What Your Condo Board Is Legally Required to Tell You
In Ontario, condominium corporations are not private clubs – they are statutory entities governed by the Condominium Act, 1998, with clear legal duties to their unit owners. One of the most important of those duties is the obligation to notify owners when decisions are made that affect their property, finances, or rights.
Below is an overview of the key scenarios where notice is required, and what owners should expect.
🏗 1. Changes to Common Elements or Assets – Section 97
If the condominium board wants to make a change to the common elements or the corporation’s assets, the board must give notice unless the change is minor or required by law.
- If the change is substantial (i.e., cost exceeds 10% of the annual budget or significantly alters use/enjoyment), the board must:
- Provide written notice to all owners
- Include a description of the proposed change, cost estimate, and rationale
- Allow a period during which owners can requisition a meeting to vote on it
This ensures that owners have a say in significant expenditures or modifications to shared property.
đź’° 2. Borrowing Funds – Section 115
If the board wants to borrow money and secure it against the corporation’s assets (e.g., a line of credit or long-term loan):
- A borrowing by-law must be passed by the board
- Notice must be given to all owners
- In most cases, the by-law must be approved by a majority of unit owners
This is to protect owners from unexpected financial liabilities being taken on without their knowledge or consent.
đź’Ľ 3. Commencing Legal Proceedings – Section 23(2)
Before a condominium corporation starts legal action other than to collect common expenses and enforce rules, it must:
- Provide notice to all owners in advance
- Disclose the general nature of the litigation
- Explain the potential financial implications
This requirement exists because litigation can lead to significant legal costs and risks, all of which are typically borne by the owners collectively.
đź§ľ 4. Rule Changes – Section 58
If the board creates, amends, or revokes any rules:
- Owners must receive a copy of the new or amended rule
- Owners are given a 30-day period to requisition a meeting to oppose it
- If no requisition is made, the rule comes into effect after the 30 days
Owners have a right to know what rules govern their property and conduct – and an opportunity to object.
📊 5. Annual General Meetings (AGMs) and Budget Notices
- AGM notices must be sent at least 15 days in advance, including financial statements, auditor reports, and other required disclosures
- Budget increases must be communicated through a Notice of Future Funding, typically at least 30 days before the new fees take effect
Transparency in financial management is a core duty under the Act.
🏛 6. Requisitioned Meetings – Sections 46 & 47
When owners submit a valid requisition to call a meeting (e.g., to discuss board conduct or vote on directors):
- The board must send notice of the meeting within 35 days
- The meeting must be held within another 30 days after the notice
Failure to comply is a breach of the board’s legal obligations.
🚨 Why This Matters
Notice requirements are not optional. They:
- Enable owner participation in key decisions
- Provide transparency in board operations
- Prevent misuse of funds or authority
- Allow owners to object, vote, or call meetings when appropriate
When boards fail to issue proper notice – or issue notice only after decisions are finalized – they undermine the democratic principles of condominium ownership.
đź§ Final Thought
If your board is:
- Undertaking major repairs
- Changing rules
- Increasing fees
- Borrowing money
- Suing someone
- Spending tens of thousands on legal advice
…you should not find out after the fact.
You should receive timely, written notice — not vague updates or retroactive justifications.
That’s not just good governance.
It’s the law.
👉 If you believe your rights have been violated, contact us confidentially through the Condo Leak Tipline at www.CondoTribune.com/tipline – your story matters, and you’re not alone.
📝 While we are not lawyers, we’ve spent years learning the Condominium Act, tribunal process, and case law – and we’re here to help point you in the right direction.
Disclaimer: This post is for general information purposes only and does not constitute legal advice. For legal guidance specific to your situation, please consult a qualified lawyer.