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Understanding the concepts of quorum, simple majority and double majority in divided co-ownership

Understanding the concepts of quorum, simple majority and double majority in divided co-ownership

QUORUM

 To be able to open the general meeting of the co-owners, there must be a quorum. The quorum is reached when more than 50% of the votes of all the co-owners present in the room (either because the co-owner is himself present, or because he has  given a proxy).

 

SIMPLE MAJORITY

 Article 1096 of the C.c.Q. says:

 “Decisions of the syndicate, including a decision to correct a clerical error in the declaration of co-ownership, are taken by a majority of the co-owners present or represented at the meeting.

 This means that the decisions of the syndicate (the assembly of co-owners), other than those on the subjects mentioned in articles 1097, 1098 or 1108 of the C.c.Q. are taken by simple majority of the VOTES (equivalent to the percentage relative value of each fraction) of the co-owners PRESENT in the room or REPRESENTED by proxy.

Then:

 1. you proceed with the vote

2. during the counting of the votes, calculate the total ballots IN FAVOUR and the total of the ballots AGAINST

3. calculate the total number of VOTES (according to the relative value) expressed by the co-owners  cast by those IN FAVOUR

4. calculate the total number of VOTES (according to the relative value) cast by the co- owners appearing among the AGAINST

5. in order for the resolution to be adopted it is required that the NUMBER OF VOTES IN FAVOUR be higher than the NUMBER OF VOTES AGAINST

 Thus, this is the procedure for any decision of the assembly other than those specifically covered by articles 1097, 1098 and 1108 of the C.c.Q.

 This is the procedure if you wish to modify the building bylaws (not the constituting act, nor the description of the fractions) , i.e. simple majority of the votes of the co-owners present or represented by proxy.

 DOUBLE MAJORITY

 The majority necessary for decisions of the syndicate covering subjects appearing in article 1097 of the C.c.Q. is often called a “double majority” because there are two criteria to meet in order for the resolution to be adopted.

Article 1097 reads as follows:

Decisions respecting the following matters require a majority vote of the co-owners representing 3/4 of the voting rights of all the co-owners:

  (1) acts of acquisition or alienation of immovables by the syndicate;

 

 (2) work for the alteration, enlargement or improvement of the common portions, and the apportionment of its cost;

 

 (3) the construction of buildings for the creation of new fractions;

 

 (4) the amendment of the constituting act of co-ownership or of the description of the fractions.

 

1st criterion:

 

It is necessary that the majority (more than half IN NUMBER of all the co-owners in the building) vote IN FAVOUR of the resolution. To determine the number of co-owners, it is necessary to count all CO- OWNERS WHO ARE SOLE OWNERS, AS WELL AS THE UNDIVIDED OWNERS (when more than one person owns the property). It is required that the NUMBER OF CO-OWNERS voting IN FAVOUR, be HIGHER THAN HALF IN NUMBER OF ALL THE CO-OWNERS OF THE BUILDING (the total single co-owners and of indivisible co- owners). These people vote either while PRESENT at the assembly or REPRESENTED BY PROXY. If less than the majority in number of all the co-owners of the building do not vote in favour of the resolution, it is useless to proceed with the second stage.

 

2nd criterion:

 

It is necessary that all the people who form the MAJORITY IN NUMBER OF ALL THE CO-OWNERS OF THE BUILDING WHO VOTED IN FAVOUR OF THE RESOLUTION, together hold a MINIMUM OF 75% OF ALL THE VOTES (according to the percentage relative value) OF ALL THE CO-OWNERS. If the number of votes held by the co-owners who form this majority (CO-OWNERS IN FAVOUR) is EQUIVALENT OR HIGHER THAN 75% OF THE VOTES OF ALL THE CO- OWNERS (all the possible votes according to the percentage relative value) then the resolution is ADOPTED. If not, it is REJECTED.

 

NB: The vote can be held as long as there is a QUORUM at the assembly, but it should be understood that the QUORUM is based on the majority of the VOTES PRESENT OR REPRESENTED BY PROXY. It may occur that you have sufficient VOTES PRESENT OR REPRESENTED IN THE ROOM to be able to continue the assembly, but it sometimes occurs that enough of them leave the meeting (people who are tired and leave the room, or for other reasons) which then makes it impossible to obtain a MAJORITY IN NUMBER OF ALL THE CO-OWNERS OF THE BUILDING WHO WILL THEN EXPRESS THEIR VOTE IN FAVOUR OF THE RESOLUTION. If co-owners leave, and do not give a proxy to another person who will remain in the room to vote on their behalf, then the first criterion is not met and the resolution will be rejected in any event.

 

The same process applies to decisions covered by articles 1098 and 1108 of the C.c.Q., adapted as required to the majority specified in these articles.

 

About the author

Me Kevin J. Lebeau, avocat

Diplômé de l'Université McGill (B.A.) et l'Université de Montréal (LL.B.), Me Lebeau est membre du Barreau du Québec depuis 2000.

Depuis 2001, il a exercé en droit immobilier avec concentration en droit de la copropriété dans plusieurs contextes, dont en milieu d'association, en société et en contentieux d'entreprise au sein d'une firme de gestion se spécialisant dans la gestion des copropriétés divise, Gestion Immobilière Ges-Mar Inc. Me Lebeau est également conseiller juridique aux membres d'Avantages Condo.

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