Document ID: chunk:federal_register_of_legislation:F2021C01045:body:0:p8
Version: federal_register_of_legislation:F2021C01045
Segment Type: other
Provision Reference: 
Character Range: 16975–19603

in paragraph (f), a majority of scheme members may then at any time name a replacement operator by a written notice, to whom the operator must transfer the management rights at a price set out in the notice and the notice will be taken to be given in accordance with paragraph (b).
(h) Paragraphs (e) to (g) do not apply if the body corporate or a majority of body corporate members agree in writing to the transfer to the person named in a notice under paragraph (b) or (g) before that notice is given to the operator.

    Price payable on transfer
(i) The price specified by scheme members in a notice under paragraph (b) must be one of the following:
(i) the average of two valuations of the management rights by independent qualified valuers nominated by the Australian Property Institute (or another relevant independent professional body approved by ASIC); or
(ii) the highest bona fide bid for the management rights (excluding a bid by the operator or its associates) at an auction of which at least 60 days' notice had been given; or
(iii) the highest bona fide amount tendered (excluding any tender by the operator or its associates) for the management rights following reasonable efforts to market the property for at least 60 days.
    Voting
(j) In working out if there is a majority of scheme members or body corporate members, the operator and its associates and any person nominated as a replacement operator and associates of that person must not be counted.
(k) For scheme members, a majority is based on their entitlement to vote at body corporate meetings if there is a body corporate for the property to which the scheme relates, and otherwise each member shall have one vote.
(l) For body corporate members, a majority is based on their entitlement to vote at body corporate meetings.
(m) A scheme member or a body corporate member makes a decision by signing a document that sets out the decision.

    Costs
(n) Any member may arrange a valuation or auction of, or may market, the management rights before or after the expiration of the 9 month period referred to in paragraph (a) for the purposes of setting a price to be specified in a notice under paragraph (b).
(o) If a member incurs any reasonable valuation, auction or marketing costs under paragraph (n) that member is entitled to be reimbursed out of the price payable by any person nominated by the members as transferee of the management rights when the price is paid to the operator.

    Assistance
(p) The operator must give reasonable assistance to enable the transferee to operate the resort, hotel, motel or serviced apartment complex