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O. Reg. 320/03: ADMINISTRATION OF THE PLAN

filed July 28, 2003 under Ontario New Home Warranties Plan Act, R.S.O. 1990, c. O.31

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ontario regulation 320/03

made under the

Ontario New Home Warranties Plan Act

Made: June 10, 2003
Filed: July 28, 2003
Printed in The Ontario Gazette: August 16, 2003

Amending Reg. 892 of R.R.O. 1990

(Administration of the Plan)

1. Section 1 of Regulation 892 of the Revised Regulations of Ontario, 1990 is amended by adding the following definitions:

“business day” means any day other than Saturday, Sunday or a holiday; (“jour ouvrable”)

“conciliation” means a process whereby the Corporation determines whether a disputed item listed on a notice of claim given to the Corporation under section 4 or any of sections 4.2 to 4.6 is covered by a warranty and whether repairs or compensation are required; (“conciliation”)

“pre-delivery inspection date” means the date, on or before the date of possession, on which the vendor and either one or both of the purchaser and the purchaser’s designate conduct an inspection of the home; (“date de l’inspection préalable à la prise de possession”)

2. Section 2 of the Regulation is amended by adding the following paragraphs:

4. For every home with a date of possession on or after October 1, 2003, the vendor shall deliver to the purchaser, on or before the pre-delivery inspection date, the most current freehold or condominium edition, as applicable, of the document entitled Homeowner Information Package published by the Corporation.

5. For every home with a date of possession on or after October 1, 2003, the vendor shall, on the pre-delivery inspection date, complete and sign a certificate of completion and possession form and a pre-delivery inspection form approved by the Corporation and deliver a copy of the completed and signed forms to the purchaser.

6. Within 15 days from the date of possession of each home sold by a vendor, the vendor shall submit to the Corporation the completed and signed forms mentioned in paragraph 5.

3. The Regulation is amended by adding the following sections:

4.1 (1) This section and sections 4.2 to 4.6 apply, and section 4 does not apply, to all homes, excluding the common elements of a condominium project, with a date of possession on or after October 1, 2003.

(2) In this section and sections 4.2 to 4.5,

“warranty claim” means a claim for breach of a warranty under subsection 14 (3) of the Act; (“réclamation au titre de la garantie”)

“warranty period”, for a warranty described in subsection 13 (1) of the Act, means the period commencing on the date on which the warranty takes effect under subsection 13 (3) of the Act and expiring on the date that the warranty expires. (“période de garantie”)

(3) During the first year of the warranty period, the owner shall submit to the Corporation a warranty claim only within one or both of the following time periods:

1. 30 days from the date of possession.

2. The final 30 days of the first year of the warranty period.

(4) The Corporation may, in its sole discretion, extend or abridge any times specified in this section, sections 4.2 to 4.6 and section 5.1 if it determines that,

(a) the vendor is unable or unwilling to repair or resolve the claim items covered by a warranty; or

(b) the warranty claim involves items requiring seasonal repairs, items involving health and safety or items involving other extraordinary circumstances.

(5) A person whom this section or any of sections 4.2 to 4.6 requires to submit a form to the Corporation shall submit the form by hand, courier, facsimile transmission or, except during a general interruption of postal service, regular mail or registered mail.

(6) Submission by hand or courier is effective on the day that the Corporation receives it, if that day is a business day, and otherwise on the next business day.

(7) Submission by facsimile transmission is effective on the business day sent, if sent before 12 midnight, and otherwise on the next business day.

(8) Submission by regular mail is effective on the post-mark date if the Corporation receives it within five days of the expiry of the period during which this section or any of sections 4.2 to 4.6 permit the submission.

(9) Submission by registered mail is effective on the post-mark date and the receipt issued in accordance with the regulations relating to registered mail made under the Canada Post Corporation Act (Canada) is admissible in evidence as proof of the post-mark date, in the absence of evidence to the contrary.

30-Day Claims

4.2 (1) In this section,

“30-day form” means a form that the Corporation requires for a warranty claim that an owner submits to the Corporation within 30 days from the date of possession.

(2) In order to make a warranty claim within 30 days from the date of possession, the owner shall complete and submit to the Corporation a 30-day form.

(3) An owner may submit only one 30-day form for a home and the Corporation shall be deemed to have received only the first 30-day form for a home that the owner submits.

(4) Subject to subsection (5) and section 5.1, if an owner submits a 30-day form to the Corporation within 30 days from the date of possession, the vendor shall have until the 150th day from the date on which the Corporation receives the form to repair or resolve the claim items that are listed on the form and that are covered by a warranty.

(5) If the vendor does not repair or resolve all of the claim items listed on the 30-day form by the 120th day from the date on which the Corporation receives the form, the owner may request a conciliation by contacting the Corporation at any time between the 121st day and the 150th day, both inclusive, from the date on which the Corporation receives the form.

(6) If the owner does not request conciliation under subsection (5), the owner shall be deemed to have withdrawn all claim items listed on the 30-day form that the vendor does not repair or resolve by the 150th day from the date on which the Corporation receives the form.

(7) The owner may re-submit a warranty claim, at the prescribed times, for any claim item that subsection (6) deems the owner to have withdrawn if the warranty period applicable to the claim item has not expired before the date of re-submission.

Year-End Claims

4.3 (1) In this section,

“year-end form” means a form that the Corporation requires for a warranty claim that an owner submits to the Corporation within the final 30 days of the first year of the warranty period.

(2) In order to make a warranty claim during the final 30 days of the first year of the warranty period, the owner shall complete and submit to the Corporation a year-end form.

