Under section 23(2) of the Condominium Act, the board must give notice to all owners before starting a lawsuit.
đ What the Law Says:
âBefore commencing an action mentioned in subsection (1), the corporation shall give written notice of the general nature of the action to all persons whose names are in the record of the corporation.â
(Condominium Act, 1998, section 23(2))
In other words: they have to tell us what theyâre doing – before they sue.
đ But Some Actions Are Exempt – What Are the Exceptions?
The law says notice is required unless the lawsuit is about one of the following:
- Collecting unpaid condo fees from an owner
(Section 134.1 or 85 – e.g., liens for non-payment) - Recovering costs for enforcement of rules or by-laws
(e.g., legal action to force someone to comply with the condo rules) - Other âautomaticâ enforcement matters
(like compliance applications that don’t need a vote under Section 134)
These are usually routine legal actions, where the board is enforcing clear rules or collecting money.
𧞠Why That Matters Here:
The boardâs appeal wasnât about collecting unpaid fees.
It wasnât a standard rule enforcement.
It was a strategic lawsuit filed against an owner, involving complex legal claims – and yet they gave no notice before initiating the case.
Which means:
- The exception does not apply
- They broke the law
- And youâre paying for it
â Bottom Line:
Unless the lawsuit is about fees or rule enforcement, the board is required to notify all owners before starting legal action.
They didnât.
Thatâs a serious governance failure.
đ Want to read the law yourself?
See section 23 here: https://www.ontario.ca/laws/statute/98c19#BK27
