This afternoon, House Bill 1125 (“HB 1125”) was taken up by the House Business, Labor, Economic & Workforce Development Committee (“House Business Committee”) for consideration. As you will recall, HB 1125 is intended to fix an inadvertent oversight in the association records law which was overhauled during the 2012 legislative session and went into effect […]
The Benefits of Filing a Blanket Recordation for Your HOA (CA)
HOAs have experienced six years of “bad behavior” from the lending and mortgage community. Commonly, they do not foreclose on delinquent owners within a reasonable time frame (sometimes two to three years of delinquency without proactive action being taken), or they foreclose and do not inform the association of the change of ownership. Read more…….
Kaman & Cusimano Opposes HB371 (OH)
We need your help. Please read and share this with your fellow board members and any other association board members you may know. Besides the perpetual snow storms we have been battling this winter, we are now faced with battling a different kind of “storm” brewing in Columbus due to proposed legislation that is totally […]
Call to Action – Oppose Ohio House Bill 371
Williams & Strohm urges you NOW to contact your Ohio House Representative, bill sponsor, Rep. Cheryl Grossman, 77 S. High Street, 14th Floor, Columbus, Ohio 43215 and Richard Adams, Chair of the Financial Institutions, Housing, and Urban Development Committee, 77 S. High Street, 13th Floor, Columbus, Ohio 43215, and express your strong opposition to pending […]
CCOC Proposing Legislation To Improve Condo Living (CT)
We have asked you for your opinion on proposed laws that would give greater power to individual condo owners without limiting the associations from taking actions to benefit unit owners. More than 130 of your have responded, filling out lengthy surveys. We will soon publish the results of the survey. Read more…….
Limited Liability Company Has No First Amendment Right To Send Its Lawyer To Board Meetings
Usually when someone invokes her right to counsel, she usually has in mind the Sixth Amendment of the U.S. Constitution (or perhaps Article I, § 15 of the California Constitution). Thus, I was surprised to see a case in which the plaintiff argued that it had a First Amendment right to counsel. Read […]
NJ Court Revives $18M Condo Defects Suit
A New Jersey appeals court has revived a condominium association’s $18 million lawsuit over construction defects, saying in opinion published Friday that the lower court had wrongly found that the association did not first obtain the unit owners’ approval to file suit. Read more……..
Carlin Estates refiles lawsuit against Good Builders, Brunk (OH)
A trial scheduled involving Carlin Estates Condominium Association, Good Builders and business associate Nolan Brunk appeared to end when the parties reached a settlement agreement in October 2013. The terms of the settlement have allegedly not been met, though, and Carlin Estates has refiled its suit. Read more……..
The Reorganized Davis-Stirling Act: How it Benefits Community Association Members
As the presiding officer of my HOA’s Board of Directors, it’s important that I, along with my fellow board members, have a good understanding of the basic governance documents we draw upon. Including those such as our CC&Rs, our By-Laws, our Policies and Procedures, and especially an adequate understanding of the Davis-Stirling Act, which allow […]
Federal Disaster Assistance for Condominium Associations and Cooperatives May be on the Horizon
In the wake of Hurricane Sandy, many communities throughout the tri-state area suffered severe and catastrophic damage. Community associations, much similar to single family homeowners, turned to the Federal Emergency Management Agency (FEMA) for financial assistance, only to be turned away. Surprisingly, federal law does not currently permit FEMA to provide financial assistance directly to […]
Polo Golf and Country Club Homeowners Association, Inc v. Rhymer et al (and Forsyth County, et al)
POLO GOLF AND COUNTRY CLUB HOMEOWNERS ASSOCIATION, INC. V. RHYMER ET AL. (S13A1635) POLO GOLF AND COUNTRY CLUB HOMEOWNERS ASSOCIATION, INC. V. FORSYTH COUNTY ET AL. In related appeals, the Supreme Court of Georgia has ruled against a homeowners association in one case and against Forsyth County in the other involving disputesover who is responsible for repairing […]
Huntington Continental Town House Association, Inc. v. The JM Trust
This case presents an issue on which this court has found little published authority: whether a homeowner’s association must accept and apply partial payments that reduce delinquent assessments owed but not any other amounts due, such as late fees, interest, and attorney’s fees and costs. We conclude the DavisStirling Common Interest Development Act (the Act) […]
What’s in a Transfer Fee-That is the Question? (CO)
Last week it was reported that Rep. Jeanne Labuda indicated that she would be introducing legislation taking aim on management company transfer fees. This sparked tremendous debate on both sides of the issue and the value of a transfer fee. Read more…….
