Owners Calling A Special General Meeting
Example: An owner in a scheme would like to request a Special General meeting in order to vote on a special resolution to approve an extension to their section.
PMR 17 (4) states the following in this regard;
The trustees may by resolution call a general meeting whenever they think fit and must do so if either:
(a) members entitled to 25 per cent of the total quotas of all sections; or
(b) the holder of mortgage bonds over not less than 25 per cent in number of all the primary sections, deliver to the body corporate a written and signed request for a special general meeting; provided that if the trustees fail to call a meeting thus requested within 14 days of delivery of the request, the members or bondholder concerned are entitled to call the meeting.
Therefore, if the owner can obtain 25% of the members (in value) to support his/her request for the meeting to be called, then this would be a valid request.
The STSM Act also state the following in terms of owners requesting a Special General Meeting;
PMR 17 (5) states the following;
(5) Members or a bondholder who request a meeting in terms of sub-rule (4) must include one or more motions or matters for discussion with their request and these motions or matters must be included, without amendment, in the agenda for the meeting.
Therefore, in the owners’ petition they must indicate clearly what items they wish to discuss and vote on. The Trustees cannot change this, however may add items to the agenda should they wish.
The owner may then obtain 25% of the owners’ signatures on the petition and request a meeting. The submission would have to be verify to ensure it indeed complies with the 25% requirement by checking the signed petition and the PQs.
The Trustees would be advised that they have 14 days to call the meeting. The meeting has to only be called within 14 days, not held within 14 days. Should the Trustees fail to call the meeting within the 14 days after the request, the owners have the right to call the meeting themselves.