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Stancu v. York Region Standard Condominium Corporation 1055 - 2023 ONCAT 134 - 2023-09-20

Corporation:

SYRSCC 1055

Date:

2023-09-20

Summary:

The case of Stancu v. York Region Standard Condominium Corporation 1055 involves a dispute related to access to records in a condominium corporation. The applicant, claimed that the respondent, York Region Standard Condominium Corporation 1055, failed to provide her with adequate records in response to her request. She specifically sought records related to the reserve fund expenses for specific categories and was dissatisfied with the general ledger provided by the respondent. Additionally, the applicant asserted that the respondent did not use the mandatory board response form when responding to her request. The case was decided by a member of the Condominium Authority Tribunal.

Under:

CAT Decisions - Decision
Access to Records
Adequacy of Records
Entitlement to Records
Fees, Costs, Penalties

Verdict:

The tribunal dismissed the applicant's case against York Region Standard Condominium Corporation 1055. The key lessons from this decision are that the respondent provided the requested records within the prescribed 30-day period, the audited financial statement was deemed adequate, but the respondent failed to use the mandatory board response form, and no penalties or costs were awarded in this case.

Takeaways:

Dispute Over Timeliness: One of the key issues in this case was a dispute over the date when the request for records was submitted. The Applicant claimed to have sent it on November 4, 2022, while the Respondent contended it was sent on December 9, 2022. The decision-maker ruled that the Applicant sent the request on December 9, 2022, which meant the Respondent had until January 8, 2023, to respond within the prescribed 30-day period.

Adequacy of Records: The Applicant argued that the records provided by the Respondent did not fulfill her request, particularly in terms of the breakdown of expenses within specific categories. The Respondent contended that the records provided were adequate. The decision-maker ultimately found that the records provided by the Respondent, specifically a general ledger of expenditures, met the requirements of the request and that the Applicant's expectations of additional details were not reasonable.

Failure to Use Mandatory Board Response Form: The Respondent failed to provide the Applicant with the mandatory board response form when responding to her request for records, as required by the Condominium Act. While no specific remedy was ordered, the decision-maker encouraged the Respondent to use the mandatory form in the future to avoid disputes.

Penalty Not Imposed: The Applicant sought a penalty against the Respondent for failing to provide the requested records within the prescribed 30-day period, but the decision-maker did not find this justified. Penalties are typically imposed when a corporation refuses to provide records without a reasonable excuse, and in this case, records were provided within the required timeframe.

Costs Not Awarded: Neither party was awarded costs. The decision-maker found that the Applicant's application was not an abuse of the Tribunal's process, and the conduct during the hearing was respectful and did not cause unnecessary delays. Consequently, the Respondent's request for legal fees was denied.

This case highlights the importance of clarity in communication regarding timelines and expectations when requesting records in a condominium setting, as well as the need for compliance with the Condominium Act's requirements for response forms. It also underscores the principle that adequacy of records should be assessed based on the Act's requirements rather than personal preferences.

Recommendations: 

Improve Communication and Transparency: To avoid future disputes and improve relations between unit owners and the condominium corporation, it's recommended that the condominium corporation (YRSCC 1055) work on improving communication and transparency regarding financial records. This could involve setting up a clear process for responding to record requests, using mandatory board response forms as required by the Condominium Act, and providing detailed explanations of financial records whenever possible. The corporation should make efforts to ensure unit owners have access to necessary information in a timely manner.

Education for Unit Owners: To mitigate misunderstandings and conflicts like the one seen in this case, it's advisable to provide educational resources or workshops for unit owners. These resources could help unit owners understand the financial statements, auditing procedures, and the limitations of the condominium corporation in providing records. Educating unit owners about the process and content of financial records can lead to more reasonable requests and less friction between unit owners and the corporation.

Dispute Resolution and Mediation: Encourage dispute resolution and mediation as a means of resolving issues between unit owners and the condominium corporation. The parties involved should consider seeking mediation services or alternative dispute resolution methods before resorting to formal tribunal proceedings. Mediation can often help parties find common ground and reach mutually satisfactory resolutions without the need for costly and time-consuming legal processes.

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