Canada: Alberta's New Condominium Laws – A Greater Administrative Burden For Developers

Last Updated: January 12 2018
Article by Michael Bolitho and Jillian Karras

Most Read Contributor in Canada, December 2017

With the recent proclamation of several sections of the Condominium Property Amendment Act, 2014 and the Condominium Property Amendment Regulation, as of January 1, 2018, and April 1, 2018, the Condominium Property Act (Alberta) (the Act) and the Condominium Property Regulation will be substantially amended.

One of the main objectives of the amendments is to improve protections for buyers and existing owners; however, such protections come at the expense of developers, who are now saddled with a greater administrative burden.

Briefly, some key amendments developers will face, the majority of which come into force as of April 1, 2018, are as follows.

Firm Move-In Dates: A developer is required to set firm move-in dates for buyers and prepare an occupancy statement setting out a fixed date or range of dates, by which the unit must be ready for occupancy. Such occupancy statement must be provided to the buyer at the time the purchase agreement is executed, and the occupancy statement must be initialed by the buyer. If a developer does not make a unit available for occupancy within 30 days after the final occupancy date set out in the occupancy date statement, the buyer will have the right to rescind the purchase agreement.

Law Firms Must Hold Deposits: All deposits received by a developer must be forwarded to the developer's lawyer (a prescribed trustee) to be held in trust, within three days of the developer receiving the buyer's deposit money. The lawyer must notify the buyer within 10 days of receiving the money to be held in trust that the buyer's deposit is held on deposit in its trust account. Within 10 days after depositing a buyer's deposit into the lawyer's trust account, the lawyer must notify the developer of the deposit.

Deliverables to the Condominium Corporation: A developer must provide a significant number of new deliverables to the condominium corporation (at the first meeting of the owners to elect the first board), including: (a) copies of warranties, drawings and specifications; (b) a copy of any legal or other professional advice or opinions paid for by the condominium corporation; (c) plans showing utility lines; and (d) copies of all tax records of the condominium corporation.

Deliverables to the Buyer and Associated Developer Expenses: A developer must provide a significant number of new deliverables to a buyer prior to the developer selling or agreeing to sell a unit or proposed unit, including: (a) a copy of the home warranty insurance contract under the New Home Buyer Protection Act; (b) if the unit is a conversion unit, a summary of the deficiencies, the reserve fund report, and a description of the previous building use; (c) a list of amounts payable by the condominium corporation to third parties; and (d) a description of any other fees the developer will charge the buyer. In the proposed budget deliverable, the developer must specify the projected total expenses, and if off by more than 15% the developer shall pay the condominium corporation the amount of the actual total expenses that is greater than 15% above the projected total expenses. The proposed budget also must list all project expenses, which must be listed under specified categories, and it must include the name and credentials of the person who prepared the proposed budget, and the date on which the proposed budget was prepared.

Requirements of Purchase Agreements and Rescission Rights of the Buyer: A purchase agreement entered into by a developer must be drafted to include certain notifications, cost estimates and unit apportionment. As of April 1, 2018, the rescission right is different and a new disclaimer is required on the face of all purchase agreements with developers.

Material Change Notification: A developer must deliver written notice to the buyer of any material change in the information and documents provided by the developer to the buyer, any time before the buyer takes possession. A material change means a change or series of changes to a fact or proposal as stated in the information or a document provided under section 12 of the Act that, on a reasonable basis, would have an adverse effect on the value or use of the unit or proposed unit, the common property or the real property of the condominium corporation. If a developer fails to deliver notice, within 60 days from the date the buyer becomes aware or reasonably ought to have become aware of the material change, the buyer may file an originating application with the court, and the court may order any relief it considers appropriate, including damages or rescission of the purchase agreement (if the certificate of title has not yet been issued in the name of the buyer).

