Condominium Owners Protection Act, 2009 Marchese, Rosario — Bill 186 (39th Parliament, 1st Session)

Bill 186, 39-1

Ontario — Bills

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Bill 186, Condominium Owners Protection Act, 2009

Marchese, Rosario

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[39] Bill 186 Original (PDF)

Bill 186 2009

An Act to amend

various Acts with respect to condominiums

Note:

This Act amends or repeals more than one Act. For the legislative history of

these Acts, see the Table of Consolidated Public Statutes – Detailed

Legislative History at www.e-Laws.gov.on.ca.

Her Majesty, by and with the advice and consent of the Legislative

Assembly of the Province of Ontario, enacts as follows:

Condominium

Act, 1998

1. Subsections

7 (2) to (5) of the Condominium

Act, 1998 are repealed and the following substituted:

Standard declaration

(2) The declaration

shall contain the standard provisions set out in the regulations.

Transition

(3) Any declaration

that is registered on the day the Condominium Owners Protection Act, 2009 comes into force

is deemed to include the standard provisions and if any provision in the

registered declaration conflicts with a standard provision, the standard

provision prevails.

2. (1) Subsection

29 (1) of the Act is amended by striking out "or" at the end of clause (b), by

adding "or" at the end of clause (

c) and by adding the following clause:

(

d) the

person has an affiliation with a declarant that would undermine the person's

ability to act honestly and in good faith in discharging his or her duties as a

director.

(2) Subsection

29 (2) of the Act is amended by striking out "or" at the end of clause (a), by

adding "or" at the end of clause (

b) and by adding the following clause:

(

c) it

is established that the person has an affiliation with a declarant that would

undermine the person's ability to act honestly and in good faith in discharging

his or her duties as a director.

Section

52 of the Act is amended by adding the following subsection:

Disputes

(8) Any dispute

respecting the form or validity of an instrument appointing a proxy may be

referred to the review board established under

Part XIII.1.

4. Subsection 93 (2) of the Act is repealed

and the following substituted:

Purpose of fund

(2) A reserve fund shall be used solely for the purpose

of,

(

a) major repair and replacement of the common elements

and assets of the corporation;

(

b) repair and replacement of common elements following

reasonable wear and tear; and

(

c) installing renewable energy technologies and

other energy efficient technologies.

of the Act is amended by striking out "purpose" and substituting "purposes".

Section 97 of the Act is amended by adding

the following subsection:

Exception

(2.1) No a ddition, alteration, improvement or change shall be made

under subsection (2) if the total cost of the a ddition, alteration, improvement or

change is more than the greater of $1,000 and 1 per cent of the annual budgeted

common expenses for the current fiscal year.

7. Clause 107 (2) (

d) of the Act is amended

by striking out "clause 7 (2) (c), (

d) or (

f) or 7 (4) (e)" at the end and

substituting "section 7".

8. Subsection 125 (2) of the Act is repealed.

9. (1) Subsection 131 (1) of the

Act is amended by striking out "the Superior Court of Justice" and substituting

"the review board designated under

Part XIII.1".

(2) Subsection 131 (2) of the Act is

amended by striking out "court" wherever it appears and substituting in each

case "review board".

(3) Clause 131 (3) (

c) of the Act is

amended by striking out "the court" and substituting "the review board".

(4) Subsection 131 (4) of the Act is

amended by striking out "the court" wherever it appears and substituting in

each case "the review board".

Section 132 of the Act is repealed.

Section 133 of the Act is amended by

adding the following subsection:

Deemed reliance on

misrepresentation

(3) An owner who makes an application under subsection

(2) is deemed to have relied on any false, deceptive or misleading material

statement or material information that the declarant provided under this Act,

unless it is proven that the owner purchased the unit with the knowledge that

the material statement or material information is false, deceptive or

misleading.

12. Subsection 134 (2) of the Act is repealed.

13. Subsection 137 (1) of the Act is amended

by adding "52 (4) or (5)" before "55 (1)".

Section 140 of the Act is amended by

striking out "subsection 7 (2)" in the portion before clause (

a) and substituting

"section 7".

15. Subsection 168 (4) of the Act is

repealed.

16. The Act is amended by adding the

following Part:

PART

Xiii.1

REVIEW BOARd

Review board

175.1

(1) The

Lieutenant Governor in Council shall designate a non-profit corporation

incorporated without share capital under the Corporations Act to be the review board

for the purposes of this Act.

Board of directors

(2) No corporation shall be designated under subsection

(1) whose by-laws do not provide for representation of owners of units on the

board of directors.

Qualifications

(3) No person shall be a director if,

(

a) the

person is less than 18 years of age;

(

b) the

person does not have demonstrable experience and knowledge of homeowner

advocacy and consumer protection issues; and

(

c) the

person has an affiliation with a declarant that would undermine the person's

ability to act honestly and in good faith in discharging his or her duties as a

director.

Objects

(4) Upon its designation, the objects of the corporation

include,

(

a) advising

and assisting the public in matters relating to condominiums;

(

b) establishing

a panel to mediate or arbitrate disputes between,

(

i) a

declarant and a corporation,

(ii) two

or more corporations,

(iii) a

corporation and a unit owner,

(iv) two

or more unit owners, and

(

v) a

corporation and a person for the management of the property;

(

c) disseminating

information for the purpose of educating and advising corporations and unit

owners concerning condominium matters and the financial, operating and

management practices of corporations; and

(

d) assisting

in the formulation and conduct of educational courses for property management.

