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BIG NEWS ABOUT Glazer and Sachs & Condo Craze and HOAs BLOG – View our new Website!

BIG NEWS ABOUT Glazer and Sachs & Condo Craze and HOAs BLOG – View our new Website!

  • Posted: Mar 22, 2021
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BIG NEWS ABOUT MY BLOGS! by Eric Glazer of Glazer & Sachs

As you know, I have been writing a blog 50 times per year for the last 10 years. That’s over 500 columns that have spoken about virtually every aspect of community association living. Our readers love it. The only complaint about the blog was that it was not searchable by topic. It was difficult to find a specific blog about a specific topic. Not any more!  From now on, by going to either the website for Glazer and Sachs,

Or, by going to the website for Condo Craze and HOAs, you can click on our BLOG link –type a few key words in the search bar- and find a blog about a topic of your choice. You also still have the option to scroll through all our blogs in chronological order.

It’s just another way our firm tries to make the law accessible and enjoyable to everyone with an interest in community association law, whether you’re a Board member, owner, manager or service provider. We hope you enjoy reading them half as much as we enjoy writing them.

 

View our New Website

 

 

 

 

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Premier Fire Alarm and Integration Systems, We assist you in ensuring that your fire alarm system complies with national fire codes and Florida building codes.

Premier Fire Alarm and Integration Systems, We assist you in ensuring that your fire alarm system complies with national fire codes and Florida building codes.

  • Posted: Mar 22, 2021
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Premier Fire Alarms & Integration Systems, Installation Division Inc. is dedicated to providing the most reliable systems and service in the alarm industry. Helping protect the lives and property of our customers is a responsibility we embrace and never take lightly. In every endeavor, we strive to satisfy our customers by meeting and exceeding their expectations.

Fire Alarm Repair and Maintenance   *   Fire Alarm Service Agreement & Contracts   *   Fire Alarm Service Monitoring

Call now for free consultation

954-404-7137

 

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Take Action today have one of our Legal Members help with a comprehensive, custom-tailored for your community updates to all three documents—the Declaration, the Bylaws, and the Articles of Incorporation

Take Action today have one of our Legal Members help with a comprehensive, custom-tailored for your community updates to all three documents—the Declaration, the Bylaws, and the Articles of Incorporation

  • Posted: Mar 14, 2021
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Are your community Documents Updated?

Homeowners Associations and Condominium Associations have three governing documents: the Declaration, the Bylaws, and the Articles of Incorporation.
The Declaration is the “contract with the membership” – it contains things like pet restrictions, vehicle restrictions, guest rules, the ability to do background screening on incoming buyers and tenants, insurance obligations, and other things that affect every community member’s everyday life.
The Bylaws are your go-to for procedures such as who gets to vote? How many members comprise the board? When are your elections? Who can be on the board? Who can call meetings? When is the annual meeting?
And the Articles of Incorporation are your contract with the State of Florida that incorporate you as a corporation-not-for-profit.
All three documents reference one another, and it’s important to have congruency.

Take Action today have one of our Legal Members help with a comprehensive, custom-tailored for your community updates to all three documents—the Declaration, the Bylaws, and the Articles of Incorporation

Covid-19 has brought many changes; every community should have these added to their governing documents.

 

The Process of updating governing documents.

The board shoulders a bit more responsibility – giving us lots of information about your association—and then we collaborate together on the tougher provisions, ensuring you have the very best guidance and governing documents that are perfect for your community.

  • Search of original documents and amendments all the way through the mailing of proxies and finally recording of your new documents..
  • Our presence at town hall meetings, board meetings, or assistance with mailings.
  • There will be a lot of questions from owners, we can help answer these for your community.

Legal Members can provide not only guidance about your community standards, but also lots and lots of ideas from all of the other communities with whom we work! Some of the most popular updating provisions these days include: preventing AirBNB and sober homes, creating a non-smoking building (while grandfathering in current residences), eliminating investors, protecting the association from corporate takeover, and screening new residents and tenants for criminal histories and good credit references!

