Navigating The Legal Minefield of Status Certificates

The article discusses the purpose of status certificates in condominiums and how to navigate legal disputes related to them. The author gives tips for both condominiums and purchasers. The purpose of a status certificate is to ensure that prospective purchasers have all the relevant information they need to make an informed decision when purchasing a unit. However, the condominium can only provide information available to them at the time the status certificate is prepared. For this reason, the status certificate only binds the condominium as of the date it is prepared. The author provides some tips for condominiums, such as having two people review the status certificate, noting potential uncertainty, and including extra information that is not required by the Act. Similarly, the author gives tips for purchasers, such as reviewing the certificate, having a lawyer review it, obtaining a new certificate closer to closing, and not ignoring warnings in the status certificate. Legal disputes related to status certificates can arise, such as cases where a purchaser wants to avoid paying a special assessment that was not disclosed in the status certificate. The article concludes that it is vital to take time to prepare a status certificate properly and not rush through it.