Condominium Insurance Basics (MD)
Maybe it is the weather, but we have been receiving a number of questions about condominium insurance coverage as between the common elements and units. Here is a summary: A condominium master policy must, at a minimum, cover property damage to all of the condominium structure, including both the common elements and units as originally […]
Bill Introduced to Fix Oversight in CCIOA Records Provision (CO)
House Bill 14-1125 (“HB 1125”) was introduced today by Representative Diane Mitsch Bush (D-Steamboat Springs) to fix an inadvertent oversight in the association records law which was overhauled during the 2012 legislative session and went into effect on January 1, 2013. Read more……..
Residential Storage Condominium Unit Bill Introduced (CO)
Yesterday, House Bill 14-1143 (“HB 1143”) was introduced to address how storage condominium units are taxed. According to the legislation, residential real property is taxed at 7.96% while commercial property is tax at 29%. Read more…….
More Evidence that Construction Defect Bill Likely (CO)
During yesterday’s Denver Business Journal’s State of the Cities forum, the mayors of Denver and Aurora agreed there needs to be changes to the state’s construction defect laws. Claiming that there is too much liability risk for builders, developers and subcontractors because it is easy for associations to sue for defects, particularly in condominiums. Mayor […]
DORA Report (CO) Issued – And Changes Are a Coming (just not this year)
As part of the sweeping changes to the Colorado Common Interest Ownership Act in the 2013 legislative season, the Office of HOA Information and Resources was required to study the legislative and operational components of other states to determine how those regulatory structures work and deliver a report, along with recommendations back to the Legislature. […]
Florida Supreme Court Rejects Restriction on Availability of Condominium Association Receiverships
The Florida Supreme Court recently considered in Granada Lakes Villas Condominium Ass’n, Inc. v. Metro-Dade Investments Co., 38 Fla. L. Weekly S777 (Fla. 2013), the question of what circumstances permit a Florida court to appoint a receiver for a condominium association Read more……..
Condo Owners’ $15M Award Over Faulty Stucco Is Overturned
A South Carolina appeals court overturned on Wednesday a county circuit court’s decision to grant to homeowners at the Twelve Oaks at Fenwick Property Owners Association Inc. about $15 million, the claimed cost to repair contractors’ faulty construction that allegedly caused water to infiltrate the owners’ condominiums. Read more…….
HOA Had Standing to Sue Developer on Behalf of Members (CA)
The Court of Appeal for this district yesterday ruled that a homeowner’s association has standing to bring causes of actions against developers on its own behalf and as a representative of its constituent homeowners. Read more……
A Message from CAI Government & Public Affairs (re: Flood Insurance)
Today, January 8, the U.S. Senate is voting to invoke cloture (a.k.a. bring the debate to an end) on S. 1846, the Homeowner Flood Insurance Affordability Act (HFIA). If cloture is invoked, the Senate will proceed to debate and a vote on passing HFIA. Please contact your Senators today urging support of invoking cloture and […]
Strata Property Act amendment offers remedy for deadlocks on special levies (BC)
On December 12, 2013, amendments to section 173 of B.C.’s Strata Property Act, SBC 1998, c 43, came into force that allow strata corporations with majority support to apply to the BC Supreme Court to require strata owners to pay for certain repairs. Read more……..
Strata Title Law Reform in NSW (Australia) – what it means for property investors
Strata property investors can look forward to having more protections and control over their investment property under new strata title laws. Given that there are 72,000 current strata schemes in New South Wales, the Strata Title Law Reform will affect a large number of strata property investors. Read more…….
