Through their declaration of covenants, conditions, and restrictions – commonly referred to as the “declaration” for short – homeowners’ associations commonly specify an approval procedure for homeowners to follow and complete prior to making such modifications. This process is often described in declarations as “architectural review.” Examples of modifications often subject to architectural review include […]
Does a Community Association Board President Have Executive Action Authority or Unilateral Powers? (FL)
Community associations are not administered by a single director or officer of the board, instead, the affairs of such associations are administered by its board. The articles of incorporation and/or bylaws of an association most often specify the required minimum number of board members. In the condominium context, the Florida Condominium Act provides that in […]
A Quick Overview of Board Member Responsibilities
I’m often asked for a quick 5 minute summary of what board members need to know to stay out of trouble while they are serving on their board. Here is a quick overview of a board member’s responsibilities. Read the article………………………………….
What is a Condominium Association’s Responsibility to Residents for Property Damage Claims? (NJ)
Becker focuses on legal issues impacting community associations. While we advise our clients on a broad spectrum of matters that affect their daily operations, one of the most common inquires we receive relates to a condominium association’s responsibility when property damage is reported. What should your condominium association do in this circumstance? The answer is […]
7 Crucial Items to Include in Your HOA Annual Checkup
Every new year comes with its own set of challenges. And while 2020 was particularly difficult due to the COVID-19 pandemic, 2021 brings hope for homeowners associations. Start the new year right by administering an HOA annual checkup. Read the article…………………………………………
What is a Condominium Association’s Responsibility to Residents for Property Damage Claims? (NJ)
While we advise our clients on a broad spectrum of matters that affect their daily operations, one of the most common inquires we receive relates to a condominium association’s responsibility when property damage is reported. What should your condominium association do in this circumstance? The answer is not always cut and dry, and of course […]
Condo Owners’ Legal Rights When the Bug Guy Damages Your Property
Let’s begin with this question: Who is responsible if a contractor hired by the association damages property inside the condo? That was “Stephanie’s” question. “Our HOA contracts with “Get Outa Here, Bugs” for pest control. During a treatment, without permission, the technician pulled out my drop-in GE electric range to spray. He dropped it, and […]
A Triple Victory: Defending an Association’s Right to Exercise the Self-Help Provision Contained in Its Governing Documents (IN)
KSN attorneys Kelly Elmore and David Jacuk were recently awarded favorable rulings in Stuart Manor Estates v. John Piper and Anna Piper and two other related matters in Morgan Superior Court 3 (Morgan County, Indiana). Read the article……………………………….
Do You Have A Responsibility Matrix And Is It Up To Date (MI)
Boards and managers are always looking for ways to make the administration of their condominiums more efficient. Having to sort through the Master Deed (and multiple amendments too!) to figure out whether the association or co-owner is responsible for a certain common element can be time-consuming and, occasionally, confusing. To help simplify the process of […]
Board must not ignore its maintenance duties (IL)
Q: The board of our condominium association frequently puts issues to a poll of the owners, even when the decision is solely within the jurisdiction of the board. Recently, owners were questioned about a significant common element repair project. A majority of the owners “voted” against it, as they don’t want to spend the money. […]
HOA Board Members: Roles and Responsibilities
Serving on an HOA board is a valuable way to contribute your time and talents for the good of your community association. Most association bylaws require a minimum of a president, secretary, and treasurer, with some including a vice president. HOA board members must understand the important role they play in overseeing the association policies, […]
Boards need to make sure their Policy Changes Pass Legal Muster (NY)
Community associations are quasi governments which can make their own rules provided that they don’t run afoul the law. Whenever changing rules, coop, condo, HOA and other community association boards must make sure that their good intention rule changes aren’t going to get them into trouble. With a litigious owner (especially one who is an […]
Three Primary Responsibilities Of Your HOA’s Board Of Directors (NC)
If you own property in a community association, you’ve probably had some form of contact with your community’s board of directors. And, while you may have a general grasp of the role the board plays, it is important to understand the main functions of a community association’s board of directors (and committees). Boards and committees […]
Ask The HOA Expert: Policies, Statements, And Responsibilities
Question: Our collection policy states that if an owner is 30 days past due, the management company sends a pre-lien notice letter. Several board members think the board members should be notified when these letters are sent. Read the Q&A………………………………..
