We have recently received a question from a Queensland strata lot owner concerning reappointing your body corporate manager. Thank you Kelly Borell, Tower Body Corporate Administration for providing the following response.
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Question: Reappointing Your Body Corporate Management company. What options should we be given?
Our Body Corporate Management company, managing 10 residential units in North Queensland is up for renewal for the next 3 years. We have been given no other options of time.
If this renewal is defeated at the annual AGM, the contract is not renewed and we are essentially without a representative body corporate. How do we go about appointing a new one? Can we motion during the AGM that the contract be renewed for only 12 months? Do we do this during general business?
This body corporate manager has been known to close a meeting immediately upon a majority vote defeating the renewal of strata contract. Is this allowed by law?
Answer: A motion that proposes a 3 year BCM agreement requires at least two alternative companies to be included in the motion.
A motion that proposes a 3 year BCM agreement requires at least two alternative companies to be included in the motion, as an option for owners to vote on.
If the motion to appoint a BCM is defeated, then an EGM will need to be called with further alternatives included.
I’m not sure that it is ‘illegal’ for the BCM to close the meeting immediately upon their motion being voted down, but it definitely is not good business practice.
(12th August 2016: please note a slight amendment to the wording of this post was carried out to prevent any confusion or ambiguity in the response.)
This post appears in Strata News #105
Tower Body Corporate Administration
P: 07 5609 4924
This article is not intended to be personal advice and you should not rely on it as a substitute for any form of advice.
Are you interested in more about Your Body Corporate or information particular to QLD legislation? Visit our FactSheet: Strata Committee Concerns, FactSheet: Strata Manager OR FactSheet: Strata Legislation QLD
The photo associated with this post has been supplied by Flickr: steve p2008- disabled parking.