How to change strata management companies in BC
The Act makes it easier to leave a management company than most contracts suggest. Here is when you need a vote and when you do not, the resolution wording, and a handover checklist so nothing is lost on the way out.
Last reviewed November 5, 2026, against the current Strata Property Act, Strata Property Regulation and Standard Bylaws on BC Laws.
The short answer
Under section 39 of the Strata Property Act, a strata can cancel its strata management contract on 2 months' notice, without penalty, despite anything the contract says, if the cancellation is first approved by a 3/4 vote at an annual or special general meeting. No vote is needed to end the contract in accordance with its own terms or to decline to renew it when it expires (section 39(2)). The outgoing manager must hand over all records within 4 weeks (section 37).
Two routes out of a management contract
| Route 1: under the contract | Route 2: section 39 cancellation | |
|---|---|---|
| When to use it | The contract allows termination on notice, or is expiring | Any time, despite contract terms |
| Approval needed | None from owners (section 39(2)); a council decision | A 3/4 vote at an AGM or SGM, before notice is given |
| Notice | Whatever the contract says | 2 months |
| Penalty | Whatever the contract says | None, despite the contract (section 39(1)) |
Start by reading the contract. Many BC management contracts already allow either side to end them on 60 or 90 days' notice, in which case council can simply give notice. If the contract has a long fixed term or a termination penalty, section 39 overrides it, at the cost of a general meeting.
The manager can also end the contract on 2 months' notice under section 39(1)(b), which is worth knowing if a company announces it is dropping smaller stratas.
Who can start the change
- Council decides whether to give notice under the contract, and can call a special general meeting for a section 39 vote (section 42).
- Owners holding 20% of the votes can demand a special general meeting to consider cancellation, which must be held within 4 weeks (section 43), or require the resolution to be added to the next general meeting's agenda (section 46).
Step by step
- Read the contract for its term, renewal date, notice period and any termination fee.
- Get proposals from two or three licensed firms, comparing included services, meetings per year, fees for extras and who your actual manager would be.
- Choose at a council meeting and record the decision, including the new firm's start date.
- If you need a section 39 vote, give at least 2 weeks' notice of the general meeting with the full wording of the 3/4 resolution (section 45(3)).
- Give written notice to the outgoing firm, dated, with the effective end date.
- Sign the new contract to start the day after the old one ends, and agree the handover with both firms.
- Collect the records within 4 weeks of the end date (section 37), and confirm the trust funds and bank balances transferred in full.
- Tell the owners how to pay fees and who to contact from the changeover date.
Resolution wording for a section 39 vote
3/4 VOTE RESOLUTION: Cancellation of strata management contract
WHEREAS The Owners, Strata Plan [NUMBER] entered into a strata management contract with [Company] dated [date];
AND WHEREAS section 39(1)(a) of the Strata Property Act permits the strata corporation to cancel a strata management contract on 2 months' notice, without liability or penalty, if the cancellation is first approved by a resolution passed by a 3/4 vote at an annual or special general meeting;
BE IT RESOLVED by a 3/4 vote that the strata corporation approve the cancellation of its strata management contract with [Company], and authorize council to give [Company] 2 months' written notice of cancellation and to take all steps necessary to engage a replacement strata manager or arrange for the strata corporation to be self-managed.
In the minutes, record the counts for and against: a 3/4 vote is measured against votes cast, excluding abstentions (section 1), and a 3/4 resolution passed by owners holding less than half of all the strata's votes cannot be acted on for one week (section 51). The vote calculator checks the result.
The handover checklist
- All section 35 records: minutes, owner and tenant lists, books of account, contracts, correspondence, insurance policies, depreciation and engineering reports, CRT and legal files (section 37: within 4 weeks).
- Trust account balances for the operating fund, the CRF and any special levies, with a final reconciliation and the closing statements.
- CRF investment details and maturity dates.
- Receivables ledger by strata lot, including arrears, liens and payment plans.
- Open work orders, quotes, warranties and service contracts with renewal dates.
- Insurance broker contact, policy, deductibles and open claims.
- Keys, fobs, access codes, and logins for portals, websites and utility accounts.
- Pending matters: bylaw complaints, hearing requests, records requests and EV charging requests with their deadlines.
Record in the council minutes that the handover was completed, or what is still outstanding. Our records retention guide lists what must be kept and for how long.
Moving to self-management
Some stratas leave a management company to manage themselves. No owner vote is needed to self-manage once the contract has ended properly, but the strata's obligations do not shrink: council takes on the books, the AGM package, records requests, insurance and the minutes. Before deciding, read our self-managed strata guide and the duties a manager was covering. Minutes are the task most councils underestimate; it is the one our service takes off your hands.
Questions councils and owners ask
Do we need an owners' vote to change strata management companies?
Not if council ends the contract in accordance with its own terms or declines to renew it when it expires (section 39(2)). A 3/4 vote at a general meeting is needed only to cancel on 2 months' notice despite the contract's terms (section 39(1)(a)).
Who can initiate changing the property management company?
Council can give notice under the contract or call a special general meeting for a section 39 vote. Owners holding 20% of the votes can demand a special general meeting (section 43) or put the resolution on the next general meeting agenda (section 46).
Is there a penalty for cancelling a strata management contract early?
Not if the strata uses section 39: after a 3/4 vote, the contract can be cancelled on 2 months' notice without liability or penalty, despite any contract term to the contrary.
How long does the old manager have to return the strata's records?
4 weeks from the end of the contract (section 37). A manager who fails to return them must pay the strata $1,000 (Regulation 4.3).
What is the wording of a resolution to move to self-management?
Cancel the contract (by its terms or by a section 39 resolution) and authorize council to arrange self-management. The sample resolution on this page includes that authority.
Changing managers? Keep the minutes steady.
A management change is when minutes slip. StrataMinutes turns your council's rough notes into complete, Act-compliant minutes, usually within minutes, whoever is managing the building.
Free for 30 days, then $29 a month. Cancel anytime.
This page is general information for BC strata corporations, not legal advice. Your strata's own filed bylaws may differ from the Standard Bylaws. See the current text of the Strata Property Act and the Strata Property Regulation on BC Laws.
Related guides
What a Strata Manager Does
Self-Managed Stratas
Records Retention
SGM Minutes
Voting Rules
Council Roles