Part 41 published on 01/02/13
Dispute respecting Shared Facilities Agreement was subject to mandatory mediation and arbitration
Four condominium corporations share cooling towers located on the GSCC 46 property. There is a Shared Facilities Agreement stating that the costs of repair and maintenance of the cooling towers are shared, but the agreement is silent as to sharing of utility costs for the operation of the cooling towers. GSCC 46 had been paying the utility costs since 2002. GSCC 46 had commenced a court action against the other three condominium corporations, seeking to recover past utility costs and to require that the other condominium corporations contribute to ongoing utility costs in relation to the cooling towers.
The Court held that GSCC 46’s court action should be stayed because the dispute was governed by the mandatory mediation and arbitration provisions contained in Section 132 of the Condominium Act, 1998.