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Board of Directors

Board of Directors and Responsibilities

There are generally 5 Board of Directors (but sometimes there may be 3 Board members in smaller buildings) who have been elected by the majority vote of the Owners (who are the Corporation) to handle all of the affairs of the Corporation.

The Board of Directors shall elect among themselves the following positions:

  • President
  • Vice-President
  • Treasurer
  • Secretary
  • Director

All Board Members take an oath to act honestly and in good faith to exercise the care, diligence and skill that is reasonably prudent person would exercise in a comparable situation

The Qualifications and Disqualifications are outlined in the Condominium Act to include:


29. (1) No person shall be a director if,

(a) the person is under eighteen years of age;

(b) the person is an undischarged bankrupt; or

(c) the person is incapable of managing property within the meaning of the Substitute Decisions Act, 1992. 1998, c. 19, s. 29 (1); 2009, c. 33, Sched. 2, s. 17 (1).


(2) A person immediately ceases to be a director if,

(a) the person becomes an undischarged bankrupt or incapable of managing property within the meaning of the Substitute Decisions Act, 1992; or

(b) a certificate of lien has been registered under subsection 85 (2) against a unit owned by the person and the person does not obtain a discharge of the lien under subsection 85 (7) within 90 days of the registration of the lien. 1998, c. 19, s. 29 (2); 2009, c. 33, Sched. 2, s. 17 (2).

Director Resignation

Note:  If a Director resigns before his/her term is up; and the Board of Directors no longer have a quorum:

The remaining Directors must:

  • Hold a meeting of owners within 30 days of losing quorum to fill all vacancies on the Board
  • If the Board does not call a meeting;  the Owners can call the meeting and the Board of Directors shall reimburse the cost

Note:  If a Director resigns before his/her term is up;  but the Board still has quorum;  the Board can to any of the following:

  • Appoint another person to the Board by majority vote of Board Members
  • hold a meeting of Owners and open to election for those willing to stand for the position
  • do not fill the position and leave it vacant til the next Annual General Meeting

Property Managers and Property Management Firms

The Property Management firm is under contract with the Board of Directors on behalf of the Corporation.  The Property Management Company then appoints a Property Manager (who is an employee of the Property Management Firm)  to that building unless the Board of Directors has requested to interview their Property Managers and vote to who they would prefer to be at the building.  The Property Management contract is one of the larger contractual arrangements in value.  Many times the Property Management firm will also handle the accounting and replacement staffing during holidays.   The contract may include a Property Manager and an Administrative Assistant.

COA RECOMMENDATION – Provincial Government needs to create a provincial licensing system for Property Management firms and Property Managers.  They should also enforce errors and omission insurance for same.

Condominium Auditor

Every year the Corporation Auditor shall examine the financials and prepare an annual report to be verbally provided by the Auditor at the Annual General Meeting.  Expenditures from the Reserve Fund must be made in accordance with the Reserve Fund Study which must be carried out by a professional reserve fund study engineering firm on behalf of the Corporation every 3 years.

Note:  The Auditor is appointed by the Corporation (vote by Owners) and not hired by the Board of Directors

Condominium Lawyer

The Corporation Condominium Lawyer is hired and contract by the decision of the Board of Directors.  In some cases they perform their duties ie. liens, lack of payment of maintenance fees and various other demands by an hourly rate.

Other times, the Board of Director may contract a lawyer on a retainer   This amount could fluctuate from $8,000 – $12,000 per year and will not cover certain features.  It is wise to obtain a complete breakdown if you or your Board decides to choose the retainer route.

COA RECOMMENDATION All condominium corporation lawyers should be appointed by the Corporation just like the Auditors.  There has been too much twisting and turning of the Condominium Act to service the will of the Board of Directors;  jeopardizing the health, welfare and value of the condo community.

Concierge / Security Contract

The Concierge/Security contract is agreed and signed by the Board of Directors.   In some cases, Condo Owners feel that they have no rights when they are confronted by Security who has a direct relationship with the Board of Directors and who have in some cases intimidated the owners.  There is a fine law of professionalism and COA is hoping that Conciierge and Security companies should understand where the problems lie and try their best.   It can be very difficult if an Owners has a Difficult Board of Directors and equally if the Board of Directors has a bad owner.

Service Related Condominium Contracts

The other contracts are all approved by the Board of Directors.   They should be reviewing 3 contracts for each proposal to pracice due diligence on value and cost but that is not always the case.

COA would highly recommend that Owners ask questions so that we can have transparency on all contracts to ensure the best price and workmanship.

The contracts can vary for a number of services. See above

For More Insight into Condominiums

Special Note: