Quick answer: in Quebec, a condo syndicate recovers unpaid common charges in steps: a notice, a formal demand, then, after more than 30 days of default, registration of a legal hypothec on the unit (article 2729 CCQ) and a lawsuit if needed. If the unit has been sold, the buyer is, as a rule, liable for the charges owing at purchase (article 1069 CCQ).
Two situations come up in Quebec co-owner groups, sometimes on the same day. In a three-unit building, a treasurer preparing the financial statements discovers that the former owner of one unit skipped payments for four years: close to $1,200, unnoticed because a single person kept the books. Elsewhere, co-owners are not paying their contribution to the self-insurance fund, and the syndicate is waiting for a small claims hearing.
This article follows the order in which a syndicate acts, with what each step requires. It then deals with the case that stalls the most boards: the debt of a unit that has already been sold. In a phased co-ownership, each syndicate recovers the charges owed to it: a co-owner can be up to date with one syndicate and in arrears with the other.
Where the debt comes from: the contribution to common charges
Each co-owner contributes to the common charges in proportion to the relative value of their unit (article 1064 CCQ). Each year, the board of directors sets that contribution after consulting the co-owners' meeting, and the syndicate notifies each co-owner without delay of the amount of their contributions and the date they are payable (article 1072 CCQ). That notice matters: it is what tells each co-owner what they owe, and when.
Two other texts frame collection. The declaration of co-ownership may include a penal clause (article 1053 CCQ), and the by-laws of the immovable also cover the procedure for assessing and collecting contributions to the common charges (article 1054 CCQ). Reread both before taking any step: they may provide for interest, fees or a procedure your syndicate must follow.
Step 1: the late notice, from the first missed payment
A late payment found after one month is settled with an email. Found after four years, it becomes a file.
Send a written notice from the first missed payment, with the balance, the month-by-month detail and a deadline. Keep a copy of every notice: it is the record that will matter if the file goes further.
After more than three months, arrears carry consequences set by law. The co-owner is deprived of their right to vote until they pay all the common charges they owe (article 1094 CCQ), and is disqualified from being a director (article 1086 CCQ). Mentioning it in the notice is legitimate: it is not a threat, it is what the Code provides.
Step 2: the formal demand
The formal demand (mise en demeure) must be made in writing and must give the debtor enough time to perform (article 1595 CCQ). It also affects interest: the creditor is entitled to interest at the agreed rate or, failing any agreement, at the legal rate, from the date of default and without having to prove any harm (article 1617 CCQ).
State the exact amount, the detail of the payments, the time allowed and what will follow. Have it authorized by the board, and keep proof of receipt.
Step 3: the syndicate's legal hypothec
This is the tool specific to syndicates. The syndicate's claim for payment of common charges is one of the few claims that can give rise to a legal hypothec (article 2724, para. 3, CCQ). Three rules define its reach.
| Rule | What the Code says |
|---|---|
| When | It charges the unit of a co-owner in default for more than 30 days (article 2729 CCQ). |
| How | It is acquired only from the registration of a notice stating the nature of the claim, the amount payable on the day of registration, and the amount expected for charges in the current fiscal year and the two following years (article 2729 CCQ). |
| How long | It is extinguished three years after registration, unless the syndicate publishes an action against the owner in default or registers a prior notice of the exercise of a hypothecary right (article 2800 CCQ). |
Two misunderstandings to avoid. The hypothec does not exist automatically on day 31: as long as no notice is registered, the syndicate has no hypothec. And a hypothec that is registered and then forgotten is extinguished after three years.
The notice is registered in the land register. Drafting and registering it is usually done with a notary or a lawyer, and those fees should be weighed against the amount owed. Once registered, the hypothec gives the syndicate the right to follow the property into whosever hands it may come (article 2660 CCQ), which becomes decisive if the unit is sold.
Step 4: the lawsuit
Small claims, at the Court of Québec, hear claims for the recovery of up to $15,000, not counting interest (article 536 of the Code of Civil Procedure). A legal person may sue there if it had no more than 10 employees at all times during the 12 months before the claim (article 536 of the Code of Civil Procedure): a self-managed syndicate with no employees therefore qualifies. Above that amount, or if the syndicate wants to exercise its hypothecary rights on the unit, the file leaves small claims and is handled with a lawyer. The ceiling is indexed (article 539.1 of the Code of Civil Procedure): check the amount in force on the date of your claim.
The case that stalls boards: the unit has already been sold
By the time the syndicate discovers the arrears, the former owner is often gone, and people then say the syndicate has no recourse left. That is not accurate.
The buyer answers for the charges owing at the time of purchase. Under article 1069 CCQ, a person who acquires a unit, by any means whatsoever, is liable for payment, with interest, of all the common charges owing for that unit at the time of acquisition. The syndicate can therefore turn to the new owner.
