A group of Chicago condominium owners has been cleared to continue their lawsuit against a group of builders 15 years after the developers allegedly sold them a shoddy building under false pretenses, after the Illinois Supreme Court ruled 4-3 on Nov. 4 to revive their case and send it back to circuit court for more […]
Statute of repose does not bar fraudulent concealment claim
A condo association will be allowed to proceed with a lawsuit against the original developers filed 15 years after completion of the project, and despite a 10-year statute of repose. A divided Illinois Supreme Court has applied a “fraud-based” exception to the statute of repose, to allow the condo association to move forward with those […]
Associations Exposed By Unpaid Property Taxes (IL)
In recent years, there has been an overall improvement in the real estate climate. However, many condominium owners continue to lose their units due to their failure to pay property taxes, leaving condominium associations exposed. Read the article…………..
Insurance: A Must-Have or Couldn’t Hurt? Making Smart Yet Affordable Coverage Decisions
From equipment failure and personal injuries to tornadoes and tropical storms, disasters happen, and any condominium association worth its salt knows that it needs to be prepared for a rainy day. And a great chunk of said preparation consists of insurance. Read the article………..
Condo Associations Face Off With Short Term Rentals
The buzz surrounding “short-term rentals” has been ever increasing over the past year thanks, in part, to websites such as Airbnb, Homeaway.com or VRBO.com. Websites such as these provide a platform for condo owners to rent their units on a short-term basis (sometimes as short as one or two nights). The ease with which they […]
How To Bulletproof Your Association’s Biggest Asset: The Money (Pts. 1-4)
If you are elected treasurer of your community association and accept the challenge, there are many policies and procedures you will need to learn before you start planning budgets, collecting assessments, and signing checks. Board members and officers of all community associations in America should read the 35-point list of financial procedures detailed in “Escaping Condo […]
Smoke Detectors and Sprinkler Systems: Protecting Lives and Property
When a fire erupts in a Chicago building, it’s terrifying but it doesn’t have to be deadly. There are a few essentials that can save the lives of the people who are inside that building: namely, a working smoke detector and a sprinkler system. Read the article………..
Revisiting Leasing – Statutory Changes and Practical Implications (IL)
When a homeowner falls behind his or her monthly condominium assessments, the Association’s Board can turnover that account to our offices to begin the collection process. The process entails our offices sending a demand for possession whereby the homeowner is given 30 days in which to pay the debt. In the event the homeowner fails […]
Transfer Of Parking Spaces
In many condominium associations, parking spaces, whether outdoor or indoor, are defined in the governing documents as limited common elements appurtenant to residential Units in that such spaces have been assigned or reserved for the use of one or more Units to the exclusion of other Units. Such assignment as to use may be specifically […]
After the Palm ruling, how community association boards can comply
In the case of Palm vs. 2800 Lake Shore Drive Condominium Association, the Illinois Appellate Court interpreted several matters of fiduciary responsibility. These interpretations are inconsistent with long-standing board practices, causing widespread concern that more lawsuits could be coming. Read the article……….
Manager Licensing: Taking the Fear Out of Being Licensed (IL)
The Community Association Manager Licensing and Disciplinary Act was adopted on July 1, 2010 after much anticipation. The intent, as stated in the Act, was to ensure that those who hold themselves out as possessing professional qualifications to engage in the business of community association management are, in fact, qualified to render management services of […]
You Just Received Your Property Tax Assessment Notice from the County…Now What?
This year property owners in Chicago and the Collar Counties are receiving notices from the County Assessor indicating their property’s new assessment. Property owners should consider appealing this new assessment to lower their future property taxes. If you live in an association, file your tax appeal as a group with the other members. This article […]
Roles and responsibilities of a community association board
To uphold their fiduciary duty, boards must run their community associations according to governing documents, applicable law and good business sense. Some responsibilities are given to all board members, while others are assigned to specific officers. Read the article……..
Ways to raise funds for big-ticket association projects
Sooner or later, every community association will face an expensive remediation project. Roofs eventually leak, and boilers conk out. Sidewalks, parking lots and tennis courts require periodic resurfacing. Hallway carpeting wears and tears. When your association’s time comes, how are you going to pay for it? Read the article………….