Inspection, Investigation and Penalties: An inspector, as appointed by the minister, may at any reasonable time, enter the business premises of a developer and inspect the operation and records and documents of the developer for the purpose of determining whether the Act or the regulations are being complied with. If a developer does not follow the rules (e.g., fails to comply with sections of the Act or furnishes false information or misrepresentations), it could be convicted of an offence and liable to a fine of not more than $100,000. Specifically, a developer must, at a location in Alberta, produce any books, records, documents or other things requested by an inspector that are relevant to determine if there is compliance with the developer's duties under this Act and the regulations.

Liability of Directors and Officers: If a corporate developer commits an offence under the Act or the regulations, liability can extend to every principal, director, officer, manager, employee or agent of the developer who authorized the act or omission that constitutes the offence or who assented to, acquiesced in or participated in the act or omission that constitutes the offence, whether or not the developer has been prosecuted for the offence.

Building Inspection Report: For existing buildings being converted to condominiums, the developer must arrange for the preparation of a building assessment report. Such report must include the necessary information and be prepared not earlier than 180 days before the first unit in the building is offered for sale.

Duties of a Developer: No later than 30 days after registration of a condominium plan, a developer must appoint an interim board of directors and file at the land titles office a notice confirming the names and addresses of the interim board. Where units are located in a building in which one or more units have been transferred to a buyer, a developer must pay contributions in respect of each unit in the building it owns on the same basis as owners of other units are required to pay contributions, notwithstanding anything to the contrary in the bylaws.

Termination of Agreements: A condominium corporation has the ability to terminate any agreement, subject to certain enumerated agreements that cannot be terminated. This likely applies to a project completion agreement that is often put in place by a developer.

Estoppel Certificate Requirements: There are express estoppel requirements that must be certified within a requested estoppel certificate. The condominium corporation, management company, or developer managing a condominium project, will need to ensure its estoppel form complies with the certification information.

Condominium Plan Requirements: The condominium plan presented for registration by the developer will need to identify parking and disability spaces. This requirement comes into effect on April 1, 2018, and the developer must ensure all plans registered after April 1, 2018, contain these identifications.

As highlighted above, there are some significant amendments to the Act and the regulations thereunder, which will affect developers of condominium projects. Developers should prepare strong internal checklists and tracking systems to manage these new responsibilities, and work closely with our real estate team to ensure the pre-purchase documents and purchase agreements are in compliance for both new and ongoing projects.

About Norton Rose Fulbright Canada LLP

Norton Rose Fulbright is a global law firm. We provide the world's preeminent corporations and financial institutions with a full business law service. We have 3800 lawyers and other legal staff based in more than 50 cities across Europe, the United States, Canada, Latin America, Asia, Australia, Africa, the Middle East and Central Asia.

Recognized for our industry focus, we are strong across all the key industry sectors: financial institutions; energy; infrastructure, mining and commodities; transport; technology and innovation; and life sciences and healthcare.

Wherever we are, we operate in accordance with our global business principles of quality, unity and integrity. We aim to provide the highest possible standard of legal service in each of our offices and to maintain that level of quality at every point of contact.

For more information about Norton Rose Fulbright, see

Law around the world

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

To print this article, all you need is to be registered on

Click to Login as an existing user or Register so you can print this article.

In association with
Up-coming Events Search
Font Size:
Mondaq on Twitter
Register for Access and our Free Biweekly Alert for
This service is completely free. Access 250,000 archived articles from 100+ countries and get a personalised email twice a week covering developments (and yes, our lawyers like to think you’ve read our Disclaimer).
Email Address
Company Name
Confirm Password
Mondaq Topics -- Select your Interests
 Law Performance
 Law Practice
 Media & IT
 Real Estate
 Wealth Mgt
Asia Pacific
European Union
Latin America
Middle East
United States
Worldwide Updates
Mondaq Ltd requires you to register and provide information that personally identifies you, including what sort of information you are interested in, for three primary purposes:
  • To allow you to personalize the Mondaq websites you are visiting.
  • To enable features such as password reminder, newsletter alerts, email a colleague, and linking from Mondaq (and its affiliate sites) to your website.
  • To produce demographic feedback for our information providers who provide information free for your use.
  • Mondaq (and its affiliate sites) do not sell or provide your details to third parties other than information providers. The reason we provide our information providers with this information is so that they can measure the response their articles are receiving and provide you with information about their products and services.
    If you do not want us to provide your name and email address you may opt out by clicking here
    If you do not wish to receive any future announcements of products and services offered by Mondaq you may opt out by clicking here

