Subscribe by Email

Articles Posted in Condominium Association Law

Condominium associations and HOAs throughout South Florida as well as across the country are seeking effective responses to the problem of short-term rentals that are in violation of their rules and restrictions. These unauthorized rentals, which have become prevalent with the growth of Airbnb and other online home-sharing platforms, can create a revolving door for guests with none of the prior screening and background checks that are typically performed for new residents and tenants.

As many associations have already realized, enforcing rules and restrictions against short-term rentals can be very challenging. Savvy unit owners have been known to sneak their transient guests into properties by advising security that their visit is authorized.

As such, enhanced vigilance and guest-screening measures have become necessary, and many associations have developed and implemented new registration forms for use with guests and tenants along with written assurances and noncompensation statements indicating they are not paying for their stays.

sout-300x200That may not go far enough for some associations with owners who are highly determined to rent their units. For some, it has become necessary to retain a private investigator to gather and document incontrovertible proof that restricted rentals are taking place. Licensed private detectives can effectively investigate homeowners and tenants in violation of association bylaws and CC&Rs that prohibit turning units into short-term vacation rentals. Also, court actions may become necessary against some unit owners who flout the rules, and the evidence obtained by these investigators as well as their testimony can be very helpful in these proceedings.

Continue reading

susanodess-srhl-224x300An article authored by shareholder Susan C. Odess was featured as the “Board of Contributors” guest commentary column in today’s edition of the Daily Business Review, South Florida’s exclusive business daily and official court newspaper.  The article, which is titled “Florida Legislature Passes Assignment of Benefits Insurance Claim Reform,” discusses the ramifications of the new state law to reform the insurance industry practice known as assignment of benefits, or AOB.  Her article reads:

. . . The AOB process, which has been in place for decades, has become controversial in recent years because of an increase in residential water-damage claims, primarily for broken water pipes and leaks. Property owners sign over their claim benefits to contractors, which are then able to pursue payments directly from the insurers.

The proponents of AOBs say they help to ensure claims are properly paid, but the legislators supporting the bill have said it is aimed at curbing abuses of the AOB process. Insurance carriers have contended for many years that AOB fraud and the excessive litigation it generates have led to higher property-insurance rates.

dbr-logo-300x57The new law limits attorney fees in AOB lawsuits filed by contractors against insurers. The legal fees will be calculated using a set formula, but the caps would not apply to lawsuits filed by policyholders.

Continue reading

All too often, the other community association attorneys at our firm and I are asked for help on how to prevent unruly behavior from disrupting board and owner meetings. Since items addressed at these meetings generally have a significant impact on the welfare of an association and the financial responsibilities of its owners, conversations dealing with topics such as special assessments and annual elections can quickly become contentious. The following are helpful tips on how to try to keep your meetings on track and in order:

  1. Use Robert’s Rule of Order – This common form of parliamentary procedure for meeting protocol allows meeting facilitators to manage time effectively, all while ensuring that everyone stays on topic. Many people are already familiar with this method, making it easy for participants to follow and respect the meeting procedures that are in place.

meet-300x1662. Be specific about who can attend – The association should establish rules determining who can participate in advance of the meeting. Generally, owners, or owners and residents are the only people allowed to participate in such meetings. Counsel for an owner is likewise permitted to attend.

3. Make the purpose of the meeting clear – Prepare an agenda that outlines the specific items that will be discussed. Be sure to be transparent about the topics, providing participants with any supplemental documents they may need to make educated decisions.

Continue reading

susanodess-srhl-thumb-200x267-94402Stuart-Sobel-2013-200x300Firm partners Stuart Sobel and Susan C. Odess won a $3.67 million jury verdict in federal court in Miami for the St. Louis Condominium Association, which sued its insurer Rockhill Insurance Co. over a denied claim for extensive damage to the Brickell Key tower caused by Hurricane Irma.  The verdict was filed last Wednesday, June 5, and it is chronicled in an article in today’s edition of the Daily Business Review, South Florida’s exclusive business daily and official court newspaper.  The article reads:

. . . the judgment is good news for the association since it stood to get nothing from its insurer, said Stuart Sobel, who was part of the Siegfried Rivera team representing the association.

“I believe in juries, and I am pretty pleased with the results. In light of the alternative where the insurance company basically said, ‘We are not paying any money.’ They said we suffered no damage form Hurricane Irma,” Sobel said.

He said the hurricane churned in the condominium’s vicinity for 24 hours. The building sits on Biscayne Bay east of downtown Miami.
Sobel worked on the case with Siegfried Rivera’s Susan Odess . . .

Continue reading

Hurricane preparedness is a significant undertaking for every community association in Florida. Being well prepared — and well informed — can determine whether association boards and their managers will sink or swim in the aftermath of a storm. Here are some helpful tips to enable associations to stay ahead of the 2019 hurricane season, which officially began on June 1 and will end on November 30:

Maintain an up-to-date paper roster of the current residents, and store it at an accessible off-site location. Hurricane-2-300x169A separate list of residents who are remaining in the building should also be kept. Accounting for the whereabouts of all residents can be vital for emergency response teams who might have to provide medical assistance to any residents in need.

Keep important documents at a safe alternate location. This includes a copy of the association’s governing documents, a certified copy of the insurance policy, bank account information, service provider contracts, and contact information for all residents, staff and vendors of the association.

Continue reading

Home automation is a fast-growing segment of the tech industry, and the use of Internet-connected doorbell cameras has become particularly popular for those seeking an extra level of security at a reasonable price. These motion-activated cameras enable users to monitor everyone who passes by their front door, whether on a live or recorded video feed. While use of these devices may present less privacy issues for those residing in single-family homes, what about for those who reside within condominium buildings with shared hallways?

