This is without a doubt one of the top issues we have when managing strata buildings; strata owners unwilling, or unable to pay their monthly strata fees. This issue can cause huge friction and conflict amongst neighbours, and needs to be dealt with before it gets out of hand.
As a strata management company/ strata council member, what can you do when an owner won’t pay his strata fees?
Well, fortunately there is something that you can do! Under the Strata Property Act, you can file a Form G Certificate of Lien for unpaid strata fees and special levies. This lien will rank higher in the priority line than a mortgage or other debts, which is a great thing for strata corporations! The only other charges that would typically rank higher would be builder liens, or government charges (unpaid taxes, etc.)
If the owner refuses to pay the amount on the Form G, the strata corporation can then force the sale of their strata lot through the BC Supreme Court. Under the SPA, owners very often only have about 30 days to pay what’s owing, plus court costs and disbursements.
As you can see, the legislation gives Strata Corporations a big stick when it comes to collecting strata fees and special levies! Don’t be afraid to use this stick before things get too out of control!
Looking for some strata management advice? Our Vancouver property management company is here to help!