Definition : Statement of debts and claims

Preparing a forecast annual budget 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.

With respect to the Annual General Meeting, the article 1087 of the Civil Code of Québec provides that certain documents must be attached to the notice of meeting.These documents are to be sent to co-owners so that they can ascertain the exact nature of the questions and issues to be discussed. Some of these documents, described in the agenda, are a prerequisite to the validity of the decision (such as, a draft amendment to the declaration of co-ownership ). Other documents are, on the other hand, necessary for the information of the co-owners (such as, the budget forecast and the report of the Board of Directors)  

Question: We would like to know if the law requires having our syndicate’s financial statements audited by an accountant.