One exception, which depends on the syndicate itself. Before buying, a prospective buyer may ask the syndicate for a statement of the common charges owing for the unit. The buyer is then liable for those charges only if the syndicate provides the statement within 15 days of the request (article 1069 CCQ). In other words, if the syndicate lets 15 days pass without answering a request for a statement of charges, the buyer is no longer liable for those arrears.
The seller is not released either. Nothing in the Code releases the former owner from their debt merely because of the sale. How the claim against the seller and the claim against the buyer fit together, and who ultimately bears the debt between them under their deed of sale, are questions to validate with a lawyer or notary before acting.
The hypothec depends on timing. Registered before the sale, it follows the unit. The Code does not clearly say whether the syndicate can still register a notice after the sale for earlier arrears: article 1069 is then the clearest basis.
Time works against the syndicate. An action to enforce a personal right is prescribed by three years (article 2925 CCQ), and the period runs from the day the right of action arose (article 2880 CCQ). For charges payable in instalments, that invites looking at each instalment separately: in four years of arrears, the oldest ones may be prescribed. Acknowledging a right interrupts prescription (article 2898 CCQ): a written statement in which the debtor acknowledges the balance can therefore be very valuable.
Back to the treasurer of the three-unit building. If the unit was bought without a request for a statement of charges, the current owner is liable for the charges owing at the time of purchase, with interest. The oldest instalments, however, may be more than three years old. Before writing to anyone, do the calculation instalment by instalment, then have the strategy validated.
The best collection is the one you never have to make
Four years of invisible arrears is not a legal problem. It is a tracking problem.
- A balance per unit, every month. Reconcile receipts against what each unit owes, instead of only checking the bank account total.
- Two sets of eyes. The treasurer reports arrears at every board meeting, and the item is recorded in the minutes.
- An answer within 15 days to every request for a statement of charges. That deadline preserves the syndicate's claim against the buyer (article 1069 CCQ).
- A payment method that does not forget. Pre-authorized debit eliminates forgotten payments, though not insufficient funds.
What a tool can do for tracking
No software replaces the formal demand or the lawyer. What a tool changes is when the arrears become visible. In CondoAide, each unit has its balance, and a missed payment shows up in the month it happens, not when the financial statements are being prepared. Once the board turns on payment notifications, reminders go out automatically to co-owners in arrears on the schedule it chooses, by default 5, 10, 15 and 30 days after the due date, and the board can be alerted beyond the delay it sets. The syndicate can also send a late payment notice per unit, with the balance detail and a reminder of the legal hypothec. That is what keeps a $100 arrears from becoming a $1,200 file.
Frequently asked questions
How soon can the syndicate register a legal hypothec?
After more than 30 days of default. The hypothec is acquired only from the registration of a notice stating the nature of the claim, the amount payable and the amount expected for charges in the current year and the two following years (article 2729 CCQ). It is extinguished three years after registration if the syndicate neither publishes an action nor registers a prior notice of exercise (article 2800 CCQ).
Does the new owner have to pay the former owner's unpaid charges?
As a rule, yes. A buyer of a unit is liable for all the common charges owing at the time of acquisition, with interest (article 1069 CCQ). Exception: if the buyer asked the syndicate for a statement of charges before buying, they are liable only if the syndicate provided it within 15 days of the request.
How many years of arrears can the syndicate claim?
As a general rule, three: an action to enforce a personal right is prescribed by three years (article 2925 CCQ), from the day the right of action arose (article 2880 CCQ). The co-owner's acknowledgment of the debt interrupts prescription (article 2898 CCQ). For older arrears, have the calculation validated instalment by instalment.
Can a syndicate sue a co-owner in small claims court?
Yes, for a claim of up to $15,000 not counting interest, if the syndicate had no more than 10 employees at all times during the 12 months before the claim (article 536 of the Code of Civil Procedure). A self-managed syndicate with no employees qualifies.
Can a co-owner in arrears vote at the meeting?
Not if they have been in arrears for more than three months: they are then deprived of their right to vote until they pay all the common charges they owe (article 1094 CCQ). During that time, they are also disqualified from being a director (article 1086 CCQ).
Further reading
- How to collect condo dues without cheques: the annual notice and pre-authorized debit.
- Special assessments in a condominium: when the debt comes from a special contribution.
- Condo accounting without an accountant: keeping books where arrears show up.
- Outgoing condo manager: recovering the syndicate's records: when the books change hands.
This article provides general legal information current as of 14 September 2026. It is not legal advice and does not account for your syndicate's declaration of co-ownership or by-laws. For a situation that binds your co-ownership, consult a lawyer or notary.