Canadian Lawyer InHouse

Q U I Z Bruce Engell, Partner and Tiffany Tsun, Associate, WeirFoulds LLP Keeping an eye on municipal developments Municipal governments have broad powers to regulate many aspects of commercial operations, including land use and zoning regulations, business licencing, and billboard and signage regulations. Commercial real estate owners need to understand how their operations can be affected by changes to municipal regulations. go to www.canadianlawyermag.com to watch weirFoulds llP lawyers talk about this quiz. 1 Your client is a business corporation that owns several commercial properties in a town. The town has passed a new comprehensive zoning bylaw. The company has no current plans to sell or reconfigure its existing sites, but management is concerned that 1) this new bylaw may affect current operations, by compelling the company to modify its existing sites to comply with the new bylaw, and 2) this new bylaw may affect the redevelopment potential of the sites (and by extension the resale value of the property). What do you tell your client? a) The new zoning bylaw will not affect either. b) The new zoning bylaw may affect 1, but not 2. c) The new zoning bylaw may affect 2, but not 1. d) The new zoning bylaw will affect both. 2 Your client intends to build and operate a fitness facility in Ontario. The company is incorporated in Ontario and has a Master Business Licence issued by the province. It has already obtained the necessary building permits to renovate the building and plans to open its doors to the public soon. There is no mention of fitness facilities in the municipality's licensing bylaw. The company asks you if it needs any other municipal approvals to operate. Does it? a) No. It has an Ontario Master Business Licence and a building permit, and fitness facilities do not require a municipal business licence in this municipality. b) No. However, the snack bar inside may require a municipal business licence. c) Yes. Although there is no specific requirement for a fitness facility to be licenced, it must still obtain a general business licence to carry on any business in the municipality. d) Yes. The Ontario Master Business Licence will only suffice where the local municipality has not adopted a municipal licensing bylaw. 3 Your client has purchased a commercial building. There is a billboard on the roof of the building, operated by one of the large ad companies, which provides supplementary income to the property. Soon after closing a municipal bylaw officer serves your company with a "Notice of Violation" stating the sign is erected contrary to the municipality's bylaws. He threatens to charge your company for having illegally erected the sign and to seek fines against your company upon conviction. He orders the sign be removed within 30 days. How should your company respond? a) Refer the bylaw officer to the previous owner who erected the sign. Your company did not erect the sign and therefore did not violate the bylaw. b) Split the fines with the previous owner. As the previous owner erected the sign and your company currently maintains it, you will both be jointly and severally liable for any fines upon conviction. c) The previous owner is liable for the fines for having erected the sign illegally, and your company will be responsible for bringing the property into compliance with the bylaw by removing the sign. d) Your company, as the owner at the time the violation was observed, can be fined and is responsible for ensuring the sign is brought into compliance. 4 You have just received a notice from the local municipality stating that the neighbouring property owner has applied for a "minor variance" from the zoning bylaw in order to permit redevelopment at its site. The requested variance is to permit an addition to the building that will be closer to the property line than is normally allowed by the zoning bylaw. Your company has several concerns about how the neighbour operates his business, and how the proposed redevelopment may impact your site. From the following list, which are legitimate planning concerns you can raise at the hearing? a) The proposed development will attract more undesirables to the area. b) An independent economic impact study shows the proposed redevelopment may lead to a net loss of jobs in the municipality. c) A shadow from the new building will be cast over your employee "break area" out back. d) There are documented instances of the neighbour's employees harassing your employees. An expansion of their operation may be an inappropriate expansion of the harassment of your employees. e) All of the above. f) None of the above. w w w. c a n a d i a n law y er m a g . c o m / i n h o u s e june 2013 • 17

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