Many of you may remember an Assemblywoman by the name of Patricia Bates, who authored AB 512 which requires associations to give a 30-day notification to residents in a homeowner association, when the rule change impacts them. Then Assemblywoman Bates worked closely with our industry, and now Orange County Supervisor Bates has worked with Senator […]
Insurer Agreeing To Indemnify/Defend For Damages Does Not Have To Defend Insured Against Third Party Seeking Only Injunctive Relief
Acting Presiding Justice Rylaarsdam, in San Miguel Community Assn. v. State Farm General Ins. Co., Case No. G047738 (4th Dist., Div. 3 Oct. 1, 2013) (unpublished) on behalf of a 3-0 panel, framed the issue in this case and answered it as follows: Read more……
Homeowners Associations Increasingly Seen as “Quasi-Governmental” Entities by California Courts
If you are a homeowner, there is a good chance you have had experience with a homeowners association (HOA) and its basic functions. In some states, including California, HOAs can foreclose on a member’s home for failure to pay assessments, subject to the limitations in Cal. Civ. Code § 1367.4. Read more…..
Florida courts’ application of the “new” economic loss rule since Tiara Condominium Ass’n, Inc. v. Marsh & McLennan, Cos., Inc.
The Florida Supreme Court’s March 7, 2013 decision in Tiara Condominium Ass’n, Inc. v. Marsh & McLennan, Cos., Inc., 110 So. 3d 399 (Fla. 2013), limited application of the economic loss rule [a judicially created doctrine that sets forth the circumstances under which a tort claim is prohibited if the only damages suffered are economic losses] to […]
Issue Created By Language Used In Deed Restrictions (FL)
The Heleskis began building a structure on their property without notifying or getting approval from the HOA. The structure is 24 feet by 24 feet and is separate from the Heleskis’ main house. The Heleskis’ neighbors complained to the HOA that the structure was in violation of the neighborhood’s deed restrictions. Read more…….
Second District Reversed Order Denying Motion To Compel Arbitration (FL)
Pulte Home Corp. sought review of an order denying its renewed motion to compel arbitration of an action brought by Bay at Cypress Creek Homeowners’ Association (“HOA”) for alleged building code violations under Florida Statute §553.84. The Second District reversed the order under review on the authority of Pulte Home Corp. v. Vermillion Homeowners Ass’n, […]
Landmark development ruling could save condo owners millions
A Denver district judge has saved a group of condominium owners at Landmark from having to pay into a tax district they not only never agreed to be in, but also never knew existed until they got a tax bill to help pay for a nearby development that wouldn’t benefit them. Read more…..
(CA) Governor Signs SB 822: Community Association Managers Not “Contractors” or “Consultants” Under B&P Code Section 7026.1
In 2012, California enacted AB 2237, amending Section 7026.1 of the Business and Professions (B&P) Code relating to contractors (Section 7026.1), effective Jan. 1, 2013. AB 2237 required “consultants” overseeing home improvement construction projects to be licensed “contractors.” The result was much confusion and concern regarding whether community association managers were considered “consultants” and thus […]
(NC) About the New Required Notice of Voluntary Prelitigation Mediation for HOA and Condominium Disputes
All HOAs and condominium associations in North Carolina now have the legal duty to inform all members at least yearly that they have the right to request voluntary mediation of any dispute with the association, except for disputes regarding payment of dues or assessments. Either party can decline to engage in mediation. This requirement took […]
Amendments to Pennsylvania’s Uniform Condominium Act and Uniform Planned Communities Act
Recently, Pennsylvania Governor Tom Corbett signed into law House Bill 1122 (the “Amendment”), which amends the Uniform Condominium Act and the Uniform Planned Community Act (together the “Acts”) by extending the time period for a developer—which the Acts refer to as a declarant—to exercise certain special declarant rights. Read more…….
Refusal to enforce smoking ban (ME)
Plaintiff, an owner of a condominium unit, filed a complaint, individually and derivatively on behalf of the condominium association (Association), against the Association and four members of its board of directors (Board), claiming that Defendants had refused effectively to enforce the condominium’s smoking ban. The business and consumer docket dismissed the counts of the complaint […]
HOA Litigation: Is it avoidable?
