More and more, declarations of co-ownership contain arbitration clauses. These clauses allow for the avoidance of going to court in the event of a dispute between a co-owner and the condominium corporation.

Arbitration takes the form of a private tribunal where the case is heard by one or more arbitrators chosen by the parties.

To initiate the process, the parties must submit an arbitration request to the arbitrator. Upon receipt of this request, the arbitrator prepares an Arbitration Agreement that must be signed by all parties.

The arbitrator then determines the procedure. The parties are free to be represented by a attorney and to present their own expert witnesses. Once the hearings are completed, the arbitrator issues a written decision that is binding on the parties. This decision can be validated by a court in case of non-compliance.

For information, you are invited to consult the arbitration rules of the Association of Quebec Notary Arbitrators. Members of the Association are subject to ethical rules.

An exhaustive list of the different situations where an arbitrator can intervene cannot be provided, but here are some examples:

• A dispute between two co-owners;
• A co-owner not complying with one or more conditions of the declaration of co-ownership;
• A co-owner refusing to pay a special assessment;
• A condominium corporation refusing to make repairs to the building following a request from a co-owner.

Why let a dispute escalate and become more burdensome through legal proceedings? Arbitration, more than a means, represents a more civilized solution to a dispute. Arbitration is therefore a dynamic solution that meets the economic imperatives of the contemporary world, where disputes must be resolved quickly while minimizing costs.

The main advantages of arbitration are confidentiality, speed of resolution, and cost limitation:

• Confidentiality: It is a form of private justice as opposed to the common courts, which are open to the public.
• Speed of resolution: The arbitrator assigned to a dispute must be requested by the parties to render a decision in a short period of time. This decision is enforceable and final. In practice, a timeframe of six (6) months can be expected.
• Cost limitation: As the decision is final and without appeal, costs are reduced accordingly.

Parties who wish to resort to an even more flexible form of conflict resolution may be better off turning to mediation.

Given their training and experience, notaries are particularly suited to maintain impartiality between the parties to a contract. They are obliged to provide advice so that the decision and consent of the parties are properly informed. A notary is the appropriate professional to act as an arbitrator in a dispute.

We invite you to submit your arbitration request to Notaire-Direct^® who will meet your needs.