dispute: Owner moved into unit in 2005 but is being blamed for leak that started in 2003
Tony Gioventu
Province
Dear Condo Smarts: I recently sold my unit but ran into a load of trouble over an allegation by a council member that we damaged the parking membrane. The council claimed we had planted bamboo in the gardens next to our townhouse, and the bamboo roots penetrated the landscaping membrane, resulting in leaking in the parkade and a claim by council that this is going to cost over $50,000 to repair.
When our lawyer requested a Form F, the strata council refused to provide a copy of the form unless we provided an undertaking to put $50,000 into their trust until the repairs were complete. We have agreed to place the funds into our lawyer’s trust until Dec. 31 or earlier if the matter is resolved before then, but how can a strata council come out at the last minute and file such a claim? We had no notice, and no indication of such problems. Other owners tell me our parkade has leaked for more than five years.
— E. H.
Dear E.H.: When a strata lot is conveyed (sold), the seller must provide a Form F, Certificate of Payment, provided by the strata corporation.
Usually the strata lot conveyance cannot be complete without the form.
The payment certificate has to stipulate whether an owner does not owe money, does owe money but the amount has been paid into court or in trust to the strata corporation, or satisfactory arrangements have been made to pay the money owing.
Generally the lawyer or notary completing the conveyance will provide an undertaking to ensure the debt is satisfied as the sale is completed.
An alternative for an owner who is disputing a fee is to pay the amount into court pending a hearing on the dispute.
Under section 115, a Certificate of Payment must not include claims of damages against an owner that have not been determined by a court or by arbitration.
If there is a claim that an owner has acted in some manner that has resulted in damages to the strata corporation, they need to seek legal counsel and commence a court action as soon as possible to protect the interests of the strata.
The minutes of your strata corporation indicate that the leaking was first documented in 2003 and has grown to include most of the parkade areas, not just the area under your entry. In addition, you moved into your unit in 2005, long after the leaking had started.
If you are completing forms for a strata corporation, read the sections of the act that create the form. For example, Form F is actually Section 115 of the act, Form B is Section 59 of the act. Each of these sections contain information not published on the forms.
Check out the fall lineup of Strata Seminars on the CHOA website at www.choa.bc.ca
Tony Gioventu is executive director of the Condominium Home Owners’ Association. [email protected]
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