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1. What a Rule Is — and Is Not

A rule is a formal policy adopted by the Board under section 58 of the Condominium Act, 1998 to regulate the use of units or common elements. The Act permits rules for only two purposes:

• To promote the safety, security, or welfare of the owners and of the property and assets of the corporation; or
• To prevent unreasonable interference with the use and enjoyment of the units and common elements.

A rule must also be reasonable and consistent with the Act, the Declaration, and the Bylaws. Within the hierarchy of governing documents, rules sit at the bottom: the Declaration prevails over the Bylaws, and the Bylaws prevail over the Rules. A rule that conflicts with a higher document is invalid regardless of how it was passed.

A rule is not:

• A verbal directive, email, memo, posted notice, or announcement from any individual
• A policy that was never approved by Board resolution
• A requirement that was never delivered in writing to all owners
• Anything aimed at a single person, tenant, or unit

Rules exist only when properly created through the governance process below. If a requirement does not appear in the corporation's published Rules, it does not apply.

2. How Rules Are Created

The process in section 58 applies identically to making a new rule, amending an existing rule, or repealing one. Every step is mandatory.

Step 1 — Board Resolution

The Board approves the rule by resolution at a properly constituted board meeting. The Board acts collectively; no individual director can create a rule.

Step 2 — Documentation

The resolution and the rule are recorded in the board minutes and corporate records.

Step 3 — Written Notice to All Owners

The corporation delivers written notice to every owner. The notice must include:

• A copy of the proposed rule
• The proposed effective date (which must be at least 30 days after the notice)
• A statement that owners have the right to requisition an owners' meeting to vote on the rule
• Copies of section 46 (owner-requisitioned meetings) and section 58 (rules) of the Act

A rule made without proper notice to owners is unenforceable — the notice step is not a formality; it is a condition of the rule's validity.

Step 4 — The 30-Day Statutory Period

The rule cannot take effect earlier than 30 days after the notice is delivered. What happens next depends on the owners:

• No requisition within 30 days: the rule takes effect at the end of the 30 days, or on the later effective date stated in the notice.
• Owners requisition a meeting within 30 days: the rule is suspended until the owners vote. The Board must call the meeting under the section 46 process. If a majority of owners present at a properly constituted meeting vote against the rule, it does not take effect. If the meeting fails to reach quorum, the rule takes effect.

Once in Force

A properly passed rule is fully binding. Section 58(10) of the Act provides that rules are enforceable in the same manner as the Bylaws — a rule is not a lesser instrument than a bylaw or the Declaration once validly made.

3. Who Rules Apply To

Properly made rules are rules of general application:

• They apply uniformly to every unit, owner, tenant, and resident.
• They bind directors and officers exactly as they bind everyone else — section 119 of the Act makes the Declaration, Bylaws, and Rules binding on owners, occupiers, and directors alike.
• They cannot exempt any individual, and they cannot target any individual.

A directive aimed at a single person, tenant, or unit is not a rule and has no force or effect. Equal application is not a courtesy — it is what makes a rule a rule. A "rule" that applied to some residents but not others would fail the Act's reasonableness and consistency requirements even if it had been passed through the full process.

4. How Rules Are Properly Enforced

Enforcement belongs to the corporation, acting through its documented processes.

The Proper Channel

• Compliance matters proceed through Property Management, in writing.
• The Board authorizes enforcement collectively, by resolution — no individual, regardless of office held, enforces rules personally.
• Enforcement follows a progressive model: informal reminder, written notice, opportunity to correct, escalation only if the issue persists.

No Fines

Ontario condominium corporations have no power to levy fines or monetary penalties against owners or tenants. No rule, bylaw, or individual can create such a power. Money is recoverable from an owner only through defined legal channels:

• Actual, documented costs recoverable under the Declaration's indemnification provisions
• Insurance deductible chargebacks in the circumstances permitted by the Act (s. 105)
• Costs or damages awarded by a tribunal, court, or arbitrator

A demand for payment of a "fine" — however described, by whomever delivered — has no legal basis.

When Disputes Arise

Genuine disputes about rules are resolved through independent forums, not confrontation:

• The Condominium Authority Tribunal (CAT) — for disputes within its jurisdiction, including provisions about pets, vehicles, parking, storage, and nuisances
• Mediation and arbitration under section 132 of the Act — for disputes between the corporation and owners about the governing documents
• The Superior Court of Justice — including compliance orders under section 134

Proper enforcement is procedural, proportionate, and traceable on paper from beginning to end.

5. Unit-Specific Obligations — The Only Legitimate Paths

Because rules apply to everyone, an obligation attaching to a single unit or person can arise only through defined legal channels:

1. The registered Declaration — for example, conditions attached to exclusive use common elements allocated to particular units
2. A written agreement under section 98 of the Act — signed by the owner, approved by the Board, and registered on title, typically covering an owner's alterations to common elements
3. An order of the Condominium Authority Tribunal
4. An order of the Superior Court of Justice
5. A mediation or arbitration outcome under the Act

Every path involves either the owner's own signature or a decision by an independent tribunal or court. This is proper governance working as designed: individual obligations require individual consent or independent adjudication — never unilateral declaration by anyone within the building.

6. How Owners Repeal a Rule

Owners hold a standing democratic veto over the rules, exercised through the section 46 requisition process. This right is not limited to the 30-day window when a rule is first made — owners may move to amend or repeal any rule at any time.

The Process

1. Requisition a Meeting: Owners representing at least 15% of the units sign a written requisition and deliver it to the corporation.
2. The Meeting Is Called: The Board must call the owners' meeting under the timelines in the Act — the requisition cannot be refused or ignored.
3. Vote: Each unit has one vote, cast in person or by proxy. A simple majority of the owners present at a properly constituted meeting can repeal the rule.

A repealed rule is immediately void. No court, tribunal, or board approval is required.

Key Facts About Repealing Rules

• No legal argument is required.
• The rule does not have to be illegal, unreasonable, or improper.
• It can be repealed simply because owners do not want it.
• The process applies equally to fees, deposits, restrictions, and policies established by rule.

7. The Two-Year Protection (s. 58(8))

The Act protects owner decisions from being quietly overridden. Under section 58(8), if the owners have rejected or amended a rule, the Board cannot re-introduce essentially the same rule within the following two years using the ordinary board-resolution-and-notice procedure. A revisited rule of that kind can only take effect if the owners themselves approve it at a meeting.

In other words: once the owners have spoken on a rule, the decision belongs to the owners for two years. A board intent on a particular rule cannot simply wait out the news cycle and pass it again.

8. Putting It Together

The lifecycle of a proper rule looks like this:

Board resolution → documentation → written notice to all owners → 30 days (or owner vote) → published rule → equal application to all → written, corporate enforcement → owner veto always available.

Every stage is collective, documented, and reviewable. That is not bureaucracy for its own sake — it is what separates governance from personal authority. Proper governance runs in both directions: the Board makes rules through process, and owners can unmake them through process.