The legislature believes that more laws are needed to assure that community managers – those who control the assets of common interest developments (“CIDs”) – do not take advantage of their clients by entering into secret agreements with vendors. While in our experience instances of such manager misconduct are rare, the legislature has a theoretical […]
3rd District panel affirms denial of class certification in case over assessed value of condos (FL)
Three 3rd District Court of Appeal judges have affirmed a lower court’s decision to deny class certification in a consolidated case involving two condominium associations. Judges Vance Salter, Kevin Emas and Ivan Fernandez affirmed the lower court’s decision in a March 21 opinion that Pedro J. Garcia and others be able to appraise each condominium […]
Washington adopts version of Uniform Common Interest Ownership Act
Here is the summary of the bill:
Assessment collection for condominium associations in Maryland and Washington DC
The timely payment and collection of condominium assessments is essential to the financial well-being and efficient operation of a condominium association. The association’s Board of Directors has a fiduciary responsibility to stay on top of assessment collection so that delinquent condominium assessments do not accumulate. Excessive delinquencies not only deprive a condominium association of needed […]
Well, Yes – Washington Court Affirms Authority of Homeowners Association
Two Washington homeowners recently challenged the authority of their homeowners association to manage well water services in their housing development. In an opinion published earlier this month, the Washington Court of Appeals affirmed that the homeowners association’s exercise of authority was consistent with Washington law and the homeowners’ deed. Read the article……………..
FL Lien Law: Removing a Construction Lien From Your Property
When contractors and other persons are not paid for their work on a private construction project in Florida, they may resort to recording a construction claim of lien on that property. That construction lien will serve as an encumbrance on the property, like a mortgage, until it is resolved or satisfied. Typically, a construction lien […]
Attorneys’ Fees Can Be Awarded to CEQA Litigants Hoping to Preserve Their Home Values (CA)
Successful petitioners under CEQA who are motivated to file suit, in part, by their private financial interests are not necessarily ineligible for an award of attorneys’ fees under the public interest fee statute. Heron Bay Homeowners Association v. City of San Leandro, 19 Cal. App. 5th 376 (2018). Read the article…………………
The City Of Chicago & The State Of Illinois Are Taking Action To Address Privacy Concerns Of Condominium Unit Owners
In response to the outcry against the recent amendment to Section 19 of the Illinois Condominium Property Act, the Chicago City Council passed an Ordinance on March 28, 2018 which amends Section 13-72-080 of the Chicago Condominium Ordinance. The Ordinance, as amended, provides that no unit owner, with the exception of those on the Board […]
$707,117 Fee Award To HOA Goes Away Upon Reversal Of HOA’s Victory In Judgment (CA)
Cathedral Hill Tower Condominium Assn. v. Garbar, Case No. A144036 (1st Dist., Div. 3 Mar. 27, 2018) (unpublished) was the latest appeal by homeowners against HOA in a decade-spanning action involving claims for nuisance, negligence, and breach of contract by HOA. A jury found in homeowners’ favor and awarded them nuisance personal injury damages of […]
New Decision from the D.C. Court of Appeals Recognizes Additional Defenses to HOA Super-Priority Lien Statute
As we noted in last week’s blog post, the District of Columbia Court of Appeals issued a decision on March 1, 2018, that created a new wave of uncertainty for lenders with loans secured by deeds of trust on condominium units in the District of Columbia. In the Liu decision, the court held that a […]
California Appellate Court Blocks SoCal Homeowners Association’s Short-Term Rental Ban
A California appellate court has found that a Southern California homeowners association’s ban on short-term rentals runs afoul of the state’s coastal access law. In June 2016, the Mandalay Shores Community Association passed a resolution that barred owners of about 1,400 single-family units along the Oxnard coast from renting their dwellings for less than 30 […]
2018 Legislative Changes for Community Associations (FL)
On March 23, 2018, Governor Scott approved House Bill 841, amending a number of statutes regulating community associations. The following is a summary of House Bill 841 by topic: Read the article…………….
Q&A: Amendments to the New Jersey Public Recreational Bathing Code and the Affects on Your Community Association
Q: Our association is considering eliminating the lifeguard at our pool. Do we need to do anything other than post “swim at your own risk” signs? Read the Q&A……………….
Gov. Scott signs bill re: community associations (FL)
The bill revises requirements related to the governance and operation of condominium, cooperative, and homeowners’ associations. Read the summary of the bill………………. Read a PDF copy of the bill……………….
