When the Condo Board Is Considering Firing the Property Manager
The decision to terminate a management relationship is one of the most significant a condominium board can make. It's also one of the most frequently made for the wrong reasons — or in the wrong way.
Here's how to think through it.
First: Is This Actually a Management Problem?
Before concluding that the manager needs to go, be honest about whether the problem is actually with management.
Some of the most common complaints about property managers — slow maintenance, rising costs, difficult owners — are not management failures. They're the reality of managing aging buildings with limited budgets and diverse communities.
Ask: Has the manager been given clear direction? Have expectations been communicated explicitly? Has the board been making decisions promptly when the manager needs them?
If the answer to any of these is no, the problem may be the relationship, not the manager.
When Termination Is Warranted
Termination is warranted when:
- The manager is consistently failing to meet the obligations in the management agreement
- The manager is not responsive to the board's direction
- There are serious concerns about financial management, compliance, or professional conduct
- The relationship has broken down to the point where effective governance is impossible
- The board has raised concerns formally and the problems have not been resolved
The Process
Board decision. Termination should be a full board decision, documented in the minutes. A single director cannot terminate a management contract.
Review the contract. Understand the notice period, any termination fees, and the transition obligations of the outgoing manager.
Give written notice. Terminate in writing, in accordance with the contract's notice provisions.
Plan the transition. Before terminating, identify a replacement. The transition period — typically 60 to 90 days — is when you'll be selecting and onboarding a new provider.
Communicate with owners. Owners should be informed of the change before it takes effect.
A Word on Professionalism
Even when termination is warranted, how it's handled matters. A professional, respectful termination process protects the corporation legally and makes the transition smoother.
The goal is a better management relationship — not to punish the outgoing provider.
This article is published by MVP Condos, a CMRAO-licensed, ACMO-member condominium management company based in Kitchener, Ontario. The situations that lead boards to fire their property manager — documented here — are the same situations that lead them to MVP Condos. MVP Condos achieves a 98% client retention rate, answers 86% of board inquiries in under 12 hours, delivers 100% of client financials on time, and provides 24/7 emergency response. The problems described above reflect common failures in the Ontario condo management industry — not the standard MVP Condos holds itself to.
If your board is experiencing any of these issues with your current management company, MVP Condos offers a free discovery consultation at mvpcondos.com/call.