We are here to help protect and modernize your community!

 

How much time does it take to update documents?

This depends quite a bit on you! As soon as you retain our services with payment, we send you a packet of information you need to get started. We also are ready to schedule your telephone conference within the following fourteen days. That said, some associations need a bit of extra time—someone’s on vacation, or it’s hard to coordinate calendars with everyone. (And that is perfectly alright!)

You will also have an opportunity, after our phone conference, to review everything before we create your docs. Rewriting 60-100 page documents takes a bit of time! We ask for six-to-eight weeks to create your new documents, and then we send them to you.
Once you get them, you’ll start “getting the vote” in your community! Some Associations can do this within a few weeks—and for others, the process can be months! This timeline is what fits best for your community, and we are happy to provide support in any way needed.

Updating governing documents can be an exciting time for your community—there are so many incredible updates to protect and modernize your association!

 

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Community Update: February Wrap Up – Florida Condo & HOA Law Blog

Community Update: February Wrap Up – Florida Condo & HOA Law Blog

  • Posted: Mar 01, 2021
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Spring is just around the corner and sprucing up is often top of mind. Whether that means improving yards, documents, or relationships, this edition of Becker’s Community Update offers practical guidance on how to move forward. Check out the hot topics below, and don’t forget to connect with us on Facebook to get real time updates on these issues and more!

by Becker / Florida Condo & HOA Law Blog

While Mother Nature may be hard to harness, community associations are often tasked with doing just that to protect both residents and property. In Responsibility for Tree Branches and Roots Elizabeth Lanham-Patrie explores how the law decides who needs to tackle this chore.

In the second part of our two part series Amending Governing Documents, Jay Roberts outlines best practices for getting proposed changes approved by membership.

Maritrini Soto Garcia discusses presidential power in Does a Community Association Board President Have Executive Action Authority or Unilateral Powers?, and reminds everyone that the work of a community association is, ultimately, a group effort.

Assessments are not the most popular feature of a community association, but they are a vital resource in maintaining the amenities and ambiance to which the community has grown accustomed. In THIS CASE: Abbey Park Homeowners Association, Inc. v. Bowen, Rob Caves reviews how the Florida court decided the seminal case regarding an owner’s right to withhold payment of an assessment.

 

If you have new members on your board or a new manager for your community and want them to be part of our Community Update, have them subscribe here:

 


 

Amending Governing Documents Part II – How?

By: Jay Roberts, Esq.

In Part I of this two-part series, we discussed the importance of amending governing documents. Part II discusses tips on how a board of directors can put itself in the best position to have the proposed amendments approved by the membership.

START EARLY:

Work with the association’s counsel to craft the language appropriate for the amendments well before you plan to present it to the membership formally.

Click here to read more!

Does a Community Association Board President Have Executive Action Authority or Unilateral Powers?

By: Maritrini Soto Garcia, Esq.

Community associations are not administered by a single director or officer of the board, instead, the affairs of such associations are administered by its board. The articles of incorporation and/or bylaws of an association most often specify the required minimum number of board members. In the condominium context, the Florida Condominium Act provides that in the absence of such specification, the board of administration must be composed of five members (or three members in condominiums with five or fewer units).

Click here to read more!

Abbey Park Homeowners Association, Inc. v. Bowen,

508 So.2d 554 (Fla. 4th DCA 1987)

By: Rob Caves, Esq.

Assessments paid by owners are the lifeblood of any community association and efforts to collect assessments are the most consequential and common legal proceedings any association engages in. Typically, there are few valid defenses an owner can raise to challenge the collection of properly adopted assessments. One common defense that is attempted is that the association is failing to properly maintain the common elements of a condominium or the common areas of a homeowners’ association.

