CAT Again Confirms Obligation of Condominium Corporations to Keep Minutes
In the recent case of McLaughlin v. Brant Standard Condominium Corporation No. 75, the owner had requested various records, including Board Minutes for September 2018 to September 2021 and the 2020 AGM Minutes.
According to the decision:
The board meeting minutes were not provided because the corporation did not hold any board meetings from September 2018 to September 2021. The Respondent (condominium corporation) did not provide minutes of the 2020 Annual General Meeting because it was cancelled due to the COVID-19 pandemic.
The CAT held that the condominium corporation had incorrectly failed to provide the missing Minutes and ordered the condominium corporation to pay a penalty of $2500 plus costs (filing fees) of $200.
In terms of the lack of Board Meetings (and Minutes), the condominium corporation’s evidence was that: “Business was conducted informally in various forms but mainly in person or via written communication which if needed was then delivered to the previous Manager”.
The CAT said:
- “The Act is clear that the corporation’s business must be conducted through board meetings, and that the corporation must keep adequate minutes of meetings.”
- “Although a condominium corporation cannot be compelled to produce records that do not exist, it also cannot justify its inability to produce such records by citing its own deliberate non-compliance with the Act.”
- “An annual general meeting was required to be held by October 22, 2020.”
- “My conclusions on the Annual General Meeting minutes are similar to the conclusion related to board meeting minutes. Although a condominium corporation cannot be compelled to produce records that do not exist, it also cannot justify its inability to produce such records by citing its own deliberate non-compliance with the Act.”
The takeaways are as follows:
- AGMs must be held within the deadlines under the Condominium Act (including extensions applicable during the pandemic). AGM Minutes must then be prepared.
- Board decisions (including tentative decisions reached by way of email) must be ratified at Board Meetings (and recorded in Minutes for the meetings).
Stay tuned to Condo Law News to keep up to date on the latest developments on Minute keeping!