Condo owners in Ontario prepare yourselves because change is on its way. Beginning this fall, condo owners and corporations can expect greater confidence and security in their investment when new rules take effect. Currently, condo owners and corporations have to go through legal courts or hire a mediator in order to pursue property issues – from keeping pets in the building to corporate record access. The need for change and improvement with current legislation becomes inevitable with an ever-growing number of condo residents, condo units and condo corporations in the province. The current resolution process has become expensive for many residents and overly saturated causing it to be ineffective.
How Does This Affect Condo Residents?
Ontario is making progress on its commitment to increase consumer protection in condos and improvements to condo management. The Ministry is introducing a number of new protections under the amended Condominium Act and Condominium Management Services, which will take effect this fall and early 2018. As of November 1st, 2017 Ontario’s 1.6 million condo dwellers will be able to take their disputes to a tribunal under the new provincial legislation. Under the new system, residents will receive mandatory meeting notices, new voting rules, secret ballots, and new disclosure rules requiring directors to declare potential conflicts in the award of condo contracts. These changes include increased protections for condo owners, including improvements to how condos in Ontario are governed and greater transparency and accountability of condo boards.
New Rules For Condo Directors & Managers
As of November 1st, 2017, training for condo directors and licensing for building managers will become mandatory. Board members elected after the effective date will be required to take a 3-hour online starter course. The purpose is to ensure condo directors are equipped with the knowledge and resources to fulfil their role; specifically to improve the overall dispute resolution process, and resolve as many disputes as possible in the early stages.
How Will This Improve Costs?
To put it into perspective, people are spending thousands of dollars through the current process over garbage disposal issues or things on the balcony. Under the new rules, a new three-stage process will cost condo owners and corporations $25 for a preliminary negotiation; $50 if it moves to mediation; and $125 if the case goes to adjudication. These fees are paid by the person bringing the dispute to the tribunal.
Managing Your Property in the Future
The mandatory training won’t apply to condo board members who were elected prior to the implementation of the new rules. However, the property management team and Board members of Central Erin Property Management strongly believe training is a positive and additional skill for any board member. CEPM is committed to providing professional real estate management. We take the stress out of property management, making life easier for the owners and board members.