ADMINISTRATION OF THE PLAN

CONTENTS Sections PART I INTERPRETATION 1 PART II THE PLAN Confirmation of Final Sale Price 1.1 Delivery of Documents 2 Information Regarding Purchase Transaction 2.1 Certificates of Completion and Possession 3 PART II.1 CLAIMS Claims — Not Condominium Common Elements 4-4.1 Initial Claims (Date of Possession Before May 1, 2024) 4.2 Year-End Claims (Date of Possession Before May 1, 2024) 4.3 Second-Year Claims 4.4 Initial Claims, Mid-Year Claims and Year-End Claims (Date of Possession On or After May 1, 2024) 4.5 Second-Year Claims (Date of Possession On or After May 1, 2024) 4.5.1 Major Structural Defect Claims — Years 3 through 7 4.6 Claims Under Subsection 14 (1) of the Act – Purchase Agreement Entered into On or After April 1, 2026 4.7-4.8 Special Fund Claims Under Subsection 14 (1) of the Act 4.9 Conciliation of Disputes 5-5.1.1 Claims — Condominium Common Elements 5.2-5.3, 5.4 Condominium Common Elements — First-Year Claims 5.5 Condominium Common Elements — Second-Year Claims 5.6 Condominium Common Elements — Major Structural Defect Claims 5.7 Condominium Common Elements — Conciliation of Disputes 5.8 Post June 30, 2012 Homes — Major Structural Defect Claims — Years 3 through 7 5.9 General 5.10-5.11 Limits of Liability 6-6.2 Guarantee Fund 7 Special Fund 8-11., 12 PART V SUBROGATION 13 PART VI WARRANTIES Water Penetration 14 General 15-17 Substitutions 18-19.1 Eligibility 20-23 Temporary Relocation Warranty 24 PART I INTERPRETATION 1. In this Regulation, “building” means, in respect of a post June 30, 2012 home, the principal structure in which one or more residential dwellings are located, including in the case of condominiums, common element facilities, but excluding in all cases any structure or appurtenance used in connection with a dwelling such as a fence, deck, sauna, swimming pool, spa, antenna, canopy, patio, sidewalk, driveway, utility shed or storage tank; (“bâtiment”) “business day” means any day other than Saturday, Sunday or a holiday; (“jour ouvrable”) “certificate of completion and possession” means the certificate required by subsection 13 (3) of the Act; (“certificat d’achèvement et de prise de possession”) “common elements” of any condominium project has the meaning ascribed by the Condominium Act, 1998; (“parties communes”) “conciliation” means a process whereby the Corporation determines, with respect to a disputed item listed on a notice of claim given to the Corporation under this Regulation, including section 4 or any of sections 4.2 to 4.8, (a) whether the item is covered by a warranty and whether any repairs or compensation are required in respect of the warranty, or (b) whether there is a right to a payment under section 14 of the Act; (“conciliation”) “conciliation assessment report” means a written report setting out the Corporation’s findings and assessment respecting a conciliation; (“rapport d’évaluation de la conciliation”) “conciliation inspection” means one or more of a physical inspection, virtual inspection or desk assessment conducted as part of the conciliation of a claim; (“inspection de conciliation”) “condominium corporation” means, in respect of any condominium project, the corporation created or continued under the Condominium Act, 1998; (“association condominiale”) “condominium project” means the lands and interests appurtenant thereto that are described or proposed to be described in any description required by the Condominium Act, 1998 and which include or are proposed to include units to be used as homes; (“projet condominial”) “contracted home” means a home constructed pursuant to a construction contract; (“logement sur contrat”) “Corporation” means Tarion Warranty Corporation; (“Société”) “co-share arrangement” means an arrangement, in respect of a major structural defect claim made under the Act in respect of a condominium project or a home, under which the vendor of the project or the home, as the case may be, agrees in writing to pay the Corporation, (a) the least of the following amounts if the claim involves common elements of a condominium project: (i) the cost to the Corporation of resolving all major structural defect claims in respect of the common elements of the project, (ii) 5 per cent of the aggregate sale price of all homes in the project, (iii) $750,000, (iv) the maximum amount payable on the claim as a result of any other liability cap set out under the Act, or (b) the least of the following amounts if the claim involves a home but does not involve common elements: (i) the cost to the Corporation of resolving all major structural defect claims in respect of the home, (ii) 5 per cent of the sale price of the home, (iii) $300,000, (iv) the maximum amount payable on the claim as a result of any other liability cap set out under the Act; (“accord de partage des coûts”) “date of possession” means the date on which the home is completed for possession by an owner as specified in the applicable certificate of completion and possession; (“date de prise de possession”) “date of registration” means the date on which the declaration and description required by the Condominium Act, 1998 are registered in the proper land registry office in respect of a condominium project; (“date d’enregistrement”) “date of transfer” means the date on which deposits are applied on account of the purchase price payable under a purchase agreement with respect to a home; (“date de transfert”) “deposit receipt” means a receipt executed by the Corporation, with provision for execution by the vendor and the purchaser, confirming to the purchaser the benefits of the Plan in respect of the purchase agreement; (“récépissé de dépôt”) “deposits” means, in respect of a home, all money received before the date of possession by or on behalf of the vendor from a purchaser on account of the purchase price payable under a purchase agreement, and, in the case of a condominium dwelling unit, includes money received by or on behalf of the vendor after the date of possession and prior to the date of transfer but does not include money, (a) paid under the purchase agreement as rent or as an occupancy charge and not part of the purchase price, or (b) specified in the purchase agreement as money paid under subsection 80 (4) of the Condominium Act, 1998; (“dépôts”) “expected major repair schedule” has the same meaning as in Ontario Regulation 522/17 (Residential Condominium Conversion Projects — General) made under the Act; (“budget des réparations majeures prévues”) “grace period” means a period of time that commences on the day following the end of a relevant claim period or date for request for conciliation, as the case may be, and ends on a day 10 days later, or, if that day is not a business day, on the next business day; (délai de grâce) “initial period” means the period determined in accordance with section 2 of Ontario Regulation 520/17 (Residential Condominium Conversion Projects — Initial Period and Holding Pre-Existing Elements Fund) made under the Act; (“période initiale”) “insurers” means the insurers for the time being under any contract or contracts of insurance establishing the guarantee fund; (“assureurs”) “interest” means the interest at the rate or rates prescribed under the Condominium Act, 1998 required to be paid by the vendor on deposits; (“intérêt”) “major structural defect” means, (a) in respect of a post June 30, 2012 home, any defect in work or materials in respect of a building, including a crack, distortion or displacement of a structural load-bearing element of the building, if it, (i) results in failure of a structural load-bearing element of the building, (ii) materially and adversely affects the ability of a structural load-bearing element of the building to carry, bear and resist applicable structural loads for the usual and ordinary service life of the element, or (iii) materially and adversely affects the use of a significant portion of the building for usual and ordinary purposes of a residential dwelling and having regard to any specific use provisions set out in the purchase agreement for the home, or (b) in respect of a home that is enrolled after December 31, 1990 and that is not a post June 30, 2012 home, any defect in work or materials, including any defect that results in significant damage due to soil movement, major cracks in basement walls, collapse or serious distortion of joints or roof structure and chemical failure of materials, if the defect, (i) results in failure of the load-bearing portion of any building or materially and adversely affects its load-bearing function, or (ii) materially and adversely affects the use of such building for the purpose for which it was intended, but does not include any defect attributable in whole or in part to a Year 2000 compliance problem, flood damage, dampness not arising from failure of a load-bearing portion of the building, damage to drains or services, damage to finishes, malicious damage or damage arising from acts of God, acts of the owners or their tenants, licensees or invitees, acts of civil or military authorities or acts of war, riot, insurrection or civil commotion; (“vice de construction important”) “major structural defect claim period” means, (a) the period beginning immediately after the date of possession and ending on the seventh anniversary of the date of possession, in the case of a warranty claim made under section 4.6, or (b) the period beginning immediately after the registration date of the declaration and description for the condominium project and ending on the seventh anniversary of the registration date, in the case of a warranty claim made under section 5.7; (“période de réclamation pour vice de construction important”) “major structural defect form” means, (a) the form that the Corporation requires for a claim made under subsection 14 (4) of the Act for a home, in the case of a warranty claim made under section 4.6 of this Regulation, or (b) the form that the Corporation requires for a warranty claim that an owner makes in respect of the common elements of a condominium project and submits to the Corporation under subsection 14 (4) of the Act, in the case of a warranty claim made under section 5.7 of this Regulation; (“formule relative aux vices de construction importants”) “post June 30, 2012 home” means, (a) in the case of a home of a type not described in clause (c) of the definition of “home” in section 1 of the Act, a home where the parties signed the purchase agreement or the construction contract on or after July 1, 2012, and (b) in the case of a home of a type described in clause (c) of the definition of “home” in section 1 of the Act, a home where the first arm’s length purchase agreement for a home in the condominium project was signed on or after July 1, 2012; (“logement postérieur au 30 juin 2012”) “pre-delivery inspection date” means the date, on or before the date of possession, on which the vendor and either one or both of the purchaser and the purchaser’s designate conduct an inspection of the home; (“date de l’inspection préalable à la prise de possession”) “pre-existing elements” and “pre-existing elements fund” have the same meaning as in subsection 17.1 (1) of the Act; (“éléments préexistants”, “fonds des éléments préexistants”) “residential condominium conversion project” has the same meaning as in subsection 17.1 (1) of the Act; (“projet de conversion en condominiums à usage d’habitation”) “sale price of a home” means, in relation to a home, the total value of consideration payable, directly or indirectly, by or on behalf of an owner to or for the credit of the vendor pursuant to a purchase agreement for the home, excluding applicable taxes; (“prix de vente d’un logement”) “second-year claim period” means, (a) the period beginning immediately after the first anniversary of the date of possession and ending on the second anniversary of the date of possession, in the case of a warranty claim made under section 4.4, or (b) the period beginning immediately after the first anniversary of the registration date of the declaration and description for the condominium project and ending on the second anniversary of the registration date, in the case of a warranty claim made under section 5.6; (“période de réclamation de deuxième année”) “second-year form” means, (a) the form that the Corporation requires for a warranty claim that an owner submits to the Corporation during the second-year claim period, in the case of a warranty claim made under section 4.4 or 4.5.1, or (b) the form that the Corporation requires for a warranty claim that an owner makes in respect of the common elements of a condominium project and submits to the Corporation during the second-year claim period, in the case of a warranty claim made under section 