Become our Member : JOIN SFPMA TODAY   LogIn / Register: LOGIN/REGISTER

SFPMA Industry Articles | news, legal updates, events & education! 

Find Blog Articles for Florida’s Condo, HOA and the Management Industry. 

Leigh Katzman’s Law Firm,  providing Statewide Educational to Board Members and Community Association Managers (CAM’s) across the state of Florida

Leigh Katzman’s Law Firm,  providing Statewide Educational to Board Members and Community Association Managers (CAM’s) across the state of Florida

  • Posted: Feb 21, 2020
  • By:
  • Comments: Comments Off on Leigh Katzman’s Law Firm,  providing Statewide Educational to Board Members and Community Association Managers (CAM’s) across the state of Florida

Leigh Katzman’s Law Firm,  providing Statewide Educational to Board Members and Community Association Managers (CAM’s) across the state of Florida

Most of you reading this already know the names Bill and Susan Raphan and the mark they made on the Florida Condominium Ombudsman’s Office during their 7-year tenure.

For those of you who don’t know about this dynamic couple, here is their story. When Florida’s first Condominium Ombudsman, Virgil Rizzo, was appointed back in 2004, there was no money to staff the local South Florida Office. Bill and Susan were his first volunteers. They had been having problems in their own condominium and wanted to help others in similar situations. They worked for seven (7) months as volunteers, often returning calls from over a hundred people a day asking for help with their association-related issues, before the money was found in the State budget to finally pay them.

During their seven years with the Condominium Ombudsman’s Office they spoke with thousands of association members, directors, association managers, attorneys and legislators about the common and not-so-common issues that crop up when people live in close quarters and decisions are made by an elected body.

While some of the problems they confronted were not within their authority to address, others were successfully resolved as a result of their intervention. A patient set of ears, knowledge regarding the Statutes, Administrative Code and practices of the DBPR along with common sense and a dash of humor often helped put both Board Members and Owners with complaints on the right path. Was every problem solved? Absolutely not. Were many problems that could have resulted in time consuming and costly litigation successfully defused? Absolutely yes.

Bill and Susan had run a successful catering business for many years and, as a result, applied many of those same business principles to organizing the Ombudsman’s Office in an efficient manner especially given the shoestring budget under which they were forced to operate. They began an extensive education program at Broward and Palm Beach College as well as in Community Centers and Condominiums throughout the State. They facilitated the appointment of election monitors for approximately 90 condominium elections per year and educated almost 6,000 people in just their last year at the Condominium Ombudsman’s Office!

In 2011 they made the leap of faith and decided to join Leigh Katzman’s Law Firm as its Statewide Educational Facilitators. Today, the Raphans have been widely recognized for their role in providing Board Members and Community Association Managers (CAM’s) across the state of Florida with the highest-quality educational seminars for certification and continuing education credits. Bill and Susan were also featured in a front page article in the Wall Street Journal and have appeared on many TV and radio programs.

We are thrilled to have Bill and Susan as part of our team at Katzman Chandler and would urge you to experience one of their enjoyable and interactive educational classes for yourself.

For those of you wishing to contact Bill and Susan Raphan, you can reach them on their TOLL FREE HOTLINE @ 855-827-5542 or by email at WSRaphan@KatzmanChandler.com.

 

MEMBERS OF SFPMA: FIND COURSES FOR BOARD MEMBERS, MANAGEMENT COMPANIES ON OUR MONTHLY CALENDAR

NEW EVENTS ARE ADDED MARK YOUR CALENDARS FOR MARCH

 

 

Tags:
If Your Association Fails to Hold Board Elections at an Annual Meeting, Do You Still Have a Board?

If Your Association Fails to Hold Board Elections at an Annual Meeting, Do You Still Have a Board?

  • Posted: Nov 04, 2019
  • By:
  • Comments: Comments Off on If Your Association Fails to Hold Board Elections at an Annual Meeting, Do You Still Have a Board?

If Your Association Fails to Hold Board Elections at an Annual Meeting, Do You Still Have a Board? The Answer May Surprise You…

As Condominium and HOA attorneys, we often receive questions from our clients dealing with all the issues that can get in the way of conducting a successful annual meeting. Most often, it is the issue of not being able to achieve a quorum of owners in attendance—which stymies the Association’s ability to hold Board member elections, approve the budget, and take other important actions to further the HOA’s business for the coming year.  So what happens if an Association’s Bylaws calls for annual board elections, but the Association does not hold elections for a number of years?  Is there a Board? Does the Board have any authority? A recent case addressed these issues, and the court’s findings might surprise you.

