| HB 0165, Engrossed 1 |
2003 |
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A bill to be entitled |
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An act relating to homeowners’ associations; amending s. |
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702.09, F.S.; redefining the term “mortgage” to include |
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liens created pursuant to a homeowners’ association as |
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defined in s. 712.01, F.S.; amending s. 718.111, F.S.; |
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revising language with respect to official records of the |
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condominium association authorizing the association to |
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provide certain information to prospective purchasers or |
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lienholders under certain circumstances; providing for |
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immunity from liability; authorizing fees; establishing |
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insurance requirements for condominium associations and |
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individual unit owners; amending s. 718.112, F.S.; |
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revising language with respect to condominium bylaws to |
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allow the use of limited proxies for votes taken to waive |
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certain financial reporting requirements; prohibiting the |
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requirement of retrofitting condominiums for enhanced fire |
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protection systems under certain circumstances; providing |
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for voting conditions; providing for notice; amending s. |
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718.303, F.S.; providing that certain actions with respect |
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to the obligation of condominium owners shall not be |
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deemed actions for specific performance; amending s. |
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719.104, F.S.; revising language with respect to official |
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records of the cooperative association authorizing the |
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association to provide certain information to prospective |
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purchasers or lienholders under certain circumstances; |
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providing for immunity from liability; authorizing fees; |
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amending s. 719.303, F.S.; providing that certain actions |
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with respect to the obligation of cooperative owners shall |
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not be deemed actions for specific performance; amending |
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s. 720.302, F.S.; providing that corporations not for |
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profit that operate residential homeowners’ associations |
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shall be governed by and subject to the provisions of ch. |
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617, F.S.; amending s. 719.1055, F.S.; prohibiting the |
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requirement of retrofitting cooperatives for enhanced fire |
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protection under certain circumstances; providing for |
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voting conditions; providing for notice; requiring certain |
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reports; providing an effective date. |
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Be It Enacted by the Legislature of the State of Florida: |
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Section 1. Section 702.09, Florida Statutes, is amended to |
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read: |
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702.09 Definitions.--For the purposes of ss. 702.07 and |
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702.08 the words "decree of foreclosure" shall include a |
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judgment or order rendered or passed in the foreclosure |
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proceedings in which the decree of foreclosure shall be |
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rescinded, vacated, and set aside; the word "mortgage" shall |
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mean any written instrument securing the payment of money or |
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advances and includes liens to secure payment of assessments |
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arising under chapters 718 and 719 and liens created pursuant to |
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the recorded covenants of a homeowners’ association as defined |
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in s. 712.01; the word "debt" shall include promissory notes, |
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bonds, and all other written obligations given for the payment |
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of money; the words "foreclosure proceedings" shall embrace |
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every action in the circuit or county courts of this state |
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wherein it is sought to foreclose a mortgage and sell the |
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property covered by the same; and the word "property" shall mean |
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and include both real and personal property. |
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Section 2. Subsections (11) and (12) of section 718.111, |
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Florida Statutes, are amended to read: |
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718.111 The association.-- |
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(11) INSURANCE.--In order to protect the safety, health, |
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and welfare of the citizens of the State of Florida and to |
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ensure consistency in the provision of insurance coverage to |
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condominiums and their unit owners, paragraphs (b) and (c) are |
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deemed to apply to every condominium in the state regardless of |
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the date of its declaration of condominium.
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(a) A unit-owner controlled association shall use its best |
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efforts to obtain and maintain adequate insurance to protect the |
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association, the association property, the common elements, and |
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the condominium property required to be insured by the |
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association pursuant to paragraph (b). If the association is |
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developer controlled, the association shall exercise due |
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diligence to obtain and maintain such insurance. Failure to |
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obtain and maintain adequate insurance during any period of |
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developer control shall constitute a breach of fiduciary |
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responsibility by the developer-appointed members of the board |
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of directors of the association, unless said members can show |
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that despite such failure, they have exercised due diligence. |
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The declaration of condominium as originally recorded, or |
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amended pursuant to the procedures provided therein, may require |
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that condominium property consisting of freestanding buildings, |
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where there is no more than one building in or on such unit, |
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need not be insured by the association if the declaration |
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requires the unit owner to obtain adequate insurance for the |
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condominium property.An association may also obtain and |
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maintain liability insurance for directors and officers, |
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insurance for the benefit of association employees, and flood |
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insurance for common elements, association property, and units. |
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Adequate insurance, regardless of any requirement in the |
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declaration of condominium for coverage by the association for |
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“full insurable value,” “replacement cost,” or the like, may |
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include reasonable deductibles, as determined by the board.An |
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association or group of associations may self-insure against |
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claims against the association, the association property, and |
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the condominium property required to be insured by an |
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association, upon compliance with ss. 624.460-624.488. A copy of |
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each policy of insurance in effect shall be made available for |
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inspection by unit owners at reasonable times. |
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(b) Every hazard insurance policy which is issued or |
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renewed on or after January 1, 2004, to protect thea |
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condominium building shall provide primary coverage for:
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1. Portions of the condominium property located outside |
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the units;
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2. The condominium property located inside the units as |
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such property was initially installed, or replacements thereof |
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of like kind and quality, and in accordance with the original |
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plans and specifications, or if the original plans and |
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specifications are not available, as they existed at the time |
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the unit was initially conveyed; and
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3. Portions of the condominium property for which the |
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declaration of condominium requires coverage by the association.