Smart Planning and Care of Trees
They are the greenery that gives life to our cities, the leafy giants that give us shade and that unforgettable rustling sound just outside our windows late at night. Trees are the unsung heroes of the urban landscape and with proper planning and care, they can add immeasurably to the livability and character of a […]
Landscape Committees Embracing the Challenge, Improving Curb Appeal
No matter the size of community, one of the goals any condo or HOA has for their landscaping plan is to increase owner enjoyment of the property and enhance their investment purchase. Larger complexes often have a landscaper in house, or under contract, to care for the lawns, flowers, greenery and other plantings around the […]
How To Increase Your Association’s Voter Participation
Community associations need a minimum number of voters to elect board members, or the election cannot take place. Assembling that number, known as a quorum, is a daunting challenge for many associations. The reasons owners don’t vote are varied. Some bear grudges against the board or association. Others like everything the way it is and […]
Drones present opportunity, challenge for community associations
In the not-too-distant future, community associations could launch camera-equipped, unmanned aerial vehicles, also known as drones, for many routine tasks. They will be able to examine buildings for leaks and damage, check on the performances of contractors and find illegal barbecue grills on upper balconies. Read more………
Caring for Paved Surfaces: It’s a Pave New World
The pavement you walk and drive upon daily is easy to take for granted—but it’s a major part of your condo or HOA’s infrastructure. Understanding the materials and methods involved in installing and maintaining a multifamily community’s paved surfaces can save everyone a lot of hassle, time and money. Read more……….
From the Outside In: A Look at Exterior Building Inspections
There are potential dangers all around a condo or co-op that no resident wants to consider a realistic concern: a chunk of hanging concrete above a balcony can be life-threatening; a section of delaminated masonry, wood shingles or siding, can rot, crack or create serious issues; and water intrusion problems can cause or worsen structural […]
A Clear View: What’s New in Window Trends and Technology?
Windows can dramatically change any space, from transforming a tiny kitchen into a front row seat to a glorious skyline to morphing a standard upstairs bedroom into a perfect perch for an ocean view. Windows bring vast life and light to an condo unit or home, meaning a great deal of time, effort, and creativity […]
Operating, reserve funds must be kept in separate accounts
Community associations need two pots of money, an operating account and a reserve account. The first is for paying day-to-day bills, and the second is for occasional big-ticket items like roofs and boilers. Read more……….
Preparing your Community Association for 2015
Now is the perfect time to begin thinking of any changes your community association may want to implement in 2015. As you may have noticed from all of the updates and alerts within the community association industry, 2014 was a big year as far as legislative changes and influential cases. Whether you are a property […]
Owners should take active role in association
A common misconception about the community association lifestyle is you don’t have to do anything. Taking care of the property is someone else’s job, or so many buyers believe. It’s not true. Read more……….
Illinois Supreme Court Agrees to Decide Whether a Condo Foreclosure Extinguishes Association’s Lien
In the closing days of its January term, the Illinois Supreme Court agreed to decide an issue of considerable potential importance to the real estate bar – when does a foreclosure sale on a condominium unit extinguish the Association’s lien for assessments incurred before the sale closed? In 1010 Lake Shore Association v. Deutsche Bank […]
Water Damage Issues Create Liability for Boards Under Breach of Fiduciary Duty Theory
In Schuh v. Plaza Des Plaines Condominium Association, No. 1-13-1999 (Ill.App.Ct. July 24, 2014), an Illinois appeals court affirmed a ruling that a condominium association breached its fiduciary duty to a unit owner by failing to promptly address a water infiltration problem that resulted in extensive mold damage to the unit. Read more……….
CAI Best Practices: Ethics
Simply put, when someone is employing ethics, he or she recognizes what is right and what is wrong and is choosing to do the right thing; however, as a great deal of business ethics literature will attest, “the right thing” is not always straightforward. For example, most ethical dilemmas in the workplace are not simply […]
Preparing your association for electronic communications
Illinois community associations may now communicate electronically with their owners, but that doesn’t mean they can cut their paper and postage budgets. Many practical details must be worked out before any savings are realized. Read more……
Who’s Packing? (and does it matter?) Schools, hospitals and government buildings ban firearms. Why don’t more communities do the same?
An otherwise peaceful and playful day this past summer at a southern Illinois homeowners association pool turned ugly when a resident with a history of behavioral problems became offended at a perceived slight. In retaliation, she threatened to drown someone’s child. Read more……….
Continuing Education Educational Resources for Managers
Even the most successful property managers understand they don’t know everything, and with new developments happening in building technology, administration, and communication, a savvy manager will look to constantly learn about what’s new. Read more………..
Mastering Management: Maximizing Cooperation and Partnership
According to experts, the most successful board/manager relationships cultivate when both parties have mutual trust and respect, with courteous communication among all individuals involved. Read more………
Hiring New Management: When it’s Time for A Change!
