How to pass a unanimous resolution in a sectional title scheme | Legal Articles


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How to pass a unanimous resolution in a sectional title scheme

When very important decisions need to be made by sectional title owners, then a unanimous resolution needs to be passed. 

This could be for a sale on long term lease of part of the common property, for the deemed destruction of some or all of the buildings within the scheme, in order to make changes to the management rules and for authorising luxurious improvements to the common property. 

The sectional title owners can go about passing a unanimous resolution either by written form without meeting or at a general meeting of the body corporate. 

If all the owners in the scheme sign there acceptance of a proposed unanimous resolution, then it can be achieved without them need to meet. This is because all owners have agreed to it unanimously. 

Sectional title schemes - Attorneys Johannesburg

By round robin:

If the unanimous resolution is to be passed at a general meeting then certain procedures need to be followed. 

Notice must be given 30 days prior to the meeting to all members of the scheme and it must specify what the proposed unanimous resolution is. However, this notice period can be shortened if it is a matter of urgency or if provision is made for it in the rules of the scheme. 
There needs to be a quorum at the meeting. The total vote count and number of sections of the owners present needs to equal to 80% of the total amount in the scheme. 

Every owner present need to be in favour of the resolution being passed. If there are any votes against the resolution, then it will be null and void. Also those who chose not to vote will be counted with those in favour of the resolution. 

Should an owner be affected negatively by the the unanimous resolution, then written consent needs to be granted by the owner in order for the resolution to be passed. However, if this is not granted or if the unanimous resolution is not achieved, then an order of the Court will be needed.

Van Deventer & Van Deventer Incorporated - Property Lawyers Cape Town & Johannesburg

Contact us for professional legal advice for your sectional title scheme.

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