Question: Our strata company is allocating my levy payments to a disputed fence debt with no resolution agreed, so can I stop this and what are my SAT options?
I am in discussions over a fence dispute. Is the strata company allowed to allocate my standard levies to fence instalments when no resolution has been agreed on? They are putting me in arrears without any legal justification.
I would like them to cease this until an agreement is made. Is this a feasible request, and if not, what are my options through SAT?
Answer: You can request your payments be allocated to ordinary levies only, but the disputed fencing levy will likely continue to accrue interest unless it is withdrawn or overturned.
Generally, the strata company will allocate payments to the oldest outstanding amounts on your account first unless you specifically instruct otherwise.
If you are disputing the fencing levy, you can ask the strata company to allocate your payments only to your ordinary levies and not to the disputed fencing instalments. Whether they agree may depend on their accounting practices, how long ago you made the payment, and the circumstances of the dispute.
However, if the fencing levy has been validly raised and remains unpaid, it will generally continue to appear as outstanding on your account. It may continue to accrue interest under the Strata Titles Act, even while the dispute is ongoing.
Accordingly, it is reasonable to request that your payments not be allocated to the disputed fencing levy while the matter is being resolved. However, unless the levy is withdrawn, overturned, or a different arrangement is agreed, the strata company may still treat the fencing levy as payable and continue to record it as an outstanding debt with interest accruing daily .
This post appears in the October 2026 edition of The WA Strata Magazine.
Jamie Horner
Empire Estate Agents
E: JHorner@empireestateagents.com
P: (08) 9262 0400
Leave a Reply