By-Law #2: Article 15: Legal Action

15.1 Enforcing Eviction Decisions

Unless the board of directors decides something else, the co-op coordinator is authorized to start legal action as a result of decisions under previous sections. The board can limit the coordinator’s authority, either generally or in specific cases. The board can designate a director or someone else to work with the coordinator. The board can choose another person instead of the manager, either generally or in specific cases.
Unless the board decides something else, the coordinator or the other person is authorized to:

  • give all necessary directions to the co-op’s lawyers and paralegals
  • act as agent for the co-op on court actions and at the Landlord and Tenant Board
  • make a settlement or other agreement, and
  • refer any matter back to the board if necessary.

15.2 Membership Rights on Eviction

  1. When membership ends

    Membership ends on the termination date in an eviction decision, or in case of a conditional eviction or performance agreement, at the end of the notice period for a notice under section 13.5 (Non-Performance by Member). This applies even though the former member can continue to occupy the unit until the co-op gets an eviction order. Since the occupant is no longer a member, the occupant cannot attend meetings of the co-op as a member, vote or run for the board of directors. If the occupant was on the board or was an officer, the position is automatically vacated on the day that membership ends.

  2. When membership restored

    The Co-operative Corporations Act and the Residential Tenancies Act state when someone’s membership and occupancy rights are considered not to be terminated. This could be because the member paid arrears by a certain time or for other reasons. When this happens, the occupant’s membership is restored. The occupant can attend meetings of the co-op as a member, vote or run for the board of directors. If the occupant was a director when their membership ended, that person will not automatically be a director when their membership is restored. They would have to be re-elected to the board or appointed to fill a vacancy.

  3. Co-op actions while occupants were not members

    Any votes or actions taken by the co-op during the time when the occupant was not a member will be valid and binding.

  4. When new Notice to Appear not needed

    No new Notice to Appear or eviction decision is needed in the case of:

    • repeat breaches within six months referred to in subsection 94.2(2) of the Residential Tenancies Act (Deemed termination of membership and occupancy rights)
    • breaking the conditions in a mediated settlement agreement or order of the Landlord and Tenant Board as stated in subsection 94.11(2) of the Residential Tenancies Act (Deemed termination of membership and occupancy rights).

    The board of directors can decide to go ahead with the eviction or the coordinator can be authorized to do so. The member will be given notice as required under the Residential Tenancies Act.

15.3 Interest

Members owe interest on all arrears and other amounts owing to the co-op at the rate of six percent above the prime rate of any credit union or bank designated by the board of directors. The co-op may include this interest when bringing legal action against a member or former member but will not normally claim interest at other times.

15.4 Rights Not Cancelled

The only way the co-op can cancel or waive any rights is under an arrear’s payment agreement or other performance agreement or settlement agreement authorized under this By-law and signed by the co-op. The co-op does not waive any Notice to Appear, eviction decision or other rights by:

  • accepting arrears or compensation
  • sending reminder or other letters even if incorrectly addressed “Dear Member” or similar
  • recalculating housing charge subsidy
  • making any error on a member ledger or other document
  • accepting a cheque or other item marked “Payment in Full” or anything similar
  • doing anything else except as stated at the beginning of this section.

15.5 Co-op Costs

The co-op has the right to recover full indemnity costs (the actual legal fees and costs) of any legal action that the co-op takes to recover money owed to it or enforce its rights under the by-laws.