Electronic Signatures Can Now Be Used to Amend Restrictive Covenants (MI)

The legislative history of MCL 450.835a demonstrates that Michigan House Bill 5591 (2016) was originally introduced to deal with an extremely large Michigan Homeowners Association that was having difficultly amending its documents. The Lakes of North Association in Northern Michigan that had approximately 4,700 members and was composed of 8,028 lots. The restrictive covenants required 2/3 of the owners to physically sign an amendment to a restrictive covenant in order for it to be effective. Given the practical problems in gathering physical signatures of owners of more than 5,351 lots, the legislature agreed to allow electronic signatures to be attached to an amendment as part of the Uniform Electronic Transactions Act, MCL 450.831, et seq..     Read the article……………..

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