5.6; (“formule de réclamation de deuxième année”) “soil movement” means subsidence, expansion or lateral movement of the soil not caused by flood, earthquake, act of God or any other cause beyond the reasonable control of the builder; (“mouvement du sol”) “special fund” means the amount within the guarantee fund that is established and maintained under section 8; (“fonds spécial”) “special fund claim” means a claim under subsection 14 (1) of the Act in respect of a purchase agreement, where the purchaser did not comply with section 2.1 of this Regulation; (“réclamation relative au fonds spécial”) “structural load-bearing element” means a structural portion or component of a building that is subjected to or designed to carry loads, excluding wind or earthquake loads, in addition to the weight of all permanent structural and non-structural components of the building; (“élément structural porteur”) “unit” has the same meaning as in subsection 1 (1) of the Condominium Act, 1998; (“partie privative”) “warranty certificate” means, in respect of any home or the common elements of any condominium project, the warranty certificate to be issued by the Corporation to the owner or condominium corporation, confirming the warranties provided for in section 13 of the Act; (“certificat de garantie”) “warranty claim” means a claim for breach of warranty under subsection 14 (3) or (4) of the Act; (“réclamation au titre de la garantie”) “warranty period”, for a warranty described in subsection 13 (1) of the Act, means the period beginning on the date on which the warranty takes effect under subsection 13 (3) or section 15 of the Act and ending on the date that the warranty expires; (“période de garantie”) “Year 2000 compliance problem” means a problem that results from, (a) a value for the current date that causes an interruption in operation, degradation in performance, change in functionality or misrepresentation of information, (b) data-based processing that does not behave consistently for dates prior to, during and after the year 2000, (c) data calculations involving either a single century or multiple centuries that cause an abnormal ending or generate incorrect results, or (d) failure to recognize the year 2000, or any year divisible by four, as a leap year. (“problème de conformité à l’an 2000”) R.R.O. 1990, Reg. 892, s. 1; O. Reg. 430/99, s. 1; O. Reg. 138/01, s. 1; O. Reg. 142/02, s. 1; O. Reg. 320/03, s. 1; O. Reg. 32/05, s. 1; O. Reg. 483/05, s. 1; O. Reg. 9/09, s. 1; O. Reg. 274/10, s. 1; O. Reg. 87/12, s. 1; O. Reg. 521/17, s. 1; O. Reg. 478/20, s. 1; O. Reg. 602/20, s. 2; O. Reg. 118/23, s. 2; O. Reg. 17/25, s. 1. PART II THE PLAN Confirmation of Final Sale Price 1.1 Upon the sale by a vendor of any home, including a contracted home, the builder or vendor shall provide to the Corporation confirmation of the final sale price, in the form required by the Corporation, to enable the Corporation to confirm or adjust the enrolment fee required by the Registrar. O. Reg. 602/20, s. 3. Delivery of Documents 2. In connection with the sale or construction of a home, the requirements for the delivery of documents under the Plan are as follows: 1. In the case of a condominium project, promptly following the provision of the required security and other assurances acceptable to the Corporation and the enrolment of the common elements of the condominium project, the Corporation shall, upon request by the vendor, deliver to the vendor a deposit receipt for every dwelling unit for which security and assurances were provided. 2. In connection with purchase agreements signed on or after February 1, 2021, at the place and at the time a purchase agreement is signed by a purchaser, the vendor shall ensure that the following documents are completed, signed as required and attached to each such purchase agreement: i. The Addendum required by the Corporation, prepared and attached in accordance with Ontario Regulation 165/08 (Warranty for Delayed Closing or Delayed Occupancy) made under the Act. ii. The Warranty Information Sheet required by the Corporation. 3. In connection with construction contracts signed on or after February 1, 2021, at the place and at the time a construction contract is signed by an owner, the builder shall ensure that the Warranty Information Sheet required by the Corporation is attached to the construction contract. 4. Within 30 days after the signing referred to in paragraph 2 or 3, the vendor or builder, as the case may be, shall submit to the Corporation, in writing, contact information for the purchaser or owner signing the purchase agreement or construction contract, including name, address and email address, if available. 5. On the date of possession, the vendor shall deliver to the owner a combined certificate of completion and possession and warranty certificate. 6. In the case of a condominium project that qualifies for warranty coverage on the common elements under the Act, on or promptly following the date of registration of the condominium corporation, the vendor shall deliver to the condominium corporation a combined certificate of completion and possession and warranty certificate for the common elements. 7. On the pre-delivery inspection date, the vendor shall complete and sign a certificate of completion and possession form and a pre-delivery inspection form approved by the Corporation and deliver a copy of the completed and signed forms to the purchaser or owner, as the case may be. 8. Within 15 days from the date of possession of each home sold by a vendor or constructed by a builder, the vendor or builder, as the case may be, shall submit to the Corporation the completed and signed certificate of completion and possession form mentioned in paragraph 7. 9. Upon the request of the owner or the Corporation, the vendor or builder, as the case may be, shall provide to the owner and the Corporation a completed and signed copy of the pre-delivery inspection form mentioned in paragraph 7. O. Reg. 602/20, s. 4. Information Regarding Purchase Transaction 2.1 (1) This section applies in respect of a purchase agreement entered into on or after April 1, 2026 in respect of a home of the type referred to in clause (a) or (b) of the definition of “home” in subsection 1 (1) of the Act that is neither a contracted home nor a unit in a condominium project. O. Reg. 17/25, s. 2; O. Reg. 128/25, s. 1; O. Reg. 388/25, s. 1. (2) The purchaser shall, within 45 days after entering into the purchase agreement, provide the following information through the Corporation’s designated portal for purchasers and owners on the Internet or by delivering the information in writing to the Corporation: 1. Notice of the existence of the purchase agreement. 2. Particulars of the transaction and property, including the following: i. Name and contact information of the purchaser. ii. Name of the vendor. iii. The municipal address or other description or identifier of the property. iv. The amount of total deposits paid or to be paid under the terms of the purchase agreement. O. Reg. 17/25, s. 2. Certificates of Completion and Possession 3. (1) When, pursuant to a purchase agreement or construction contract, a home is completed for possession by the owner, the vendor or builder shall complete and execute the form of certificate of completion and possession required by the Corporation setting forth the date of possession and the name of the builder (if other than the vendor), identifying any surface defects in work and materials not accepted by the owner and listing any unfinished work. R.R.O. 1990, Reg. 892, s. 3 (1); O. Reg. 142/02, s. 3 (1). (2) In the case of a condominium project that qualifies for warranty coverage on the common elements under the Act, the vendor shall similarly complete and execute the form of certificate of completion and possession required by the Corporation for the common elements, setting forth the date of registration, identifying any surface defects in work and materials in respect of the common elements not accepted by the condominium corporation and listing any unfinished work required in connection with the common elements. R.R.O. 1990, Reg. 892, s. 3 (2); O. Reg. 142/02, s. 3 (2). Part II.1 Claims Claims — Not Condominium Common Elements 4. (1) Each person with a claim under the Plan shall give written notice of the claim to the Corporation in the format that the Corporation specifies. R.R.O. 1990, Reg. 892, s. 4 (1); O. Reg. 483/05, s. 2 (1). (2) Forthwith upon receipt by the Corporation of such notice, the Corporation shall furnish or make available to the claimant with such forms as it or the insurers may reasonably require for the purpose of establishing and verifying the claimant’s loss. R.R.O. 1990, Reg. 892, s. 4 (2); O. Reg. 483/05, s. 2 (2). (3) Revoked: O. Reg. 483/05, s. 2 (3). (4) Promptly after receipt by the Corporation of all information reasonably required to be furnished to it in respect of the claim and after determination of any disputes between the claimant and the vendor as to the liability of the vendor, the Corporation shall serve notice of its decision under section 14 of the Act. R.R.O. 1990, Reg. 892, s. 4 (4). (5) Claims or conciliations for delayed closing or delayed occupancy made under Ontario Regulation 165/08 (Warranty for Delayed Closing or Delayed Occupancy) made under the Act for all homes with a date of possession on or after May 1, 2004 shall be made in accordance with the administrative procedures for delayed closing or delayed occupancy published by the Corporation. O. Reg. 117/04, s. 1; O. Reg. 166/08, s. 1. (6) The fees payable by the vendor in connection with conciliations for delayed closing or delayed occupancy made under Ontario Regulation 165/08 (Warranty for Delayed Closing or Delayed Occupancy) made under the Act for all homes with a date of possession on or after May 1, 2004 are as set out in sections 4.0.1 and 4.0.2. O. Reg. 117/04, s. 1; O. Reg. 166/08, s. 1; O. Reg. 172/09, s. 2; O. Reg. 521/17, s. 3. 4.0.1 (1) This section applies, and subsection 4 (5) does not apply, to all requests for conciliation of a claim made under section 2 or 3 of Ontario Regulation 165/08 (Warranty for Delayed Closing or Delayed Occupancy) made under the Act, for every home with a date of possession on or after May 1, 2004. O. Reg. 521/17, s. 4. (2) The delayed occupancy administration fee payable by the vendor for a request for conciliation of a claim made under section 2 or 3 of Ontario Regulation 165/08 (Warranty for Delayed Closing or Delayed Occupancy) made under the Act for a home in accordance with the Corporation’s administrative procedures is, (a) $600, if the home has a date of possession between May 1, 2004 and December 31, 2004, both inclusive; (b) $1,200, if the home has a date of possession between January 1, 2005 and December 31, 2005, both inclusive; or (c) $600, if the home has a date of possession on or after January 1, 2006. O. Reg. 521/17, s. 4. (3) The delayed occupancy re-assessment fee payable by the vendor for re-assessment of a decision of the Corporation in respect of a claim made under section 2 or 3 of Ontario Regulation 165/08 (Warranty for Delayed Closing or Delayed Occupancy) made under the Act, for a home with a date of possession on or after May 1, 2004 in accordance with the Corporation’s administrative procedures is $350. O. Reg. 521/17, s. 4. (4) The delayed occupancy re-assessment fee is non-refundable. O. Reg. 521/17, s. 4. 4.0.2 The delayed closing or occupancy administration fee payable by the vendor in respect of a claim for compensation made based on a warranty described in section 5 or 6 of Ontario Regulation 165/08 (Warranty for Delayed Closing or Delayed Occupancy) made under the Act is $500 if a conciliation is needed to settle the claim and if the Corporation pays any part of the claim. O. Reg. 521/17, s. 4. 