COVER STORY
“What the courts don’t want to
see is some boards have tried to use this
provision not in the best interests of the condo, but in the best interests of themselves.” The terms of administration In cases where a court approves the application, the judge must also establish what powers the administrator will take over, and for how long, as well as any other directions deemed necessary. Once appointed, the administrator is required to report back to court at regular intervals. And at the end of the prescribed term, he or she can request an extension to complete the assignment if required. The party that applied to the court for the appointment of an administrator normally submits one or two names of people as recommended candidates for the role. The Condominium Act contains no criteria as to who is eligible to serve as an administrator. Horlick said that the general profile for a good candidate is a person who possesses all the knowledge and skills of a property manager, including an understanding of everything from accounting to building systems, but that isn’t currently working as a property manager.
He noted that a condominium corporation under court-appointed administration retains a property manager. That’s because, even if the administrator has property management experience, his or her role is to oversee duties and responsibilities of the board — not to manage day-to-day operations. John Oakes, CEO of Brookfield Condominium Services, pointed out that there have been cases where law yers have served as a court-appointed administrator. However, given the expense of hiring a court-appointed administrator, he suggested that a person with a property management background would probably be the most cost- effective option — especially considering the corporation may already be in financial distress. Oakes fits the profile of a court-appointed administrator, so it’s no surprise that he’s currently serving as one. Although, he clarified
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www.REMInetwork.com | August 2016 23 13-02-27 4:39 PM