Shared facilities by-laws & rules

Section 59 of the Act is being repealed. So all of this will be gone.

59. (1) The boards of two or more corporations may make, amend or repeal joint by-laws or rules governing the use and maintenance of shared facilities and services.  1998, c. 19, s. 59 (1).

Application to corporations
(2) A joint by-law or rule is a by-law or rule, as the case may be, of each corporation.  1998, c. 19, s. 59 (2).

When joint by-law effective
(3) A joint by-law is not effective until,

(a)	the majority of the owners of the units of each corporation vote in favour of confirming it, with or without amendment; and
(b)	each corporation registers a copy of it in accordance with subsection 56 (9).  1998, c. 19, s. 59 (3).

Joint meeting
(4) The vote of the owners under clause (3) (a) may be at a joint meeting of the corporations duly called for that purpose.  1998, c. 19, s. 59 (4).

Repeal of joint by-law
(5) Once a joint by-law is effective, it is effective until the owners of a majority of the units of each corporation vote in favour of repealing it and a copy of the repealing by-law is registered in accordance with subsection 56 (9).  1998, c. 19, s. 59 (5).

Amendment of joint rule
(6) The owners of each corporation may amend or repeal a joint rule at a joint meeting of owners of the corporations or at a meeting of owners of each corporation if the meeting has been duly called for that purpose.  1998, c. 19, s. 59 (6).

Notice of joint rule
(7) Upon making, amending or repealing a joint rule, the board of each corporation shall give a notice of the joint rule to its owners that includes,

(a)	a copy of the rule as made, amended or repealed, as the case may be;
(b)	a statement of the date that the boards propose that the rule will become effective; and
(c)	a statement that the owners have the right to requisition a meeting under section 46 and the rule becomes effective at the time determined by subsections (8), (9) and (10).  1998, c. 19, s. 59 (7).

When joint rule effective
(8) Subject to subsection (10), if the board of any of the corporations receives a requisition for a meeting under section 46 within 30 days after it gives notice of the joint rule to its owners, the joint rule is not effective until the owners approve it at a joint meeting of owners of the corporations or at a meeting of owners of each corporation.  1998, c. 19, s. 59 (8).

Same, no requisition
(9) Subject to subsection (10), if the board of none of the corporations receives a requisition for a meeting under section 46 within 30 days after it gives notice of the joint rule to its owners, the joint rule is not effective until 30 days after the board of each corporation has given notice of the joint rule to its owners.  1998, c. 19, s. 59 (9).

Same, previous rule
(10) A joint rule or an amendment to a joint rule that has substantially the same purpose or effect as a joint rule that the owners have previously amended or repealed within the preceding two years is not effective until the owners of each corporation approve it, with or without amendment, at a joint meeting of owners of the corporations or at a meeting of owners of each corporation duly called for that purpose.  1998, c. 19, s. 59 (10).

All of this disappears
It has been moved to 21.1(1) in Shared Facilities. What is important is at the bottom in red.

Shared facilities agreement 21.1 (1)
Subject to the regulations, if any of the following persons or any combination of them share or are proposed to share in the provision, use, maintenance, repair, insurance, operation or administration of any land, any part of a property or proposed property, any assets of a corporation or any facilities or services, they shall enter into an agreement that meets the prescribed requirements and shall ensure that it is registered in accordance with the regulations:
1. Two or more corporations.
2. A corporation and any other person.
3. A corporation and one or more declarants.
4. A declarant and one or more corporations.
5. Two or more declarants.
6. A declarant and any other person.

Covenants running with real property
(2) Unless the regulations provide otherwise, any easement or covenant, whether positive or negative in nature, in an agreement mentioned in subsection (1) shall run with any real property that receives a benefit or is subject to a burden unde r the agreement.

Enforcement
(3) The following persons may enforce the easement or covenant against each other:

1.	A party to the agreement.
2.	The owner or any subsequent owner of the real property.
3.	If the real property is property, to which the objects and duties of a corporation apply under section 17, then, subject to the regulations, the corporation and any of its successors and assigns.

By-laws and rules
 (4) The parties to an agreement mentioned in subsection (1) may, in accordance with the regulations, make, amend or repeal joint by-laws or rules governing the provision, use, maintenance, repair, insurance, operation or administration of any land, any part of a property or proposed property, any assets of a corporation or any facilities or services that are subject to the agreement.

Non-application
(5) Sections 56 and 58 do not apply to any by-law or rule made under subsection (4).

It appears that the Shared Facilities Committee can make, repeal or amend its rules and by-laws without a vote of the owners. Shared facilities by-laws may include loan by-laws.

Where is the consumer protection?
Getting the owners' authorization to change the by-laws may be difficult but letting a shared facilities directors—who are appointed, not elected—have so much power without any check on it, would be irresponsible.


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