With virtually everything at a standstill, and people being asked to confine themselves to their homes and avoid all gatherings to prevent the spread of COVID-19, condominium corporations can’t simply stop administering their buildings. They must continue to operate in order to ensure the building’s long-term survival, while adapting their management to preserve the health of occupants. This constraint on the administration of the building raises a number of questions for the board of directors. Here are a few recommendations:

Board meeting?

Despite the current situation, the Board of Directors must continue to maintain and administer the building. The directors may hold their meetings by conference call or videoconference. Resolutions signed by directors entitled to vote will have the same value as if they had been passed at a face-to-face meeting. To simplify the signing of resolutions during this state of health emergency, and to avoid resolutions being invalidated due to a formal defect, it is possible to confirm one’s vote by e-mail.

Organizing a condominium meeting?

Normally, the Board of Directors should call an annual meeting of the co-owners at the end of the fiscal year, to discuss and deal with matters concerning the building and its administration. As a general rule, these meetings should be held within 90 days of the end of the fiscal year.

Because of the distancing measures to be taken, it is virtually impossible to hold meetings as usual, especially in large buildings with several units. For smaller structures, co-owners can hold the meeting by videoconference, if the declaration of co-ownership permits or if the co-owners consent. For buildings with a large number of co-owners, this alternative is much more complex.

In the event that the meeting cannot be held, the Board of Directors must advise the building’s co-owners that a meeting will be called as soon as the state of health emergency is lifted. Until then, the syndicate will continue to administer the building with the same budget and the same Board of Directors.

In the event of an urgent need for a decision to be taken at a meeting, it would be preferable to turn to the courts, which are always open to urgent matters. In this way, we can establish the procedures for holding a meeting, or the safeguards to be taken, to avoid decisions being taken illegally and subsequently invalidated.

Electing directors ?

In principle, directors are elected for a one-year term, and elections are held at the general meeting of co-owners. If the meeting cannot be held, the directors’ mandate must be continued until an election is held at the meeting. Similarly, should a director resign, the remaining directors must fill the vacancy until an election is held.

Managing finances and the budget?

To ensure continuity in the administration of the building, the directors must continue to collect condo fees as usual. Without a condominium meeting, the budget cannot be modified by the directors. Consequently, it would not be possible to adopt a new special assessment for the current fiscal year, or to adopt a new budget for the next fiscal year. If an urgent situation requires an immediate call for funds, it is best to consult a lawyer to analyze the facts and find a solution to avoid a cash shortage and legal problems.

Closing down shared facilities?

Many buildings have common rooms, swimming pools, gymnasiums and so on. During this state of health emergency, it would be preferable for these facilities to be closed by the administrators. Restricting access to these facilities is justified by the need to preserve the health of the occupants. In the present situation, to do otherwise could be considered a breach of the directors’ duty to act with prudence and diligence, in the interest of the community.

Disclosing health status?

No building occupant is obliged to disclose his or her symptoms or state of health to others. However, to reduce the risk of the virus spreading within the building, the syndicate should invite occupants to inform the Board of Directors so that the latter can take additional precautions and inform the other occupants, without disclosing the name of the infected person.

In conclusion, during this state of health emergency, it would be appropriate for the Board of Directors to send a communiqué to all co-owners and occupants of the building to reassure them and inform them of :

1. continued management of the building by the Board of Directors
2. no assembly during the state of health emergency
3. the continuation of directors’ mandates
4. continuation of the existing budget
5. maintaining the obligation of co-owners to pay their condo fees
6. description of special measures adopted during the state of emergency, including measures taken concerning common facilities
7. invitation to disclose cases of infection to the Board of Directors, which will ensure that confidentiality is maintained

Please do not hesitate to contact us if you have any additional questions not covered in this article.