The Owners Corporation Units Plan 202 v Brudenall & Ors

The case involves The Owners Corporation Units Plan 202 (the applicant) and Brudenall & Ors (the respondents). The applicant sought a declaration that a resolution passed at the 2002 Annual General Meeting (AGM) of the Owners of Units Plan 202 was a special resolution, as well as directions for the amendment of the AGM minutes to reflect this. The dispute centres on the legality of a resolution regarding the costs of maintenance to the exterior of buildings in a mixed class development, and whether it was correctly passed as a special resolution.

The central legal issues before the court were whether the motion in question was indeed passed as a special resolution, and if the absence of the words "special resolution" in the minutes rendered the resolution void. Additionally, the court had to determine whether proper notice of the motion was provided in advance of the AGM. A special resolution requires a 75% majority vote to pass, as opposed to an ordinary resolution which requires a simple majority.

The court found that despite the omission of the words "special resolution" in the minutes, the resolution was indeed passed as a special resolution based on the evidence presented. The court emphasised the importance of the minutes accurately reflecting the proceedings but noted that the omission did not affect the validity of the resolution. Furthermore, the court determined that the notice of the motion was adequate, as it was included in the AGM agenda circulated to unit owners prior to the meeting. The court concluded that the resolution was valid and ordered the amendment of the minutes to accurately reflect that Motion 5 was carried as a special resolution.