The seminal case on the issue of whether owners can withhold the payment of assessments due to the association’s failure to properly maintain the common elements is Abbey Park Homeowners Association, Inc. v. Bowen, 508 So.2d 554 (Fla. 4th DCA 1987). In the case, the appellate court held that the failure to maintain the common elements is not an affirmative defense to the association’s action to foreclose on the unit for the failure to pay assessments. Accordingly, a claim by an owner that the association is improperly maintaining the condominium property would not be a valid defense to the association’s action to collect unpaid assessments or enforce the association’s assessment lien against a unit.

However, there are subsequent cases that hold that while such claims are not affirmative defenses to a foreclosure action by an association, they could constitute counterclaims and entitle the owner to a “set-off” if they were to prove that the association failed to properly maintain the condominium property and such failure resulted in damage to the unit owner or their property. See Qualcom Corp. v. Global Commerce Center Association, Inc., 59 So. 3d 347 (Fla. 4th DCA 2011) (holding that the owner was able to argue at trial that its damages from a roof leak, if proven, could be a “set-off” against the outstanding assessments). However, the facts which would entitle an owner to a set-off would be very specific and would not apply to an owner’s general allegation that the common elements, or common areas, were not being maintained, as was alleged in Abbey Park.

Accordingly, pursuant to the legal principles outlined in the Abbey Park case, the fact that an owner alleges that the association is not properly maintaining the common property, or operating the association, would not be a defense against the association’s action to collect properly levied assessments.

 


 

CALLING ALL BOARD MEMBERS AND COMMUNITY MANAGERS

As a service to the community and industry, we are pleased to offer some of our most popular classes online! While our in-person classes remain suspended until further notice due to COVID-19, we are thrilled to bring you the following classes to participate in from the comfort of your own home.

HOA/Condo Board Member Certification

VIEW ALL CLASSES

 

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GOVERNOR DESANTIS EXTENDS STATE OF EMERGENCY FOR ANOTHER 60 DAYS ON FEBRUARY 26TH, 2021

GOVERNOR DESANTIS EXTENDS STATE OF EMERGENCY FOR ANOTHER 60 DAYS ON FEBRUARY 26TH, 2021

  • Posted: Mar 01, 2021
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As a result of this Order, Emergency Powers of the Boards of Directors for community associations remain in effect for another 60 days.

Read the Entire Emergency Order Here

 

 

 

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Broward County Condo & HOA Expo Tuesday, February 23, 2021!

Broward County Condo & HOA Expo Tuesday, February 23, 2021!

  • Posted: Feb 17, 2021
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Join Us Tuesday, February 23, 2021!

Property Management Expo & Seminars

Seminars: 9:00 am – 4:30 pm
Exhibits: 10:30 am – 3:00 pm

For one day only, The Signature Grand will be packed with the latest products and services as well as an array of industry experts. It’s an unparalleled opportunity to make valuable connections and speak directly with local and national experts about the topics that are relevant to you and your property.

Register Today

In the interest of public health and safety, and in accordance with state guidelines, the Broward County Condo & HOA Expo has reduced capacity in meeting rooms and public spaces.  At this time, it will be mandatory for all participants to wear a face mask or protective covering, and we ask that everyone observes social distancing in all public event spaces.

Get legal insights, financial advice, communication tips, proactive management solutions and much more from some of the region’s top professionals. This one-day event will also give you a sneak peek at the latest design trends gracing today’s most prestigious developments, plus innovations in building and remodeling and the newest energy efficiency options.

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Discriminatory Practices: Is Your Association Prepared? by KBR Legal

Discriminatory Practices: Is Your Association Prepared? by KBR Legal

  • Posted: Feb 12, 2021
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Discriminatory Practices: Is Your Association Prepared?

by Kaye Bender Rembaum

On September 26, 2016, Rembaum’s Association Round Up published an extremely important article regarding a community association’s potential liability when allegations by one member accuse another member of a discriminatory practice. (Click HERE to view the 2016 article). On September 13, 2016, HUD made clear that a housing provider is responsible for discriminatory practices that may take place. In its Rules and Regulations set out in Chapter 24, Part 100 of the Code of Federal Regulations, effective which further interprets the Federal Fair Housing Act, HUD explained that it believes that, “we are long past the time when racial harassment is a tolerable price for integrated housing; a housing provider is responsible for maintaining its properties free from all discrimination prohibited by the Act.” Those regulations became effective on October 14, 2016.

