Law Suits Against the Strata Corporation
Talkstrata » Forums » General Strata Q & AOur Strata Corporation began a Small Claim Court Action against an owner who has not been paying her strata fees. She has not paid them because she is unhappy regarding Council's refusal to act in accordance with her wishes regarding a landscaping issue. After our claim was filed, she filed a counter-claim alleging Negligence Causing Harm, in the amount of $1,500. She has offered to withdrawl her counterclaim and pay her outstanding strata fees if the Council acts in accordance with her wishes, does not charge her for the fines imposed on her account and also removes the lien which was placed on the title of her property at the Strata Corporation's cost. Needless to say, this dispute is probably not going to be resolved prior to the settlement conference or trial. However, my question involves the Corporation's duty to inform the owners as soon as feasible if it is sued (pursuant to s. 167 of the Act). As a counterclaim has been filed, we are being sued, are we not? Is notice to the owners required in anything more than the minutes of the next Council meeting? Should Council send out a letter to all owners setting out the details of the dispute, or mearly the existence of the lawsuit without getting into any specifics? Should we be concerned that a letter setting out the specifics would be a violation of her privacy?
Yes, now that a counterclaim has been filed you are being sued and you should disclose this fact to all the owners to ensure you are complying with section 167(1) of the SPA. This section says "as soon as feasible". It seems to me that if you report it in the minutes and every owners gets a copy of the minutes then this would comply with section 167(1).You needn't put all the details in the minutes, just the name of the owner involved accompanied by a general non-judgemental statement of what the suit is about.
Please remember that every owner has a right to know that the strata corporation is being sued, who is suing it and why ? Privacy legislation does not override this right of owners.If you go to http://www.condohelp.org/ and look under Condo Chronicle and the article titled Obtaining Access to Strata Corporation Documents you will find a lawyer's article which includes the relationship between PIPA and the Strata Property Act.

Joined: 2008-03-09