Bankruptcy is a last resort for people who find themselves overwhelmed with bills and creditors. When a condo owner in an association files for bankruptcy, the HOA may fear they’ll never see that money. The truth, however, is a bit more complicated than black and white. Learn a bit about bankruptcy laws in Florida, so […]
What Information Is My Community Association Required to Provide in Relation to Sales of Units?
During transfers of properties in condominiums or other planned communities, community associations are frequently contacted by prospective buyers, lenders or realtors with requests for information pertinent to the transfer. Often, these requests seek detailed information about a broad range of topics related to the condition and operation of the community. Read the article…………..
Industry Alert – Florida Supreme Court Rules on Bartram v. US Bank, NA.
The Florida Supreme Court issued the much anticipated opinion in Bartram v. U.S. Bank, N.A on November 3, 2016, providing long awaited guidance as to the statute of limitations on successive mortgage foreclosure actions, post dismissal. The Court answered a very limited certified question which limited the scope of their opinion. Essentially affirming the decision […]
Retroactive Application Statue of Amendments: Does Your Declaration Have “Kaufman” Language? (FL)
Community association lawyers are often presented inquiries from their clients as to whether laws newly adopted by the Florida legislature apply to their governing documents, especially when the new law is contrary to their declaration’s existing provisions. A similar question was recently asked and answered by Florida’s Third District Court of Appeal in the case […]
Do You Need a License for That? (FL)
We all know that you need a license to be a CAM (Community Association Manager). A license is also required for most electrical, roofing and plumbing work as well. Myfloridalicense.com is a great source to learn more about what work requires and does not require a license. Here is a great chart with some examples. […]
How to Avoid Burnout for Community Association Managers
It’s 2016, a week away from a new year and it seems that burnout has become a fact of life for community association managers. It is also a real possibility for dedicated Board members. Boards and managers are challenged by rudeness, confrontational and adversarial communications, even menacing behavior. And all the good you do is […]
Recent Changes to the Florida Statutes Governing Homeowners Associations
Does your homeowners association require nominations from the floor for an election to the board of directors? Recent changes to the Florida Statutes governing homeowners associations have given some associations the right to forego accepting nominations from the floor during an election of board members. However, your association should analyze its governing documents for compliance […]
Court Ruling Puts Condo Buyouts At Risk (FL)
As Florida developers adapt to the lack of suitable development sites, some are turning their focus to condominium communities that were built decades ago for middle-income working families and retirees that are now located on what would otherwise be prime development sites. Read the article……………
Favorable Ruling for Condo Associations in Second DCA (FL)
Recently, in Ventana Condominium Ass’n, Inc. v. Chancey Design Partnership, Inc., et al., 2016 WL 4259999 (Fla. 2d DCA), the Second District Court of Appeal held that the Plaintiff, Ventana Condominium Association, Inc. (the “Ass’n”), was not the successor in interest to the prior owner of Ventana Condos, Ventana Tampa, LLC (the “Developer”), and reversed […]
Rare Safe Harbor Victory for Homeowner Associations (FL)
In Federal National Mtg. Ass’n. v. Mirabella at Mirasol HOA, Inc., Case No. 4D 15-4792 (Fla. 4th DCA, November 23, 2016), Florida’s Fourth District Court of Appeals relied on specific language in the Homeowner Association Acts’ safe harbor provision to rule in favor of a homeowner association over Federal National Mortgage Association (“FNMA”) in a […]
Key Considerations in Hiring an Employee Subject to a Non-Compete: Part II
As discussed in Part I of this blog series, some of the most qualified candidates for employment are often current or former employees of competitors in your industry. Non-compete agreements are helpful to employers who wish to control and limit the competitive activities that an employee may engage in after his or her employment ends. […]
Santa Claus is Back in Town and Make Sure He Pays This Time
But let’s think of Santa, not just as a bringer of gifts, but as a user of property rights. After all, he lands on your roof. Get any permission for that, Mr. Claus? What about the wear and tear to the roof? If a typical adult male reindeer weighs 350 – 400 pounds, eight adult […]
Associations Rejoice: Florida Appellate Courts Breathe New Life into Controlling Documents for Community Associations
