The Ontario Government announced that it has appointed the Honourable Douglas Cunningham, a retired judge, to conduct an independent review of the Tarion Warranty Corporation and the Ontario New Home Warranties Plan Act in order to improve consumer protection for new homeowners. After consultation with the public and building industry experts, Justice Cunningham will prepare a report with recommendations on improving consumer protection, accountability, transparency and board governance.

Tarion has been criticized in the media for its handling of warranty claims and for failing to provide information to prospective home buyers of freehold homes and condominium units about builders with histories of poor workmanship.

Currently Tarion is not subject to oversight by the Auditor General or the Province’s Ombudsman. Private members’ bills tabled in the past, that would bring Tarion under the jurisdiction of the Auditor General and the Ombudsman, were not passed in the Legislature.

As we saw in the case of public consultations with respect to amendments to the Condominium Act, we expect that there will be extensive participation by home-buying consumers and condominium and building industry stakeholders in the consultation process.

Click here to review the press release.