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Question:
We are having our AGM tomorrow, but one of the owners who has been here for a number of years collects proxies from absent owners to the extent that he can outvote any decision at the AGM.
Is it legal for a person to hold so many proxies? In other words, he has complete control and all the say. It seems immoral to me and against the constitution of the country as it undermines democracy.
Answer:
Unlike some other countries, in South African law there is no limit on the number of proxy appointments that a person can accept.
It is therefore possible for one person to represent a large number of owners in a sectional title scheme at a general meeting which can result in one person effectively being able to control the outcomes of any majority decisions.
I agree with you that this is unfair and I believe the provisions of the Sectional Titles Act 95 of 1986 or the prescribed rules would benefit from the inclusion of a limitation in this regard.
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