It has been commonplace in Florida for condominium owners or homeowners to move into a community and then challenge the propriety or validity of the governing documents which, by virtue of purchasing in the community, they agreed to be bound by at the closing table. It wasn’t until late 2014 and again in 2015 that […]
New HUD Neighbor to Neighbor Discrimination Regulations Impact Community Associations
On September 13, 2016, the U.S. Department of Housing and Urban Development (“HUD”) released final regulations that change how the Federal Fair Housing Act (“Act”) is applied to quid pro quo and hostile environment housing claims within community associations. The new rules, some of which went into effect on October 14, 2016, affect what community […]
Shortening the Board Member Learning Curve
For those who live in community associations, board membership should be viewed in the same vein as a civic duty. An effective board of directors is essential for the financial and administrative wherewithal and stability of every community association, so all unit owners who are able should volunteer to serve at least one term to […]
11th Circ. Frees Travelers From ‘Bad Faith’ Settlement
The Eleventh Circuit on Thursday affirmed a lower court’s ruling that Travelers Casualty and Surety Co. of America does not have to honor a settlement agreement between an insured Florida homeowners’ association and a homeowner, ruling the trial judge properly determined the deal was negotiated in bad faith. http://communityassociations.net/wp-content/uploads/2016/11/travelers.pdf
Can a Condominium Association Face a Second Foreclosure Suit? (FL)
The Florida Supreme Court’s recent decision in Bartram v. U.S. National Bank Association is instructive for condominium associations and community managers dealing with a unit in foreclosure, including those trying to determine whether or not to appear and defend a foreclosure by the lender, even though it does not deal directly with a condominium or […]
The Florida Medical Marijuana Law and Your Community Association – What You Need to Prepare For
On November 8, 2016, Florida voters passed Amendment 2, which will become effective January 2017. The Amendment allows the medical use of marijuana for persons with debilitating medical conditions, including HIV, Alzheimer’s disease, cancer, seizures, multiple sclerosis, and other conditions, as determined by a licensed Florida physician. A physician’s certification may only be provided after […]
Requirements for Contracts Entered Into by Florida Condominium Associations
Contracting with vendors and service providers is part of the normal course of business for many condominium associations in Florida. Generally, section 718.3026, Florida Statutes provides for certain requirements when an association contracts for products and services. If a contract for the purchase, lease, or renting of materials or equipment, or for the provision of […]
The 9 Most Frequently Asked Questions About HOA Super Liens
We have heard far too many incorrect assumptions from servicers about how various rules will be applied to liens placed by Homeowners Associations (HOA) and Condo Owners Associations (COA) that we feel compelled to set the record straight. The most erroneous assumption is that these rules do not threaten servicers’ lien position, and therefore they […]
Loan Servicers in the Post-Forelosure World – Are They Entitled to Safe Harbor Protection? (FL)
When purchasing your home, you likely shopped for the lender that would provide you with the most favorable terms for your mortgage loan. While you may have found the perfect lender, it is quite typical for your mortgage loan to be bought and sold on the secondary market. As a result, you receive a letter […]
Handling Hoarding in a Condominium Community
Hoarding is becoming an increasingly common disorder that carries serious consequences for the afflicted, their family, and neighbors. Hoarding has the potential to attract rodents, create fire hazards, and can threaten the health of occupants. While hoarding is dangerous for anyone, it is especially problematic for condominium associations where residents live so close together. Rather […]
How to Deal with Feral Cats in Your Community
Most neighborhoods in the United States encounter roaming outdoor cats. Some of these are indoor/outdoor cats that are pets, but many of them are feral cats. Stray cats that were once pets are usually adoptable whereas feral cats are not. While they are not typically dangerous to humans, they are too fearful of people to […]
Limitations on Community Association-Imposed Solar and Renewable Energy Restrictions (FL)
Due to its climate, Florida – the “Sunshine State” – is ideally situated to take advantage of unlimited and environmentally friendly solar energy. In the last two decades, the price of solar collectors has dropped significantly in cost and many individual homeowners are now finding solar panels to be a cost-effective method to reduce their […]
Fiber to the Home – Should you have it in your Community?
