Legal costs still of concern despite new Alberta condo rules

The announcement of a Condo Dispute Resolution Tribunal is being met with cautious optimism and some concern from condo owners. Miriam Valdes-Carletti reports.

Condominium owners in Alberta are welcoming new rules that make bare information about buildings and the costs associated with them.

But while the establishment of a condo dispute resolution tribunal is being embraced by some, others say legal costs to settle conflict are still of concern.

Terry Gibson, condo owners’ advocate and co-founder of the Condo Owners Forum Society of Alberta, told CTV News Edmonton on Thursday he’s excited by the changes.

“Some of us have been working with Service Alberta for many, many years,” Gibson said. “We felt heard by the government, and we think the changes that they’re proposing are going to add value to condos in Alberta and make condo living better.”

Gibson said the establishment of the tribunal this spring is welcome as they haven’t had a way to settle conflicts efficiently and successfully.

“Traditionally, we haven’t had a system to solve disputes cheaply, quickly and effectively,” he said. “People ended up going to the courts ... Many times, everybody loses. Nobody wins, nobody gets any settlement.”

Edmonton condo owner Donna Stephenson, however, isn’t convinced costs in condo disputes will go down with a tribunal as sides can hire lawyers to represent them.

Stephenson called the establishment of the new regulations “very positive but disappointing at the same time when we found out boards could have lawyer representation.”

“Yes, owners can, too, at another expense (to them), whereas the boards don’t necessarily pay. It’s corporation money, per se, that they’re using. So again, right now, the only out an owner has is to go to the court system. A tribunal is a step forward, but it’s a very small step.”

The new provincial rules are expected to increase transparency and strengthen protections for owners of condominiums.

The minister of Service Alberta said Thursday in a statement that the " unbiased, quasi-judicial" tribunal “will make it faster, simpler and more affordable for condo owners to resolve disputes without having to go through the courts.”

“Lawyers are not required to participate in the tribunal, but Albertans have the right to seek legal advice or representation if they feel it is necessary to their specific situation,” Dale Nally told CTV News Edmonton.

The Alberta government will require developers to pay for a technical analysis of each new condo by an independent engineer or architect within four years of occupancy.

A government statement on Wednesday said the new regulations will give condo owners clear information about the condition of a building and future repair costs.

Gibson said the promise of transparency is a game-changer for owners.

“Sunshine rectifies everything, puts it all on the table,” he said. “It’s been very difficult for condo owners in Alberta to get all of the documentation that they want effectively, and this legislation is going to make things much more transparent (and) put a responsibility on the boards to be more transparent ... It’s going to make condo living better, and it’s going to make the value of condos improve.”

With files from CTV News Edmonton’s Miriam Valdes-Carletti