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Topic
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We have 86 units in how complex and only had 20 proxies is this a quorum?
What is the formula for a quorum?
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If you are in NSW, a quorum is one quarter of owners entitled to vote, ttending in person or by proxy. But it’s not a simple as a head (and proxy) count. All the proxies have to be on the prescribed form and all the people voting have to be up[ to date with their levies.
Even then, it’s not as simple as that because you can count unit entitlements instead of simple votes. and een if that doesn’t get you over the line, all you have to do is hold the AGM again exactly seven days later and whoever turns up for the rerun forms the quorum.
This is what the Act says:
There is a quorum for considering and voting on such a motion or at such an election only if:
(a) at least one-quarter of the number of persons entitled to vote on the motion or at the election is present, either personally or by duly appointed proxy, or
(b) at least one-quarter of the aggregate unit entitlement of the strata scheme is represented by the persons who are present and entitled to vote on the motion or at the election, either personally or by duly appointed proxy.
THEN
(4) If a quorum, as provided by subclause (2), is not present within the next half-hour after the relevant motion or business arises for consideration at the meeting, the meeting stands adjourned for at least 7 days.
(5) If a quorum, as provided by subclause (2), is not present within the next half-hour after the time fixed for the adjourned meeting, the persons present personally or by duly appointed proxy and entitled to vote constitute a quorum for considering that motion or business.
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.
Sounds like NSW could do with the ACT’s ‘reduced quorum’ concept!
Here a quorum is 50% with much the same caveats about being financial etc. However, a much smaller number can decide to proceed with a meeting after half an hour if there is not yet a quorum. Then any decisions do not become effective for 28 days and the decisions must be notified to all owners within 7 days with prescribed notice of reduced quorum decisions form. The decisions can be overturned by a new general meeting or by a petition of 50% of owners.
All that means you can get on with the general meeting without a quorum but there are safeguards against a poorly attended meeting making crazy decisions.
@JimmyT said:
(5) If a quorum, as provided by subclause (2), is not present within the next half-hour after the time fixed for the adjourned meeting, the persons present personally or by duly appointed proxy and entitled to vote constitute a quorum for considering that motion or business.
We have the same rule in QLD where we have to organise a second meeting.
BUT
We also have voting papers in QLD and so if a quorum is not present at the first meeting we hold the meeting anyway and a record is kept of everyones votes and so they are not required at the second meeting. Those that turn up at the second meeting just have to vote and their votes are added to the origional votes and so this is how decisions are made.
Saves the hassle of those that turn up at the first meeting having to come again at a later date.
KP & PC – does Qld or ACT legislation say anything about if no owners turn up for an AGM at all? Happens sometimes with smaller blocks & investment owners.
In the ACT there is a minimum of 2 people. From the Act (doesn’t copy and paste well with the numbering in the right place):
If a standard quorum is not present within 1⁄2 an hour after the motion arises for consideration, a reduced quorum for the motion and any subsequent motion considered at the meeting is made up by 2 or more people present at the meeting who are entitled to vote on the motion.If a reduced quorum is not present 1⁄2 an hour after the motion arises for consideration, the meeting is adjourned to the same day in the next week at the same place and time.If a reduced quorum is present for the consideration of any motion and the motion is voted on, section 3.10 (Notice of reduced quorum decisions and adjournments) applies to the decision on the motion.If a reduced quorum is present for the consideration of any motion and the motion is not voted on, the meeting may decide to adjourn to the same day in the next week at the same place and time to consider the motion (and any others remaining to be considered).If a general meeting is adjourned under this section (including paragraph and a standard quorum is not present within 1⁄2 an hour after a motion arises for consideration at the adjourned meeting—
a reduced quorum is made up by the people who are then present and entitled to vote on the motion and any subsequent motion considered at the adjourned meeting; andif a reduced quorum is present for the consideration of any motion at the adjourned meeting, and the motion is voted on— the decision on the motion must be notified under section 3.10; and
if the motion (or any other) is not voted on at the adjourned meeting—the adjourned meeting may resolve to adjourn again to the same day in the next week at the same place and time to consider the resolution (and any others remaining to be considered at the meeting).
If a decision (a reduced quorum decision) is made on a motion while a reduced quorum was present for the consideration of the motion, within 7 days after the meeting the owners corporation must give each person mentioned in section 3.6 (1) (Notice of general meetings) written notice of the reduced quorum decision.Note If a form is approved under s 146 for a notice, the form must be used.
Within 4 days after a general meeting is adjourned under section3.9, the owners corporation must give each person mentioned in section 3.6 (1) a written notice of the date, place and time to which the meeting is adjourned.
Reduced quorum decisions—effect
A reduced quorum decision takes effect 28 days after the decision was made, subject to this section.
Subsection (1) does not apply if the owners corporation fails to give notice of the reduced quorum decision under section 3.10 (1).
A reduced quorum decision is disallowed if, within 28 days after the decision was made, the owners corporation is given a petition requiring that the decision be disallowed signed by a majority of people entitled to vote on the relevant motion at the time of signing (whether or not they were present or entitled to vote on the motion at the general meeting at which the decision was made).
If, within 28 days after a reduced quorum decision is made, a motion is passed confirming the reduced quorum decision while a standard quorum is present at a general meeting for consideration of the confirmation motion, the reduced quorum decision takes effect on confirmation, whether or not a petition under subsection (3) is at any time given to the owners corporation.
This section does not prevent a reduced quorum decision from being revoked at a general meeting, whether a standard quorum or reduced quorum is present while the revocation motion is being considered.
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