Short answer
A general meeting needs a quorum to make binding decisions. In NSW the quorum is not less than one-quarter of the persons entitled to vote, present in person or by proxy. If a quorum isn’t reached within half an hour, the meeting is generally adjourned.
How the quorum is measured
Under NSW strata law a quorum is present only if not less than one-quarter of the persons entitled to vote on the motion or election are there — either in person or by a duly appointed proxy. The Act also allows quorum to be worked out by reference to unit entitlements in some situations, but the one-quarter-of-eligible-voters test is the usual measure.
Only owners who are entitled to vote count toward quorum — an owner in levy arrears whose vote wouldn’t count generally doesn’t help you reach it.
What happens if there’s no quorum
If a quorum isn’t present within half an hour after the meeting (or the relevant item) is due to be considered, the chairperson generally must either adjourn the meeting for at least 7 days, or declare those present who are entitled to vote to be a quorum so the business can proceed. Either way, the scheme can’t simply plough on as though a full quorum existed.
Reaching quorum in a small scheme
Small schemes are where quorum bites hardest — get one owner short and the meeting stalls. Collecting proxies in advance is the usual fix, since a proxy holder counts toward the one-quarter count.
Making quorum without a manager
Knowing who’s eligible, chasing proxies before the meeting, and confirming the one-quarter threshold is met is exactly the admin a self-managed committee tends to leave too late. Straita tracks who’s entitled to vote, gathers proxies ahead of time, and confirms quorum at the meeting — so a self-managed scheme’s decisions aren’t voided for want of a valid quorum.
Primary sources
- Strata Schemes Management Act 2015 (NSW) — quorum at general meetings, not less than one-quarter of persons entitled to vote, and adjournment where no quorum (Schedule 1).
- NSW Government — Strata schemes (Fair Trading) — strata meetings and quorum.