By Jennifer Paddock
Developer’s voting power
A1: At owner meetings in sectional title schemes there are two ways of voting. The first is by ‘show of hands’, in which the owner, or owners, of a section have one vote for each section owned. If this type of voting is used the developer or his representative would hold half of the votes. The second is by ‘poll’ procedure whereby each owner’s vote is valued according to the participation quota allocated to his/her section or sections unless a special scheme rule has been made allocating other values to the sections in the scheme, in which case the poll will be based on those values. If this type of voting is used, then the developer’s vote would be worth the aggregate total of each of his sections participation quotas or the aggregate of any other values in terms of a special scheme rule made, allocating other voting values to the sections.
A2: Estate Agency Affairs Act of 1976 includes in its definition of an ‘estate agent’ any person who ‘renders any other service which the Minister may specify’. Amongst the services specified by the Minister are those of ‘collecting or receiving moneys payable by any person to or on behalf of a developer or a body corporate in respect of a sectional title unit’.
A4: The short answer is YES. Each and every body corporate is required to have a chairperson.
Article reference: Volume 5, Issue 1, Page 6.