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Now that the Standing Committee on Finance and Economic Affairs has concluded its public hearings and shifts to a line-by-line review of Bill 106 (of which Schedule 2 contains the proposed Condominium Management Services Act, 2015), we hasten to finish our review of the proposed CMSA.

As reported in a previous instalment, obtaining and holding a license is just the first hurdle for condo managers and management providers and is the first round of protection for condo corporations and unit owners.  The CMSA creates a number of new obligations that go a long way to addressing some of the long-standing complaints about condo managers and many common problems.  In this piece, we will summarize the major new obligations for licensees that this bill will create.…
Continue Reading Introducing the Condominium Management Services Act, 2015 — Part 7: New Obligations

Though most condo management firms carry on honourable businesses that well-serve their clients (often under the direct leadership of their top brass who are personally involved in the operations and take ownership of problems), some firms demonstrate little or no commitment to accountability and transparency, whether in their operations or their ownership structure.  The CMSA throws open the curtains by requiring condo management providers to disclose significant information about themselves, their backers and to put forth a specific individual with whom the buck stops.
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Continue Reading Introducing the Condominium Management Services Act, 2015 — Part 6: Transparency and Accountability

In our last piece, we reviewed the threshold for being granted a license as a condo manager or management services provider.  Let’s now explore whether skirting those requirements is possible.

Can someone manage condominiums without a license?

Not legally. Section 34 of the CMSA prohibits unlicensed practice as a condo manager, as follows:…
Continue Reading Introducing the Condominium Management Services Act, 2015 — Part 5: Restricted Practice

Before continuing our exploration of the CMSA, we thank our friends at the Ministry for pointing out that we had misnamed the CMSA in our earlier pieces as Condominium Management Standards Act when the correct name is Condominium Management Services Act.   We have corrected the title and text of the earlier pieces accordingly.

In this fourth part of our review of the CMSA, we review the threshold for being granted a license as a condominium manager or a management services provider.…
Continue Reading Introducing the Condominium Management Services Act, 2015 — Part 4: Threshold

Having set the historical context in part 1 and part 2 of this series, we turn to Bill 106 and the scope of the proposed new CMSA.

What Bill 106 brings

Bill 106 (the Protecting Condominium Owners Act, 2015) was introduced in the Ontario legislature on May 27, 2015.  Schedule 2 of Bill 106 contains the proposed Condominium Management Services Standards Act, 2015 (let’s call it “CMSA”) which will be a completely separate statute from the Condominium Act, 1998.

For clarity, keep in mind that Schedule 1 of Bill 106 contains a myriad of amendments to the existing Condominium Act, 1998.  Because the existing Condo Act will retain its current name, it is technically incorrect to say that we are getting a “new Condo Act.”  Our existing Condo Act is merely getting a whole bunch of minor changes, and we will tackle some of those changes in subsequent pieces.

For now, let’s focus on the CMSA in more detail, beginning with what it covers.…
Continue Reading Introducing the Condominium Management Services Act, 2015 — Part 3: Scope

In this second instalment of our close examination of the proposed new Condominium Management Standards Services Act, 2015, we look at the steps taken by the condo managers themselves to improve standards, forming the genesis of a true self-regulated profession and paving the way for Bill 106 to take root.

Early steps to raise the bar

While condo owners and directors have called for improved standards during the Ontario government’s Condo Act review process since 2012, the loudest and longest call for educated, licensed and regulated condo managers has come from the condo managers themselves.  Their association has been leading by example.…
Continue Reading Introducing the Condominium Management Services Act, 2015 — Part 2: Early Steps

Condo manager licensing and regulation is the focus of our first in-depth examination of the changes proposed in Bill 106 (Protecting Condominium Owners Act, 2015). This is a natural choice considering that manager licensing and regulation constitutes the largest change in our condominium law since 1967, in terms of how condominiums in Ontario are operated, the credentials of the people who operate them and the protections afforded to unit owners.

Of all of the proposed changes set out in Bill 106, none are nearly as profound or as desperately-needed as establishing mandatory qualifications, licensing and regulation for condo managers.

This post kicks off the first of a multi-part series.  We start with the current state of affairs in condominium management and why the time has come for substantial change.

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Continue Reading Introducing the Condominium Management Services Act, 2015 — Part 1: Context

We published a piece last May recommending that condominium corporations enact policies to collect common expenses in an orderly, systematic way. Unfortunately, we continue to see condo boards deliberately delaying the commencement of power of sale proceedings on liened units. Such delay brings added cost, wasted board time, greater hardship on unit owners in trouble and cash flow disruptions.

Aside from poorly-informed boards of self-managed condos, a major cause of problem collections is management agreements requiring the board to instruct management to commence power of sale proceedings on liened units. Whatever the reason behind such clauses, none is compelling and the concept is hopelessly flawed. We say:…
Continue Reading Common expense collections policy redux

It is not a lawyer’s usual role to alert the public about possible crimes being perpetrated by suspected criminals at large, but we feel compelled to do so when police and government fail to take action and leave condominium corporations vulnerable to a rogue.

Boards of small condominium corporations in Halton Region should check whether they have been victimized by potential rogue condo management firm operating in Burlington and surrounding area.

No police charges have been laid and no convictions have been entered, so we cannot name suspects without fear of defamation lawsuits, but we offer this warning as a public service to help condo boards protect themselves against fraud and to take effective steps to recover losses if they have been victimized.

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Continue Reading Fraud Alert: Rogue management firm at large in Halton