In this author’s opinion, HUD went way too far by mandating that housing providers act as the investigator, police, judge and jury in cases of alleged discrimination. After all, there are countless Fair Housing offices in each state where complaints can be filed and are actively investigated, often times with only a bare inference. Community association board members are volunteers with no required special training other than to be “certified” within 90 days of taking office, which certification can be met by signing a one-page form acknowledging duties or taking a two-hour class. Neither the individual board members nor the community as a whole should have to bear liability for its board of directors not taking action in a neighbor to neighbor dispute. Afterall, the court room is the proper setting where such matters should be resolved.

In the January 25, 2021, edition of the Palm Beach Post reporter Mike Diamond Special to Palm Beach Post USA TODAY NETWORK, authored an article titled “Judge Won’t Dismiss HOA Religious Bias Suit.” In the article the judge was quoted as follows: ““the La-Grassos [the plaintiff’s] have plausibly alleged a claim against the association for its failure to respond to or seek to control Ms. Tannenholz’s allegedly discriminatory conduct.” Amongst other things, the allegation is that Tannenholz’s told La-Grassos, “you do not belong in a community that is 80% Jewish and that La-Grassos should “move the F… out and go to a white supremist community.”

 

But for HUD’s position that a housing provider can have liability for discriminatory practices of the residents it is unlikely the association would be a defendant in this lawsuit. By forcing housing providers, such as Florida’s countless condominium, homeowners’ and cooperative associations, to interject themselves into what should be private disputes amongst neighbors, HUD is providing the deepest of pockets to the plaintiff’s attorneys. At the end of the day, it is just another reason to sue the innocent community association to create liability where there should not be any in the first place.

Practical Tip no. 1: In light of this lurking danger, be sure to check in with your association’s insurance agent to be sure the association has proper liability coverage for accusations of discrimination.

Practical Tip no. 2: Also, given that there can even be personal liability in such actions, board members would be wise to speak to their own personal insurance agents too… Afterall you never know when that umbrella policy may come in handy. Remember this, too: if one board member has knowledge about an event, then such knowledge can be imputed to all board members as if they are all similarly aware. In other words, when one board member knows, then the association itself is on notice.

Practical Tip no. 3: Consider formally adopting a “no discrimination” type of rule. It could be as simple as “discrimination of any kind will not be tolerated”.

Practical Tip no. 4: If your association is made aware of an alleged discriminatory practice, then a written record of such allegation and the association’s efforts to remedy the situation should be made.

Be sure to discuss each and every alleged discriminatory practice brought to the attention of the board and/or its manager with the association’s attorney to obtain the proper guidance needed.

 

 

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Hosting Association Meetings via Zoom by KBRLegal.com

Hosting Association Meetings via Zoom by KBRLegal.com

  • Posted: Feb 08, 2021
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Hosting Association Meetings via Zoom

by KBRLegal.com

 

What You Need to Know    

The most asked question of 2020 is this: Can our association host our board and annual meetings using Zoom or another similar virtual/electronic platform? There is no doubt that technology will always advance faster than legislation. In fact, advances in technology seem to take place in light speed whereM as advances in legislation seem to travel at the speed of your average turtle.

 

As to board meetings, §718.112(2)(b)5 of the Condominium Act provides, “A board or committee member’s participation in a meeting via telephone, real-time videoconferencing, or similar real-time electronic or video communication counts toward a quorum, and such member may vote as if physically present. A speaker must be used so that the conversation of such members may be heard by the board or committee members attending in person as well as by any unit owners present at a meeting.” Note that similar provisions are provided for cooperative associations in §719.106(1)(b)5 and in §617.0820 for homeowners’ associations.

