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    Home»Property»Proxy limitation killing effective management 
    Property

    Proxy limitation killing effective management 

    The Free StaterBy The Free StaterSeptember 18, 2022No Comments3 Mins Read
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    I am sure that you are aware of the limitation of two proxies per physical person attending a sectional title meeting.

    But are you aware that both the giver and receiver of the proxy must sign the proxy?

    The reality of the situation is that it is near impossible to get properly signed proxies when one needs to authorise someone to act on their behalf.

    Obviously, this was thought up by some government official that has nothing better to do.

    My understanding is that it was put into place to avoid one or more of a small number of owners collecting proxies in order to make changes to suit them.

    In my mind this requirement actually does the total opposite and allows one or a small number of owners to rule the majority. 

    Think of it from a legal and practical point of view:

    ·        An owner who wants to give a proxy must know other owners in the building or complex and have their contact details. (Is it permissible under the Protection of Personal Information Act?)

    ·        That other owner must intend to attend the meeting in person

    ·        That owner must have no other proxies at that stage

    ·        That owner must be prepared to take your two proxies

    ·        You must complete and sign your proxy and get it to him (many people don’t have scanners at home) to do the same

    ·        He must receive the proxy and sign it

    ·        The proxy must be given to the managing agent/chair of the meeting

    Some of our buildings are 670 units in size and I need 33.3 percent of the people there, ie, 224 owners.

    Not only that, but they must have more than 33.3 percent of the participation quota of the building.

    Firstly, I don’t have space for 224 people in my office.

    Secondly, the owners don’t know each other and certainly don’t know how to contact each other.

    Sounds simple but getting the form from one person to the other and then to the meeting is not so easy to do.

    The chances of having a quorum: near zero. 

    This means that nearly every meeting will be postponed to the following week (we are actually booking meetings for the following week as a matter of course).

    But the joke is while a quorum is 224 owners at the postponed meeting whomever turns up is the quorum.

    Just two people can decide for 670 owners – which to my mind is just the opposite of what this clause was intended to do. 

    Those that did attend are punished by having to come back a second time if they want to influence decisions, while those that cancelled the meeting by not attending get off scot-free.

    It costs the body corporate a lost meeting fee every time.

    ·        Mike Spencer is the founder of Platinum Global, a professional associated property valuer and consultant with work across the country as well as Eastern Europe and Australia. mike@platinumglobal.co.za

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    The Free Stater is an independent English-language newspaper published in and for the Free State province of South Africa that offers authoritative and trusted journalism cutting across various quality-of-life issues.

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