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We are uncertain (in NSW) about which type of Motions that are put for a vote at General Meetings require identification as motions that require a Unanimous agreement / Special agreement (75% or more) / a mere approval (51% agreement. (an subsequently their repeal)
I looked through the Act but could not find what type of resolutions fall into each category.
We are having an issue with the EC and intend to send them a motion to be put at the next GM. From 35(2), while it state we need to identify if it requires a Unanimous / special resolution – how do I determine what the resolution requires? Can anyone help.
35 Forms of motions
(1) Notice of a general meeting must include, or be accompanied by:
(a) a form of motion to confirm the minutes of the last general meeting of any kind, and
(b) if the meeting has been convened to elect an executive committee for the owners corporation, a form of motion for the election of the executive committee, and
(c) except in the case of a meeting referred to in paragraph (b), a form of motion of each other motion to be considered at the meeting.
(2) The notice must clearly indicate which motions require a special resolution for their passage and which motions require a unanimous resolution for their passage.
(3) A motion must not be submitted at a general meeting unless notice of the motion has been given in accordance with this clause or the motion is a motion to amend a motion of which notice has so been given.
the Act says
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Replies
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I’ve never seen a definitive listing, but off the top of my head a Special Resolution is needed for Motions involving the amendment, repeal, or creation (of new) By-Laws, for any change, addition, or alteration to the Common Property by the Owners Corporation (O/C) or by an Owner, for providing a discount on or not charging interest for levy contributions (e.g. for early and late payment respectively), for any “dealing” involving any part of the Common Property (e.g. a sale, or the granting of an easement/right-of-way), or granting to or removing an exclusive use privilege from an Owner (only with that Owner’s prior written consent in the latter case).
A Unanimous Resolution is required for Motions involving the distribution of surplus funds of the O/C to Owners, the winding-up of the Strata Scheme, and for not having building insurance cover and/or a sinking fund in two (2) Lot Schemes only.
Unless I’ve missing anything (in which case someone will jump in), all Motions involving other matters require a decision by simply majority (51%), and in the case where a “poll vote” is requested that majority is determined by the lot units of entitlement of those voting in favour expressed as a percentage of all those who vote (incl. by proxy).
Dear Strata Guru
In relation to the ‘written consent’ and a ‘Special By Law’, what happens when an owner sells their lot (no longer an owner) and is continuing to operate a business on common property that was allowed following the passing of a ‘Special By Law’ 5 years ago when they were on the Executive Committee and an owner?
Can this Special By Law be repealed without the consent of that former owner or without the consent by the business (husband & wife partnership) that they are continuing to operate on common property?
They pay no rent, electricity or water charges, these are all paid by the Owners Corporation. They do however pay for the gas usage.
At the next AGM later this month the repeal of this by-law will discussed and voted on by the owners.
Any assistance on this matter would be appreciated.
@larry_vincent said:
Can this Special By Law be repealed without the consent of that former owner or without the consent by the business (husband & wife partnership) that they are continuing to operate on common property?
The Act says rescinding or changing special resolution by-laws can only be done “with the written consent of the owner or owners of the lot or lots concerned.”
So you don’t need the permission of the beneficiary of the by-law, just the new owner of the lot concerned. Problem solved?
By the way, it also requires a special resolution to rescind the by-law, so make sure you have the numbers and that the motion is listed as a special resolution on the agenda.
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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