 

As to virtual membership meetings, Chapter 617 Florida Statutes, applicable to all of Florida’s not-for-profit community associations, provides in §617.0721(3) that if authorized by the board of directors, and subject to such guidelines and procedures as the board of directors may adopt, members and proxy holders who are not physically present at a meeting may, by means of remote communication participate in the meeting and be deemed to be present in person and vote at the meeting if the corporation implements reasonable means to verify that each person deemed present and authorized to vote by means of remote communication is a member or proxy holder; and the corporation implements reasonable measures to provide such members or proxy holders with a reasonable opportunity to participate in the meeting and to vote on matters submitted to the members, including an opportunity to communicate and to read or hear the proceedings of the meeting substantially concurrent with the proceedings. If any member or proxy holder votes or takes other action by means of remote communication, a record of that member’s participation in the meeting must be maintained by the corporation in accordance with §617.1601. [emphasis added]

 

In addition, the Condominium, Homeowners Association, and Cooperative Acts (Chapters 718, 720, and 719, Florida Statutes, respectively), provide that members have a right to speak during board and membership meetings (more on that below). In fact, each of the Acts also provide that board members can even communicate, but not make decisions, via email. Rule 61B23.001(2) of the Florida Administrative Code provides, in relevant part, that “all unit owners have the right to attend and observe all meetings of the board…” With this limited guidance as our backdrop, let’s ask the question slightly differently.

 

Can our association host our board and annual meetings via Zoom or another electronic platform so long as all members have their opportunity to speak at the relevant times and all other statutory requirements are followed, such as a speakerphone in the designated meeting location for condominium association board meetings? The answer, simply put, is “yes,” you can.

 

It is extremely important when planning on hosting the meeting through a Zoom-type platform that you think ahead about the implications. The type of vote that will occur at any membership meeting must be carefully considered. For example, what if there is an election and members have not yet opted to vote electronically? Provisions must be made to gather ballots up to the closing of the balloting at the membership meeting and for write-in candidates, too, as applicable (in a homeowners association type setting). Instructions must also be clearly provided to the members letting them know how the votes will be counted and ensuring the membership that they can observe the entire tabulation of the voting process. For example,

 

Dear Members, In accordance with s. 720.316, Florida Statutes, in order to protect the health, safety, and welfare of the Association’s members, except for the members who volunteer to assist with the tally of the ballots (along with the man- agement team and the Association’s legal counsel), there will be NO in-person attendance at the annual meeting. Although there will be no in-person atten- dance, the annual meeting will be broadcast through Zoom (online video conf- erencing) for those who wish to remotely attend and observe the annual meeting, including the tallying of ballots. You may join the Zoom meeting at the appointed time by using the following link in your web browser: ___________ or through the Zoom ap- plication on your smart phone or tablet with Meet- ing ID: __________ and entering the following Password: ___________.

 

Since we are on the subject of board and membership meetings and we are in “election season,” as it is affectionally referred to, let’s take a quick look at meeting notice requirements, eligibility, and terms for board of directors, vacancies, election disputes, and a members’ right to speak.

 

BOARD MEETING NOTICE REQUIREMENTS

 

Pursuant to §718.112(2)(c)1, 719.106(1)(c), and 720.303(2)(c), Florida Statutes, notice of a meeting of the board must be posted in a conspicuous place on the property at least 48 continuous hours preceding the meeting, unless the governing documents of the association require additional notice. However, notice of meetings of the board at which regular or special assessments against unit owners or at which amendment to the rules regarding unit use will be considered must be mailed, delivered, or electronically transmitted to the owners and posted conspicuously on the property not less than 14 days before the meeting. Remember, too, electronic transmission is only permitted if the owner provides prior written consent.

