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Different Types of Resolutions

Special Resolutions

Special Resolutions means a resolution:

(a) Passed by at least 75% calculated both in value and in number, of the votes of the members of a body corporate or who are represented at a general meeting; or
(b) Agreed to in writing by members of a body corporate holding at least 75% calculated both in value and in number, of all the votes

Unanimous Resolutions

Unanimous Resolutions means a resolution:

(a) At least 80% calculated both in value and in number, of the votes of all the members of a body corporate are present or represented; and
(b) All the members who cast their votes do so in favour of the resolution; or
(c) Agreed to in writing by all the members of the body corporate

Exclusive Use Area

Means a part of parts of the common property for the exclusive use by the owner or owners of one or more sections

Participation Quota

In relation to a section or the owner of a section, mean the percentage determined in accordance with the provisions of section 32(1) or (2) of the Sectional Title Act

What are these Resolutions required for, and why is it so important to understand them?

  • Suing the developer in respect of the scheme – section 2(7)(e) [STSMA]
  • Approve the purchase of a sale of a unit by the body corporate – section 4(b) [STA]
  • Approve body corporate borrowing money – section 4(e) [STA]
  • Approve the short-term lease of common property – section 4(h) [STA]
  • Cancelling registered exclusive use rights in terms of section 5(1)(f) [STSMA] and / or section 27(5) [STA]
  • Execute or accept servitudes or restrictive agreements that burden or benefit the land in terms of section 29 of the Sectional Titles Act – section 5(1)(g) [STSMA]
  • Authorising the extension of a section – section 5(1)(h) [STSMA]
  • Adding to, amending or repealing conduct rules – section 10(2)(b) [STSMA]
  • Create and confer rights of exclusive use by conduct rule – section 10(7) and (8) [STA]
  • Making rules that provide for different voting values or contribution liability (also need written consent of adversely affected owners) – section 11(2) [STA]
  • Authorising remuneration for an owner-trustee – Rule 28(1) [PMR]
  • Deciding to hold a general meeting outside of the municipal area – Rule 28(1) [PMR] 15(4) [STA]
  • Deciding that the body corporate must insure against other than the prescribed risks – Rule 28(1) [PMR] 23(8)
  • Appoint an executive management agent – Rule 28(1) [PMR] 28(1)
  • Cancel the managing agent’s appointment on two months notice – Rule 28(1) [PMR] 28(7)(a)
  • Authorising an improvement or alteration to the common property that is reasonably necessary, if any owner requests a meeting to discuss and vote on the issue after trustees have notified owners of their intention to proceed with improvement – Rule 28(1) [PMR] 29(2)
  • Approve the installation of pre-paid meters – Rule 28(1) [PMR] 29(4) – 60 Days Notice

Unanimous Resolutions

  • Authorising the body corporate to alienate or let all or part of the common property in terms of section 17(1) [STSMA] of the Sectional Titles Act – section 5(1)(a) [STSMA]
  • Extend the period of the developer’s future development right in terms of section 25 of the sectional Titles Act – section 5(1)(c) [STSMA]
  • Request the delineation and cession of exclusive use rights to owners in terms of section 27 of the Sectional Titles Act – section 5(1)(e) [STSMA]
  • Adding to, amending or repealing management rules – section 10(2)(a) [STSMA]
  • Create and confer rights of exclusive use by management rule – section 10(7) [STSMA] and (8)
  • Decide on the distribution of compensation for the expropriation of common property – section 12(2)(a) [STSMA]
  • Deciding that the buildings are deemed to be destroyed – section 17(1)(b) [STSMA]
  • Deciding to rebuild/reinstate buildings if buildings have been damaged or destroyed, or not to do so – section 17(3)(a) [STSMA]
  • Authorise the body corporate to make loans from body corporate money – Rule 28(1) [PMR]
  • Authorising an improvement or alteration to the common property that is not reasonably necessary – Rule 28(1) [PMR]

As you can see from the above resolutions listed, it is important for the general Sectional Title Home Owner to have an understanding of these resolutions, as they carry a legal impact. Being specialists in our field, The Property Management Authority of SA (Pty) Ltd is well positioned to assist with and explain these resolutions to its current and future clients. We can be contacted at any time on +27 (0)12 944 1326 for a consultation.

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