Mission Development [2006] QBCCMCmr 739 (20 September 2006)

Last Updated: 29 March 2007

REFERENCE: 0565-2006

ORDER OF AN ADJUDICATOR

MADE UNDER PART 9 OF CHAPTER 6

BODY CORPORATE AND COMMUNITY MANAGEMENT ACT 1997

Number of Scheme:	18526
Name of Scheme:	Mission Development
Address of Scheme:	Mountain View Close MISSION BEACH QLD 4870

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

the owner of lot 4.

I hereby order that Mr Jim Spencer of Cairns Body Corporate Management is appointed as Administrator to call, hold, and chair an annual general meeting of the Mission Development Body Corporate within 3 months from the date of this order. I further order that the Administrator shall issue a notice of the meeting in accordance with sections 42(1), (2) and (3) of the Body Corporate and Community Management (Standard Module) Regulation 1997 (the Standard Module) and except as provided in this order, the meeting must be called and held in accordance with the Act and the Standard Module. I further order that for the purposes of calling and chairing the meeting, the Administrator shall have all the powers of 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; and To incur any expenditure other than expenses are reasonably necessarily and are capable of being authorised and incurred by a committee under the legislation. I further order that the Administrator shall prepare an agenda for the meeting, including the matters set out in section 62(3) of the Standard Module and a motion for the appointment of a body corporate manager. I further order that the Administrator shall allow body corporate members reasonable access to all body corporate records held by him.

STATEMENT OF ADJUDICATOR’S REASONS FOR DECISION - REF 0565-2006

"Mission Development" CTS 18526

Mission Development is a subdivision of 5 lots on a Standard format plan. The regulation module applying to the scheme is the Body Corporate and Community Management (Standard Module) Regulation (Standard Module).

The applicant is seeking a declaratory order that Mr Jim Spencer of Cairns Body Corporate Management be appointed as Administrator to call an annual general meeting of the scheme and ensure compliance with the Body Corporate and Community Management Act 1997.

BACKGROUND

The applicant states that the Body Corporate has not been meeting its statutory requirements and has never held an Annual General Meeting. Members of the Body Corporate have approached Mr Jim Spencer of Cairns Body Corporate Management to act as Administrator to call an annual general meeting of the scheme and to thereafter act as body corporate manager.

Attached to the application is a letter from Mr Jim Spencer of Cairns Body Corporate Management consenting to appointment by an order of the Commissioner to convene an Annual General Meeting.

JURISDICTION

Section 276(1) of the Act provides that an adjudicator may make an order that is just and equitable in the circumstances (including a declaratory order) to resolve a dispute, in the context of a community titles scheme, about-
(a) a claimed or anticipated contravention of the Act or the community management statement; or
(b) the exercise of rights or powers, or the performance of duties, under the Act or the community management statement; or
(c) a claimed or anticipated contractual matter about-
(i) the engagement of a person as a body corporate manager or service contractor for a community titles scheme; or
(ii) the authorisation of a person as a letting agent for a community titles scheme.

An order may require a person to act, or prohibit a person from acting, in a way stated in the order (section 276(2)). An adjudicator's order may contain ancillary and consequential provisions the adjudicator considers necessary or appropriate (section 284(1)).

Specifically, 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 (see Schedule 5 Adjudicator’s Orders) or 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.
The Administrator has the powers given to the Administrator under the order (section 248(2)).

An order appointing an Administrator may be the only order the adjudicator makes for an application (section 276(4) (a)). An adjudicator’s order may contain ancillary or consequential provisions the adjudicator considers necessary or appropriate (section 284(1)).

Section 60 of the Body Corporate and Community Management (Standard Module) Regulation 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. Moreover, the agenda for an annual general meeting must include the items set out in section 42 of the Standard Module.

DETERMINATION

Having regard to the above, at this point in time I propose to make the following orders:

1. That Mr Jim Spencer of Cairns Body Corporate Management is appointed as Administrator to call, hold, and chair an annual general meeting of the Mission Development Body Corporate within 3 months from the date of this order.

2. That the Administrator shall issue a notice of the meeting in accordance with sections 42(1), (2) and (3) of the Body Corporate and Community Management (Standard Module) Regulation 1997 (the Standard Module) and except as provided in this order, the meeting must be called
and held in accordance with the Act and the Standard Module.

3. That for the purposes of determining the future financial years of the Body Corporate, the end of the financial year shall be the last day of the month immediately preceding the month in which the anniversary of the meeting authorised by this order falls.

4. That for the purposes of calling and chairing the meeting, the Administrator shall have all the powers of 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; and
To incur any expenditure other than expenses are reasonably necessary and are capable of being authorised and incurred by a committee under the legislation.

5. That the Administrator shall prepare an agenda for the meeting, including the matters set out in section 62(3) of the Standard Module and a motion for the appointment of a body corporate manager.