Tugun South [2011] QBCCMCmr 40 (8 February 2011)

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

I hereby order that The Small Block Strata Co Pty Ltd (appointee) is authorised to call, hold and chair an annual general meeting (meeting) of the body corporate for Tugun South.

I further order that this authorisation:

Commences on the date of this order and ceases within three months or upon the conclusion of the annual general meeting, whichever is sooner.
Allows the appointee to perform obligations of the committee or any member of the committee in respect of the calling, holding and chairing of the meeting. In particular, the appointee is to prepare proposed budgets for adoption by the body corporate at the meeting, submit motions as reasonably necessary, and prepare the minutes of the meeting; and
Is subject to the appointee, as far as practicable, following the procedures in the Small Schemes Module governing giving notice for and holding an annual general meeting. However, the holding of the general meeting need not coincide with the end of financial year date of the body corporate.

I further order that the appointee is authorised to set a special levy if necessary for its payment of $385 for completing the appointment in compliance with this authorisation.

Tugun South (Tugun South) is a two lot scheme under the Body Corporate and Community Management Act (Act) and the Act’s Small Schemes Module Regulation (Small Schemes).

The applicant seeks two orders. Firstly, that the exclusive use area be changed. Secondly, that an administrator be appointed.

There are no legal grounds provided that would support an order from an adjudicator to require the exclusive use area or fence to be changed. This issue has already been considered as part of an application by an owner of the other lot in the scheme.[1]

However, the applicant has provided statements that indicate the scheme is not functioning according to the legislation.

A copy of the application has been sent to the owners of the other lot in Tugun South. These owners do not deny that the scheme is not operating in accordance with the legislation.

I am satisfied from the submissions that the scheme is not currently operating in accordance with the legislation. The legislation requires that the scheme have a committee. This committee should consist of two individuals. These individuals will represent each lot and jointly hold the positions of secretary and treasurer unless they agree otherwise (Small Schemes 12(4)). Annual general meetings must be held within three months after the end of each of the scheme’s financial years (Small Schemes, 31).

In this case the applicant has proposed that The Small Block Strata Co Pty Ltd (appointee) be appointed to place the affairs of the body corporate back on a proper legal footing.

I am satisfied that it is appropriate to grant an order authorising the appointee to call, hold and chair the meeting. The appointee is entitled to perform obligations of the committee or any committee member in this respect and those actions will be taken to be actions done by the committee or member (Act, 278). In calling this meeting, the appointee should follow the legislative procedures as far as practicable. However, the meeting should be called immediately rather than waiting for the end of financial year of the body corporate.

The authorisation is limited to allowing the appointee to call the meeting within a three month period. If owners want the continuing assistance of the appointee as a body corporate manager throughout the year then a motion proposing appointment of the management company to provide administrative assistance as body corporate manager will need to be put to the meeting and adopted by owners.

Number of Scheme:	27023
Name of Scheme:	Tugun South
Address of Scheme:	14 Maud Street TUGUN QLD 4224

Queensland Body Corporate and Community Management Commissioner - Adjudicators Orders

Tugun South [2011] QBCCMCmr 40 (8 February 2011)