Overview of the Dower Act & Its Impact on Condominium Contributions
The Dower Act is a piece of Alberta legislation that protects the rights of a non-owner spouse when a property is being sold or encumbered. It applies when:
A condominium unit is owned by only one spouse, but the unit serves as the couple’s primary residence.
Any financial action, such as placing a caveat for unpaid condominium contributions, may impact the non-owner spouse’s rights.
Collection of Arrears & the Dower Act
Condominium corporations may place a caveat on a unit when contributions (fees, levies, or assessments) are unpaid. However, if the unit is a Dower-protected property, special considerations may apply. Before taking legal action, corporations should:
Determine if the unit is the primary residence of a married owner.
Assess whether the non-owner spouse has Dower rights, which may require additional legal steps before enforcing a caveat.
Ensure compliance with all procedural requirements to avoid disputes or legal challenges.
Legal Considerations in Enforcing Arrears Under the Dower Act
If a condominium corporation fails to follow the Dower Act requirements, there may be legal risks, including:
Challenges to caveats or foreclosure actions—if the non-owner spouse’s consent was not properly obtained.
Delays in debt collection—as legal disputes may prevent enforcement.
Potential financial losses—if a claim is deemed invalid due to non-compliance.
Practical Application:
Ensuring Compliance with the Dower Act
To ensure legal compliance when pursuing arrears, condominium managers should:
Verify Dower rights before taking enforcement actions.
Ensure all required disclosures and procedures are followed when registering a caveat.
Seek legal guidance if a dispute arises over unpaid contributions.
By properly addressing Dower Act considerations, condominium corporations can avoid legal challenges while ensuring contributions are collected efficiently.
