The STSM Act states that nominations for Trustees must be handed in at least 48 hours before the start of the meeting. But it also states that if insufficient nominations have been received further nominations can be taken from the floor. So say we have 4 nominations before the meeting and the meeting decides they want 5 Trustees. Now we take more nominations from the floor and now we have 8 nominations in total. Do we then only take one more nomination from the floor? Or do we accept more nominations from the floor?
The STSM Act states the following –
PMR 7
(2) The nomination of a trustee must be in writing, accompanied by the written consent of the person nominated and delivered to the body corporate service address at least 48 hours before the annual general meeting is due to start.
(3) If an insufficient number of nominations are received in terms of sub-rule (2), further nominations may be called for at the annual general meeting with the consent of the persons nominated.
One option received from an Expert:
The way I conduct this item at AGM’s / SGM’s is that I announce the nominations received before the meeting, if any, before the members decide on the number of trustees. At this stage, the members can start thinking if those nominations received, provided it is not zero or one, is sufficient before a proposal is made, and voted on, as to the number of trustees. I ask the outgoing trustees how many trustees they were and if that number worked for them, and if not, what their recommendation (not proposal) would be. I then allow proposals as to the number, and take it to the vote. If the number determined is more than the nominations received before the meeting, I ask for a nomination/s from the floor ONLY to meet that number. So, if the number of nominations received prior to the meeting is four, and the number determined is five, I will only ask for one more nomination from the floor, then there will be no election. If there are ten nominations received before the meeting, and the number determined is five, I will ask the members to vote for up to five out of the ten nominations received.
The STSM Act however is silent on this so the following should be allowed as well:
What if the number determined by the meeting is 5 and you only received 4 nominations before the meeting and at the meeting you ask for more nominates and they want to nominate 3 more. Do you tell them they are only allowed to nominated one more and then vote on the three to see who the nomination will be?
Expert – I would say only 1 more is needed, but if you allow more, then the members must vote from all the nominations – received before and at the meeting.