Pa. High Court Won’t Hear Developer’s Arbitration Push
The Pennsylvania Supreme Court on Thursday declined to hear an appeal of an appellate ruling that denied a developer the ability to push claims brought by a homeowners association over construction defects into arbitration. Read more…….
Condominium Association Handicap Parking Lawsuit (IL)
In a recent Illinois court case, a renter sued a community association claiming that the unavailability of handicap-accessible parking violated the Fair Housing Act (“FHA”). The property consisted of a 40-story building with 342 parking spaces, seven of which were handicap accessible. However, the association sold the handicapped-accessible parking spaces to non-disabled persons and the […]
Homeowners Association/Arbitration: Duo Unpublished Decisions Out Of 2/6 DCA Are Interesting
This one involved a 15-year feud about a hot water heater. (We are not kidding.) In essence, there were some mediation settlement agreements reached between the homeowners and housing co-op about the water heater in one housing coop unit, with homeowners accepting $50,000 in settlement at one point under a mediation settlement agreement. Read […]
Avella plans attack on new developers (NY)
Avella is introducing legislation in Albany that would require homeowners whose properties are restricted by covenants to register their homes with the Department of Buildings, which in turn would have to review deed registries prior to issuing building permits Read more…….
Couple settles lawsuit against condo association for $1.2M (HI)
A Molokai couple who accused their condo association and individual directors of harassing and intimidating them for trying to get new leaders elected to the board have settled their lawsuit against the association for about $1.2 million. Read more…..
Panorama Village Homeowners Association v. Golden Rule Roofing, Inc. case brief
Panorama Village Homeowners Ass’n v. Golden Rule Roofing, Inc. case brief summary 10 P.3d 417 (2000) CASE SYNOPSIS Appellant roofing company sought review of a judgment from the Superior Court of King County (Washington), which awarded respondent homeowners association a portion of the cost of replacing roofs installed by appellant, in respondent’s suit alleging breach […]
Pembrook Condominium Assn. One v. North Shore Trust and Savings (Foreclosure of lien) (IL)
Plaintiff, Pembrook Condominium Association–One, appeals a judgment granting in part the motion of defendant North Shore Trust & Savings (North Shore) to dismiss plaintiff’s complaint (see 735 ILCS 5/2–619(a)(9) (West 2012)) in forcible entry and detainer (see 735 ILCS 5/9–101 et seq. (West 2012)). The complaint sought possession of a condominium unit and the collection […]
Stone Oak-area HOA Again Loses Bid to Halt Extension of Hardy Oak Road in San Antonio
The Fourth Court of Appeals in San Antonio, has twice ruled against the Sundance at Stone Oak Association, Inc. (the “HOA”) in its bid to prevent the extension of Hardy Oak Road across the HOA’s property. [Author’s Note: Hardy Oak Rd. is a major roadway in the Stone Oak master-planned subdivision, which abruptly (and somewhat […]
Burlingame lawsuit likely headed to trial
Burlingame homeowners are preparing to take a construction defect lawsuit to trial, after the parties failed to come to terms through a mediation process. Read more…….
Homeowner Association Liability for Dog Bites
A homeowner association may be liable for permitting dangerous dogs to remain on the common areas and private streets owned and controlled by the association. Read more…….
Harlem (NY) developers blocked from condo sales, ordered to deposit $3.2M
Two developers and a lawyer involved with the 68-unit Mirada condominiums in Harlem have been temporarily banned from developing apartments in the state and ordered to set aside $3.2 million, pending a court case over alleged defects at the project, a spokesperson for New York State Attorney General Eric Schneiderman told The Real Deal. […]
Evict thy neighbour: B.C. Court of Appeal upholds forced sale order under the Strata Property Act
The British Columbia Court of Appeal recently upheld an unprecedented order for the immediate sale of a condominium unit following the “outrageous behaviour” of the unit’s owner and her son towards their neighbours. The decision in The Owners Strata Plan LMS 2768 v Jordison1 gives strata councils an enhanced enforcement mechanism by permitting them to […]
Parking Rights and Common Area / Common Element: Can the Association (or Declarant) Do That?!
