Yesterday, the Senate Regulated Industries Committee failed to approve SB 1122, Relating to Homeowners’ Associations. The bill would have required all homeowners’ associations to pay $2.00 per parcel for the purpose of authorizing the Department of Business and Professional Regulation to regulate the HOA. The bill would have also required mandatory binding arbitration of certain… Continue Reading
I am very pleased to tell you that yesterday, the Florida Supreme Court ruled in favor of the Lakeview Reserve Homeowners Association, Inc. (“Association”) in a major case involving common area defects and implied warranties for home buyers in communities governed by homeowners’ associations. CALL filed an Amicus Curiae brief (“friend of the court brief”)… Continue Reading
Question: Our condominium has “open parking.” The developer did not assign any spaces. We have many parking problems. Can the board of directors assign parking spots? L.S. (via e-mail) Answer: Probably. A competent attorney should review the governing documents to understand the nature of parking rights (if any) and the board’s rulemaking authority. If the set-up… Continue Reading
Florida developers are required to warrant that condominium buildings and improvements are fit for the intended purposes. HOA owners do not enjoy the same protection when it comes to HOA common areas.
A vote may take place on SB 1196 this week. CALL urged its members to notify senate members about opposition to the bill.
SB 1196 is anti-consumer legislation that leaves home buyers out in the cold, while developers are off the hook for shoddy or defective common area improvements.
Board Certified Construction Law Attorney Aaron Pruss reminds us that manufacturing and workmanship defects are prevalent in the building industry. Such defects not only represent a large cost to Community Associations and homeowners in terms of repairs, but they can also present serious health and safety issues and reduce the value of the property. He’s identified some building… Continue Reading
Last November I posted a blog ( Homeowners’ Associations: New Ruling Supports Compensation for Construction Defects) alerting readers to an important appellate decision holding that buyers and homeowners’ associations are entitled to a common law implied warranty of fitness and merchantability with respect to the roadways, drainage systems, retention ponds and underground pipes in a residential subdivision. Florida Condominium… Continue Reading
Big prestige brings big money – at least that what developers hoped for when marketing some fabulous projects (or projects that were supposed to be fabulous) in South Florida, Las Vegas, New York and other high profile places. Buyers rushed to put down deposits on condominiums in the Canyon Ranch building, the Jorge Perez/George Clooney building, the new Trump… Continue Reading
Court Holds that Homeowners’ Associations Can Recover Damages for Breach of Common Law Implied Warranties from the Builder or Developer. Florida’s Fifth District Court of Appeal recently issued a significant ruling finding home buyers and homeowners’ associations are entitled to a common law implied warranty of fitness and merchantability with respect to the roadways, drainage systems,… Continue Reading
Condominium conversions became tremendously popular (because they were profitable) during the housing boom. Many old tired apartment buildings were converted to condominium ownership, remodeled and then the units sold. In some cases the developer substantially remodeled the building and improvements by updating plumbing and electrical systems, replacing the roof, replacing or modernizing elevators and “gutting” the… Continue Reading
Developers Often Use Community Development Districts (CDD) to Fund Community Infrastructure and Amenities.
Last week the Community Affairs Committee advanced SB 880 with a significant amendment entitled the “Distressed Condominium Relief Act”.
Developer’s Challenge to Notice of Meeting not Proper Defense to Construction Defect Claim Lake Forest Master Community Association, Inc. v. Orlando Lake Forest Joint Venture, et al., Case No. 5D08-2096 Lake Forest Master Community Association, Inc. (“Lake Forest”) filed a lawsuit for construction defects against the Developer, after the membership voted in favor of doing… Continue Reading
Is the economy influencing the Courts? It seems that the trend has shifted from rulings in favor of condominium developers to rulings in favor of purchasers and more lawsuits on the behalf of buyers are being filed in Courts throughout Florida. Attorneys have come up with creative arguments against developers in an attempt to cancel contracts… Continue Reading