One of the owners of a complex wanted to request an SGM in order to vote on a special resolution to change from PQs to Nominated Values (we will have a separate Question of the week on that process)
So we explained that the Act states the following with regards to calling a general meeting:
(4) The trustees may by resolution call a general meeting whenever they think fit and must do so if either—
- members entitled to 25 per cent of the total quotas of all sections; or
- the holder of mortgage bonds over not less than 25 per cent in number of all the primary sections,
deliver to the body corporate a written and signed request for a special general meeting; provided that if the trustees fail to call a meeting thus requested within 14 days of delivery of the request, the members or bondholder concerned are entitled to call the meeting.
So if the owner can get 25% of the owners (in PQ) to back his request for the meeting this will be a valid request.
The Act also states the following:
PMR 17(5) Members or a bondholder who request a meeting in terms of sub-rule (4) must include one or more motions or matters for discussion with their request and these motions or matters must be included, without amendment, in the agenda for the meeting.
So in the petition they must clearly state what they want the meeting to vote on and the Trustees cannot change this. The Trustees can add items to the agenda though.
He then proceeded to get 25% of the owners to sign a petition and requested a meeting.
(We have to verify that they indeed have 25% by checking the petition and the PQs)
The Trustees were advised that they have 14 days to call the meeting (it does not have to be held within 14 days – only called) Should the Trustees not call the meeting with the 14 days after the request the owners have the right to call the meeting themselves.
PS – The assumption is made here that the scheme work on the Prescribed Management Rules of the Act and have not amended their Management Rules