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“Adapt or die” – amendment of rules

If the Sectional Titles Act is a constant, the Rules are dynamic and designed to adapt to changing needs and circumstances. In this regard, if I may say so, the legislator was a genius.

This ties in neatly with the phrase coined by American jurist Roscoe Pound:  “The law must be stable, but it must not stand still”.

 Section 35 of the Act makes the Management and Conduct Rules of a scheme applicable to all members of a Body Corporate whilst specifically providing that these Rules can be changed to suit the needs of any scheme – this means the average yuppie residential scheme in Bassonia, the laid-back retirement village in Brackenhurst or even the superlative commercial office park i

A commercial body corporate will face day-to-day situations like advertising signage placed on common property or customer parking, so the Conduct Rules will have to address issues unique to this type of scheme. A residential scheme’s Conduct Rules on the other hand, will deal with issues such as what steps an occupant must take if she wants to slaughter a cow to celebrate her daughter’s wedding in terms of customary law, how household refuse must be disposed of or how and when fines will be imposed.

Management Rules on the other hand set out how a scheme is administered, as I’ve mentioned in a previous blog.

The procedure to amend the Rules is set out in the Act and for ease of reference is summarised as follows:

Management Rules

  • 30 days notice by prepaid registered post must be given of the Special General Meeting to pass a Unanimous Resolution to amend or substitute existing management rules;

-New Rules/amendments to accompany agenda for meeting;

-Quorum:80% of all members of Body Corporate must be present in person or by proxy or by representative recognised in law;

– Voting: 100% of all members present (proxies counted) must vote in favour of the amendments or resolution will not pass;

  • New Rules acquire legal force and effect only once lodged with deeds office.

 Conduct Rules

  • 30 days notice by prepaid registered post must be given of Special General Meeting to pass Special Resolution to amend or substitute existing conduct rules.
  • New Rules/amendments to accompany agenda for meeting;
  • Quorum: normal quorum for holding of a general meeting;
  • Voting: 75% of all members present (proxies counted) must vote in favour of new Rules, and votes must be counted in number and by value (participation quota), for resolution to pass;
  • New Rules acquire legal force and effect once they are lodged with deeds office.

And so thankfully the Rules of a scheme allow the “law” to evolve and not simply “stand still”. This is what makes sectional title living so eminently workable provided it is managed properly!

For more information email kbleijs@ibalaw.co.za or call 011 864 5306

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