By Nancy T. Polomis, Esq.
As the real estate market softens, the downturn affects common interest communities in unique ways: association assessments may go unpaid by homeowners facing the loss of their home or by lenders who have completed the foreclosure of a home in a common interest community, and common interest community builders/developers may be feeling the pinch of financial obligations to their lenders that outpace home sales. What’s an association to do? [click to read the full article]
By David G. Hellmuth, Esq.
The Federal Trade Commission (“FTC”) enacted a federal regulation (the “Rule”) governing the proper storage and disposal of certain consumer information. The Rule was issued through the FTC’s jurisdiction under the Fair and Accurate Credit Transactions Act (“FACTA”). The law requires the destruction of consumer information maintained by any business. The term “business” is very broadly defined, and includes community associations and management companies. [click to read the full article]
By Jennifer C. Toohey, Esq.
In recent years, the use of electronic communication has increased substantially and has become a hot topic among association boards. Recently, the Minnesota Legislature amended the Minnesota Common Interest Ownership Act (“MCIOA”), Minnesota Statutes Chapter 515B. Effective August 1, 2010, Minnesota Statutes Section 515B.3-110(c) has been amended to authorize electronic voting, to the extent that it is not prohibited by the Association’s governing documents, and if authorized by the corporate statute under which the association was organized. [click to read the full article]
Updated by Nancy T. Polomis (July, 2011)
A community associations offer its homeowners a unique and desirable neighborhood in which to live. Homeowners choose a community association based on location, appearance, lifestyle, amenities and maintenance convenience. By the very nature of community association living, homeowners rely upon the community association’s rules and regulations to ensure these benefits continue in their community. Effective rules and regulations are therefore necessary to preserve the community association for the continuing benefit of its homeowners. [click to read the full article]
By Phaedra J. Howard, Esq.
As the numbers of foreclosures continue to rise, Associations are experiencing an increase in the number of bank-owned properties and the myriad of issues that result from this once unique situation. [click to read the full article]
By Phaedra J. Howard, Esq.
The Federal Fair Housing Act (“FHA”) and the Minnesota Human Rights Act (“MHRA”) prohibit discrimination against certain protected classes, including disabled individuals. Normally, a residential housing provider is required to make reasonable accommodations in its policies, procedures and practices that are necessary to afford a disabled individual with an equal opportunity to use and enjoy his or her dwelling. These acts have been held to apply to community associations. [click to read the full article]
By Chad A. Johnson, Esq.
The decks are falling apart, the siding needs paint, and the roof is due to be replaced. Does your community association have enough in its reserve fund to pay for these necessary projects? Unfortunately, many associations do not have adequate reserve funds for capital improvements. There are generally three primary solutions to this problem: increase annual assessments, impose a special assessment, and/or finance the project(s) with a bank loan. This article provides legal guidelines for addressing the problem of inadequate reserve funds. [click to read the full article]
By Nancy T. Polomis, Esq.
Board members enjoy a significant privilege: that of being in the “inner circle,” privy to the decision-making process and the long-term plans for the association. Yet, each member also has significant responsibilities – including a duty to be prepared, to act prudently, and to act in the best interest of the association. [click to read the full article]
By Phaedra J. Howard, Esq.
Although many experts have declared the recession to be over and the signs are pointing to an upturn in the economy, many community associations will continue to feel the effects of the recent economic crisis for some time. As with many homeowners who have been affected by the economy, associations are looking at ways to tighten their belts and to effectively deal with the budgeting issues they now face. When preparing an annual budget in tough times, there are a number of factors that should be considered. [click to read the full article]
By Nancy T. Polomis, Esq.
With the significant changes to the reserve and disclosure requirements under the Minnesota Common Interest Ownership Act (MCIOA), many associations’ Boards are spending a considerable amount of time evaluating the condition of their communities, the health of their reserve accounts, and how to balance the two. Long-term planning has taken on a new importance. [click to read the full article]
