Body Corporate for Beaches Surfers Paradise v
Backshall [2016] QCATA 177
Body Corporate for Grand Pacific Resort v Cox [2012]
QCATA 14
Climpson & Anor v Body Corporate for Rolling Surf
Resort Celestial Investments Pty Ltd [2013] QCATA 93
den Exter v Magnetic International Resort Hotel CTS
22894 [2011] QCATA 70
Hablethwaite v Andrijevic [2005] QCA 336
Huang v Body Corporate for the Dorchester CTS 10749
[2024] QCATA 64
JM Family Holdings Pty Ltd v Owltown Pty Ltd [2018]
QCA 260
Kioa v West (1985) 159 CLR 550
Minister for Immigration and Border Protection v
WZARH [2015] HCA 40
Owltown Pty Ltd v Norwinn Commercial CTS38094
[2018] QCATA 2
Owltown Pty Ltd v Norwinn Commercial [2020] QCATA
145
Saeed v Minister for Immigration and Citizenship (2010)
241 CLR 252
The Australian Institute for Progress Ltd v The Electoral
Commission of Queensland (2020) 4 QR 31
The Body Corporate for The Grove CTS9356 v
Comerford [2019] QCATA 172
Waltons Stores (Interstate) Limited v Maher (1988) 164
CLR 387
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APPEARANCES &
REPRESENTATION:
Appellant: Self-represented, assisted by H Chan
Respondent: Self-represented by its agent A West Body Corporate
Secretary
REASONS FOR DECISION
Background
[1] The appellant is the owner of Lot 20 in the scheme that is Macquarie Place CTS 10897.
Macquarie Place is a scheme comprising 21 lots and common property, regulated by
the Body Corporate and Community Management Act 1997 (Qld) and Standard
Module. Macquarie Place was built in around 1981.
[2] Both parties to this very complex appeal were self-represented. The appellant was
assisted by her husband, Mr Chan, who is a builder. He gave opinions and made
submissions about a number of engineering and building related issues, as well as
issues concerning the proper construction of the Building Code of Australia and many
other topics. His contentions were often at odds with the evidence before the
adjudicator from engineers and other experts.
[3] The Appeal Book comprised 476 pages of material and the appellant relied on a
detailed written submission of 121 pages setting out the arguments for the 20, or
eventually, only 19, grounds of appeal on 21 August 2025. The appellant then filed a
further 79-page Reply Submission on 16 October 2025 addressing the Respondent’s
submissions. She filed even more lengthy submissions after the hearing on issues that
I invited submissions about, but also addressed a wide range of other matters. The
respondent filed a written submission of 21 pages in response on 15 September 2025
and further submissions after the hearing on issues that I specifically invited
submissions about.
[4] At the heart of this matter the dispute concerns the applicant having removed a small
triangulated area of less than one square meter of common property which was
adjacent to the fire stairs running internally inside the building. That small area was to
be found on each of the floors in the building. The area is called a smoke lock in some
places and an airlock, or a smoke lobby, in others. When the appellant purchased Lot
20 in 2017 she noticed that the smoke lock was very small and consulted with Mr
Norman Bergin of Overall Building Consultancy Services, (who it is said was an
experienced building certifier and a fire safety professional) and worked out a solution
to fix the perceived safety problems by adopting deemed-to-satisfy provision
D1.7(a)(iii) of National Construction Code 2016 (‘NCC’), by converting the smoke
lock into what was part of a larger laundry room. Mr Norman Bergin was not used by
the appellant as an expert witness in her case.
[5] On 1 August 2017, the appellant applied to the Body Corporate for permission to
perform substantial renovations to the Lot and which she could not do without formal
approval. Part of these renovations involved removal of the smoke lock. Not only was
removal of it sought, but the appellant also wanted for it to be taken out of common
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property of the respondent but for exclusive use title to it to be given to her. Extensive
plans were provided to the Body Corporate at the time to show what was proposed.
[6] That work was eventually done and completed in 2018 and the area where the smoke
lock was came to become property for the exclusive use of the appellant instead of
general common property.
[7] The appeal is from a decision by an adjudicator1 who ordered in respect of an
application by the respondent Body Corporate that within six months of the date of the
order, the owner of lot 20 was to reinstate the common property smoke lock in the area
of common property which they incorporated into their lot.
[8] It was ordered that the Owner of lot 20 was to meet the cost of all works to reinstate
the smoke lock. No reasons were given for why it was thought that they should meet
that cost. It may be inferred that this was seen to follow from other findings on the
evidence.
[9] It was also ordered that within six months of the date of the order, the Body Corporate
was to lodge with Titles Queensland, an amended Community Management Statement
(‘CMS’) which records the removal of the by law granting exclusive use of common
property to the owner of lot 20. It was ordered that the body corporate was to meet the
cost of preparing and lodging the amended Community Management. No reasons were
given for why it was thought that it should meet that cost but not the cost of all works
to reinstate the smoke lock.
[10] The respondent concedes that the decision requires the appellant, at her cost, to remove
her laundry facilities and reinstate the smoke lock. In turn, the Respondent is required
to prepare and lodge a new CMS in accordance with the Body Corporate and
Community Management Act 1997 (Qld) (‘BCCMA’ or ‘the Act’).
[11] The appellant appeals all of those orders in a multiplicity of ways.
Appeals from Orders of adjudicators
[12] The decision of the Adjudicator was given under s 276 of the BCCMA. Section 276
provides as follows:
276 Orders of adjudicators
(1) An adjudicator to whom the application is referred may make an order
that is just and equitable in the circumstances (including a declaratory
order) to resolve a dispute, in the context of a community titles scheme,
about—
(a) a claimed or anticipated contravention of this Act or the
community management statement; or
(b) the exercise of rights or powers, or the performance of duties,
under this Act or the community management statement; or
(c) a claimed or anticipated contractual matter about—
(i) the engagement of a person as a body corporate manager or
service contractor for a community titles scheme; or
1 Macquarie Place [2025] QBCCMCmr 80.
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(ii) the authorisation of a person as a letting agent for a
community titles scheme.
(2) An order may require a person to act, or prohibit a person from acting, in
a way stated in the order.
(3) Without limiting subsections (1) and (2), the adjudicator may make an
order mentioned in schedule 5.
(4) An order appointing an administrator—
(a) may be the only order the adjudicator makes for an application; or
(b) may be made to assist the enforcement of another order made for
the application.
(5) If the adjudicator makes a consent order, the order—
(a) may include only matters that may be dealt with under this Act;
and
(b) must not include matters that are inconsistent with this Act or
another Act.
[13] The appeal to this Tribunal is governed by s 289 of the BCCMA, which provides:
289 Right to appeal to appeal tribunal
(1) This section applies if—
(a) an application is made under this chapter; and
(b) an adjudicator makes an order for the application (other than a
consent order); and
(c) a person (the aggrieved person) is aggrieved by the order; and
(d) the aggrieved person is—
(i) for an order that is a decision mentioned in section 288A,
definition order—an applicant; or
(ii) for another order—
(A) an applicant; or
(B) a respondent to the application; or
(C) the body corporate for the community titles scheme;
or
(D) a person who, on an invitation under section 243 or
271(1)(c), made a submission about the application;
or
(E) an affected person for an application mentioned in
section 243A; or
(F) a person not otherwise mentioned in this
subparagraph against whom the order is made.
(2) The aggrieved person may appeal to the appeal tribunal, but only on a
question of law.
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[14] Section 290 of the BCCMA provides:
290 Appeal
(1) An appeal to the appeal tribunal must be started within 6 weeks after the
aggrieved person receives a copy of the order appealed against.
(2) If requested by the principal registrar, the commissioner must send to the
principal registrar copies of each of the following—
(a) the application for which the adjudicator's order was made;
(b) the adjudicator's order;
(c) the adjudicator's reasons;
(d) other materials in the adjudicator's possession relevant to the order.
(3) When the appeal is finished, the principal registrar must send to the
commissioner a copy of any decision or order of the appeal tribunal.
(4) The commissioner must forward to the adjudicator all material the
adjudicator needs to take any further action for the application, having
regard to the decision or order of the appeal tribunal.
[15] Section 146 of the Queensland Civil and Administrative Tribunal Act 2009 (Qld)
(‘QCAT Act’) provides:
146 Deciding appeal on question of law only
In deciding an appeal against a decision on a question of law only, the appeal
tribunal may—
(a) confirm or amend the decision; or
(b) set aside the decision and substitute its own decision; or
(c) set aside the decision and return the matter to the tribunal or other entity
who made the decision for reconsideration—
(i) with or without the hearing of additional evidence as directed by
the appeal tribunal; and
(ii) with the other directions the appeal tribunal considers appropriate;
or
(d) make any other order it considers appropriate, whether or not in
combination with an order made under paragraph (a), (b) or (c)
[16] Hence, pursuant to s 146, in deciding an appeal against a decision on a question of
law, the Appeal Tribunal is not engaged in a rehearing of the matter.
The 19 grounds of appeal
[17] This is a matter where one can appeal only on a question of law. Yet the appeal grounds
do not reliably focus on that issue. Many grounds are repetitive and often not self-
evident as to their foundation as errors of law or as any form of error. Some are
incoherent or based on a fundamental misunderstanding of the law.
[18] Comprehending and resolving the complexly interwoven issues which are
repetitiously thrown up in the appellant’s case has been no easy task. Despite that I
have given full and careful consideration to all of those submissions. Many of them
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cross over between topics and appear to interrelate different heads of appeal with other
grounds or arguments in support of the appeal. One’s overall impression is that in large
part, this appeal was conducted by the appellant as an attempt to re-argue the
multiplicity of issues which were raised at the adjudication at which the appellant lost,
both on the evidence and in law, and as to the proper interpretation to be placed upon
evidence where it fell into some particular context or other.
[19] Although the grounds of appeal are expressed to be grounds of law they are mostly
against findings of fact or mixed findings of law and fact for which leave is required,
they essentially relate, in one way or another, to challenging to the findings of fact.
Some of those said to be errors of law are not obviously so.
The grounds of appeal
[20] Ground 1 is “Jurisdictional Error: The Adjudicator of BCCM acted Ultra vires
exceeding powers of BCCM Act to decide Building Compliance under Building Act
1975. (i.e. The Adjudicator has no jurisdiction and expertise to decide if the work of
Lot 20 is in breach of the Building Act 1975)”.
