O. Reg. 274/10: ADMINISTRATION OF THE PLAN

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ontario regulation 274/10

made under the

ontario new home warranties plan act

Made: April 26, 2010
Filed: June 29, 2010
Published on e-Laws: July 2, 2010
Printed in The Ontario Gazette: July 17, 2010

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

(Administration of the Plan)

1. (1) The definition of “major structural defect claim period” in section 1 of Regulation 892 of the Revised Regulations of Ontario, 1990 is revoked and the following substituted:

“major structural defect claim period” means,

(a) the period beginning immediately after the date of possession and ending on the seventh anniversary of the date of possession, in the case of a warranty claim made under section 4.6, or

(b) the period beginning immediately after the registration date of the declaration and description for the condominium project and ending on the seventh anniversary of the registration date, in the case of a warranty claim made under section 5.7; (“période de réclamation pour vice de construction important”)

(2) Section 1 of the Regulation is amended by adding the following definition:

“major structural defect form” means,

(a) the form that the Corporation requires for a claim made under subsection 14 (4) of the Act for a home, in the case of a warranty claim made under section 4.6 of this Regulation, or

(b) the form that the Corporation requires for a warranty claim that an owner makes in respect of the common elements of a condominium project and submits to the Corporation under subsection 14 (4) of the Act, in the case of a warranty claim made under section 5.7 of this Regulation; (“formule relative aux vices de construction importants”)

(3) The definition of “second-year claim period” in section 1 of the Regulation is revoked and the following substituted:

“second-year claim period” means,

(a) the period beginning immediately after the first anniversary of the date of possession and ending on the second anniversary of the date of possession, in the case of a warranty claim made under section 4.4, or

(b) the period beginning immediately after the first anniversary of the registration date of the declaration and description for the condominium project and ending on the second anniversary of the registration date, in the case of a warranty claim made under section 5.6; (“période de réclamation de deuxième année”)

(4) Section 1 of the Regulation is amended by adding the following definition:

“second-year form” means,

(a) the form that the Corporation requires for a warranty claim that an owner submits to the Corporation during the second-year claim period, in the case of a warranty claim made under section 4.4, or

(b) the form that the Corporation requires for a warranty claim that an owner makes in respect of the common elements of a condominium project and submits to the Corporation during the second-year claim period, in the case of a warranty claim made under section 5.6; (“formule de réclamation de deuxième année”)

2. Part II of the Regulation is amended by adding the following section:

Enrolment of Homes in the Plan

1.1 (1) Forthwith upon the issue of a building permit authorizing the construction of a home, other than a condominium dwelling unit, but including a contracted home, the builder shall enrol the home in the Plan by submitting to the Registrar a completed enrolment form as provided by the Corporation together with the enrolment fee set out in Schedule A.

(2) Not less than 30 days before the commencement of construction of a condominium project, the builder shall enrol the condominium project and each unit of it in the Plan by submitting to the Registrar a completed enrolment form as provided by the Corporation together with the enrolment fee set out in Schedule A.

(3) Upon the sale by a vendor of any home, including a contracted home, the builder shall provide to the Corporation confirmation in the prescribed form of the final sale price, to enable the Corporation to confirm or adjust the enrolment fee paid under subsection (1) or (2), as the case may be.

(4) Subject to subsection (5), if a builder has enrolled in the Plan a home, construction of which has not been commenced or which has been commenced but which is not fit for habitation, and if the home is acquired from the builder by a vendor, by way of conveyance, foreclosure or otherwise, it shall be re-enrolled in the Plan by submitting to the Corporation a completed enrolment fee set out in Schedule A.

(5) If a home referred to in subsection (4) vests in a trustee in bankruptcy, it shall be re-enrolled only if it was or is subject to a purchase agreement and if the Corporation has paid or is liable to make a payment to the purchaser under subsection 14 (1) of the Act.

