Part 31 published on 01/08/10
Occupants not always tenants. Move-in fee did not apply
Dunowen Properties Ltd. (Dunowen) was lessee of a strata lot and was in the business of providing accommodation to others for a fee. Dunowen’s clients were given the right to occupy the unit, furnished, under a licensing agreement.
The by-laws of the strata corporation imposed a moved-in fee. The Court held that the move-in fee applied only when the new occupant was an owner, tenant, or subtenant. In this case, the Court held that the occupants were licensees and the move-in fee therefore did not apply. The Court also held that Form K under Section 146 of the Strata Property Act did not apply to these occupancy changes. The Court said:
“Accordingly, I conclude that the Unit Owners ought not to have been assessed a move-in fee because they were not required to deliver a Form K and there was no ‘tenant’ change. Similarly, the fines levied for non-compliance with the bylaw were invalid.”