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Dive into best practice tips on how to navigate rules, maintain privacy, and protect the interest of all owners when appointing a proxy.
As an owner in strata, body corporate, or owners corporation property, you might be unable to attend meetings or vote on important decisions. In such cases, appointing a strata proxy can efficiently manage your responsibilities and voting rights within an owner’s corporation or body corporate.
By delegating rights to another individual, they can participate in meetings, vote in ballots, or represent you within a committee on your behalf. However, when nominating a representative, proper protocols should be followed to keep the proxy valid and safeguard the interests of all owners.
Making the right choice for your strata proxy is crucial to safeguarding your interests. After all, this person is your voice in your absence, representing your opinions and views on various matters. Therefore, choosing a reliable and trustworthy individual to fulfil this role is critical.
It is beneficial to consider someone who shares similar views and opinions as you do on property management and community living matters. They should be able to represent your stand on various issues accurately, advocating for your interests in your absence. This person could be a family member, a close friend, or even a fellow lot owner with whom you have built a rapport and who understands your perspective.
Once you’ve chosen someone to be your strata proxy, it’s time to authorise them in writing. This process provides them formal permission to do the following on your behalf:
Attend, speak or vote on your behalf at an owners corporation, body corporate, or strata meeting
Represent you on the committee.
Vote on your behalf on a ballot.
However, before formally authorising your proxy, it is important to take consideration to any state rules and regulations. These precautions are integral for maintaining the credibility of the proxy voting system and protecting your rights. Some general things to keep in mind are:
An owner can make anyone their proxy, including their tenant.
A proxy will be invalid if that owner votes in person.
A proxy cannot be transferred to a third person.
Valid proxies are part of the quorum - the minimum number of attendees at a meeting that allows it to proceed.
As an owner, casting your vote via proxy at a strata, owners corporation, or body corporate meeting is as simple as submitting a form to the secretary or strata manager before or during the meeting.
In case your property has multiple owners, every owner must sign the form for proxy voting authorisation. This helps secure your vote on the matter and your perspective is properly represented. Here’s how to correctly fill out the form and wisely select your proxy.
Generally, the strata proxy voting form appointing the proxy must state the following:
It is best practice for the owners corporation or body corporate to keep the proxy form in its records, as it may be valid for 12 months from the submission date (depending on the term of appointment).
The rules around submitting a strata proxy voting form may differ from state to state. It’s best to contact your strata, owners corporation, or body corporate manager to check the correct process or if it is allowed for your scenario.
Follow the link below to access and download your state’s proxy appointment form.
Proxy voting process at a strata, body corporate, or owners corporation meeting cannot be used for financial or material benefit by a building manager, strata manager, or an on-site residential property manager, such as:
A developer or a person connected with the developer cannot use a proxy voting appointment or power of attorney resulting from the following:
If the owner of a lot is listed on the strata roll as a company, a company nominee form must be completed.
However, some states allow strata managers to vote by proxy at meetings. In Queensland, a body corporate manager cannot be appointed as a proxy. Body corporate and strata managers in New South Wales, Victoria, Northern Territory, and Tasmania may be permitted to vote on behalf of an owner, but only if the proper authorisation and proxy form is submitted with the secretary. However, they cannot vote on matters related to their appointment, payment, or dismissal in general meetings.
The quota or number of proxies one person can hold depends on the number of lots in your strata property and what state laws permit regarding proxy voting at a strata, owners corporation, or body corporate meeting.
Owners, body corporates, and owners corporations must clearly understand the required procedures before appointing a proxy. Non-compliance with specific processes may invalidate the vote or may leave the risk of penalties and fines. Below are some key things to consider for your state:
In New South Wales, most schemes can submit a valid proxy form to the secretary or strata manager before or during a meeting. However, an additional rule applies for large strata properties. For schemes with more than 100 lots, the proxy form needs to be submitted at least 24 hours before the meeting.
An individual committee with voting rights can appoint another voting member as their proxy by submitting a form to the secretary before the meeting begins or earlier if the body corporate has set a specific time. However, individuals with outstanding debt or involved in a conflict of interest within the body corporate are not eligible to be assigned a proxy.
The rules around this in Victoria were amended in 2021, allowing you to submit a voting form to cast your vote. A proxy must be provided as a written government-issued proxy . The details should include a specific person’s name and be given to the owners corporation secretary. It can’t be transferred to another person and becomes invalid after 12 months.
Under the Unit Title Schemes (Management Modules) Regulations 2009, a proxy form needs to be submitted in writing, following the format approved by the committee and specifying the appointment duration. If there are two adjoining proxies, each person involved in this joint appointment provides a signature when submitting the form.
Under section 76 of the Strata Titles Act 1978, an individual or co-owner must send a written notice to appoint a proxy. This could apply to a specific motion, meeting, a designated period, or until it is withdrawn.
Your proxy becomes an extension of your voice, keeping you engaged in the ongoing matters. Maintaining open lines of communication is vital to facilitate a seamless appointment and nomination process. Regular updates regarding meetings, discussions, and decisions help your proxy accurately represent your interests when you cannot attend in person.
While proxy voting is convenient for owners who can’t attend meetings, there are some cases where it’s not allowed due to matters around property by-laws, building rules, or state laws. Therefore, it’s essential to check with your strata manager to understand the restrictions that may apply to you.
From the first strata management scheme set up in Australia to 70 years later, we have created an industry-leading team of experts across property types who have the knowledge and experience to help manage your property with care, attention, and a focus on protecting and maintaining its value. Whether you are new to strata management or an active committee member, we have developed an extensive library of resources to assist you. Click here to download our FREE Community Living guide on committee management. For a consultation to review your current by-laws with the Kemp Peterson team, click here. To learn more about our services, click here for a free strata assessment.
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