Disputes arise when either the trustees or some members of the body corporate believe that it is fair and reasonable that a sectional title body corporate should take a special or unanimous resolution, but they cannot obtain the necessary support.
In terms of section 6(9) of the Sectional Titles Schemes Management Act, 2011:
“A body corporate or an owner who is unable to obtain a special or unanimous resolution may approach the chief ombud for relief.”
Examples of issues
This type of order is only possible in the context of a sectional title scheme, but its scope is extremely wide. At any time when a sectional owner or body corporate is unable to obtain a special or unanimous resolution they can apply to the CSOS for relief – but, of course, they will have to make a clear case that the resolution is necessary or desirable and the CSOS adjudicator will also take into account the interests of all other owners in the scheme.
Examples are where a sectional owner is unable to get a special resolution necessary to authorise a section extension, or the trustees’ consent to subdivide or consolidate a section.
Example of order
An example of the type of order the CSOS could give is:
That the body corporate of the Quarterdeck Scheme is considered to have taken a unanimous resolution in the terms set out in the attached draft resolution marked “A”.
This order takes effect immediately and the trustees of the body corporate must arrange for the signature of the required notification and its submission to the Community Schemes Ombud Service within 21 days.
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