(3) If more than one year-end form is submitted for a home during the final 30 days of the first year of the warranty period, the claim items listed on the last year-end form submitted to the Corporation for the home shall replace the claim items listed on all other year-end forms submitted for the home.

(4) Subject to subsection (5) and section 5.1, if an owner submits a year-end form to the Corporation within the final 30 days of the first year of the warranty period, the vendor shall have until the 150th day from the later of the date on which the Corporation receives the form and the day before the first anniversary of the date of possession to repair or resolve the claim items that are listed on the form and that are covered by a warranty.

(5) If the vendor does not repair or resolve all of the claim items listed on the year-end form by the 120th day from the later of the date on which the Corporation receives the form and the day before the first anniversary of the date of possession, the owner may request a conciliation by contacting the Corporation at any time between the 121st day and the 150th day, both inclusive, from the later of the date on which the Corporation receives the form and the day before the first anniversary of the date of possession.

(6) If the owner does not request conciliation under subsection (5), the owner shall be deemed to have withdrawn all claim items listed on the year-end form that the vendor does not repair or resolve by the 150th day from the later of the date on which the Corporation receives the form and the day before the first anniversary of the date of possession.

(7) The owner may re-submit a warranty claim, at the prescribed times, for any claim item that subsection (6) deems the owner to have withdrawn if the warranty period applicable to the claim item has not expired before the date of re-submission.

Second-Year Claims

4.4 (1) In this section,

“second-year form” means a form that the Corporation requires for a warranty claim that an owner submits to the Corporation during the second year of the warranty period.

(2) In order to make a warranty claim during the second year of the warranty period, the owner shall complete and submit to the Corporation a second-year form.

(3) Subject to subsection (4) and section 5.1, if an owner submits a second-year form to the Corporation in the second year of the warranty period, the vendor shall have until the 150th day from the date on which the Corporation receives the form to repair or resolve the claim items that are listed on the form and that are covered by a warranty.

(4) If the vendor does not repair or resolve all of the claim items listed on the second-year form by the 120th day from the date on which the Corporation receives the form, the owner may request a conciliation by contacting the Corporation at any time between the 121st day and the 150th day, both inclusive, from the date on which the Corporation receives the form.

Delayed Occupancy Claims

4.5 (1) In this section,

“delayed occupancy form” means a form that the Corporation requires for a warranty claim that an owner submits to the Corporation in respect of a claim under section 17.

(2) In order to make a claim under section 17, the owner shall complete and submit to the Corporation within 30 days from the date of possession or during the final 30 days of the first year of the warranty period, a delayed occupancy form, together with copies of all receipts.

(3) If an owner submits a delayed occupancy form in accordance with subsection (2), the vendor shall have until the 150th day from the date on which the Corporation receives the form to pay the owner the compensation required under section 17 or to settle the claim.

(4) If the vendor does not pay the owner the compensation required under section 17 or settle the claim by the 150th day from the date on which the Corporation receives the form, the owner may request an assessment of the claim by contacting the Corporation.

(5) The Corporation shall, at any time between the 30th day and the 40th day, both inclusive, from the date of the owner’s request, issue to the owner and the vendor a report setting out the Corporation’s assessment of whether compensation is payable by the vendor under section 17 and, if so, the amount.

(6) The vendor shall have 30 days from the date that the report is issued to pay the amount payable.

(7) If the vendor does not pay the amount payable within the time period specified in subsection (6), the Corporation shall make payment from the guarantee fund to the owner.

Major Structural Defect Claims — Years 3 through 7

4.6 (1) In order to make a claim under subsection 14 (4) of the Act for a home, the owner shall complete and submit to the Corporation a major structural defect form in the form that the Corporation requires.

(2) Within 10 days of receiving the form, the Corporation shall,

(a) conduct an inspection of the home or an assessment of the claim items listed on the form, without doing an inspection of the home; and

(b) issue to the owner a report setting out the Corporation’s assessment of whether the claim items listed on the form are eligible for compensation under subsection 14 (4) of the Act.

4. The Regulation is amended by adding the following section:

5.1 (1) This section applies, and subsection 5 (2) does not apply, to all homes, excluding the common elements of a condominium project, with a date of possession on or after October 1, 2003.

(2) If an owner requests conciliation in accordance with section 4.2, 4.3 or 4.4, the Corporation shall, at any time between the 30th day and the 40th day, both inclusive, from the date of the request for conciliation, conduct a conciliation and issue to the owner and the vendor a report setting out the Corporation’s assessment of whether the claim items are covered by a warranty and the repairs or compensation, if any, required.

(3) The vendor shall have a further 30 days from the date on which the report is issued to complete the repairs or pay the compensation required in the report.

(4) If the vendor does not complete the repairs or pay the compensation, the Corporation shall, subject to subsection 14 (3) of the Act and section 6, pay the compensation out of the guarantee fund to the owner or shall perform or arrange for the performance of the repairs.

5. Schedule A to the Regulation is amended by striking out paragraph 5 and substituting the following:

5. The fee payable by a vendor for a conciliation of a dispute is,

 

(a) for the first conciliation with respect to each 25 units or fewer sold by the vendor

no fee

(b) for each conciliation after the first conciliation with respect to each 25 units or fewer sold by the vendor

$550

6. This Regulation comes into force on August 1, 2003.

Passed by the Directors on June 10, 2003.

Ontario New Home Warranty Program:

Al Libfeld

Chair

Harry Herskowitz

Secretary

Confirmed by the members in accordance with the Corporations Act on June 10, 2003.

Harry Herskowitz

Secretary

 

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