Many condominium and homeowner associations have bulk cable agreements in Florida. This can be a great benefit to the owners as the association may be able to negotiate a discount of 50% or more off retail rates. However, unlike a typical residential agreement, these bulk agreements typically require a five to ten year commitment. With […]
Fire Sprinkler Retrofitting (FL)
As you may be aware, the deadline for condominium associations to vote to forego retrofitting with a fire sprinkler system is rapidly approaching. Section 718.112(2)(l), Florida Statutes, requires certain condominium associations to retrofit their common elements, association property, and units with a fire sprinkler system in accordance with Chapter 633 (“Florida’s Fire Prevention Code”) and […]
Contending with Apathy Towards Board Member Service in Community Associations
Community association living has many advantages and desirable qualities. Residents share expenses in order to be able to enjoy relatively carefree maintenance of their property and the use of amenities such as pools, fitness centers, meeting rooms, and other appealing features. However, in exchange for enjoying benefits derived from community association living, such as the […]
2017 Legal Update for Homeowners Associations (FL)
INTRODUCTION: In the 2016 Legislative Session, 44 Bills which related to Community Association operations in Florida were brought before various Committees. However, the Legislature abruptly adjourned at 7 p.m. on Friday, March 11, 2016, most of the community association legislation either dead in committee or never making it to the floor of the Legislature for […]
Chapter 13 Bankruptcy: How Does it Affect Condominium Associations?
Condominium owners’ associations are unique under Florida law—particularly when it comes to the collection of delinquent assessments and liability. The already complicated bankruptcy process thus becomes even more complex when a condominium owner with unpaid assessments is involved. Assessments that arose prior to the filing of the bankruptcy petition are subject to discharge in the […]
Requirements to Challenging an Association Election Through Arbitration (FL)
Hardly anything generates more buzz and quarrel within community associations than the annual board of director elections. During the annual meeting and election season, numerous legal inquiries are made regarding the law on the election process, election disputes and challenging election results. Challenging an election requires meticulous and timely action. This blog post discusses the […]
Compromise On Ham Radio Legislation Offers Satisfactory Resolution
A bill that was recently brought before the U.S. House of Representatives is seeking to limit the amount of control community associations have over amateur radio operators. However, a compromise was reached between a prominent lobbying group and a membership organization representing community associations that has amended the proposed bill granting both the operators and […]
Fla. App. Court Holds Safe Harbor for Unpaid HOA/COA Assessments Doesn’t Require Mortgagee to Own Note, Mortgage
The District Court of Appeal of Florida, Second District, recently held that a mortgagee is entitled to the safe harbor limiting liability for unpaid condominium assessments under section 718.116 of the Florida Condominium Act, even though the mortgagee holds, but does not own, the note and mortgage. A mortgagee filed a foreclosure action, naming the […]
Community Associations Suspending Use Rights for Common Elements, Amenities (FL)
In 2010, at the height of the recent foreclosure crisis, community associations in Florida gained an effective tool to aid them in their efforts to collect upon delinquent assessments. It was at that time that the legislature amended Florida law to authorize community associations to suspend the rights of unit owners and their tenants to […]
Community Associations and Water Damage
When writing insurance for a condominium association or a homeowner’s association insured like a condominium, there are two integral parts of the insurance program: The association’s Insurance and the unit-owners Insurance. The association’s insurance is responsible for the structures and all common elements (shared walls, drywall, shared plumbing, shared electric, etc.) as originally built, barring […]
EMERGENCY POWERS: What Condominium and Homeowners Association Board Members Need to Know (FL)
The windows are shuttered, patio and pool furniture is stored away, the pantry is stocked with food, water bottles and gas tanks are filled, flashlights have new batteries, and insurance policies and other important papers are in a safe place. Hopefully, the preparation for the storm will be worst part. But, if you do experience […]
Independent Contractor or Employee: Know the Difference
Business owners must determine the type of workers they will utilize to operate successfully. In some cases, owners think they are hiring independent contractors but, in reality, those workers may actually be employees. Failure to properly classify workers can result in fines, penalties, and payment of back taxes, so it is important that business owners […]
Community Association Liability – Neighbor to Neighbor Discrimination
There is a dangerous trend being established by the U.S. Department of Housing and Urban Development (“HUD”) under the Federal Fair Housing Act (the “Act”) and the enforcement of the Act of which community associations must be aware. On April 4, 2016, HUD’s General Counsel issued guidance regarding the application of the Act on the […]
