We have recently been informed that four of our proxies have been rendered invalid due to outstanding utility bills. Can a strata company invalidate my proxy vote for unpaid utility bills?
By-laws can designate additional costs, such as utility bills or debt recovery fees, as recoverable.
Under the Strata Titles Act 1985, a lot owner’s voting rights at strata company meetings can be restricted if they owe certain amounts to the strata company. Owners are entitled to vote either in person or by proxy, but Section 120(2) of the Act specifies that an owner may be prevented from voting on resolutions (except for certain resolutions such as unanimous resolutions and resolutions without dissent) if they have outstanding amounts that are legally recoverable by the strata company.
Typically, “recoverable amounts” include unpaid levies and any related interest, as permitted by the Act. However, by-laws can designate additional costs, such as utility bills or debt recovery fees, as recoverable.
If your proxies were invalidated due to overdue utility charges, this would only be valid if your by-laws specifically designate these charges as recoverable amounts owed to the strata company.
To resolve this, consider reviewing your scheme’s by-laws or seeking clarification if the invalidation seems inconsistent with what is outlined in the by-laws.
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Senior Strata Community Manager / SCA Certified (CSCM)
Courtney joined B Strata in early 2015 bringing with her a background in restaurant and healthcare management. Having previously studied Law and Politics at Murdoch University, Courtney has since completed a Certificate IV in Strata Community Management and constantly undertaking further education and professional development to better her knowledge and understanding of all aspects of her role. Courtney is a Level 2 Certified member of SCA WA and has been the finalist for the SCA WA ‘Strata Manager of the Year – Rising Star’ award 2 years running.
As one of our most highly reviewed and well-respected strata managers, Courtney has recently accepted the position of B Strata’s Lead Strata Manager and now oversees that division within the office. This role requires sound knowledge and understanding of the strata industry and legislation, as well as strong leadership and communication skills, which Courtney delivers with friendly professionalism and confidence indicative of her six years’ experience in the industry.
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