Search Results for: Condominium Documents

An estoppel certificate is a statement indicating whether condominium contributions (fees) have been paid.

The following people can make a written request for an estoppel certificate:

• Owner
• Purchaser
• Mortgagee
• Lawyer of the owner, purchaser or mortgagee
• A person authorized by the owner, purchaser or mortgagee

Requests for an estoppel certificate should be made to the management company or to the condo board if the condo is self-managed.

When receiving a written request, the corporation must respond within 10 days by providing a certificate with the following information:

• The amount of the condominium contribution
• The payment schedule
• Any unpaid contributions
• The interest owing on any unpaid contributions

Under the Condominium Property Regulation, there are documents and information that a condominium corporation must provide upon request (by certain people). For example:

• An information statement (“consolidated information statement”) with:
  • Details on any:
    • Lawsuits involving the corporation
    • Judgments or orders that the corporation is liable for
    • Written demand on the corporation greater than $5,000 that may result in a lawsuit
  • A statement outlining or setting out:
    • capital replacement reserve fund amount
    • contributions and how they are determined
    • structural deficiencies known to the corporation at the time of the request
  • Loan disclosure statements for current loans
• Statement about any plan of survey filed or registered on the parcel
• A statement outlining unit factors and how their allocations are determined
• Details or a copy of any existing or prior agreements (management and recreational)
• Details on post tensioned cables
• A copy of the corporation’s budget and annual financial statements
• A copy of the corporation’s bylaws
• For a particular fiscal year, a copy of:
  • All approved general meeting minutes. If unavailable, then draft minutes of general meetings that took place at least 30 days before the request date
  • Approved board meeting minutes
• A copy of any lease or exclusive use agreement on common or real property  (for example, parking stall or storage unit)
• A consolidation of all rules made by the corporation under section 32.1 of the Condominium Property Act
• A list of board member names and addresses for service
• The text of ordinary and special resolutions voted on by the corporation, plus voting results (other than show of hands vote results)
• Copies of professional reports. This does not include reports subject to legal privilege (confidential, client-lawyer information).
• Copies of insurance certificates and insurance policies
• The current standard insurable unit description
• Copies of reserve fund plans, reserve fund reports and annual reports

The following people can make a written request for certain documents and information held by the corporation:

• Owner
• Purchaser
• Mortgagee
• Lawyer of the owner, purchaser or mortgagee
• A person authorized by the owner, purchaser or mortgagee

Upon receiving the request, the corporation has 10 days to provide the documents or information to the requestor. Requests for condominium documents should be made to the management company or to the condo board if the condo is self-managed. The condominium corporation can provide the documents and information in electronic form unless the requestor specifies that they be provided in paper form.

Tip for condo boards: when dealing with requests for information, it is a good idea for the condominium corporation to record details of the request such as the date of the request, the information/documents provided, and the name of the person the information was given to. As well, it is a good idea to verify the identity of any third parties (such as lenders or buyers) making the request.

Tip for condo owners: You may make copies of documents provided under section 44 of the Condominium Property Act and give them to others.

A record inspection is when a mortgagee makes a written request to the condo corporation to inspect:

• Records relating to the corporation’s management or administration
• Minutes of board meetings
• Minutes of owners’ meetings

The mortgagee has the right to inspect the records within 10 days of making the request.

Fees may apply to document requests. The Condominium Property Regulation specifies how much a corporation can charge for fees. There is a maximum fee that condominium corporations can charge for certain documents, for example:

• Estoppel certificates: $200.
• Consolidated information statement: $100
• Any other documents:
  • If the document provided is in hard copy format and is more than 40 pages in length: $0.25 per page
  • If the document provided is in a format other than hard copy or is not more than 40 pages in length: $10

However, the condominium corporation cannot charge owners for information or documents that it must provide (without request) under the Condominium Property Act or Condominium Property Regulation (e.g., financial statements for the AGM). It also cannot charge for information or documents that have not been requested by the person making the request.

 Third party providers can charge fees to deliver documents on behalf of corporations, as long as they meet certain conditions under the regulation. See section 20.53(4) of the Condominium Property Regulation for more information.

A “rush fee” may apply to certain documents requested on a rush basis. For example, if a person requests the following documents  and the corporation produces the document within 3 days of the request (excluding holidays), then the corporation may (if the bylaws allow for it) charge the following fees in addition to the applicable document fees:

• Estoppel certificate: up to $100 rush fee
• Consolidated information statement: up to $50 rush fee
• Any other information or document: up to $20 rush fee

Real estate professionals can help you buy or sell your condominium unit. Some professionals may have a practice that specializes in buying and selling condominiums (as opposed to other kinds of properties).  Interview a few different real estate professionals before hiring one.