Proponents of doorbell cameras in condominium buildings may argue that the convenience and safety benefits they provide outweigh the privacy concerns and any issues of improper alterations to the common-element portions of the condominium building. dbelcam For example, a doorbell camera, which may also be capable of recording audio, may view and record within another dwelling that may be located across the hallway when its door is open.  The use of a doorbell camera in such a scenario may be considered an invasion of privacy.

Continue reading

HB 153 – Landlords and Tenants – § 83.51, Fla. Stat.:

  • Requiring landlords to provide their tenants with a physical copy of any restrictive covenants governing the premises and occupancy of the premises at the time the landlord and tenants execute a rental agreement.
  • Requiring landlords to provide their tenants with written notice by certified mail of any changes to the covenants or the enforcement of the covenants within 10 business days.
  • If passed, this law would become effective July 1, 2019.

HB 155 – Homeowners’ Association Recalls – § 720.303, Fla. Stat.:

  • Adding a qualification for recalls, whereby directors may be recalled and removed from office by a majority of the total voting interests who physically reside in the community. Previously, the requirement to physically reside in the community was not in place.
  • If an association’s declaration, articles of incorporation or bylaws specifically provide that members may also recall and remove directors by a vote taken at a meeting, such special meeting of the members may be called by 10 percent (10%) of the voting interests who physically reside in the community. Previously, the requirement to physically reside in the community was not in place.
  • If passed, this law would become effective July 1, 2019.

Continue reading

A recent report by Channel 7 News (WSVN-Fox) in South Florida shined a spotlight on a new trend that is beginning to cause noise disruptions at some of the area’s condominium communities. It is called pickleball, and the sport is becoming especially popular for 55-and-older retirement communities. While the decision of the association’s board to accommodate the sport seems innocent, it appears to have triggered some unintended consequences that other community associations should bear in mind.

First created in 1965, pickleball is a paddle sport for all ages and skill levels that combines many elements of tennis, badminton and ping-pong. It is played both as singles and doubles on a badminton-size court using a slightly modified tennis net, paddles and a plastic ball with holes.

pballThe station’s report, which states that the sport is becoming very popular, chronicles the issues that are arising from the noise that pickleball is creating at the Wynmoor in Coconut Creek retirement community in Broward County. Two of the community’s tennis courts were converted into eight pickleball courts, which allow for up to 32 people to play at the same time.

Linda Waldman, the owner of a unit near the courts, states: “It’s a very noisy game, unfortunately . . . there is a ‘pong’ not also from the racket, but also when it hits the ground. Ponging and screaming. It’s a very enthusiastic game. The people love it.”

Continue reading

A couple of years ago we saw the Florida state legislature add teeth to Florida’s condo and HOA laws governing theft, fraud, abuse and conflicts of interest. Recently, the Department of Business and Professional Regulation, the state agency that governs community associations, followed suit by implementing harsher civil disciplinary guidelines for condominium association infractions.

The new guidelines detail the civil penalties and disciplinary procedures for violations of the Condominium Act and the Florida Rules of Administrative Procedure involving accounting records, assessments, boards, budgets, common expenses, conflicts of interest, debit cards, elections, estoppel certificates, final orders, fiduciary duty, investigations, records requests, financial reporting, reserves, special assessments and websites.

dbprlogo-300x170For minor violations, the disciplinary guidelines call for the agency’s Division of Condominiums, Timeshares and Mobile Homes to issue the association with a written Notice of Noncompliance “due to the violation’s lower potential for public harm.” If the association fails to comply with the stipulations called for in the Notice, it could result in sanctions and enforcement with monetary penalties being imposed in amounts between $5 and $10 per unit for each violation. The maximum penalty for minor violations is $2,500, for a single minor violation.
Continue reading

susanodess-srhl-224x300LindseyTLehr-200x300An article authored by shareholders Lindsey Thurswell Lehr and Susan C. Odess was featured as the “My View” guest commentary column in the Business Monday section of today’s Miami Herald.  The article, which is titled “Lawsuits by Condo Associations Against Neighboring Developers, Builders Are New Norm,” focuses on the spate of recent lawsuits against South Florida condominium developers and general contractors alleging their construction work caused physical damage to neighboring condominium towers.  Their article reads:

. . . This new litigation trend appears to have especially taken hold in South Florida, where several prominent condominium developers and contractors have been sued by adjacent associations for damages emanating from their construction sites. The lawsuits raise claims for structural damage, fallen stucco, splattered paint, excessive dirt, broken glass/windows, and other damage resulting from the construction practices of neighboring developments.

The insurer for the 1060 Brickell Condominium Towers brought a lawsuit alleging construction debris from Panorama, 1010 Brickell and the Bond damaged the two 1060 Brickell buildings. The lawsuit claims that the construction activities at these properties damaged 1060 Brickell’s facade, balconies, railings, pool deck, roof, cooling tower and other components.

MHerald2015-300x72The entire development team behind the ultra-luxe Porsche Design Tower faced a similar lawsuit brought by the association for the adjacent Millennium Condominium. The association alleged that its building suffered millions of dollars in damage caused by the Porsche Tower’s construction next door, including extensive cracks to the lobby, parking garage and pool deck. Engineers concluded that the cracks were caused by excessive vibrations from the pile-driving equipment used for the neighboring tower’s foundation, and the suit also alleged concrete overspray splattered onto Millennium’s balconies, ruining the building’s paint job and related exterior components.

Continue reading