- Joined
- Aug 22, 2007
- Messages
- 304
Apartment buildings converted into strata/condominium titles provide fertile ground for litigation.
Complaints often revolve around misrepresentation often with respect to the state of repair or reserve funds. Individuals often find it difficult to sue for many reasons.
The recent BC Court of Appeal decision in Bosworth v. Jurock, 2013 BCCA 4 is helpful for aggrieved buyers. Oswald Jurock, David Barnes, Ralph Case, Standard Apartments LTD., Proper Tee Investments LTD.,and Greenwich Holdings LTD were the joint venture participants and principles of a developer corporation. That corporation marketed strata lots in the Roosevelt Apartments converted to strata and located in Prince Rupert. The other side of the lawsuit was Greg Bosworth, an unhappy purchaser.
Mr. Bosworth bought his unit and promptly got a notice from the strata council advising of deficiencies requiring $35,109 PER STRATA LOT! No wonder he was unhappy. The issue before the Court of Appeal was whether Mr. Bosworth would be allowed to bring his action for misrepresentation as a class action on behalf of all the purchasers of strata lots in the Roosevelt Apartments. The Court found that it met all the requirements of the Class Proceedings Act including an observation by the Court that he was unable to bring a class action under the Strata Property Act.
This ruling confirms that strata owners can pursue strata related claims as a class action and illustrates a number of benefits to proceeding in that fashion. There are no concerns about whether the plaintiff has, as lawyers like to say, "the standing" which is another way of saying the right to pursue the action. Also, you get rid of the three-quarter vote authorization process under sections 171 or 172 of the Strata Property Act. Another advantage is that discovery costs are much reduced over the more common situation of a multi-plaintiff or Strata Corporation.
SUMMARY: In BC class-action lawsuits are available and advantageous to unhappy strata owners.
Complaints often revolve around misrepresentation often with respect to the state of repair or reserve funds. Individuals often find it difficult to sue for many reasons.
The recent BC Court of Appeal decision in Bosworth v. Jurock, 2013 BCCA 4 is helpful for aggrieved buyers. Oswald Jurock, David Barnes, Ralph Case, Standard Apartments LTD., Proper Tee Investments LTD.,and Greenwich Holdings LTD were the joint venture participants and principles of a developer corporation. That corporation marketed strata lots in the Roosevelt Apartments converted to strata and located in Prince Rupert. The other side of the lawsuit was Greg Bosworth, an unhappy purchaser.
Mr. Bosworth bought his unit and promptly got a notice from the strata council advising of deficiencies requiring $35,109 PER STRATA LOT! No wonder he was unhappy. The issue before the Court of Appeal was whether Mr. Bosworth would be allowed to bring his action for misrepresentation as a class action on behalf of all the purchasers of strata lots in the Roosevelt Apartments. The Court found that it met all the requirements of the Class Proceedings Act including an observation by the Court that he was unable to bring a class action under the Strata Property Act.
This ruling confirms that strata owners can pursue strata related claims as a class action and illustrates a number of benefits to proceeding in that fashion. There are no concerns about whether the plaintiff has, as lawyers like to say, "the standing" which is another way of saying the right to pursue the action. Also, you get rid of the three-quarter vote authorization process under sections 171 or 172 of the Strata Property Act. Another advantage is that discovery costs are much reduced over the more common situation of a multi-plaintiff or Strata Corporation.
SUMMARY: In BC class-action lawsuits are available and advantageous to unhappy strata owners.