Penticton Herald

Sabotage of proxy

- TONY GIOVENTU

Dear Tony: I was the developer on a recent project and sold the 18 residentia­l units and retained two commercial units as our head office.

We gave notice of the first annual meeting as soon as 50 per cent of the units were sold and have fully complied with the Act.

In addition to the approval of the annual budget, the owners requested a number of bylaws be added to the first AGM to deal with parking, storage lockers and barbeques on balconies. As the developer we agree to add the items to work cooperativ­ely with the strata.

At the first AGM last week, an owner who has been bullying everyone, refused to allow our representa­tive exercise the vote for our two commercial strata lots. She claimed that as the developer we were in a conflict of interest because we still owned units in the strata.

This has occurred before and we understand this is not valid, but would appreciate a column to address the issue of conflict of interest at an annual or special general meeting that may affect voting rights. — CWR

Dear CWR: Denying someone a voting right as a proxy holder for any reason that is not permitted by the Strata Property Act is a serious matter for the strata corporatio­n.

There is no such provision in the Act about conflict of interest. The Act deems a person may be ineligible to vote for a strata lot for two reasons.

It applies a court action specifical­ly against an identified strata lot where that strata lot is not permitted to attend those portions of a meeting where the law suit is discussed and voted on, and if a strata has a bylaw that establishe­s voting eligibilit­y, if the strata is entitled to file a lien against a strata lot. These applicatio­ns may only apply to a majority vote or 75 per cent vote.

Strata councils or managers who are administer­ing the registrati­on desk often believe they have the authority to determine if a proxy is valid or not and whether a person is an eligible voter. They do not.

The chairperso­n whether as the president or vice president of council or elected by the eligible voters present is the only person with the authority to deem whether a strata lot is an eligible voter and whether a proxy meets the requiremen­ts of the Act.

Proxies must be in writing and signed by the person (owner) appointing the proxy. The owner may impose other conditions or directions on the proxy but the strata cannot.

If the proxy or voter is valid because neither of the two earlier conditions apply, the proxy is exercised in the same manner as if the owner was standing there.

It may be helpful to know the bylaws of your strata will not be enforceabl­e because both residentia­l and nonresiden­tial strata lots must separately vote by 75per cent vote to approve new bylaws for a strata corporatio­n.

By denying your proxies and voting rights, not only were your property rights denied, but the strata disqualifi­ed their ability to adopt and register new bylaws.

Any owner may challenge the validity of proxy status or voting eligibilit­y by applying to the Civil Resolution Tribunal.

The Tribunal has the ability to order a strata corporatio­n to do or stop doing something. That could include a requiremen­t for the strata to call new meeting to address the agenda items and respect your voting rights.

Tony Gioventu is executive director of the Condominiu­m Home Owners Associatio­n To offer a question for considerat­ion write: CHOA, Suite 200-65 Richmond St., New Westminste­r, B.C., V3L 595 or email: tony@choa.bc.ca.

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