- A condo corporation automatically has a lien on your unit when you do not pay common expenses.
- You can pay at any point until the unit is sold, and the corporation must then discharge the lien.
- Power of sale comes late in the process, and the notice sets a redemption date 45 days after it is issued.
Missing a condo fee payment can feel minor at first, but a condo corporation has strong tools to collect. The amount you owe can grow with interest and legal costs, and the unit itself can end up at risk.
This article walks through the usual steps in Ontario, from the first notice to power of sale, and what you can do at each stage. Your declaration and by-laws can add detail, so a lawyer can confirm how they apply to you.
Why condo fees matter to the corporation
Condo fees, also called common expenses, pay for maintaining the common elements, cleaning, building maintenance, condo management and reserve fund contributions. Your share is set in the declaration as a percentage, which may vary with unit size.
Because every owner's share funds the same building, the corporation has little room to let arrears build up. That is why the law gives it a lien on your unit.
The lien and the notices
A condo corporation automatically has a lien on a unit when the owner does not pay common expenses. That lien expires after three months unless the corporation registers a Certificate of Lien.
Before that happens, you first receive a Notice of Lien, and the corporation can register the certificate if you do not pay within 10 days. A special assessment works the same way in one respect: an unpaid special assessment gives the corporation a lien on the unit.
- Read every notice as soon as it arrives and note the dates.
- Check the amount against your own payment records.
- Contact the board or management early, in writing, if you dispute any figure.
What gets added to what you owe
The amount needed to clear a lien is more than the missed fees. The payoff includes condo fees owed after registration, interest, reasonable legal fees, and the costs of preparing and discharging the lien.
For an unpaid special assessment, the lien covers the unpaid amount, interest and all reasonable legal costs of collecting it. Each month you wait can add to the total, so ask for an up-to-date payout figure in writing before you pay.
Timelines from lien to power of sale
| Step | Timing |
|---|---|
| Automatic lien | Expires after three months unless a Certificate of Lien is registered |
| Certificate of Lien | Can be registered if you do not pay within 10 days of the Notice of Lien |
| Power of sale begins | Can start 15 days after the Certificate of Lien is registered |
| Redemption date | Set 45 days after the notice is issued |
During the redemption period, the corporation cannot take further enforcement steps. Power of sale is a serious step, so treat the earlier notices as your best chance to resolve things.
How to stop it and what to do next
If you pay, the corporation must discharge the lien, and you can pay at any point until the unit is sold. Paying sooner generally keeps interest and legal costs lower, though the exact amounts depend on your situation.
- Request a written statement of everything owed, broken down by fees, interest and legal costs.
- Pay the full payoff amount if you can, and get written confirmation that the lien will be discharged.
- If you cannot pay in full, contact the board or its lawyer before the next deadline to discuss options.
- Keep copies of all notices, emails and receipts.
- Speak with a lawyer if you receive a Certificate of Lien or a power of sale notice.
Frequently asked questions
Does the corporation need a court order to put a lien on my unit?
The lien arises automatically when common expenses go unpaid. To keep it beyond three months, the corporation must register a Certificate of Lien.
Do I have to pay the corporation's legal costs?
The lien payoff includes reasonable legal fees and the costs of preparing and discharging the lien. What counts as reasonable can be questioned, so a lawyer can review the charges.
How long do I have after a Notice of Lien?
The corporation can register the Certificate of Lien if you do not pay within 10 days. Check the notice itself for its dates.
Can I still stop a power of sale once it has started?
You can pay at any point until the unit is sold. The notice sets a redemption date 45 days after it is issued, and the corporation cannot take further enforcement steps during that period.
Sources
- Condominium Authority of Ontario – Special Assessments — condoauthorityontario.ca
- Condominium Authority of Ontario – Common Expenses — condoauthorityontario.ca
- Condominium Authority of Ontario – Liens — condoauthorityontario.ca
Links go to official government, court and regulator pages. The law changes — confirm you are reading the current version.
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