Legal Duties of Condominium Managers in Risk Prevention
Condominium managers in Alberta have legal responsibilities to manage and mitigate risks that may impact residents, owners, and the corporation. These duties are established under the Condominium Property Act, the Condominium Property Regulation, and the Real Estate Act Rules.
A condominium manager must Maintain complete and accurate financial records and take reasonable steps to prevent fraud, theft, or professional misconduct in the provision of condominium management services. This means that condominium managers play a critical role in:
Ensuring the physical safety of residents and visitors through regular maintenance and hazard prevention.
Managing financial risks by maintaining accurate records and ensuring compliance with financial obligations.
Reducing legal exposure by enforcing bylaws, addressing complaints, and ensuring regulatory compliance.
Failure to meet these legal obligations can result in liability claims, fines, or disciplinary action by the Real Estate Council of Alberta (RECA).
Key Risk Management Strategies
Condominium managers can reduce risk by implementing proactive risk management strategies that address safety, compliance, and financial oversight.
A. Regular Inspections and Record-Keeping
Conduct scheduled property inspections to identify potential safety hazards (e.g., structural issues, fire safety violations, icy walkways).
Keep detailed records of inspections, repairs, and maintenance to demonstrate due diligence.
Ensure all contractor work is documented with service agreements and proof of insurance.
B. Ensuring Contractors Meet Compliance Requirements
Verify that contractors and service providers (e.g., landscapers, security firms, maintenance personnel) carry valid insurance and proper certifications.
Require written contracts that outline responsibilities, timelines, and compliance with safety regulations.
Conduct performance reviews of contractors to ensure they meet expected standards.
C. Communicating Risk Concerns to the Board and Owners
Provide regular risk assessment reports to the condominium board, highlighting potential liabilities.
Educate owners and residents about safety protocols and regulatory compliance (e.g., fire safety procedures, waste disposal rules).
Document all risk-related communications to ensure transparency and legal protection.
By implementing these strategies, condominium managers help reduce the likelihood of injuries, financial losses, and legal disputes.
Activity
Create a Risk Mitigation Checklist for Condominium Managers
Instructions:
Develop a risk mitigation checklist that condominium managers can use in their day-to-day operations. The checklist should include:
Daily/Weekly Tasks:
Inspect common areas for safety hazards (e.g., lighting, walkways, security).
Document and report any maintenance issues.
Review contractor compliance (e.g., insurance, certifications).
Monthly Tasks:
Review and update risk assessment reports.
Conduct financial reconciliations to prevent fraud.
Ensure all resident complaints and incident reports are addressed.
Annual Tasks:
Conduct a full risk assessment with the board.
Review insurance policies and coverage levels.
Update emergency preparedness plans (e.g., fire safety, security).
