Regis Towers Real Estate Pty Ltd v Kin Fung

In the case of Regis Towers Real Estate Pty Ltd v Kin Fung, the plaintiffs, Regis Towers Real Estate Pty Ltd, sought an injunction against the defendant, Kin Fung, who had entered into a lease with another owner of a lot within the Regis Towers complex. The lease was intended to be used for the operation of a real estate agency, in contravention of special by-laws that had been established by the body corporate of the complex. These by-laws granted the owner of the lots and the complex manager the exclusive right to conduct real estate business on the premises. The plaintiffs argued that the lease should be restrained due to its violation of the special by-laws, and further claimed that the lessee had not been notified of the special by-laws by the lessor, as required.

The central legal issues before the court were whether the court should exercise its jurisdiction in the matter, considering the presumption of regularity in the making of the special by-laws, and whether the plaintiffs had the right to have the dispute adjudicated under the legislative framework. The court also had to consider whether the exclusive right granted by the by-laws was excessive and, if an injunction were to be granted, whether it should have effect only against the lessee, or if it should also bind the lessor. The court's analysis involved examining the relationship between the owners of lots in the complex, who were bound by the by-laws as between each other.

The court found that the owners of lots in the complex were bound by the by-laws as between each other, and that the presumption of regularity in the making of the special by-laws applied. However, the court also concluded that it should exercise its jurisdiction in the matter. The court found that the plaintiffs did have the right to have the dispute adjudicated under the legislative framework, and that the exclusive right granted by the by-laws was not excessive. Ultimately, the court granted an injunction, but it was to have effect only against the lessee, and not the lessor. This decision recognised the importance of enforcing by-laws in strata title complexes while also balancing the rights of the parties involved.