3. The heading immediately before section 4 of the Regulation is revoked and the following substituted:

Part II.1
Claims

Claims — Not Condominium Common Elements

4. Subsection 4.1 (9) of the Regulation is revoked.

5. Subsection 4.4 (1)  of the Regulation is revoked.

6. Subsection 4.6 (1) of the Regulation is revoked.

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

Claims — Condominium Common Elements

5.2 (1) In sections 5.3 to 5.8,

“first-year claim period” means the period beginning immediately after the registration date of the declaration and description for the condominium project and ending on the first anniversary of that date; (“période de réclamation de première année”)

“first-year form” means the form that the Corporation requires for a warranty claim that an owner makes in respect of the common elements of a condominium project and submits to the Corporation during the first-year claim period; (“formule de réclamation de première année”)

“owner” means, in respect of common elements of a condominium project, means the condominium corporation. (“propriétaire”)

(2) Sections 5.3 to 5.8 apply to warranty claims made in respect of common elements of a condominium project registered on or after July 1, 2010.

(3) Sections 4 to 5.1 do not apply to warranty claims made in respect of common elements of a condominium project registered on or after July 1, 2010.

5.3 The Corporation may, in its sole discretion, extend or abridge any times specified in sections 5.5 to 5.7, if it determines that,

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

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

(c) the specified times begin in, end in or span the period from December 24 of one year to January 1 of the following year, both inclusive.

5.4 (1) A person whom any of sections 5.5 to 5.7 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.

(2) 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.

(3) Submission by facsimile transmission is effective on the day sent, whether it is a business day or not.

(4) Submission by regular mail is effective on,

(a) the post-mark date if the Corporation receives it within 10 days of the expiry of the period during which this section permits the submission; or

(b) the date that the Corporation receives it, otherwise.

Condominium Common Elements — First-Year Claims

5.5 (1) In order to make a warranty claim during the first-year claim period in respect of the common elements of a condominium project, the owner shall complete and submit to the Corporation a first-year form.

(2) An owner may submit one or more first-year forms to the Corporation at any time during the first-year claim period.

(3) If an owner submits a first-year form to the Corporation during the first-year claim period, the vendor shall have until the end of the 18-month period from the first anniversary of the registration date of the declaration and description for the condominium project to repair or resolve the claim items listed on the form.

(4) If the vendor does not repair or resolve the claim items listed on the first-year form submitted in accordance with this section by the end of the period specified in subsection (3), the owner may request a conciliation by contacting the Corporation at any time within 60 days after the end of the period specified in that subsection.

(5) If the owner does not request a conciliation under subsection (4) or if the owner cancels the conciliation requested under that subsection, the owner shall be deemed to have withdrawn all claim items listed on the first-year form that the vendor does not repair or resolve by the end of the period specified in subsection (3).

(6) If the owner requests a conciliation under subsection (4), the vendor shall have 90 days from the date of the owner’s request to repair or resolve the claim items listed on the first-year form.

(7) If an owner requests conciliation under subsection (4) and the vendor does not repair or resolve the claim items within the 90 days from the date of the request, the Corporation shall, at any time between the 91st day and the 150th day, both inclusive, from the date of the request, 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.

(8) The vendor shall have a further 90 days from the date on which the report is issued to complete the repairs or otherwise resolve all warranted items set out in the report.

(9) If the vendor does not complete the repairs or otherwise resolve all warranted items set out in the report, the Corporation shall, subject to subsection 14 (3) of the Act and section 6 of this Regulation, pay compensation out of the guarantee fund to the owner or shall perform or arrange for the performance of any required work.

Condominium Common Elements — Second-Year Claims

5.6 (1) In order to make a warranty claim during the second-year claim period in respect of the common elements of a condominium project, the owner shall complete and submit to the Corporation a second-year form.

(2) An owner may submit one or more second-year forms to the Corporation under subsection (1) at any time during the second-year claim period.

(3) If an owner submits a second-year form to the Corporation during the second-year claim period, the vendor shall have until the end of the six-month period from the second anniversary of the registration date of the declaration and description for the condominium project to repair or resolve the claim items listed on the form.

(4) If the vendor does not repair or resolve all of the claim items listed on the second-year form submitted in accordance with this section by the end of the period specified in subsection (3), the owner may request a conciliation by contacting the Corporation at any time within 60 days after the end of the period specified in that subsection.

(5) If the owner does not request a conciliation under subsection (4) or if the owner cancels the conciliation requested under that subsection, the owner shall be deemed to have withdrawn all claim items listed on the second-year form that the vendor does not repair or resolve by the end of the period specified in subsection (3).