Is Time Running Out on Your Association’s Covenants and Restrictions? How to Preserve your Covenants and Restrictions under Florida Law
The Florida Marketable Record Title to Property Act (“MRTA”) can operate to extinguish interests in real property that were recorded prior to the “root of title” to a property. In Florida, the root of title must be established by a “title transaction” recorded at least 30 years prior to the time that marketability of title […]
The Distressed Condominium Relief Act, As The Legislative Dust Settles (FL)
The legislative session ended with a photo-finish, last-hours-of-the-session maneuvering, resulting in the passage of HB 841, which among (many) other unrelated matters also removes the “sunset” provision of the Distressed Condominium Relief Act (“DCRA”). The DCRA was set to expire on July 1, 2018. More specifically, effective July 1, 2018, acquirers of distressed condominium units […]
Can Insurance Appraisers Favor and Advocate For The Party That Selected Them? (CO)
This is a question the Colorado Supreme Court is set to resolve after recently granting Owners Insurance Company’s petition for writ of certiorari in Owners Insurance Company v. Dakota Station II Condominium Association, Inc., 2018 WL 948601 (Col. Feb. 20, 2018). The Colorado Court of Appeals answered this question “yes” in the opinion being appealed […]
Mass. SJC Expands Time For Bringing Property Damage Claims Under Chapter 21E
Lawsuits to recover cleanup costs and property damages resulting from environmental contamination can be expensive and time-consuming. Plaintiffs should be sure their claims are timely before embarking on the litigation path. M.G.L. c. 21E (Chapter 21E), the Massachusetts Oil and Hazardous Material Release Prevention and Response Act, contains a statute of limitations provision, Section 11A. […]
Washington D.C. Appellate Court Holds Foreclosure of Condominium Lien Extinguished First Mortgage Despite Condominium Association’s Representations to the Contrary
The District of Columbia Court of Appeals recently held that a condominium’s foreclosure of a “super-priority” condominium lien extinguished an otherwise first-priority mortgage on the property, despite the fact that the association’s notice of sale and deed to the third-party purchaser stated that the sale was “subject to” the mortgage. See Liu v. U.S. Bank […]
Reeves Responds to CID Criticism (MS)
Lt. Gov. Tate Reeves blames fixed incomes and high taxes in Jackson for not supporting SB 3045, also known as the community improvement district legislation. SB?3045 died today after it failed to be brought up for a vote in the Senate Finance Committee. Read the article………………
Michigan Court rules that association is not required to maintain road to township standards
In McGue v Glenbrook Beach Association, unpublished opinion of the Court of Appeals, issued March 6, 2018 (Docket No. 337785), the Michigan Court of Appeals upheld the trial court’s dismissal of an owner’s claim against a Michigan Summer Resort Owners Association for failing to maintain the roads in the subdivision according to the township ordinance. […]
The Gray Area of Liability When Building Systems Fail (NY)
A pipe bursts. An apartment floods. The resident files a damage claim against the co-op or condo board, contending that the flood was caused by the board’s failure to provide necessary maintenance of building systems. The board should not simply write a check for the damages. Instead, it should check the declaration, offering plan or […]
New Statutory Requirements for Condominium Websites (FL)
Action alert! By legislative enact last year, all non-timeshare condominium association with 150 or more units must have an independent, password-protected website or web portal accessible to association members by July 1, 2018. The website must be wholly owned and operated by the association, or a website or web portal operated by a third-party provided […]
Privé developers to collect $21.6M settlement, ending legal battle (FL)
Developers of the completed Privé at Island Estates have agreed to collect a $21.6 million settlement from the Williams Island Property Owners Association, ending years of litigation over the construction of the luxury two-tower condo complex in Aventura. Read the article…………….
