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Policies vs. Rules in Ontario condos: What boards can do — and what they think they can do!

From an owner’s perspective, there’s nothing more frustrating than being told to follow something the building calls a policy — especially when it feels like a rule, smells like a rule, and is enforced like a rule.

But here’s the key thing: Policies are not rules. And they cannot be used to impose new obligations, fines, restrictions, or behavioural requirements on owners — no matter how official they sound.

Here are the three things you must know:

1. Boards can’t enforce policies against owners the way they enforce rules.

Rules are governed by Section 58 of the Condominium Act, 1998 — with required notice, circulation, and an owner challenge process.

Policies?
They are not defined anywhere in the Act.

They may help boards organize internal procedures or explain how decisions are made, BUT:

  • They cannot create new obligations

  • They cannot restrict owner rights

  • They cannot contradict existing rules

  • They cannot be enforced like rules

If it acts like a rule, it must be passed like a rule — with proper notice and process.

2. Recent decisions confirmed what owners have been saying for years: policies are not a shortcut.

Two major CAT rulings against the same corporation made this crystal clear:

Zolis v WCECC 519 and Marazzato v WCECC 519

In both cases, the condo tried to use a “Visitor Parking Policy” to rewrite an existing rule.
The Tribunal said, twice:

“A condominium cannot alter its rules by making policies. If a board wants to change its rules, it must do so the way the Act requires.”

Translation for owners:

  • The rules themselves might still be valid

  • But boards can’t reinterpret or tighten them through policy

  • And owners can’t be penalized based on an invalid policy

Big win for clarity. Big lesson for owners: Labels matter, and process matters even more.

3. Policies are administrative toolsnot enforcement weapons.

From the owner’s seat, here’s how to tell the difference:

If it’s a RULE If it’s a POLICY
Must follow Section 58 process No legislative foundation
Can create obligations on owners Cannot create obligations
Can be enforced and lead to penalties Cannot be enforced like a rule
Owners can demand meeting/challenge No statutory mechanism
Has actual legal force Advisory or administrative only

Dig deeper:

Condominium Act, 1998 (Ontario)
https://www.ontario.ca/laws/statute/98c19

Condominium Authority Tribunal (CAT)
https://www.condoauthorityontario.ca/dispute-resolution/about-the-tribunal/

We’re always here to answer your questions and provide guidance. Feel free to reach out to us by phone or email.