Scouller v Stockland Property Services Pty Ltd

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QUEENSLAND CIVIL AND
ADMINISTRATIVE TRIBUNAL


CITATION:

Scouller v Stockland Property Services Pty Ltd  [2018] QCAT 308

PARTIES:

JOHN LESLIE SCOULLER
(applicant)

v

STOCKLAND PROPERTY SERVICES PTY LTD

(respondent)

APPLICATION NO/S:

OCL079-17

MATTER TYPE:

Other civil dispute matters

DELIVERED ON:

11 September 2018

HEARING DATE:

On the papers

HEARD AT:

Brisbane  

DECISION OF:

Member Kanowski

ORDER:

Stockland Property Services Pty Ltd must, with effect from 21 September 2018, cease invoicing residents of Fig Tree Village for the cost of the services of Network Energy Services for meter reading, invoice preparation and associated tasks, other than as part of a general services charge.

CATCHWORDS:

REAL PROPERTY – RETIREMENT VILLAGES – whether electricity and water meter reading is a general service – whether a charge is adequately disclosed in the Public Information Document

Retirement Villages Act 1999 (Qld), s 76, s 102A, s 106

Nielsen v Runaway Bay Village Pty Ltd [2011] QCAT 658, applied
Nolan v Kawana Island Retirement Village Pty Ltd [2009] QCCTRV 6, applied

Scouller and Anor v Stockland Property Services Pty Ltd [2017] QCAT 347, considered

REPRESENTATION:

Applicant:

Self-represented

Respondent:

Minter Ellison

APPEARANCES:

This matter was heard and determined on the papers pursuant to s 32 of the Queensland Civil and Administrative Tribunal Act 2009 (Qld).

REASONS FOR DECISION

Introduction

  1. This case is about certain costs associated with the supply of electricity and water to residents of a retirement village, Fig Tree Village, run by Stockland Property Services Pty Ltd (‘Stockland’). The costs in question were said to total $23,573 for 2017/2018. I do not have the anticipated 2018/2019 figure. It is convenient to refer to the costs as the Network Energy Services costs. They are for services carried out by a firm called Network Energy Services in reading the electricity and water meters, preparing invoices for residents for their electricity and water consumption, collecting the amounts charged, and so on.

  2. The parties to the case are Mr Scouller, a resident of the village, and Stockland.

  3. The services in question are provided under a contract between Stockland and Network Energy Services.

  4. It is undisputed that in the 2016/2017 year, Stockland anticipated that the Network Energy Services costs would be $23,196. Stockland made provision for this anticipated expenditure in its general services budget. Half of the anticipated cost was included in the estimated expenditure of $129,000 shown for ‘Water Rates/Charges’, while the other half was included in the estimated expenditure of $80,600 for ‘Electricity’.

  5. The affairs of retirement villages such as Fig Tree Village are regulated under the Retirement Villages Act 1999 (Qld) (‘the Retirement Villages Act’). In a retirement village, the cost of providing ‘general services’ is to be recouped by the village operator from residents through the general services charge.

  6. In Fig Tree Village literature, the general services charge is referred to as the ‘Residence Charge’.

  7. Effectively, then, in Fig Tree Village in 2016/2017, residents met the costs of the Network Energy Services costs, along with numerous other operating costs, through their Residence Charges.

  8. It appears…

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Details
Case
[2018] QCAT 308
Decision Date

CaseChat Overview and Summary

The case of Scouller v Stockland Property Services Pty Ltd involved the dispute between Mr Scouller, a resident of Fig Tree Village, and Stockland Property Services Pty Ltd, the operator of the village. The central issue was whether the cost of electricity and water meter reading should be charged as a daily rate to residents, and whether this charge was adequately disclosed in the Public Information Document required by the Retirement Villages Act. Mr Scouller argued that the charge was not a general service, as defined in the Act, and was not adequately disclosed, leading to the proceedings.

The court was tasked with determining whether the charge introduced by Stockland for meter reading services met the statutory requirements under the Retirement Villages Act. This involved interpreting the definition of a general service and assessing the adequacy of the disclosure in the Public Information Document. The court had to consider whether the charge was part of the ongoing costs of the village's operations or a specific service that should be separately disclosed and charged.

In its reasoning, the court held that the change introduced by Stockland did not comply with the Act. The court found that the meter reading services did not constitute a general service, as they were specific tasks rather than ongoing operational costs. Furthermore, the court determined that the charge was not adequately disclosed in the Public Information Document, as required by the Act. The court thus concluded that Stockland must cease invoicing residents for these services separately and instead include them as part of a general services charge, if applicable.

The final orders of the court mandated that Stockland cease invoicing residents for the specific services of meter reading from 21 September 2018. The court did not grant a general preventative order as requested by Mr Scouller, finding it inappropriate to preemptively address potential future issues. The court’s decision ensures that the charges for these services are appropriately disclosed and billed in accordance with the Retirement Villages Act.

Orders

Orders of the court

Stockland Property Services Pty Ltd must, with effect from 21 September 2018, cease invoicing residents of Fig Tree Village for the cost of the services of Network Energy Services for meter reading, invoice preparation and associated tasks, other than as part of a general services charge.

Background

Background to the litigation

Full text does not contain this section.

Evidence

Evidence Before The Court

Full text does not contain this section.

Decision

Reasons for decision

Finally, I do not consider it appropriate, in anticipation of future problems that might or might not arise, to make a general preventative order, as requested by Mr Scouller, ‘that no other service cost, incurred in the operations of the village, be charged as a daily rate charge on residents’ usage accounts’.[23] [23]See paragraph 51 above. Conclusion I have accepted Mr Scouller’s argument that the change introduced by Stockland in the 2017/2018 budget, about how the Network Energy Services costs are to be met, does not meet the requirements of the Retirement Villages Act. I consider that the matter should be corrected, but only prospectively.

Ratio Decidendi

Legal Principle Established

Full text does not contain this section.