Undesirable Conduct Rules and Enforcing Rules

Posted: April 8, 2026

Undesirable Conduct Rules and Enforcing Rules

Conduct rules are only effective if they are lawful, fair, and enforceable. The Community Schemes Ombud Service (CSOS) provides guidance on what makes a rule undesirable and outlines how enforcement should be handled. Trustees and directors must ensure that rules strike a balance between protecting owners’ rights and maintaining order in the community.

Undesirable Rules According to CSOS

Some rules are considered undesirable and will not be certified by CSOS. Examples include:

  • Absolute prohibitions on pets: Rules can regulate the keeping of pets but cannot impose a blanket ban.
  • Restrictions on property use beyond the law: For example, rules cannot prohibit religious or cultural practices outright (such as animal slaughter), though they may regulate them.
  • Disconnection of utilities: Trustees may not cut off electricity or water as punishment for levy arrears. Debt collection must follow proper legal channels.
  • Restricting access for levy arrears: Denying owners entry, withholding remotes, or disabling biometric access for arrears is unlawful.
  • Unreasonable short-term letting restrictions: Rules may regulate short-term rentals but cannot force owners to use only one platform (e.g., Airbnb).

CSOS will reject or strike down such rules to protect owners’ constitutional and statutory rights.

Enforcing Conduct Rules

Once rules are lawfully approved and registered, trustees and directors are responsible for enforcement. Key considerations include:

  • Authority: Trustees or Directors must act within the powers given to them by the STSMA, HOA constitution, and registered rules.
  • Consistency: Enforcement must apply equally to all owners and residents.
  • Fines: A body corporate or HOA may only impose fines if the conduct rules explicitly allow it and the fines are reasonable.
  • Dispute Resolution: Owners who disagree with rule enforcement can take the matter to CSOS for adjudication.

Examples of Enforcement Issues

  • Pets: A dog that causes repeated noise complaints may result in fines or conditions on keeping the pet.
  • Vehicles: Abandoned or unroadworthy cars on common property can be removed after proper notice.
  • Nuisance Behaviour: Abuse or harassment of trustees, staff, or other owners can be escalated to CSOS.

Best Practices for Enforcement

  • Draft rules clearly to avoid ambiguity.
  • Communicate rules and enforcement procedures to all residents.
  • Use fines sparingly and only as a last resort.
  • Document all warnings, notices, and trustee decisions.
  • Refer unresolved disputes to CSOS rather than escalating conflict.

 

Undesirable rules can cause disputes and undermine the credibility of a community scheme. Trustees and directors must ensure rules comply with CSOS guidelines and national legislation. By enforcing rules fairly, consistently, and transparently, schemes can foster a safe, respectful, and harmonious environment for all residents.

 

Scheme Rule Enforcement: Supporting Fairness Without Fuelling Conflict