Every owner in a community scheme automatically becomes a member of its Body Corporate in terms of the STSMA regulating ST Schemes or a member of the Home-Owner Association in terms of the Memorandum of Association of that Association. As a member of a community scheme owners should be encouraged to attend all meetings of owners so they are involved in the decisions making that will impact the scheme and especially the election of the scheme executives.
In community schemes, most decisions are taken at meetings or by written resolution. These processes are therefore very important in the proper functioning of schemes and attendance by members of the community scheme is vital to the well-being and proper functioning of the scheme in general. Meetings in community schemes are the forum where resolutions are taken affecting all aspects of the scheme, and its members and facilitate decision-making and transparency by the scheme executives. If all the formalities of a meeting are not followed correctly, the decisions taken by resolution at that meeting could be challenged and even found to be invalid and unenforceable.
An owner of a property in a community scheme is part of the legislated body, be it as a member of the Body Corporate for Sectional Title Schemes or as a member of the Homeowners Association for individual title schemes. Each owner has a responsibility to fellow owners, to ensure that they participate as actively as possible in the decision-making aspects of the community scheme. This is primarily achieved through attending meetings called by scheme executives, and more especially the annual general meeting of the scheme, where key aspects of the scheme’s finances, governance and administration are discussed, considered, and voted on by the members, and scheme executives are elected to represent the community scheme members. All of which may ultimately affect the value of one’s asset, and how well the scheme is administered.
For any of the different types of meetings involving members of a community scheme, be they owner, scheme executive and even dispute resolution meetings, face-to-face in-person meetings in many community schemes have now been replaced due to convenience by virtual meetings. This has become possible with the improvement and availability of on-line meeting technology, into either only on-line interactions on any one of the various video-based platforms, or the through the holding of hybrid meetings involving those who can attend face-to-face and including a method for those who cannot attend in person to attend using one of the many IT meeting platforms available, usually by video link.
Many of these changes in the way community schemes are administered and run and especially how meetings are held, have hopefully seen a greater acceptance of this more efficient manner of carrying out the business of a community scheme, especially ensuring owners can attend meetings remotely, ensuring that meeting quorums are met and resulting in greater participation by owners in the running of their community schemes.
Attendance at community scheme meeting by any other method other than face-to-face must ensure that the method used is accessible to all members and other persons entitled to attend the meeting, permits all persons participating in the meeting to communicate with each other during the meeting, and permits the chairperson to confirm, with reasonable certainty, the identity of the participant as being a member of the community scheme or their proxy.
Virtual meetings yield benefits for owners and those managing the meeting. A virtual meeting is more convenient, less time consuming, safer to attend and, usually more productive, allowing the chairperson of the meeting greater control and removing the emotional baggage that may often be bought to meetings by owners. One of the negative sides may be if the technology fails during the meeting or even prior to the meeting starting when owners find they cannot register. Another downside is that personal contact between fellow owners is lost.
Schemes must ensure that they use online meeting and voting tools that are available from a reputable company that has the necessary IT platform to meet the needs and size of the scheme. Very often major decisions are taken within a scheme that have massive financial implications to the owners, and the scheme executives (and the members of the scheme) cannot afford to have resolutions invalidated by a court due to faulty meeting or voting platforms that can be legally challenged..
Whitfields will provide support in whatever way it can, in assisting scheme executives and residents residing in the community schemes that we manage, regarding compliance with legislation governing their community scheme.