Serving Ontario's condominium communities since 2008
Condo living is unpredictable and there’s always something new…yet I write about chargebacks, indemnity clauses and Amlani all too often. The law is settled: condos cannot charge back enforcement-related costs – specifically legal letters – without a court order, despite how any indemnification provisions are drafted. As the CAT and Courts have reaffirmed:
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Owners are not allowed to modify the common elements as they please. Though owners have broader rights regarding their individual “units”, the line between “units” and “common elements” can often blur, leading to escalated disputes.
In Carleton Condominium Corporation No. 132 v Newton , an owner installed a new garage door and front slab door…
Parties seeking costs awards from the CAT must understand that the Tribunal has the discretion to award costs: even if a party is entirely successful on their claim, there is no guarantee it will receive its full costs, if any. In January 2022, the CAT published a practice direction which informs the public how the…
Before CAT, condominiums typically brought compliance applications under s. 134 of the Condo Act to force unwilling residents to comply with the Condo Act and the condo’s declaration, by-laws and rules. And beyond ordering compliance with the Condo Act, declaration, by-laws and rules, judges have the broad discretion to “grant such other relief as is…
Being a condominium director is often a thankless job: most condominium directors in Ontario serve on an unpaid volunteer basis to deal with big-ticket items such the corporation’s finances, maintenance and repair and rule enforcement all while inevitably making themselves a target for unhappy owners. Generally speaking, the Condo Act and a condominium’s by-laws requirements…
The current records request procedure under section 55 of the Condo Act has been around for almost four years now. Still, there remains confusion as to how records requests should be processed. One question we often get is whether the board can charge owners a photocopying/labour fee for records and, if so, how much can they charge?
“It depends” is the classic non-answer to this question.…
Continue Reading Condo records: To fee or not to fee? That is the question.
We wrote about condo meetings and election pitfalls in the past (see HERE and HERE) but those articles focused on “what happens at the meeting/election”. A recent Superior Court decision highlights the dangers of poor meeting notices – these meetings were essentially dead before they hit the ground.
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Continue Reading Hell hath no fury like condo scorn: avoiding meeting and election woes
We were recently successful in obtaining a stay from a civil action involving our condominium client and a neighbouring condominium. The two condos were parties to a Reciprocal Agreement and Indemnity Agreement (the “Agreements”) and after a dispute arose with respect to these agreements, our client submitted the issues to mediation and arbitration. The neighbouring condo responded by bringing a civil action against our client where a corporate unit owner (which happened to own 100% of the neighbouring condominium units) was included as a co-plaintiff.
Section 132 of the Condo Act provides that any disputes “pertaining to agreements between two or more condominium corporations deemed to contain a provision submitting the disputes to mediation/arbitration”. The neighbouring condo and corporate unit owner attempted to avoid mediation/arbitration by arguing that their civil action was based on an economic tort and the corporate unit owner was not a condominium corporation that was party to the Agreements.
A Toronto condominium is making headlines after levying a $14 million special assessment. The condo’s 321 units were given 15 days to pay between $30,000 to $42,500. Many residents are seniors who see their units as their retirement home but the condo promised it wouldn’t enforce its liens before April…how generous.
The building needs major structural repairs and its finances are shocking to say the least. Last spring, the condo had a $5,000 operating fund and a whopping $1.75 in its reserve fund. The condo reportedly owes “as much as $9 million in debt” with $8 million owed to private lenders and another $1 million owed to the City of Toronto for unpaid utility charges – the condo pays $80,000 a month on interest alone.
This condo’s dysfunction predates the $14 million special assessment – it is one of the few condos that had a court-appointed administrator. Evidently this condo’s problems could not be solved even with an administrator. This is story should serve as a both a warning and a rude awakening for condos across the province: condominium operations are no joke.
The opening paragraphs to Berman v. York Condominium Corp. No. 99 could not have set up the starting point for an oppression application any better:
The oppression remedy starts by someone having an expectation….But to be actionable at law, a person’s feeling of expectation must also be objectively reasonable. In addition, even if a reasonable expectation is not met, the applicant also needs to show that he has been oppressed, unfairly prejudiced, or unfairly disregarded.
In Berman, the owner complained the condo acted oppressively since it failed to replace his windows when he wanted them replaced. With no evidence that his windows failed or required replacement, the court found he had no reasonable expectation to have his windows replaced earlier than they were. The only reasonable expectation he had was that the board of directors would manage the condominium corporation honestly, in good faith, and with due diligence required by the statutory standard of care in s. 37 (1) of the Condo Act.…
Continue Reading Oppression in condominiums: “Feeling of expectation” must be objectively reasonable