Keep up to date with articles and information on SFPMA.COM

Facts

In a 2019 case, a Condominium Association sued an owner for violating the governing documents.  The owner claimed that the Association’s Board, who initiated the lawsuit against him, lacked the authority to sue (and lacked the authority to do anything for the Association) because the Association had not held board elections in recent history.  Instead, the same directors had been in place for many years, despite the mandate in the Bylaws that board elections should be held each year at the annual meeting. The Association had not held annual meetings, and as a result, no Board elections had taken place.

Court Rulings

The trial court agreed with the homeowner defendant that the Association Board did not have any authority to act on behalf of the Association because they did not follow the Bylaws and hold annual elections.  The Association appealed, and the Court of Appeals reversed the trial court’s decision, finding in favor of the Association, holding that the Board members did have authority because they were still “in power.”  Why?  The secret was held within the language of the Bylaws, which stated that Board members serve until the earlier of (1) the next annual meeting of the Association or (2) such time as the Board members are replaced.  As the Association never held an annual meeting, and the Board members were not replaced, the Board members still legally served as the Board.

Find Upcoming Events all over Florida on our Calendar

Lesson

Board members, beware—or at least, take care!  If your Association does not or cannot hold its annual meeting due to quorum problems (for example) it is likely that you will remain on the Board until your successor is elected.  Unless you have formally resigned your Board position as set forth in your Bylaws, you are still a director, with all of the duties, obligations, and authority that come along with your position.

Channel View East Condominium Association, Inc. v. Ferguson, 2019 WL 2865987 (Ct. App. Michigan).

By Lydia Chartre

 

 

Tags: , ,
Pros and Cons of Living in an HOA Community

Pros and Cons of Living in an HOA Community

Pros and Cons of Living in an HOA Community

Pros:

  • The homeowners association pays for common areas like swimming pools, spas, tennis courts, parks, private roads, sidewalks and clubhouses you are able to enjoy a pool without having to maintain or clean it, or enjoy a playground or garden without the hassle of maintenance.
  • Some HOA’s also offer services like lawn maintenance to keep the neighborhood looking good all the time. You don’t have to hire someone yourself and your property always looks pristine.
  • Homes within HOA communities typically maintain their values better than non HOA deed restricted communities. By regulating the appearance of common areas your curb appeal and home price tend to be higher.
  • Often, HOAs promote a strong sense of community. Friends can gather at the clubhouse or common areas, people get to know their neighbors, and there are usually social functions planned year round.
  • Issues with neighbors like unwanted cars parked in front of your house are handled by the association, taking the pressure (and responsibility) off of residents.

 

Cons:

  • The price of your perfectly manicured lawns could be losing the freedom to choose your holiday decorations or the color of your house. There are rules and restrictions and the HOA documents can dictate what you can and cannot do in common areas.
  • A homeowner may encounter restrictions if they want to rent out their property. The association may require potential renters to be screened and approved by the HOA board, how much you charge for rent could also be regulated along with the duration of the rental. Some HOA’s ban rentals altogether.
  • The more amenities that are offered, the more the monthly dues can be. Sometimes the extra expense of monthly dues may more than some homeowners can afford.
  • Some HOAs are poorly managed by board members who don’t have enough time to devote to the community. Others too might be managed by a third party company (property manager) which can feel like giving up control of your neighborhood.

 

Before purchasing a property within an HOA or condo community it is very important that you find out how the association is run, how much the monthly association fees are, what the fees cover and how much money is in the reserve fund to cover any large expenses such as replacing a clubhouse roof. Always get a copy of the rules and regulations before you purchase so that you are completely aware of what you can and cannot do within the community. For example, if you purchase within a condo/townhouse community where there are zero lot lines, more than likely you won’t be able to touch the landscaping outside your home. If you are an avid gardener then this is definitely something you will want to consider before purchasing.

One thing that is a must is:  Education! Managers and Board Members can sign up via their Email Addresses we have Articles written by members that are sent weekly to our industry.

SFPMA and its members provide the industry with information, Events, Services, Forms, Legal for Condo and HOA’s, Our members are the Trusted Service Companies, Businesses and Management Professionals that help Condo & HOA’s all over Florida.

 

Tags: , ,
A few tips and reminders with everyone, as associations plan their annual meetings

A few tips and reminders with everyone, as associations plan their annual meetings

As associations plan their annual meetings, we thought we would share a few tips and reminders with everyone.