There is an old adage claiming that “The more things change, the more they stay the same.” This is not a happy thought for a board or association looking to change property managers or firms. To go through the turmoil involved in replacing a management company and still not achieve the desired changes is a […]
Keeping Up in a Competitive Management Market
As the co-op/condo market continues to heal after the setback it experienced during the financial crisis of late, many management firms and independent property managers are looking for ways to distinguish themselves from their colleagues and stand out in an increasingly tough market. The competition to manage some of the world’s priciest buildings is intense. […]
Take time to find the right property management company
Choosing a manager is one of the most important decisions a community association will make. Because managers are closely involved in daily functions and future planning, their performance — or lack thereof — has a major effect on the association’s financial stability and resident…. Read more………
Illinois Supreme Court Agrees to Decide Breadth of Condo Developer’s Tort Duties
In the closing days of its November term, the Illinois Supreme Court agreed to review a decision from Division 5 of the First District with potentially significant implications for developers: Henderson Square Condominium Association v. LAB Townhomes. Henderson Square poses several related questions about the marketing of condominium units and the breadth of a developer’s […]
The basics of insurance for condos
Your condo is more than a roof over your head: It’s your home. So make sure you understand the insurance requirements and coverage options for your unit. Read more……….
Using DNA to catch canine culprits – and their owners
Joe Gillmer had a problem. A big, stinky, sole-troubling problem plaguing the condos, where he serves as board vice president. How to put this gently? Dog, er, waste in the vestibule, in the elevator (yes, really), and — this particularly incensed Gillmer — in the garage beside handicapped parking, making life difficult for residents with […]
Legislative Update Briefs: Electronic Voting
Electronic Notice and Voting Revolution Starting January 1, 2015, here are the basic points to know: Through PA 98-1042, electronic voting and notice comes to both types of associations. This will allow associations to use “technological means” to issue notices and collect votes from owners, provided rules and regulations are amended and owners request electronic […]
New Illinois Ruling Enforces Cause of Action Accrual Provisions and Holds that Express Indemnity Claims In A Construction Contract Are Subject to a 10 Year Statute of Limitations
The Appellate Court for First District of Illinois recently issued a decision with two important holdings for construction lawyers. First, the court held that a third-party express indemnity claim seeking to impose downstream liability for alleged construction defects was subject to the 10-year statute of limitations for breach of written contract claims, and not the […]
Pitfalls of Accepting Partial Payments From Owners in Collection
Being served with notice of a filed court collection action from an association’s attorney usually motivates a delinquent unit owner to pay past due assessments. It is often at this point that the owner realizes that he/she not only owes the unpaid maintenance assessments, but also the additional court costs and legal fees. In an […]
What to expect on community association front in 2015 (IL)
Another year quickly approaches, and with it come myriad challenges for community associations in Illinois. Some are ongoing and others are brand new. What are the hot topics for 2015? We asked several industry veterans to peer into their crystal balls and reveal what they see. Read more……….
Time Limit on Filing Certain Construction Lawsuits Extended (IL)
A recent Illinois Appellate Court decision extends the time period in which a certain type of legal claim can be made against a general contractor on a construction project. The decision, 15th Place Condominium Association v. South Campus Development Team, LLC, holds that the time limit for filing a lawsuit claiming breach of an express […]
Residential Condominium Association And Its Management Company Immune From Liability For Improper Removal Of Snow/Ice Patch Caused By Defective Awning (IL)
Plaintiff was a resident of a condominium whose common areas were owned and maintained by the defendants. She slipped and fell in a common area on a patch of ice that had formed because water dripped from an overhead awning and froze on the walkway Read more……….
Avoiding common mistakes that board members make
Most board members at community associations are well-intended homeowners who want to do a good job. But few have expertise in property management, much less the legal and financial nuances of their decisions. Mistakes frequently occur. Read more……..
Condo associations restrict rentals for their own good
We received a lengthy comment regarding one of our recent columns relating to leasing restrictions in condominiums. We’ve abbreviated the letter as follows: Q: Rental restrictions really can decrease resale values and hurt individual owners who think they might never have to rent until they find out they do. After all, life is unpredictable. And […]
Claims for breach of express indemnity clause in construction contracts subject to 10-year statute of limitations in Illinois
In 15th Place Condominium Association v. South Campus Development Team LLC, the Appellate Court for the First District of Illinois held that a claim for breach of an express indemnity clause within a construction agreement was subject to the 10-year statute of limitations for written contracts instead of the four-year statute of limitations for construction […]