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Property LawUnit Titles Act 2010level4EASY

Under the Unit Titles Act 2010, what does an ordinary resolution need to pass at a general meeting when no poll is requested?

Correct Answer

A) More than 50% of the eligible voters who vote on the resolution

An ordinary resolution under the Unit Titles Act 2010 requires more than 50% of the votes of those unit owners present and voting at the meeting. This is the standard voting threshold for most routine body corporate decisions.

Answer Options
A
More than 50% of the eligible voters who vote on the resolution
B
75% of all unit owners, whether or not they attend or vote at the meeting
C
Two-thirds of the eligible voters who vote on the resolution
D
The agreement of every owner of a principal unit in the development

Why This Is the Correct Answer

Section 97(4) of the Unit Titles Act 2010 says an ordinary resolution passes if a majority in number of the eligible voters who vote on it vote in favour, with one vote per principal unit. It remains subject to a poll under section 99.

Why the Other Options Are Wrong

Option B: 75% of all unit owners, whether or not they attend or vote at the meeting

75% is the special-resolution figure, and it is counted among those who vote, not all owners.

Option C: Two-thirds of the eligible voters who vote on the resolution

The Act has no two-thirds threshold for body corporate resolutions; that figure comes from other regimes.

Option D: The agreement of every owner of a principal unit in the development

Unanimity is not required for an ordinary resolution. The Act replaced the old unanimous-resolution requirements with special resolutions.

Deep Analysis of This Property Law Question

Ordinary resolutions are the default decision-making tool of a body corporate: under section 101 any matter is decided by ordinary resolution unless the Act requires a special resolution or the committee exercises delegated authority.

Background Knowledge for Property Law

Under the Unit Titles Act 2010 each principal unit has one vote (s 97(2)). An ordinary resolution needs a majority in number of the eligible voters who vote (s 97(4)); a special resolution needs 75% of them (s 98(4)). On a poll, votes are weighted by ownership interest (s 100). Changes to operational rules are made by ordinary resolution (s 106), and resolutions can also be passed in writing without a meeting (s 104).

Memory Technique

Remember 'Ordinary = over half of those who vote; Special = seventy-five of those who vote'. Owners who stay home or abstain are not counted.

For unit title voting questions, first decide whether it is ordinary or special, then count only the eligible voters who actually vote on the motion.

Exam Tip for Property Law

The Act counts 'eligible voters who vote on the resolution', which includes postal and electronic voters. Options based on all owners or on two-thirds are distractors.

Real World Application in Property Law

At the annual general meeting of Harbour View Apartments, 40 of 60 unit owners attend. The body corporate needs to approve a new cleaning contract (ordinary resolution). Of the 40 present, 25 vote in favour, 12 vote against, and 3 abstain. The resolution passes because 25 out of 37 voting (67%) exceeds the required 50%. The 3 abstentions and 20 absent owners don't count against the resolution, allowing efficient decision-making for routine body corporate business.

Common Mistakes to Avoid on Property Law Questions

  • β€’Confusing ordinary (50%) with special (75%) resolution thresholds
  • β€’Thinking the percentage applies to ALL unit owners rather than those present and voting
  • β€’Including abstentions in the vote count when they should be excluded

Related Topics & Key Terms

Key Terms:

ordinary resolutionUnit Titles Act 2010body corporatepresent and voting50 percent threshold
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