4.1 (1) Subsections 4 (1) and (2), this section and sections 4.2 to 4.6 apply, and subsections 4 (4), (5) and (6) do not apply, to all claims made in respect of homes with a date of possession on or after October 1, 2003, excluding, (a) claims made in respect of the common elements of a condominium project; and (b) claims for delayed closing or delayed occupancy made under Ontario Regulation 165/08 (Warranty for Delayed Closing or Delayed Occupancy) made under the Act in respect of homes with a date of possession on or after May 1, 2004. O. Reg. 117/04, s. 2 (1); O. Reg. 483/05, s. 3 (1); O. Reg. 166/08, s. 1. (2) Revoked: O. Reg. 9/09, s. 2 (1). (3) Revoked: O. Reg. 478/20, s. 2. (4)-(7) Revoked: O. Reg. 87/12, s. 2. (8) Submission by regular mail is effective on, (a) the post-mark date if the Corporation receives it within 10 days of the expiry of the period during which this section or any of sections 4.2 to 4.6 permit the submission; or (b) the date that the Corporation receives it, otherwise. O. Reg. 483/05, s. 3 (4). (9) Revoked: O. Reg. 274/10, s. 4. Initial Claims (Date of Possession Before May 1, 2024) 4.2 (1) In this section, “initial claim form” means the form that the Corporation requires for a warranty claim that an owner submits to the Corporation during the initial claim period and includes a form that is consolidated under subsection (4); (“formule de réclamation initiale”) “initial claim period” means, with respect to a warranty claim with respect to a home, the 31-day period beginning immediately after the date of possession, if the home has a date of possession on or after September 1, 2005. (“période de réclamation initiale”) O. Reg. 478/20, s. 3; O. Reg. 118/23, s. 3 (1). (1.1) This section applies with respect to homes, excluding the common elements of a condominium project, with a date of possession that is before May 1, 2024. O. Reg. 118/23, s. 3 (2). (2) In order to make an initial claim, the owner shall complete and submit to the Corporation an initial claim form. O. Reg. 478/20, s. 3. (3) An owner may submit one or more initial claim forms for a home or amend an initial claim form for a home during the initial claim period or during the following grace period. O. Reg. 478/20, s. 3. (4) If the owner submits more than one initial claim form for a home, or amends an initial claim form, then the Corporation shall consolidate the claims after the grace period following the initial claim period. O. Reg. 478/20, s. 3. (5) If an owner submits one or more initial claim forms to the Corporation as described in subsection (3), the vendor shall have until the end of the 120th day after the grace period described in subsection (3) to repair or resolve the claim items listed on the form or forms that are covered by a warranty. O. Reg. 478/20, s. 3. (6) If the vendor does not repair or resolve all of the claim items listed on the initial claim form by the end of the 120-day repair period provided for in subsection (5), the owner may request a conciliation by contacting the Corporation at any time during the period that begins immediately following the 120-day repair period and that ends after 30 days plus a grace period. O. Reg. 478/20, s. 3. (7) If the owner does not request a conciliation under subsection (6) or if the owner cancels the conciliation requested under that subsection, the owner shall be deemed to have withdrawn all claim items listed on the initial claim form that the vendor does not repair or resolve by the end of the 120-day repair period. O. Reg. 478/20, s. 3. (8) If the owner requests a conciliation under subsection (6), the vendor shall have 30 days after the date of the owner’s request to repair or resolve all of the claim items listed on the initial claim form that are covered by a warranty. O. Reg. 478/20, s. 3. (9) The owner may resubmit a warranty claim in accordance with section 4.3, 4.4 or 4.6 for any claim item that subsection (7) deems the owner to have withdrawn, if the warranty period applicable to the claim item has not expired before the date of resubmission. O. Reg. 478/20, s. 3. (10) Subject to subsection (11), an owner who is the owner of a unit in a residential condominium conversion project and who receives money from the pre-existing elements fund shall, before spending any of the money on the pre-existing elements of the unit in accordance with the expected major repair schedule for the project during the initial period, (a) if so spending the money could be the subject of a claim under subsection 14 (3) of the Act, make a claim on an initial claim form in respect of the pre-existing elements of the unit and comply with the process specified in this Regulation for making the claim; and (b) give the vendor in relation to the project and the Corporation the opportunity to inspect the condition of the pre-existing elements of the unit that are the subject of the claim before any work is done on them. O. Reg. 478/20, s. 3; O. Reg. 118/23, s. 1. (11) Subsection (10) does not apply to major repairs to pre-existing elements that are not covered by the warranty described in subclause 13 (1) (a) (i) of the Act by virtue of subsection 17.2 (2) of the Act. O. Reg. 478/20, s. 3. (12) An owner who does not comply with subsection (10) shall be deemed to have waived any right to make a warranty claim or to receive compensation from the guarantee fund in respect of the pre-existing elements of the unit. O. Reg. 478/20, s. 3. Year-End Claims (Date of Possession Before May 1, 2024) 4.3 (1) In this section, “year-end claim period” means the period that begins at the end of the grace period following the initial claim period provided for in subsection 4.2 (3) and that ends on the first anniversary of the date of possession; (“période de réclamation de fin d’année”) “year-end form” means the form that the Corporation requires for a warranty claim that an owner submits to the Corporation during the year-end claim period and includes a form that is consolidated under subsection (4). (“formule de réclamation de fin d’année”) O. Reg. 478/20, s. 3; O. Reg. 118/23, s. 4 (1). (1.1) This section applies with respect to homes, excluding the common elements of a condominium project, with a date of possession that is before May 1, 2024. O. Reg. 118/23, s. 4 (2). (2) In order to make a year-end claim, the owner shall complete and submit to the Corporation a year-end form. O. Reg. 478/20, s. 3. (3) An owner may submit to the Corporation one or more year-end forms or amend such forms with respect to the home at any time during, (a) the year-end claim period; or (b) a grace period following the year-end claim period, as long as the claim items submitted during the grace period were communicated by the owner to the vendor after the date of possession and before the first anniversary of the date of possession in writing and in a manner that the owner and vendor used to communicate information regarding the home. O. Reg. 478/20, s. 3. (4) If the owner submits more than one year-end form for a home, or amends a year-end form, then the Corporation shall consolidate the claims made in accordance with subsection (3) after the grace period described in clause (3) (b). O. Reg. 478/20, s. 3. (5) If an owner submits one or more year-end forms to the Corporation as described in subsection (3), the vendor shall have until the end of the 120th day after the end of the grace period referred to in clause (3) (b) to repair or resolve the claim items that are listed on the form or forms and that are covered by a warranty. O. Reg. 478/20, s. 3. (6) If the vendor does not repair or resolve all of the claim items listed on the year-end form or the consolidated form referred to in subsection (4) by the end of the 120-day repair period provided for in subsection (5), the owner may request a conciliation by contacting the Corporation at any time during the period that begins immediately following the 120-day repair period and that ends after 30 days plus a grace period. O. Reg. 478/20, s. 3. (7) If the owner does not request a conciliation under subsection (6) or if the owner cancels the conciliation requested under that subsection, the owner shall be deemed to have withdrawn all claim items listed on the year-end form that the vendor does not repair or resolve by the end of the 120-day repair period. O. Reg. 478/20, s. 3. (8) If the owner requests a conciliation under subsection (6), the vendor shall have 30 days after the date of the owner’s request to repair or resolve all of the claim items listed on the year-end form that are covered by a warranty. O. Reg. 478/20, s. 3. (9) The owner may resubmit a warranty claim in accordance with section 4.4 or 4.6 for any claim item that subsection (7) deems the owner to have withdrawn, if the warranty period applicable to the claim item has not expired before the date of resubmission. O. Reg. 478/20, s. 3. (10) Subject to subsection (11), an owner who is the owner of a unit in a residential condominium conversion project and who receives money from the pre-existing elements fund shall, before spending any of the money on the pre-existing elements of the unit in accordance with the expected major repair schedule for the project during the initial period, (a) if so spending the money could be the subject of a claim under subsection 14 (3) of the Act, make a claim on a year-end form in respect of the pre-existing elements of the unit and comply with the process specified in this Regulation for making the claim; and (b) give the vendor in relation to the project and the Corporation the opportunity to inspect the condition of the pre-existing elements of the unit that are the subject of the claim before any work is done on them. O. Reg. 478/20, s. 3; O. Reg. 118/23, s. 1. (11) Subsection (10) does not apply to major repairs to pre-existing elements that are not covered by the warranty described in subclause 13 (1) (a) (i) of the Act by virtue of subsection 17.2 (2) of the Act. O. Reg. 478/20, s. 3. (12) An owner who does not comply with subsection (10) shall be deemed to have waived any right to make a warranty claim or to receive compensation from the guarantee fund in respect of the pre-existing elements of the unit. O. Reg. 478/20, s. 3. Second-Year Claims 4.4 (1) This section applies with respect to homes, excluding the common elements of a condominium project, with a date of possession that is before May 1, 2024. O. Reg. 118/23, s. 5. (2) In order to make a warranty claim during the second-year claim period, the owner shall complete and submit to the Corporation a second-year form. O. Reg. 320/03, s. 3; O. Reg. 9/09, s. 5 (1). (3) Subject to subsection (4) and section 5.1, if an owner submits a second-year form to the Corporation during the second-year claim period, the vendor shall have until the end of the 150th day from the date on which the Corporation receives the form to repair or resolve the claim items that are listed on the form and that are covered by a warranty. O. Reg. 320/03, s. 3; O. Reg. 483/05, s. 6 (2); O. Reg. 9/09, s. 5 (2). (4) If the vendor does not repair or resolve all of the claim items listed on the second-year form by the 120th day from the date on which the Corporation receives the form, the owner may request a conciliation by contacting the Corporation at any time between the 121st day and the 150th day, both inclusive, from the date on which the Corporation receives the form. O. Reg. 320/03, s. 3. (5) If the owner does not request conciliation under subsection (4), or if the owner cancels the conciliation requested under that subsection, the owner shall be deemed to have withdrawn all claim items listed on the second-year form that the vendor does not repair or resolve by the end of the 150th day after the date on which the Corporation receives the form. O. Reg. 483/05, s. 6 (3). (6) If the owner requests conciliation under subsection (4), the vendor shall have 30 days after the date of the owner’s request to repair or resolve all of the claim items listed on the second-year form that are covered by warranty. O. Reg. 483/05, s. 6 (3). (7) The owner may resubmit a warranty claim in accordance with this section or section 4.6 for any claim item that subsection (5) deems the owner to have withdrawn, if the warranty period applicable to the claim item has not expired before the date of resubmission. O. Reg. 483/05, s. 6 (3). (8) Subject to subsection (9), an owner who is the owner of a unit in a residential condominium conversion project and who receives money from the pre-existing elements fund shall, before spending any of the money on the pre-existing elements of the unit in accordance with the expected major repair schedule for the project during the initial period, (a) if so spending the money could be the subject of a claim under subsection 14 (3) of the Act, make a claim on a second-year form in respect of the pre-existing elements of the unit and comply with the process specified in this Regulation for making the claim; and (b) give the vendor in relation to the project and the Corporation the opportunity to inspect the condition of the pre-existing elements of the unit that are the subject of the claim before any work is done on them. O. Reg. 521/17, s. 7; O. Reg. 118/23, s. 1. (9) Subsection (8) does not apply to major repairs to pre-existing elements that are not covered by the warranty described in subclause 13 (1) (a) (i) of the Act by virtue of subsection 17.2 (2) of the Act. O. Reg. 521/17, s. 7. (10) An owner who does not comply with subsection (8) shall be deemed to have waived any right to make a warranty claim or to receive compensation from the guarantee fund in respect of the pre-existing elements of the unit. O. Reg. 521/17, s. 7. Initial Claims, Mid-Year Claims and Year-End Claims (Date of Possession On or After May 1, 2024) 4.5 (1) This section applies with respect to homes, excluding the common elements of a condominium project, with a date of possession that is on or after May 1, 2024. O. Reg. 118/23, s. 6. (2) For the purposes of this section, the following claim periods are established: 1. The initial claim period, which is the 40-day period beginning on the day after the date of possession. 