A body corporate wants to pass a special resolution in writing, without holding a general meeting. What is required under the Unit Titles Act 2010?
Correct Answer
B) Signatures from at least 75% of the eligible voters
Section 104 of the Unit Titles Act 2010 lets a body corporate pass resolutions without a general meeting. After notice is given as the regulations require, a written resolution signed by a majority of eligible voters (ordinary) or not less than 75% of eligible voters (special) is as valid as one passed at a meeting. Note that the written route counts all eligible voters, not just those who respond.
Why This Is the Correct Answer
Section 104(3) of the Unit Titles Act 2010 says a written resolution signed by not less than 75% of eligible voters for a special resolution (or a majority for an ordinary resolution) is as valid as if passed at a meeting. Notice must be given in line with the regulations.
Why the Other Options Are Wrong
Option A: Signatures from a simple majority of the eligible voters
A simple majority of eligible voters is enough for an ordinary resolution in writing, not a special one.
Option C: Signatures from every owner of a principal unit
Unanimity is not required; section 104(3) sets 75% of eligible voters for a special resolution.
Option D: Signatures from each member of the committee only
Committee members alone cannot pass a general meeting resolution in writing; the Act counts eligible voters.
Deep Analysis of This Property Law Question
Written resolutions let a body corporate decide urgent or simple matters without a meeting. The question checks that the special-resolution figure (75%) carries over, but counted against eligible voters rather than those who vote at a meeting.
Background Knowledge for Property Law
Most body corporate decisions are made by ordinary resolution (s 101). A special resolution is needed only where the Act says so, for example dealings with common property (ss 56-58), opting out of a long-term maintenance fund (s 117), or approving spending more than 10% over the long-term maintenance plan for an item (s 117(3)). Section 104 allows either kind of resolution to be passed in writing.
Memory Technique
Remember 'seventy-five on paper': a special resolution in writing needs signatures from at least 75% of all eligible voters.
When a question says 'without a meeting', go to section 104: majority for ordinary, 75% for special, counted against eligible voters.
Exam Tip for Property Law
At a meeting the 75% counts those who vote; in writing it counts eligible voters. Unanimity and committee-only options are distractors.
Real World Application in Property Law
A body corporate needs a quick special resolution to grant a drainage easement over common property. The secretary circulates notice and a written resolution, and 16 of the 20 eligible voters sign it. At 80% it passes without a meeting.
Common Mistakes to Avoid on Property Law Questions
- •Using the ordinary-resolution majority for a special resolution
- •Thinking every owner must sign
- •Believing the committee can sign on the owners' behalf
Related Topics & Key Terms
Key Terms:
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