We have written previously on the costs—both in time and money—for homeowners and condominium associations to litigate cases. On one hand, boards of directors have a fiduciary duty to uphold the governing documents of associations, but on the other, the board must investigate alternatives to the divisive nature of litigation. Read more…..
(CA) Governor Brown Signs “Clean Up” Legislation for Revised Davis-Stirling Act
California Governor Jerry Brown recently signed SB 745 into law. The bill is a multi-issue omnibus bill, and as to community associations primarily acts to “clean up” some issues related to the reorganizing of the Davis-Stirling Common Interest Development Act, which becomes effective on Jan. 1, 2014. Read more……
Illinois Supreme Court Grants Leave to Appeal Controversial Condominium Decision
May a condominium owner refuse to pay monthly and/or special assessments, in whole or in part, on the grounds that the condominium board had failed to maintain and repair the common elements of the condominium property? In the vast majority of jurisdictions around the country, the answer is simple: No. Last summer, in what the […]
Purchasers of Condominiums in San Diego’s Mixed Use Hard Rock Hotel May Not Sue for Securities Violations
The Court of Appeal recently came down with a decision regarding a lawsuit filed by several condominium owners who bought units in the Hard Rock Hotel San Diego, a mixed-use development with 420 condominium units. The Court of Appeal’s decision indicates that when these owners bought their units, they not only entered into purchase agreements, […]
Freddie Mac Revises Policy on Assessment Delinquencies in Superlien States
CAI National has just published the following statement on a new Freddie Mac policy addressing delinquencies in superlien states. Since Colorado is lucky enough to be a superlien state, this new policy will impact Colorado HOAs. Here is what CAI has to say about the new policy: Read more……
A Rose by Any Other Name (Arbitration)
Most of the leading law school textbooks explain arbitration by describing a case where a party suffers a loss and there is a dispute between the insurance company and the insured. The insured typically places a high value on the subject of the loss, while the insurance company places a lower value. A third party […]
How will recent laws affect HOAs? (Nevada)
This is the first of a four-part series of articles pertaining to the new Nevada Revised Statutes homeowner association laws that were passed by the legislature in July. Read more…..
Justice Department Reaches Settlement with HOA and Management Company in Fair Housing Lawsuit Involving Occupancy Limits
The Justice Department announced today that the Townhomes of Kings Lake HOA Inc. (HOA) and Vanguard Management Group Inc. have agreed to pay $150,000 to settle a lawsuit alleging violations of the Fair Housing Act (FHA). The lawsuit alleged that the HOA adopted and both defendants enforced occupancy limits that discriminated against families with children […]
Do New Laws Provide Unintended Consequences?
The recent session of the Florida legislature produced a series of new laws affecting community associations in Florida. However, often times the creation of new laws have unintended consequences that could not be foreseen. Read more….
Essential Documents in a Collection Trial
Has your association been involved in a collection matter that went to trial? Very few of our collection cases make it to trial, but when they do, it can be unnerving for board members and managers because it may be unfamiliar territory. This article will address the documents that are essential in a collection trial. […]
Discovery – It’s Not Just a Channel
Although Discovery is a very interesting cable channel, it is also a broad all-encompassing term to describe the fact-finding process in a lawsuit. Lawyers are literally discovering facts, evidence, witnesses, and case theories utilizing a variety of discovery tools. Without the aid of discovery tools it would be nearly impossible for lawyers to litigate civil […]
Watch Your Language: Carefully Drafting Contracts Protects Associations
The vast majority of both one-time projects and long-term service contracts involving vendors and service providers and their condominium or HOA clients go smoothly and either conclude or continue without incident. However, a small percentage of jobs do jump the tracks in one way or another, and when that happens, things can get complicated. Read […]
Canada: Service Animals In No-Pet Condos
Pets in condominiums is a very controversial topic. Some condominiums prohibit pets and other condominiums allow them. Prudent pet owners should be checking the condominium’s documents before buying a condominium to ensure that pets are permitted. Read More…..
