Land Title Practice Manual

80 Disposal Of Common Property

In This Volume

  • 80 (1) To dispose of common property in a way set out in section 253(1), the strata corporation must ensure that the requirements of Part 7 of the Land Title Act are met.
  • (2) To dispose of common property in a way not set out in section 253(1), the strata corporation must ensure that the following requirements are met:
  • (a) a resolution approving the disposition must be passed by a 3/4 vote at an annual or special general meeting;
  • (b) holders of financial charges noted on the common property record must consent in writing to the proposed disposition unless in the registrar’s opinion the interests of the persons who have not consented in writing are not adversely affected by the disposition;
  • (c) any document needed to effect the disposition must be executed by the strata corporation and delivered to the land title office accompanied by
    • (i) a Certificate of Strata Corporation in the prescribed form, stating that the resolution referred to in paragraph (a) has been passed and that the document conforms to the resolution, and
    • (ii) the written consents referred to in paragraph (b).
  • (3) For the purpose of determining what consents are required under subsection (2)(b) from holders of financial charges, section 97(3) to (8) of the Land Title Act applies to the disposition of common property.

1998-43-80, effective July 1, 2000 (B.C. Reg. 43/2000).

REGULATIONS AND FORMS

The Strata Property Regulation, B.C. Reg. 43/2000, is included at chapter 59 (Strata Property Regulations).

Certificate of Strata Corporation, Form E: Section 80(2)(c)(i)

The Strata Property Regulation prescribes Form E, Certificate of Strata Corporation, for the purpose of s. 80(2)(c)(i) of the Act. Form E is included at chapter 60 (Strata Property Forms).

Submissions

The Form E must be attached to the instrument disposing of common property. To attach the Form E to the instrument, use the Strata Property Act Filing form, select Form E, Certificate of Strata Corporation, and attach an image of the original Form E, or use the Declaration form, describe the Form E, and attach an image of the original Form E.

Notations on Common Property Record

See s. 14.14 of the Strata Property Regulation, which provides that the registrar must note on the common property record any freehold disposition of common property by the strata corporation and any designation or removal of limited common property.

PRACTICE

Signatures of Owners

A document to effect the disposition of common property under s. 80(1) must be signed by the owners of all of the strata lots.

Dealings Affecting the Common Property

The registrar notes a disposition under s. 80 on the common property record of the strata plan. See s. 252 of the Act regarding notations on the common property record.

CASE LAW

Lease of Common Property

Section 80 of the Strata Property Act and s. 20 of the Condominium Act both provide that owners may dispose of common property by resolution. Although a disposition by way of a lease for a term exceeding three years must now be dealt with under s. 253 of the Strata Property Act, the following case, decided under s. 20 of the Condominium Act, affirms the principle that, to effect a disposition under s. 80 of the Strata Property Act, a special resolution must be passed by the strata corporation.

On a registered strata plan under the Condominium Act, all of the parking spaces in a condominium building were designated as limited common property. Before the strata council was formed, the defendant, W, as agent for both the plaintiff strata owners and the corporate defendant, executed a parking garage agreement giving the corporate defendant exclusive use and enjoyment of all of the parking stalls for 99 years. The effect of the agreement was to pass property rights in the parking stalls to the corporate defendant, and as such it was a lease. As the strata owners did not pass a special resolution authorizing the disposition of the common property, the agreement was in breach of s. 20 of the Condominium Act (Strata Plan 1261 v. 360204 B.C. Ltd., 1995 CanLII 659 (BC SC), supplementary reasons 1996 CanLII 3513 (BC SC); see also the annotation for this decision under s. 3 of this Act).