This article covers the benefits of updating your Condominium Corporation’s By-laws and the step-by-step process of making changes.

By-Laws – What Are the Benefits?

  • By-laws should be specific to the type of project, otherwise they may not be effective
  • By-laws must be current with the relevant legislation (Condominium Property Act, R.S.A. 2000) and case law
  • They define an interest rate maximum to be collected by the Corporation
  • There should be clear definition of Owner and Corporation Responsibilities/Expenses
  • The ability to recover full legal and other costs in By-law enforcement is dependent on the language found in the By-laws
  • Ability to levy appropriate fines and penalties must be set forth in the By-laws
  • Allow the Annual General Meeting to be held the same day if there is a lack of quorum
  • Owners should indemnify the Corporation in certain circumstances

The Step-By-Step Process

Step 1: List of changes

  • The Board may wish to prepare a list of items to discuss but it is not essential
  • Meet with lawyer to discuss the required changes and lawyer recommendations

Step 2: Draft amendment for new By-laws

  • The lawyer will prepare draft By-laws for the Board/Condo Consultant to review
  • It is normally 8 – 10 weeks for the lawyer to prepare the new proposed By-laws

Step 3: Review and revisions

  • Board/By-law Committee reviews document with Condo Consultant
  • Advise lawyer of any further changes
  • Changes are made and forwarded to Board/Condo Consultant for further review

Step 4: Owner approval

  • It is recommended to search titles to all Units to confirm Owners for the effective date
  • It would then be the Board’s responsibility to obtain the required signature of Owners to pass the Special
    Resolution (75% of the Owners representing 75% of the Unit Factors) as of an effective date

Step 5: Registration

  • Directors will sign Notice of Change of By-laws to certify Special Resolution has been properly passed, and
    return to lawyer
  • By-laws and Notice are forwarded to Land Titles for registration
  • Confirmation will be provided to the Board/Condo Consultant to forward to Owners

Only By-laws which are registered at the Land Titles Office can be legally enforced.

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