Conflicts of Interest in HOA Boards
A conflict of interest can range from problematic to disastrous for a homeowner association board. HOA board members should be impartial representatives of their communities who make decisions with the entire association’s wellbeing in mind. A conflict of interest will interfere with these duties and can lead to severe consequences if not dealt with in […]
Who’s in Charge of Your Homeowners Association?
Can they do that? Whether it’s changing the pool hours, levying a special assessment, or foreclosing on your home, many homeowners are shocked when they realize just how much power an HOA Board of Directors has. But do they really? It might surprise you to learn that the board has a lot less power (and […]
Director Found To Have Breached His Fiduciary Duty By Sharing Corporation’s Privileged Information With His Personal Attorney (CA)
A homeowner in a common interest development sued the homeowner association and two of its directors and the directors employers. The directors’ were employed by two related companies engaged in the development and support of common interest developments. The homeowner association’s attorneys advised the association during the course of the litigation. One of the directors […]
HOA boards entitled to exercise business judgement when making decisions (FL)
Q: Last year, our HOA contracted to have the asphalt repaved on the walk path of our 2000 home development. As you can imagine, this was an expensive repair and cost $170,000. Based upon the existing conditions, in my opinion, this was an appropriate repair. I had no hand in any of the process, even […]
Do the Board of Directors have a Responsibility to Address Harassment? YES! (AZ)
Many boards have taken the position that the board does not have an obligation to address reports of harassment in the community. Generally, boards try to avoid confrontation and are unsure how to deal with a resident who harasses others. Boards tend to be reluctant to escalate matters and incur legal fees. Read the […]
Who is Responsible for Accidents on HOA Property?
HOA or Condo associations have a duty of ordinary and reasonable care. If a person is walking in a communal space, whether it be a community pool, clubhouse, park or on the sidewalk, liability can fall on the association. Members of the community association board should be aware of the risks and liabilities in their […]
Top 10 Legal Obligations of Homeowners Associations
Across the US, approximately 2.5 million people serve on community associations and boards. More Americans are choosing to live in communities that are ran by HOA’s. Beyond being the people who decide if you can paint your door purple, the list of obligations and responsibilities Homeowners Associations have is certainly long and complex. Read the […]
HOA Board vs HOA Management Company Responsibilities
In a homeowners association, the board and the management company must work together to run the community. Yet, it is equally important to know the difference in roles and responsibilities between the HOA board vs HOA management company. Read the article……………………………..
Heavy Is the Head That Wears the Crown: Board of Director Authority in a Community Association (NC)
The Board of Directors for a Community Association functions in a very similar capacity as the Board of a standard corporation. Approximately 95% of all decisions to be made on behalf of a Community Association will be made by its Board of Directors. Read the article…………………………….
The Rule of Judicial Deference: Protecting HOA Decisions Based on Reasonable Investigation and Made in Good Faith
Volunteer officers and directors of a common interest development (“HOA”) are required to make decisions which often have significant legal and financial implications for the HOA and its membership. Because they are unpaid volunteers, officers and directors are afforded certain protections against personal liability similar to those afforded to directors and officers of other types […]
Condo Smarts: Duplicate bill a reminder to check financial statements
Dear Tony: Our property manager asks us to approve the financial statements each month, and last month, our treasurer noticed there was a duplication for a bill from the previous three months. The error was tracked down to a simple accounting duplication that was resolved, but it did raise a topic at our council meeting […]
What Is the Responsibility of Homeowner and Condominium Associations with the Coronavirus? (NC)
Since our blog last week on The Coronavirus, Flu, and HOA/Condo Association Meetings, there has been an increase in U.S. Coronavirus cases, including one death in Washington state. That has led to a number of questions from association boards to the effect of: “Thanks for the blog, but tell us what we should DO to […]
Tree Root Damage, Who is Responsible? (FL)
Q: I live in a gated homeowners’ association. Roots from a tree planted on the common area has damaged my driveway. Who is responsible for the repair? Read the Q&A…………………………..
