Although many concluded that the Corporate Transparency Act (“CTA”) applies to homeowners associations, we now have verification of this. On April 18, 2024, the Financial Crimes Enforcement Network (“FinCen”) issued 16 new FAQs and updated two more. Under Category C, question C.10 of the FAQs, a Q&A was added confirming that CTA requirements apply to […]
Colorado Senate to consider bill to further regulate towing industry
Small business owners, apartment owners, and homeowners’ association representatives are raising concerns that the bill’s intent to require property owners to pay for most tows will result in “towing anarchy” and could drive up the costs of affordable and low-income housing. The issue caught fire last summer when Gonzales found her car had been towed, […]
Foreclosure Bill Passed House, Now in Senate—Potential Impacts on Your HOA (SC)
As recently reported in previous articles, the South Carolina Legislature is considering a bill that impacts the ability of community associations to collect assessments from non-paying members of their communities. As originally drafted, the bill would have eliminated a community association’s ability to foreclose. Read the article…………………………….
First-of-Its-Kind Injunction for Florida Condo Owners
This first-of-a-kind appellate ruling places significant limitations on the power and rights of developers to take control of condominium associations, amend the governing documents, and terminate condominiums so they may demolish the condominiums and redevelop the property while running roughshod over the individual property rights of innocent unit owners. Read the article…………………………….
HUD announces final rule to protect against flood risk
The U.S. Department of Housing and Urban Development (HUD) announced Monday that it published a final rule, the Federal Flood Risk Management Standard (FFRMS), in the Federal Register. The rule is designed to “help communities prepare for and reduce flood damage” and other extended climate risks, including “heavy storms, increased frequency of severe weather events […]
Corporate Transparency Act and Community Associations: Updates and Compliance (IL)
On April 18, 2024, the Financial Crimes Enforcement Network (FinCEN) of the U.S. Treasury issued updated guidance addressing the Corporate Transparency Act (CTA). The CTA directs FinCEN to establish a nationwide database of beneficial ownership of certain corporations and other legal entities including condominium, homeowner (HOA) and townhome community associations. Read the article…………………………….
Florida Legislature Approves $30M for Condominium Storm-Proofing Grants
The state’s lawmakers passed the bill enacting the new My Safe Florida Condominium Pilot Program with unanimous votes in both chambers, and it is now awaiting its expected approval by Gov. Ron DeSantis. The program, which is an extension of the My Safe Florida Home program that offers grants for improvements to single-family homes, will […]
Accusing Neighbor of Racism Is Not of Public Interest (CA)
Div. Eight of this district’s Court of Appeal held Friday that repeated accusations by owners of a condominium in a six-unit complex of racism and malfeasance on the part of another owner in emails to the homeowners association, an insurance company, neighbors and others, implicates too small and specific of an audience to qualify as […]
Banks fail to get Villas West lawsuit dismissed (AZ)
A U.S. District Court judge says a lawsuit brought by Villas West Condominium Association against two banks following the loss of hundreds of thousands of dollars can move forward despite attempts by the banks to have it dismissed. According to U.S. District Court records, the condo association filed a lawsuit in Pima County Superior Court […]
Gov. Jared Polis signs bill barring HOAs from prohibiting home-based businesses (CO)
Gov. Jared Polis has signed a measure into law that prohibits homeowners associations from barring the operation of home-based businesses, saying it is one of his “favorite” bills this session. Under Senate Bill 134, a home-based business must still comply with an HOA’s rules and regulations around things like architectural control, parking, landscaping, and noise […]
Architectural Review Committees – Their Powers Get Slashed (FL)
HB 1203 made some major changes regarding architectural review committees. To sum it up, their powers were greatly slashed. Let’s take a look: An association or any architectural, construction improvement, or similar committee of an association must reasonably and equitably apply and enforce on all parcel owners the architectural and construction improvement standards authorized by […]
Is Your Co-op Vulnerable to Unauthorized Pets? The Pet Law is a Beast (NY)
In the case of 360 E. 72nd St. Owners Inc. v. Wolkoff, a New York State Court in Manhattan handed down a decision regarding pets in cooperative buildings that co-op boards and property managers should beware. The outcome underscores the importance for co-ops to take prompt legal actions when dealing with residents who violate pet-related […]
Condominium Construction Defect Lawsuits: When Sponsors Bring Architects into the Fray (NY)
Condominium boards embroiled in construction defect lawsuits against developers (sponsors) often see a further complication arise: the sponsor bringing in the project architects as third-party defendants. Sometimes the condo can sue the project architect directly but many times the focus is on the developer and its members and they point the finger at the architect. […]
Gov. Jared Polis signs bill to protect Colorado’s home-based businesses from HOAs
Gov. Jared Polis signed a measure into law that prohibits homeowners associations from barring the operation of home-based businesses, saying it is one of his “favorite” bills this session. Under Senate Bill 134, a home-based business must still comply with the HOA’s rules and regulations around things like architectural control, parking, landscaping, and noise levels. […]
Is your condominium project on Freddie Mac’s Not Eligible List?
