The syndicate of co-owners for a building in Québec City decides it needs to undertake unexpected urgent structural repairs to the foundation, costing $200,000. The contingency fund is insufficient. What is the most appropriate action for the syndicate to take to cover this expense?

Question: The syndicate of co-owners for a building in Québec City decides it needs to undertake unexpected urgent structural repairs to the foundation, costing $200,000. The contingency fund is insufficient. What is the most appropriate action for the syndicate to take to cover this expense?

Answer options: ✅ Levy a special assessment on the co-owners.

• Obtain a line of credit using the common portions as collateral.
• Delay the repairs until sufficient funds accumulate in the contingency fund.
• Convert a portion of the reserve fund into the general operating fund.

Correct answer: Levy a special assessment on the co-owners.

Explanation: When the contingency fund is insufficient for major urgent repairs, the syndicate can levy a special assessment on the co-owners to cover the extraordinary expenses, as per Article 1072 of the Civil Code of Québec.