[21] The Adjudicator's powers include considering legislation such as the Building Act
1975 (Qld) (‘Building Act’) and referencing standards and codes, including the
Building Code of Australia (‘BCA’). Adjudications regularly consider the Building
Act and BCA and there is no express provision in the Building Act which limits the
Adjudicator's jurisdiction. The Appellant's approval, issued by Mr Bergin, related only
to Lot 20. There was no suggestion that Mr Bergin's approval assessed the whole
building or superseded the Building Approval. The Adjudicator considered the advice
of a certifier Mr Matt Bennett (‘certifier’) who assessed the appellant's renovations
against what was in the Building Approval, the By-laws and the BCA, and determined
that the smoke lock remained a requirement. An adjudicator can decide such issues as
arise for determination in the application. That was one of them. There was no such
jurisdictional error.
[22] Ground 2 is “Jurisdictional Error: The Adjudicator of BCCM Acted Ultra Vires by
Exceeding Powers under the BCCM Act to Enforce Building Compliance under the
Building Act 1975. (i.e. BCCM is not empowered and authorized to enforce Breach
of Building Acts 1975)”.
[23] Again, there is no basis for this ground and there was no order enforcing building
compliance under the Building Act. The Adjudicator did not seek to issue enforcement
notices or “enforce” noncompliance under the Building Act. There was no such
jurisdictional error.
[24] Ground 3 is “Jurisdictional Error & Denial of Procedural Fairness: The Adjudicator
of BCCM Failed to Comply with the Investigation and Enforcement Procedures
Stipulated in the Building Act 1975 Before Issuing a De Facto Enforcement Order”.
[25] Again, there is no basis for this ground, and it is nonsensical. There was no such
jurisdictional error even if the adjudicator failed to comply with investigation and
enforcement procedures in the Building Act.
[26] Ground 4 “Error of Law - The Judicator Failed to Implement Section 269(1) and
270(a) BCCM Act to Investigate and Dismiss the Adjudication Application when it
appears to the Adjudicator that the Adjudicator does not have jurisdiction to deal with
the application”. No error of law occurred because the Adjudicator failed to dismiss
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the adjudication application under 270(1) of the BCCMA. Again, there is no basis for
this ground, and it has no intelligent or reasonable meaning.
[27] Ground 5 is “Error of Law: The Adjudicator Failed in Performing the Adjudication
Function to Address the Second Part of the Matter – Whether the Body Corporate (the
Respondent) Acted Reasonably".
[28] I will deal with that ground shortly.
[29] Ground 6 is “Jurisdictional Error: The Adjudicator Identified the Wrong Issue, Asked
the Wrong Question, and Decided a Matter Not Entrusted to It”. There is no basis for
this ground, and it is nonsensical. There was no such jurisdictional error. This ground
is apparently related to grounds 7 and 15 as well.
[30] I will deal with the issue concerning section 177(1) shortly.
[31] Ground 7 is “Error of law - The Adjudicator Misinterpreted Section 177 of the BCCM
Act (prohibited matter for exclusive use by-law) and Applied It Incorrectly”.
[32] Ground 8 is “Error of law - The Adjudicator Further Misinterpreted and Misapplied
Sections 177, and 171 of the BCCM Act in Ordering Lot 20 to Surrender the Exclusive
Use Area and Pay All Costs for the Amendment of the CMS - The Order is Clearly
Incorrect, Unjustified, Unreasonable, and Unlawful”.
[33] I will deal with that ground shortly.
[34] Ground 10 is “Jurisdictional Error: The Adjudicator of BCCM Acted Ultra Vires -
Making a Finding that Lot 20 Compromised the Fire Safety of the Building and Erred
in the Interpretation of the Building Fire Safety Regulation 2008 (QLD) and the Fire
and Emergency Services Act 1990 (QLD)”.
[35] The appellant contends the Adjudicator considered the evidence from experts whom
the appellant says were “hired guns”, implying professional bias and partiality. The
Appellant was afforded an opportunity to submit expert evidence. The Appellant and
her husband are not experts. Their submissions were given appropriate weight. The
preference for one party’s evidence over another does not amount to an error of law
or fact. Otherwise, there is no basis for this ground, it attacks a finding of fact or it has
no intelligent or reasonable meaning. There was no such jurisdictional error.
[36] Ground 11 is “Error of Law: The Adjudicator Relied on False and Misleading
Information Provided by the Body Corporate's Consultant Without Proper
Examination, Justification, or Consideration of the Appellant (Lot 20)'s
Overwhelming Submissions and Evidence”.
[37] There is no basis for this ground, and it is not an error of law to accept one party’s
submissions and expert evidence especially when the appellant led none to contradict
it apart from the assertions of the appellant’s husband. Otherwise, it has no intelligent
or reasonable meaning.
[38] Ground 12 is “Error of Law: The Adjudicator Ignored Critical Evidence Submitted by
the Appellant”.
[39] It is not an error of law not to accept one party’s evidence. There is no need to reference
every asserted bit of “evidence” to arrive at a proper legal conclusion. The Adjudicator
did not ignore critical evidence in the way the appellant suggests.
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[40] Ground 13 is “Error of Law: Bias, no evidence, Assumption, Failed to Provide
Justification and Adequate Reasons for the Decision, Incorrect Interpretation of
Evidence”.
[41] Again, there is no basis for this ground, and it is largely nonsensical. There was no
bias evident. The appellant asserts that the Adjudicator was biased. The appellant’s
position appears to be based on the Adjudicator's preference for the Respondent’s
expert and lay evidence and the wording used in the reasons to refer to what the
appellant “argues” or denied. The use of such language is conventional and does not
reveal bias. Apart from some matters I deal with below there was no failure to provide
reasons or set out the evidence which founded some of the findings.
[42] Ground 14 is “Error of Law: The Adjudicator Failed to Address the Conflict of Interest
of Mr Catchpole”.
[43] This refers to an expert witness I mention later. The Adjudicator did not need to
address a conflict of interest of Mr Catchpole because it was unnecessary to do so and
no conflict was shown. Mr Catchpole had no discernible interest in the Building
Approval nor any consequences flowing from the decision of the Adjudicator. The
validity or lawfulness of the Building Approval (made by Council in 1980) has no
apparent personal significance to Mr Catchpole. Even if there was a conflict, it did not
affect the outcome. He was one of three experts who were used by the respondent in
support of its case. His evidence was not critical.
[44] Ground 15 is “Error of Law, The Adjudicator Denied Natural Justice (Procedure
Fairness) by not provide opportunity to the Appellant (Lot 20) to reply new issue
raised by the Adjudicator and submission provided by the Respondent”.
[45] I will deal with one procedural fairness issue shortly. Otherwise, there is no substance
to this ground.
[46] Ground 16 is “Error of Law: The Adjudicator Found a Breach of the Building Act
1975 Without Evidence or inadmissible evidence.”
[47] The Adjudicator made findings on the evidence put forward by the parties. The rules
of evidence do not apply in any event. If they did apply much of what the appellant
put forward would have been excluded as unqualified opinion. The appellant asserts
that the reasons in paragraphs [41] to [44] and [46] to [47] show that the Adjudicator
was considering evidence which was inadmissible pursuant to s 252E(5) of the
BCCMA because it was evidence of things said or done about the dispute in a
department conciliation session. There was only an observation that the conciliation
process had been unsuccessful.
[48] Even if the Adjudicator had considered material from the conciliation process, the
respondent did not obtain an unfair advantage through that particular evidence. The
appellant did not object to any submissions made by owners of lots in Macquarie Place
evidencing attempts to reach a resolution with the appellant. Attempts to resolve the
matter and in what ways was relevant to the making of just and equitable orders. There
is no substance to this ground.
[49] Ground 17 is “Error of Law - The Adjudicator Made an Order That Requires Breach
of Other Laws”.
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[50] There is no basis for this ground, and it is nonsensical. There was no such error. This
ground depends on accepting the appellant’s husband’s assertions as to what the
legality of the original construction of the fire protections system was. The effect of
the decision, as I shall discuss shortly, was in part something based in part on requiring
the appellant to comply with the By-Laws. Mr Bennett’s report concluded that the
smoke lock is required under both the By-Laws and the BCA. If there are any conflicts
with the Private Approval then it would be a matter between the appellant and her
certifier. The appellant’s contention seemingly rejected by the adjudicator is that the
smoke lock was part of a non-compliant or illegal construction. There is no substance
to this ground because even if it was a non-compliant or illegal construction, that does
not mean the orders made could not be made.
[51] Ground 18 is “Error of Law - The Adjudicator Ordered Work That imposes a Fire Risk
and Potential Negligence, unlawful and unworkable.”
[52] The appellant relies in part upon evidence which was not before the Adjudicator
including two enforcement notices issued by the Queensland Fire Department. There
is no basis for this ground. The adjudicator acted on the evidence of the experts called
for the respondent. They did not agree that reinstating the smoke lock was going to
cause a fire risk. There was no such error. The appellant made no application to adduce
further evidence. Should an application be made, the respondent says the evidence
would indicate that such defect notices have been resolved and were not related to the
issues considered by the adjudicator. It would therefore have no significance for the
result of the case. The appellant provided no expert evidence supporting their position
on this issue. There is no substance to this ground because even if it was work that
imposes a fire risk and potential negligence, is unlawful and unworkable is a non-
compliant or illegal construction, that does not mean that as a matter of law the orders
made could not be made.
[53] Ground 19 is “Error of Law: Unreasonable Disproportionate, and Punitive Order
Rendering Lot 20 Uninhabitable and Imposing Excessive Costs and Unjustified
Hardship”.
[54] I will deal with the reasonableness of the order and the respondent’s conduct in seeking
such an order.
[55] Ground 20 is “Error of Law: The By-Law 5(b) exceed the limitation under section
180(1) of BCCM Act of being inconsistent with Building Act 1975 and hence is
invalid”.
[56] There is no basis for this ground, and it is nonsensical. There was no such error. There
was no legitimate basis to set aside as invalid the relevant by-law nor did the
adjudication throw up for determination whether the by-law was invalid.
[57] In my view, although superficially the appellant has attempted to articulate the grounds
of appeal to give them the appearance of being grounds of law, most are nothing more
than an attempt to re-argue issues of fact or the conclusions that were made about
them.
[58] There are however issues of law that emerged during argument on the appeal and I
will deal with those.
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The works carried out and the circumstances by which it was carried out
[59] The building (Macquarie Place) was constructed between 1980 and 1981 pursuant to
building approval 3460/80 issued by Brisbane City Council on 28 July 1980. The
relevant building by-laws as of the date of the Building Approval is the “Standard
Building By-Laws 1975” being the schedule to the Building Act 1975 (Qld), No. 11
of 1975.
[60] A certificate of approval was issued by the Metropolitan Fire Brigade in 1981. A
certificate of classification was issued by Council as well in 1981.
[61] Macquarie Place is 11 storeys above ground with a single basement for carparking.
Macquarie Place is a Class 2 Building under the by-laws. The building contains 21
individual lots with three standard floor plans for the units and a single basement floor
plan. The lower two storeys (ground and level I) are common area access plus four
“townhouse” units 1-4 with private spaces and carpark access.
