Community scheme AGM guide: Quorum, levies & legal compliance

Hosted by Pippa Hudson on Cape Talk on 13 April 2026

For more information please contact us on 061 536 3138 or email us as info@tvdmconsultants.com.

During the lunch time show on Cape Talk, Pippa Hudson, Zerlinda van der Merwe (Director and Co-Owner) and Sarah Sydenham (Community Schemes Consultant) discussed how AGMs for community schemes are essential for approving budgets, levies, and electing trustees.

This discussion covered:

  • quorum,

  • attendance,

  • preparation, and

  • what happens if meetings aren’t properly called or conducted.

  • Zerlinda (co-founder and director of TVDM Consultants) and Sarah Sydenham discuss Annual General Meetings (AGMs) for community schemes, noting that it is currently AGM season and many bodies corporate must hold their meetings within four months of their financial year-end.

    They explain that AGMs are essential meetings where owners make key decisions, including approving budgets and levies, electing trustees, and addressing important projects or rules. Attendance is often low, despite the importance, which can lead to quorum issues, requiring at least 33.3% participation. If a quorum isn’t met, an adjourned meeting can proceed with very few attendees.

    Owners are encouraged to attend or send proxies, as decisions made at AGMs have significant financial and operational impact. Proper preparation is crucial, including following the prescribed agenda and ensuring all necessary documents are included, otherwise decisions may be invalid.

    If trustees fail to call an AGM, owners can request one (with 25% participation), though this can be difficult in practice. After meetings, accurate minutes must be distributed within seven days, capturing decisions clearly rather than verbatim discussions, as they serve as legal records.

    Finally, trustees must formally certify and communicate any levy increases within 14 days after the AGM.

    Key takeaway: AGMs are legally important, require proper process and participation, and directly impact all owners, so involvement is essential.

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Legal Talk: Dispute resolution in community schemes