A recent landmark legal decision has made it far more difficult
for body corporates to stop apartment owners from renting out their
property short term on Airbnb.
The NSW Civil and Administrative Tribunal found that a body
corporate's by-laws are secondary to the strata law principle
that they cannot "prohibit or restrict" the operation of
an owner's lot. (See
Estens v Owners Corporation SP 11825 [2017] NSWCATCD
52.)
Landmark decision could have significant influence on future
legislation
This is a very significant decision, as it is the first time
that strata by-laws have been overturned in favour of Airbnb in
NSW.
I have represented many clients in cases like this, and the law
regarding short term rentals has not been clear in the past. The
NSW government is currently examining the whole issue of short term
Airbnb type letting and this decision by the Tribunal could
significantly influence future legislation.