[62] The units on level 2 to 9 consist of two units per floor, each with an access doorway
to the unit from the common lift lobby, and a second exit to the fire stairs via a small
Smoke Lock. Level 10 contains a single penthouse for the entire storey.
[63] Sixteen units of Macquarie Place contain a small room which separates the habitable
spaces of the unit with the fire-isolated stairs. Each door is fire rated collectively
amounting to a two-hour rating. Each smoke lock includes a smoke alarm linked to
the building’s fire safety system. If triggered, it triggers the building’s alarm (audible
to all residents) and activates the fire stair pressurisation system which ensures the
stairwell remains clear from smoke. The smoke alarm is, by virtue of being within the
smoke lock, isolated from the habitable spaces of the units (such as the kitchen), and
would activate when someone exited into the fire stairs in an emergency via the smoke
lock.
[64] Macquarie Place does not utilise a smoke lobby isolating the fire exit routes from the
effect of smoke. In lieu of the smoke lobby and to comply with by-law 24.8, the
architects of Macquarie Place, Conrad, Gargett & Partners provided each unit on levels
2 to 9 with a “smoke lock” as a sort of compromise.
[65] Approval for all the work that I have referred to above was given in due course on the
approval of 29 August 2017, as was later acknowledged in minutes of a meeting of 12
September 2017 in circumstances which I shall describe shortly. The Adjudicator held
that they sought committee approval and on 12 September 2017 the owner was given
approval upon conditions. Eventually, the smoke lock walls were removed and the
area now open space was converted into a larger room that was built and comprised
the laundry of the lot.
[66] The minutes of the committee meeting of 12 September 2017, reflecting the state of
mind and intent of the respondent, read as follows in what was described as a “note”
by the Committee:
The owner of Lot 20 has requested approval to demolish the wall and door
creating the Smoke Lock leading into the fire stairs. See attached Building Unit
Plan Level L Diagram.
The owner has provided written advice from the building certifier and has met
all the conditions for Building Compliance required from the approval of 29
-- 13 of 37 --
14
August 2017. (Note: This approval is still subject to the grant of Exclusive Use
of this area at an EGM).
[67] The Adjudicator held, erroneously, based on what the Body Corporate application
incorrectly said, that on 12 September 2017 the owner was given approval upon
conditions. The Adjudicator said the “specified conditions”, presumably referring to
what was the subject of the motion of 29 August 2017, were as follows:
1. Provision of a letter from a qualified and registered Building Certifier
confirming that removing the smoke lock to Lot 20 does not alter the status
of any other Lot and will not have any adverse impact on the existing lots
or the body corporate common property AND the overall fire compliance
of the building. NOW Provided
2. The existing asbestos fire door to be replaced with a new door and
complying hardware.
3. The changes to the floor level (and step down to fire stairs) door swing,
door locking to be confirmed as fully complying by a Building Certifier.
4. That the Lot owner seek approval at an EGM for exclusive use of the 1 m2
currently forming the smoke lock. The EGM to be held in early November.
[68] The material did not apparently include the minutes of the 29 August 2017 meeting
imposing those conditions, but I will proceed on the basis that the note to the 12
September 2017 meeting correctly recorded the position as to the conditions. That
minute recorded that the Committee had been provided with a letter from a qualified
and registered Building Certifier confirming that removing the smoke lock to Lot 20
did not alter the status of any other Lot and will not have any adverse impact on the
existing lots or the body corporate common property and the overall fire compliance
of the building.
[69] I pause to observe that the condition of approval of all that then was to occur, and did
occur, was that there be the provision of a letter from a qualified and registered
Building Certifier confirming that removing the smoke lock to Lot 20 does not alter
the status of any other lot and will not have any adverse impact on the existing lots or
the body corporate common property and the overall fire compliance of the building.
That document was provided.
[70] The reasons record that:
[75] The Body Corporate acknowledges that the owner of lot 20 provided a
letter from a qualified Building Certifier stating the above. However, the
Body Corporate believes that the removal of the common property smoke
lock by Lot 20 caused the building to become non-compliant with the
Building Act 1975 (Qld) and the Building Code of Australia, as supported
by two expert reports subsequently obtained by the Body Corporate. The
applicant body corporate also says that the removal of the smoke lock has
serious ramifications on the safety of the building for all occupants,
particularly in the event of an emergency.
[76] The Body Corporate therefore advised the owner of lot 20 that the
removal of the Smoke Lock was in breach of By-Law 5 (b) contained in
the Community Management Statement which provides as follows: All
alterations to lots shall comply with the Building Act 1975 (QLD), the
Queensland Development Code and All other laws and regulations
("laws") relating to such alterations …”
-- 14 of 37 --
15
[71] The condition was not that removing the smoke lock to Lot 20 did not alter the status
of any other Lot and will not have any adverse impact on the existing lots or the body
corporate common property and the overall fire compliance of the building. It was
about the provision of a letter that said that, in my view, at least arguably, there is a
substantial difference between a situation where a Body Corporate specifically
approves work to be done based on plans and certifications done by professionals
which concerns what work is authorised, and a situation where the specific manner in
which the work is done is not identified in such detail such that one can say exactly
how it was to be done. In my view, there is a plausible argument that by-law 5 (b)
contained in the Community Management Statement which provided that all
alterations to lots shall comply with the Building Act 1975, the Queensland
Development Code and all other laws and regulations relating to such alterations
concerns the way work is done, not the approved work itself. Here the approval to the
work was premised on the certifications the respondent asked for and got. What was
built was what was approved, it is just that after it was all done, indeed years later, the
respondent got advice that the removal of the smoke lock was unlawful.
[72] The Adjudicator held that:
After the owner of lot 20 provided the body corporate with a letter from a
building certifier stating that the smoke lock could be removed, the Body
Corporate approved the application and at an EGM held on 28 November 2017,
granted Exclusive use of a small area of common property to the owner of Lot
20.
[73] That was incorrect because the letter or whatever form the document took had been
provided before the 12 September 2017 meeting. Attached to the minutes of that
meeting was a document in table form that seemed to be intended to identify the steps
that needed to be taken.
[74] It said:
Revised Detail of Alternation(sic) A: Smoke Lock, Fire door and internal public
area - For the works - Removal of smoke lock at unit 20-Change existing lock
with an approved fire rated keyless operation entry lock for egress
[75] A plan was attached. The conditions in this document in table form were that:
Owner to provide certification for the removal of smoke lock.
Owner to provide Structural engineer's confirmation that the smoke lock is non-
structural.
Owner to provide certification for alteration of fire door upon completion.
Owner to provide a survey with dimensions and markup for exclusive use area.
Owner to provide an amendment of the Community Management Statement for
the change.
Owner pay for all above costs.
[76] The comments included:
Refer to Building Approval and fire safety specialist's report for the removal of
smoke lock Compliance with Dl.7(d) of NCC Vol 1 2016. The exit is pressurised
in accordance with AS/NZS1668.l
-- 15 of 37 --
16
[77] The “comments” listed related to the removal of the smoke lock works. They referred
to a building approval and fire safety specialist’s report for the removal of the smoke
lock, which identified compliance with the NCC and that the current smoke lock was
“not structural” and did not comply with the NCC and that there were other units who
faced a similar situation who may also apply to remove the lock.
[78] It did recite that the approvals which I have referred to above did not alter the status
of existing lots and the like, saying there is no need to change the existing smoke
detector and that removal of the smoke lock will improve performance at the overall
safety of the building.
[79] The second aspect of the works identified as apparently approved by the Committee
concerned converting the existing smoke lock area into a laundry room and sanitary
compartment, and the attached material that went to the committee and was approved
described extensive works associated with that, with the conditions including that the
owner was to provide certification and that there be an inspection and that the owner
pay for those costs.
[80] The identified conditions related to the NCC, and specific detailed floor plans and a
structural engineer’s certified plan were referenced. There were also other works
associated with the fire door in that location, which was also referenced to compliance
with the Code.
[81] There was otherwise a detailed description of a wide range of other alterations to be
made to the internal part of the unit including significant changes to the glazing, and
also to the layout of the unit internally. Changes to the plumbing and the like were all
approved by the committee. The only respect of which there were conditions was that
the works were to be carried out based on advice from an engineer and various other
conditions, as to which, there is no suggestion that there was non-compliance.
[82] All of this work certification and inspections was expressly to be at the owner’s cost.
Again, detailed floor plans recorded what all of this work entailed.
[83] At no time was it specified that there were conditions associated with these works,
which might mean that any approval once given could be revoked if it was later
established that any of these conditions had, in fact, not been met or were inaccurately
certified or were questionably so or that they were read subject to by-law 5 which
required them to be legally compliant.
[84] All the renovations were assessed, approved, inspected, and certified by Mr Bergin
who it is said is a Building Certifier and Fire Safety Professional under the Building
Act, and a Certificate of Classification was issued in 2018.
[85] As I have already said by-law 5 (b) contained in the Community Management
Statement at the time provided that “All alterations shall comply with the Building Act
1975 (QLD), the Queensland Development Code and All other laws and regulations
(‘laws’) relating to such alterations.” The respondent later seized on that by-law as
providing a basis to insist on restoration of the smoke lock. It was not a condition of
the grant of consent by the committee to do the work, nor of the respondent in general
meeting of its lot holders to amend the CMS, that the alterations comply with the
Building Act, the Queensland Development Code and all other laws and regulations
relating to such alterations failing which the consent was to be treated as not given. It
-- 16 of 37 --
17
was not a condition of the grant of consent by the committee to do the work that by-
law 5 (b) be complied with or be shown to have been complied with.
[86] The Adjudicator found that in July 2018 a member of the Committee resigned and a
new member was appointed. The new member reviewed the approval of the smoke
lock that had been removed, and advised the Committee at the time that they believed
the removal of the smoke lock did not comply with the Building Code of Australia and
should be investigated further. Before action could be taken, the Body Corporate's
Annual General Meeting was held in December 2018, at which time an entirely new
Committee was elected. The new Committee took no further action on the concerns
raised regarding the airlock.
[87] The Adjudicator found that in subsequent years the Committee was busy with other
items and management of health risks associated with COVID-19. In December 2022
a new Committee was formed, which comprised the member who was concerned
about the airlock in 2018, and it was suggested that this matter should be reassessed.
The Body Corporate was advised by their fire maintenance contractor that the Fire
Doors in the building were defective and contained asbestos. The Committee
commissioned a report from an independent building certifier to review this advice.
At the same time, the Building Certifier was requested to provide advice on the
removal of the smoke lock to lot 20. That is where it all started to go wrong for the
appellant.
