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Can A Body Corporate Amend Any Scheme Rules?


Can A Body Corporate Amend Any Scheme Rules?

When opening a new sectional title development, the developer is bound to certain management and conduct rules prescribed in the Sectional Titles Act. These include rules regarding the election and remuneration of trustees, voting, improvements and owner meetings. 

Once the scheme is formally ‘opened’ (registration in the deeds office), the body of owners (body corporate) comes into existence and may amend the rules, provided at least 30% of the units are owned by people other than the developer. 

A special general meeting with at least 30 days written notice to members is held and the addition, amendment or repeal of a rule is effected by a unanimous resolution (for management rules) or a special resolution (for conduct rules.) 

Amendments to the rules must be filed at the Deeds Office. 

Source:  STBB Attorneys

Author STBB
Published 20 May 2016 / Views -
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