Voting for Clients at a Strata AGM
This month’s question concerns a matter that can come up for licensees who manage units in strata corporations: being asked to vote at a strata corporation AGM on behalf of their clients. How should you manage this situation when the strata corporation is also a client of your brokerage?
Q: I am a Rental Property Manager. I manage 12 units in a strata corporation on behalf of the owners of those units. They are all “out of town owners” and have appointed me as their proxy to vote on their behalf at the upcoming Annual General Meeting of the strata corporation. I have voted as a proxy for landlord clients in other strata corporations, but I think that this is different as my brokerage also manages the strata corporation.
Am I allowed to be a proxy and vote on behalf of my clients?
A: You are right to suspect that because your brokerage manages the strata corporation, the situation is different.
According to Section 56 of the Strata Property Act, a person who provides strata management services to the strata corporation can only be a proxy if permitted by regulation, and there is nothing in the Strata Property Regulation to permit this – therefore, you are not able to be a proxy.
Here is the relevant section:
Strata Property Act
56(3) The following persons may be proxies:
(a) only if permitted by regulation and subject to prescribed restrictions, an employee of the strata corporation;
(b) only if permitted by regulation and subject to prescribed restrictions, a person who provides strata management services to the strata corporation;
(c) subject to the regulations, any other person.
Because your brokerage is contracted to provide strata management services to the strata corporation, it is not only the specific strata manager for the strata corporation that cannot be a proxy, but every person licensed with the brokerage.
It looks like your out of town owner clients will need to find another proxy voter ahead of the AGM.
For related information, see these RECBC resources:
- Professional Standards Manual, Conflicts of interest when providing rental property management services
- Brokerage Standards Manual, Rental property and strata management services