[88] Gundog Building Consultants, who were Building Certifiers, assessed the compliance
of the existing doors against relevant building legislation and in its report of 4 April
2023 concluded that the removal of the smoke lock was non-compliant with the
Building Code of Australia. The appellant takes issue with the conclusions it reached
but did not obtain her own expert report to counter it.
[89] The Adjudicator found that:
[77] On 17 November 2023, the body corporate issued a By-Law
Contravention Notice to the owner of lot 20, advising that they had
contravened by-Law 5(b) and requiring them to reinstate the smoke lock.
However, the respondent denied that the smoke lock was required by law
and argued that the reports obtained by the Body Corporate were
incorrect and completed by people without the correct accreditation.
[78] On 28 November 2023, the Committee resolved to engage a Fire
Engineer to provide advice on the removal of the Smoke Lock. On 4
December 2023, a report was received from the Fire Engineer advising
that the removal of the Smoke Lock does not comply with the Building
Code.
[79] A copy of this report was provided to the respondent but they continued
to deny any contravention of the Building Code and argued that the
further report by a fire engineer was incorrect. They argue that the smoke
lock was "non-functional" airlocks and that it is practically impossible
for an average person to enter the smoke lock from the unit and close
both doors, due to the confined space and the swing path of the doors.
Since both doors must open simultaneously for access, they believe the
Smoke Locks are too small to be functional and are ineffective.
-- 17 of 37 --
18
[90] The 4 December 2023 report was from a well credentialled Fire Engineer, Dr Adam
Ervine, concluding that the removal of the airlock affects the building’s fire safety
system in a manner that is considered not minor, is not permitted and contravenes the
requirements of Standard By-Laws of the Building Act and the provisions of current
day National Construction Code. On 5 December 2023 the Body Corporate wrote to
the appellant providing the Fire Engineering advice and again requested that the
airlock be re-instated. She refused.
[91] A later report by Mark Catchpole, a Chartered Building Control Surveyor, was
obtained and it was described and set out in a letter by the respondent to the
adjudicator. It said that on 26 November 2024 they had an onsite meeting with Mark
Catchpole of Catchpole Building Services; to walk through the building and assess
issues the appellant had raised in some submissions that one may infer were drawn by
the appellant’s husband.
[92] The appellant was provided notice of the onsite meeting and the Body Corporate
requested access to lot 20 and the air lock area. They were refused access.
[93] Following his review of the documentation provided and a visual inspection of
accessible areas, Mr Catchpole said he was given authority to obtain the building
approvals for lot 20 from Brisbane City Council and QFES, which he examined. He
concluded that both approvals revealed significant fire and safety errors in the Unit 20
approval. He made various criticisms about people being appropriately licensed. That
is not to the point. He concluded that the absence of the required airlock as prescribed
in the 1980 approval, “poses an increased threat to the spread of fire to the storey above
and compromisation of the exclusion of smoke from the pressurised stair shaft single
door which swings into Unit 20 rather than swinging into the fire stair and having the
required airlock as prescribed in the 1980 approval. When the stair pressurisation is
operating the air force will not readily allow the single door to Unit 20's air lock to
close”.
[94] The appellant mounts attacks on his professionalism and objectivity.
[95] The critical findings of the Adjudicator were as follows:
[83] It is evident from both expert reports that the fire stairs for the building
are constructed as a scissor- stair connecting all above-ground levels. On
level 9, each fire stair serves the two units. One of the fire stairs is
accessed via a common lift lobby on the north side of the stair core. The
second stair is accessed on the south side of the stair core, with each unit
originally constructed with a smoke lock (which is also referred to as an
air lock).
[84] Part D1 of the Building Code of Australia (BCA) is headed "Provision
For Escape" and includes Section D1 .7 provides as follows: Travel via
fire-isolated exits (a) A doorway from a room must not open directly into
a stairway, passageway or ramp that is required to be fire-isolated unless
it is from- (i) a public corridor, public lobby or the like; or (ii) a sole-
occupancy unit occupying all of a storey; or (iii) a sanitary compartment,
airlock or the like.
[85] To assist in understanding the above provision it is useful to refer to the
BCA Guide which provides: Access to fire-isolated exits -01 .7(a)
requires that a doorway must not open into a fire-isolated exit unless it
opens from a public area, a sole-occupancy unit which occupies a whole
-- 18 of 37 --
19
floor, or a toilet. This is to limit the number of entry points into a fire-
isolated exit to retain its fire-resisting performance. Note that 01 .7(a)(i)
refers to a 'public corridor, public lobby, or the like'. A smoke lobby
which serves at least two sole-occupancy units is a 'public lobby', and can
open directly into a fire-isolated exit.
[86] From the above it can be noted that fire stairs are not permitted to be
accessed directly from an apartment unless it is from a public corridor,
public lobby or the like (ie a smoke lobby which serves at least two sole
occupancy units; or a sole-occupancy unit occupying all of a storey; or a
sanitary compartment, airlock (aka a smoke lock) or the like.
[87] A sanitary compartment is defined as "A room or space containing a
closet pan or urinal".
[88] While the NCC does not have a definition for 'airlock', Handbook 50-
2004, "Glossary of Building Terms" published by the National
Committee on Rationalised Building (NCRB) and Standards Australia,
defines an airlock as "a room or compartment having two doors, situated
between two environments with different air conditions, making it
possible to pass from one environment to the other without significant
disturbance to either".
[89] As there are two apartments on level 9, I am of the view that:
1. The northern fire-isolated stair must be accessible from each
apartment via the lift lobby, (which may be referred to as a smoke
lobby), and
2. The southern fire-isolated stair must be accessed by a sanitary
compartment, airlock (smoke lock) or the like.
3. The legislation does not specify a minimum floor area for an airlock
(smoke lock).
[90] The previously constructed lot 20 smoke lock (airlock) that formed part
of the building's fire safety system has now been removed and that area
now forms part of the lot 20 laundry room. It cannot now be considered
to be a sanitary compartment, airlock or the like.
[91] I am in agreement with both of the expert reports which conclude that
this modification. affects the building's fire safety system in a manner
that is not considered minor; and contravenes the provisions of National
Construction Code (NCC) 2022 Volume One, "Building Code of
Australia (BCA) Class 2 to Class 9 Buildings".
[92] I am of the view that the Smoke Lock was removed by the respondent in
breach of Bylaw 5(b) which provides as follows: All alterations to lots
shall comply with the Building Act 1975 (QLD), the Queensland
Development Code and all other laws and regulations ("laws") relating
to such alterations.
[93] I am also of the view that the amendment of the by-laws to give the owner
of lot 20 exclusive use of a small area of common property, involved a
contravention of section 177 of the Act which provides as follows:
177 Prohibited matters for exclusive use by-laws
-- 19 of 37 --
20
(1) An exclusive use by-law must not give exclusive use to the rights
and enjoyment of, or other special rights about, utility
infrastructure that is common property or a body corporate asset.
(2) An exclusive use by-law cannot prohibit allocations under
reallocation agreements.
[96] This situation has left the respondent in various difficulties actually or potentially
including with getting insurance for the building and as to whether there is a safety
issue and a risk of asphyxiation for owners and occupiers.
[97] The appellant attacks these findings in a multiplicity of ways, but in my view none of
the challenges demonstrate any error of law was made in arriving at these factual
findings.
Can exclusive use rights only be taken away by resolution without dissent
[98] The appellant had argued that exclusive use rights can only be granted or taken away
by resolution without dissent. She argued that the exclusive use rights can only be
taken away if they, as owners of lot 20, agree.
[99] In relation to that issue the Adjudicator held that:
[99] While section 171(3)(b) Act provides that revocation of an exclusive use
by-law requires a resolution without dissent, item 21 of Schedule 5 to the
Act provides if satisfied a by-law is invalid, an adjudicator may make an
order declaring that the by-law is invalid and requiring the body corporate
to lodge a request to record a new community management statement to
remove the by-law.
[100] Further and in any event, even if a motion was put to a general meeting
to revoke the exclusive use by-law and record a new community
management statement, I am of the view that it would be unreasonable to
oppose such a motion. In such circumstances I would give effect to the
motion pursuant to Schedule 5, item 10 of the Act.
[100] Hence the finding that the resolution was invalid because of section 177 of the Act, in
that since an exclusive use by-law must not give exclusive use to the rights and
enjoyment of, or other special rights about, utility infrastructure that is common
property, founded the basis for the conclusion that if a “by-law is invalid, an
adjudicator may make an order declaring that the by-law is invalid”. There is no
analysis of how the subject smoke lock area was utility infrastructure, which seems to
be what was being found.
[101] Schedule 5 to the Act is just a very broad statement as to the range of orders an
adjudicator can make. Item 21 refers to the following:
If satisfied a by-law is invalid—an order declaring that the by-law is invalid and
requiring the body corporate to lodge a request to record a new community
management statement to remove the by-law.
[102] There was no analysis in the reasons as to how a resolution of the Body Corporate
amending the CMS and the making of an amendment to it was an “invalid by-law”.
The language refers to removal of a by-law, not amendment of the CMS by insertion
of a provision that would amend the exclusive use areas identified within it.
-- 20 of 37 --
21
[103] No party addressed the question of whether things in a CMS recording and allocating
exclusive use areas are by-laws. Experience suggests that the CMS typically includes
a list of the lots included in a body corporate’s scheme; the contribution and interest
schedule lot entitlements for each lot, and the totals, the future development of a
scheme, by-laws, architectural codes or statutory easement details; and any exclusive
use areas.
[104] The current CMS which is in the appeal books shows that the by-laws are in Schedule
C and the Schedule of Lots allocated exclusive use is not in the by-laws per se but in
Schedule E.
[105] I express no concluded view about the matter, but it seems to me that it was erroneous
to make that finding without indicating that such a finding might be made and
permitting the parties to be heard on the issue. In my view, an adjudicator ought to
consider that issue based on proper submissions from the parties.
The failure to seek submissions on the utility infrastructure point-denial of
procedural fairness
[106] Neither party, nor any of the other lot owners who made submissions invited the
finding that the amendment of the by-laws to give the owner of lot 20 exclusive use
of a small area of common property, involved a contravention of section 177 of the
Act. No party raised it at all nor addressed the issue.
[107] In 2015, in Minister for Immigration and Border Protection v WZARH [2015] HCA
40, [30] (Kiefel, Bell and Keane JJ), the High Court succinctly stated that, in “the
absence of a clear, contrary legislative intention, administrative decision-makers must
accord procedural fairness to those affected by their decisions.”
[108] Since the decision in Saeed v Minister for Immigration and Citizenship (2010) 241
CLR 252 courts increasingly construe legislation so as to imply that a duty to afford
procedural fairness exists, since procedural fairness is protected by the principle of
legality. This has made legislative exclusion very difficult in practice. Neither party
addressed the question of whether there is such a duty on an adjudicator.
