A body corporate's determination of contributions under s 177(1)(h) of the Mixed Use Development Act 1993 (Qld) is not challengeable in debt recovery proceedings under s 174(4)(c) merely because the quantum is arguably wrong, provided the body corporate genuinely formed the required opinion. However, where the determination includes costs that are recoverable under specific by-laws from particular members, the body corporate has not formed the required opinion about what is 'necessary' to raise by contributions, and the purported determination is a nullity that can be challenged in debt proceedings. The extent to which wrongly incurred expenditure reduces lawful contributions depends on whether there was an alternative means of funding the expenditure.
The full text is available to signed-in members, including the 3 later cases that cite this judgment.