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QLD: What can owners do if a committee ignores an AGM vote?

QLD@2x

This article discusses committee ignores AGM vote options, including replacing the committee or enforcing the owners’ decision.

Question: Our body corporate overwhelmingly voted no to a top up of the caretaker’s agreement. Our committee seems determined to overturn the vote. This has created a toxic environment, and residents believe the committee should concentrate on other matters. How do we get back on track?

I live in a strata development of 110 units in Qld, ruled by the Accommodation Module. Recently, there was a motion at the AGM to top up the caretaker’s agreement to 25 years. The body corporate overwhelmingly voted ‘No’ (70 No vs. 14 Yes). The new committee is now emailing residents saying this was incorrect. They seem determined to overturn the vote.

Many residents understand they can put forward a motion at the next AGM. However, this behaviour has created a toxic environment, and many residents believe the committee should concentrate on other matters. In other situations, the committee won’t proceed with works, despite the body corporate voting yes. Correspondence sent to the committee seems to get ‘lost’ and is never minuted. How do we move forward, and what can residents do?

Answer: If enough owners are unhappy with the committee, you could look to replace them.

If enough owners are unhappy with the committee, you could look to replace them. Committees are replaced the same way they are appointed – via a general meeting. As the committee sounds unlikely to call one to dissolve itself, owners can force a general meeting by having 25 per cent of owners sign a document requisitioning a meeting and including motions for submission.

The notice should be submitted to the Secretary or the body corporate manager as their delegate, and a meeting notice must then be issued within 14 days.

A scheme of 110 owners needs 28 owners to agree to this proposal. This is quite a large number, so you would probably need to get a copy of the roll to contact owners to get some agreement. Perhaps you could collate votes through a website like iPetitions.

You will also need a group willing to fill the current committee positions. The motion for replacement can be relatively straightforward – something like ‘That Ms Jones replace Mr Smith as Chair of the Body Corporate Committee’. You don’t need to explain why you want to change, although as you are looking for a large number of members to back you, I suggest you have a clear rationale.

The alternative is probably to wait until the next AGM and look to appoint new members then.

Regarding the discussion on the caretaker’s contract, any owner can, as you say, submit a motion for the AGM. However, it seems like you have a large majority voting in one direction, and my guess is it would take quite a lot to turn this around. Certainly, the actions of the current committee don’t seem to be doing that, so the choices here seem odd from the outside, although perhaps there is another side to the story.

Regarding other works, the committee has a mandate to proceed if they have been approved at a general meeting. Perhaps there is some wiggle room around dates or booking contractors. However, if they are not proceeding, you can follow the avenues available – table letters at committee meetings, submit an owner’s motion, and, if necessary, make an application via the Commissioner’s office.

It is also worth asking if anyone has sat down with the committee and talked to them about how you feel the body corporate is being run. It is certainly unusual to have such a disconnect between owners and committee and it is not healthy for a scheme to have this division. The above gives you an idea of some of the formal paths, but it’s always worth seeking an amicable resolution via discussion as a first option if possible.

See the BCCM website for more info: Queensland Government: Calling an extraordinary general meeting.

This post appears in Strata News #664.

William Marquand Tower Body Corporate E: willmarquand@towerbodycorporate.com.au P: 07 5609 4924

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