[109] The obligation to accord procedural fairness arises where a statutory power is
exercised by a decision-maker which has the ability to affect a person’s rights, interests
or legitimate expectations: Kioa v West (1985) 159 CLR 550, 584. The principle
applies at common law unless expressly excluded by statute and can also be based in
statute. The content of the rule requires that a person be informed of the case against
her or him and that she or he be given a right to respond in an appropriate way before
a decision is made (known as the Hearing Rule).
[110] The respondent relies on statements in The Body Corporate for The Grove CTS9356
v Comerford [2019] QCATA 172 where Senior Member Brown and Member Traves
said:
[84] The body corporate says that the adjudicator failed to afford the parties
natural justice in considering s 281 of the BCCM Act when the
application of the section had not been raised by the parties.
[85] Section 281 provides that where an Appellant has suffered damage to
property because of a contravention of the BCCM Act or the CMS, an
adjudicator may order the person who the adjudicator believes to be
-- 21 of 37 --
22
responsible for the contravention to carry out repairs or pay the Appellant
an amount as reimbursement for repairs.
[86] In considering s 281, the adjudicator correctly observed that the body
corporate was not the applicant. Further, the adjudicator found that the
damage resulting from Mr Comerford's actions was to other lots and not
to the common property. We have found that it was open to the
adjudicator on the evidence to make this finding. The adjudicator
concluded that the body corporate had not suffered any damage to
property.
[87] The task of the adjudicator was to make a just and equitable decision. The
adjudicator was required to observe procedural fairness in arriving at the
decision. The requirements of procedural fairness are flexible and vary
according to the circumstances. The fairness of the procedure depends on
the nature of the matters in issue, and what would be a reasonable
opportunity for parties to present their cases in the relevant circumstances.
The complaint by the body corporate is that the adjudicator failed to
observe the fair hearing rule in not affording the patties an opportunity to
be heard on the application of s 28 I before making his decision.
[88] However the adjudicator determined, correctly in our view, that s 281 did
not apply in the circumstances of the application before him. As such, the
consideration by the adjudicator of the section did not adversely affect the
interests of the body corporate. Notwithstanding that neither party had
raised s 281 of the BCCM Act, there was no error by the adjudicator in
considering the application of the section.
(footnotes omitted)
[111] I agree that the task of the Adjudicator was to make a just and equitable decision, and
that the Adjudicator was required to observe procedural fairness in arriving at the
decision. I agree that the requirements of procedural fairness are flexible and vary
according to the circumstances.
[112] As is well known, applications are normally determined ‘on the papers’ by an
adjudicator after reviewing an application, submissions and replies to submissions.
Adjudicators have broad powers of investigation which enable them to seek additional
information from any party or other person, undertake site inspections or request
copies of body corporate records. It has been said extra-curially that to ensure the
parties are accorded natural justice, these investigative powers do not extend to
meeting or speaking with the parties individually. Parties usually will be invited to
make submissions on any critical issue that might be the basis for determining the
matter that has not been identified by the parties themselves.
[113] The investigative powers of adjudicators are outlined in sections 269 and 271 of the
BCCM Act. In Hablethwaite v Andrijevic [2005] QCA 336 the Court of Appeal held
that an adjudicator is not obliged to seek clarification or further information from a
party once that party has responded to an invitation to make submissions to the
adjudicator and it is entirely reasonable for an adjudicator to limit investigations to
inviting interested parties to make written submissions. Nor in my view is it the
function of an adjudicator to interrogate the records or the parties outside of the
material provided to the adjudicator to ascertain whether what parties say is the case,
is truly the case.
-- 22 of 37 --
23
[114] A detailed consideration of an adjudicator’s obligation to investigate and invite further
submissions was conducted in Body Corporate for Grand Pacific Resort v Cox [2012]
QCATA 14 at [36] where Member Barlow SC as he then was held:
[36] The body corporate notes that the Adjudicator had a statutory duty to
investigate the application pursuant to ss 269 and 271 of the Act. It
contended that he was required to take a proactive approach to the dispute
and the factual basis for it and that, if he had a concern about some matter,
he should have undertaken further investigation in order to properly
determine it. The body corporate contends that, as it had told the
Adjudicator that it had “irrefutable evidence” from police officers that the
respondents had made structural alterations to their lot, the
Adjudicator should have asked what that evidence was, or at least given
the body corporate an opportunity to provide the evidence it claimed to
have, rather than dismissing the application for lack of evidence.
[37] The body corporate relies upon three cases for its proposition that the
Adjudicator failed to carry out his statutory function of investigating the
application before him.
[38] In Hablethwaite v Andrijevic, Jerrard JA agreed with the District Court
judge that an Adjudicator is not obliged to seek clarification or further
information from a party once that party has responded, apparently
sensibly, to an invitation to make submissions to the Adjudicator, and it
is entirely reasonable for an Adjudicator to limit investigations to inviting
interested parties to make written submissions (at [17]). His Honour
considered that the Adjudicator had satisfied the duty to investigate the
application by relying on the written submissions made to the
Commissioner.
[39] In the same case, Keane JA noted that there was no suggestion by the
applicants that they had sought to make submissions to the Adjudicator
but were denied the opportunity to do so. The applicants had been invited
to make a written submission that would be considered by the Adjudicator
and it was reasonable for the Adjudicator to expect that they would take
that opportunity to put forward submissions. In choosing to make no
submission beyond that which they made, the applicants themselves
determined the extent to which they sought to be heard by the
Adjudicator. His Honour noted that it is a rule of natural justice that a
person should be afforded the opportunity to be heard before a decision
is made against him or her, but such an opportunity was obviously
afforded to the applicants in that case when they were invited to make
submissions. The Adjudicator was not required to do anything more.
[40] In Grut-Mackay v Sherwood Lodge, McGill SC, DCJ said (at [21])
that, where there is some lack of clarity, and perhaps some questions
left unanswered, by an expert report tendered in evidence, then rather
than simply rejecting the application on the basis that the evidence in
support of it was inadequate, the Adjudicator should have drawn the
deficiencies to the attention of the applicant so as to give the applicant the
opportunity of putting further material before the Adjudicator. His
Honour noted that the procedure of adjudication was an inquisitorial one
rather than an adversarial one and the Adjudicator’s obligation was to
investigate. He said that that involves a proactive approach to the dispute
and the factual basis for it, rather than merely a reactive response, and
-- 23 of 37 --
24
therefore the Adjudicator terminated the investigation prematurely in that
case.
[41] Grut-Mackay was discussed by Mr Dorney QC (as his Honour then was)
in Cox v Body Corporate for Grand Pacific Resort. Mr Dorney said it was
not his understanding of Grut-Mackay that the principle to be extracted
was that, in every case where the Adjudicator has some doubt about the
material, the Adjudicator is obliged to investigate further or otherwise
there may be an error of law. The principle is much narrower. If the
evidence being examined contains some relevant evidence, it is an error
for the Adjudicator to treat that evidence as not providing any evidence
without also investigating the matter further before rejecting that
evidence. It is one thing to reject, improperly, some relevant evidence as
being inadequate when there is some evidence showing a basis for
adequacy and when the use of investigative powers under a general
obligation to investigate might resolve the matter. It is completely
different to say that there is some principle that where further
investigations could have been made, but were not, there is necessarily an
error of law in the approach of the Adjudicator to the resolution of a
question of fact. It is more a question of whether there is, or is not, an
absence of logically probative evidence (perhaps because of a choice by
the Adjudicator to refrain from further investigation). His Honour also
noted cases in which it was held that failure to answer a letter (or, I
interpolate, a submission) may amount to an admission if there are
circumstances which render it more probable that a person who denied
the assertion made against him in the letter (or submission) would answer
those assertions than that he would not. Mr Dorney noted that what those
cases establish is that, circumstances of a civil proceeding, which may
well extend to an administrative inquiry, the decision maker can rely upon
what might be reasonably expected of persons by way of response to
assertions made, particularly were directed against them personally.
[42] I agree with Mr Dorney’s summary of the relevant principles. In this case,
they raise two questions: first, whether there was some logically
probative evidence before the Adjudicator which, if inadequate, should
have led him to investigate further; and second, whether the Adjudicator
was entitled to expect that, if the body corporate had evidence, it would
produce it in the face of assertions that it had no probative evidence.
(footnotes omitted)
[115] I agree with that summary of principle.
[116] I do not accept the respondent’s submission that both parties made technical
submissions on relevant codes, standards and the intended purpose of the smoke lock
so the facts before the Adjudicator enabled s 177 to be appropriately applied. What
facts the Adjudicator adopted have not been identified in the reasons. I also reject the
submission that the finding on the effect of s 177(1) “did not directly impact the
interests of the Appellant as it merely prohibited the Respondent from allocating the
smoke lock as exclusive use”. It did directly affect her interests.
[117] After the hearing of the appeal, I ordered the applicant and the respondent Body
Corporate to file further written submissions, if any, in relation to the issues
concerning section 177 of the BCCMA and specifically what is utility infrastructure.
Many pages of submissions were provided in response.
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25
[118] The appellant points to the fact that under Schedule 6 Dictionary of the BCCMA,
utility infrastructure is defined to mean—
(a) cables, wires, pipes, sewers, drains, ducts, plant and equipment by which lots or
common property are supplied with utility services; and
(b) a device for measuring the reticulation or supply of a utility service.
[119] Under Schedule 6 Dictionary of the BCCMA, utility service means—
(a) water, gas, electricity, sewerage, telephone, data, television, garbage collection,
and
(b) another system or service designed to improve the amenity, or enhance the
enjoyment, of lots or common property.”
[120] “Utility Infrastructure” is expressly referenced in the following sections of BCCMA
with the application of the above definition:
(a) Section 20 (Utility Infrastructure as common property).
(b) Section 114(3)(2) (Limitation on benefit to body corporate under service
contractor engagement).
(c) Section 166 (Interference with utility services).
(d) Section 169 (Content and extent of by-laws).
(e) Section 177 (Prohibited matters for exclusive use by-laws).
(f) Section 196(14) (Utility services not separately charged for).
(g) The definition of “Service Easement”.
[121] She submits that it is consistently used to refer to cables, wires, pipes, sewers, drains,
ducts, plant, and equipment through which lots or common property are supplied with
utility services such as water, gas, electricity, sewerage, telephone, data, television, or
garbage collection. It does not refer to or include fire-safety installations.
[122] She submits that systems such as smoke alarms, fire-detection panels, pressurisation
fans, and fire-egress paths are not utility services—they are building-safety systems,
forming part of the common property and maintained under the Building Act 1975,
NCC, and Fire and Emergency Services Act 1990 (Qld), not under the BCCMA’s
framework of “utility infrastructure.”
