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How Condos Work

Policies for condominium living

Condo boards can have policies to support their corporation’s daily operations. Policies outline how the corporation  will handle various situations and what owners and residents can expect.

Condo corporations may be required by other legislation to develop specific policies when certain conditions are met, such as a workplace violence and harassment policy.

Summary

  • Policies guide daily operations of condo corporations
  • Policies are not part of the condo’s governing documents
  • Policies may not be enforceable
  • Policies may be adopted and amended by the board of directors without notifying or involving owners

What can policies do?

Policies can be used to complement a condo corporation’s governing documents. In addition to outlining procedures for various situations, they can also clarify how a corporation will enforce provisions found in the governing documents. However, they cannot be used solely to impose restrictions in a condo community, as only the governing documents can govern a condo community.  

For example, a condo corporation may have a no smoking rule and a related policy that explains how it enforces compliance with that rule. If the corporation does not have a no smoking rule, but wants to restrict smoking on the property, it will need to consider amending the declaration or rules, instead of creating a policy to do so.

The Condo Act does not include any reference to policies, which means that policies are not a governing document and cannot be used to govern a condo corporation. Although, condos do have a legal right and responsibility to ensure compliance with its governing documents, the corporation may not have the same authority to enforce compliance with its policies.

Condo corporations have a duty to ensure compliance with the corporation’s governing documents under section 17 (3) of the Condo Act.


Creating and amending policies

Boards can create or amend policies without involving owners, unless the governing documents or a specific policy state otherwise.

Owners that want their condo corporation to implement or change a policy should discuss their request with the board of directors.  

Owners must be notified or involved when changes are proposed to a condo’s governing documents:

  • Declaration: Written consent from 80% or 90% of owners is required, depending on the change
  • By-laws: A majority of voting units or a majority of owners present at the meeting, depending on the change
  • Rules: A majority of owners present at a meeting requisitioned by owners vote against the change

Related CAT decisions

The CAT has found instances where a condo’s policies turned out to be improperly implemented rules and were not enforceable:

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