Annual Meetings

RePublished with permission from Our Members:  http://royalemanagement.com/home/

Royale Management Services, Inc.
2319 N. Andrews Avenue, Fort Lauderdale FL 33311
Phone: (954) 563-1269 | (800) 382-1040 | Fax: (954) 563-2153 | Email: CAM@rmsaccounting.com

 

The annual meeting is a member meeting, hence every member can participate. Participation is by properly made motions, seconds, taking part in discussion of motions and through voting.

The first order of business is to appoint the chairperson to run the meeting.  The chairperson can be anyone that the members agree should chair the meeting.  In many associations the board president chairs the meeting; however this requires approval of the members. Some associations ask their manager or attorney to chair the meeting which is acceptable as long as this is approved by the membership.  In large associations having a professional chair the meeting can help to keep it on track and see that the required business gets done properly.

A motion can be made by any member of the association as to who shall chair the meeting.  This motion must be seconded and then voted on by the members present. If the motion is approved by a majority of the member’s present, the chairperson is elected for the meeting.

The Second order of business is to determine whether a quorum of the members is present in person or by proxy.  The quorum requirement is spelled out in the association documents or by state statute.  Without a quorum no business can take place at the meeting.  However, ballots must still be collected.

Continue reading →

Tags: , ,
Over the past several years, all of Florida’s community association statutes have been amended to require that board members be “certified.”

Over the past several years, all of Florida’s community association statutes have been amended to require that board members be “certified.”

Board Members Courses:

Newly elected or appointed board members must sign a form, that provides that the board member has read the association’s governing documents, and that such board member will work to uphold such documents to the best of his or her ability.

Further, the board member must agree that he or she will faithfully discharge his or her fiduciary duty to the association’s members.

In lieu of signing this written certification, a newly elected or appointed director may instead provide a certificate demonstrating that they have satisfactorily completed an approved educational course.    

 Find Upcoming Board Member Courses on our Calendar on SFPMA.COM

A prospective board member can attend and complete such an educational course up to one year in advance of taking a seat on the board.

In the event that a board member fails to either complete an educational course or sign the required form within ninety days of their election or appointment to the board, such board member is suspended from service on the board until they complete the requirement.

SFPMA.COM has a full list of Courses that are offered by our members. View our Calendar of Events and keep informed. Take advantage of these required courses.

Thank You SFPMA

Tags: , , ,
E-Mails and E-Mail Addresses

E-Mails and E-Mail Addresses

Who is entitled to the e-mail addresses of your association’s members? Are e-mails sent between board members part of an association’s official records? What about e-mails sent by a board member to the manager?

 

Only the e-mail addresses of unit owners who have either consented to receive notice by e-mail or have consented in writing to the disclosure of their e-mail addresses are subject to review during an official record inspection. Section 718.111(12), Florida Statutes, provides, with regard to unit owner e-mail addresses, that “[t]he association shall also maintain the electronic mailing addresses… of unit owners consenting to receive notice by electronic transmission. The electronic mailing addresses… are not accessible to unit owners if consent to receive notice by electronic transmission is not provided in accordance with [this subsection].” This topic was discussed in Cohen v. Harbour House (Bal Harbour) Condominium Association, Inc., Arb. Case No. 2012-02-3139 (Summary Final Order / Lang / June 29, 2012).

 

In the Cohen case, a unit owner requested a list of all of the e-mail addresses of the members, however did not receive such a list. The unit owner alleged that she was improperly denied the e-mail addresses. However, it was discovered that the association did not have consent from any members to use their e-mail for the purposes of receiving official notices nor did the association have written consent to disclose the protected information from any member. Therefore, the arbitrator held that “[b]ecause, under the statute, no unit owner has submitted his or her email address for notice requirements or consented in writing to disclosure of his or her email address, the [a]ssociation did not improperly deny access by [the unit owner] to its list of email addresses.”

 

In today’s instant world, e-mail allows us to express our thoughts at anytime, anywhere. It is so convenient that it is unavoidable for board members to use it to discuss association business. As the official records of condominium, homeowner and cooperative associations are subject to inspection with limited exception, the question often asked is whether e-mails, including e-mails between board members and between one or more board members and the association’s manager, constitute part of the association’s official records that are subject to inspection by the members.

 

Several categories of records, while still constituting a part of the official records, are not subject to a member’s inspection request. For example, attorney-client privileged correspondence, medical records, information obtained by an association in connection with the approval of the lease, sale or other transfer of a unit and social security numbers, just to name a few, are not subject to a member’s inspection request but still constitute a part of the association’s official records.

