voting at sectional title meetings

Sectional title meetings & voting procedures

A body corporate is a community of owners living in a complex where a harmonious living environment is expected. Members of a body corporate own an undivided share of the common property together with their units and contribute to the general expenses of the scheme via their levy contributions.

It follows that owners expect to have a say in decisions made on behalf of the body corporate. But how does this work?

Different types of meetings

The operation of a body corporate can be quite complex. It starts with trustees being appointed at the annual general meeting of the body corporate. The elected trustees are given certain responsibilities and authority to act on behalf of the body corporate.

The Sectional Titles Schemes Management Act makes provision for decisions to be taken at different types of forums. These forums are trustee meetings, annual general meetings and special general meetings.

Trustee meetings involve trustees voting on matters of importance and within their authority. Annual and special general meetings allow for all registered owners to attend and vote.

Trustee meetings 

Each trustee – including the chairman – has one vote at the trustee meetings, regardless of how many units they own in the scheme. Votes are counted by show of hand and is passed by a majority vote. If there is an even number of trustees and no majority vote is achieved, the chairman has an additional vote to determine the outcome of the vote.

Annual general meeting (AGM)

Voting is determined by majority vote at an AGM. Each vote is allocated a value based on the participation quota (PQ), calculated based on the size of the member’s unit/s.

Voting may take place by a different method but only if rules have been established to that effect as required in the Sectional Titles Schemes Management Act.

Special general meeting (SGM)

Special and unanimous resolutions are tabled at special general meetings.  A quorum of no less than 33,33% is required when a special resolution is tabled. This means that a third of the members must be present or represented by proxy at the meeting. For a unanimous resolution, a quorum of no less than 80% is required.

A quorum is calculated by using PQ values and the number of sections represented at the meeting.

A special resolution passes when 75% of the members vote in favour of a motion whereas a unanimous resolution requires 100% of the members to vote in favour of a motion.

Participation of members

Owners who are not trustees often feel they are left out of decisions made by trustees. It is important to understand the role and functions of the trustees who have certain responsibilities and some authority to make decisions.

Owners are invited to annual general meetings and special meetings where they can voice their concerns, question trustees, vote for or against proposals or make suggestions for the benefit of the complex. As such, owners have significant voting power at meetings and should utilise this wisely when given the opportunity.

Contact us for assistance or to invite us to your next trustee meeting.