(6) If the owner requests a conciliation under subsection (4), the vendor shall have 90 days from the date of the owner’s request to repair or resolve the claim items listed on the second-year form.

(7) If an owner requests a conciliation under subsection (4) and the vendor does not repair or resolve the claim items within 90 days from the date of the request, the Corporation shall, at any time between the 91st day and the 150th day, both inclusive, from the date of the request, 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.

(8) The vendor shall have a further 90 days from the date on which the report is issued to complete the repairs or otherwise resolve all warranted items set out in the report.

(9) If the vendor does not complete the repairs or otherwise resolve all warranted items set out in the report, the Corporation shall, subject to subsection 14 (3) of the Act and section 6 of this Regulation, pay compensation out of the guarantee fund to the owner or shall perform or arrange for the performance of any required work.

Condominium Common Elements — Major Structural Defect Claims

5.7 (1) In order to make a warranty claim under subsection 14 (4) of the Act in respect of the common elements of a condominium project, the owner shall complete and submit to the Corporation a major structural defect form during the major structural defect claim period.

(2) An owner may submit one or more major structural defect forms to the Corporation under subsection (1) at any time during the major structural defect claim period.

(3) If an owner submits a major structural defect form to the Corporation under subsection (1) during the major structural defect claim period, the Corporation shall conduct a conciliation and issue to the owner a report setting out the Corporation’s assessment of whether the claim items listed on the form are covered by the major structural defect warranty.

Condominium Common Elements — Conciliation of Disputes

5.8 (1) In connection with a warranty claim made in respect of common elements of a condominium project under section 5.5 or 5.6, the Corporation may, at any time, conduct a conciliation if the Corporation determines that the parties are not acting reasonably to resolve the items listed on the first-year form or the second-year form, as the case may be, that the owner submits to the Corporation.

(2) If the Corporation conducts a conciliation in accordance with any of sections 5.5, 5.6, 5.7 or this section, the vendor and owner shall each pay to the Corporation the applicable conciliation fee set out in Schedule A.

(3) If the Corporation determines that the conciliation reveals one or more defects that is covered by a warranty, the Corporation shall refund to the owner the conciliation fee paid by the owner.

(4) If the Corporation determines that the conciliation should not be chargeable to the vendor, the Corporation shall refund to the vendor the conciliation fee paid by the vendor.

8. Section 8 of the Regulation is revoked.

9. Paragraphs 5 and 6 of Schedule A to the Regulation are revoked and the following substituted:

 

Conciliation Fees
5.	The fee payable by an owner of a dwelling unit for a conciliation of a dispute under section 5 is,
	(a) if the request for conciliation is made before July 1, 2009	50
	(b) if the request for conciliation is made on or after July 1, 2009	250
6.	The fee payable by a vendor of a dwelling unit for a conciliation of a dispute under section 5 is,
	(a) if the request for conciliation is made before July 1, 2009,
	(i) for the first conciliation with respect to each 25 units or fewer sold by the vendor	no fee
	(ii) for each conciliation after the first conciliation with respect to each 25 units or fewer sold by the vendor	550
	(b) if the request for conciliation is made on or after July 1, 2009	1,000
6.1	The fee payable by a condominium corporation as the owner of common elements for a conciliation of a dispute under any of sections 5.5 to 5.8 is	1,000
6.2	The fee payable by the vendor of common elements for a conciliation of a dispute under any of sections 5.5 to 5.8 is	3,000

10. This Regulation comes into force on the day it is filed.

Made by:
Pris par :

Tarion Warranty Corporation:

Le président,

Harry Herskowitz

Chairman

Le secrétaire de la Société,

Alex W. MacFarlane

Corporate Secretary

Date made by the directors: April 26, 2010.
Pris par les administrateurs le : 26 avril 2010.

Date confirmed by the members in accordance with the Corporations Act: April 26, 2010
Ratifié par les membres conformément à la Loi sur les personnes morales le : 26 avril 2010

Le secrétaire de la Société,

Alex W. MacFarlane

Corporate Secretary

Date certified: June 23, 2010.
Attesté le : 23 juin 2010.

 

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