A housing co‑operative applied under the Co‑operative Corporations Act for termination of membership, arrears of housing charges, and a writ of possession against long‑time members who accumulated substantial arrears after refusing to pay full housing charges based on an incorrect belief they were entitled to a larger subsidy.
The court held the arrears were valid and found one member had abandoned the unit.
However, exercising the discretionary fairness jurisdiction under s. 171.21 of the Act, the court concluded it would be unreasonable and unfair to terminate the remaining member’s membership without first providing an opportunity to comply with a performance agreement for repayment of arrears.
The co‑operative bore some responsibility for allowing the arrears to accumulate for years without earlier enforcement.
The writ of possession was therefore refused subject to terms requiring ongoing housing payments plus monthly arrears payments, with liberty to seek possession upon default.