[123] She submits that for the purpose of interpreting the definition of “utility
infrastructure,” reference can be made to den Exter v Magnetic International Resort
Hotel CTS 22894 [2011] QCATA 70 where this Tribunal concluded that roofing
components are not utility infrastructure. At [33], Justice Alan Wilson, President and
Member Kenneth Barlow SC stated: “Had Parliament intended otherwise it could be
expected to have included, in the list of items in paragraph (a) of the definition of
‘utility infrastructure’, the word ‘roofs. Alternatively, if it meant ‘drains’ to mean (or
include) roofs, one would expect it to have said so by an express definition”. This it is
submitted shows a narrow approach.
[124] She also refers to Climpson & Anor v Body Corporate for Rolling Surf Resort Celestial
Investments Pty Ltd [2013] QCATA 93 where it was held that that roofing components
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are not utility infrastructure. I do not think it assists. She also referred to other
decisions but I have not found them to be of assistance here.
[125] She refers to Owltown Pty Ltd v Norwinn Commercial CTS38094 [2018] QCATA 2,
Owltown Pty Ltd v Norwinn Commercial [2020] QCATA 145 and JM Family
Holdings Pty Ltd v Owltown Pty Ltd [2018] QCA 260 and submits that the parties
there treated an elevator as a utility infrastructure to argue that such utility
infrastructure is only suppling utility services for a lot that led to that lot need to pay
for all cost of maintenance of that elevator. Arguably the Tribunal and the Court of
Appeal have not decided whether an elevator is utility infrastructure or why.
[126] She submits that six crucial questions are to be asked:
(1) What is ‘utility infrastructure’ in the context of BCCMA? Is the airlock
and fire safety installation a utility infrastructure?
(2) What is the purpose of the smoke lock? Is the alleged confined space
labelled as a “smoke lock” in fact an airlock, or is it a safety hazard? What
is the relationship between the smoke lock and the stairwell pressurisation
system?
(3) What is the purpose of section 177 of the BCCMA (Prohibited matters
for exclusive use by-law)?
(4) Does section 177 mean that an exclusive-use right cannot be granted if
any utility infrastructure is located within the area entirely, or merely that
the utility infrastructure itself cannot be granted for exclusive use?
(5) If an exclusive-use area contains utility infrastructure, what would
constitute a reasonable and lawful remedy?
(6) Given that the exclusive-use right was granted by a resolution without
dissent in 2017, can the matter be determined by adjudication when the
resolution was made more than seven years ago to reinstate the non-
functional, non-compliant smoke lock?
[127] She submits that a smoke lock/air lock is a passive element of the building which does
not involve a “service”. Nor could it be said it to be a “system” or part thereof designed
to improve amenity or enhance enjoyment. Consequently, the second limb of the
definition of “utility services” is not satisfied.
[128] The issues raised at points (2) and (6) of the six crucial questions she says are to be
asked in part or in whole are an attempt at making a collateral attack on the findings
of fact which the Adjudicator made concerning the qualities of the smoke lock and as
to whether it complied with safety standards or was a safety hazard. The relationship
between the smoke and the stairwell pressurisation point is a collateral attack on the
findings as to whether it is a nonfunctional non-compliant smoke lock. I do not agree
that these issues should be re-examined or that any error of law in relation to the
findings has been established.
[129] The appellant submits that the purpose of section 177 is:
(1) To protect shared utility infrastructure and body corporate assets from
being inadvertently or improperly captured by exclusive use by-laws.
(2) To ensure that no lot owner gains private control or rights over
infrastructure that serves other lots or common property — for example,
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by turning off valves, altering pipes, or denying access to the body
corporate or other owners; and
(3) To preserve flexibility in exclusive-use allocations so that owners may
later agree (with body corporate approval) to swap or reallocate
exclusive-use areas.
[130] The Respondent submits that the smoke lock/airlock functions as part of a “fire safety
system” for the purpose of the Fire Safety Act 1990 (Qld). The appellant submits that
the Fire Safety Act 1990 (Qld) makes no reference to “utility infrastructure”, or to
“utilities” at all.
[131] A fire safety system is defined in section 147C of that Act:
Fire safety system, for a building, means the building’s features, and procedures
established for the building, providing for all or any of the following—
(a) warning the building’s occupants about a fire emergency;
(b) safe evacuation of the building’s occupants;
(c) extinguishing or restricting the spread of fire in the building.
[132] She submits that a fire safety system is a system; it is not concerned with the provision
of a service. Second, she says, a fire safety system is not concerned with amenity or
enjoyment, it is concerned with safety. Third, the definition of a fire safety system
incorporates things such as building features and procedures, which cannot sensibly
fall within the definition of “utility infrastructure” for the purposes of the BCCMA.
[133] She submits that fire-safety installations such as sprinklers, fire doors, and smoke
alarms are often located within private lots, common areas and exclusive-use areas,
wherever it requires, yet they have never been regarded as “prohibited matters” under
section 177.
[134] The appellant submits that section 177 of the BCCMA does not prohibit the grant of
an exclusive-use area where utility infrastructure exists; it simply provides that any
utility infrastructure within that area remains common property and cannot be
exclusively used by the lot owner.
[135] In my view, it is appropriate that the matter be sent back to the commissioner for an
adjudicator to make appropriate findings both on the facts which are relevant to this
issue but also as to whether it is, as a matter of law applying those facts, the airlock
was utility infrastructure and I will so order
Reasonableness and enforcement of the by-law
[136] There is a general requirement under section 94 of the Act that a body corporate must
act reasonably in among other things, enforcing its CMS (including the by-laws),
carrying out its functions under the Act and CMS and making or not making any
related decisions.
[137] By section 100(5) of the Act, the committee is required to act reasonably in making a
decision. Section 100(1) of the Act states that a decision of the committee is a decision
of the body corporate.
[138] Section 94 of the BCCMA requires the body corporate to act reasonably in carrying
out the functions of the body corporate. The question of law raised in the appeal is
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whether the committee, and thereby the body corporate by revoking the resolution,
and requiring reinstatement of the smoke lock acted arbitrarily without regard to the
appellant’s property interest in relation to the affected area. The reasonableness of the
conduct might arguably be required to be construed having regard to the appellant’s
human rights.
[139] The s 94 obligations were not considered by the Adjudicator.
[140] The appellant had in her submissions below requested the Adjudicator to make an
order declaring “that specific actions taken by the Body Corporate and its
representatives against Lot 20, as outlined in the complaint, were unreasonable under
Section 100(5) of the BCCM Act”. That issue was not dealt with in the reasons of the
Adjudicator except to identify at [48] and [49] that such orders had been sought.
[141] The appellant had also said in her submissions below:
The demand of Body Corporate to lot 20 to reinstate the Tiny Smoke Lock
means reintroducing the safety hazard to Lot 20. which would, allow smoke and
fire to enter the isolated fire stair in the event of a fire, compromising the safety
of the occupiers of the building, expose the occupant of lot 20 to the risk of
being trapped by the Tiny Smoke Lock, impede the fire egress path of the
occupant of Lot 20, compromising their safety.
The demand of Body Corporate to lot 20 to reinstate the Tiny Smoke Lock also
means demanding Lot 20 to demolish the laundry room and plumbing
connection, compromising the amenity of Lot 20. The demand is grossly
malicious, causing significant financial damage and unjustified hardship to lot
20.
[142] She asked that it be declared that the resolutions of the body corporate on motions 2.5
purportedly passed at the committee meeting held on 21 November 2023 were at all
times void and an order dismissing the contravention notices issued against Lot 20.
[143] In my view, it was relevant to decide whether an order to reinstate the smoke lock also
meant one had to demolish the laundry room and plumbing connection, compromising
the amenity of Lot 20.
[144] The respondent submits, in relation to whether ordering the area to be returned to the
respondent was incorrect, that it was justified and reasonable and that there was no
error because handing over the area was unlawful under s 177. It submitted that the
appellant provided no submissions which identify an alternative arrangement was
possible or offered, for example, a solution involving the whole building, but instead
repeated voluminous submissions, allegations of bullying, corruption, and such
matters.
[145] It was also submitted that the appellant provided no evidence as to the costs of the
works, which had been undertaken or would need to be undertaken, and no evidence
was put which showed that such an order would be unreasonable given the seriousness
of the issues considered.
[146] This appears to be correct insofar as it refers to offering no alternative and not
providing evidence of cost. In my view, it may reasonably be inferred that there may
well be significant cost and inconvenience to the appellant because the removal of the
smoke lock structure occurred as part of a much larger renovation and refurbishment
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of the unit and the creation of a laundry room which incorporated that space, and
altered the services to that space.
[147] The Adjudicator accepted that the Body Corporate previously offered the respondent
an amount of money with a matching contribution from the Lot Owner to have a
consultant to advise on an alternative solution to this problem but this offer was
rejected by the respondent. The Adjudicator noted correctly in my view that if there is
a solution other than removal of the laundry, and reinstatement of the Air Lock, it
needs to be actioned expeditiously but the respondent has not identified such a solution
to date.
[148] In submissions before me the appellant said this was seeking to:
Blame the Appellant (lot 20) for not offering an "alternative arrangement" and
"evidence of cost" are misconceived and untenable.
a) The issue is not the Appellant's alleged failure to suggest alternatives, but
the Respondent (BC)'s oppressive, punitive, and unreasonable demand to
ask the Appellant (lot 20) to demolish an approved and certified part of
their home, rendering it uninhabitable.
b) The Adjudicator's order, adopted from the Respondent (BC)'s
submissions, imposed a destructive and disproportionate remedy wholly
inconsistent with section 276 of the BCCMA, which permits only "just
and equitable" orders, demonstrates a clear error of law.
c) The Respondent (BC)'s conduct demonstrates bad faith and improper
purpose, weaponizing the adjudication process to punish and silence the
Appellant (lot 20) rather than to rectify any genuine compliance concern.
[149] None of those issues appeared to have been considered by the Adjudicator in the
context of whether the respondent was acting reasonably, or as to whether the orders
made were appropriate, including the order that the appellant pay for the cost to
reinstate the smoke lock.
[150] The implications of this appear to have been unexamined. Neither party put evidence
before the Adjudicator as to whether this was even possible having regard to the
substantial alterations which were made to the appellant’s unit and which in every
relevant respect, was known would occur by the body corporate and approved to
proceed.
[151] It is not difficult to imagine that to reinstate the airlock involves far more than putting
something back into place where it was. It may involve a partial, if not significant,
refurbishment of the appellant’s unit in ways which have not been priced, nor have
they been the subject of any engineering or construction expertise as to whether it is
possible, feasible, and as to the cost of it. It might well be very significant when
everything is taken into consideration, however, neither at the body corporate nor the
applicant put any evidence before the Adjudicator on this issue.
