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An owners corporation makes a decision or resolution when its members vote. Decisions of the owners corporation may be made by an ordinary, special or unanimous resolution, all of which require different percentages of the total number of votes. Please note that in an owners corporation, votes are allocated according to lots or lot entitlements, not by number of individuals. This means that a person who owns more than one lot has more than one vote. It also means that if a lot is jointly owned, the owners still only have one vote between them.
Resolutions may be made by a meeting or ballot of the owners corporation, a meeting or ballot of the committee, or by a decision of a delegate. Only ordinary resolutions that are not required to be made at a general meeting can be delegated.
The Owners Corporations Act 2006 creates a hierarchy of decision-making power:
- The owners corporation (comprising all the lot owners) retains control of all decision making and matters requiring a unanimous or special resolution, or resolutions that can only be made at a general meeting. Only the owners corporation can overturn an earlier decision of the owners corporation.
- The committee can make decisions requiring an ordinary resolution except those that must be decided at a general meeting. The committee cannot overturn decisions of the owners corporation.
- If the owners corporation has delegated powers to a manager or a lot owner, then the delegate can make decisions. A delegate cannot overturn a decision of the owners corporation or the committee.
- An owners corporation can appoint sub-committees to advise the owners corporation. Sub-committees cannot make decisions.