Freddie Mac opened access to the list of condominium and housing projects it categorized as “not eligible status.” Condominiums and housing cooperatives may be placed in this category due to potential noncompliance with lending guidelines. Access is restricted to an authorized representative of a condominium association or housing cooperative. Read the article…………………………….
Smoking in Community Associations: Carey v. The 400 Erie Condominium Association (IL)
The Illinois Appellate Court’s ruling in Carey v. The 400 Erie Condominium Association, a recent Rule 23 opinion of the First Appellate District Court, provided guidance for handling smoking nuisance cases in condominiums, emphasizing that rules may permit smoking within units as long as it does not cause nuisance or unreasonable disturbance to others. Read […]
House passes bill making it easier for condo owners to install solar (CT)
The bill serves as an expansion of the solar rights of members of common interest communities, which include condominiums, community apartments, planned developments, etc. A provision in the State’s Clean Air Act, passed in 2022, already prohibited common interest communities from adopting or enforcing rules that would prohibit community residents from installing solar panels. That […]
State law passed after Hurricane Ian negates Sarasota’s move to control taller buildings (FL)
Aloophole in Sarasota’s development rules city officials closed last year has been reopened by a state law passed after Hurricane Ian, setting the stage for potential construction of the tallest building downtown and the opportunity for developers to build even more in coming months. Read the article…………………………….
Regarding who must report Beneficial Owner Information for an incorporated HOA, FINCEN’s FAQ has this to say: (OK)
A homeowners association (HOA) that meets the reporting company definition and does not qualify for any exemptions must report its beneficial owner(s). A beneficial owner is any individual who, directly or indirectly, exercises substantial control over a reporting company, or owns or controls at least 25 percent of the ownership interests of a reporting company. […]
Bay Area condo war widens after $1 million units sell for just $32,000 (CA)
The auctioning of several downtown San Jose condominiums has spawned a widening legal war now that a troubled China-based real estate firm has filed a new lawsuit in the increasingly tangled case. China-based Z&L Properties has filed a lawsuit against winning bidders in an auction last week of the downtown San Jose condos, as well […]
Beware of Claims Deadlines! Florida Condominiums Have Supplemental and Reopened Claims Statute Deadlines
Florida is the only state to address and provide a statutory definition for a “re-opened claim” or a “supplemental claim.” Florida’s law is not a consumer protection law. Instead, it is an insurance company protection law. The current edition of Florida’s Supplemental and Reopened claims law Read the article…………………………….
Southbury Zoning Dispute Continues Without Conclusion (CT)
The application before the commission that night was a request for a modification of detailed plans for 455 Main St. North. Joel Kahn, who is the acting president of Old Field, Inc. Homeowner’s Association, said the association would like to turn one of its two handicapped parking spaces into a regular space and add a […]
New law mandates condo inspections for older buildings (FL)
Charlotte County sent notices to owners of 168 condominiums built decades ago that are at least three stories high, informing them the structures must undergo comprehensive inspections under a new state law. Charlotte County Building Official Shawn McNulty explained what the new law means and how it came about during the Board of County Commissioners […]
HB22-1137: Continuing Issues with Delinquencies and Covenant Enforcement (CO)
When this article publishes, we will be about 18 months out from when HB22-1137 took effect on August 9, 2022 and made significant changes to portions of the Colorado Common Interest Ownership Act (CCIOA). The law requires associations, management companies, and attorneys to handle delinquencies and covenant enforcement in very specific ways. It required changes […]
Supplemental Claims Don’t Need to Include Damage Estimates, Fed Appeals Court Says (FL)
A federal appeals court has, at least for now, put an end to lingering questions about some property insurance claims litigation: The insured does not need to submit a competing damage estimate when filing a supplemental claim if the policy does not require it. Read the article…………………………….
