New South Wales Consolidated Acts

COMMUNITY LAND MANAGEMENT ACT 2021 - SECT 90

90 Interest, discounts on contributions and payment plans

(1) A contribution, if not paid when it becomes due and payable, bears until paid simple interest at an annual rate of 10% or, if the regulations provide for another rate, that other rate.

(2) Interest is not payable if the contribution is paid not later than 1 month after it becomes due and payable.

(3) However, an association may, by resolution at a general meeting, determine (either generally or in a particular case) that a contribution is to bear no interest.

(4) An association may, by resolution at a general meeting, determine (either generally or in a particular case) that a person may pay 10% less of a contribution levied if the person pays the contribution before the date on which it becomes due and payable.

(5) An association may, by resolution at a general meeting, agree to enter into payment plans, either generally or in particular cases, for the payment of overdue contributions.

(6) A payment plan is to be limited to a period of 12 months but a further plan may be agreed to by the association by resolution.

(7) The regulations may prescribe requirements for payment plans.

(8) The existence of a payment plan does not limit any right of the association to take action to recover the amount of unpaid contributions.

(9) The Tribunal or a court may, on application by a member, order that no interest is chargeable on a specified contribution if the Tribunal or the court is satisfied that the association should reasonably have made a determination not to charge interest for the late contribution.