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For years, chargebacks were one of the murkier corners of Alberta condo governance. Boards often had a general sense that they could recover costs from an owner who caused damage, but the rules around how and when to do so were vague enough to create real uncertainty on all sides. Some boards issued chargebacks with little documentation. Others avoided them altogether because the process felt too legally risky. Owners who disagreed had very little recourse short of going to court.
That changed on February 15, 2026, when a significant package of reforms to the Condominium Property Act came into force as part of Bill 30. Chargebacks now have a clearly defined process, proper procedural protections for owners, and a new tribunal where disputes can be resolved without litigation. For boards managing condominiums in Calgary and across Alberta, understanding these changes is not optional. Getting the process wrong can mean a chargeback is ruled unenforceable.
Here is what boards need to know.
A chargeback is a cost that a condominium corporation recovers from a specific owner when that owner’s actions, or the actions of someone they are responsible for, require the corporation to repair, replace, maintain, or protect a unit or common property.
Typical examples include a leak caused by an owner’s negligence that damages a unit below, or unauthorized alterations to a balcony that require the corporation to restore the area. Rather than spreading that cost across all owners through the common budget, a chargeback allows the corporation to assign it directly to the person responsible.
One important point that has not changed: chargebacks are only permitted if they are specifically provided for in your corporation’s bylaws. If they are not in your bylaws, a chargeback is not enforceable, regardless of how clear-cut the situation might seem. The Condominium Property Act makes this explicit. If your bylaws have not been reviewed recently, this is a good reason to put that on the agenda.
Before February 2026, the process for issuing a chargeback was not clearly defined in legislation. That gap has now been filled, and the steps are specific.
First, the corporation must provide written notice to the owner within 90 days of becoming aware of the situation. If that window passes without notice, the chargeback may not be issuable at all.
Second, the owner must be given at least 10 days to respond to that notice. This is not just a courtesy step. It is a procedural requirement, and it gives the owner a genuine opportunity to provide context, raise a concern, or dispute the facts before any decision is finalized.
Third, once the notice period has expired, the board must pass a formal resolution before the chargeback can be officially imposed. An informal agreement among board members, or a note in the meeting minutes, is not sufficient. The resolution needs to be properly documented.
Under the new framework, chargebacks are also treated as contributions, meaning they carry the same legal weight as regular condo fees. That gives corporations a cleaner path to collection if the owner does not pay. For a full overview of the broader legislative changes that came into force this year, the UrbanTec article on Alberta’s new condo laws in 2026 covers the wider picture.
This is the part that boards should take seriously. A chargeback that is issued without following the proper steps is at real risk of being ruled unenforceable, especially now that owners have a formal venue to challenge it.
The Condominium Dispute Resolution Tribunal, known as the CDRT, opened for filings as of February 2026 and is expected to be fully operational in April 2026. Chargeback disputes are within its jurisdiction. The fees to file are relatively modest: $150 to submit an application, and $350 if the matter proceeds to adjudication. That accessibility means owners who feel a chargeback was improperly issued have a practical way to push back.
Boards that issue chargebacks without proper documentation, without the required notice period, or without a formal resolution are creating real exposure. If a matter goes to the CDRT and the process cannot be demonstrated, the likely outcome is that the chargeback is set aside.
The informal practices that may have worked in the past, including verbal warnings or loosely worded emails as a substitute for proper notice, will not hold up under tribunal scrutiny.
Because chargebacks must be authorized by your bylaws to be enforceable, it is worth confirming that your current bylaws actually include that authority, and that the language is current enough to reflect how the legislation now works. Many Alberta corporations are operating with bylaws that were drafted well before these changes, and there may be gaps worth addressing.
If your board has not reviewed its governing documents since the February 2026 changes came into force, it is a reasonable priority to do so. UrbanTec’s overview of the Condominium Property Regulation is a useful starting point for understanding how the Act and its regulations work together.
Even well-run boards can find themselves in difficult situations if their documentation practices are not consistent. Building good habits around notice, record-keeping, and resolution-passing is easier to do before a dispute arises than after.
Alberta’s condominium legislation is becoming more structured and more oversight-driven. That is not a bad thing. For boards that approach governance with care, the new rules offer more clarity and stronger tools. For boards that have relied on informal processes, the changes are a prompt to tighten things up.
Chargebacks are a legitimate and sometimes necessary tool for protecting the corporation and ensuring that costs are borne fairly. The 2026 changes do not limit that authority. They make it more procedurally sound, and that is ultimately good for everyone involved.
For many condominium boards, the key challenge is not the rule itself, but applying it correctly in real situations. Clear documentation, consistent procedures, and a good understanding of Alberta’s Condominium Property Act can make the process significantly smoother for everyone involved.
UrbanTec Property Management works with condominium and townhouse boards across Calgary and surrounding communities, supporting day-to-day governance, documentation, and compliance with Alberta legislation. If your board has questions about chargeback procedures, bylaw interpretation, or the upcoming 2026 legislative changes, our team is always happy to help. You can reach us at hello@urbantec.ca or learn more at www.urbantec.ca.
