Thinking Inside the Box

A Paddocks Sectional Title Lifestyle Blog

Special Resolutions by Email – Q&A

sectional title management

By Jennifer Paddock

One of my readers recently asked me a question relating to proposed special resolutions being sent out using email which I thought I’d share with you:

Question:

Hi Jennifer
I have just read in an article that a letter of Special Resolution must be hand-delivered or sent by registered post. Can it not be emailed to all owners?

Answer:

Hi Dave, interesting question – I presume the article you read relates to section 1(2) of the Sectional Titles Act which deals with the notice procedure for a meeting at which a special or unanimous resolution is on the agenda. This provision states that notice of that meeting will be “deemed adequate” if hand delivered or dispatched by prepaid registered post.

However, as you probably know, special resolutions can also be taken by ’round robin’ procedure ie. in writing, and the definition of a ‘special resolution’ in terms of section 1(1) of the Act which deals with the requirements for a round robin special resolution does not specify how that resolution must be sent to owners. Therefore in my opinion, a proposed special resolution could be sent out to all owners by any means (including email) and provided 75% of all owners agree in writing to the resolution – it would have been properly passed by round robin procedure.

 

If you are interested in reading more, I have blogged about Special Resolutions in more detail here:

How to Pass Special Resolutions Properly

Special Resolution Loophole

 

If you have any comments on this post share them with me below!

Image source: craftingagreenworld.com

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5 comments on “Special Resolutions by Email – Q&A

  1. kukri1946
    May 10, 2014

    The special resolution is to allow all owners to extend, one wants to now so the special resolution will be designed so that other owners in the future will not have to obtain a special resolution, but still require trustees consent and plans etc etc

    Butch

  2. kukri1946
    May 7, 2014

    Hi

    Can someone give me an answer to the above – is there anything illegal about having ONE resolution to cover ALL owners for Extensions? Is it necessary for each owner in the future to have to get a special resolution?
    Surely one SR covering all the units will suffice?

    Regards

    Butch

    • Anne
      May 7, 2014

      Just a thought: depending on what the actual resolution that you want to pass is about- why not consider an amendment to the rules, instead.

  3. kukri1946
    April 29, 2014

    Hi

    Regarding special resolutions for extensions – we have agreed to have one special resolution for all owners that may want to make extensions in the future. there is only one owner that wants to do an extension at the moment.

    We thought this would be a good idea so the BC doesnt have to go through the procedure over and over again. The owner would still be required to get trustees approval and the plans passed etc etc.

    Can you see anything wrong with this?

    Regards

    Butch

  4. Anne
    April 9, 2014

    The question sent me back to PMR 39(2), wondering whether this could be said to apply mutatis mutandis to SGM’s.

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