Construction Defect Claims at Common Interest Developments (CA)
A homeowners’ association (“HOA”) governing common interest developments is subject to a different set of requirements for construction defect claims as opposed to single-family developments. In 1995, the California legislature enacted the Calderon Act (formerly CA Civil Code §1374) which set forth the requirements for an HOA to bring forth a construction defect action against […]
Newly Enacted Civil Code Section 4515 Seeks to Protect Political Speech and Peaceful Assembly at California Community Associations
Effective January 1, 2018, Civil Code Section 4515 was added to the Davis-Stirling Act to protect certain rights of political speech and peaceful assembly within the boundaries of a common interest development. Senator Bob Wieckowski originally presented new Civil Code Section 4515 to California’s legislature as Senate Bill 407. Remarking on his proposed legislation, Senator […]
Hills and Ridges Doctrine May Provide Protection to Property Owners in Slip-and-Falls (PA)
In Collins v. Philadelphia Suburban Development, 2018 Pa. Super. LEXIS 72 (Jan. 31, 2018), the Superior Court of Pennsylvania recently upheld a verdict against a slip and fall plaintiff who filed a negligence claim against a property sidewalk owner, Philadelphia Suburban Development Corp. (PSDC), and a snow removal company, Ross’s Home Improvement (Ross), following a […]
California Legislative Update: What Your Board Needs to Know
Community association laws are changing all the time, and for both board members and homeowners, keeping up with them is important for achieving their community’s vision while maintaining compliance. To help you keep up with the latest changes in California, Associa Northern California recently hosted a webinar outlining the legislative updates that have taken affect […]
Washington Legislature Adopts Washington Uniform Common Interest Ownership Act
On March 6, 2018, the Washington State Legislature passed the Washington Uniform Common Interest Ownership Act (WUCIOA). It will take effect on July 1, 2018 unless Governor Jay Inslee vetoes the bill. The WUCIOA is comprehensive legislation which will apply to many types of common interest communities, including condominiums, homeowner associations, and real estate cooperatives. […]
New Laws on Construction Noise and Mold Remediation (NY)
Those laws never seem to stop coming. Most co-op and condo boards are aware of new laws that require an annual report on contracts, a way of reining in conflicts of interest, and the looming requirement to adopt and post a smoking policy. But other new laws may be flying under the radar of boards […]
Hot Topics from the Community Association Institute’s Law Seminar
Each year, the Community Association Institute (“CAI”) assembles the top community association attorneys from around the country to participate in its Community Association Law Seminar, an education and networking event that provides panel discussions and presentations on emerging trends important to the practice of community association law. This year’s seminar included sessions covering a number […]
Associations Must Strictly Comply With Notice Requirements to Impose Fines, Liens (FL)
For homeowners and condominium associations, enforcing their rules can be extremely challenging. Many communities are forced to contend with unit owners who are unruly and disruptive, and associations must be able to effectively bring their rights to bear in order to maintain uniform compliance. However, Florida’s laws governing the administration of community associations are very […]
New TN law protects your rights to display political signs (TN)
A homeowners association in Knox County is admitting it was wrong after telling homeowners to take down political signs. A new state law protects your right to post those signs. Read the article………………..
Caselaw Update: Supreme Court Reverses Willowmere Decision re HOA’s Lack of Standing (NC)
The North Carolina Supreme Court, in a decision filed on March 2, 2018, REVERSED the Court of Appeals’ decision discussed below. You can read the Supreme Court’s decision here. As we discussed in our blog post below, which we posted on December 14, 2016, we disagreed with the Court of Appeals’ reasoning, and thankfully the […]
The Power of the ARC
As reported recently in the CAI Law Reporter, the end of 2017 saw a number of state courts rule on the powers of architectural review committees (or “ARCs” for short). In CB Investments v. Murphy and Weber v. Board of Directors of Laurel Oaks Association, the Wisconsin Court of Appeals and the Pennsylvania Commonwealth Court, […]
Solar Panels on Common Area Roofs; Have a Policy Yet? (CA)
The California Solar Rights Act (“Act”), found at Civil Code §§ 714 and 714.1, provides certain protections for homeowners seeking to install Solar Energy Systems (i.e., solar panels) on their properties (“Systems”). The intent of the Act was to prevent associations from broadly banning Systems for aesthetic reasons—whether through an explicit ban, or through onerous […]
South Carolina Court of Appeals Reiterates Importance of Clear Rental Restrictions
I am often asked by homeowners, property managers, and HOA boards to review restrictive covenants to determine whether their community may restrict leasing in some way. The usual answer is “it depends,” and the South Carolina Court of Appeals made it clear in Community Services Associates, Inc. v. Wall that restrictive covenants must be clear […]