    Terms & Conditions and Privacy Statement (the Website) is owned and managed by Mondaq Ltd and as a user you are granted a non-exclusive, revocable license to access the Website under its terms and conditions of use. Your use of the Website constitutes your agreement to the following terms and conditions of use. Mondaq Ltd may terminate your use of the Website if you are in breach of these terms and conditions or if Mondaq Ltd decides to terminate your license of use for whatever reason.

    Use of

    You may use the Website but are required to register as a user if you wish to read the full text of the content and articles available (the Content). You may not modify, publish, transmit, transfer or sell, reproduce, create derivative works from, distribute, perform, link, display, or in any way exploit any of the Content, in whole or in part, except as expressly permitted in these terms & conditions or with the prior written consent of Mondaq Ltd. You may not use electronic or other means to extract details or information about’s content, users or contributors in order to offer them any services or products which compete directly or indirectly with Mondaq Ltd’s services and products.


    Mondaq Ltd and/or its respective suppliers make no representations about the suitability of the information contained in the documents and related graphics published on this server for any purpose. All such documents and related graphics are provided "as is" without warranty of any kind. Mondaq Ltd and/or its respective suppliers hereby disclaim all warranties and conditions with regard to this information, including all implied warranties and conditions of merchantability, fitness for a particular purpose, title and non-infringement. In no event shall Mondaq Ltd and/or its respective suppliers be liable for any special, indirect or consequential damages or any damages whatsoever resulting from loss of use, data or profits, whether in an action of contract, negligence or other tortious action, arising out of or in connection with the use or performance of information available from this server.

    The documents and related graphics published on this server could include technical inaccuracies or typographical errors. Changes are periodically added to the information herein. Mondaq Ltd and/or its respective suppliers may make improvements and/or changes in the product(s) and/or the program(s) described herein at any time.


    Mondaq Ltd requires you to register and provide information that personally identifies you, including what sort of information you are interested in, for three primary purposes:

    • To allow you to personalize the Mondaq websites you are visiting.
    • To enable features such as password reminder, newsletter alerts, email a colleague, and linking from Mondaq (and its affiliate sites) to your website.
    • To produce demographic feedback for our information providers who provide information free for your use.

    Mondaq (and its affiliate sites) do not sell or provide your details to third parties other than information providers. The reason we provide our information providers with this information is so that they can measure the response their articles are receiving and provide you with information about their products and services.

    Information Collection and Use

    We require site users to register with Mondaq (and its affiliate sites) to view the free information on the site. We also collect information from our users at several different points on the websites: this is so that we can customise the sites according to individual usage, provide 'session-aware' functionality, and ensure that content is acquired and developed appropriately. This gives us an overall picture of our user profiles, which in turn shows to our Editorial Contributors the type of person they are reaching by posting articles on Mondaq (and its affiliate sites) – meaning more free content for registered users.