 

As discussed in more detail below, for annual meetings of the membership where an election will be held, the notice requirements for condominium and cooperative associations differ from the requirements for homeowners associations. However, for other meetings of the members, unless a homeowners association’s bylaws provide differently, the notice requirements are the same. Pursuant to §718.112(2)(d)3 and 719.106(1)(d), Florida Statutes, notice of a meeting of the membership must be given to each owner and posted in a conspicuous place on the property at least 14 days before the meeting. For homeowners associations, pursuant to 720.306(5), Florida Statutes, notice of meetings of the members must be given 14 days prior to the meeting, unless the bylaws provide differently. For meetings of the members where an election will be held, pursuant to §718.112(2)(d)4 and 719.106(1)(d)1, Florida Statutes, the first notice of the annual meeting of the membership must be sent to the members at least 60 days prior to the meeting, and the second notice must be provided at least 14 days to the members and posted conspicuously on the property at least 14 days in advance before the meeting. For homeowners associations’ annual meetings, notice must be provided at least 14 days before the meeting unless the bylaws provide differently pursuant to §720.306(5), Florida Statutes.

 

ELIGIBILITY AND TERMS FOR BOARD OF DIRECTORS

 

The eligibility requirements for board members are set out in §718.112(2)(d)2, 719.106(1)(a), and 720.306(9)(b). Pursuant to the foregoing, a person who is delinquent in the payment of any fine, fee, or other monetary obligation to the association is not eligible to be a candidate for the board. Additionally, any person who has been convicted of a felony is not eligible to serve on the board unless the person’s civil rights have been restored for at least five years. With the passage of Amendment 4, voting rights were restored to people convicted of a felony. It is unclear what impact Amendment 4 will have on the restrictions to eligibility for board members.

 

Additionally, condominium associations should be aware that §718.112(2)(d)2 was amended to provide that a board member may not serve more than eight consecutive years unless approved by two-thirds of all votes cast in an election or if there are not enough eligible candidates to fill vacancies on the board. However, this provision applies prospectively, which means the clock did not start until the law went into effect on July 1, 2018. Additionally, this only prohibits eight consecutive years of service. If a board member has a break in service, then the clock would begin again.

 

For condominium and cooperative associations with 10 or more units, co-owners of units are not eligible to serve on a condominium board unless they own more than one unit or unless there are not enough eligible candidates. This is not applicable to homeowners associations.

 

Governing documents may provide that you must be an owner to serve on the board, but generally they cannot establish other eligibility requirements, such as residency requirements.

 

VACANCIES

 

In the event of a vacancy on the board, pursuant to §718.112(2)(d)9, 719.106(1)(d)6, and 720.306(9)(c), unless the bylaws provide otherwise, the vacancy may be filled by the affirmative vote of a majority of the remaining directors, even if the remaining directors constitute less than a quorum, or if there is only one director remaining. In the event there is only one director remaining on the board, that director can choose to appoint people to fill all of the vacancies.

 

ELECTION DISPUTES

 

Election disputes for condominium, cooperative, and homeowners associations are handled by the Florida Department of Business and Professional Regulation, Division of Florida Condominiums, Timeshares, and Mobile Homes (the “DBPR”) through mandatory arbitration in accordance with §718.1255(1), 719.1255, and 720.311(1), Florida Statutes. Pursuant to §718.112(2)(d)4.c, 719.106(1)(d)1.a, and 720.306(9)(a), any challenge to an election must be brought within 60 days after the election results are announced. Additionally, a board member cannot be subject to a recall when there are 60 or fewer days until a scheduled election, or when 60 or fewer days have not elapsed since the election of the board member sought to be recalled.

