Dispute resolution for boards

Disputes with condominium owners

1) Promptly follow-up
The board should promptly follow-up with any owner concerns or complaints brought to its attention. The board should develop a plan to deal with concerns or complaints. Keep detailed board meeting minutes in case the board’s decision regarding an owner’s dispute is ever challenged. If a dispute takes legal action, any written records would be evidence in court.

It is a good idea for the board to involve legal counsel early in addressing concerns or complaints.

2) Gather information
The board should keep a written record of any concerns and complaints, as well as what the board and/or condo manager plans to do to address an owner’s concerns. The condo board should document as much information as possible about the issue including:

• What is the concern?
• Who is involved?
• When did the incident(s) occur?

The board may need to make further inquiries or follow-up with an investigation into the incident(s). If the board needs to hire someone to investigate a matter, it should agree with the owner beforehand on who would be responsible for paying for the service.

3)  Contact the owner
If the board is dealing with an owner breaching a bylaw and the problem continues, the board should send a letter outlining consequences for not abiding by the condominium’s bylaws. If after sending a letter, the problem is not resolved, consider getting legal advice.

The board’s lawyer can help determine the best course of action for proceeding. The lawyer can send a letter to the owner outlining the legal consequences for not abiding with the bylaws.

4) Try to reach a mutual solution
Any solution with the owner should be in writing. If the dispute with the owner continues, keep track of any written correspondence the board has with the owner.

5) Consider dispute resolution options
Mediation or arbitration is available. As a last resort, be prepared to go to court. Always seek legal advice before taking any legal action.

Condominium tenant

Sometimes, a board will have to deal with complaints about a condominium tenant or a tenant’s breach of the condo bylaws. You can read more about bylaw enforcement on our website. Here are some tips for dealing with this situation:

1) Promptly follow-up
The board should promptly follow-up on concerns or complaints regarding tenants. It should keep detailed board meeting minutes in case the board’s decision regarding the tenant is challenged. If a dispute proceeds to course, any written records would be evidence in court.

2) Gather information
The board should keep a written record of any tenant concerns and complaints, as well as what the board and/or condo manager plans to do to address them. The condo board should document as much information as possible about the issue including:

• What is the concern?
• Who is involved?
• When did the incident(s) occur?

3) Contact the tenant and unit owner
Provide the tenant with a copy of the applicable bylaws (if any) and the nature of the complaint. Provide the unit owner with correspondence sent to the tenant, outlining the concerns and copies of any of the bylaws that have been breached.

4)  Try to reach a mutual solution
Any solution the board reaches with the owner regarding the tenant should be in writing. If the board is dealing with a tenant breaching a bylaw and the issue continues, it should send a letter outlining the consequences for not abiding by the condominium’s bylaws and copy the owner.

If the problem is not solved after sending a letter, the board can seek legal advice and have their lawyer send a letter to the tenant, copying the owner. The letter will often contain the legal consequences for not abiding with the bylaws.

5) Consider dispute resolution options
Mediation or arbitration is available. As a last resort, court is available. Always seek legal advice before taking any legal action.

If a unit is being rented out, unit owners are supposed to give the condo corporation notice of the tenant’s name within 20 days of the start of the tenancy. It is a good idea for condo corporations to maintain an updated list of units being rented by their owners, as well as contact information for the tenants and the owners. That way, the condo board can act promptly regarding any tenant breaches of the condominium’s bylaws and immediately notify the tenant and owner of any problems.

Disputes with developer

1) Decide what to do as a board – come together with the board and gather any concerns amongst yourselves and owners

2) Speak to the developer– see if you can reach a mutual solution. Any solutions should be in writing.

3) Write a letter outlining the board’s concerns if you can’t reach a solution

4) If a dispute with a developer escalates or if you cannot reach a solution, consider your dispute resolution options. You may wish to consider mediation or arbitration, or as a last resort, make an application in court. If the developer has engaged in “improper conduct”, then you can make an application in Queen’s Bench. You should always seek legal advice before taking any legal action.

What is improper conduct by the developer?

