VIC: Our committee is dealing with a rogue chair — what can we do to ensure they abide by the Act?

Question: Our committee is dealing with a rogue chair. Is there anything we can do to ensure our Chair abides by the Act and manages the OC Committee’s business appropriately and through a democratic process?

I am a lot owner and member of our OC Committee. Together with a few other lot owners/OC Committee members, we find ourselves in the minority (by votes) due to the Chair going continually rogue, regularly bypassing consultation with the whole OC Committee for works undertaken and generally being dictatorial and unpleasant when questioned about unilateral decisions taken by him.

We are not getting a great deal of support from the OC management company. They state the Chair was duly elected at the AGM and that they as managers have no power to intervene to ensure that the Chair presides over the OC Committee in a manner expected from the Act.

Is there anything that can be done to ensure that our Chair abides by the Act and manages the OC Committee’s business appropriately and through a democratic process?

Answer: It is likely that the decisions being made by the chair are not valid.

The committee of management is elected at the AGM by owners and there the committee is delegated power to make ordinary resolutions for the owners corporation.

All committee members have an equal vote unless powers have been specifically delegated to the chairperson. The only extra power a chairperson has in relation to voting is the ability to make the casting vote in the event of a split vote. It is therefore likely that the decisions being made by the chair are not valid.

If you are concerned about the behaviour of the Chairperson, we suggest trying to speak to them first. If that does not work, you can remove the chairperson by a majority vote from the committee.

Please note if you vote to remove them as Chairperson, they will remain a committee member. In order to remove a committee member, you will need to vote to remove them at a general meeting of the owners corporation. The secretary, the manager acting on authority of the committee, or a lot owner nominated by owners whose lot entitlements total at least 25% of the total may call an SGM to do so.

Alex Smale
Melbourne Owners Corporation Services
alex@mocs.com.au
P: 03 9818 2488