Homeowners urge lawmakers to take action on bill addressing defective home construction (CO)
When your home is built poorly, it can be hard to hold builders accountable, or even get repairs done. A bill moving through the Colorado legislature would make it easier for homeowners to get the fixes they need. “It’s only about having the repairs done properly,” said Janine Musser, a Colorado homeowner. Read the […]
Family fighting keep chickens as pets in Waxhaw neighborhood (NC)
A Union County family that was fined for keeping chickens as pets has scored a big win. The family was originally located in a Waxhaw neighborhood. However, neighborhood rules said they couldn’t own poultry, but they could have household pets as long as you don’t make money off of them. Read the article…………………………….
Do E-mail Exchanges Constitute A Meeting Of The Board? (CA)
In LNSU#1, LLC v. Alta Del Mar Coastal Collection Community Association,94 Cal. App. 5th 1050, 312 Cal. Rptr. 3d 707 (2023), two homeowners in a common interest development argued that their homeowners’ association violated state law governing open meetings when certain directors discussed items of association business by e-mails without giving all association members notice […]
Boca Raton Building Recertification Ordinance: A Comprehensive Guide for Building Managers and Condominium Governing Boards (FL)
Fresh off our recent article highlighting Boynton Beach’s new building recertification requirements, we highlight Boca Raton’s updated Building Recertification program. This article covers everything you need to know about Boca Raton’s Building Recertification Program (Ordinance 5589) and the significant changes it makes to the way building recertification is conducted. It ultimately focuses on what it […]
Litigant withdraws PPP fraud suit against condo associations, clubs (CO)
A Florida man is standing down on his litigation that accused dozens of Colorado condominium and homeowners associations of fraudulently collecting federal pandemic money, according to recent court filings. Plaintiff Wade Riner on April 8 withdrew his civil complaint, without prejudice, which means he reserved the right to refile the lawsuit. Read the article…………………………….
State lawmakers take steps to limit HOA foreclosures, equity loss after Colorado Sun investigation
A pair of bills advancing through the Colorado legislature this year would make it harder for homeowners associations to foreclose on their members for unpaid assessments, while giving property owners a better shot at walking away with some of their equity should they lose their homes. Read the article…………………………….
San Jose towers owner gets court to order delay for condo foreclosures (CA)
The owner of a double-tower housing complex in downtown San Jose has won a court order to temporarily halt a foreclosure proceeding to seize control of several condos in the high-rises. China-based Z&L Properties faces a foreclosure attempt due to delinquencies that have arisen from unpaid dues to the homeowners association for unsold condos in […]
New nationwide laws limit power of homeowners associations to dictate residents’ yards — here’s why it’s important
Across the U.S., a growing legislative trend is empowering homeowners to cultivate native plants in their yards, even when homeowners associations forbid it. In 2022, 84% of new, single-family homes belonged to an HOA that sets landscaping rules, according to the U.S. Census Bureau. But thanks to new state laws, HOAs in some areas can […]
POA issues statement on Atkins et al v. HSVPOA (AR)
Though apparenty the Saline County Circuit Court civil summons has not been served on the Hot Springs Village Property Owners’ Association, the POA issued a statement to property owners related to the complaint that was filed Tuesday afternoon. Read the article…………………………….
Major Win for HOAs on Enforcing Restrictive Covenants in Washington
As recorded in the court’s decision, in 2018 the View Ridge Estates amended its CC&Rs to declare that: “No trees or other vegetation, in a view and/or view corridor area, shall be taller than a maximum of fifteen (15) feet …. Taller trees and shrubs are permitted so long as no Member’s view is unreasonably […]
Amended construction defects bill passes Colorado Senate but still lacks homeowner group’s support
The Colorado Senate passed a watered down version of a contentious bill on Thursday that sponsors hope will reduce insurance costs for condominium construction in the state and spur the development of that type of housing. SB-106 would have added a right-to-repair path to resolve faulty construction issues outside of the costly litigation process and […]
Queens Condo Mgmt Must Pay $119K For Workers Stiffed Out Of Benefits (NY)
Managers of a swanky Queens condo building stiffed workers out of benefits they were entitled to receive under the terms of a lucrative tax break, said city Comptroller Brad Lander. Choice NY Property Management must pay $119,000 to its workers at The Jackson, a condominium in Long Island City, according to a wage theft settlement […]
Holding Condominium Developers and Their Principals Liable (NY)
In Board of Managers of the Brighton Tower II Condominium v. Brighton Builder, LLC, the Second Department which overseas Brooklyn and Long Island lower courts, issued a decision which clarifies what condo boards and owners have to establish in order to succeed against sponsors and their principals in construction defect cases. The court offered important […]
What (Gov.) Little just did with a bill to help the developer of a big Boise-area subdivision (ID)
The bill appears to take aim at the PUC’s decision in 2023 to regulate water rates dictated by the homeowners association of Dry Creek Ranch, a planned community in the Boise Foothills, after residents complained of rising prices. The Dry Creek Water Company previously operated as an unregulated public utility. Read the article…………………………….