• Failing to comply with the CPA, its regulation, or the condo’s bylaws.
• Conducting business affairs in an oppressive or unfairly prejudicial way, or in a manner that unfairly disregards the interests of an interested party, purchaser or prospective purchaser of a unit.
• Exercising the powers of the board in an oppressive or unfairly prejudicial way, or in a manner that unfairly disregards the interests of an interested party, purchaser or prospective purchaser of a unit.

Condo manager

If the board is having a dispute with the condo manager, here are some recommended steps to take to resolve the situation:

1) Speak to your condo manager about your concerns. See if you can reach a mutually agreeable solution to the issue.

2) Write a letter to your condo manager. If you are unable to reach a solution in-person, write a letter outlining your concerns and what solution you would like to see. Keep a copy of the letter for your records.

3) Engage in mediation or arbitration. Provided the issue relates to the Condominium Property Act, its regulation, or the condo’s bylaws, you can engage in mediation or arbitration to resolve the issue as long as your condo manager agrees to this dispute resolution method. Find a mediator or arbitrator by visit the ADR Institute of Alberta’s Online Directory.

4) Make an application in court. As a last resort, if you believe your condo manager has engaged in “improper conduct,” you can make an application at the Court of Queen’s Bench for a resolution. This is an expensive option and you should seek legal advice before proceeding.

What is improper conduct by the condo manager?

• Failing to comply with the Condominium Property Act, its regulation, or the condo’s bylaws.
• Conducting the business affairs of the condominium corporation in an oppressive or unfairly prejudicial way, or in a manner that unfairly disregards the interests of an interested party.

Tips

• Keep a record of the dates and times of the issues you’re having. Detail what occurred and if you took any action to resolve.
• Keep a record of the complaints you make and to whom you make them, including copies of any written complaints made.

Service provider or contractor

If the board is having a dispute with a service provider or contractor, here are some recommended steps to take to resolve the situation:

1) Speak to the service provider or contractor about your concerns. See if you can reach a mutually agreeable solution to the issue.

2) Write a letter to the service provider or contractor. If you are unable to reach a solution in-person, write a letter outlining your concerns and what resolution you would like to see. Keep a copy of the letter for your records.

3) Engage in mediation or arbitration. Provided the issue relates to the Condominium Property Act, its regulation, or the condo’s bylaws, you can engage in mediation or arbitration to resolve the issue as long as the service provider or contractor agrees to this dispute resolution method. Find a mediator or arbitrator by visit the ADR Institute of Alberta’s Online Directory.

4) Make an application in court. As a last resort, you can consider making an application at the Court of Queen’s Bench for a resolution. This is an expensive option and you should seek legal advice before proceeding.

Tips

• Keep a record of the dates and times of the issues you’re having. Detail what occurred and if you took any action to resolve.
• Keep a record of the complaints you make and to whom you make them, including copies of any written complaints made.

Other board members

1) Prevent disputes through a written code of conduct and inclusive conduct – It is always a good idea to try to prevent disputes before they occur. For example, your board may wish to establish a written code of conduct and circulate it to all board members. In the code of conduct, you may want to outline rules such as:

• The time limit for each speaker.
• No abusive or insulting remarks.
• No personal attacks.
• No yelling or interrupting when someone is speaking.

Tips

• Your board may also want to have procedures in place to deal with complaints and abuse.
• As regular practice, it is also a good idea to make sure that everyone has a chance to contribute, listen and learn in board meetings.

2) If a dispute arises among board members, taking the time to define interests and mutual goals as a group can often go a long way in resolving them.

3) In dealing with a difficult board member, it is a good idea to address problems as soon as possible in a professional, non-confrontational way. You should always try to establish common ground.

4) Consider your dispute resolution options if disputes continue or escalate: If you cannot resolve an interpersonal dispute on your own, you may want to consider hiring a 3^rd party to help solve a problem (such as a mediator or lawyer).

What if a board member is not fulfilling his or her duties?

1) First, define expectations, mutual goals, rules and tasks
If there is a board member who is not fulfilling his or her duties, it is a good idea to define expectations and make sure everyone is aware of their responsibilities. You should take the time as a board to define your mutual goals, as well rules and tasks for each member

2) Allow some time for correction
It is a good idea to allow the board member an opportunity to correct his or her ways and show what he or she can do.

3) As a last resort, you may want to consider taking steps to remove the board member.