[152] It is of concern that an order has been made that the cost of something be borne without
there being evidence of what that cost might be. That is partly the fault of the appellant
but since the respondent was asking that the cost of it, as well as rectifying the CMS,
be borne by the appellant, it was incumbent on it to show that such an outcome was
reasonable and achievable.
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[153] The second aspect of the duty to act reasonably, which in my opinion, is left
unresolved, is whether in the circumstances, in which the body corporate approved
this refurbishment and the removal of the fire lock, that merely because of events that
have transpired since, it should be entitled to insist on the reinstatement of that space.
The appellant would be within her rights to contend that in effect she has irreparably
altered her position to her detriment in consequence of the conduct of the respondent,
or has suffered detriment or will do so if required to reinstate the space and that the
respondent is estopped from insisting on enforcement of the by-law relied on to force
her to reinstate the space.
[154] The respondent submits that:
The conduct and the declarations sought by the Appellant do not materially
affect the Breach Notice and enforcement thereof. The Respondent has a
statutory duty to enforce its by-laws.27 Whilst the Respondent denies any
unreasonableness or any breach of ss 94(2) and 100(5) of the BCCMA, the
Respondent would not be estopped from enforcing the CMS By-Laws as
estoppel cannot defeat a statutory mandate. No error of law is disclosed by the
Adjudicator's failure to provide further reasons as to why the allegations raised
by the Appellant were not further considered.
[155] The respondent seems to want to submit that it is compelled by law to enforce the by-
law so it is excused from not doing otherwise. The Adjudicator did not decide this
issue from what I can tell. I am not persuaded that it is the case that it is compelled by
law to enforce the by-law particularly if it would be unreasonable to do so having
regard to its own conduct and other circumstances, but if it is the case, there remains
the issue of whether it is reasonable to order that she bear the cost of all these works
when it is the respondent’s change in position that has led to its insistence on restoring
the status quo ante.
[156] Section 94 of the BCCMA sets out two specific obligations that a body corporate must
follow in respect to by-laws. First, they must enforce the by-laws, and second, they
must act reasonably when doing so. There is a statutory obligation on the body
corporate to enforce the by-laws for the Scheme unless it would be unreasonable to do
so.
[157] The doctrine of promissory estoppel is well known. It was in the context of
representations relating to the enforcement of rights under a pre-existing contract
between the parties that the doctrine of equitable promissory estoppel was originally
formulated in the United Kingdom. The scope of the doctrine has since expanded
beyond pre-existing contractual relations, and in Australia has been authoritatively
described by Brennan J, in Waltons Stores (Interstate) Limited v Maher (1988) 164
CLR 387 at 428:
In my opinion, to establish an equitable estoppel, it is necessary for a plaintiff
to prove that (1) the plaintiff assumed that a particular legal relationship then
existed between the plaintiff and the defendant or expected that a particular legal
relationship would exist between them and, in the latter case, that the defendant
would not be free to withdraw from the expected legal relationship; (2) the
defendant has induced the plaintiff to adopt that assumption or expectation; (3)
the plaintiff acts or abstains from acting in reliance on the assumption or
expectation; (4) the defendant knew or intended him to do so; (5) the plaintiff’s
action or inaction will occasion detriment if the assumption or expectation is not
fulfilled; and (6) the defendant has failed to act to avoid that detriment whether
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by fulfilling the assumption or expectation or otherwise. For the purposes of the
second element, a defendant who has not actively induced the plaintiff to adopt
an assumption or expectation will nevertheless be held to have done so if the
assumption or expectation can be fulfilled only by a transfer of the defendant’s
property, a diminution of his rights or an increase in his obligations and he,
knowing that the plaintiff’s reliance on the assumption or expectation may cause
detriment to the plaintiff if it is not fulfilled, fails to deny to the plaintiff the
correctness of the assumption or expectation on which the plaintiff is conducting
his affairs.
[158] In equitable promissory estoppel, it is necessary for a plaintiff to establish: (1) that it
has adopted an assumption as to the terms of a legal relationship with the defendant;
(2) that the defendant has induced or acquiesced in the plaintiff’s adoption of that
assumption; (3) that the plaintiff has acted in reliance on its assumption; (4) that the
defendant knew or intended that the plaintiff so act; and (5) that it will occasion
detriment to the plaintiff if the assumption is not fulfilled.
[159] In common law conventional estoppel, it is necessary for a plaintiff to establish: (1)
that it has adopted an assumption as to the terms of its legal relationship with the
defendant; (2) that the defendant has adopted the same assumption; (3) that both
parties have conducted their relationship on the basis of that mutual assumption; (4)
that each party knew or intended that the other act on that basis; and (5) (arguably)
that departure from the assumption will occasion detriment to the plaintiff.
[160] Conventional estoppel, a creature of the common law, is focussed on the consensual
basis of the parties’ relationship: it operates when both parties have adopted the same
assumption as the basis of their relationship, often without appreciating that any
departure from the strict legal position is involved, so as to hold both parties to their
common understanding.
[161] Promissory estoppel, a creature of equity, is, typically, focussed on the conscience of
the defendant: it operates when the defendant has induced or acquiesced in the
adoption by the plaintiff of an assumption that the defendant will not assert its strict
legal rights, so to prevent unconscientious insistence by the defendant on them.
[162] On the face of it there is nothing which would prevent these doctrines applying to
estop a body corporate from insisting on compliance with a by-law it says has been
contravened when it has adopted the same assumption as the applicant that the
performance of these works was authorised and not in contravention of the by-laws.
[163] Again, if it could be said that the respondent here changed its position and if held to
be able to enforce the by-law without having any evidence as to whether it was
possible to restore the status quo ante, of the cost to do so, or any of the other
implications of it apart from the implications of it for the respondent, there is an
arguable case at least that it is estopped from doing so or is acting unreasonably.
[164] A third aspect, the question of reasonableness, which has not been considered and
should be sent back for the Adjudicator to consider, is whether the body corporate was
acting reasonably in having induced one of its lot holders to believe it had become the
proprietor of space formally body corporate property and altered its position to its
detriment in reliance upon that in ways which on the face of it and not obviously
reversible or a prejudice that flows from it capable of being ameliorated
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[165] In my view, those were proper matters to be considered in those contexts but they were
not. In my view, the failure to do so was an error of law.
Duty to act reasonably
[166] It is clear that a body corporate must act reasonably in fulfilling its functions under
section 94(1) of the BCCMA.
[167] Some of the decisions on this issue make reference to the decision in Body Corporate
for Beaches Surfers Paradise v Backshall [2016] QCATA 177 (‘Beaches Surfers
Paradise’). In my view that decision does not assist here or add anything to what the
High Court said in Ainsworth & Ors v Albrecht & Anor (2016) 261 CLR 167
(‘Ainsworth’).
[168] Indeed, the decision in Beaches Surfers Paradise at [47]–[52] appears to involve an
analysis and adoption of principles derived from administrative review of decisions
and the legal standard of reasonableness for a statutory discretion in Australia. As the
High Court made clear in Ainsworth at [51]–[53] set out below, those tests do not
apply in this context. The reasons in Beaches Surfers Paradise do discuss other tests
for reasonableness but in that case in the context of committee decisions, not decisions
of the Body Corporate in general meetings, which is what the High Court in Ainsworth
was concerned with and what we are concerned with in the present case.
[169] Reference can be made to the judgement of the majority in the High Court in
Ainsworth, where what was said on this topic at [51]–[53] was as follows:
The reliance by the Court of Appeal and by the first respondent in this Court
upon the judgments in Waters v Public Transport Corporation was misplaced.
That case was concerned with the duty of a decision-making body to reach a
reasonable decision taking into account competing considerations. A lot owner
voting his or her opposition to a motion is not a decision-maker of this kind. The
adjudicator's task under Item 10 of Sched 5 is not to determine whether the
outcome of the vote of the general meeting of the Body Corporate was a
reasonable balancing of competing considerations, but whether the opposition
of lot owners to the proposal was unreasonable.
Given that the adjudicator’s concern with s 94(2) led her to address the wrong
question, namely whether the Body Corporate’s decision was reasonable, her
ultimate conclusion was inevitably affected by an error of law. The same error
infected the approach of the Court of Appeal.
Once the Court of Appeal accepted, as it did, that the grounds of opposition to
the proposal considered by the adjudicator raised questions in respect of which
reasonable minds may differ as to the answer, it is impossible to see how
opposition to the first respondent’s proposal based on those grounds could be
found to be unreasonable.
[170] That conclusion by the High Court serves to emphasise that the test for
unreasonableness is not whether someone objectively considered all relevant
circumstances, except perhaps in the context of there being a duty on a decision-
making body to reach a reasonable decision taking into account competing
considerations. Moreover, bodies corporate generally have their own interests to
consider and that informs the way in which their decisions are to be viewed in terms
of their reasonableness. It is timely to note that as the High Court has said, the question
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is whether conduct of a body corporate is objectively unreasonable, not whether an
Adjudicator is satisfied it is reasonable.
[171] Applying what Nettle J said in Ainsworth at [101]:
Nor is reasonableness something about which informed views are likely to,
or should, differ. Reasonableness does not mean whatever the adjudicator
considers to be just an equitable and it does not involve the application of
discretionary considerations of the kind that were essayed in Norbis v Norbis.
The standard of reasonableness is objective and it is to be applied in this case
at the time of rejection of (the defeated) motion taking into account all
relevant factors including factors which were extant but which the parties
may not have identified or appreciated at the time, as is implied by the words
in the circumstances… (footnotes omitted)
Human Rights Act issues
[172] In Huang v Body Corporate for the Dorchester CTS 10749 [2024] QCATA 64 the
appellant submitted that the adjudicator there, as a public entity, failed to have regard
to the application of the Human Rights Act 2019 (Qld) (‘HR Act’) in coming to the
decision to uphold the challenged resolution. That was because the decision involved
the appellant’s human right to his property, HR Act s 24, being the former exclusive
use area, and the resolution had the effect of arbitrarily depriving him of that property.
[173] Member Oliver held:
[60] That then raises the question as to whether, despite the findings about
property, the HR Act applied to the dispute before the adjudicator in any
event.
[61] This dispute about the validity of the 2022 resolution is between a lot
owner and the body corporate for the scheme. Therefore, that dispute is
one of a private nature and insofar as the members of the scheme passed
the resolution, it was in reliance on the engineering reports about the
methodology of addressing the waterproofing of the rooftop. There was
no obligation on the body corporate committee or other lot owners at the
meeting, when supporting the resolution, to consider the appellant’s
human right to property.
