Financial Consequences of Human Rights Violations and Legal Claims
Condominium corporations are legally required to comply with human rights, health, and safety laws to protect residents and employees. Violations of these laws can result in:
Legal Fines and Damages – Human rights complaints can lead to costly settlements or tribunal rulings against the corporation.
Insurance Premium Increases – Claims related to safety violations or discrimination can result in higher liability insurance costs.
Legal Fees – Defending against claims, whether successful or not, can cost the condominium corporation significant legal fees.
Failure to accommodate disability-related requests, such as service animals or accessibility modifications, has led to rulings against condominium boards in past cases/
Legal Reference: The Alberta Human Rights Act states that individuals cannot be discriminated against in the provision of housing or services based on protected grounds, including disability, race, and family status.
How Safety Concerns and Discrimination Issues Negatively Affect Resale Values
Non-compliance with safety and human rights obligations can damage a condominium’s reputation, affecting unit resale values in the following ways:
Loss of Buyer Confidence – Buyers avoid properties with a history of lawsuits, discrimination complaints, or unresolved safety concerns.
Negative Publicity – Tribunal rulings and legal cases can be publicly accessible, discouraging future buyers.
Decreased Demand – If a condominium is known for unsafe conditions, lack of inclusivity, or poor governance, property values may decline as potential buyers look elsewhere.
For example, failing to maintain elevators for residents with mobility impairments or refusing service animals can deter future buyers concerned about the accessibility and reputation of the property.
The Role of Occupational Health and Safety Compliance in Risk Management
Condominium corporations must ensure safe living conditions for all residents, employees, and contractors under occupational health and safety (OHS) laws. Key obligations include:
Maintaining Common Areas – Ensuring hallways, stairwells, and parking lots are free from hazards such as ice, poor lighting, or structural issues.
Fire Safety Compliance – Regular inspections and adherence to fire safety codes to prevent liability in case of an emergency.
Contractor Safety Requirements – Verifying that vendors and service providers comply with workplace safety regulations when performing work on-site.
A failure to comply with safety standards could result in injury lawsuits, WorkSafe Alberta investigations, and even criminal liability if negligence leads to severe harm.
Risk Assessment Exercise
Scenario:
A condominium board refuses to make an accessibility modification for a resident with a mobility disability, claiming it is too expensive. The resident files a human rights complaint, and the case becomes public, affecting unit sales in the building.
Discussion Questions:
What financial and legal risks does the condominium corporation face in this scenario?
How could the board have mitigated the risk of a human rights complaint?
What proactive strategies should condominium managers implement to prevent similar issues?
Activity: Conduct a risk assessment on a condominium’s safety and human rights compliance policies. Identify potential areas of liability and propose solutions to ensure legal and financial protection.
