New South Wales Consolidated Acts New South Wales Consolidated Acts(1973 Act, s 28)
(1) In this section:
"dealing" includes a plan referred to in section 31 (2).
(2) A dealing executed by a body corporate for the purpose of the exercise of any of its powers under this Division shall be as valid and effective as it would be if it were also executed by the lessees of all the lots comprised in the leasehold strata scheme concerned and the receipt of the body corporate for purchase money, rent, premium or other money payable to the body corporate in respect of the dealing shall be a sufficient discharge and shall exonerate every person paying any such money from any responsibility for its application.
(3) A body corporate shall not execute a dealing for the purposes of this Division:(a) if the estate or interest of the body corporate or of the lessees or any of them in the parcel or in any part of the parcel is thereby diminished, unless:(i) all persons (other than the body corporate and the lessees) having interests recorded in the Register in the parcel or that part, as the case may be, have released them in so far as they affect the estate or interest the subject of the dealing or the dealing may properly be, and has been, made subject to those interests, and(ii) all persons having interests (other than interests referred to in subparagraph (i) or statutory interests) in the parcel or that part, as the case may be, being interests which have been notified to the body corporate, have released them as against the person taking under the dealing, not being a plan, or benefiting by the registration of the dealing, being a plan, and(b) unless any by-law to which Division 4 of Part 5 of Chapter 2 of the Strata Schemes Management Act 1996 applies and relating to the land the subject of the dealing has been:(i) repealed, or(ii) amended in so far as it would, but for the amendment, have detracted from the interest passing under the dealing.
(4) A dealing lodged for registration under the Real Property Act 1900 or the Conveyancing Act 1919 for the purposes of this Division shall not be registered under either of those Acts unless it is accompanied by a certificate under the seal of the body corporate:(a) certifying that:(i) the resolution authorising the execution of the dealing was a special resolution, and(ii) the requirements of subsection (3) (a) (ii) were complied with, and(b) except where all the lots concerned are held by the original lessee or where a certificate under this paragraph or section 11 (2) (d) or 16 (2) (b) has been previously lodged in the office of the Registrar-General or a certified or office copy of the minute of an order made under section 182 of the Strata Schemes Management Act 1996 authorising the registration of the dealing is so lodged, certifying that the resolution referred to in paragraph (a) was passed after the expiration of the initial period or that there was no initial period,and the certificate under the seal of the body corporate given for the purposes of this subsection shall be conclusive evidence of the facts stated in that certificate in favour of the Registrar-General and any person taking under the dealing, not being a plan, or benefiting by the registration of the dealing, being a plan.
(5) This section does not prevent the execution in accordance with section 54 of a dealing by a body corporate, or by a developer on behalf of the body corporate, to give effect to a decision about a development concern (within the meaning of section 55) or prevent the registration of a dealing so executed.