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Developers Rights

By Tinus . on Mon, 27 Feb 2012 at 08:58

Please advise. Does the developer have any voting rights on units not yet built in a developing Sectional Scheme. E.g. 56 units out of the proposed total of 150 units have been built. The developer stopped building for 2 years and is yet to commence with the last phases. Does he have voting rights (PQ) on the remaining (not yet built) 94 units. Lastly, is the quorum calculated on the total units as per original sectional register with all 150 units or is it only calculated on the amount of units already built. If he has in fact have voting rights can the last AGM (and decisions taken, contracts signed) be annulled if the quorum was only calculated on 56 units.


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RE: Developers Rights

John Yates replied on Mon, 27 Feb 2012 at 10:39


RE: Developers Rights

Swazi Coetzee replied on Mon, 27 Feb 2012 at 13:11

1.The quorum is based on the total units/owners registered at the Deeds Office.

2.Please see Section 37(1)(bA) of the S.T.Act to see that the Developer must make reasonable contributions to the fund as may be necessary to defray costs of rates and taxes,insurance and maintenance etc. of parts of the common property affected by the reservation reserved in Section 25(1)

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