Look before leaping -- read the condo rules first!
In a recent entry on the Toronto Neighbourhoods and Real Estate blog Move Smartly, lawyer 
Rachel Loizos offers some wise advice for prospective condo purchasers: "Before you commit to purchasing a condo unit, make sure you have reviewed the rules."
She then lists the rules that most commonly affect purchasers and goes on to say:
The cost for non-compliance can be high as the condo corporation has the right to obtain a court order to force you to comply. You may also get stuck with their legal costs in the matter.
It is worth emphasizing that those legal costs can and often do reach the tens of thousands of dollars. In the recent case of Italiano v. TSCC 1507 (summarized here), the condo successfully pursued a unit owner for violating the noise and nuisance provisions in the condo declaration and rules. In the end, the at-fault unit owner was ordered to pay over $80,000 in legal costs to the condo corporation. This was on top of what the owner had to pay his own lawyer. Ouch!
Purchasers who don't carefully examine the condominium declaration and rules before buying are taking an enormous risk.
One of the things I have always wondered is why real estate agents who sell units in particular buildings never know the condo rules their clients may have to follow if they buy a unit. While I, as a lawyer who reviews status certificates for buyers, do discuss the rules with my clients, many lawyers leave it up to the client to do their own due diligence. It seems to me that if real estate agents did their homework there would be fewer problems such as this. I am happy to see many condominium corporations post their rules on the corporation's website so that there is easy access to the information for both agents and buyers.
Are directors protected against rules and by-laws of the corporation?
ALL potential owners in purchase should be made to sign a distinct separate declaration (via lawyer) that they have personally read and comprehend the Condo Act / Declarations / Bylaws of the Corporation within the designated period - usually 10 days prior to absolute purchase agreement. Too many times I have heard that only the Lawyer was responsible for the review of the status certificate hence the purchaser's ignorance and arrogance.
Also..investment properties purchased should have the same declaration signed by tenant prior to a signature of lease agreement. Guess who has had the neighbours from hell..
If you don't get it ..you can't buy it/rent it..make it LAW