2. The mid-year claim period, which is the period beginning on the day after the initial claim period ends and ending on the 183rd day after the date of possession. 3. The year-end claim period, which is the period beginning on the day after the mid-year claim period ends and ending on the first anniversary of the date of possession. O. Reg. 118/23, s. 6; O. Reg. 179/24, s. 1. (3) In order to make an initial claim, a mid-year claim or a year-end claim, the owner shall complete and submit to the Corporation, during the applicable claim period, the form required by the Corporation for a claim made during that period. O. Reg. 118/23, s. 6. (4) A year-end claim may also be submitted during the period that commences on the day following the end of the year-end claim period and ends on a day 10 days later or, if that day is not a business day, on the next business day, provided that, before the first anniversary of the date of possession, the owner had informed the vendor, in writing, of the claim items that make up the claim using a means of communication used by the owner and vendor to communicate information regarding the home. O. Reg. 118/23, s. 6. (5) During the applicable claim period, the owner may, for a home, submit one or more claim forms of the type required for the applicable claim period or amend such a claim form. O. Reg. 118/23, s. 6. (6) If an owner makes an initial claim, a mid-year claim or a year-end claim, the following process applies: 1. If the owner submits more than one claim form for a home or amends a claim form during the applicable claim period, the Corporation shall consolidate the claim items into a consolidated claim form and make the consolidated claim form available to the owner and the vendor as soon as reasonably possible following the end of the applicable claim period. 2. Subject to paragraph 4, the vendor shall have until the end of the repair period to repair or resolve the claim items listed on the claim form that are covered by the warranty, the repair period being a period of 120 days that, i. in the case of an initial claim, begins on the 42nd day after the date of possession and ends on the 162nd day after the date of possession, ii. in the case of a mid-year claim, begins on the184th day after the date of possession and ends on the 304th day after the date of possession, or iii. in the case of a year-end claim, begins on the day after the first anniversary of the date of possession and ends on the 486th day after the date of possession. 3. The owner may request a conciliation by contacting the Corporation at any time during the period that, i. in the case of an initial claim, begins on the 42nd day after the date of possession and ends on the last day of the mid-year claim period, ii. in the case of a mid-year claim, begins on the184th day after the date of possession and ends on the last day of the year-end claim period, or iii. in the case of a year-end claim, begins on the 366th day after the date of possession and ends on the 516th day after the date of possession. 4. If the owner requests a conciliation in accordance with paragraph 3, the vendor shall have an additional 30 days to repair or resolve the items listed on the claim that are covered under warranty, and this 30-day period begins on, i. the day after the applicable repair period under paragraph 2 ends, if the conciliation was requested during that repair period, or ii. the day on which the conciliation was requested, if the conciliation was requested after the applicable repair period. 5. The Corporation shall not conduct a conciliation inspection as part of a conciliation request until the 30-day period referred to in paragraph 4 has expired. 6. If the owner does not request a conciliation in accordance with paragraph 3 or cancels a conciliation requested in accordance with that paragraph, the owner is deemed to have withdrawn all claim items listed on the claim form submitted by the owner or on the consolidated claim form prepared by the Corporation, as the case may be. O. Reg. 118/23, s. 6. (7) If the owner is deemed to have withdrawn any claim items under paragraph 6 of subsection (6), the owner may resubmit the claim items under this section during a subsequent claim period under subsection (2), if there is one, by using the claim form required for that claim period, or in accordance with section 4.5.1 or 4.6, provided that, (a) the warranty period applicable to the claim item has not expired before the date of the resubmission; and (b) the item has not already been assessed and that assessment communicated in a conciliation assessment report. O. Reg. 118/23, s. 6. (8) Subject to subsection (9), an owner who is the owner of a unit in a residential condominium conversion project and who receives money from the pre-existing elements fund shall, before spending any of the money on the pre-existing elements of the unit in accordance with the expected major repair schedule for the project during the initial period, (a) if so spending the money could be the subject of a claim under subsection 14 (3) of the Act, make a claim on the claim form required for the applicable claim period in respect of the pre-existing elements of the unit and comply with the process specified in this Regulation for making the claim; and (b) give the vendor in relation to the project and the Corporation the opportunity to inspect the condition of the pre-existing elements of the unit that are the subject of the claim before any work is done on them. O. Reg. 118/23, s. 6. (9) Subsection (8) does not apply to major repairs to pre-existing elements that are not covered by the warranty described in subclause 13 (1) (a) (i) of the Act by virtue of subsection 17.2 (2) of the Act. O. Reg. 118/23, s. 6. (10) An owner who does not comply with subsection (8) shall be deemed to have waived any right to make a warranty claim or to receive compensation from the guarantee fund in respect of the pre-existing elements of the unit. O. Reg. 118/23, s. 6. Second-Year Claims (Date of Possession On or After May 1, 2024) 4.5.1 (1) This section applies with respect to homes, excluding the common elements of a condominium project, with a date of possession that is on or after May 1, 2024. O. Reg. 118/23, s. 6. (2) In order to make a warranty claim during the second-year claim period, the owner shall complete and submit to the Corporation a second-year form. O. Reg. 118/23, s. 6. (3) If the owner submits a second-year form to the Corporation during the second-year claim period, (a) the Corporation shall advise the vendor that the form has been received and provide a copy of the form to the vendor; and (b) the vendor shall have until the end of the 120th day after the date on which the vendor receives the form to repair or resolve the claim items that are listed on the form and that are covered by a warranty. O. Reg. 118/23, s. 6. (4) If the vendor does not repair or resolve all the claim items listed on the second-year form by the 120th day after the date on which the vendor was advised by the Corporation of the receipt of the form, the owner may request a conciliation by contacting the Corporation at any time during the period beginning on the 121st day and ending on the 160th day after the date on which the vendor was advised by the Corporation of the receipt of the form. O. Reg. 118/23, s. 6. (5) If the owner requests a conciliation in accordance with subsection (4), the vendor shall have an additional 30 days after the date of the owner’s request to repair or resolve the claim items listed on the second-year form that are covered by a warranty. O. Reg. 118/23, s. 6. (6) The Corporation shall not conduct a conciliation inspection as part of a conciliation requested in accordance with subsection (4) until the 30-day period referred to in subsection (5) has expired. O. Reg. 118/23, s. 6. (7) If the owner does not request a conciliation in accordance with subsection (4) or if the owner cancels the conciliation requested in accordance with that subsection, the owner is deemed to have withdrawn all claim items listed on the second-year form. O. Reg. 118/23, s. 6. (8) If the owner is deemed to have withdrawn any claim items listed on the second-year form under subsection (7), the owner may resubmit the items in accordance with this section or section 4.6, provided that, (a) the warranty period applicable to the claim item has not expired before the date of resubmission; and (b) the item has not already been assessed and that assessment communicated in a conciliation assessment report. O. Reg. 118/23, s. 6.

(9) Subject to subsection (10), an owner who is the owner of a unit in a residential condominium conversion project and who receives money from the pre-existing elements fund shall, before spending any of the money on the pre-existing elements of the unit in accordance with the expected major repair schedule for the project during the initial period, (a) if so spending the money could be the subject of a claim under subsection 14 (3) of the Act, make a claim on a second-year form in respect of the pre-existing elements of the unit and comply with the process specified in this Regulation for making the claim; and (b) give the vendor in relation to the project and the Corporation the opportunity to inspect the condition of the pre-existing elements of the unit that are the subject of the claim before any work is done on them. O. Reg. 118/23, s. 6. (10) Subsection (9) does not apply to major repairs to pre-existing elements that are not covered by the warranty described in subclause 13 (1) (a) (i) of the Act by virtue of subsection 17.2 (2) of the Act. O. Reg. 118/23, s. 6. (11) An owner who does not comply with subsection (8) shall be deemed to have waived any right to make a warranty claim or to receive compensation from the guarantee fund in respect of the pre-existing elements of the unit. O. Reg. 118/23, s. 6. Major Structural Defect Claims — Years 3 through 7 4.6 (1) Revoked: O. Reg. 274/10, s. 6. (2) In order to make a claim under subsection 14 (4) of the Act for a home that is not a post June 30, 2012 home, the owner shall complete and submit to the Corporation a major structural defect form during the major structural defect claim period. O. Reg. 9/09, s. 6; O. Reg. 87/12, s. 3. (3) After receiving a major structural defect form for a home, the Corporation shall, within the time period specified in subsection (4), (a) conduct an inspection of the home or an assessment of the claim items listed on the form, without doing an inspection of the home; and (b) issue to the owner a report setting out the Corporation’s assessment of the claim items listed on the form. O. Reg. 483/05, s. 8; O. Reg. 87/12, s. 3 (2). (4) For the purpose of subsection (3), the time period is, (a) the 10 days after the Corporation receives the major structural defect form, if the home has a date of possession on or after October 1, 2003 and before September 1, 2005; or (b) the 30 days after the Corporation receives the major structural defect form, if the home has a date of possession on or after September 1, 2005. O. Reg. 483/05, s. 8; O. Reg. 87/12, s. 3 (2). (5) An owner who is the owner of a unit in a residential condominium conversion project and who receives money from the pre-existing elements fund shall, before spending any of the money on the pre-existing elements of the unit in accordance with the expected major repair schedule for the project during the initial period, (a) if so spending the money could be the subject of a claim under subsection 14 (4) of the Act, make a claim on a major structural defect form in respect of the pre-existing elements of the unit and comply with the process specified in this Regulation for making the claim; and (b) give the vendor in relation to the project and the Corporation the opportunity to inspect the condition of the pre-existing elements of the unit that are the subject of the claim before any work is done on them. O. Reg. 521/17, s. 8; O. Reg. 118/23, s. 1. (6) An owner who does not comply with subsection (5) shall be deemed to have waived any right to make a warranty claim or to receive compensation from the guarantee fund in respect of the pre-existing elements of the unit. O. Reg. 521/17, s. 8. Claims Under Subsection 14 (1) of the Act – Purchase Agreement Entered into On or After April 1, 2026 4.7 (1) This section and section 4.8 apply to purchase agreements entered into on or after April 1, 2026 in respect of a home, and subsection 5 (1) does not apply to those purchase agreements. O. Reg. 17/25, s. 2; O. Reg. 128/25, s. 2; O. Reg. 388/25, s. 2. (2) In order to make a claim under subsection 14 (1) of the Act, the purchaser shall, no later than the first anniversary of the day the purchase agreement was terminated, submit to the Corporation a claim form required by the Corporation. O. Reg. 17/25, s. 2. (3) A purchaser is not entitled to payment under subsection 14 (1) of the Act if the claim form is submitted later than the first anniversary of the day the purchase agreement was terminated. O. Reg. 17/25, s. 2. (4) For the purposes of subsections (2) and (3), the day the purchase agreement was terminated is the earliest of the following days: 1. The day on which the purchaser exercised a statutory right to rescind the contract before closing. 