    We are only able to provide the material on the Mondaq (and its affiliate sites) site free to site visitors because we can pass on information about the pages that users are viewing and the personal information users provide to us (e.g. email addresses) to reputable contributing firms such as law firms who author those pages. We do not sell or rent information to anyone else other than the authors of those pages, who may change from time to time. Should you wish us not to disclose your details to any of these parties, please tick the box above or tick the box marked "Opt out of Registration Information Disclosure" on the Your Profile page. We and our author organisations may only contact you via email or other means if you allow us to do so. Users can opt out of contact when they register on the site, or send an email to with “no disclosure” in the subject heading

    Mondaq News Alerts

    In order to receive Mondaq News Alerts, users have to complete a separate registration form. This is a personalised service where users choose regions and topics of interest and we send it only to those users who have requested it. Users can stop receiving these Alerts by going to the Mondaq News Alerts page and deselecting all interest areas. In the same way users can amend their personal preferences to add or remove subject areas.


    A cookie is a small text file written to a user’s hard drive that contains an identifying user number. The cookies do not contain any personal information about users. We use the cookie so users do not have to log in every time they use the service and the cookie will automatically expire if you do not visit the Mondaq website (or its affiliate sites) for 12 months. We also use the cookie to personalise a user's experience of the site (for example to show information specific to a user's region). As the Mondaq sites are fully personalised and cookies are essential to its core technology the site will function unpredictably with browsers that do not support cookies - or where cookies are disabled (in these circumstances we advise you to attempt to locate the information you require elsewhere on the web). However if you are concerned about the presence of a Mondaq cookie on your machine you can also choose to expire the cookie immediately (remove it) by selecting the 'Log Off' menu option as the last thing you do when you use the site.

    Some of our business partners may use cookies on our site (for example, advertisers). However, we have no access to or control over these cookies and we are not aware of any at present that do so.

    Log Files

    We use IP addresses to analyse trends, administer the site, track movement, and gather broad demographic information for aggregate use. IP addresses are not linked to personally identifiable information.


    This web site contains links to other sites. Please be aware that Mondaq (or its affiliate sites) are not responsible for the privacy practices of such other sites. We encourage our users to be aware when they leave our site and to read the privacy statements of these third party sites. This privacy statement applies solely to information collected by this Web site.

    Surveys & Contests

    From time-to-time our site requests information from users via surveys or contests. Participation in these surveys or contests is completely voluntary and the user therefore has a choice whether or not to disclose any information requested. Information requested may include contact information (such as name and delivery address), and demographic information (such as postcode, age level). Contact information will be used to notify the winners and award prizes. Survey information will be used for purposes of monitoring or improving the functionality of the site.


    If a user elects to use our referral service for informing a friend about our site, we ask them for the friend’s name and email address. Mondaq stores this information and may contact the friend to invite them to register with Mondaq, but they will not be contacted more than once. The friend may contact Mondaq to request the removal of this information from our database.


    From time to time Mondaq may send you emails promoting Mondaq services including new services. You may opt out of receiving such emails by clicking below.

    *** If you do not wish to receive any future announcements of services offered by Mondaq you may opt out by clicking here .


    This website takes every reasonable precaution to protect our users’ information. When users submit sensitive information via the website, your information is protected using firewalls and other security technology. If you have any questions about the security at our website, you can send an email to

    Correcting/Updating Personal Information

    If a user’s personally identifiable information changes (such as postcode), or if a user no longer desires our service, we will endeavour to provide a way to correct, update or remove that user’s personal data provided to us. This can usually be done at the “Your Profile” page or by sending an email to

    Notification of Changes

    If we decide to change our Terms & Conditions or Privacy Policy, we will post those changes on our site so our users are always aware of what information we collect, how we use it, and under what circumstances, if any, we disclose it. If at any point we decide to use personally identifiable information in a manner different from that stated at the time it was collected, we will notify users by way of an email. Users will have a choice as to whether or not we use their information in this different manner. We will use information in accordance with the privacy policy under which the information was collected.

    How to contact Mondaq

    You can contact us with comments or queries at

    If for some reason you believe Mondaq Ltd. has not adhered to these principles, please notify us by e-mail at and we will use commercially reasonable efforts to determine and correct the problem promptly.

    By clicking Register you state you have read and agree to our Terms and Conditions