This article about voting no to extending management rights in QLD has been supplied by Frank Higginson, Hynes Legal.
Question: Is the body corporate, or the Committee as representative of the body corporate, under any obligation to show cause if it just votes No to an extension of management rights?
The UOAQ recently published on the topic of extending Management Rights under the heading “Just Say No!”.
Is the body corporate, or the Committee as representative of the body corporate, under any obligation to show cause if it does just vote No?
Or, to the extent that members of the Committee are seen to be actively involved advocating a “Just Say No!” policy to reject a motion to extend the Management Rights term, are they under any obligation other than the omnibus requirement to “act reasonably“?
Answer: Ambit statement like that are not always correct.
Everyone is entitled to their opinion and the key thing is that whatever is said is not misleading.
So this can be said, in the same way that ‘Just vote yes’ can be. It is then down to the will of the people on the day.
For what it is worth, I tend not to agree with blanket statements though like ‘Just vote no’ as a policy because in my experience there are absolutely buildings who would not function without effective long term management arrangements in place – so an ambit statement like that is not always correct.
Have a question about management rights extensions or something to add to the article? Leave a comment below.
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This post appears in Strata News #289.