In Alberta, real estate professionals can work for the seller, the buyer or both. It is important to understand what kind of relationship you will have with your real estate professional.

Real estate professionals can help you find a property that suits your needs and budget. They can also help you with filling out standard form agreements. However, real estate professionals cannot provide any services that require discretion or judgment, cannot give confidential advice, and cannot advocate on your behalf. All real estate professionals must enter into a written service agreement with you outlining the services they will be providing, their responsibilities, and their fees.

Licensing Requirements

All real estate professionals in Alberta must be licensed by the RECA. You can check a real estate professional’s licence status by searching RECA’s licensing database.

For a list of questions to ask condominium professionals and experts, refer to the CMHC’s resource, Questions to ask advisors and condominium experts.

If you are buying a condominium, you should hire a lawyer as early as possible to assist you in the purchase process. Interview a few different lawyers before hiring one. Ask questions about their experience, areas of practice, and costs. Ensure that the lawyer you hire practices real estate law and ideally, has expertise in condominium law. A knowledgeable, experienced real estate lawyer will be able to answer all of your questions about buying and owning a condominium.

Lawyers can help you with the following tasks:

• Collecting and reviewing documents
• Reviewing and explaining purchase agreement or contract
• Reviewing the certificate of title and identifying any issues
• Reviewing and explaining the mortgage agreement
• Transferring ownership from the seller to buyer

Licensing Requirements

All practicing lawyers in Alberta must have an active membership with the Law Society of Alberta. You can check a lawyer’s membership status by searching the Law Society of Alberta’s lawyer directory.

Document review companies will conduct an objective review of the condominium documents you receive before you buy. A document reviewer will explain what the documents mean and highlight any potential issues you should be aware of before you buy. Document review companies can be used in addition to lawyers but their services are not intended to be a substitute for legal advice and review of documents.

Licensing Requirements

In Alberta, there is no official licensing process for document reviewers. It is important to ask lots of questions before you hire a document reviewer or company. Ask about their background, experience and education. Don’t be afraid to ask them to provide customer references. You can also check your local Better Business Bureau to see if the company has had any complaints filed against it.

Home inspectors can be hired to assess the physical condition of the condominium and identify any issues you should be aware of before you buy. Generally, since the reserve fund report addresses issues with common property, a condominium home inspection is limited to the unit itself. It is important to know what is part of the condominium unit and what is common property so that the home inspector conducts a complete inspection.

For more information, read Service Alberta’s booklet Hiring a Home Inspector.

Licensing Requirements

In Alberta, home inspectors must have a licence from the Government of Alberta. You can check to see if a home inspector or home inspection business is licensed by searching Service Alberta’s database or calling 1-877-427-4088.

A condominium corporation can serve a notice of proposed sanction before it imposes a sanction for breaching a bylaw. The notice must contain certain information such as:

• Unit number associated with the bylaw breach
• Name of person subject to the proposed sanction, if known
• Bylaw provision not complied with
• The rule not complied with (if there is a sanction in the bylaws for not complying with the rule)
• Date and time of non-compliance (if applicable)
• Relevant information on the failure to comply
• Maximum monetary sanction for non-compliance (if applicable)
• Description of corrective or other action, if any
• Deadline for taking the required actions or providing a written response to the notification. This deadline must be at least 3 days (not including holidays) after the service of the notification.

If a person is served with notice of proposed sanction, they must have at least 3 days (not including holidays) to give a written response to the notice or to comply with actions required under the notice.

If the deadline to reply has passed in the notice of proposed sanction and the corporation is not satisfied with the response or actions (if any), then the corporation can impose a sanction:

• On the person named in the notice or proposed sanction or
• If no person is named in the notice of proposed sanction, then:
  • On the owner, if the owner did not provide notice to the corporation of the name of the tenant in possession of the unit or if the owner provided notice that a tenant is no longer in possession of the unit or
  • On the tenant, if the owner has provided notice to the corporation and the owner has not provided a notice that a tenant is no longer in possession of the unit

When imposing a sanction, the notice of sanction must contain the following information:

• The amount, instructions and deadline for payment (for monetary penalties)
• The description, date and time at which the penalty comes into effect (for non-monetary penalties)
• Reasons for issuing the sanction
• Date of the board resolution approving the sanction

If the person who is the subject or a proposed sanction is not the owner, a notice of sanction can be served on the person in a couple of ways, for example:

• electronically as long as the person provided the board with an electronic address
• by personal service
• ordinary or recorded mail addressed to the unit associated with the sanction
• being left with a person apparently over 18 years old at the unit

When imposing a sanction on a tenant, the corporation must give notice of the proposed sanction and notice of sanction to the unit owner.

