The Condominium Act & Information
The Declarant and the Declarant’s Board
NOTE: All references to Section numbers refer to sections in The Condominium Act (SM 2011, c. 30, Sch. A).
What is a declarant?
A declarant is the registered owner or lessee of land that is divided into condominium units and common elements.
How do you become a declarant?
You become a declarant by registering a declaration, plan and by-law, under the act.The registration creates the condominium corporation and divides the land into condominium units and common elements.
Sections 1(1), 7 to 11
What is the declarant’s board?
The declarant’s board manages the condominium corporation until a board of directors is elected by unit owners at a turn-over meeting (see below for information on turn-over meetings). It is made up of directors appointed by the declarant, and up to two directors elected by other unit owners. The unit owners (other than the declarant) may elect two directors to the declarant’s board at the first general meeting, and at each annual general meeting until the turn-over meeting is held.
An elected director can hold a seat on the board, even if that means there are more directors than the maximum number the declaration calls for.
Sections 66(1), 67 and 69
How long do directors on a declarant’s board stay in their positions?
Directors appointed by the declarant remain on the board until the appointment is revoked (taken back), or a new board is elected at the turn-over meeting.
Directors elected by unit owners, however, remain in their positions until the annual general meeting after the meeting at which they were elected, or the turn-over meeting -- whichever comes first.
An elected director of a declarant’s board can be removed at a general meeting at any time as long as the unit owners (not including the declarant) approve the removal. Another director can then be elected to fill the space.
Sections 68 and 70
Can the declarant’s board conduct business without a meeting before the unit owners elect a director?
Yes, under the following circumstances: If a declarant’s board agrees on a written resolution before a director is elected by unit owners, and all the appointed directors sign the resolution, the resolution can be passed.
Section 71
What is the purpose of a turn-over meeting?
At a turn-over meeting, the declarant’s board is replaced with a new board, elected by all unit owners (including the declarant). The declarant’s board then turns over records, documents and other items to the new board.
Section 75(1)
When does a turn-over meeting take place?
When the declarant no longer owns a majority of the existing units, a turn-over meeting must be called within six months. The meeting must be held within 21 days after it is called.
Section 75(2)
What happens if the declarant’s board does not call the turn-over meeting?
If the declarant’s board does not call a turn-over meeting, a unit owner or mortgagee can call the meeting instead. The declarant, if asked, must pay back the unit owner for the cost (within reason) of calling and holding the meeting.
Sections 75(3) and (5)
What documents must the declarant’s board turn over?
To see a list of these documents, go to:
- Section 77(1) of The Condominium Act.
Other documents must be turned over at within 30 days of the turn-over meeting. To see a list of these documents, go to:
- Section 78(1) of The Condominium Act
- Section 14, of the Condominium Regulation.
The declarant must pay any costs of getting the documents ready for turnover. The declarant pays the cost of a reserve fund study or update, only if it is required under section 50 (This section is about a condominium conversion and delayed sale of units).
Sections 78(2) and (3)
Can the condominium corporation end agreements that the declarant’s board entered into on the corporation’s behalf?
Sometimes. For example, within 12 months after the turn-over meeting, a condominium corporation may end a property management agreement, without any penalties -- if the agreement was entered into before the date of the turn-over meeting.
The condominium corporation must give 30 days’ written notice to the property manager to end the agreement (unless the agreement says it can be less than 30 days). Within 30 days after the end date of the agreement, the property manager must return any documents, records and letters that have to do with the corporation, and any common assets they may have.
Within 12 months (one year) after the turn-over meeting, a condominium corporation may end, without any penalties, any of the following agreements that were entered into before the turn-over meeting:
- an agreement to provide goods and services to the condominium corporation on an ongoing basis
- an agreement to provide facilities to the condominium corporation on a for-profit basis
- a commercial lease for parts of the common elements
- an insurance trust agreement
To end these agreements, the corporation must give 30 days’ written notice (unless the agreement says it can be less than 30 days) to the other party to the agreement.
If an easement was created by any of these agreements, ending the agreement does not end the easement.
A court order is required to end a mutual (shared) use agreement entered into between two condominium corporations.
Sections 81, 82
Need more information?
For more information on declarants and the declarant board, see:
- Part 5 of The Condominium Act
For more information on turn-over requirements, see:
- Part 5 of The Condominium Act
- Part 4 of the Condominium Regulation