You serve on your condominium or property owners’ association’s board of directors and have been receiving complaints about unauthorized cars and space shortages in the community’s parking lot. The Board would like to designate specific parking spaces for use by designated units so that each unit has a certain number of parking spaces available to […]
Copperleaf dispute settled (WY)
The county and Copperleaf have settled their legal dispute about water use at the Wapiti subdivision, and claims on both sides have been dismissed. An order of dismissal without prejudice was submitted last month for the county’s case against Copperleaf Homeowners Association. Read more……..
Indiana Condominium Association Liens, Part II: Deeds In Lieu Of Foreclosure
Whereas last week’s post introduced condominium association (“CA”) liens and their priority in title under Indiana law, this week’s post addresses CA liens in connection with a deed-in-lieu of foreclosure (“DIL”). A DIL can be a relatively simple and positive transaction for a secured lender struggling with an unperforming loan. But in cases dealing with […]
Receivership – Brief Overview
When a condo association files a foreclosure lawsuit, it is entitled to ask the court to appoint a “custodial receiver” who takes over the property, rents it out, and pays the proceeds consistent with guidelines in the Condominium Act (RCW 64.34.364(10)). As a practical matter, once appointed, the receiver rekeys the unit (assuming it is […]
Condominium’s Leasing Restriction Ruled Invalid by Washington Court
The Washington Court of Appeals recently issued an unpublished opinion addressing a condominium association’s attempt to restrict leasing of units. In this case, the condominium’s original declaration stated that no more than 25% of the units could be leased at any one time. Read more……..
Restricting access to common area roads: a “high risk” activity for Washington HOAs
When owners are delinquent in paying assessments, an Association may wish to penalize the owner and provide an incentive to pay by restricting that owner’s access to common areas. A Washington HOA probably can restrict access to common areas such a pool or cabana, if its governing documents specifically authorize such an act. But can […]
HOA’s May Collect Attorney Fees After Successful Action (OK)
In two recent decisions, the Oklahoma Appellate Courts have allowed Homeowners Associations to collect attorney’s fees and costs after successful litigation. Oklahoma follows the “American Rule”, which is that Attorney Fees may not be awarded unless there is a contract between the parties that allows them or there is a statute that specifically allows for […]
Indiana Condominium Association Liens, Part I: Foreclosure
I’ve previously written about the priority of homeowner’s association (“HOA”) liens. Today’s post relates to similar, but not identical, liens arising out of unpaid condominium association (“CA”) fees/assessments. Like HOAs, CAs also can foreclose their liens. Because a lender/mortgagee may, in its own foreclosure case, discover a recorded CA lien on the subject real estate, […]
Corbin Park developer lawsuit ends, but not the fight about fees
A lawsuit filed against Corbin Park developer Mike Schlup recently settled out of court for $11 million. Tenants who bought condominiums at a project near Lake of the Ozarks accused Schlup of using unqualified workers and faulty construction practices that resulted in damage to their condos. Read more………
Amendment To Michigan Condominium Act Clarifies Audit Requirements For Condominium Associations
The Michigan Legislature has passed an amendment to Section 57 of the Michigan Condominium Act (MCL 559.157) which is intended to clarify the annual audit responsibilities for condominium associations. Michigan Public Act No. 134 is effective January 14, 2014. Read more…….
Condo Association Sues Insurer over Coverage of Superstorm Sandy Damage (NJ)
A beachfront condominium association has sued Harleysville Insurance Co. for refusing to cover Superstorm Sandy damage to a ground-level parking garage located below the lowest elevated floor of the association’s property. Read more….
HOA’s and Contingency Cases
A more apt title might be “Why Lawyers Don’t Take HOA Cases on Contingency.” I am frequently asked to take HOA and condo cases on a contingency, but these cases are not the types of cases lawyers can litigate on a contingency, meaning you only pay the lawyer if you win. Read more…….
Condo Says Insurance Agent Procured Inadequate Flood Coverage; Demands $180,000 (NY)
The owner of a New York condominium has sued its insurance agent for more than $180,000 in damages caused by Superstorm Sandy, alleging the agent negligently failed to procure adequate flood insurance. Read more……