Virginia Offers Guidance For Confirming That Medical Verifications for Emotional Support Animals Are Legitimate
It is clear that just about all (if not all) of the federal, state, and local fair housing agencies are dealing with the exponential growth of online medical verifications for emotional support animals (ESA’s). I have addressed any number of ESA issues in this space. Professional apartment management companies continue to look for the appropriate […]
Appeals court remands HOA dispute over limo parking (IN)
A Hamilton County dispute between a local couple and their homeowners association will return to the trial court after the Indiana Court of Appeals determined the trial court’s final order was based on erroneous findings. When Craig and Catherine Severance began operating a commercial limousine business out of their Hamilton County home in the Pleasant […]
Discharge of Condominium and Homeowners’ Assessments in Bankruptcy (FL)
Since the early 1990s, the federal courts have struggled with whether, and to what degree, a debtor in bankruptcy who receives a discharge is free from liability for post-petition condominium and homeowners’ association assessments. The issue is important to condominium associations and homeowner’s associations, as well as debtors in bankruptcy. Because the association’s assessment lien […]
Battle lost: Judge approves 36 foreclosures against Sixty Sixty Resort unit owners (FL)
Lionel Gossaf arrived in Miami from Brussels on Wednesday evening to try to save his unit at a Miami Beach condo-hotel that has been at the center of an epic fight with the Port Orange, Florida-investment company Schecher Group. But he learned he had already lost the battle. Read the article……………
Couple blames Largo condominium owners for husband’s lung ailment (FL)
A St. Petersburg couple is suing a Largo condominium operator and owners, alleging negligence and failure to warn. William Patrick Greene and Terry Lee Greene filed a complaint Feb. 1 in Pinellas County Circuit Court against Shipwatch Yacht Club Condominium Association, Inc. and Resource Property Management Inc., alleging failure to warn of the risks of […]
HOA Properly Awarded Fees Against Trustee And An Individual Suing As Property’s Successor-In-Interest (CA)
Plaintiff, who sued as a trustee of her deceased father’s trust and individually as successor-in-interest to a condominium property, lost an exclusive garage use dispute against the HOA through a summary judgment motion, which was affirmed on appeal. HOA then was awarded about $76,000 in attorney’s fees as the prevailing party under a CC&R fees […]
Guide to Understanding Satellite Dish Placement in Condos and HOAs
Satellite dishes used to be a major cause for contention – to the point where, in 1996, the FCC adopted the OTARD rule. This was amended to include rental property in 1999. The rule restricts what community associations can do regarding limiting satellite dishes and satellite dish placement. As long as the resident has an […]
HB 5440: Michigan HOA’s could not prohibit the display of the American or State Flag
Michigan House Bill 5440 was introduced on January 24, 2018. HB 5540 would prohibit a Michigan homeowner’s association or neighborhood association from prohibiting the display of the United States flag or the state flag of Michigan. HB 5540 provides as follows: Read the article…………….
New judge and hearing scheduled in Forest Co. sexually violent person placement (WI)
A new judge is now presiding over a civil case in Forest County that is currently keeping the Department of Health Services from placing a sexually violent person in a Blackwell neighborhood. Shawano County Circuit Court Judge William Kussel ordered to continue the temporary restraining order in the case the neighborhood’s homeowners association filed against […]
Foreclosure fight heats up: Trial could give Schecher Group nearly complete control of Miami Beach’s Sixty Sixty Resort (FL)
An investment company could score a major victory this week in its alleged hostile takeover of a 1990s Miami Beach condo-hotel. Miami-Dade Circuit Judge Beatrice Butchko has set a three-day trial beginning Tuesday to decide the outcome of foreclosure lawsuits the Schecher Group has brought against 35 unit owners at the Sixty Sixty Resort at […]
What are Limited Common Elements? Part One (WA)
Under the New Act (RCW 64.34 et seq., Washington’s Condominium Act) and Old Act (RCW 64.32 et seq., the Horizontal Property Regimes Act), limited common elements or areas are defined as a subset of common elements or areas. Specifically, limited common elements are the portion of common elements (owned by everyone) that are designated in […]
Clark County buyers eager for condos, but developers skittish (WA)
There is a perception among developers that if you build a condominium you may as well be building a wasp’s nest. Veering into that market has gotten many builders stung by lawsuits over purported construction defects. Vancouver developer Elie Kassab has heard those concerns, but isn’t worried. People constantly ask whether he will build any […]
Hanover unit not obligated to cover builder on roofing project (WA)
A unit of The Hanover Insurance Group Inc. was not obligated to provide coverage to a construction firm being sued over work it had performed on condominium units because of a policy exclusion, says a federal appeals court, in upholding a lower court ruling. Edgewood, Washington-based Chase Construction North West Inc. was sued by Lakewood, […]