…
[70] That is relevant here because in respect of dispute resolution, the
adjudicator’s function is governed by the provisions of the BCCM Act,
even though it is accepted that the adjudicator is a public entity.
[71] Because under the BCCM Act the ambit of dispute resolution is in the
context of the Act and the community titles schemes, the effect of the
appellant’s contention would mean that all adjudications of private
disputes would necessarily include the obligations under s 58(1) of the
HR Act. Therefore, disputes of a private nature between lot owners and
body corporates would become disputes of a public nature under s 10 of
the HR Act. Dispute resolution is not then confined only to the context
of the BCCM Act and the scheme, but another layer is added, that being
a statutory imposition of a consideration of a party’s human right under
the HR Act.
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[72] To address this question, the parties were invited to file further
submissions. The appellant submitted, similar to what is set out at [49]
above, that the adjudicator’s task can be more than just considering the
arguments of the parties. The adjudicator can also “investigate the
application and decide whether it would be appropriate to make an order
on the application”. Also “make an order that is just and equitable in the
circumstances…to resolve a dispute”. It follows that the adjudicator, in
coming to a decision, will not only have regard to what the parties say
about the dispute but also rely on the adjudicator’s own independent
inquiry, if necessary. Therefore, in doing so, the adjudicator must act or
make a decision that is compatible with human rights, and s 58(4) does
not apply because then the adjudicator’s function must then be one of a
public nature.
[73] There is no guidance in the HR Act as to what might be an act or decision
of a private nature but the purpose of sub-s (4) is to limit the scope of the
application of the HR Act to the public sector. This is consistent with the
objects of the Act which are aimed at building “a culture in the
Queensland public sector that respects and promotes human rights”. This
case has nothing to do with human rights in the public sector. It is a
dispute of a private nature between a lot owner and the body corporate
that has been referred to adjudication for resolution.
[74] The respondent submits the adjudicator, although a public entity:
(a) Was not performing functions of a public nature;
(b) Was acting in a judicial capacity (as a tribunal) in making the
adjudication orders;
(c) The act or decision was “of a private nature”; and
(d) The adjudicator could not reasonably have made a different
decision “because of a statutory provision”.
[75] In considering whether the adjudicator is engaging in a function of a
public nature under the BCCM Act, it is relevant to have regard to the
substance of the dispute the public entity/adjudicator is required to make
a decision about. Unlike Johnston, this is not a decision by a public entity
about an issue occurring in the public sector. Bearing in mind the factual
issues under consideration in Johnston was the imposition of
requirements on police officers to be vaccinated. With respect to the
meaning of “private”, Justice Martin said:
The meaning of “private” is not defined in the HRA. It is used as
a means of distinguishing between acts of a public service
employee in the employee’s private capacity and those acts which
are a part of, or connected with, the work done by that person as a
“public entity”. How public service employees decide what to do
in their personal time are decisions of a private nature. A decision
by a public service employee to engage someone to paint that
employee’s private residence would not come within s 58. A
decision by the same person to engage someone to paint a
government school building would.
[76] Both parties relied on this statement to contend for different outcomes.
The appellant submitted that the decision of the adjudicator was made in
his capacity as a public entity and was not made in the adjudicator’s
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personal time nor was it a decision of a personal nature, therefore he is
performing a function of a public nature. Clearly, in that sense the
adjudicator’s decision was not of a personal nature, nor could any
decision that was made in an adjudication under the BCCM Act be of a
personal or private nature.
[77] The respondent submits, having regard to the underlying issue before the
adjudicator, he was not “performing functions of a public nature” even
though a public entity. Section 10 of the HR Act sets out the matters that
might be considered when deciding whether “a function of an entity is of
a public nature”. Although the function of the adjudicator may satisfy one
or more of that criteria is ss 1, ((a) and (d)), it is also necessary in my
view, to consider the actual functions to be performed. Some guidance
can be gained from ss (3) which sets out the various services which are
of a public nature and include: emergency services; public health
services; public disability services; public education, including public
tertiary education and public vocational education; public transport; and
a housing service by a funded provider or the State under the Housing
Act 2003 (Qld). It is evident from this list that dispute resolution between
private parties under the BCCM Act does not fall within any of these
characterisations.
[78] Although the circumstances here may engage ss (4) because the dispute
the subject of the adjudication is of a private nature, which may mean the
HR Act does not apply, it is still necessary to establish the adjudicator’s
function was of a public nature. He was performing a specific role under
the BCCM Act that required him to make a decision in the context of that
Act and the community titles scheme, unrelated to the public sector. As
the substance of the adjudication was in relation to a private dispute, it
did not involve him performing a function of a public nature, that is,
whether the passing of the 2022 resolution was valid.
[79] In short, I find that the adjudication is not a function of a public nature
under s 10 of the HR Act and the Act does not apply to the adjudication.
(footnotes omitted)
[174] Neither party made submissions in relation to this issue so it would not be appropriate
to comment on it except to say that clearly the conduct of the Body Corporate and the
findings of the Adjudicator do affect significantly the proprietary rights of the
appellant. If the decision in Huang v Body Corporate for the Dorchester CTS 10749
is correct then there was no error of law in failing to consider that issue by the
Adjudicator. The correctness of that conclusion will need to await another day.
[175] It is of course the case that regardless of whether the party to a proceeding relies upon
the HR Act, s 48 applies to construction of a Queensland statute, whenever enacted,
which impacts upon human rights.2 Section 48(1) HR Act provides:
All statutory provisions must, to the extent possible that is consistent with their
purpose, be interpreted in a way that is compatible with human rights.
2 The Australian Institute for Progress Ltd v The Electoral Commission of Queensland (2020) 4 QR
31.
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[176] It is moot as to whether any construction issue arises here, but conceptually one may
arise in the context of whether the respondent acted reasonably in the way it has dealt
with the appellant.
Conclusions as to what should now happen
[177] I have power to set aside the decision and return the matter to the tribunal or other
entity who made the decision for reconsideration with or without the hearing of
additional evidence as directed by the appeal tribunal, and with the other directions
the appeal tribunal considers appropriate or make any other order it considers
appropriate, whether or not in combination with other orders.
[178] I should not leave this matter without recording how unsatisfactory the conduct of this
matter has been both before the Adjudicator and before me. In particular, the
appellant’s conduct of the matter, mainly because of the conduct of her husband who
has had a large role in the presentation of the appellant’s case both here and below,
has been unnecessarily confrontational and adversarial. There are references to some
of that conduct in the Adjudicator’s reasons, and it includes the refusal by the appellant
to allow access to the affected area by experts for the respondent. That raises concerns
that she does not actually want there to be an informed and just outcome to this dispute
but is acting solely to protect her interests. There has been a considerable amount of
ill will demonstrated by the appellant’s side, with material which has been filed in
which there are numerous personal attacks on the integrity of members of the body
corporate, its committee, its expert advisers and the Adjudicator as well. When I
invited submissions from the parties on specific issues after the hearing, the appellant’s
response in part was to misstate things I had said in the context of inviting submissions,
as if I had made some kind of tentative finding in her favour on some issues, when I
had not.
[179] The appellant is encouraged to keep her focus on the fact that the removal of this
smoke lock occurred at her instigation, on the basis of advice received a long time ago
but which has now been contradicted by other experts who are concerned with many
things, not the least of which is fire safety of the residents of this building. One
criticism that has been levied is that whomever the builder was who did this work was
not licenced to perform it. These matters are not part of some joust. And at least in no
small way, she and her husband should accept that her conduct has brought about the
current predicament of the body corporate, and she should genuinely seek a solution
to it. She is a lot owner and member of the Body Corporate after all.
[180] The filing of prolix, unnecessary scandalous submissions, which are repetitive,
disorganised and fail to grasp legal concepts, is distracting, and is an improper use of
the resources of this State, both of its adjudicators and this Tribunal. There are
potential costs consequences in this Tribunal for such conduct. It should not occur in
the further material if any, filed to enable the further adjudication of the matter.
[181] I set aside the orders made by the Adjudicator and remit the matter to the
Commissioner for further adjudication and consideration in relation to the following:
(a) Whether section 177 of the Body Corporate and Community Management Act
1997 (Qld) applied because the exclusive area affected by the smoke lock was
utility infrastructure, having regard to the submissions the parties have since
made on that issue, and any relevant evidence which bears upon that issue. This
is the issue I have identified in the section of these reasons headed “the failure
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to seek submissions on the utility infrastructure point-denial of procedural
fairness”.
(b) Whether in all the circumstances, it is reasonable that the Body Corporate insist
on reinstatement of the smoke lock having regard to its own conduct and any
other relevant considerations. This is the issue I have identified in the section of
these reasons headed “Reasonableness and enforcement of the By-law” and
“Duty to act reasonably”.
(c) What is to the proper construction of by-law 5 and as to whether it applied to the
relevant works of and associated with removing the airlock, notwithstanding the
approval by the body, corporate of those works.
(d) What are the implications for a Body Corporate in sanctioning work which
arguably contravenes by-law 5.?
(e) Does it constitute a waiver of any by-law contravention or is the Body Corporate
estopped from asserting that the works must be removed because of by-law 5?
(f) Must the Body Corporate enforce by-law 5 contravention if it has in practical
effect sanctioned and approved the works allegedly contravening it?
(g) Is it feasible, possible and appropriate from a proper building and engineering
perspective to reinstate the smoke lock and what other modifications would be
necessary to be made to the appellant’s lot in order for that to occur? As an
associated issue, what methods are appropriate to reinstate the smoke lock and
make the other modifications and what costs would be associated with that
work?
(h) Having regard to the answer and outcomes from these issues, who should bear
the cost of doing that reinstatement and/or any other associated rectification
work having regard to what is just inequitable and reasonable in the
circumstances?
[182] I make a direction that the parties act reasonably in all relevant respects in seeking to
provide such information, submissions and expert opinion to the Adjudicator as may
be necessary in order for the adjudication to determine those issues.
[183] I direct that the appellant provides such access to the lot as may reasonably be
requested and or required by the respondent on reasonable notice from time to time,
and permit its representatives, agents, consultants any expert to conduct a proper
examination of the features of the lot in order to assist the Adjudicator to arrive at a
just and equitable outcome.
[184] I direct that if the appellant proposes to contend in the further adjudication process that
there are oppressive or significant financial consequences for her in reinstating the
smoke lock, that she files with the Commissioner’s office evidence as to the cost of
reinstating the smoke lock within 90 days of the making of these orders or such further
time, as the Adjudicator may permit.
[185] I grant the parties liberty to apply in respect of any other consequential or other orders
which might be required to be made.
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Official source: https://www.sclqld.org.au/caselaw/QCATA/2025/128