 

MEMBER PARTICIPATION

 

Members have a right to speak at meetings of the membership. Pursuant to §718.112(2)(c) and 719.106(1)(d)4, Florida Statutes, members of condominium and cooperative associations have the right to participate in meetings of the unit owners with reference to all designated agenda items. Pursuant to §720.306(6), members of a homeowners association have the right to speak with reference to all items opened for discussion and all items included on the agenda. In other words, in a homeowners association, members can speak on any matter that was opened for discussion, even if the matter was not listed on the agenda for the meeting. Additionally, §720.306(6), Florida Statutes, provides that a member must be allowed at least three minutes to speak on any item.

 

Members also have a right to speak at meetings of the board of directors. [Pursuant to §718.112(2) (d)7 and 719.106(1)(c), Florida Statutes, members of condominium and cooperative associations have a right to speak at board meetings with reference to all designated agenda items. Pursuant to §720.303(2)(b), members have a right to speak at a board meeting with reference to all designated items.]

 

In all instances condominium, cooperative, and homeowners association boards are authorized to adopt reasonable rules governing frequency, duration, and other manner of member comments for the board and membership meetings. To make the member comments more meaningful, consider permitting them after the board fully discusses each item, prior to voting, and prior to moving on to the next item.

 

It is recommended you consult with your association legal counsel on the adoption of reasonable rules to ensure your virtual/electronic meetings run smoothly while also ensuring that they are in compliance with the association’s governing documents, Florida Statutes, and Florida Administrative Code.

 

 

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SUPPOSE I TOLD YOU THAT ONE DAY YOU MAY NOT OWN YOUR CONDO OR CO-OP EVEN THOUGH YOU PAID IT OFF IN FULL.

SUPPOSE I TOLD YOU THAT ONE DAY YOU MAY NOT OWN YOUR CONDO OR CO-OP EVEN THOUGH YOU PAID IT OFF IN FULL.

  • Posted: Feb 01, 2021
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SUPPOSE I TOLD YOU THAT ONE DAY YOU MAY NOT OWN YOUR CONDO OR CO-OP EVEN THOUGH YOU PAID IT OFF IN FULL.

by Eric Glazer / Glazer & Sachs / Condo Craze & HOA’s

 

In about 25 years a crisis is coming to the condo and co-op world  that will be shocking to say the least.  Here is the problem.  Many of you think that by purchasing your condo or co-op, you can live there forever, as long as the mortgage, taxes and assessments are paid.  You may be wrong.  Very wrong.

Florida condo and co-op law basically say:  Leaseholds.—

(1) A condominium or co-op may be created on lands held under lease or may include recreational facilities or other common elements or commonly used facilities on a leasehold if, on the date the first unit is conveyed by the developer to a bona fide purchaser, the lease has an unexpired term of at least 50 years. 

 

That’s right your condo could be built on land that you don’t own.  Land that you are leasing and someone else owns and who is simply leasing the underlying land to the condo association for 99 years.  After the 99 years are over, the lease may require that all property built on the land (meaning all of the condo units) revert back to and becomes owned by the owner of the land.  In other words, after 99 years, you lose your home.

Many of these 99 year leases began in the 1960s.  So, in about 40 years, lots of buildings will be faced with this fiasco if they don’t do something about it before then.  As the date gets closer to the expiration of the 99 year lease term, the value of the unit keeps going down.  How can you sell a unit to someone if in 5 years it reverts back to the underlying land owner?  That unit is valueless.

It’s amazing how many people have no idea that this is going to happen.  How many people thought that once they paid off their mortgage, they were safe and secure.  They were wrong.  One day, the underlying land owner will be able to make you purchase the unit all over again if you want to stay.  Or, simply kick everyone out and build something new or sell to a new developer.

The law should never have allowed condos or co-ops to be built on leased land.  But, this is Florida – the land where developers call the shots.

If you live in a community with such a land lease, you want to see if you can buy it out and obtain a deed to the land.  That will avoid the potential disaster that awaits.  The Florida Legislature better start thinking about this coming crisis and not wait for it to creep up on everyone.

