Your co-ownership is not immune to fraud. It may be defrauded by directors, co-owners, condo managers, service providers and third parties. Therefore, it is in your best interest to be wary of the behavior of potential suspects. You should not indulge in a witch hunt, however, some warning signs should arouse suspicion and command vigilance.
The General Meeting of the co-owners is one of the two decision-making bodies of the syndicate. You should be aware that co-ownership life implies that the co-owners or their representatives meet, occasionally, to discuss and vote upon important decisions. This occurs at General Meetings of the co-owners, which is the prime democratic body in the co-ownership. Their conduct obeys certain rules of form and content. An overview of the various specific aspects of General Meetings of the co-owners.
The process leading to convening a general meeting of co-owners must be rigorously observed. It is necessary to comply with certain formal conditions and time constraints, otherwise the decisions taken during such general meeting could be invalidated. The co-owners are informed of the holding of the general meeting of co-owners by the reception of the notice of meeting. This written notice must indicate the date, time and venue of the meeting and the questions on the agenda. Depending on the nature of these questions, certain documents must be attached to said notice. Look at different aspects of calling the general meeting.
A General Meeting of the co-owners cannot take place without an agenda. To deliberate in accordance with the Law, co-owners should be able to become aware, before the General Meeting, of the questions on the agenda. This the reason why it should be annexed to the notice of call, usually prepared by the Board of Directors (Board). It contains all the questions to be tabled for deliberation during the General Meeting. This document must be clear and unambiguous to avoid legal challenges. An overview of the various specificities of the agenda.
Preparing a budget forecast is an unavoidable task in co ownership. Its preparation, preliminary examination and adoption will ensure the proper functioning of the syndicate of co-owners. It is up to the Board of Directors to define its terms, in view of the expenses that will have to be paid to allow a syndicate to meet its obligations. The budget also makes it possible to fix the amount of the contributions of each co-owner to the expenses of the co-ownership.
It will be prepared by the Board of Directors or property manager, based on the amounts spent in preceding financial periods, as well as anticipated non-recurring expenses. The preparation of the budget forecast requires time and rigor.
Most buyers attach great importance to an apartment area/price ratio. Therefore, before signing the deed of sale, take time to carefully measure the area of your unit. Discrepancies between what is shown on the plan provided at the signing of the preliminary contract, versus the actual area shown on the cadastral plan or the certificate of location are frequent. This difference can be explained by many factors listed in the factsheet entitled The Area of the Private Portion.
The right to vote is a founding principle of democracy. Citizens of a democracy can express their will in a ballot. In principle, this right is equal amongst all voters. Practically speaking, it is equivalent to the «one person, one vote" rule, which means that every vote has the same weight. However, co-ownership derogates from this principle, namely in that the number of votes held by the co- owners is in direct correlation with their rights of ownership in the immovable. An overview of the various aspects of voting in General Meetings of co-owners.
Administrative, maintenance, replacement, improvement or alteration expenses of the common portions are divided among the co-owners. General common expenses are to be distinguished from special common expenses, which are allocated under different rules. In the first case, it is the relative value of each private portion that is used to establish the co-owners contribution. As for special common expenses arising from common portions for restricted use, the co-owners using them are alone responsible of the expenses resulting therefrom.
Co-ownership staff management involves several duties and obligations. Whether towards the janitor, security personnel or gardener, it implies financial and managerial issues. In managing staff, one must take into account the following elements: recruitment, remuneration, employee performance evaluation, training and occupational health and safety. It must therefore be done rigorously.
A syndicate of co-owners can sometimes evolve into a small and medium size enterprise, an SME. Even more so if it assigns personnel to the various common portions maintenance chores of the immovable.
Yet, people hired by a syndicate have rights. In fact, their prerogatives are the same as those in force in the labor market. It is better to be aware of them and to understand the consequences.