Safe Harbor: Lender Liable For Pre-Foreclosure Assessments After Failing To Foreclose HOA Lien (FL)
A recent decision by the Florida Second District Court of Appeal in Ballentrae H.O.A., Inc., v. Federal National Mortgage Association, Case Nos. 2015-1025 and -1026 (Fla. 2nd DCA, September 2, 2016) has once again brought to the forefront the issue of the application of an association’s lien subordination clause to a mortgage lender post-foreclosure. In […]
When condos and HOAs must get competitive bids
When condominium and homeowners associations want to enter into new contracts with vendors or professionals for various projects or duties, there is a misconception that the association must get at least three (3) competitive bids before hiring the vendor or professional. This is definitely not the case. For condominiums, Section 718.302, Florida Statutes, provides that: […]
Ruling Quashes Lingering Questions on Partial Payments to Condo Associations (FL)
Two years ago a ruling by the state’s Second District Court of Appeal created a major wrinkle in the acceptance of partial payments by condominium associations when the payments had been endorsed and presented as full and complete remittances of the total outstanding debt owed by unit owners. The court’s ruling in the case of […]
A Primer on Association Election Basics as Season is Set to Begin
With the holiday season approaching, now is the time that many condominium associations in Florida are gearing up for their annual meetings and board member elections. It is essential for the current board and property management to have a complete understanding of the condominium election process. At least 60 days prior to date of the […]
Budget Tips: 5 Reasons Your Landscape Maintenance Costs May Increase
Landscape maintenance budgets can be a major component for homeowners associations and in some cases condominium budgets. What should your association be prepared for in your 2017 budgets? Unfortunately, there are several market forces that have resulted in increased costs for landscape maintenance companies over the past few years. Read the article……………
The Earth Movement Exclusion: How Does it Affect Construction Defect Cases?
One of the biggest considerations for parties on both sides of any lawsuit is whether insurance coverage will apply to the plaintiff’s claims. This is especially true in construction defect cases, where the cost of repairing the alleged damage can be significant, and quite often beyond the financial means of the construction professional being sued. […]
Fla. App. Court (2nd DCA) Holds Non-Party HOA Not Subject to Foreclosure, HOA Lien Not Limited
The District Court of Appeal of the State of Florida, Second District, recently reversed a summary judgment in favor of a mortgagee in two consolidated actions for declaratory and injunctive relief regarding the extent of the mortgagee’s liability for unpaid homeowners association assessments, holding that the trial court erred because the homeowners association was not […]
Important Things to Know When Serving on a Board of Directors (FL)
Serving on the Board of Directors of any corporation can be a great opportunity for both personal and financial growth. As with everything in life, however, in order to receive, one must also give. This article will summarize the responsibilities imposed by the law on directors who serve in the state of Florida. The law […]
New Resident Screening and Avoiding Disparate Impact Claims
Most well-run community associations incorporate a new tenant application and approval process, and some even utilize such a program for new owners. A typical new resident screening program includes criminal background checks, credit checks, employment verification, and prior rental history. A community association is likely to deny any prospective new resident whose background check produces […]
Important Ruling for Associations Seeking to Foreclose in Advance of Lenders
Community associations and their attorneys are applauding the recent ruling by the Fourth District Court of Appeal in Jallali v. Knightsbridge Village Homeowners Association, which eliminates an unintended roadblock that was being used to derail association foreclosure cases throughout the state. The decision in Jallali clarifies the applicability of a 2012 ruling on association foreclosures […]
Accord And Satisfaction: Florida’s 2nd DCA Overturns St. Croix Confirming Condominiums Can Accept Partial Payments Without Risk Of Compromising Claim
Recent assessment disputes between condominium associations and unit owners has resulted in a clarification of a Florida law. The clarification changes the way that acceptance of money intended to be accord and satisfaction is understood by the court in the condominium context. As background, in March 2012, a unit managed by the St. Croix at […]
Don’t Fall Into the Pit
Being on the board of a homeowners’ association or condo association can be a very fulfilling experience. Many board members enjoy getting to know their neighbors better, offering guidance on association matters, and playing an active role in the operations and health of the community. Most board members take their positions seriously and truly want […]
Condominium Elections Are Approaching – Is Your Association Following the Rules?
The end of the calendar year means that most condominium associations are gearing up for their annual meeting and election of new board members. For many condominiums, this is a routine event, but for others, this may foster heated and contentious lobbying and under-handed tactics resulting in administrative challenges to the election process, and maybe […]