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AHN Staff

LIVESTREAM: Community Association Insurance is Changing!

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Wed, Apr 27, 2022 10:20-11:20am

NO CHARGE – ONE CEU

Community Association Insurance is Changing!

We review insurance industry bulletins with major players in the industry! [Read more…] about LIVESTREAM: Community Association Insurance is Changing!

Should Your Association Sue for Construction Defects?

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By Sydney Shaw

Whether it’s a building full of leaky windows, a widespread mold problem or a constantly flooded parking lot, sometimes construction errors made by developers can result in issues for unit owners. A homeowner or condominium association will need to decide whether it might be worth pursuing a construction defect claim.

According to Elliotte Quinn, an attorney with The Steinberg Law Firm in Charleston, South Carolina, the first step in the process is awareness. A board must know an issue exists before it can act to have it repaired. [Read more…] about Should Your Association Sue for Construction Defects?

What is different between hold harmless and indemnification?

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In my opinion a hold harmless and indemnification are different and not one in the same.  However, they are mostly used together.  The hold harmless is a requirement to protect against an actual or potential loss.  It is statement that one party will not be held liable for the injuries or damages caused by the other party.  Whereas, the indemnification specifies the terms on the actual compensation for the loss.  The purpose is to make sure the association is compensated for ANY loss incurred that was not their fault.   I have seen contracts that only have Hold Harmless agreement and no indemnification language. [Read more…] about What is different between hold harmless and indemnification?

Documentary film about HOA Lawsuit

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There is a documentary on AppleTV, called “‘Twas the Fight Before Christmas”. It is about a lawsuit between an HOA and a new owner involving Christmas lights. This documentary is a must-see for board members. Unlike an article, you can see the emotional pain on the faces of the parties involved. It involves litigation, police, armed civilians, religion, Santa Claus, buses of visitors, outside groups, media and more. I hope you have access to the actual documentary as mere words cannot communicate the raw emotions involved. I won’t spoil the ending. You can find the AppleTV [Read more…] about Documentary film about HOA Lawsuit

May we (board) dictate what may or may not be asked at an open meeting? Maybe we state certain questions are “off limits” and may not be asked? May those that ask a question considered “off limits: not be allowed to ask additional questions for a set time frame determined by the board? Our logic this would help prevent confrontational situations for the betterment of the community.

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[Read more…] about May we (board) dictate what may or may not be asked at an open meeting? Maybe we state certain questions are “off limits” and may not be asked? May those that ask a question considered “off limits: not be allowed to ask additional questions for a set time frame determined by the board? Our logic this would help prevent confrontational situations for the betterment of the community.

May a board without owner approval enter into a agreement with an unrelated association business to provide a utility hookup in return for a payment to the association?

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An association may receive payments for the use, rental or operation of the common elements and this would include utilities that are not part of any unit. In addition, the Association may enter into contracts. Unless stated otherwise in the Declaration, these powers can be exercised without approval of the members. However, it is important to keep in mind that Board members owe a fiduciary duty to the association and must perform their duties in good faith in a manner they reasonably believe to be in the best interests of the association.

Eric J. Phillips, Esquire
Hladik, Onorato & Federman, LLP
298 Wissahickon Avenue
North Wales, PA 19454
Direct Dial: 267-662-9035
Fax: 215-855-9121
ephillips@hoflawgroup.com
www.hoflawgroup.com

The answer to this question depends on the rights of the board under applicable law and the powers granted to the board under their governing documents. Thus, I cannot provide a definitive answer with knowing the state in which their operate and review their documents and applicable law.

David Hellmuth
Hellmuth & Johnson, PLLC
8050 West 78th Street
Minneapolis, MN 55439
(952) 746-2107
dhellmuth@hjlawfirm.com
www.hjlawfirm.com

I am not sure I understand what is meant by “utility hookup”. The Board need not obtain owner approval for much of what it does as it is comprised of elected (and sometimes appointed) representatives who act in the best interests of all members. With that said, if the question is asking if the association (through the Board) can allow a business to use utilities provided and paid for by the association in exchange for a payment by the business, the answer is probably yes. But I am unsure why the association would want to enter into such an arrangement. That opens the door for any person or business to ask to use association-provided and paid utilities in exchange for payment therefor. It is not a recommended action.

Sara A. Austin
Austin Law Firm LLC
226 E. Market St.
York, PA 17403
717.846.2246 phone
717.846.2248 fax
saustin@austinlawllc.com
www.austinlawllc.com

How should an association handle reports of possible hoarding?

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Boards, depending upon state law, are generally permitted to access an owner’s unit in the event of an emergency, which would include, but not specifically be limited to, situations where damage to the common elements is imminent and life safety issues. So, if a violation report has been registered with the board of a life safety issue or of possible damage to the common elements, the board arguably would have the right to access the unit in question.

Entering into a party’s unit without express permission is always problematic, though; so, I would recommend that if the board is informed and believes that a violation has occurred that it should request in writing permission to enter. If entry is refused, unless the Board is informed and believes that a life safety issue exists which is imminent, I would recommend that the board institute a declaratory judgment action to request the court to declare that the association is entitled to entry, which the unit owner in question has denied.

Patrick O’Dea
Nelson Mullins Riley & Scarborough, LLP
BNC Bank Corporate Center, Suite 300
3751 Robert M. Grissom Parkway
Myrtle Beach, SC 29577
843.946.5631
patrick.odea@nelsonmullins.com
www.nelsonmullins.com