Condo Fee Deferral or Forgiveness

March 2020

The business of residential condominium management must continue.  Without continued inflow of condo fees there can be insufficient funds to maintain cleanliness, keep elevators operational and maintain staffing.

Condo fees should continue to be paid in full regardless of other factors.

Where deferral or forgiveness of condo fees is provided, all other owners are at risk.  Those unable to pay now owe more.  Failure to collect means all owners responsible to make up the difference.  Some may choose to sue the board for acting beyond their authority to recover personal losses at even greater cost to the corporation.

Condo boards have a fiduciary responsibility to collect all money owed to the corporation.  In Ontario this is called the condo lien process.  There is an expectation in the Condo Act that the condo corporation will seek recovery of the full amount of condo fees due plus legal and other fees.  Delaying collection makes it less likely that the monies will be collectible.  Condo boards and management that fail to make proper collection filings may be held personally liable for monies not collected.



Find Vendors in these Related Categories