The prescribed rules specify a number of reasons why a trustee could cease to hold office. Some of those reasons are that the trustee could resign, go crazy, be declared insolvent or be removed from office by the owners in general meeting.
Removing and replacing trustees
So the owners can remove a trustee from office but it can only be done at a general meeting. The rules allow the owners to replace that trustee. The replacement must also be done at a general meeting. An ordinary resolution – not a special or unanimous resolution – is required for both removing and replacing a trustee. This simple sounding process is not as easy as it appears: there are a number of practical difficulties.
Difficulties in removing trustees
As general meetings are usually convened by the trustees, owners seeking to remove a trustee must ask the trustees to convene the meeting. The trustees are unlikely to be willing to call a meeting to have the entire board removed, but if the request is made by owners holding at least 25% of the total participation quotas, the trustees have no choice but to call the meeting. If they do not call the meeting within fourteen days, the owners who made the request may call the meeting themselves. The notice calling a meeting at which owners may remove a trustee must clearly state that purpose – one can’t ambush a trustee!
So while it is possible to replace all the trustees in one fell swoop, given the number of owners required to force the calling of a meeting, that the notice must state the purpose of the meeting – which is as likely to gather support for the trustees as to gather support for their removal – that there must be a quorum at the meeting and finally, that the majority of those at the meeting have to agree to the removal, there would have to be a very determined effort made on the part of a significant number of owners for this to happen!