We’re talking about a resolution – and there are three different types you will encounter when on the committee of an Owners Corporation in New South Wales.
These three are used under specific conditions.
A general resolution requires a majority passing vote – that is 50% of the votes. Each owner has one vote for each property (lot) they own. Matters that would require a general resolution include minor renovations to a lot such as replacing a kitchen, or installing an air-conditioner.
A special resolution has to be passed with a 75% majority of members of the Owners Corporation (based on unit entitlement).
If you would like to add a new by-law, this would require a special resolution to pass. The same type of resolution is required if you want exclusive use of a piece of common property.
The third type of resolution is a unanimous resolution. A unanimous resolution, as the name suggests, requires all of the lot owners agree with the motion.
Both unanimous and special resolutions are votes required for certain motions at general meetings (not at strata committee meetings). A special resolution is where there must be at least 75% of owners in favour of the motion, based on unit entitlement. A unanimous resolution is where everyone is required to vote in favour of the motion for it to be passed.
Even when only a simple majority vote is needed, a poll can be called for. In a poll vote, votes are worked out by counting the unit entitlements
If someone has outstanding strata fees still owing they are considered unfinancial. They cannot vote unless a unanimous resolution is needed.
SSKB Community Managers are delighted to assist helping you understand the specific rules and legislative obligations for your community.