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  • #60467
    clement
    Flatchatter

      I understand that the number of members of the strata committee is dictated at the AGM by the number of eligible persons willing to stand. We currently have 4.

      Can we increase the number of members via an OC meeting putting forward new nominees or do we have to wait until the next AGM?

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    • #60471
      Jimmy-T
      Keymaster

        I understand that the number of members of the strata committee is dictated at the AGM by the number of eligible persons willing to stand. We currently have 4.

        No, the chair calls for nominations then the owners at the meeting vote on the number of people they want to be on it, with a minimum of one and maximum of nine. If they decide on a committee with fewer seats than there are nominees, they hold an election.

        Can we increase the number of members via an OC meeting putting forward new nominees or do we have to wait until the next AGM?

        No.  But you could hold an extraordinary general meeting then follow the procedure laid out in Part 2 of Schedule 1 of the Strata Act, if only on the grounds that you have been doing it wrong until now (if that’s the case) and you were putting things right..

         

        The opinions offered in these Forum posts and replies are not intended to be taken as legal advice. Readers with serious issues should consult experienced strata lawyers.
        #60475
        clement
        Flatchatter
        Chat-starter

          Thanks for that. Checking the mins of the AGM it looks like the process was followed. But being present at the AGM the chair accepted nominations and then set  the number of members at the same number.

          If the number is set, for example at 7 but there are only 4 nominations can the committee function with just the 4 and how many members would be needed at meeting to form a quorum?

          Can the strata committee accept new members (up to the maximum allowed) at any time or is a GM required to elect the new member.

           

          #60486
          Jimmy-T
          Keymaster

            I have heard of strata schemes deliberately choosing to have more seats than candidates, so that the elected committee can then co-opt additional members at a later date,

            But my eye has been drawn to the following section of Schedule 1 of the Act:

            35   Vacation of office of elected member of strata committee

            (2)  A strata committee may appoint a person eligible for election as a member to fill a vacancy in the office of a member of the strata committee, other than a vacancy arising under subsection (1) (d) …

            And 1(d) says this:

            (1)  An elected member of a strata committee vacates office as a member—

            (d)  at the end of the next meeting at which a new strata committee is elected by the owners corporation, or

            It’s a bit murky but it seems to suggest that if the vacancy has arisen during the election of a new committee, then it can’t be filled by co-option. And, if that’s the case, that would mean that leaving seats vacant is not strictly legal.  I’m sure others on this forum will have opinions that may not concur with mine.
            The opinions offered in these Forum posts and replies are not intended to be taken as legal advice. Readers with serious issues should consult experienced strata lawyers.
            #60488
            scotlandx
            Strataguru

              If you decide on a number of members that is greater than the number of candidates, the quorum is determined by the number of members set at the AGM.

              So if you decide on 7 but you only have 4 members, then if one person is absent you won’t have a quorum.

              I don’t know why anyone would do that anyway.

              #60527
              Jimmy-T
              Keymaster

                I don’t know why anyone would do that anyway.

                I’m trying to recall, but I think the seat was being kept open for someone who was a friend of the chair and was buying into the building but hadn’t settled before the AGM.

                Or it was being held for someone who was divisive and polarising within the strata scheme and would not have survived an open vote at the AGM.

                Or both.  Or maybe it was one of my fever-dream strata nightmares.

                In any case, it looks like it would be illegal now and probably was back then too.

                The opinions offered in these Forum posts and replies are not intended to be taken as legal advice. Readers with serious issues should consult experienced strata lawyers.
                #60551
                preddyswharf
                Flatchatter

                  We are a small strata of four and we have 2 new owners in the last 60 days. Three weeks ago we had an AGM. At the nomination stage for strata committee, one lot had a written nomination for its co-owner [me], another lot co-owner orally nominated and the nominee of a company owner orally nominated and the fourth lot was represented by a proxy.  The strata manager accepted an oral nomination from this proxy representing the fourth lot. This decision was challenged as per sec 31, but the strata manager refused the challenge and defended her decision based on history and sec 9. She persisted to repeatedly encourage the two new owners to set the committee number at four. This she achieved.

                  The minutes state: ” Upon further review after the meeting closed management have confirmed that only Owners / Company Nominees are entitled to be nominated onto the Strata Committee. As such, as the Owners Corporation resolved to set the number of committee members to 4, XXX (being a proxy holder) position will be set to Vacant until a written nomination from the owner of lot 4 is received, and a committee meeting held in order for lot 4 to be appointed onto the committee.”

                  Does this abide by the legislation?

                  .

                  #60555
                  Jimmy-T
                  Keymaster

                    The strata manager accepted an oral nomination from this proxy representing the fourth lot. This decision was challenged as per sec 31, but the strata manager refused the challenge and defended her decision based on history and sec 9.

                    For the uninitiated, Section 31 of the NSW Act details who can be nominated for election and how. Section 9 establishes the collective rights and responsibilities of all owners to make decisions about the scheme.

                    This election is actually even less kosher than you thought.  The strata manager should not have accepted the self-nomination of the co-owner as co-owners can only be nominated by the other co-owner.

                    So, legally, this election is all over the place.  But is it wrong?

                    Your strata manager has clearly thought that having all owners involved is going to be a better way of running the building than having two owners shut out of decision-making for a year.  Of course, those owners could call for general meetings to air any grievances, so why not just include them from the get-go, so  that every committee meeting is a bit like an EGM?

                    Did the SM follow the law? No. Would a Tribunal overturn the election. Probably not as they would want to see who had suffered in any way because of the informal nature of the election.

                    For what it’s worth, I think your SM’s efforts to be inclusive are laudable, even if she went about it the wrong way.

                    The opinions offered in these Forum posts and replies are not intended to be taken as legal advice. Readers with serious issues should consult experienced strata lawyers.
                    #60554
                    clement
                    Flatchatter
                    Chat-starter

                      Thanks for the reply – so basically knowing how many willing candidates there are for the committee and setting the number  of committee members the same is the obvious way to go. I can understand in large blocks where there are potentially lots of candidates limiting the committee numbers is necessary but in our case where we are only 25 owners, many very reluctant to  join the committee , we end up with a committee of 4.  We now have a couple of new owners willing to join the committee and so we are looking at ways to enable this to happen. Looks like an EGM might be the way to go using the excuse that the AGM did not follow protocol.

                      #60557
                      Jimmy-T
                      Keymaster

                        We now have a couple of new owners willing to join the committee and so we are looking at ways to enable this to happen. Looks like an EGM might be the way to go using the excuse that the AGM did not follow protocol.

                        It’s entirely procedural because the committee’s decisions can always be overturned by the owners at a general meeting anyway. But having a committee that’s more aligned with the general feelings of the owners as a whole can only help.

                        The opinions offered in these Forum posts and replies are not intended to be taken as legal advice. Readers with serious issues should consult experienced strata lawyers.
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