As we move into the new legislation, there is a lot to know / familiarise ourselves with the 90 changes that have occurred since November 30th, 2016.

To start with, Strata Excellence would like to brief you on the following proxy appointment changes.

Proxy appointment

A proxy must
– in accordance with schedule 1 – Division 2 Strata Schemes Management Act 2015:

  1. Indicate which motions the proxy holder can vote on – or that they can vote on all matters.
  2. Indicate how the proxy is to vote regarding the appointment or continuation of a strata managing agent – regardless of whether this is on the agenda.
  3. Be dated.
  4. Indicate how long it is valid for.
  5. Be given to the Secretary of the scheme before the commencement of the meeting.
  6. Be signed by the proxy giver – i.e hand written or digitally
  7. Ensure that the proxy holder cannot have a financial or other interest in the outcome – eg a managing agent can’t hold a proxy and vote on a matter relating to their appointment or continuation.

Number of Proxies

There is a limit to the number of proxies a person can hold. If the scheme has:

  1. 20 lots or less – then only one proxy can be held by any person – including the chairman or managing agent.
  2. More than 20 lots, a number that is equal to not more than 5% of the total number of lots.

The issue comes if proxies are sent to the managing agent and the number of these for one individual exceeds the limit set out above. At this junction until the Tribunal or Courts indicate otherwise – it is expected that the first proxy received are the instructions that person is to follow and would over-ride any subsequent proxies and thus their instructions from other owners.

What we recommend is that you speak to the person you propose to appoint and check how many proxies they already hold before giving them your vote otherwise your may not count. It is important to ensure the above rules are followed.