What your condo board can and can’t do without homeowner approval
Q: I live in a townhouse community. Our association’s board of directors is redoing our declaration and bylaws without approval of the owners. They say they are just bringing the language up to date, so they don’t need the owners’ and mortgage holders’ approval. Read the Q&A…………………………..
3 Steps to Identify Responsibility for Burst Pipes and Property Damage in an Association (IL)
With the upcoming winter weather, it’s inevitable that condominium, homeowner, and townhome associations will have to deal with pipe bursts, leaks, and the resulting property damage. Below are three initial steps board members and property managers can take to determine who is responsible for repairs, unit damages, and/or damage to common areas. Read the […]
Who is Responsible for Inside Maintenance?
Our townhome community asks owners to be responsible for the maintenance of items inside the units, such as heating and cooling systems, dryer vents, and plumbing. Since proper maintenance of these systems impacts the health and safety of other owners, how can the board be sure everyone is keeping up? Read the Q&A…………………………..
Who is Responsible for Repairs and Maintenance? (NC)
Homeowners often have differing views of their individual homeowner’s associations (HOA). One thing everyone can typically agree on is that one of the primary responsibilities of an HOA is to maintain common areas throughout a neighborhood or development. If a storm trashes a playground, pool or clubhouse, walking trails or pond, the HOA and its […]
How can I tell if a co-op or condo board member has a conflict of interest—and what can I do about it? (NY)
Co-op and condo board politics can get heated, but actual conflicts of interest are few and far between. “There’s a conflict of interest when, and only when, a board member has a pecuniary interest in the issue on which the board has to decide,” says real estate attorney Ian Brandt, a partner at the Manhattan […]
Resident Rebellion: Owners fight condo board over association’s deep financial troubles (FL)
Condo problems in South Florida are nothing new, but one complexes has such “complex” issues that they’re staging a resident rebellion. The Nightteam’s Brian Entin investigates. Blue tarps have covered the Magnolia Lane condos in West Kendall for years. The roof is in terrible condition and the tarps are no match for South Florida storms. Read […]
Responsibilities of HOA Board Members
Volunteering to be on the board of your HOA is an important position that comes with a lot of responsibility. The board is tasked with making sure the community is running well and following the requirements of the governing documents. They solve problems and conflicts, handle the community’s budget, oversee maintenance and repairs, and much […]
ASSOCIATIONS’ RESPONSIBILITY FOR THE RESULTS OF CRIMINAL ACTIVITY
No one really knows why people commit crime, hence no one really knows what is “adequate” deterrence in any given situation. While bright lights [or in this case, an alarm] may deter some, they will not deter all. Some persons cannot be deterred by anything short of impenetrable walls and armed guards. 7735 Hollywood Blvd. […]
A Board Member’s Highest Loyalty: It’s Not What You Think! (CT)
In your life as a Board member you have probably heard something like this from an unhappy unit owner: “You work for me! You owe me a duty to do what is best for me!” Well, no. None of that is true and here’s why. As a Board member, your first duty is a duty […]
The Armor of the Business Judgment Rule Can Be Pierced (NY)
Under most proprietary leases and applicable law, cooperative boards are free to disapprove an application to purchase a unit for any reason or no reason – so long as the board does not act for an unlawful reason, such as discrimination against one of the city’s numerous “protected” classes. Therefore, lawsuits challenging a board’s rejection […]
Enforce, collect, and hire help: An association board’s biggest responsibilities
A community association board consists of volunteers elected to serve on behalf of residents to execute a wide variety of tasks. It’s a big job, but most board members are happy to serve and make the community a great place to call home. The board’s biggest responsibilities include enforcing rules, collecting assessments, and hiring help. […]
Primary Condo Association Board Duties
Being on a Condo Board entails numerous tasks. Some include intense planning, such as a major project or special assessment. Other tasks must be more oriented towards being a leader within your community. There are certain Condo Association Board duties which make up the bread and butter of your activities. No matter what else you […]
Understanding good condominium governance (ON)
Condominium governance is undergoing greater public scrutiny after an investigation by CBC Toronto unveiled questionable practices at a series of downtown Toronto condominiums. Owners and property managers in those buildings say a group of people have aggressively sought control of the boards and budgets of multiple condominiums. Allegations of misconduct include voting irregularities and contentious […]
HOA Board Roles and Responsibilities
It is common knowledge that homeowner associations have a board of directors, but the exact roles and responsibilities of the board are often misunderstood. Simply put, the board is responsible for running the association, occasionally with the assistance of an HOA management company. While the board may consist of 3-7 members as a whole, typically […]
Written Contracts are Important in an HOA?