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Anything to the contrary notwithstanding, the terms “condominium |
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property,” “building,” “improvements,” “insurable improvements,” |
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“common elements,” “association property,” and any other term |
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found in the declaration of condominium which defines the scope |
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of property or casualty insurance which a condominium |
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association must obtain shall exclude all floor, wall, and |
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ceiling coverings,that the word "building" wherever used in the |
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policy include, but not necessarily be limited to, fixtures, |
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installations, or additions comprising that part of the building |
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within the unfinished interior surfaces of the perimeter walls, |
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floors, and ceilings of the individual units initially |
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installed, or replacements thereof of like kind or quality, in |
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accordance with the original plans and specifications, or as |
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they existed at the time the unit was initially conveyed if the |
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original plans and specifications are not available. However, |
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unless prior to October 1, 1986, the association is required by |
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the declaration to provide coverage therefor, the word |
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"building" does not include unit floor coverings, wall |
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coverings, or ceiling coverings, and, as to contracts entered |
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into after July 1, 1992, does not include the following |
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equipment if it is located within a unit and the unit owner is |
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required to repair or replace such equipment:electrical |
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fixtures, appliances, air conditioner or heating equipment, |
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water heaters, water filters,or built-in cabinets and |
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countertops and window treatments, including curtains, drapes, |
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blinds, hardware and similar window treatment components, or |
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replacements of any of the foregoing, which are located within |
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the boundaries of a unit and serve only one unit and all air |
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conditioning compressors that service only an individual unit, |
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whether or not located within the unit boundaries. The foregoing |
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is intended to establish the property or casualty insuring |
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responsibilities of the association and those of the individual |
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unit owner and do not serve to broaden or extend the perils of |
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coverage afforded by any insurance contract provided to the |
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individual unit owner. From and after January 1, 2004, the |
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association shall have the authority to amend the declaration of |
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condominium, without regard to any requirement for mortgagee |
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approval of amendments affecting insurance requirements, to |
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conform the declaration of condominium to the coverage |
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requirements of this section.With respect to the coverage |
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provided for by this paragraph, the unit owners shall be |
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considered additional insureds under the policy. |
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(c) Every hazard insurance policy issued or renewed on or |
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after January 1, 2004,to an individual unit owner shall provide |
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that the coverage afforded by such policy is excess over the |
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amount recoverable under any other policy covering the same |
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property. Every insurance policy issued to an individual unit |
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owner providing such coverage shall bewithout rights of |
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subrogation against the condominium association which operates |
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the condominium in which such unit owner’s unit is located. All |
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real or personal property located within the boundaries of the |
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unit owner’s unit which are excluded from the coverage to be |
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provided by the association as set forth in paragraph (b) are to |
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be insured by the individual unit owner. |
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(d) The association shall obtain and maintain adequate |
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insurance or fidelity bonding of all persons who control or |
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disburse funds of the association. The insurance policy or |
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fidelity bond must cover the maximum funds that will be in the |
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custody of the association or its management agent at any one |
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time. As used in this paragraph, the term "persons who control |
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or disburse funds of the association" includes, but is not |
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limited to, those individuals authorized to sign checks and the |
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president, secretary, and treasurer of the association. The |
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association shall bear the cost of bonding. |
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(12) OFFICIAL RECORDS.-- |
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(a) From the inception of the association, the association |
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shall maintain each of the following items, when applicable, |
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which shall constitute the official records of the association: |
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1. A copy of the plans, permits, warranties, and other |
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items provided by the developer pursuant to s. 718.301(4). |
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2. A photocopy of the recorded declaration of condominium |
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of each condominium operated by the association and of each |
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amendment to each declaration. |
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3. A photocopy of the recorded bylaws of the association |
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and of each amendment to the bylaws. |
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4. A certified copy of the articles of incorporation of |
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the association, or other documents creating the association, |
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and of each amendment thereto. |
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5. A copy of the current rules of the association. |
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6. A book or books which contain the minutes of all |
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meetings of the association, of the board of directors, and of |
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unit owners, which minutes shall be retained for a period of not |
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less than 7 years. |
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7. A current roster of all unit owners and their mailing |
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addresses, unit identifications, voting certifications, and, if |
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known, telephone numbers. |
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8. All current insurance policies of the association and |
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condominiums operated by the association. |
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9. A current copy of any management agreement, lease, or |
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other contract to which the association is a party or under |
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which the association or the unit owners have an obligation or |
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responsibility. |
