Giving direction to strata managers and resolving concerns
While the strata council directs the the strata manager, the manager acts on behalf of the strata corporation (or section).
The strata council:
- gives instructions to the strata manager and is responsible for supervising their activities and
- can be directed by the majority of the strata lot owners at a general meeting to deal with the strata manager in a certain way
Unless otherwise specified in the contract, it is the responsibility of the strata council (or section executive) to give clear direction to the strata manager or strata management company on an on-going basis, whether at regularly scheduled strata council meetings or between meetings.
To avoid confusion, the instructions to the strata manager should be in writing from a designated strata council member. Decisions should be recorded in the minutes of the next strata council meeting.
The strata council should review and monitor the work and services provided by the strata management company. As with any volunteer or staff position, it is important for the strata corporation (or section) to have checks and balances, including financial best practices.
An agency relationship exists between the strata corporation, or section, as the principal, and the strata management company (i.e., brokerage) as the agent. The strata management company and their licensees are legally obligated to protect and promote the interests of their principals as they would their own.
Sometimes there will be concerns with the strata manager or the strata management company. These concerns can be addressed through the strata council (or section executive) communicating with the strata manager or strata management company. The strata management contract may also outline ways to address any issues, including terminating the contract.
If individual strata lot owners or tenants have concerns about a strata manager or strata management company, they should first take their concerns to their strata council (or section executive) for consideration by the strata council (or section executive) and appropriate action.
If the issue relates to conduct of the strata manager, or a strata management company, that contravenes the Real Estate Services Act, the strata council can submit a complaint to BC Financial Services Authority (BCFSA).
|It is important to note that the BCFSA only enforces the
Real Estate Services Act, it does not enforce the
Strata Property Act.
As a general policy, BCFSA requires complaints regarding licensed strata managers, or the strata management company, to be submitted by strata councils – not by individual strata lot owners or residents. The complaint from the strata council needs to be accompanied by a copy of the minutes of the council meeting that confirms the passing of a motion to submit a complaint to BCFSA.
In situations involving significant financial concerns, individual strata lot owners or residents can complain directly to BCFSA. For example if there are allegations of fraud or misappropriation of funds by the strata property manager or the strata management company.
If an individual strata lot owner or tenant has a dispute with the strata manager, or the strata management company, and if the strata council refuses to direct a strata manager’s actions, the complainant may:
- request, in writing, a hearing at a strata council meeting to discuss their concerns and to seek a decision of the strata council
- requisition a general meeting with a petition of 20% of the owners and then pass a resolution to instruct the strata council to deal with the strata manager in a certain way by majority vote or terminate the strata management contract by 3/4 vote (or as otherwise specified in the contract) or
- add a resolution to the agenda of a general meeting with a petition of 20% of the owners. The resolution can instruct the strata council to deal with the strata manager in a certain way by majority vote or terminate the strata management contract by 3/4 vote or as otherwise specified in the contract.
Sections of the Act: 4, 10, 24, 30, 32, 33, 34.1, 37-39, 135, 144, 179, 194
Sections of the Regulations: 7.2, 8.2, 18.1
Standard Bylaws (which can be amended): 20 and 21
The information on this website about strata housing is provided for the user’s convenience as a basic starting point; it is not a substitute for getting legal advice. Learn more about the site’s purpose and limits. The content on this website is periodically reviewed and updated by the Province of British Columbia as per the date noted on each page: August 31, 2021.