Section 14 MUD's Bill

[Luternau]

I live in a complex with management company limited by guarantee. Residents cannot get directors appointed or removed due to weighted voting (50votes each for company sponsors) The Developer now in receivership and our Mgt Co is effectively controlled by the receiver. Now that section 14 of MUD's is law can residents call an EGM ( 10% of resident votes required under Arts of Assoc) and remove receiver appointed directors and appoint resident directors? Hopefully the law is retrospective in this regard.
All advice appreciated.

 

[markpb]

Hi Luternau,

I think you'll probably need to take a case to the District Court to get the developers weighed vote removed but I'm not completely clear on that. A senior representative from the Civil Law Reform division of the Dept of Justice will be giving a talk to the Apartment Owners Network (www.apartmentowners.ie) this Thursday at 7pm in the Dublin City Council headquarters. He should be able to answer your question.

 

[Luternau]

Thanks Mark
I will be attending this meeting. I was hoping the bill would remove any need to resort to law. The money for such a challenge originates either with-residents own funds or from the service charges. The latter not an option as the directors/receiver would not authorise a budget to challenge their grip on the Co? That's the nub of the issue for us, and I am sure, you are aware if even more developments in a similar position.