In a unit title development, the body corporate wants to alter the common property. Unless the Act specifically requires otherwise, how is the decision made?
Correct Answer
B) By ordinary resolution at a general meeting, unless validly delegated
Under section 101 of the Unit Titles Act 2010, body corporate decisions are made by ordinary resolution at a general meeting unless the Act requires a special resolution or the committee has delegated authority. The Act lists specific special-resolution matters, such as selling, leasing or granting easements over common property (ss 56, 58 and 62) and approving maintenance spending more than 10% over the long-term plan (s 117(3)), but it does not require one for alterations to common property generally.
Why This Is the Correct Answer
Section 101 of the Unit Titles Act 2010 says a matter to be decided by the body corporate is decided by ordinary resolution at a general meeting unless the Act requires a special resolution or the committee exercises a delegated authority. The Act does not list alterations to common property among the special-resolution matters.
Why the Other Options Are Wrong
Option A: By special resolution, with 75% of the eligible voters who vote in favour
Special resolutions are needed only where the Act specifies them, such as selling, leasing or licensing common property (s 56), adding to it (s 58) or granting easements over it (s 62). A general alteration is not on that list.
Option C: By unanimous resolution, because every owner shares the common property
The 2010 Act has no unanimous-resolution requirement for common property changes; unanimity was a feature of the 1972 regime.
Option D: By the committee alone, with no general meeting or delegation needed
The committee can decide only matters the body corporate has delegated to it by special resolution (s 108).
Deep Analysis of This Property Law Question
A common exam trap is assuming that anything significant needs a 75% vote. The 2010 Act works the other way: ordinary resolution is the default, and special resolutions apply only where the Act names the matter.
Background Knowledge for Property Law
Section 101 makes ordinary resolution the default for body corporate decisions. Section 97 sets the ordinary-resolution threshold (a majority of eligible voters who vote), and section 98 the special-resolution threshold (75%). Special resolutions are required for listed matters, including dealings with common property under sections 56 to 58, reassessing ownership interests, delegating powers to the committee (s 108), and spending more than 10% over the long-term maintenance plan for an item (s 117(3)).
Memory Technique
Remember 'ordinary unless named': a body corporate decision is an ordinary resolution unless the Act names it as special.
Before choosing 'special resolution', ask whether the Act specifically lists the matter. If not, the default ordinary resolution applies.
Exam Tip for Property Law
Special resolutions attach to specific statutory triggers, not to how big or important a decision feels.
Real World Application in Property Law
A body corporate votes on replacing the tired entrance canopy with a new design. The motion is put as an ordinary resolution at the AGM and passes 11 votes to 7. No special resolution is needed because the Act does not list this kind of work.
Common Mistakes to Avoid on Property Law Questions
- •Assuming any significant change needs a special resolution
- •Carrying over the 1972 Act's unanimous-resolution rules
- •Thinking the committee can decide without delegation
Related Topics & Key Terms
Key Terms:
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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?
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