2. The first day on which the purchaser has a cause of action against the vendor under subclause 14 (1) (b) (i) or (ii) of the Act. O. Reg. 17/25, s. 2. (5) The purchaser shall provide such information as the Corporation reasonably requires in order to assess the claim, as set out in the claim form. O. Reg. 17/25, s. 2. 4.8 (1) Upon receipt of the information required under section 4.7 in accordance with that section, the Corporation shall use reasonable efforts to notify the vendor of the purchaser’s claim. O. Reg. 17/25, s. 2. (2) Upon receipt of notification under subsection (1), the vendor may, no later than 30 days following receipt of the notification, resolve the claim. O. Reg. 17/25, s. 2. (3) The Corporation shall conduct a conciliation if, (a) after the 30-day period mentioned in subsection (2), the claim has not been resolved; or (b) the vendor cannot reasonably be notified of the claim. O. Reg. 17/25, s. 2. (4) Upon completion of the conciliation, the Corporation shall, as soon as reasonably possible, issue a conciliation assessment report to the purchaser and the vendor. O. Reg. 17/25, s. 2. (5) If, after 30 days following the issuance of the conciliation assessment report, the vendor has not resolved the claim in accordance with the conciliation assessment report, the Corporation shall pay compensation to the purchaser in accordance with subsection 14 (1) of the Act and sections 4.9 and 6.1 of this Regulation. O. Reg. 17/25, s. 2. Special Fund Claims Under Subsection 14 (1) of the Act 4.9 (1) This section applies in respect of a purchase agreement entered into on or after January 1, 2027 for which a claim has been submitted under section 4.7 if the purchaser did not comply with section 2.1 in respect of the purchase agreement. O. Reg. 17/25, s. 2; O. Reg. 388/25, s. 3; O. Reg. 95/26, s. 1 (1). (2) No later than March 1 in each calendar year starting in 2028, the Corporation shall calculate, in respect of all claims described in subsection (1) that were submitted in the previous calendar year, the total amount of compensation that would have been payable if the purchasers who submitted the claims had complied with section 2.1 such that the limits set out in subsection 6.1 (2) would have applied. O. Reg. 17/25, s. 2; O. Reg. 95/26, s. 1 (2). (3) If the amount determined under subsection (2) is $15,000,000 or less, as soon as reasonably possible, the Corporation shall issue a conciliation assessment report to each applicable purchaser and vendor and pay compensation in respect of the claim out of the special fund, in accordance with the report. O. Reg. 17/25, s. 2; O. Reg. 95/26, s. 1 (3). (4) If the amount determined under subsection (2) exceeds $15,000,000, the maximum amount of compensation payable out of the special fund to a purchaser for a claim described in subsection (1) that was submitted in the previous calendar year is the amount determined by applying the following formula: X = A × (15,000,000/B) Where, X = the maximum amount of compensation payable out of the special fund to the purchaser for the claim, A = the amount that the purchaser would have been entitled to, had the purchaser complied with section 2.1 such that the limits set out in subsection 6.1 (2) would have applied, B = the sum of the amounts of all valid special fund claims submitted in the same calendar year. O. Reg. 17/25, s. 2; O. Reg. 95/26, s. 1 (4). (5) As soon as reasonably possible after the Corporation has completed the calculation under subsection (4), the Corporation shall issue a conciliation assessment report to the purchaser and vendor and pay compensation in respect of the claim out of the special fund, in accordance with the report. O. Reg. 17/25, s. 2. Conciliation of Disputes 5. (0.1) Section 4 applies, and subsection 5 (2) and section 5.1 do not apply, to claims and conciliations for delayed closing or delayed occupancy made under Ontario Regulation 165/08 (Warranty for Delayed Closing or Delayed Occupancy) made under the Act for all homes with a date of possession on or after May 1, 2004. O. Reg. 117/04, s. 4; O. Reg. 166/08, s. 1. (1) An owner who requires conciliation of a dispute between the owner and the vendor shall make request therefor to the Corporation and both the owner and the vendor shall each pay to the Corporation the applicable conciliation fee set out in subsections (2) and (2.1). R.R.O. 1990, Reg. 892, s. 5 (1); O. Reg. 521/17, s. 9 (1). (2) The fee payable by an owner of a dwelling unit for a conciliation of a dispute under subsection (1) is, (a) $50, if the request for conciliation is made before July 1, 2009; or (b) $250, if the request for conciliation is made on or after July 1, 2009. O. Reg. 521/17, s. 9 (2). (2.1) The fee payable by a vendor of a dwelling unit for a conciliation of a dispute under subsection (1) is, (a) if the request for conciliation is made before July 1, 2009, (i) no fee for the first conciliation with respect to each 25 units or fewer sold by the vendor, or (ii) $550 for each conciliation after the first conciliation with respect to each 25 units or fewer sold by the vendor; or (b) $1,000, if the request for conciliation is made on or after July 1, 2009. O. Reg. 521/17, s. 9 (2). (3) revoked: O. Reg. 118/23, s. 7. (4) If the Corporation determines that the conciliation reveals one or more defects that is covered by a warranty or a right of compensation under section 14 of the Act, the Corporation shall refund to the purchaser or owner, as the case may be, the conciliation fee paid by the purchaser or owner. O. Reg. 17/25, s. 3. (5) If the Corporation determines that the conciliation should not be chargeable to the vendor, the Corporation shall refund to the vendor the conciliation fee paid by the vendor. O. Reg. 172/09, s. 3. 5.1 (1) This section applies, and subsection 5 (1) does not apply, to all homes, excluding the common elements of a condominium project, with a date of possession on or after October 1, 2003 but before July 1, 2023. O. Reg. 320/03, s. 4; O. Reg. 118/23, s. 8. (2) If an owner requests conciliation in accordance with section 4.2, 4.3 or 4.4, the Corporation shall, at any time between the 30th day and the 60th day, both inclusive, from the date of the request for conciliation, conduct a conciliation and issue to the owner and the vendor a report setting out the Corporation’s assessment of whether the claim items are covered by a warranty and the repairs or compensation, if any, required. O. Reg. 320/03, s. 4; O. Reg. 483/05, s. 10. (3) The vendor shall have a further 30 days from the date on which the report is issued to complete the repairs or pay the compensation required in the report. O. Reg. 320/03, s. 4. (4) If the vendor does not complete the repairs or pay the compensation, the Corporation shall, subject to subsection 14 (3) of the Act and section 6, pay the compensation out of the guarantee fund to the owner or shall perform or arrange for the performance of the repairs. O. Reg. 320/03, s. 4. 5.1.1 (1) This section applies, and subsection 5 (1) does not apply, to all homes, excluding the common elements of a condominium project, with a date of possession that is on or after July 1, 2023. O. Reg. 118/23, s. 9. (2) If the owner requests a conciliation in accordance with section 4.2, 4.3, 4.4, 4.5 or 4.5.1 and pays any required conciliation fee, the Corporation shall, (a) within 15 days after the day on which both the request and the fee have been received, schedule a date and time for a conciliation inspection; and (b) carry out a conciliation inspection as soon as reasonably possible after the expiry of the additional 30-day period accorded to the vendor under the applicable section to repair or resolve the claim items that are covered by a warranty. O. Reg. 118/23, s. 9. (3) After conducting a conciliation inspection as part of a conciliation requested under section 4.2, 4.3, 4.4, 4.5 or 4.5.1, the Corporation shall provide the owner and the vendor with a conciliation assessment report within 30 days after the date of the inspection. O. Reg. 118/23, s. 9. (4) Despite subsection (3), if circumstances beyond the reasonable control of the Corporation result in the Corporation being unable to provide the owner and the vendor with a conciliation assessment report within the 30-day timeline described in that subsection, the Corporation shall, (a) within that timeline, provide the owner and the vendor with a report as to the status of the warranty assessment and the reasons for the delay in the delivery of the conciliation assessment report; and (b) provide the conciliation assessment report as soon as reasonably possible in the circumstances after having provided the status report. O. Reg. 118/23, s. 9. (5) The vendor shall have a further 30 days from the date on which the conciliation assessment report is issued to, in respect of warranted claim items set out in the conciliation report, complete necessary repairs, pay compensation or otherwise resolve the claim items in accordance with the Act and the regulations. O. Reg. 118/23, s. 9. (6) If the vendor fails to resolve a warranted claim as required by subsection (5), the Corporation shall pay compensation out of the guarantee fund to the owner, perform or arrange for the performance of necessary repairs or otherwise resolve the warranted claim items in accordance with the Act and regulations. O. Reg. 118/23, s. 9. Claims — Condominium Common Elements 5.2 (1) In sections 5.3 to 5.8, “first-year claim period” means the period beginning immediately after the registration date of the declaration and description for the condominium project and ending on the first anniversary of that date; (“période de réclamation de première année”) “first-year form” means the form that the Corporation requires for a warranty claim that an owner makes in respect of the common elements of a condominium project and submits to the Corporation during the first-year claim period; (“formule de réclamation de première année”) “owner” means, in respect of common elements of a condominium project, means the condominium corporation. (“propriétaire”) O. Reg. 274/10, s. 7. (2) Sections 5.3 to 5.8 apply to warranty claims made in respect of common elements of a condominium project registered on or after July 1, 2010. O. Reg. 274/10, s. 7. (3) Sections 4 to 5.1 do not apply to warranty claims made in respect of common elements of a condominium project registered on or after July 1, 2010. O. Reg. 274/10, s. 7. 