I have lost track of how many times I have been told by the president of an association, “We haven’t had to raise dues in five years.” It’s usually said with great pride. And then I burst her bubble. Managing expenses is of course a primary objective for association boards, but not raising dues (assessments) […]
Insurance Myths: Does “Full Replacement Cost” Insurance Requirement Really Mean an Association has to Cover Everything?
I recently had a conversation with an insurance agent who acknowledged he “didn’t deal much with homeowners associations.” His client lived in an association, and had suffered damage within his townhome that the agent thought should be covered under the association’s master insurance policy. He believed that, if a declaration states that the association’s master […]
It’s Budget Season! Revisiting a Board’s Fiduciary Duties to the Association
If the nights are getting chillier, the leaves are beginning to change color, and kids have gone back to school, what season is it? Fall? Nope. It’s budget season! Since most associations’ fiscal year coincides with the calendar year, many associations are in the throes of planning and budgeting for the upcoming year. Read the […]
Top 10 Do’s & Don’ts of Drafting Community Association Rules and Regulations
Writing Community Association rules and regulations can seem like a daunting task. Here is a list of 10 Do’s and Don’ts to help you when drafting your community association rules: Read the article………………………
Insurance Carriers Exclude Color Matching Requirements from Policies
The summer of 2017 saw a number of severe storms in the Midwest, with resulting insurance claims. As policyholders have made those claims, some have been surprised to see new provisions in their insurance contracts. Things are not always black and white in insurance policies, especially when it comes to the impact of a Minnesota […]
Insurance Carriers Exclude Color Matching Requirements from Policies
The summer of 2017 saw a number of severe storms in the Midwest, with resulting insurance claims. As policyholders have made those claims, some have been surprised to see new provisions in their insurance contracts. Things are not always black and white in insurance policies, especially when it comes to the impact of a Minnesota […]
How Condo Law Change Will Impact New Development (MN)
Newsflash Minnesotans: our state laws governing condominiums and townhomes changed at the conclusion of the 2017 legislative session. For a business litigator who emphasizes a significant portion of her practice representing real estate developers in complex business disputes, I’ve been particularly interested in the evolution of these changes. Why? Because condominium development has stalled in […]
HOA Super Lien — What is it and Why Should I Care?
In an HOA, owners who fail to pay assessments and other charges owed to the condo or homeowner’s association, will likely have a lien placed on the home by the association. A lien is a legal tool used to protect a creditor against default. When a home sells, the creditor with the lien must be […]
Minnesota Legislature Revises Minnesota Common Interest Ownership Act
In recent years, very few condominium projects have been developed in Minnesota despite strong demand from potential condominium homeowners. Many developers attribute their reluctance to build condominiums to litigation risk and difficulty obtaining insurance and financing for condominium developments at a reasonable cost. Read the article…………….
Guest column: Common interest communities in Minnesota
Today’s article addresses issues relating to Common Interest Communities (CICs) in Minnesota from the standpoint of a prospective buyer. It’s the first in a series of articles on CICs, homeowners’ associations, and other aspects of planned developments. Our law firm has expertise on laws governing CICs in Minnesota and assists many area developers, associations and […]
Minnesota amends its construction defect laws
Earlier this month we told you that (click here to see the story) about an effort to amend Minnesota’s construction-defect laws, which are among the most stringent in the nation, with a raft of amendments aimed at making it more difficult for a homeowner’s association to file a frivolous or unfounded claim. Those amendments, HF1538, […]
Legal Matters: Potential defense to construction defect claims
Anyone in the construction industry would likely acknowledge that litigation – and particularly construction defect litigation – is a part of doing business. But it is an expensive and time-consuming part of the business. The costs and likelihood of litigation increase when dealing with larger buildings – such as apartments, condos or townhome complexes – […]
The Minnesota Common Interest Ownership Act Is Construed Broadly (Again)
Prevailing parties in litigation generally do not recover their attorney’s fees unless a contract or statute expressly provides for it. However, prevailing parties in litigation typically do recover their costs and disbursements. Minnesota statutes provide that prevailing parties in district court actions “shall be allowed reasonable disbursements paid or incurred” and that “[u]pon a judgment […]
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 […]
From Good to Great: Principles for Community Association Success
Every community has its own history, personality, attributes and challenges, but all associations share common characteristics and core principles. Good associations preserve the character of their communities, protect property values and meet the established expectations of homeowners. Great associations also cultivate a true sense of community, promote active homeowner involvement and create a culture of […]
Running your association like a successful business
Whether you are a brand new board member serving for the first time or a seasoned veteran or property manager, you need to understand one very simple but vital concept about your community association – it is a business and needs to be run like one. Read more…..
Community associations – using tools of technology: a cautionary tale
It comes as no surprise that some tools of technology and communication have made our lives easier in many respects. However, the use of blogs, e-bulletin boards, group e-mail accounts, etc., by homeowners associations can also pose certain risks that may well outweigh the benefits of their use. Knowing some of those risks can help […]
Cat in condo? OK. Companion dog? No way
The age-old question of which is better, cats or dogs, has landed in federal court in Minneapolis. The unusual issue has provoked a big legal fight between a disabled Minneapolis woman and the board overseeing a condominium where she’s been a longtime resident. Read More……
HUD charges MN management co. with discriminating against families with children
The U.S. Department of Housing and Urban Development (HUD) announced today that it is charging a Minnetonka, MN, condominium association and its management company, Gassen Company, Inc., with violating the Fair Housing Act by discriminating against families with children under the age of 18. According to HUD’s charge, Greenbrier Village Condominium III Association allegedly maintained […]
So Now You’re On the Board
The first steps to superior board performance are clarifying your board’s job and then following through with appropriate plans, actions and evaluation of results. The checklists presented here are intended to assist you in those tasks. They cover a significant number of your responsibilities. The checklists will apply to virtually any association. To use them, […]