Peace v. The Owners, Strata Plan VIS165

Peace v. The Owners, Strata Plan VIS165

The SPA mandates that special levies be allocated by unit entitlement and the court will not reallocate those levies under s.164 absent unfair conduct by the strata corporation that defeats reasonable expectations; the December 12, 2006 levy was unlawful and disregarded, but the statutory allocation by unit...

Source-derived case information.

Citation
2009 BCSC 1791
Parties
Plaintiffs (owners of Basement Units): Martha Peace; Rick Seaton also known as Robert Seaton; Betty Seaton; John Wilson; Sheila Wilson; Gwen Brosz; Grace Bennett; Suzanne Stephen; Douglas Stephen; Levonne Martyn; Les Martyn; Pat Davidson; Jack Davidson; Diane Stephens; Defendant (strata Corporation): The Owners, Strata Plan VIS2165 (Colonia Gardens)
Court
Supreme Court of British Columbia
Jurisdiction
Canada
Judgment Date
24 December 2009
Procedural Posture
Application Under Strata Property Act S.164 for Remedy of Significantly Unfair Conduct Re Allocation of Special Levy / Final Judgment After Trial (reasons for Judgment)
Outcome
Action dismissed; December 12, 2006 special levy declared invalid; Strata Corporation deprived of its costs; no party awarded costs
Legal Topics
Special Levy Allocation, Significant Unfairness, Unit Entitlement, Remedies Under Statutory Oppression Style Relief, Disclosure and Lien Enforcement
Source Language
english
Property Law Strata Law Civil Procedure Equity Special Levy Allocation Significant Unfairness Unit Entitlement Remedies Under Statutory Oppression Style Relief +1 more

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Parties

Martha Peace; Rick Seaton also known as Robert Seaton; Betty Seaton; John Wilson; Sheila Wilson; Gwen Brosz; Grace Bennett; Suzanne Stephen; Douglas Stephen; Levonne Martyn; Les Martyn; Pat Davidson; Jack Davidson; Diane Stephens

Plaintiffs (owners of Basement Units)

The Owners, Strata Plan VIS2165 (Colonia Gardens)

Defendant (strata Corporation)

Procedural Posture

Application Under Strata Property Act S.164 for Remedy of Significantly Unfair Conduct Re Allocation of Special Levy / Final Judgment After Trial (reasons for Judgment)

Legal Issues

  1. 1 Whether allocation of repair costs by unit entitlement was significantly unfair to basement unit owners
  2. 2 Whether the December 12, 2006 special levy was valid and enforceable
  3. 3 Whether the court has jurisdiction under s.164 SPA to reallocate special levies away from unit entitlement

Ratio Decidendi

The SPA mandates that special levies be allocated by unit entitlement and the court will not reallocate those levies under s.164 absent unfair conduct by the strata corporation that defeats reasonable expectations; the December 12, 2006 levy was unlawful and disregarded, but the statutory allocation by unit entitlement nonetheless stands and the plaintiffs' claim to reallocate costs based on measured repair costs fails; however the strata corporation's conduct in managing the dispute (withholding contracts and filing liens) was significantly unfair and warrants depriving the strata corporation of its costs.

Court Disposition

Action dismissed; December 12, 2006 special levy declared invalid; Strata Corporation deprived of its costs; no party awarded costs

Orders

  • Action dismissed without costs
  • Declaration that the December 12, 2006 3/4 vote special levy is invalid and is to be disregarded