Port of Bellingham hit with restraining order after developer Harcourt files countersuit (WA)
Harcourt Developments, the Ireland-based company constructing three multi-million dollar residential condo buildings along Bellingham’s waterfront, has filed a lawsuit against the Port of Bellingham, alleging Port officials have threatened to call police and request trespassing citations be issued if Harcourt did not remove its equipment from Port property. Read the article…………………………….
Santa Monica luxury towers, HOA fees, alleged theft: Where did the millions go? (CA)
Residents didn’t grasp the scale of the alleged problems until last year — when a Los Angeles County grand jury handed down a 119-count indictment accusing both Spahis, now-former Ocean Towers Housing Corp. President Joseph Orlando and his wife, Dorothy, of grand theft, identity theft and money laundering. Read the article…………………………….
Bill advances to give condo owners a new way to buy into rooftop solar (HI)
Condo owners may have a new pathway to access benefits from rooftop solar. The Hawai?i Senate is considering a bill to create a Solar Hui Program, allowing multi-family property owners to pay into a collective investment fund that would go towards energy projects and loans. Read the article…………………………….
Collecting on Judgment Liens in Florida
Acquiring a money judgment through the litigation process in the State of Florida can be tough, arduous, and expensive. When a court enters a civil money judgment, it creates a judgment debtor and a judgment creditor. If the judgment debtor fails or refuses to pay the amount of the judgment, the judgment creditor may elect […]
‘Fraud never pays’: Utah woman sentenced after stealing over $230K from HOA (UT)
A Utah woman was sentenced to home detention and probation on Monday after stealing from the HOA and putting the money in her own pockets. Sharon Lee Ann Gordon, 66, of Hurricane, was sentenced Monday, April 8, to 12 months and one day of home detention, and three years’ probation after pleading guilty to stealing […]
What are Florida’s new homeowners association laws? How to find your HOA’s rules
More than 75 million Americans live in subdivisions, condo buildings and other communities with homeowner associations (HOAs) that require them to pay monthly fees and follow a set of rules. And Floridians who live in places with homeowner associations now have laws protecting their right to know what their dues are paying for. Read the […]
Virtual Board and Member Meetings (CA)
Good news for directors and managers who hold virtual meetings but hate the hassles that come with hybrid meetings: you can legally hold solely virtual meetings! Read on for details. Associations have been using virtual video communications platforms like Zoom, GoTo Meetings, and Microsoft Teams for the last few years to hold board and member […]
Anatomy of a fall: Florida condo case to decide who to blame for dangerous balcony
On the second day of vacation with his wife and kids, David Casey was sipping a glass of pinot noir on the balcony of a rented condo in the Florida Panhandle, taking in the night view of the beach. As Casey leaned against the wooden railing on the third-floor unit in Seacrest, it suddenly gave […]
House Bill 1203 – Continued (FL)
If the unit owners elect to do so, they can vote for the association to prepare a lesser year-end statement than what is required by law. The law has changed and now states: An association may not prepare a lesser financial statement than what is required by law for consecutive fiscal years. Read the article…………………………….
Legislature adds teeth to Florida’s community association fraud laws
In response to cases such as the alleged theft of more than $4 million at the Hammocks HOA in Kendall and the arrests of four of its former board members and one of their spouses, the Florida Legislature has passed two bills to strengthen criminal penalties for association fraud and malfeasance. The bills, which were […]
Arizona Law Mandates Open Meetings for Planned Communities
In Arizona, homeowners’ associations are governed by a law that promotes transparency and resident participation. The statute, A.R.S. § 33-1804, is part of the state’s Planned Community Act and requires associations to conduct open meetings with only a few narrow exceptions. Subsection (A) of the law sets forth the general rule: all meetings of an […]