17/02/2021 – Jurisdiction Ontario
Part 73 published on 01/03/2021
Court strikes down parts of condominium’s by-law. By-law largely upheld.
The condominium is a 237-unit cottage resort near the Sandbanks in Prince Edward County. It includes a Visitor Centre, Pavilion, beach, swimming pools, fitness centre and sports facilities. The cottages are sometimes used by their owners and are sometimes rented to temporary users of the resort.
The condominium corporation passed a by-law to regulate rental activities on the condominium property. The Court upheld most aspects of the by-law, including provisions of the by-law “controlling who may operate a rental program using the common elements and assets, charging Rental Management and Amenity fees, collecting refundable damage deposits, and imposing limits on the number of tenants who can occupy a rental unit”.
However, the Court held that some provisions of the by-law were unreasonable and therefore not enforceable, namely “the restriction on advertising and with whom owners may contract in order to market and lease their units” (which required Board approval under the terms of the by-law). The Court struck down those aspects of the by-law.
https://www.canlii.org/en/on/onsc/doc/2021/2021onsc1203/2021onsc1203.pdf
Sandbanks Summer Village Resort Management Inc et al v PEVLCC 10
Cottage Advisors Reasons for Judgment PBS FINAL 2021 Feb 17 (1)