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We have always had a resolution that says we must get 3 quotes if we need any maintenance work over $500. As one of our suppliers has just resigned I need another supplier immediately to do some quarterly maintenance work. Now I am not sure if this is a rule and has been registered or if this is a special resolution or an ordinary resolution. As this is time critical can I just get a quote from another supplier and if the cost is comparable to our existing supplier can I just engage them. I was told that if the 3 quote policy was an ordinary resolution it has to appear on the AGM Minutes each year for it to be valid – if it does not appear I can just get one quote. Does anyone have any expertise on this type of matter. We are in Victoria.
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I don’t know if there is anything peculiar to Victoria. In the ACT, where I am, a general meeting resolution without an explicit time limit would continue to direct and oblige the committee until it was rescinded or superseded or otherwise became obviously redundant.
That said, if the matter really is urgent, and two quotes are very similar, and you did diligently attempt to comply with the 3-quote general meeting decision, I think the committee could defend a decision in this instance to go ahead with only two quotes if it found itself being criticised. Make sure the reasoning and decision is clearly minuted!