Deposit

(5) Upon the registration of the declaration and description

of a condominium, a declarant shall deposit the prescribed amount with the

review board, and the review board shall return the deposit once it is

satisfied that all issues and deficiencies identified in the performance audit

under

section 44 have been addressed.

Review officers

(6) The review board shall appoint review officers who

shall perform the duties and exercise the powers given to them by this Act and

the regulations under the supervision of the review board and shall perform

such other duties as are assigned to them by the review board.

Annual report

(7) The review board shall submit an annual report on its

affairs to the Minister, who shall submit the report to the Lieutenant Governor

in Council and shall then lay the report before the Assembly if it is in

session or, if not, at the next session.

Material for filing

(8) Every declarant shall file with the review board the

material set out in clauses 43 (5) (

b) to (

f) prior to the meeting required

under subsection 43 (1).

Not a Crown agency

(9) The review board is not an agent of Her Majesty nor a

Crown agent for the purposes of the Crown Agency Act .

Section 176 of the Act is amended by

adding the following subsection:

No derogation of other rights

(2) The rights conferred by this Act are in addition to

and do not derogate from any other right or remedy an owner or purchaser may

have at law.

18. The Act is amended by adding the

following section:

Fair dealing

176.1

(1) A

duty of fair dealing is imposed on,

(

a) every

declarant in its dealings with a corporation, owner or purchaser; and

(

b) every

corporation in its dealings with an owner or purchaser.

Right of action

(2) A corporation, owner or purchaser has a right of

action for damages against a person who breaches the duty of fair dealing.

Interpretation

(3) For the purpose of this section, the duty of fair dealing

includes the duty to act in good faith and in accordance with reasonable

commercial standards.

19. Subsection 177 (1) of the Act is amended

by adding the following paragraph:

24.1 providing for transitional matters which, in

the opinion of the Lieutenant Governor in Council, are necessary or desirable

in connection

with the implementation of the amendments to this Act made by the Condominium Owners Protection Act, 2009 ;

Ontario New Home

Warranties Plan Act

20. Clause (

c) of the definition of "home" in

section 1 of the Ontario

New Home Warranties Plan Act is repealed and the following

substituted:

(

c) a condominium dwelling unit, including a unit

in a conversion condominium, and the common elements, or

21. (1) Subsection 2 (2) of the

Act is amended by adding the following clause:

(0.

a) serving as a consumer protection agency;

(2) Section 2 of the Act is amended by

adding the following subsection:

Board of directors

(2.1) The composition of the board of directors of the

Corporation shall be in accordance with the following:

1. At least half of the

directors shall have demonstrable experience in consumer protection and advocacy.

2. At least two of the

directors shall have demonstrable experience in representing homeowners, including

condominium owners.

3. One director shall represent

builders.

22. Clause 15 (

a) of the Act is amended by

adding "or a corporation for a conversion condominium" after "a condominium

corporation".

Section 17 of the Act is amended by

adding the following subsection:

Time

(1.1) A conciliation of a dispute shall be completed

within the prescribed time.

Building Code Act, 1992

Section 34 of the Building Code Act, 1992 is amended by

adding the following subsection:

Noise standards

(2.3) Regulations made under subsection (1) are deemed to

require noise protection standards to be reviewed and updated within 12 months

after the day the Condominium

Owners Protection Act, 2009 comes into force.

Commencement and

Short Title

Commencement

25. This Act comes into force six months

after the day it receives Royal Assent.

Short title

26. The

short title of this Act is the Condominium Owners Protection

Act, 2009 .

EXPLANATORY NOTE

The

Condominium Act, 1998 is

amended to require that every declaration contain the standard provisions set

out in the regulations. A duty of fair dealing is imposed on all declarants and

condominium corporations in their dealings with owners and purchasers of

condominium units. The misuse of proxy instruments is made an offence liable to

a fine.

The

Bill amends the Act to permit a corporation to access its reserve fund for the

purposes of installing renewable energy and other energy efficient technologies

and replacing common elements following reasonable wear and tear.

review board is established under

Part XIII.1. The review board's objects

include advising the public on matters relating to condominiums, providing

information to condominium corporations and owners of condominium units on

matters of concern to them and assisting in the resolution of disputes,

including disputes involving the validity of proxy instruments.

The

Bill also contains various amendments to the Ontario New Home Warranties Plan Act .

The definition of "home" is amended to include units in conversion condominiums.

The Bill amends the objects of the Corporation designated under the Act to

include the object of serving as a consumer protection agency. Requirements

are included as to the composition of the board of the Corporation so that at

least half of the directors must have experience in consumer protection and

advocacy, and at least two directors must have experience representing homeowners.

The B

Document details

Collection	Ontario — Bills
Citation	Bill 186, 39-1
Type	bill
Volume / chapter	p39 s1 bill 186 html
Language	en
Format	html
Source	PROVINCIAL
Identifier	d976453dc80f6ca55e6d93a701409df9971410c6

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