Annual General Meetings are essential.
Condo corporations are intended to operate as businesses governed by laws. They should be run as a business. Condo corporation businesses have been granted not for profit status by Canada Revenue Agency.
It is at the Annual General Meeting where corporation shareholders, condo owners, vote for individuals who then have authority to make decisions on their behalf and manage the financial assets of the corporation. It is through varied communications – meetings, online meetings, paper notices and electronic communications – that those corporation shareholders are kept informed of director/management actions.
Directors who are elected at an Annual General Meeting have wide discretion to make decisions for the condo corporation without consultation with condo owners. This authority is provided to directors for the entirety of their term.
It is through accurate and reliable record keeping – minutes, attendance records, votes and financial matters – that permanent records of actions exist.
These records are the institutional memory of the condo corporation. It allows for new board members and management to continue uninterrupted as people and vendors change. They also provide condo owners with confidence that their assets are being adequately managed.