5.3, 5.4 Revoked: O. Reg. 87/12, s. 4. Condominium Common Elements — First-Year Claims 5.5 (1) In order to make a warranty claim during the first-year claim period in respect of the common elements of a condominium project, the owner shall complete and submit to the Corporation a first-year form. O. Reg. 274/10, s. 7. (2) An owner may submit one or more first-year forms to the Corporation at any time during the first-year claim period. O. Reg. 274/10, s. 7. (3) If an owner submits a first-year form to the Corporation during the first-year claim period, the vendor shall have until the end of the 18-month period from the first anniversary of the registration date of the declaration and description for the condominium project to repair or resolve the claim items listed on the form. O. Reg. 274/10, s. 7. (4) If the vendor does not repair or resolve the claim items listed on the first-year form submitted in accordance with this section by the end of the period specified in subsection (3), the owner may request a conciliation by contacting the Corporation at any time within 60 days after the end of the period specified in that subsection. O. Reg. 274/10, s. 7. (5) If the owner does not request a conciliation under subsection (4) or if the owner cancels the conciliation requested under that subsection, the owner shall be deemed to have withdrawn all claim items listed on the first-year form that the vendor does not repair or resolve by the end of the period specified in subsection (3). O. Reg. 274/10, s. 7. (6) If the owner requests a conciliation under subsection (4), the vendor shall have 90 days from the date of the owner’s request to repair or resolve the claim items listed on the first-year form. O. Reg. 274/10, s. 7. (7) If an owner requests conciliation under subsection (4) and the vendor does not repair or resolve the claim items within the 90 days from the date of the request, the Corporation shall, at any time between the 91st day and the 150th day, both inclusive, from the date of the request, conduct a conciliation inspection and, as soon as reasonably possible after conducting the inspection, issue to the owner and the vendor a conciliation assessment report. O. Reg. 274/10, s. 7; O. Reg. 118/23, s. 10. (8) The vendor shall have a further 90 days from the date on which the conciliation assessment report is issued to complete the repairs or otherwise resolve all warranted items set out in the conciliation assessment report. O. Reg. 274/10, s. 7; O. Reg. 118/23, s. 11. (9) If the vendor does not complete the repairs or otherwise resolve all warranted items set out in the conciliation assessment report, the Corporation shall, subject to subsection 14 (3) of the Act and section 6 of this Regulation, pay compensation out of the guarantee fund to the owner or shall perform or arrange for the performance of any required work. O. Reg. 274/10, s. 7; O. Reg. 118/23, s. 11. (10) An owner who is the condominium corporation in relation to a residential condominium conversion project and who receives money from the pre-existing elements fund shall, before spending any of the money on the pre-existing elements of the project in accordance with the expected major repair schedule for the project during the initial period, (a) if so spending the money could be the subject of a claim under subsection 14 (3) of the Act, make a claim on a first-year form in respect of the pre-existing elements of the project and comply with the process specified in this Regulation for making the claim; and (b) give the vendor in relation to the project and the Corporation the opportunity to inspect the condition of the pre-existing elements of the project that are the subject of the claim before any work is done on them. O. Reg. 521/17, s. 10; O. Reg. 118/23, s. 1. (11) An owner who does not comply with subsection (10) shall be deemed to have waived any right to make a warranty claim or to receive compensation from the guarantee fund in respect of the pre-existing elements of the project. O. Reg. 521/17, s. 10. Condominium Common Elements — Second-Year Claims 5.6 (1) In order to make a warranty claim during the second-year claim period in respect of the common elements of a condominium project, the owner shall complete and submit to the Corporation a second-year form. O. Reg. 274/10, s. 7. (2) Revoked: O. Reg. 87/12, s. 5. (3) If an owner submits a second-year form to the Corporation during the second-year claim period, the vendor shall have until the end of the six-month period from the second anniversary of the registration date of the declaration and description for the condominium project to repair or resolve the claim items listed on the form. O. Reg. 274/10, s. 7. (4) If the vendor does not repair or resolve all of the claim items listed on the second-year form submitted in accordance with this section by the end of the period specified in subsection (3), the owner may request a conciliation by contacting the Corporation at any time within 60 days after the end of the period specified in that subsection. O. Reg. 274/10, s. 7. (5) If the owner does not request a conciliation under subsection (4) or if the owner cancels the conciliation requested under that subsection, the owner shall be deemed to have withdrawn all claim items listed on the second-year form that the vendor does not repair or resolve by the end of the period specified in subsection (3). O. Reg. 274/10, s. 7. (6) If the owner requests a conciliation under subsection (4), the vendor shall have 90 days from the date of the owner’s request to repair or resolve the claim items listed on the second-year form. O. Reg. 274/10, s. 7. (7) If an owner requests a conciliation under subsection (4) and the vendor does not repair or resolve the claim items within 90 days from the date of the request, the Corporation shall, at any time between the 91st day and the 150th day, both inclusive, from the date of the request, conduct a conciliation inspection and, as soon as reasonably possible after conducting the conciliation inspection, issue to the owner and the vendor a conciliation assessment report. O. Reg. 274/10, s. 7; O. Reg. 118/23, s. 12 (1). (8) The vendor shall have a further 90 days from the date on which the conciliation assessment report is issued to complete the repairs or otherwise resolve all warranted items set out in the conciliation assessment report. O. Reg. 274/10, s. 7; O. Reg. 118/23, s. 12 (2). (9) If the vendor does not complete the repairs or otherwise resolve all warranted items set out in the conciliation assessment report, the Corporation shall, subject to subsection 14 (3) of the Act and section 6 of this Regulation, pay compensation out of the guarantee fund to the owner or shall perform or arrange for the performance of any required work. O. Reg. 274/10, s. 7; O. Reg. 118/23, s. 12 (2). (10) An owner who is the condominium corporation in relation to a residential condominium conversion project and who receives money from the pre-existing elements fund shall, before spending any of the money on the pre-existing elements of the project in accordance with the expected major repair schedule for the project during the initial period, (a) if so spending the money could be the subject of a claim under subsection 14 (3) of the Act, make a claim on a second-year form in respect of the pre-existing elements of the project and comply with the process specified in this Regulation for making the claim; and (b) give the vendor in relation to the project and the Corporation the opportunity to inspect the condition of the pre-existing elements of the project that are the subject of the claim before any work is done on them. O. Reg. 521/17, s. 11; O. Reg. 118/23, s. 1. (11) An owner who does not comply with subsection (10) shall be deemed to have waived any right to make a warranty claim or to receive compensation from the guarantee fund in respect of the pre-existing elements of the project. O. Reg. 521/17, s. 11. Condominium Common Elements — Major Structural Defect Claims 5.7 (1) In order to make a warranty claim under subsection 14 (4) of the Act in respect of the common elements of a condominium project that does not include any post June 30, 2012 homes, the owner shall complete and submit to the Corporation a major structural defect form during the major structural defect claim period. O. Reg. 274/10, s. 7; O. Reg. 87/12, s. 6 (1). (2) Revoked: O. Reg. 87/12, s. 6 (2). (3) If the owner submits a major structural defect form to the Corporation under subsection (1) during the major structural defect claim period, the Corporation shall, as soon as reasonably possible after receiving the form, conduct a conciliation inspection and issue to the owner and the vendor a conciliation assessment report. O. Reg. 118/23, s. 13. (4) An owner who is the condominium corporation in relation to a residential condominium conversion project and who receives money from the pre-existing elements fund shall, before spending any of the money on the pre-existing elements of the project in accordance with the expected major repair schedule for the project during the initial period, (a) if so spending the money could be the subject of a claim under subsection 14 (4) of the Act, make a claim on a major structural defect form in respect of the pre-existing elements of the project and comply with the process specified in this Regulation for making the claim; and (b) give the vendor in relation to the project and the Corporation the opportunity to inspect the condition of the pre-existing elements of the project that are the subject of the claim before any work is done on them. O. Reg. 521/17, s. 12; O. Reg. 118/23, s. 1. (5) An owner who does not comply with subsection (4) shall be deemed to have waived any right to make a warranty claim or to receive compensation from the guarantee fund in respect of the pre-existing elements of the project. O. Reg. 521/17, s. 12. Condominium Common Elements — Conciliation of Disputes 5.8 (1) In connection with a warranty claim made in respect of common elements of a condominium project under section 5.5 or 5.6, the Corporation may, at any time, conduct a conciliation if the Corporation determines that the parties are not acting reasonably to resolve the items listed on the first-year form or the second-year form, as the case may be, that the owner submits to the Corporation. O. Reg. 274/10, s. 7. (2) If the Corporation conducts a conciliation in accordance with any of sections 5.5, 5.6, 5.7 or this section, the vendor and owner shall each pay to the Corporation the applicable conciliation fee set out in subsection (2.1) and (2.2). O. Reg. 274/10, s. 7; O. Reg. 521/17, s. 13 (1). (2.1) The fee payable by a condominium corporation as the owner of common elements for a conciliation of a dispute under any of sections 5.5, 5.6, 5.7 or this section is $1,000. O. Reg. 521/17, s. 13 (2). (2.2) The fee payable by the vendor of common elements for a conciliation of a dispute under any of sections 5.5, 5.6, 5.7 or this section is $3,000. O. Reg. 521/17, s. 13 (2). (3) If the Corporation determines that the conciliation reveals one or more defects that is covered by a warranty, the Corporation shall refund to the owner the conciliation fee paid by the owner. O. Reg. 274/10, s. 7. (4) If the Corporation determines that the conciliation should not be chargeable to the vendor, the Corporation shall refund to the vendor the conciliation fee paid by the vendor. O. Reg. 274/10, s. 7. Post June 30, 2012 Homes — Major Structural Defect Claims — Years 3 through 7 5.9 (1) In order to make a major structural defect claim in respect of a post June 30, 2012 home, the owner shall complete and submit to the Corporation a major structural defect form during the major structural defect claim period. O. Reg. 87/12, s. 7. (2) If an owner submits a major structural defect form to the Corporation during the major structural defect claim period, the vendor shall have until the 90th day from the day on which the Corporation receives the form to repair or resolve the claim items that are listed on the form and that are covered by a warranty. O. Reg. 87/12, s. 7. (3) If the vendor does not repair or resolve all of the claim items listed on the major structural defect form by the 90th day from the day on which the Corporation receives the form, the owner may request a conciliation by contacting the Corporation at any time from the 91st day to the 120th day after the date on which the Corporation receives the form. O. Reg. 87/12, s. 7. (4) If the owner does not request a conciliation under subsection (3) or cancels the conciliation requested under that subsection, the owner shall be deemed to have withdrawn all claim items listed in the major structural defect form that the vendor does not repair or resolve by the 90th day from the day on which the Corporation receives the form. O. Reg. 87/12, s. 7. (5) If the owner requests a conciliation under subsection (3), the Corporation shall schedule a conciliation within a reasonable time after the request is made. O. Reg. 87/12, s. 7. (6) If the conciliation of the claim requires physical investigation, the owner shall provide reasonable access and co-operation to the Corporation and the vendor to allow the Corporation or any person designated by the Corporation to conduct whatever investigation is reasonably required for the purpose of assessing the claim. O. Reg. 87/12, s. 7. (7) If the owner does not comply with subsection (6), the Corporation may deny the claim. O. Reg. 87/12, s. 7. (8) The Corporation shall, as soon as reasonably possible after conducting the conciliation inspection, issue to the owner and the vendor a conciliation assessment report in respect of whether the claim items listed on the form are covered by the major structural defect warranty. O. Reg. 118/23, s. 14 (1). (9) Within 10 days from the date the Corporation issues the conciliation assessment report described in subsection (8), the vendor shall enter into, (a) an agreement with the owner and the Corporation under which the vendor undertakes to resolve the defect directly with the owner, either