 

On March 6 2002, the then Chief Assistant General Counsel of the Department of Business and Professional Regulation (“DBPR”) issued an opinion which provided that “[c]ondominium owners do have the right to inspect e-mail correspondences between the board of directors and the property manager as long as the correspondence is related to the operation of the association and does not fall within the… statutorily protected exceptions… [The DBPR does not have] regulations expressly requiring archiving e-mails, but… if the e-mail correspondence relates to the operation of the association property, it is required to be maintained by the association, whether on paper or electronically, under chapter 718, Florida Statutes.”

 

In Humphrey v. Carriage Park Condominium Association, Inc., Arb. Case No. 2008-04-0230 (Final Order / Campbell / March 30, 2009), an arbitrator of the Division of Florida Condominiums, Timeshares, and Mobile Homes held that “…e-mails… existing… on the personal computers of individual directors… are not official records of the association… Even if directors communicate among themselves by e-mail strings or chains, about the operation of the association, the status of the electronic communication on their personal computer would not change. Similarly, an e-mail to an individual director or to all directors as a group, addressed only to their personal computers, is not written communication to the association.” The arbitrator reasoned that “this must be so because there is no obligation to turn on [the] personal computer with any regularity, or to open and read emails before deleting them.”

 

Simply stated, if one was to rely on the guidance cited herein, e-mails solely between board members, even a board majority, are not part of the official records, e-mails between the board and the manager are part of the official records and unit owner e-mail addresses are only subject to inspection where a unit owner has either consented to receive notice by e-mail or has consented in writing to the disclosure of his/her e-mail address. That having been said, it is in my opinion that e-mail communications that involve a board majority are still subject to the board meeting notice requirements already required by Chapter 718, Florida Statutes, more commonly known as the “Condominium Act.”

Tags: , ,
Where did the Board Members go?

Where did the Board Members go?

Truant Board members
By: Mitch Drimmer, CAM

With September upon us its back to school for millions of American children, and by law they are required to either attend school or prove that they are being properly home schooled. In a very similar parallel the law in Florida requires that board members of HOAs and Condos attest in writing that they have read the governing documents of their community associations or attend a two hour board certification class. Both students and board members must either prove that they have gone to school or done their reading. The parallel ends here because when it comes to students that are either home schooled or go to accredited schools the government has standards. When it comes to board members in Florida there are no standards, and most certainly two hours of board certification or merely reading governing documents without requiring comprehension is a requirement without any measure of competency.

 

Without exaggeration there are billions of dollars of real estate assets that are in the hands of boards of directors. People’s homes, investments, security and lives are put into the stewardship of volunteer boards. It’s a democratic process but it does not guarantee the ability of those who are elected to govern your community association, and that is where the trouble begins.
Many associations hire community association managers who are required to take at least 20 hours of continuing education classes every two years and although it is a system that is wanting it does require that managers have a modicum of knowledge. Some management companies also have excellent in house educational programs and that is also very helpful. Having trained professionals manage communities may gong a long way, but only if they are allowed to practice their craft.
All too often it is the case that boards of directors do not understand what is required of them, and more times than not community association managers are too timid to stand up to a board of directors for fear of being dismissed and losing their jobs when the boards are out of order and need proper direction. It will never come to pass that the attitudes of board members will change and they will forever misunderstand that their job is to set policy, assume fiduciary responsibility, and insure that the managers they hire are doing a proper job. It is not their place to manage and run their community association albeit it is their right. There will always be boards of directors who over reach and interfere with licensed managers or take associations “self-managed.” So how do we address this quandary?

 

Volunteer boards of directors must do more than just volunteer one hour a month to sit at a meeting, they should assume to take the same CEU courses that are offered to managers. It is very fortunate that in Florida these Community Association Management CEU courses are given often, in many locations, and often for no cost. There are also many good community association schools that provide educational opportunities and any association who budgets and spends money will see a great benefit in return. A month does not pass by when a trade event is not presented in any given area in Florida without a complete curriculum of courses being offered for managers that board members are welcome to attend. From September through December dozens of these courses are offered at no charge to managers and board members by various organizations, trade event providers, and industry specialists. Educational opportunities also abound throughout the year but the season is more towards the end of the year.
There are no truant officers for board members and if they want to govern their associations properly they must realize that two hours of a board certification class is not near what they need. Without this education they are going to put their associations in harm’s way and eventually create costs and problems that could have been avoided. Classes and seminars for board members can easily be found in your area with a simple search on your home computer. I urge board members to take the time to come to class and get the education that they need to govern their own associations better.

 

MITCHELL DRIMMER, VP, CAM
Tel: 866.736.3069 ex. 804
Fax: 866.774-2997
e-mail: mitch@snapcollections.com
Web Site www.snapcollections.com

Tags: ,