Tea Tree Grove at Hendra [2002] QBCCMCmr 670 (12 November 2002)

P J HANLYREFERENCE: 0579-2002

ORDER OF AN ADJUDICATOR

MADE UNDER PART 10 OF CHAPTER 6

BODY CORPORATE AND COMMUNITY MANAGEMENT ACT 1997

Number of Scheme:	28335
Name of Scheme:	Tea Tree Grove at Hendra
Address of Scheme:	139 Pring Street HENDRA QLD 4011

TAKE NOTICE that pursuant to an application made under the abovementioned Act by the Body Corporate

I hereby order that –

(1)	Tim Carrigg of Cambridge Management Services Pty Limited of PO Box 175, Oxenford Qld 4210 is appointed as administrator to call, hold and chair an annual general meeting (“the meeting”) of “Tea Tree Grove at Hendra” within three (3) months of the date of this order for the purpose of -
•	the consideration of motions included on the agenda of the meeting; and
•	the election of committee members.

(2)	The administrator shall hold the appointment for the period beginning from the date of this order until of the close of the meeting ordered.

I further order that within seven (7) days of the date of this order the administrator must give a copy of this order to each person whose name appears on the roll as the owner of a lot in the scheme (“lot owners”).

I further order that –

(1)	For the purpose of calling, holding and chairing the meeting, the administrator shall have all the powers of the chairperson, secretary and treasurer of the body corporate, and of the committee, with the exception of the following powers -
•	to further delegate any of those powers to another person; or

•	to incur any expenditure apart from that necessary for the calling and holding of the meeting, except in regard to expenses that must necessarily be met and are capable of being authorised and incurred by a committee under the legislation.

(2)	The meeting shall be otherwise called and held as an annual general meeting in accordance with the Act, particularly sections 42 and 45 of the Standard Module and all other provisions relating to meetings under Part 4 of the Standard Module.

(3)	The administrator must not give the notice of meeting to owners earlier than twenty-one (21) days from the date of this order.

STATEMENT OF ADJUDICATOR’S REASONS FOR DECISION - REF 0579-2002

“Tea Tree Grove at Hendra” CTS 28335

The applicant, the Body Corporate for Tea Tree Grove at Hendra, has sought the following order of an adjudicator under the Body Corporate and Community Management Act 1997 (the Act), quote -

The appointment of Tim Carrigg of Cambridge Management Services Pty Ltd to call and hold the annual general meeting for the purpose of considering motions included on the agenda of the meeting and the election of the executive and ordinary members of the committee.

Section 223(1) provides that an adjudicator may make an order that is just and equitable in the circumstances to resolve a dispute, in the context of a community titles scheme, about a claimed or anticipated contravention of the Act or the community management statement. An order may require a person to act, or prohibit a person from acting, in a way stated in the order (section 223(2)).

Specifically, without limiting the power of an adjudicator to make an order under section 223(1), an adjudicator may order the body corporate to call a general meeting of its members to deal with stated business or to change the date of an annual general meeting (section 223(3)(p)). Alternatively, the adjudicator may order the appointment of an administrator, and authorise the administrator to perform obligations of the body corporate, its committee, or a member of its committee under this Act or the community management statement (section 223(3)(v)).

The administrator has the powers given to the administrator under the order (section 248(2)). Section 248(3) provides that the order may –

a)	withdraw all or particular stated powers from the body corporate (and any delegate of the body corporate) or from stated officers of the body corporate until the administrator has taken the necessary action to secure compliance with the obligations; and
b)	require officers or delegates of the body corporate to take stated action to help perform the work the administrator is required to perform; and
c)	fix the administrator’s remuneration.

An order appointing an administrator may be the only order the adjudicator makes for an application (section 223(4)(a)). An adjudicator’s order may contain ancillary or consequential provisions the adjudicator considers necessary or appropriate (section 230(1)).

Section 60 of the Body Corporate and Community Management (Standard Module) Regulation 1997 (the Standard Module) provides that an annual general meeting (other than the first annual general meeting) must be called and held within 3 months after the end of each of the scheme’s financial years. A general meeting (which includes an annual general meeting) may be called by a person authorised or required to call a general meeting by an order of an adjudicator acting under the dispute resolution provisions (see section 40(c) of the Standard Module). Moreover, the agenda for an annual general meeting must include the items set out in sections 45(2) and (3) of the Standard Module.

In the supporting grounds, the applicant states that a notice advising of an annual general meeting was prepared and sent to lot owners in early September 2002, for a meeting scheduled for 25 September 2002. The applicant further states that insufficient time was allowed between the sending of the notices and the date of the meeting, and there were other defects, in that the budgets did not accompany the notice, and the statement of accounts was not complete and had not been signed by the auditor. Accordingly, the meeting did not proceed on 25 September 2002. The applicant now seeks the order stated above because the annual general meeting has not been held within 3 months of the end of the financial year, as required by section 60. The applicant advises that the committee is meeting on 13 November 2002, with a view to approving the agenda for the annual general meeting to be held on 10 December 2002.

I note that Tim Carrigg, the person who has been nominated to call and hold the meeting, has been appointed as the body corporate manager for the scheme at an extraordinary general meeting held on 6 November 2002.

In the circumstances, I am satisfied that the appointment is necessary to authorise a person to call and hold the annual general meeting of the scheme, and allow it to thereafter proceed on a proper legal basis.Tim Carrigg of Cambridge Management Services Pty LimitedPO Box 175, Oxenford Qld 42103 nnScheme