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What’s the latest on an owner’s rights when you’re ‘unfinancial’ at your strata’s Annual General Meeting (NSW), please? Can you attend? Can you speak? Can you vote?
Asking for a friend ; )
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You can attend. You can speak when the chair gives opportunity. You can’t vote except on a motion that requires universal agreement.
Also, you can’t stand for election under section 32:
32 Persons who are not eligible to be appointed or elected to strata committee:(2) An owner of a lot in a strata scheme who was an unfinancial owner at the date notice was given of the meeting at which the election of a strata committee is to be held and who did not pay the amounts owing by the owner before the meeting is not eligible for appointment or election to the strata committee.
However, unfinancial owners can nominate someone else to be elected to the committee under Schedule 1 (5.6) :
5 Nomination of candidates for election prior to meeting(6) An owner or a person may make a nomination even if the owner or person cannot vote because the owner is an unfinancial owner.
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Thanks! But what does ‘universal agreement’ mean, please? Is there any such thing in NSW? Would it mean a Special Resolution not more than 25% against? Or an Ordinary Resolution?
I’m pretty sure Chesswood meant a motion that requires a unanimous vote
Schedule 1(13.8) of the NSW Act says:
Voting rights cannot be exercised if contributions not paid
A vote at a general meeting (other than a vote on a motion requiring a unanimous resolution) by an owner of a lot or a person with a priority vote in respect of the lot does not count if the owner of the lot was an unfinancial owner at the date notice of the meeting was given and did not pay the amounts owing before the meeting.
Section 5 of the Act says “a resolution of an owners corporation is a unanimous resolution if it is passed at a properly convened general meeting and no vote is cast against the resolution.”
That definintion is important becasue it doesn’t require every owner to vote in favour. Some could abstain, so in that regard Chesswood isn’t 100 per cent correct in using the term “universal agreement”.
But that’s splitting hairs. There are very few circumstances remaining that would require a unanimous vote although the return of excess strata funds to owners would be one of them.
Unfinancial owners can’t vote on either ordinary or special resolutions.
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I’d suggest, with my limited knowledge that if you are not up to date, you cannot vote… that’s it.
I’d suggest, with my limited knowledge that if you are not up to date, you cannot vote… that’s it.
Except, as I explain below, on the rare occasions when a unanimous vote is required, such as when the owners corporation wants to return excess funds to owners.
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