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Bill 16

Bill 16: where does your corporation stand in 2026?

May 19, 2026  ·  6-min read  ·  By Guillaume Prentki

We are now halfway through 2026 — and Quebec's Bill 16 on divided co-ownership is no longer a distant prospect. For many condominium corporations, the first deadlines are already behind us. The time has come to ask a simple but essential question: where does my corporation stand?

For many boards of directors, the answer is awkward: "we're not really sure." A partial maintenance log, a contingency-fund study pushed back year after year, an attestation that is hard to produce the day a unit owner announces a sale… The problem isn't a lack of goodwill — it's the absence of clear benchmarks.

This article offers a pragmatic stocktaking: what should be in place today, the warning signs to watch for, and the grey areas where many corporations get it wrong without realizing it.

The 3 key obligations — where things stand

Bill 16 imposes three pillars of compliance on divided co-ownership corporations. Here, for each one, is what should be in place in 2026.

1. Maintenance log

The reference document that inventories every component of your building (roof, windows, façades, mechanical systems, elevators, etc.), their condition, their remaining lifespan and their maintenance history.

In 2026, you should have: a log produced and signed by an independent professional (engineer, architect or accredited technologist) — not a homemade Excel file.

2. Contingency-fund study

A 25-year actuarial analysis that projects the replacement costs of components and determines the annual contribution level required. Bill 16 requires a minimum of 0.5% of the reconstruction value per year.

In 2026, you should have: a study conducted less than 5 years ago, contributions adjusted to the recommendation, and a catch-up plan if the fund is below the threshold.

3. Building condition attestation

A document the corporation must be able to provide to any unit owner who sells their unit — it attests to the building's compliance and the state of the common finances. The legal turnaround is 15 days.

In 2026, you should have: a process in place to produce the attestation quickly, with all documentation centralized and accessible.

The 5 warning signs that should concern you

Here are the most common symptoms of a corporation falling behind on its obligations. If several apply to you, it's time to act — urgently.

1 No annual general meeting with official minutes

The annual general meeting is not a formality: it is the body that approves the financial statements, the budget and major decisions. Without signed and retained minutes, your corporation has no official record of its decisions.

2 An incomplete or scattered register

Declaration of co-ownership, minutes from the last 5 years, financial statements, insurance policies, supplier contracts. If these documents are spread across three different directors — or worse, nowhere to be found — you won't be able to produce the attestation on time.

3 A contingency-fund study more than 5 years old (or non-existent)

Bill 16 requires a five-year update. A 2018 study is now obsolete: construction costs have soared, lifespans have been revised, and your contribution level is probably under-estimated.

4 Fund contributions below 0.5% of the reconstruction value

This is Bill 16's floor threshold. Below it, your fund is statistically insufficient to absorb the major replacements (roof, windows, façades) that inevitably occur over a 20–30 year cycle.

5 Difficulty providing the attestation during a sale

If the last time a unit owner sold, it took a two-week sprint to track down the documents… that's not a process, it's luck. The next sale could cost your corporation dearly.

The grey areas that are often overlooked

Beyond the explicit obligations, many corporations are mistaken about what really "counts" under Bill 16.

An informal document is not a maintenance log

An Excel file drafted by a volunteer director, however detailed, does not fulfil the obligation. The log must be produced by an accredited professional and signed. Without that, it has no enforceable value.

Having a fund ≠ having a study

Many corporations confuse having a contingency fund (an account with money in it) with having an actuarial study that properly sizes its level. These are two distinct things — and Bill 16 requires both.

Self-management does not exempt you from professional obligations

A self-managed corporation remains fully subject to Bill 16. The log, the study and the attestation must be produced to the same standards as a corporation under professional management — which is often a challenge in terms of time and expertise for volunteer directors.

The concrete consequences of falling behind

Putting off these obligations has a very real cost — often higher than acting early.

Risk #1

A blocked sale or a lowered price

Without a compliant attestation, the transaction is delayed or falls through. Informed buyers demand the documents before making an offer.

Risk #2

Unexpected special assessments

The day an underfunded fund meets a loss or a major replacement, it translates into a special assessment of several thousand to tens of thousands of dollars per unit.

Risk #3

Directors' personal liability

In the event of proven negligence in meeting legal obligations, directors may see their personal liability engaged.

Risk #4

Higher insurance premiums

Insurers now scrutinize the state of the fund and the documentation. A poorly documented corporation pays more — or struggles to get coverage at all.

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What to do if you're behind?

The good news: Bill 16 does not penalize those who catch up on their backlog — it penalizes those who ignore their obligations the day a problem arises. If your assessment reveals blind spots, here is the recommended order of priority.

  1. Document first: centralize all existing documents (declaration, minutes, financial statements, invoices, plans). It's free, and it's the prerequisite for any professional process.
  2. Commission the fund study and the maintenance log in parallel, ideally with the same engineering firm to keep costs down.
  3. Regularize governance: hold an annual general meeting, formalize the minutes, update the insurance contracts.
  4. Adjust the fund contributions in line with the study's recommendation, with a phased catch-up plan approved at a general meeting.
  5. Prepare the attestation kit so you can deliver it within 15 days at the next sale.

Each of these steps can be carried out by the board, but they benefit greatly from our support for condo corporations through compliance — especially for coordinating with engineers and preparing meetings.

In summary

Bill 16 is not a threat: it is a framework that protects the long-term value of your building and the peace of mind of every unit owner. But it requires a minimum of structure and documentation that many corporations have never formalized.

The worst posture is wait-and-see: "we'll deal with it when someone sells." By then, it's too late to produce the attestation, and too late to adjust an undersized fund without a crisis.

A few hours of audit today are worth tens of thousands of dollars saved tomorrow. Start by knowing where you really stand.

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Quatre Piliers supports Greater Montreal corporations through Bill 16 compliance: full audit, coordination of professionals, meeting preparation and long-term follow-up. Request a free quote.

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