Condo Board Member Severe Conflict of Interest

[nightstreak]

Our building has a strict no short term rentals rule, yet there are ongoing issues with Airbnb. Well... well... I just found out that our longest serving board member who owns a half dozen units has 4 of them on Airbnb and is a co-host with 2 other hosts with units in the building. We've confronted the board but we're being gaslit. Absent any confirmed short term rentals, nothing wrong is being done they say. Having a listing isn't against the rules so they claim. It's infuriating.

Is it worth hiring a lawyer to pursue this? Is this illegal or just against a condo board rules.

 

[DSCToronto]

Our building has a strict no short term rentals rule, yet there are ongoing issues with Airbnb. Well... well... I just found out that our longest serving board member who owns a half dozen units has 4 of them on Airbnb and is a co-host with 2 other hosts with units in the building. We've confronted the board but we're being gaslit. Absent any confirmed short term rentals, nothing wrong is being done they say. Having a listing isn't against the rules so they claim. It's infuriating.

Is it worth hiring a lawyer to pursue this? Is this illegal or just against a condo board rules.

You need to see if it is an official Rule of your Corporation. If it is, Boards have legal duty to enforce the Corporation's Declaration, By_Laws and Rules. Most restrictions on short-term rentals are in Rules. See this great blog post from Denise Lash. https://www.lashcondolaw.com/short-term-rentals-in-condos-what-could-possibly-go-wrong/ In some cases there is NOT a 'real Rule" but it is some sort of unofficial guideline. These are much vaguer and Boards can ignore them.

My suggestion is to send in an official REQUEST FOR RECORDS to get a copy of your Rules. There is an official Form, available at https://www.condoauthorityontario.ca/resource/request-for-records/ and you must use it. This info is useful, Rules and Declarations are Core Records. https://www.condoauthorityontario.ca/wp-search/?swp_form[form_id]=1&swps=request+for+records When complete you must deliver the Form to the Address for Service of your Corporation. This may be the 'management office' but is always given in the Periodic Information Certificates that your Corporation must send you twice each year. The Board has 30 days to respond, with yet another Form!

Evern if your Corporation allows short-term rentals, the City has additional requirements https://www.toronto.ca/community-pe...ousing-rights-information/short-term-rentals/

Let us all know what you do and what you find out, dm me if you want more info. If you find it IS a Rule and if the Board are not enforcing it, you can go to the (free) Condominium Authority Tribunal SEE: https://www.condoauthorityontario.ca/issues-and-dispute-resolution/ and https://www.condoauthorityontario.ca/issues-and-solutions/short-term-rentals/

 

[nightstreak]

Thanks for all that. It's certainly an official rule. This guy keeps getting elected to the board because most owners are absent investors and several of them have Airbnbs in the building. This has got to be illegal.

I'll follow up.

 

[afransen]

Our building has a strict no short term rentals rule, yet there are ongoing issues with Airbnb. Well... well... I just found out that our longest serving board member who owns a half dozen units has 4 of them on Airbnb and is a co-host with 2 other hosts with units in the building. We've confronted the board but we're being gaslit. Absent any confirmed short term rentals, nothing wrong is being done they say. Having a listing isn't against the rules so they claim. It's infuriating.

Is it worth hiring a lawyer to pursue this? Is this illegal or just against a condo board rules.

Hire a private investigator to book one of the units on Airbnb.

 

[DSCToronto]

Thanks for all that. It's certainly an official rule. This guy keeps getting elected to the board because most owners are absent investors and several of them have Airbnbs in the building. This has got to be illegal.

I'll follow up.

If it’s an official Rule the Corporation is obligated to enforce it. I would go to CAO and attach copy of your Rules. Good luck.