Ellington - Bank Apartments [2007] QBCCMCmr 181 (28 March 2007)

Last Updated: 12 April 2007

REFERENCE: 0241-2007

ORDER OF AN ADJUDICATOR

MADE UNDER PART 9 OF CHAPTER 6

BODY CORPORATE AND COMMUNITY MANAGEMENT ACT 1997

Number of Scheme:	30824
Name of Scheme:	Ellington - Bank Apartments
Address of Scheme:	71 Beeston Street TENERIFFE QLD 4006

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

Body Corporate

I hereby order that for the purposes of the Body Corporate and Community Management Act 1997 and pursuant to section 283 of that Act, the next financial year end date of the body corporate for Ellington – Bank Apartments CTS 30824 shall be 30th September 2007 in place of the previous financial year end date. I further order that each successive financial year for the body corporate for Ellington – Bank Apartments, shall commence on 1st October and terminate on the last day of September. In addition I order that a general meeting held on 6th March 2007 purporting to be the annual general meeting for the scheme shall be deemed to be the annual general meeting, notwithstanding that it was not held in accordance with section 58 of the Body Corporate and Community Management (Accommodation Module) Regulation 1997 and it shall not be liable to invalidity for being so held.

STATEMENT OF ADJUDICATOR’S REASONS FOR DECISION - REF 0241-2007

"Ellington - Bank Apartments" CTS 30824

APPLICATION
This is an application dated 20th March 2007 by the body corporate for Ellington-Bank Apartments CTS 30824 (the body corporate) through Strata Solutions (the body corporate manager) for an order that the financial year end for the scheme be changed from 31^st October to 30^th September each year.


JURISDICTION
"Ellington – Bank Apartments" Community Title Scheme 30824 is a subsidiary community title scheme governed by the Body Corporate and Community Management Act 1997 (the Act) and the Body Corporate and Community Management (Accommodation Module) Regulation 1997. There are 73 lots in the scheme.

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 the exercise of rights or powers, or the performance of duties, under the Act. An adjudicator's order may contain ancillary and consequential provisions which the adjudicator considers necessary or appropriate (section 284(1)).

Section 283 of the Act provides that, with the consent of the body corporate, the order of the adjudicator may include a change of the body corporate’s financial year and of the dates when
later financial years begin.


SUBMISSION
The grounds state that the scheme is one of three subsidiary schemes under a principal scheme, "Ellington on Teneriffe" CTS 30676, which has a financial year end on 30^th September. It is proposed to bring all three subsidiary schemes into line with the principal scheme, so that maintenance matters can be dealt with jointly. On 6^th March 2007, the body corporate held its annual general meeting at which motion 19, proposing the change of financial year from 31^st October to 30^th September, was consented to 5 – 0 in favour.

DETERMINATION
I noted that the annual general meeting held on 6^th March was held out of time in accordance with section 58 Accommodation Module which requires that the annual general meeting is held within three months of the end of the scheme’s financial year, ie currently by end January.

On 27^th March 2007 the body corporate manager advised that it had had difficulty in obtaining instructions from an extant committee for the scheme, and that this, combined with the Christmas holidays, had caused the annual general meeting to be held late. In the circumstances that lot owners have not seemed very active in the management of this scheme, and the explanation by the body corporate manager, I shall add to this order that the general meeting held on 6^th March 2007 shall be deemed to be the annual general meeting for the scheme, and not liable to invalidity for the reason of being held out of time.
I am satisfied that the body corporate has consented to the proposed change in the date of the scheme financial year. Section 283 Act couches the order which can be made in the terms of the commencement of future financial years. Thus the current financial year end will be 30^th September 2007, and future financial years will commence on 1^st October.