The Case of the Flawed Bylaws

Some stratas have the following Bylaws:

Monies received by the strata corporation from an owner or on behalf of the owner shall be applied against the account relating to that owner's strata lot in the following order of priority;

1. the cost of remedying the contravention of a bylaw or rule (including legal fees)

2. fines

3. costs to repair damage (including but not limited to an insurance deductible) for which the owner is responsible to pay pursuant to the bylaws or the Strata Act

4. interest on unpaid strata fees or special levies

5. outstanding contributions required pursuant to a special levy

6. outstanding strata fees

These Bylaws appear to protect the Strata Corporation. However, are they enforceable?

No. A court decision has held that a bylaw that attempts to apply strata fees received from an owner to fines is unenforceable.

Here is the court case: The Owners, Strata Plan BCS 3648 v. Podwinski, 2016 BCSC 2253

Here is the link:

https://www.canlii.org/en/bc/bcsc/doc/2016/2016bcsc2253/2016bcsc2253.html