Changing rights and obligations for construction defects in community associations in New Jersey
The rights and obligations of both developers and community associations have been expanded by the reported decision of the Appellate Division of the Superior Court of New Jersey in Belmont Condominium Association, Inc. v. Geibel, et al., which was decided on July 9, 2013. Read More……
You May Have Recourse When a Court Denies Your Board Attorneys’ Fees
Collections have become an area of increasing concern for condominium associations, as some unit owners struggle to pay their common charges on time and in full. As unit owners’ debt continues to rise, associations are left with few options to collect: a lien on the unit and a lawsuit against the individual unit owner. Read […]
A second-hand lesson in dealing with a smoking neighbor
Second-hand tobacco smoke is not in and of itself a nuisance. That is now the law in Maryland based on a case just handed down by the Maryland Court of Special Appeals. Read More……
Banning Lawns
Recognizing their role in sustainability efforts, many local governments are enacting climate change plans, mandatory green building ordinances, and sustainable procurement policies. But thus far, local governments have largely ignored one of the most pervasive threats to sustainability — lawns. This Article examines the trend toward sustainability mandates by considering the implications of a ban […]
Davis-Stirling: Foreclosure Notice Requirements are Strictly Construed
The Sixth Appellate District holds that the pre-foreclosure notice requirements of the Davis-Stirling Common Interest Development Act must be strictly construed to create a valid lien. Only valid liens may be recorded and subsequently foreclosed by the association. The case is Diamond v. Superior Court (Casa Del Valle Homeowners Association). The notice and procedural requirements […]
Florida Supreme Court: Law protecting builder went too far
The Supreme Court says Gov. Rick Scott and the Legislature went too far when it tried to settle a legal dispute on behalf of a developer being sued by a homeowners association. The ruling Thursday said a bill Scott signed into law last year can’t be retroactively applied to the dispute between Lakeview Reserve Homeowners Association […]
Appeals Court Ensures Equal Access During Elections
A California appellate court recently overruled a trial court decision that allowed a homeowners association board to advocate a point of view in an election to amend the association’s governing documents. Wittenberg v. Beachwalk Homeowners Association, which the court certified for publication on June 26, 2013, addressed whether the Davis-Stirling Act provisions that expressly apply […]
Two New Laws Affect Washington Community Associations
Almost every session of the Washington Legislature produces new laws pertaining to Washington condominium and homeowners associations. This legislative session resulted in the passage of two such laws – one governing speed limit enforcement and one governing meeting notices. Read More……
California Community Associations May be Required to Provide Owners’ Email Addresses
The Greater Los Angeles Chapter of Community Associations Institute has published its May/June issue of Focus Magazine, which features an article by David Swedelson, Esq. describing case law which affects California community associations’ disclosure responsibilities. As David describes in the article, associations may be obligated to provide owners’ email addresses to an owner upon request. […]
Accessibility (Design and Construction) Requirements for Covered Multifamily Dwellings Under the Fair Housing Act
The Department of Justice and the Department of Housing and Urban Development (“HUD”) are jointly responsible for enforcing the federal Fair Housing Act (the “Act”), which prohibits discrimination in housing on the basis of race, color, religion, sex, national origin, familial status, and disability. One of the types of disability discrimination prohibited by the Act is the failure to design […]
Appellate Court Reverses Foreclosure Judgment for Lack of Proper Notice to Unit Owners by Association
A decision earlier this month by the Third District Court of Appeal serves as a good lesson to community associations and their attorneys about the importance of working closely with their process servers to ensure that all of the statutory requirements for service or “constructive service” on unit owners in foreclosure actions are met. Read […]
Homeowner Has No Right to Lawyer at Association Meeting—CA Court of Appeal
A property owner’s right to attend a meeting of a homeowner’s association does not necessarily include the right to send a lawyer to represent the owner at the meeting, the Fourth District Court of Appeal has ruled. Div. One yesterday certified for publication its May 22 opinion, upholding a San Diego Superior Court judge’s order […]
