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CORPORATION DOCUMENTS & ENFORCEMENT
It is important that boards and managers be familiar with different codes such as the Human Rights Code and/or other related codes that may come before them in response to enforcing the rules of the Corporation. Where necessary, legal counsel is recommended so that there is no unreasonable action. The Tribunals have the jurisdiction to consider the provisions of the Code in the context of matters properly before them
It is interesting to note that some of the disputes reviewed have been linked to disagreements to the corporation ’ s documents and enforcement issues and practices. One of the most important lessons learned from reviewing cases, is the need to be familiar with the corporation ’ s governing documents, followed by a seriousness to create clarity in every ruling that residents are expected to follow. Section 17(3) of the Act sets out the duty of a corporation to ensure owners and occupiers of units comply with its governing documents. The corporation has a duty to take all reasonable steps to ensure that the owners, the occupiers of units, the lessees of the common elements and the agents and employees of the corporation comply with this Act, the declaration, the by - laws and the rules. Section 119(1) of the Condominium Act, 1998 sets out the requirement that owners and occupiers of units comply with the Act, the declaration, by - laws and the rules of a corporation. It has been made more than clear, that language or wording in any of the corporations ’ governing documents should be clear, concise, reasonable, and in accordance to the Condominium Act, and the governing documents (declaration, by - laws and rules). Where there could be any exemptions from a rule, the board and residents must be clear of any procedure for considering exemptions in support of accommodation to any Code - related needs. Ontario Human Rights Code – duty to accommodate is not a free - standing obligation under the Code. It is not to accommodate individuals ’ preferences. The OHRC Policy summarizes the Code as follows: The Code “ protects people in Ontario with disabilities from discrimination and harassments under the ground of ‘ disability ’. The protection extends to specific areas of daily life including “ housing ”, “ receiving services ” or “ using facilities ”.
RECORDS
In accordance with section 55 (1) of the Act, it is the corporation, and not its condominium management provider (although they may also keep adequate records as required by the management contract) which is responsible for the maintenance of its records. Identification of Core records vs Non - core records can be found here: https://www.condoauthorityontario.ca/wp - content/ uploads/2021/07/Core - Records.pdf
https://www.condoauthorityontario.ca/wp - content/ uploads/2021/07/Non - Core - Records.pdf
When requesting records of board meetings, it can be unclear how many board meetings were actually held during a relevant period, or if some of the Corporation ’ s business was transacted outside of board meetings (an issue over which this Tribunal has no jurisdiction), However, there can be evidence that the board made significant financial decisions which should have been properly recorded it in the minutes. Adequacy of records relate to the open book principle at the core of the Act – to establish that the financial records of the condominium corporation must enable an owner to gain a true understanding of the corporation ’ s finances. There is a difference between an individual owner ’ s assessment of adequacy and an objective assessment based on the Act.
What can be learned?
Where rules are made or amended by the board– it is recommended they be reviewed by legal counsel so that they are reasonable and consistent with the Act, the declaration and by - laws of the corporation and that the wording has clarity BEFORE notice is given to owners. Ambiguity undermines reasonableness where unit owners and residents may be subject to a constant state of uncertainty and insecurity about the meaning of, and their ability to comply with, those rules Consistent and documented enforcement by the corporation is necessary. Documentation will be required in the event of a dispute.
MEETINGS AND MINUTES
The Act is clear that the corporation ’ s business must be conducted through board meetings, and that the corporation must keep adequate minutes of meetings. Section 32(1) of the Act states that the board of a corporation shall not transact any business of the corporation except at a meeting of directors at which a quorum of the board is present. Section 55(1) of the Act states that the corporation shall keep adequate records, and specifically lists a minute book containing the minutes of board meetings as a required record. Condo business cannot be conducted by individual directors or the entire board outside of a board
CCI Review 2021/2022 - 4 May 2022 Page 22
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