Canada’s British Colombia Introduces Online Arbitration For Strata Disputes: Move Seeks Faster Resolution of Property Disputes

Canada’s British Colombia (BC) is bracing for online solutions to end long drawn property disputes, among condo owners and strata corporations over fees, parking stalls, pets and other issues. To settle such disputes, BC is setting up online services and urging public to take the path of arbitration than getting bogged down in lengthy and costly court processes.

According to Justice Minister Suzanne Anton, the new legislation would make it mandatory for strata property disputes and small claims lawsuits under CAD 10,000 to undergo the arbitration process, prescribed under the government’s civil resolution tribunal website. The tribunal’s new website will go online in the summer of 2015. People can access the website, file complaints and update their case material at any time during the day.

The minister noted that everyone knows the struggle of somebody who has gone through a strata dispute. Often it may be some minor matter, something like a tree or a parking spot. But the lack of viable forums makes the resolution difficult. It is hoped that the online arbitration will end such woes. “That is what this civil resolution tribunal will allow,” she said.

The announcement has been welcomed by the strata industry and legal community, who said it will open up a cheaper, faster method for resolving strata problems without both sides not having to spend thousands of dollars in legal fees and waste time in fighting the matter in courts.

Blocking Frivolous Issues

Tony Gioventu, Executive director of the Condominium Home Owners Association, said artibtration will be the most cost effective way to settle strata disputes. An example is the use of barbecue on a balcony that invites strata fines of $200 a month. There is an economical way to settle it with a binding arbitration than resorting to court orders. He noted that those having money will, literally hijack the strata corporation for an extended period with no end to frivolous issues. But a tribunal will be able to block such petty issues.

Shannon Salter, chairperson of the Civil Resolution Tribunal explained the objectives of the new tribunal. She said the goal is to proceed through an online resolution process that will last for 60 days at a cost of CAD 200.

Procedure

The tribunal will operate in three stages. It will start with an application that is submitted to the website describing the claim, with an opportunity for response from the other party. That service will be free and will also include information and self-help suggestions to settle disputes without further intervention.

If that does not work, in the second stage, a mediator will be brought in, to seek an agreed settlement for the dispute. The third stage will see the dispute being sent to a tribunal member for arbitration. Fees for the last two stages have not been decided. However, Tony Gioventu, Executive director of the non-profit Condominium Home Owners Association of B.C, while welcoming the new initiative, cautioned that the process will also entail a learning curve for strata councils.

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