At our recent AGM, such a motion proved fruitless, as has every other single motion submitted over the last six/seven years. ‘Legal advice’ has been used as the excuse not to pass a single motion:
RESOLVED THAT the motion was ruled Out of Order by the Chairperson –
legal advice … which was read to the Meeting –
as follows –
“Motion 23 has been proposed by the owner which seeks to ensure compliance with Section 258 of the Strata Schemes Management Act 2015 (SSMA). Section 258 of the SSMA relates to the provision of tenancy notices to the Owners Corporation in respect of leases or sub-leases of a lot. The purpose of the section was intended to apply to ordinary leases or sub-leases of a Lot where the tenancy would not necessarily be considered to be of a short term or seasonal variety, albeit the section doesn’t actually rule such situations out. It can be considered to have universal operation and could apply to situations where an Owner of a Lot elects to lease out the Lot for a shorter period than would typically be seen (i.e. holiday or short term rental).
The Motion purports to authorise the Owners Corporation undertaking enforcement proceedings if an Owner does not comply with the requirements of Section 258. In our view, that part of the Motion should be ruled out of order as being in conflict with section 103 of the SSMA. Where an Owners Corporation wishes to undertake enforcement action the ordinary manner of approving such action under the SSMA is for a specific resolution to be passed in general meeting. A broad based resolution such as that which is proposed is simply not in accordance with the SSMA.
We also make the comment that the Motion is not supported by an explanatory note as required by clause 4(2)(c) of Schedule 1 of the SSMA.
In our view, the Motion should not be included on the Agenda, however if it is, then it should be ruled out of order by the Chairperson exercising the discretion granted to them under clause 19, Schedule 1 of the SSMA.
Additionally, the Motion serves no real purpose other than to acknowledge the existence of Section 258 of the SSMA, which applies regardless of any motion or bylaw which may be considered and passed”.