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ARTICLE · 21 OCTOBER 2014

Board Must Guard Against Conflict Of Interest

Miller Thomson
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Our condominium board has recently learned that an owner in our townhouse complex has been renting out rooms to boarders.

CanadaReal Estate and Construction
Robert Noce
Robert Noce
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Q: Our condominium board has recently learned that an owner in our townhouse complex has been renting out rooms to boarders. This is against our bylaws. Two of the three boarders have moved out, but one remains. The owner has now advised the board that the remaining boarder is family. What can we do?

A: Retain a lawyer to determine whether you are interpreting your bylaws correctly. Then you can figure out whether or not the owner is in fact breaching the bylaw. You must be careful about how "family" is defined in your bylaws.

Helpful hint: Boards are entitled to gather information to determine whether or not an owner is in fact in breach of a bylaw. However, you have to do it with respect and in accordance with the law.

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