by way of repair or compensation; or (b) a written co-share arrangement with the Corporation in respect of each claim item. O. Reg. 87/12, s. 7; O. Reg. 118/23, s. 14 (2). (10) The Corporation shall resolve the claim directly with the owner, either by paying compensation out of the guarantee fund to the owner or performing or arranging to perform the required work, if, (a) the vendor does not comply with subsection (9); (b) the vendor enters into an agreement described in clause (9) (a) but fails to comply with it and the owner is not in any way responsible for the failure; or (c) the vendor enters into an arrangement described in clause (9) (b). O. Reg. 87/12, s. 7. (11) An owner who is the owner of a unit in a residential condominium conversion project and who receives money from the pre-existing elements fund shall, before spending any of the money on the pre-existing elements of the unit in accordance with the expected major repair schedule for the project during the initial period, (a) if so spending the money could be the subject of a claim under subsection 14 (4) of the Act, make a claim on a major structural defect form in respect of the pre-existing elements of the unit and comply with the process specified in this Regulation for making the claim; and (b) give the vendor in relation to the project and the Corporation the opportunity to inspect the condition of the pre-existing elements of the unit that are the subject of the claim before any work is done on them. O. Reg. 521/17, s. 14; O. Reg. 118/23, s. 1. (12) An owner who does not comply with subsection (11) shall be deemed to have waived any right to make a warranty claim or to receive compensation from the guarantee fund in respect of the pre-existing elements of the unit. O. Reg. 521/17, s. 14. General 5.10 The Corporation may, in its sole discretion, extend or abridge any timelines specified in sections 4.1 to 4.6, 5.1, 5.1.1, 5.2, 5.5 to 5.7 and 5.9 if it determines that, (a) the vendor is unable or unwilling to address a claim item on a claim form; (b) a claim item, (i) involves health and safety, seasonal repairs or an emergency, or (ii) involves other extraordinary circumstances; (c) the extension or abridgement would facilitate the resolution of a claim item; (d) it is reasonable to conclude that conducting conciliation inspections outside the timelines set out in sections 4.2, 4.3, 4.4, 4.5 and 4.5.1 will assist in resolving one or more claim items earlier; (e) it would be more efficient to consolidate conciliation inspections and conciliation inspections need to be re-scheduled for that purpose; or (f) the specified time begins in, ends in or spans the period from December 24 of one year to January 1 of the following year, both inclusive. O. Reg. 118/23, s. 15. 5.11 (1) A person who submits a form to the Corporation under any of sections 4.1 to 4.6, 5.1, 5.2, 5.5 to 5.7 and 5.9 shall submit the form, (a) by hand, courier or facsimile transmission; (b) to the Corporation’s designated portal for purchasers and owners on the Internet; or (c) by regular mail or registered mail except during a general interruption of postal service. O. Reg. 87/12, s. 7; O. Reg. 17/25, s. 4 (1). (2) Submission by hand or courier is effective on the day that the Corporation receives it, if that day is a business day, and otherwise on the next business day. O. Reg. 87/12, s. 7. (3) Submission by facsimile transmission or to the Corporation’s designated portal for purchasers and owners on the Internet is effective on the day sent, whether it is a business day or not. O. Reg. 87/12, s. 7; O. Reg. 17/25, s. 4 (2). (4) Submission by regular mail is effective on, (a) the post-mark date if the Corporation receives it within 10 days of the expiry of the period during which the applicable section requires the submission; or (b) the date that the Corporation receives it, otherwise. O. Reg. 87/12, s. 7. Limits of Liability 6. (1) In the case of a home of a type referred to in clause (a) or (b) of the definition of “home” in section 1 of the Act, the maximum amount payable to a person out of the guarantee fund in respect of a claim under subsection 14 (1) or (2) of the Act is, (a) $20,000 in respect of a claim in relation to a purchase agreement, or a construction contract, entered into before February 1, 2003; (b) $40,000 in respect of, (i) a claim in relation to a purchase agreement entered into on or after February 1, 2003 and before January 1, 2018, or (ii) a claim in relation to a construction contract entered into on or after February 1, 2003; or (c) in respect of a claim in relation to a purchase agreement entered into on or after January 1, 2018, the greater of, (i) $60,000, and (ii) the lesser of 10 per cent of the sale price of the home, and $100,000. O. Reg. 2/03, s. 1; O. Reg. 524/17, s. 1. (2) In the case of a home that is a condominium dwelling unit, the maximum amount payable to a person out of the guarantee fund in respect of a claim under subsection 14 (1) of the Act is $20,000, plus the amount of interest that has accrued, until the time of payment, on the net principal amount payable out of the guarantee fund in respect of the claim. O. Reg. 2/03, s. 1. (2.1) In subsection (2), “net principal amount” means the lesser of, (a) $20,000, and (b) the amount of deposit paid by the person to a vendor as a credit towards the purchase price under the contract on closing minus amounts required to be deducted from the deposit amount under subsection 14 (6) of the Act. O. Reg. 2/03, s. 1. (3) In the case of a home of a type referred to in clause (a) or (b) of the definition of “home” in section 1 of the Act, the maximum amount payable to an owner out of the guarantee fund in respect of a claim made under subsection 14 (3), (4) or (5.0.3) of the Act is, (a) $100,000 if the claim relates to a purchase agreement, or a construction contract, entered into before September 1, 2004 and under which the home has a date of possession before July 1, 2006; (b) $150,000 if the claim relates to a purchase agreement, or a construction contract, entered into on or after September 1, 2004 and under which the home has a date of possession before July 1, 2006; (c) $300,000 if the claim relates to purchase agreement, or a construction contract, under which the home has a date of possession on or after July 1, 2006; or (d) $400,000 if the claim relates to a purchase agreement, or a construction contract, that was entered into on or after July 1, 2023. O. Reg. 8/23, s. 1 (1). (4) In the case of a condominium dwelling unit, the maximum amount payable to an owner out of the guarantee fund in respect of a claim made under subsection 14 (3), (4) or (5.0.3) of the Act is, (a) $100,000 if the claim relates to a purchase agreement, or a construction contract, entered into before September 1, 2004 and under which the condominium dwelling unit, excluding common elements, has a date of possession before July 1, 2006; (b) $150,000 if the claim relates to a purchase agreement, or a construction contract, entered into on or after September 1, 2004 and under which the condominium dwelling unit, excluding common elements, has a date of possession before July 1, 2006; or (c) $300,000 if the claim relates to a purchase agreement, or a construction contract, under which the condominium dwelling unit, excluding common elements, has a date of possession on or after July 1, 2006. O. Reg. 246/04, s. 1 (1); O. Reg. 343/06, s. 1 (2); O. Reg. 8/23, s. 1 (2). (5) A condominium corporation that has a claim under subsection 14 (3) or (4) of the Act with respect to a condominium project is entitled, subject to subsection (8), to be paid out of the guarantee fund the cost of rectification of defective work in respect of the common elements of the condominium project. R.R.O. 1990, Reg. 892, s. 6 (5); O. Reg. 138/01, s. 2 (2). (6) Liability under subsection (3) or (4) is limited to damage to the home only and liability under subsection (5) is limited to damage to the common elements only and there is no liability for any other damage, direct or indirect. R.R.O. 1990, Reg. 892, s. 6 (6). (7) Liability in respect of the cost of completion of a home is limited to 2 per cent of the sale price of the home or $5,000, whichever is the greater. R.R.O. 1990, Reg. 892, s. 6 (7). (8) Subject to subsection (8.1), the maximum amount payable out of the guarantee fund in respect of a claim relating to the common elements of a condominium project is, (a) in the case of a home sold under a purchase agreement where the first purchase in the condominium project was entered into on or after February 1, 2021, the lesser of, (i) $3,500,000, or (ii) an amount equal to $100,000 multiplied by the number of condominium dwelling units in the condominium project; or (b) in any other case, the lesser of, (i) $2,500,000, or (ii) an amount equal to $50,000 multiplied by the number of condominium dwelling units in the condominium project. O. Reg. 635/20, s. 1 (1). (8.1) As part of the maximum amount payable out of the guarantee fund to a condominium corporation under subsection (8), the maximum amount payable in respect of a claim relating to the common elements of a condominium project registered on or after September 1, 2004, for damage caused by environmentally harmful substances or hazards, deleterious substances, mould or any other fungal or bacterial contamination, is the lesser of, (a) $100,000; or (b) an amount equal to $2,000 multiplied by the number of condominium dwelling units in the condominium project. O. Reg. 246/04, s. 1 (3). (9) The limits set out in this section in connection with payments made in respect of a home or in respect of common elements of a condominium project are aggregate total limits for all claims made in respect of the home or common elements of the condominium project and the limits shall be reduced by the amounts of any payments made from the guarantee fund in respect of the home or common elements of the condominium project. O. Reg. 451/09, s. 1. (10) As part of the maximum amount payable to an owner out of the guarantee fund under subsection (3), (4) or (8), the maximum amount payable in respect of a sewage disposal system is $25,000 per home, in the case of a home that the builder was required to enrol in the Plan after June 30, 1993 and under section 8. O. Reg. 334/93, s. 1. (10.1) The maximum set out in subsection (10) does not apply to homes sold under purchase agreements, or constructed under construction contracts, entered into on or after February 1, 2021. O. Reg. 635/20, s. 1 (2). (11) As part of the maximum amount payable to an owner out of the guarantee fund under subsection (3) or (4), the maximum amount payable for damage caused by environmentally harmful substances or hazards, deleterious substances, mould or any other fungal or bacterial contamination is, (a) $50,000 per home, in the case of homes sold under purchase agreements, or constructed under construction contracts, entered into on or after February 1, 2021; or (b) $15,000 per home, in the case of homes sold under purchase agreements, or constructed under construction contracts, entered into on or after September 1, 2004. O. Reg. 635/20, s. 1 (3). (12) Despite anything in this section, in the case of a condominium project, the maximum aggregate amount payable out of the guarantee fund in respect of claims made under subsection 14 (3), (4) or (5.0.3) of the Act relating to all homes and common elements in the condominium project is $50,000,000 if the first arm’s length purchase agreement for a home in the condominium project is entered into in good faith on or after July 1, 2010. O. Reg. 275/10, s. 1; O. Reg. 8/23, s. 1 (3). 6.1 (1) This section applies in respect of a purchase agreement entered into on or after January 1, 2027 in respect of a home of a type referred to in clause (a) or (b) of the definition of “home” in subsection 1 (1) of the Act that is neither a contracted home nor a unit in a condominium project. O. Reg. 17/25, s. 5; O. Reg. 388/25, s. 4; O. Reg. 95/26, s. 2. (2) If the purchaser complied with section 2.1 in respect of the purchase agreement, the maximum amount of compensation payable out of the guarantee fund to the purchaser in the case of a claim under subsection 14 (1) of the Act is the greater of, (a) $60,000; and (b) the lesser of 10 per cent of the sale price of the home, and $100,000. O. Reg. 17/25, s. 5. (3) If the purchaser failed to comply with section 2.1, the maximum amount of compensation payable out of the special fund to the purchaser in the case of a claim under subsection 14 (1) of the Act is, (a) if subsection 4.9 (3) applies to the claim, the greater of, (i) $60,000, and (ii) the lesser of 10 per cent of the sale price of the home, and $100,000; and (b) if subsection 4.9 (4) applies to the claim, the amount calculated under subsection 4.9 (4). O. Reg. 17/25, s. 5. 