Service of a notice of sanction is effective:

• When the receipt of recorded mail is signed
• 7 days after the document is sent by ordinary mail or
• 24 hours after the document is sent electronically

The corporation cannot delegate the decision to issue a sanction. But it may delegate other steps involved in issuing a sanction (subject to its bylaws). For example, a corporation can delegate the task of serving notices related to proposed sanctions to a condominium manager or other person. But the corporation cannot delegate the decision to issue a sanction to a condominium manager or other person.

When a person does not comply with a sanction, the condominium corporation can take enforcement steps. The condominium corporation can file an application with the Condominium Dispute Resolution Tribunal (CDRT) or make an application in court to recover from the person the unpaid monetary sanction and/or for damages. A corporation can only take court action if it filed the bylaw(s) with the Land Titles Office.

Tips

• If you are wondering whether a bylaw is legally enforceable, check the condominium additional plan sheet (CAD). Any additions or changes to the bylaws will be on the CAD if they were properly filed.
• A caveat about a monetary sanction or other debt (that is not a contribution) owing to a corporation can be registered against the certificate of title of a unit, but only under a writ of enforcement.

Within 30 days of registering a condominium plan, a developer must appoint an interim board. The Land Titles Office files the names and addresses of interim board members. An interim board holds office until the election of the first board. Interim board members must follow standards of conduct in running the condominium corporation, including:

• Act honestly and in good faith with the best interests of the corporation
• Exercise care, diligence and skill that a reasonable person in similar circumstances would do
• Avoid conflict of interest
• Make reasonable efforts to pursue remedies or claims under warranties or insurance policies in connection with the corporation’s property

A developer or interim board arranging a reserve fund study before a first board is elected must use an independent reserve fund study provider (a provider who is at “arm’s length”).

The developer has 90 days from the issuance date of the certificates of title to units (representing 25% of unit factors –so, once 25% of the units are sold) to hold a meeting of the owners to to elect an owner to the interim board. Owners can hold the meeting if the developer does not do so within this time period.

The elected interim board member does not have the power to vote on anything before the interim board. If the elected interim board member stops being on the interim board, then the developer has 30 days to convene another meeting of the owners to elect a new interim board member.

When registering a condominium plan, the developer has 90 days from the issuance date of the certificates of title to units (representing 50% of unit factors –so, once 50% of the units are sold) to hold a meeting to elect the first board. This meeting is also known as a “turnover meeting”). An owner can hold the meeting if the developer does not do so within this time period.

At the meeting to elect first board, there are a number of documents that the developer and interim board must provide at no charge to the corporation such as:

• Warranties and guarantees on the corporation’s property
• Structural and electrical working drawings and specifications
• Agreements to which the corporation is a party
• Certificates, approvals and permits
• Building assessment report or converted property study (for conversions)
• Any reserve fund report
• Any technical analysis of the units, real and personal property of the corporation or common property (where a converted property study is not required)
• Resolutions
• Minutes
• Other interim board records and documents

Once the first board is elected, the developer or interim board must also provide additional information and documents to the elected board such as:

• Copies of documents or orders as required under other legislation (e.g., Safety Codes Act, New Home Buyer Protection Act)
• Copies of technical documents regarding the condo corporation’s property (e.g., manuals, records of service/repair)
• Copy of the condo plan and redivision plan
• List of interim board members
• Information on owners, mortgagees and tenants
• Copy of any rules made by the board
• Copy of an unsatisfied court judgment or proceedings where the corporation is a party
• Copy of legal or other professional advice
• Copies of any proposed budget, financial statements or tax records
• Copies of records relating to the corporation’s financial institution account holding its funds (e.g., reserve fund and operating funds)
• Copies of legal instruments relating to the corporation’s property (e.g., exclusive possession lease, restrictive covenants, caveats registered against units)
• Copy of the corporation’s insurance policies and certificates
• Copy of any standard insurable unit description (if the first board is elected on or after January 1, 2020)
• A converted property study or building assessment report (for conversion units)

  See section 16.1(1) of the Condominium Property Act and section 20.2(1) of the Condominium Property Regulation for a detailed list of information and documents that a developer or interim board must provide at a meeting to elect first board and to the first elected board.