What is a construction defect? A construction defect occurs when something built by the developer was not built to the industry standard, such as walls that are missing vapor barriers. When is a defect the concern of individual unit owners as opposed to the association as a whole? Owners generally only have claims on damages …
What are reserves, and why do associations need to have them? In order to answer these questions, and provide other important details on this topic, we spoke with John P. Poehlmann, RS, a principal from the Milwaukee, Wisconsin office of Reserve Advisors, Inc., a company specializing in reserve studies, serving clients in all 50 states …
How are the elements of a community defined? How are the elements of a community defined? What establishes the components of the common areas versus homeowner-owned areas? Where is it written that certain elements are the responsibility of the homeowner and others the responsibility of the association? These issues and others are established in what’s …
Can associations place restrictions that would affect the sale of property in their communities? “Conceivably, every restriction, and any amendment, could impact the sale of properties or their resale value ,” said Vollmer. The argument is whether that effect is a positive or negative one. “Public policy favors these restrictions because, at their core, they …
Delinquent homeowner dues accounts can affect a community in a variety of negative ways. Obviously, the association needs homeowner dues to be paid, preferably on time, in order to operate. However there are many residual undesirable consequences of having too many delinquent accounts. A community with an abundance of homeowners in arrears on their assessments …
The Association’s Records Knowing which records should be kept, where to keep them and how to store them can help an association maintain access to important historical data about itself. Association records should contain information that the board can use as a reference for future projects, or possible evidence in a lawsuit or audit. Records …
Cultivating, nominating and electing board members is something that should always be on the minds of current board members Politics in any arena can be tricky, but in associations it can also sometimes be difficult to find people willing to serve. Many people feel unqualified or even afraid to volunteer due to fears of being …
Violations of the Fair Housing Act can result in severe penalties for associations. Being knowledgeable of how to govern your community responsibly in this regard is highly important. What is a common-sense approach to stay in compliance with the Fair Housing Act? “Treat everybody the same,” said Guerra. “Review all of your actions through a …
What is a transition? What is a transition? Guerra explained, “In Michigan, in the condominium sense again, the Condominium Act talks about the ‘transitional control date,’ and it is the date on which the management and the administration of the condominium is transferred from a board of directors controlled by the developer to a board …
What is a construction defect and what should an association do if they discover they have one? A construction defect is a condition existing due to an error made during construction. For an association to remedy the defects while still pursuing damages from the developer, Michigan attorney Stephen Guerra recommended proceeding with the repairs and …