Question: I am a Board member of our Association, and am responsible for landscaping, grounds maintenance and security. Over the years, our Association has had a number of contractors who render service to us — whether this be in the form of snow removal, landscaping services, or trash removal. Some Board members are not happy […]
Does The Business Judgment Rule Extend To A Board Interpretations? (CA)
The California Supreme Court has adopted a rule of deference to most decisions made by community association boards: “Where a duly constituted community association board, upon reasonable investigation, in good faith and with regard for the best interests of the community association and its members, exercises discretion within the scope of its authority under relevant statutes, […]
My Unit is Flooded From a Neighbor’s Condo! Who Pays For a Condominium Leak or Dry-outs Afterward? (FL)
It’s not unusual for condominium owners to experience leaks that don’t come for their own unit. Being surrounded by other people’s unit above, below, and on the sides, makes leaks inevitable from a neighbor’s condo. When you add in owners who may only live in the unit part time, and other units that may be […]
Condominium Association Conflict Of Interest And Required Disclosure (FL)
In 2017, Florida enacted legislation that specifically required disclosure when a condominium association conflict of interest arises between a director or officer and a vendor. Specifically, Fla. Stat. 718.3027(1) states that the two situations below create a rebuttable presumption of a conflict of interest. Read the article………………..
Can a board member be removed for breaching fiduciary duties? (FL)
Q: Is a board member who fails to obey the terms of certain provisions of the statute breaching his fiduciary duties and will he automatically be removed from the board if he is? Read the Q&A…………………
Business Judgment Rule – Shielding The Corporate Director From Personal Liability And Considerations Of Efficient And Financially Reasonable Resolutions (FL)
The business judgment rule shields corporate directors from personal liability. However, directors must not breach the fiduciary duties owed to the corporation. Under Florida law, corporate directors owe fiduciary duties to the corporation and its shareholders, which requires good faith, due care, and loyalty. The directors’ fiduciary duties are codified in Florida Statutes, section 607.0830(1): […]
Your Board’s Legal Obligations: Fiduciary Duty, Disclosure, Meetings, and More (NY)
The board of a condominium, cooperative or homeowners’ association has a fiduciary duty to make decisions in the best interest of the community as a whole. But individual board members may have different ideas as to what those decisions might be, and some may even have joined the board more for self-serving reasons than as […]
HOA Board And Manager Authority
To achieve effective communications between homeowners and their homeowner association, it is important to understand the authority that belongs to the property management company, the board members individually and the board as a whole. For example, the management company may be able to solve a problem quickly while at other times, management may not have […]
CAI Blog Series: U.S. Constitution, Tenth Amendment
The First and Second Amendments to the U.S. Constitution get a lot of attention. Freedom of religion, speech, and the press, as well as the right to bear arms are no doubt important. However, it got me thinking: Why don’t we talk about the other amendments as much? Wait, what are the other amendments? Sure, […]