Shared Facilities Agreements Sample Clauses

Shared Facilities Agreements. There’s No Reason Why We Can’t All Just Get Along. However, When Dealing With Shared Facilities and Cost Sharing Agreements, Often One Party Feels Unfairly Treated They come with a variety of names - shared agreement, shared facility agreement, cost sharing agreement, easement agreement, mutual use agree- ment, etc; whatever the agreement is called, the purpose is the same, to de- fine and set out the defined obligations, boundaries and governance, including associated costs, for areas used by mul- tiple parties. There’s no reason why we can’t all just get along. However, when dealing with shared facilities and cost sharing agree- ments, often one party feels unfairly treated. This is likely because they are not drafted by those who are required to govern them. To add more fun or con- fusion, depending on how you approach it, every agreement is different, just like every condominium in Ontario is differ- ent in some way. It is important to under- stand what is covered (or not covered) in your own agreement. For board members, it’s important to understand where the governance of the shared facilities lies. There is usually reference to a committee, which will be outlined further in a by-law and there are numerous structures of who represents the committee and what their voting au- thority is. In new condominiums, there is often a transfer date referred to which allows the declarant to maintain control until this date passes. Good governance dictates that one member from each party be defined as the shared committee rep- resentative for consistency; changing this representative for each meeting would slow down decisions and be a distraction for the other committee members. In newer condominiums, agreements are often not completed until after registra- tion has taken place, and while the de- veloper is still controlling the declarant board. The disclosure statement may only consider a reference to the agreement, stating that the actual agreement will come later. These agreements, which be- come by-laws, are drafted by developers with their lawyers and could be viewed as one sided, with unfair cost sharing al- locations. When the actual components are not in place and the building is not occupied, it is difficult to envision the use and determine the cost of every compo- nent. The Act (Condominium Act, 1998) protects the turnover board by allowing for termination of the agreement within 12 months of turnover. The process is not as simple as it sounds and conse...