6.2 For greater certainty, a maximum amount of compensation payable out of the guarantee fund or special fund under this Regulation applies only in respect of the Corporation and does not have the effect of limiting any amount payable to a purchaser or owner by any other person. O. Reg. 17/25, s. 5. Guarantee Fund 7. (1) The Corporation shall establish and maintain a guarantee fund with a licensed insurer or insurers acceptable to the board of directors under a contract or contracts approved by the board from time to time. R.R.O. 1990, Reg. 892, s. 7 (1). (2) Under such a contract, the insurers shall agree to indemnify the Corporation for those sums which the Corporation is obligated to pay by reason of settlement of any dispute, judgment, action or claim arising under the Plan during the term of the contract. R.R.O. 1990, Reg. 892, s. 7 (2). (3) Despite subsections (1) and (2), the Corporation may establish and administer an uninsured fund as part of the guarantee fund and out of which it may pay claims made under the Plan. R.R.O. 1990, Reg. 892, s. 7 (3). Special Fund 8. (1) The Corporation shall establish and maintain a special non-segregated amount within the guarantee fund from which compensation is payable in respect of special fund claims. O. Reg. 17/25, s. 6. (2) For 2027 and for each subsequent calendar year, the amount of $15,000,000 is designated in each calendar year for the special fund. O. Reg. 95/26, s. 3. (3) No compensation shall be payable in respect of a special fund claim until the calendar year immediately following the calendar year in which the claim was made. O. Reg. 17/25, s. 6. 8.1 Revoked: O. Reg. 498/09, s. 1. Part iii (s. 9-10) Revoked: O. Reg. 602/20, s. 6. 9.-10. revoked: O. Reg. 602/20, s. 6. 11., 12. Revoked: (PART IV) O. Reg. 430/99, s. 3. PART V SUBROGATION 13. (1) The Corporation shall be subrogated to all rights of recovery of a person to whom payment in respect of a claim has been made out of the guarantee fund under the Act and may maintain an action in its own name or the name of the person against any other person against whom the action lies in respect of such rights of recovery. R.R.O. 1990, Reg. 892, s. 13 (1). (2) The Corporation is entitled under its rights of recovery to conduct legal proceedings, including an action for damages, the quantum of which shall be limited to the amount paid out of the guarantee fund by the Corporation to the person whose rights are subrogated to the Corporation, including any legal costs, plus all costs incurred by the Corporation in the subrogated action. R.R.O. 1990, Reg. 892, s. 13 (2). (3) Any amount recovered by the Corporation shall be applied, (a) first, to payment of costs actually incurred by the Corporation in any action or any related action and in levying execution; (b) second, to reimbursement of the Corporation for the amount of compensation paid by the Corporation to the person out of the guarantee fund; and (c) third, the balance, if any, to payment of the person whose rights are subrogated. R.R.O. 1990, Reg. 892, s. 13 (3). (4) Any settlement or release does not bar the rights of the Corporation unless the Corporation has concurred therewith in writing. R.R.O. 1990, Reg. 892, s. 13 (4). (5) Any person who has been paid money out of the guarantee fund by the Corporation shall forthwith notify the Corporation of any action that such person has brought against any person who caused or contributed to the damages that resulted in the said payment by the Corporation out of the guarantee fund. R.R.O. 1990, Reg. 892, s. 13 (5). PART VI WARRANTIES Water Penetration 14. (1) Every vendor of a new home warrants to the owner that there will be no water penetration through the basement or foundation of the home. O. Reg. 9/09, s. 7. (2) The warranty described in subsection (1) applies only in respect of claims made during a two-year warranty period ending on the second anniversary of the date of possession. O. Reg. 9/09, s. 7. General 15. (1) In this section, “building envelope” means the wall and roof assemblies that contain the building space, and includes all those elements of the assembly that contribute to the separation of the outdoor and indoor environments so that the indoor environment can be controlled within acceptable limits; (“enveloppe”) “delivery and distribution systems” include all wires, conduits, pipes, junctions, switches, receptacles and seals, but does not include appliances, fittings and fixtures; (“réseaux de distribution”) “exterior cladding” means all exterior wall coverings and includes siding and above-grade masonry as required and detailed in the relevant sections of the Ontario Building Code under which the Building Permit was issued. (“habillage extérieur”) R.R.O. 1990, Reg. 892, s. 15 (1). (2) Every vendor of a new home warrants to the owner, (a) that the home is constructed in a workmanlike manner and is free from defects in materials including windows, doors and caulking such that the building envelope of the home prevents water penetration; (b) that the electrical, plumbing and heating delivery and distribution systems are free from defects in material and work; (c) that all exterior cladding of the home is free from defects in material and work resulting in detachment, displacement or physical deterioration; (d) that the home is free from violations of the Ontario Building Code regulations under which the Building Permit was issued, affecting health and safety, including but not limited to fire safety, insulation, air and vapour barriers, ventilation, heating and structural adequacy;

and (e) that the home is free of major structural defects. R.R.O. 1990, Reg. 892, s. 15 (2); O. Reg. 697/92, s. 1. (2.1) A major structural defect claim in respect of a post June 30, 2012 home does not extend to any damages or claims, (a) in respect of any elevating device as defined in subsection 1 (1) of Ontario Regulation 209/01 (Elevating Devices) made under the Technical Standards and Safety Act, 2000 but does not include the surrounding structure of the building housing the device; (b) in respect of any appliances that form part of the heating or cooling apparatus, equipment or system, whether for water, air or other substances, including furnaces, air conditioners, chillers and heat recovery ventilators; (c) resulting from dampness not arising from failure of a structural load-bearing element of the building; (d) resulting from acts or omissions of an owner, a tenant, a licensee or invitee; (e) resulting from acts of civil or military authorities or acts of war, riot, insurrection or civil commotion; (f) resulting from a flood not caused by the vendor or builder; or (g) resulting from anything to which a warranty does not apply under subsection 13 (2) of the Act. O. Reg. 87/12, s. 8. (3) The warranties described in subsection (2) apply only in respect of claims made during a two-year warranty period ending on the second anniversary of the date of possession, in respect of homes that were enrolled, or should have been enrolled, after December 31, 1990. O. Reg. 9/09, s. 8. (4) The warranties described in subsection (2) are prescribed under clause 13 (1) (c) of the Act. R.R.O. 1990, Reg. 892, s. 15 (4). 16. If a home was enrolled after December 31, 1990, the claim for damages because of a major structural defect may be made at any time during the major structural defect claim period. O. Reg. 9/09, s. 9. 17. Revoked: O. Reg. 166/08, s. 2. Substitutions 18. (1) Every vendor of a new home warrants to the owner that the vendor shall make no substitutions in those items of construction or finishing for which the purchaser is entitled to make selection pursuant to the purchase agreement without the written consent of the purchaser. R.R.O. 1990, Reg. 892, s. 18 (1). (2) Subsection (1) does not apply where, (a) the purchaser, having been notified, does not make a selection within thirty days after executing the purchase agreement or within such other time period as may be agreed; or (b) an item selected under clause (a) is not available and the purchaser does not make a selection within seven days of receiving written notice from the vendor or within such other time period as may be agreed that the item is unavailable. R.R.O. 1990, Reg. 892, s. 18 (2). (3) Every vendor of a new home warrants to the owner that where the purchaser fails to make a selection under clause (2) (a) or (b) that the vendor will make a selection on the purchaser’s behalf that is of equal or better quality than the original selection as set out in the purchase agreement. R.R.O. 1990, Reg. 892, s. 18 (3). 19. Every vendor of a new home warrants to the purchaser that, where the vendor makes a substitution with respect to an item that is referred to in the purchase agreement that is not an item that is to be selected by the purchaser, the item will be of equal or better quality than the item referred to in the purchase agreement. R.R.O. 1990, Reg. 892, s. 19. 19.1 Revoked: O. Reg. 166/08, s. 3. Eligibility 20. A claim may be made under subsection 18 (1) or section 19 only where, (a) the transaction closes; and (b) the claim is made by an owner during a one-year warranty period ending on the first anniversary of the date of possession. R.R.O. 1990, Reg. 892, s. 20; O. Reg. 166/08, s. 4; O. Reg. 9/09, s. 10. 21. (1) Subject to subsections (2) and (3), for the purposes of section 18, written notice may be given personally or sent by electronic mail, fax, courier or registered mail to the purchaser at the address or contact numbers specified in the purchase agreement or at any replacement address or contact numbers supplied in accordance with the purchase agreement. O. Reg. 166/08, s. 5. (2) Written notice under section 18 shall not be sent by registered mail if there is a postal stoppage or interruption at the time the notice is sent. O. Reg. 166/08, s. 5. (3) If written notice under section 18 is sent by registered mail within five days before a postal stoppage or interruption commences or during such a stoppage or interruption, the sending of the notice shall not be effective. O. Reg. 166/08, s. 5. (4) Written notice given or sent in accordance with this section is deemed to have been given and received, (a) on the day of delivery or sending, if the notice was given personally or sent by electronic mail or fax and that day is a business day; (b) on the next business day after the day of delivery or sending, if the notice was given personally or sent by electronic mail or fax and the day of delivery or sending is not a business day; (c) on the second business day after the day of sending, if sent by courier; and (d) subject to subsection (3), on the fifth business day after the day of sending, if sent by registered mail. O. Reg. 166/08, s. 5. 22. Revoked: O. Reg. 166/08, s. 6. 23. (1), (2) Revoked: O. Reg. 166/08, s. 7. (3) The warranties in subsection 18 (1) and section 19 apply to purchase agreements entered into after the 30th day of June, 1988. O. Reg. 117/91, s. 2. Temporary Relocation Warranty 24. (1) Every vendor of a new home warrants to the owner that if, on or after the date of possession, the home or a material portion of the home is uninhabitable because of a condition that is covered by a warranty, the vendor shall pay the owner the sum of $150 per day for the period that the home or a material portion of the home is uninhabitable, up to a maximum of $15,000 per home. O. Reg. 8/23, s. 2. (2) In lieu of compensation payable under subsection (1), the vendor may, at its expense, provide reasonable alternative accommodation for the displaced inhabitants. O. Reg. 8/23, s. 2. (3) The warranty described in this section applies in respect of homes, (a) that are sold under purchase agreements, or constructed under construction contracts, that are entered into on or after July 1, 2023; and (b) for which a written claim is made to the Corporation during the period commencing on the date of possession and ending on the seventh anniversary of the date of possession. O. Reg. 8/23, s. 2. (4) The warranty described in this section also applies if the home is made uninhabitable due to a condition in the common elements covered by warranty. O. Reg. 8/23, s. 2. (5) The warranty described in this section applies only in respect of claims made during the one-year period following the later of, (a) the date of possession of the home; and (b) the date on which the home became uninhabitable. O. Reg. 8/23, s. 2. (6) For greater certainty, nothing in this section prevents an owner from being compensated on more than one occasion for different breaches of the warranty, subject to the per-home maximum set out in subsection (1). O. Reg. 8/23, s. 2. Schedule A Revoked: O. Reg. 521/17, s. 18.