Part 19 published on 01/09/07
Small Claims Court decision overturned
The Small Claims Court had ordered the condominium corporation to repay to the plaintiff owner the “excessive” portion of a special assessment. [See Condo Cases Across Canada – Parts 16, November, 2006]. On appeal, the decision of the Small Claims Court was reversed and the condominium corporation was awarded costs.
The Appeal Court said:
“The Baliwallas were asking for a refund of the amount not used in the assessment for the major repairs. They had no right to do so, as subsection 84(2) makes it clear that any surplus, which includes the receipts in question, shall be applied either against future common expenses or paid into the Reserve Fund. The Board’s authorization to have the surplus funds paid into the Reserve Fund prior to its fiscal year-end was reasonable in the circumstances of the case before it.”