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his personal website legal advice received by the Board without the consent of the Board. A reasonably prudent director, acting in good faith, would not make the Board dysfunctional, would not promote antagonism and dissent on the Board, and would not threaten other Board members. A reasonably prudent director would not put his own economic interests ahead of the legitimate interests of all categories of unit owners. A reasonably prudent director would seek a compromise that respected the disparate, but legitimate, interests of all unit owners in the context of the community established by the Corporation’s Declaration, By-laws, and Rules. In that case, the subject director was ordered to personal pay costs to the owners who had commenced a case against the condominium relating to enforcement of a rule. Note that the condominium paid a portion of costs as well”. In the Ontario Superior Court decision in Durham Condominium Corporation No. 45 v Swan, 2012 ONSC 3441, the Court commented as follows, starting at paragraph 45: I find that Swan alienated the rest of the Board as evidenced in his arbitrary deci-

The Courts have been willing to ‘single out’ a Condo Board Bully, and recognize that the subject behaviour is

NOT ACCEPTABLE sions as Director, in the derogatory statements expressed in his emails, and in his confrontational interaction with the Board and MCD. That interaction was inflexible, dogmatic and ultimately counter-productive. By rendering the Board dysfunctional, Swan put the property management of the condominium at risk. Section 37(1)(a) of the Act requires more of a Director than to act “honestly and in good faith” as Swan submits he did. The

section also requires that in discharging his duties the Director must “exercise the care, diligence and skill that a reasonably prudent person would exercise in comparable circumstances”. Swan’s confrontational inflexibility and misguided assessment of his duties as Director failed to meet this second requirement. Accordingly, as submitted by DCC 45, I find that Swan’s conduct both as director and President of the Board breached Section 37(1) of the Condominium Act. Worth mentioning as well are the new provisions of the Condominium Act, 1998 and its regulations, in effect since November 1, 2017, that require directors to receive training concerning the obligations of directors and the operations of condominiums. Director training, the presumably better understanding the legal issues, together with the assistance of the Courts (when called upon) and the diligent oversight of other directors and condominium managers, hopefully will result in fewer Boards having to deal with a Condo Board Bully. C V

CONDOVOICE FALL 2018

CV

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CCi-T Condovoice - Fall 2018  

CCi-T Condovoice - Fall 2018

CCi-T Condovoice - Fall 2018  

CCi-T Condovoice - Fall 2018