What Happens If Your Condominium Corporation Does Not Register With the CAO?

At the CCI-EO Annual General Meeting last night, the following question was asked: What happens if a condominium doesn’t register with the Condominium Authority of Ontario?  We realized this morning that the question was not answered, so we wanted to post a quick blog to answer the question.

As you know, the changes to the Condominium Act, 1998 have created the Condominium Authority of Ontario (“CAO”).  All condominium corporations in Ontario must register with the CAO and pay assessments by December 31, 2017. [Note: Check out our previous blogs for more information about the requirement to register and the proposed fees.  Also, please refer to the CAO website for additional information.]

If your condominium corporation does not register or registers, but does not pay its fees, there are two main consequences:

• The Registrar may make a compliance order against the condominium corporation [Notice of this Order must be given to Owners]; and

• The condominium corporation will not be capable of maintaining a proceeding before the Condominium Authority Tribunal or a proceeding in a court in Ontario except with leave of the Court.

These consequences are severe and can have a wide range of implications for condominium corporations.  For example:

• It could affect an insurer’s right to assert a subrogated claim;

• It can affect the marketability of the condominium corporation; and

• It can affect the condominium corporation’s ability to manage the affairs of the corporation.

In addition to the foregoing, condominium corporations must make additional filings with the Registrar including various returns.  If the condominium corporation is not registered, and thereby does not file its returns, it can be subject to late fees.

In our view, it makes the most practical sense to ensure you register.

In order to register, your condominium corporation needs a unique code.  If your condominium has not yet received a unique invitation code, contact the CAO at info@condoauthorityontario.ca.

Stay tuned to Condo Law News for more blogs about amendments to the Condominium Act and upcoming events .

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Are There Any Exceptions to the Requirements in the New Condominium Act?

As many of our readers know, the new Condominium Act (the “Act”) amendments that are soon to be in effect will create new requirements and obligations for condominiums and their Boards. What our readers may not know is that the amendments also contain some exceptions to these new requirements and obligations.

In this blog, we provide an overview of a few of these exceptions.

  • Notices to be filed with the Condominium Authority

As outlined in an earlier blog, condominium corporations will be obligated to file certain “Returns” and notices with the Condominium Authority, and will in particular be required to notify the Authority of any changes to the membership of the Board.  However, a condominium corporation will not be required to file a notice of change where a director is re-elected immediately following a preceding term of office (see section 9.3(2) of the Condominium Act for this exception).

  • Information Certificates

Condominium corporations will be required to send out certain information certificates (including periodic information certificates, and new owner information certificate).  However, where certain conditions are met, including where 80% of owners have consented in writing to dispensing with the requirement to send such certificates, the condominium corporation may be exempt from this requirement (see section 60(5) of the Condominium Act for this exception).

  • Matters to be adjudicated by the Condominium Authority Tribunal

The Condominium Authority Tribunal will adjudicate most matters that it is requested to consider, except disputes involving:

  • Title to any real property (units or common areas)
  • Easements
  • Occupier’s liability
  • Condominium liens
  • Prohibited activities described in s. 117 of the act., or
  • The constitutionality of any provisions of the Act or Regulations (see generally sections 1.35 – 1.42 of the Condominium Act for these exceptions).

Davidson Houle Allen LLP would like to thank our Articling Student, David Lu, for his contribution in preparing this Blog.

Stay tuned to Condo Law News for other blogs about the amendments to the Condominium Act, and upcoming events.

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Condominiums Must Register With the CAO (Condominium Authority of Ontario) and Pay Assessments by December 31, 2017

Condominiums have started to receive Welcome notices from the CAO.

These Welcome notices outline some important features of the CAO, many of which we have discussed in past blogs, including:

  • Information and resources available through the CAO
  • Dispute Resolution through the Tribunal starting November 1, 2017
  • upcoming Online Mandatory Director Training (which will also be accessible to the public and owners at no charge)
  • Information about the pending public registry of Condominiums

The CAO website now has some comprehensive information as well.

Condominium corporations are reminded to:

  • Register the condominium with the CAO online,  (once you have received a unique invitation code) which will require the following information:

– The type of condominium corporation being registered
– The service address for the condominium corporation
– The number of units and voting units
– The names, email addresses, and terms for condo directors (optional)
– The name, email address and firm (if applicable) for your condo manager (optional)

    • Pay the condominium corporation’s assessment by December 31, 2017

More information is available here on the Registration page of the CAO website.

Stay tuned to Condo Law News for more blogs about amendments to the Condominium Act and upcoming events .


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