Uncategorized – Page 9 – The Condo and HOA Law Bulletin

Sexual Offenders and Predators in the Community

Community associations are sometimes faced with determining whether they can prohibit a sexual offender or predator from living in a community or from using common area facilities, such as a clubhouse, or whether they have a duty to notify members of the existence of a sexual offender or predator living in the community.

In determining whether a community association has any right to prohibit a sexual offender or predator from living in its community, its governing documents must be reviewed. Some associations’ governing documents may include restrictions on sexual offenders or predators living in the community, Continue reading “Sexual Offenders and Predators in the Community”

When do community associations need to vote to roll over surplus funds to the next fiscal year?

In order to avoid adverse tax consequences, community associations should consider conducting a vote to apply surplus funds in their operating budgets at the end of their fiscal year to the budgets for their next fiscal year.

The two common tax return filing options for associations are form 1120, referred to as the corporate income tax return, and form 1120-H, which is used by associations to take advantage of certain tax benefits that allow associations to exclude certain income (membership dues, fees, or assessments) from their gross, taxable income. Associations should consult with their accountants to determine which type of tax return they will file, as there are different qualifications and benefits for each. Continue reading “When do community associations need to vote to roll over surplus funds to the next fiscal year?”

Community Associations’ Recovery of Rent from Delinquent Tenants and Owners

In recent years, community associations across Florida have encountered difficulties in collecting assessments and other outstanding amounts from delinquent homeowners. Often, the delinquent units are leased to third-parties as a source of income for their owners despite the owners’ non-payment of amounts owed, which can be especially frustrating for a community association. Although tenants are not obligated to pay amounts owed by their landlords under most community associations’ governing documents, the Florida Legislature has provided both Chapter 720 Homeowners Associations and Chapter 718 Condominium Associations with multiple statutory avenues to intervene and recover rent directly from the tenants. Continue reading “Community Associations’ Recovery of Rent from Delinquent Tenants and Owners”

Is your association selectively enforcing its deed restrictions?

When a community association takes legal action to force an owner to comply with deed restrictions, the owner’s first defense is almost always “selective enforcement”. This defense essentially alleges that the association is not treating its members fairly and equally. “Why can I have only one dog” the owner may ask “when the president of the association has two?” If the association has chosen not to enforce a particular restriction against some owners, it may be estopped from enforcing the same provision against other owners who have made similar alterations or violated the deed restrictions in similar ways. Continue reading “Is your association selectively enforcing its deed restrictions?”

2015 Tampa Bay Condo & HOA Expo

Jonathan Ellis and Kathleen Reres attended the Fall 2015 Tampa Bay Condo & HOA Expo at the Tampa Convention Center on October 21, 2015. This Expo attracts industry leaders who share their specialized knowledge and experience and provide relevant, practical tools and information that attendees can take and put to use in their capacity as a board member or property manager.

2015 Tampa HOA Expo

Community Associations: Amendments to Chapters 718 & 720, Florida Statutes

On July 1, 2015, recent amendments to Chapters 718 and 720, Florida Statutes went into effect which will impact all condominium and homeowners’ associations in the state of Florida.

Chapter 720, Florida Statutes was officially renamed the “Homeowners’ Association Act,” and among the more significant changes, the procedure for fining unit owners for violations of the governing documents has been amended to clarify that fines must initially be levied by the board of directors, subject to an opportunity to be heard before an impartial fining committee whose role is limited to confirming or rejecting the fine. It remains unclear whether a fine must be reviewed by the fining committee where a unit owner fails to actually request a hearing. As a result, we continue to recommend that all fines be made subject to review by the fining committee. Continue reading “Community Associations: Amendments to Chapters 718 & 720, Florida Statutes”