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Removal of Trustee

By Denise Richards on Thu, 26 Jan 2012 at 05:47

We have 7 trustees. 1 trustee has had differences with the rest. The remaining 6 are now wanting to vote this trustee out.

My questions are:

1. can the 6 trustees simply vote the 7th out at a meeting without serious allegations/complaints against him or must they get approval from owners first?

2. how can this trustee fight to stay on board - he has the support of some of the owners and is handling his portfolio much better than some of the others on board?

Thanks

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RE: Removal of Trustee

John Yates replied on Thu, 26 Jan 2012 at 07:28

Follow.

RE: Removal of Trustee

Myburgh Brink replied on Thu, 26 Jan 2012 at 08:57

Trustees are elected by the members at a General Meeting (Annual or Special) of the BC. The only way to get rid of a trustee is if he is not re-elected or is disqualified i.t.o. PMR 13. The trustees CANNOT "fire" another trustee. So they should either sort out their differences or call a special meeting stating they want to replace a current trustee. In this case that person may be nominated again and if the owners have enough faith in him, he may also be re-elected – which not going to reflect very well on the others.

It is probably because he apparently does a good job and takes his position seriously that the others want to get rid of him for fear of being shown up – it happens regularly in ST where the good ones are seen as the baddies.

RE: RE: Removal of Trustee

Denise Richards replied on Thu, 26 Jan 2012 at 15:07

PMR 13(e) has been quoted to justify his removal. According to the remaining 6 trustees, this entitles them to 'fire' the 7th at a TRUSTEE Meeting that they can call at any time.

The phrase 'general meeting' according to me should refer to an AGM or SGM or meeting where OWNERS are invited and OWNERS vote him off instead of just a meeting amongst the trustees. Am I correct?...Show More

RE: Removal of Trustee

Mike Power replied on Thu, 26 Jan 2012 at 10:36

Hi Denise, The whole reason that you should elect several Trustees, is so that a balanced view can be obtained. Very seldom will you get 7 Trustees to agree on all issues. You should not try and get rid of a Trustee because you disagree on some points.

RE: Removal of Trustee

Gerhard Bezuidenhout replied on Thu, 26 Jan 2012 at 13:23

We have a situation where the 1 trustee sent an attorney's letter requesting details and reasons for this and that - even of records which this trustee could access in terms of the rules. We are talking here of a person who would turn his back on trustees' uninamous resolution and on hindsight then continue to bombard the trustees with letters of confrontation...

Is this an act to the well being of the BC?

RE: Removal of Trustee

Myburgh Brink replied on Thu, 26 Jan 2012 at 15:46

Hi Denise
The trustees should read the FULL text of PMR 13 (e): "if by resolution of a GENERAL MEETING OF THE BODY CORPORATE, he is removed from his office, provided that the intention to vote upon the removal from office has been specified in the notice convening the meeting;" (upper case is mine). Unless your scheme's rules have been amended (which is unlikely) it is only the members who can perform this function. A definition of the BC is, as per § 36 (1), ALL the owners in the scheme. If all your trustees are also owners they together with all the owners form the BC. The trustees are elected officials of the BC to manage and administer the scheme i.t.o. of the STA and Rules and this does not include replacing trustees but only to convene a meeting of all the owners to do this.

RE: RE: Removal of Trustee

Denise Richards replied on Thu, 26 Jan 2012 at 15:55

Thank you :-)

RE: Removal of Trustee

Denise Richards replied on Mon, 30 Jan 2012 at 07:28

I just found out that the 6 trustees have suspended the 7th trustee. Are they entitled to do that? What recourse does the suspended trustee have? They suggested that he call an SGM (at his own cost) but should not the onus be on the 6 trustees that are breaking STA rules to do that? They do not want to call an SGM because the suspended trustee is liked by many owners.

Thanks in advance.

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