Question: What are the voting rules for a Resolution Without Dissent? How do we count the votes?
What are the voting rules for a Resolution Without Dissent? How do we count the votes?
Section 1230 (2)(b) Resolutions states in order for a resolution to be successful, “a resolution of a strata company is a resolution without dissent if — (b) no vote attached to a lot is cast against the resolution” (assuming the notice period requirement has been met).
Our strata council is proposing a resolution to add 2 new Governance by-laws and we are using the method of ‘voting outside of a general meeting’ allowed under Section 120 (3)(b) Voting. Our strata scheme has 15 owners, each with one unit/lot.
When we get the ballot papers back, if the count is as follows: 13 in favour and 2 blank ballot papers, how do we treat these blank forms? Are these abstention votes or accepted but neutral? Would the resolution be passed because no vote was cast against it?
Also, if one owner chooses not to submit voting papers, is this acceptable. Do all owners need to vote on a Resolution Without Dissent?
Answer: One no vote and the resolution is defeated.
The simplest explanation to this when voting for Resolution without Dissent you assume all owners will agree, but it Is not the yes vote that has the impact. In a Resolution without Dissent, the NO vote rules supreme. One no vote and the resolution is defeated.
In your hypothetical with a complex of 15 lots, you receive 13 yes votes and 2 returned blank ballot papers. In my opinion, if they don’t have a yes or a no or abstaining on them, they’re informal ballot papers and do contribute to the vote. In this case the RWD would pass as there is not a recorded no vote.
Finally, all owners do not have to vote with a Resolution Without Dissent (RWD). Silly if they don’t, but there is no statutory requirement that they have to. With a RWD the vote that has the impact is the no vote. One, and only one, negative vote and the motion is lost.
Brian Rulyancich StrataTAC E: strata@stratatac.com.au P: 0428 970 067