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ARTICLE · 07 MARCH 2018

Strata Wind Ups

Gowling WLG
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Until recently, terminating a condominium corporation required unanimous agreement (with one limited exception). As a result, few British Columbia strata corporations wound up.

CanadaReal Estate and Construction
Lisa A. Frey
Lisa A. Frey
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Until recently, terminating a condominium corporation required unanimous agreement (with one limited exception).  As a result, few British Columbia strata corporations wound up.  However, in 2016, the Strata Property Act1 (the "SPA") was amended to allow owners to wind up following an 80% majority vote, subject to court oversight.

The first test cases following the change in legislative regime are now working their way through the system.  In order to receive Court approval for such windup, the Court must determine the windup up will not cause sufficient unfairness or confusion in the affairs of owners or creditors.  So far, two notable cases have helped inform this judicial test.

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