Hearing

Land Titles (Strata) Act

PROCESS FLOWCHART

WHAT HAPPENS DURING A HEARING

Objections remain – Hearing for Stop Order

Where there are remaining objections against the en-bloc application, a hearing will be fixed to issue a Stop Order. The Board will not be able to approve the en-bloc application and the applicants who wish to proceed with the en-bloc sale, will have to apply to the High court for approval of the collective sale.

Such application to the High Court must be made within fourteen (14) days after the Board issued its Stop Order. Objections may be filed against the application to the High Court in accordance with procedures prescribed by the Rules of Court. Only objections from persons who had filed objections against the application to a Strata Titles Board and containing the same grounds of objections are permissible.

Note: After the 2010 amendments to the Land Titles (Strata) Act, a key amendment is the provision for the transfer to the High Court of application for approval of en-bloc sales of strata developments which cannot be successfully mediated by a Strata Titles Board.

No objections remain – Collective Sale Order

In the event that there are no remaining objections (i.e. all objections withdrawn), a hearing will be fixed for the Board to consider approving the en-bloc sale.

The Board will not approve an en bloc sale application if it was satisfied that the sale was not conducted in good faith, after taking into account only 3 factors in s. 84A(9)(a)(i) LTSA:

1. The sale price for the lots and the common property in the strata title plan;

2. The method of distributing the proceeds of sale; and

3. The relationship of the purchaser to any of the subsidiary proprietors.

The Board will also not approve the en-bloc sale if the sale and purchase agreement requires a minority owner to be a party to an arrangement for the development of the lots and the common property.

In the event the Board approves the en-bloc application and issues an en-bloc sale order, the order for en-bloc sale is binding on all the unit and land owners of the development. All unit owners must sell their units to the purchaser in accordance with the sale and purchase agreement.

WHO ATTENDS THE HEARING

Hearing for Stop Order

All Objectors and Applicants should be present at the hearing to receive the Stop Order by hand. If any Objector or Applicant is not present, the Stop Order will be served by registered post.

Hearing for Collective Sale Order

Only Applicants/ their lawyers need appear at the hearing.