California Court Holds That Broker’s Duties to Its Clients Did Not Extend to Loss Payee Investor
In Travelers Property Casualty Company v. Superior Court, 215 Cal.App.4th 561 (2013), the California Court of Appeal held that an investor who obtained ownership of a condominium development and sustained a loss that was not covered by the insurance policy purchased by the original developer had no remedy at law against the developer’s insurance broker […]
Vermont Human Rights Commission
The Vermont Human Rights Commission (VHRC) investigates allegations of housing discrimination in the state. It also investigates allegations of housing discrimination that come from the US Department of Housing and Urban Development (HUD). Condominiums, their Associations and Boards are subject to many of the state and federal fair housing laws. This past year the VHRC […]
General Assembly Passes Three Important Condo Bills In Connecticut
The Legislature passed three condominium-related bills during its 2013 Regular Session that ended at midnight on June 5th (PA 13-156, sHB 6662; HB 6477; and HB 6513) Read More……
Fear the Next Hurricane More Than Florida Supreme Court’s Ruling on Tiara
The Florida Supreme Court’s ruling on a beachfront condominium association’s lawsuit against its insurance agency generated the kind of initial reaction among insurers matched only when a weather announcer says that Florida is within the cone of probability. Read More……
Can a Condominium Declaration give a Lender in Foreclosure Exemption from Leasing Restrictions? 12 U.S.C.A § 1731b
Can a Condominium Declaration give a Lender in Foreclosure Exemption from Leasing Restrictions? Of course it can. But apparently it may not. Read More….
Court Invalidates Restriction on Dues Increases in Association’s Bylaws
In late 2011, the board of directors of the Sudden Valley Community Association approved a budget that increased the membership dues by thirty percent. A short time later, a newly elected board of directors rescinded that dues increase because a provision in the Association’s bylaws required dues increases to be approved by at least sixty […]
View Protection At California Condo and Homeowner Associations: It’s Complicated
Many owners buy units, lots or homes at community associations that have views and are later shocked to learn that the view they cherish, the view that caused them to buy that home, is not guaranteed. The question that has been posed is whether or not property owners are entitled to an unobstructed view. Read […]
Wheelchair Ramp Dispute Tossed: Not Ripe Until Denied
Dan and Debbie Scoggins wanted the best for their son Jacob. After their requests to their Homeowner’s Association for permission to build a wheelchair ramp at the front door of their home and for permission for Jacob to ride an ATV within the housing subdivision went unanswered, they filed suit under the Fair Housing Amendments […]
NV: Higher dues for homeowners at stake in HOA legislation
Anyone living in a homeowners’ association in Nevada might want to pay attention to the next few weeks at the Legislature. Read More……
Scoggins v. Lee’s Crossing Homeowners Assoc. (Virginia)
Plaintiffs and their son appealed the district court’s summary judgment holding that they were not entitled under the Fair Housing Amendments Act of 1988, 42 U.S.C. 3601-3631, to an accommodation and a modification that they requested from the HOA. Read More……
Condominium and homeowners bills enacted by the 2013 Florida legislature
Summary of legislation enacted adopted during the most recent session of the state legislature. Read More……
Condominium And Homeowners Bills Enacted By The 2013 Florida Legislature
This bill containing 74 pages is a “stripped down” version of a bill which passed the House last year but failed to obtain Senate approval. It contains a potpourri of changes to the Condominium Act, the Cooperative Act and the Homeowners’ Associations Act (HOA Act). Some of the changes to the Condominium Act and HOA […]
CO: Lawmakers pass HOA-related bills in final hours of session
Lawmakers also sent Hickenlooper House Bill 1277 which would require community association managers, management company executives and those who directly supervise managers to be licensed in Colorado. Read More……
The Privilege of Being a Board Member
Members of community associations and, in particular, the boards of directors, are being asked to make tough decisions regarding the use of community funds. Acting in the best interests of the association, many boards seek legal and other professional advice with regard to their duties to maintain and repair when funds are scarce. Read More……PDF