At a Glance - Owners
- A Director of Condominiums will be appointed to administer the new Act.
Declaration and Description
- The new Act has a more detailed list of items that must be included in the declaration and description documents.
- For new development, minimum voting percentages have been lowered. Existing Corporations may amend their documents to lower their voting percentages.
- Any amendments to the declaration, description and by-laws must now be signed by the Director.
- Corporate records must be kept, including financial records and meeting minutes.
- When the Declarant (developer) no longer owns a majority of the units, they must provide documents to the Corporation.
Board of Directors and Officers
- The Board of Directors must consist of at least 3 people for 4+ units or at least 2 people for 2-3 units.
- The Declarant (developer) shall appoint a certain number of directors if he owns at least one unit.
- The President, Secretary and Treasurer are chosen by the Board of Directors.
- Except for the transition time where the Declarant can appoint Directors, all Directors shall be owners and must be at least 19.
By-Laws and Rules
- By-laws may be changed with at least 60% minimum vote by owners. Check your declaration.
- Condominium Corporations must produce financial statements yearly and file them with the Director.
- Corporations with 11+ units must have the statements reviewed by a professional, as outlined in the regulations.
Funds Held by a Corporation
- Corporations must set up an operating fund and a reserve fund. A contingency fund is optional.
- Large corporations with 11+ units must have a reserve fund study done every 10 years and update it every 3 years. The reserve fund must always have at least the minimum amount recommended in the study. Reserve fund studies are required for new approvals of large Corporations.
- Small Corporations (less than 11 units) do not have to do a reserve fund study, but they must have a reserve fund account that is equal to one year of their operating budget.
- Existing Condominium Corporations have 5 years to complete their reserve studies and/or to get their reserve fund accounts up to the minimum required amounts.
- Two or more Condominium Corporations can amalgamate if they are on neighbouring properties.
- Two or more adjacent units may be consolidated if at least 60% of the owners agree.
- The Corporation must submit proof of insurance for the common elements to the Director every year.
Sale, Re-sale, and Lease of Units
- The first time a unit is sold by the Declarant (developer), a 10-day cooling-off period applies.
- For any re-sale of a unit, the purchaser can request an Estoppel Certificate, which must contain a list of pertinent information.
- For tenancy agreements, the Standard Form of Lease under the Residential Tenancies Act must be used, with the Condominium by-laws and rules attached.
- Referral to arbitration is now an option in the case of a dispute.
- A Corporation may have to pay an administrative penalty of between $1,000 and $10,000 if it does not submit a financial statement, reserve fund study or proof of insurance.
- Developments currently under construction, with a valid building permit before January 1, 2010, do not need to complete a reserve fund study or pay fees to be approved
- A lien under the old Act remains a lien.
- Corporations existing before January 1, 2010, have 5 years to build a reserve fund and those with more than 10 units have 5 years to produce a reserve fund study.
- Section 52 does not apply to agreements of purchase and sale for a Condominium unit, signed before January 1, 2010.