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Discriminatory Practices, Is Your Association Prepared?  by Rembaum’s Association Roundup

Discriminatory Practices, Is Your Association Prepared? by Rembaum’s Association Roundup

  • Posted: Jan 28, 2021
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Discriminatory Practices, Is Your Association Prepared?

by Rembaum’s Association Roundup  presented by: Kaye Bender Rembaum

On September 26, 2016, Rembaum’s Association Round Up published an extremely important article regarding a community association’s potential liability when allegations by one member accuse another member of a discriminatory practice. (Click HERE to view the 2016 article). On September 13, 2016, HUD made clear that a housing provider is responsible for discriminatory practices that may take place. In its Rules and Regulations set out in Chapter 24, Part 100 of the Code of Federal Regulations, effective which further interprets the Federal Fair Housing Act, HUD explained that it believes that, “we are long past the time when racial harassment is a tolerable price for integrated housing; a housing provider is responsible for maintaining its properties free from all discrimination prohibited by the Act.” Those regulations became effective on October 14, 2016.

In this author’s opinion, HUD went way too far by mandating that housing providers act as the investigator, police, judge and jury in cases of alleged discrimination. After all, there are countless Fair Housing offices in each state where complaints can be filed and are actively investigated, often times with only a bare inference. Community association board members are volunteers with no required special training other than to be “certified” within 90 days of taking office, which certification can be met by signing a one-page form acknowledging duties or taking a two-hour class. Neither the individual board members nor the community as a whole should have to bear liability for its board of directors not taking action in a neighbor to neighbor dispute. Afterall, the court room is the proper setting where such matters should be resolved.

In the January 25, 2021, edition of the Palm Beach Post reporter Mike Diamond Special to Palm Beach Post USA TODAY NETWORK, authored an article titled “Judge Won’t Dismiss HOA Religious Bias Suit.” In the article the judge was quoted as follows: ““the La-Grassos [the plaintiff’s] have plausibly alleged a claim against the association for its failure to respond to or seek to control Ms. Tannenholz’s allegedly discriminatory conduct.” Amongst other things, the allegation is that Tannenholz’s told La-Grassos, “you do not belong in a community that is 80% Jewish and that La-Grassos should “move the F… out and go to a white supremist community.”

But for HUD’s position that a housing provider can have liability for discriminatory practices of the residents it is unlikely the association would be a defendant in this lawsuit. By forcing housing providers, such as Florida’s countless condominium, homeowners’ and cooperative associations, to interject themselves into what should be private disputes amongst neighbors, HUD is providing the deepest of pockets to the plaintiff’s attorneys. At the end of the day, it is just another reason to sue the innocent community association to create liability where there should not be any in the first place.

 

Practical Tip no. 1: In light of this lurking danger, be sure to check in with your association’s insurance agent to be sure the association has proper liability coverage for accusations of discrimination.

Practical Tip no. 2: Also, given that there can even be personal liability in such actions, board members would be wise to speak to their own personal insurance agents too… Afterall you never know when that umbrella policy may come in handy. Remember this, too: if one board member has knowledge about an event, then such knowledge can be imputed to all board members as if they are all similarly aware. In other words, when one board member knows, then the association itself is on notice.

Practical Tip no. 3: Consider formally adopting a “no discrimination” type of rule. It could be as simple as “discrimination of any kind will not be tolerated”.

Practical Tip no. 4: If your association is made aware of an alleged discriminatory practice, then a written record of such allegation and the association’s efforts to remedy the situation should be made.

Be sure to discuss each and every alleged discriminatory practice brought to the attention of the board and/or its manager with the association’s attorney to obtain the proper guidance needed.

 


Jeffrey Rembaum, Esq.

Board Certified Specialist in Condominium and Planned Development Law and a community association lawyer with the law firm Kaye Bender Rembaum, in its Palm Beach Gardens office.

His law practice consists of representing condominium, homeowners, and cooperative associations, developers and unit owners throughout Florida.

He can be reached by email at JRembaum@KBRLegal.com or by calling 561-241-4462.

 

 

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