u/Chrisluigi88

Tl:dr
Dealing with a nightmare developer/ lot owner.
I don’t want to go to individual buildingcover, it sounds like a nightmare when issues occur across lots of between walls or shared roofs, but it it’s the only way to make this owner pay his minimum insurance tell me how?
—-
I bought a newly developed 4-unit townhouse in 2022. Developer sold 2, kept two under his business name. The developer engaged an OC manager to set up the OC and proceed with settlement, including the insurance certificate.

When the 2023 levy notices came around, I assumed we were all on the same page and paid the fees. No other lot owner paid, so the OC management company resigned immediately. I was left with no OC Manager and no strata insurance. I ended up applying to VCAT for the fees I paid the management company and got my money back before the hearing.

Managed to get a hold of the lot owners in early 2024 with strata insurance quotes covering the 4 units, common property and PL. got 3 quotes, went with GIO. We agreed that I would manage the admin for our small OC, attempted to open a bank account, which failed at the time. We agreed to BPAY our portion of the premium direct to insurer in the interest of getting the insurance activated and paid. We ended up doing the same in 2025 as i didn’t try again to open an account considering we had no expenses at the time.

New year 2026 rolls around and I send my yearly email to the owners with the policy premium details to pay our share. The developer completely ignores my calls, texts, voicemails, emails to renew the policy.
The prospect of our premium being overdue and being left uninsured had me loan the amount by paying 50% to cover his portion.

I began formal OC proceedings, issuing a notice of AGM. Held the AGM and no surprise that no one else showed up. I issued meeting minutes and interim resolution notice. These passed. I opened a bank account in the name of OC, became chairperson & secretary and issued fee notice to the developer. Final fee notice issued. I’ve followed the rules and used the CAV approved forms. I have a read receipt from the business email for the final fee notice so I know they have seen my emails all year.

The only contact I get are a couple of phone calls from his son, with no idea what he was on about, accusing me of making decisions on behalf of everyone. Here I am trying to make sure our properties are insured!

After 6 months of no contact, the developer emails me! Only to send me a screenshot of an email with a quote for “common property only cover and P/L” and also accusing me of making decisions on owners behalf!

So the fees aren’t paid and my next step is to attempt a VCAT fee recovery.

My questions:
What is the likelihood of actually getting a payment if the VCAT order is successful? I’m talking about $1500 this year, but if I don’t do this the annual fees will rack up and I’ll be out of pocket.

Should i get advice? A strata lawyer? If yes, who do I speak to in Melbourne that assist in fee recovery? This is assuming I would front the costs of this to get my own money back.

The OC Act confuses me as it says common property must be insured at a minimum. But when I attempt any quote online and select townhouse, I can’t get building/home insurance. So, can a 4-unit townhouse with common property that shares walls as a single building divided into lots, even get single lot building insurance and resolve to just have common property? I can’t see that this is normal anywhere, I can’t understand why this developer continues to try to not have the entire property under one policy.

Can we have our own home insurance when we share walls? Who would even insure me as no regular insurer does it.

I don’t want to go to individual cover, it sounds like a nightmare when issues occur across lots of between walls or shared roofs, but it it’s the only way to make this insurer pay his minimum tell me how?

Tl:dr
Dealing with a nightmare developer/ lot owner.
I don’t want to go to individual buildingcover, it sounds like a nightmare when issues occur across lots of between walls or shared roofs, but it it’s the only way to make this owner pay his minimum insurance tell me how?
—-
I bought a newly developed 4-unit townhouse in 2022. Developer sold 2, kept two under his business name. The developer engaged an OC manager to set up the OC and proceed with settlement, including the insurance certificate.

When the 2023 levy notices came around, I assumed we were all on the same page and paid the fees. No other lot owner paid, so the OC management company resigned immediately. I was left with no OC Manager and no strata insurance. I ended up applying to VCAT for the fees I paid the management company and got my money back before the hearing.

Managed to get a hold of the lot owners in early 2024 with strata insurance quotes covering the 4 units, common property and PL. got 3 quotes, went with GIO. We agreed that I would manage the admin for our small OC, attempted to open a bank account, which failed at the time. We agreed to BPAY our portion of the premium direct to insurer in the interest of getting the insurance activated and paid. We ended up doing the same in 2025 as i didn’t try again to open an account considering we had no expenses at the time.

New year 2026 rolls around and I send my yearly email to the owners with the policy premium details to pay our share. The developer completely ignores my calls, texts, voicemails, emails to renew the policy.
The prospect of our premium being overdue and being left uninsured had me loan the amount by paying 50% to cover his portion.

I began formal OC proceedings, issuing a notice of AGM. Held the AGM and no surprise that no one else showed up. I issued meeting minutes and interim resolution notice. These passed. I opened a bank account in the name of OC, became chairperson & secretary and issued fee notice to the developer. Final fee notice issued. I’ve followed the rules and used the CAV approved forms. I have a read receipt from the business email for the final fee notice so I know they have seen my emails all year.

The only contact I get are a couple of phone calls from his son, with no idea what he was on about, accusing me of making decisions on behalf of everyone. Here I am trying to make sure our properties are insured!

After 6 months of no contact, the developer emails me! Only to send me a screenshot of an email with a quote for “common property only cover and P/L” and also accusing me of making decisions on owners behalf!

So the fees aren’t paid and my next step is to attempt a VCAT fee recovery.

My questions:
What is the likelihood of actually getting a payment if the VCAT order is successful? I’m talking about $1500 this year, but if I don’t do this the annual fees will rack up and I’ll be out of pocket.

Should i get advice? A strata lawyer? If yes, who do I speak to in Melbourne that assist in fee recovery? This is assuming I would front the costs of this to get my own money back.

The OC Act confuses me as it says common property must be insured at a minimum. But when I attempt any quote online and select townhouse, I can’t get building/home insurance. So, can a 4-unit townhouse with common property that shares walls as a single building divided into lots, even get single lot building insurance and resolve to just have common property? I can’t see that this is normal anywhere, I can’t understand why this developer continues to try to not have the entire property under one policy.

Can we have our own home insurance when we share walls? Who would even insure me as no regular insurer does it.

I don’t want to go to individual cover, it sounds like a nightmare when issues occur across lots of between walls or shared roofs, but it it’s the only way to make this insurer pay his minimum tell me how?