The BC Government has just introduced its Condo and Strata Assignment Integrity Register (CSAIR).
This registry is going to be maintained by the Land Title & Survey Authority.
So what does this mean?
Disclosure of personal information
The Registry is designed to track certain personal information about buyers. This information includes:
If you are an individual:
- your full legal name
- your date of birth
- your citizenship status
- your SIN number
- your residency status
- your postal address, address of principal residence, phone number and, if applicable e-mail address
If you are a corporation:
- the corporation’s full legal name
- the corporation’s federal income tax business number
- the head office address of the corporation
- the name, postal address, phone number, and e-mail address for any contact person.
There are similar requirements for buyers who are trustees and partners.
Disclosure of information about the deal
In addition to information about the buyers, the developer must also disclose:
- the date of the purchase agreement
- the purchase price
- the property address or legal description
- if known, the unit number, strata lot number and parcel identifier number of the strata lot
Disclosure about assignment information
If you have signed a contract of purchase and sale to buy a pre-build condo, but you decide to assign that contract to someone else (in other words, a new buyer will step into your shoes as the buyer), then certain information about that assignment process needs to be disclosed as well, including:
- the date the developer consents to allow you to assign the contract to another buyer
- the effective date of the assignment
- the amount of any assignment fee payable to the developer
- the amount payable to the assignor for the assignment, or for any deposit paid to the deposit trustee
- the percentage of rights, obligations and benefits under the purchase agreement which are assigned, if a partial assignment is being made
Changes to the Purchase Agreement
The developer is now required to include new information in every purchase agreement:
- a paragraph that speaks to whether an assignment is permitted or not
- an explanation of what an assignment is
- a requirement for the parties to an assignment to provide the developer with the information and records required for the CSAIR registry
- a notice disclosing the fact that the developer must file this information with the CSAIR registry
So what if I don’t want to disclose this information?
Well, it’s now a legal requirement that you do so.
If you object to the collection and use of your personal information in this manner, you can initiate a complaint with the Office of the Information and Privacy Commissioner for British Columbia.
The bottom line?
The government is tracking your personal information. We don’t know yet what they will be using that information for, or with whom they will ultimately be sharing it.
We don’t know if they are tracking this information in order to assess or impose future fees or taxes for assignments or other newly built condo purchases.
For example, it may be that the federal government may ask the Land Title & Survey Authority to share information about the purchase price and assignment amounts or fees paid in order to determine if you have included that information in your personal or corporate income tax return.
So be prepared for extra paperwork when you are buying a new condo. It’s not clear, either whether there will be any penalties to buyers if the developers fail to meet these disclosure requirements.
Call us if you have any questions about how this will affect your new build purchase.November 7, 2018 10:54 am
Tags: Condo and Strata Assignment Integrity Register, condominium, conveyancing, CSAIR, real property