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10. Bills of sale or transfer for all property owned by |
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the association. |
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11. Accounting records for the association and separate |
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accounting records for each condominium which the association |
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operates. All accounting records shall be maintained for a |
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period of not less than 7 years. The accounting records shall |
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include, but are not limited to: |
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a. Accurate, itemized, and detailed records of all |
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receipts and expenditures. |
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b. A current account and a monthly, bimonthly, or |
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quarterly statement of the account for each unit designating the |
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name of the unit owner, the due date and amount of each |
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assessment, the amount paid upon the account, and the balance |
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due. |
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c. All audits, reviews, accounting statements, and |
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financial reports of the association or condominium. |
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d. All contracts for work to be performed. Bids for work |
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to be performed shall also be considered official records and |
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shall be maintained for a period of 1 year. |
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12. Ballots, sign-in sheets, voting proxies, and all other |
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papers relating to voting by unit owners, which shall be |
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maintained for a period of 1 year from the date of the election, |
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vote, or meeting to which the document relates. |
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13. All rental records, when the association is acting as |
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agent for the rental of condominium units. |
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14. A copy of the current question and answer sheet as |
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described by s. 718.504. |
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15. All other records of the association not specifically |
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included in the foregoing which are related to the operation of |
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the association. |
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(b) The official records of the association shall be |
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maintained within the state. The records of the association |
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shall be made available to a unit owner within 5 working days |
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after receipt of written request by the board or its designee. |
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This paragraph may be complied with by having a copy of the |
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official records of the association available for inspection or |
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copying on the condominium property or association property. |
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(c) The official records of the association are open to |
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inspection by any association member or the authorized |
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representative of such member at all reasonable times. The right |
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to inspect the records includes the right to make or obtain |
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copies, at the reasonable expense, if any, of the association |
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member. The association may adopt reasonable rules regarding the |
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frequency, time, location, notice, and manner of record |
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inspections and copying. The failure of an association to |
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provide the records within 10 working days after receipt of a |
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written request shall create a rebuttable presumption that the |
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association willfully failed to comply with this paragraph. A |
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unit owner who is denied access to official records is entitled |
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to the actual damages or minimum damages for the association's |
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willful failure to comply with this paragraph. The minimum |
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damages shall be $50 per calendar day up to 10 days, the |
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calculation to begin on the 11th working day after receipt of |
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the written request. The failure to permit inspection of the |
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association records as provided herein entitles any person |
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prevailing in an enforcement action to recover reasonable |
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attorney's fees from the person in control of the records who, |
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directly or indirectly, knowingly denied access to the records |
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for inspection. The association shall maintain an adequate |
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number of copies of the declaration, articles of incorporation, |
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bylaws, and rules, and all amendments to each of the foregoing, |
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as well as the question and answer sheet provided for in s. |
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718.504 and year-end financial information required in this |
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section on the condominium property to ensure their availability |
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to unit owners and prospective purchasers, and may charge its |
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actual costs for preparing and furnishing these documents to |
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those requesting the same. Notwithstanding the provisions of |
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this paragraph, the following records shall not be accessible to |
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unit owners: |
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1. Any record protected by the lawyer-client privilege as |
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described in s. 90.502; and any record protected by the work- |
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product privilege, including any record prepared by an |
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association attorney or prepared at the attorney's express |
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direction; which reflects a mental impression, conclusion, |
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litigation strategy, or legal theory of the attorney or the |
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association, and which was prepared exclusively for civil or |
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criminal litigation or for adversarial administrative |
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proceedings, or which was prepared in anticipation of imminent |
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civil or criminal litigation or imminent adversarial |
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administrative proceedings until the conclusion of the |
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litigation or adversarial administrative proceedings. |
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2. Information obtained by an association in connection |
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with the approval of the lease, sale, or other transfer of a |
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unit. |
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3. Medical records of unit owners. |
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(d) The association shall prepare a question and answer |
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sheet as described in s. 718.504, and shall update it annually. |
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(e) The association or its authorized agent shall not be |
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required to provide a prospective purchaser or lienholder with |
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information about the condominium or the association other than |
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information or documents required by this chapter to be made |
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available or disclosed.
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1. If, for the convenience of the members, the association |
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elects to provide requested information not required by law to |
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be made available or disclosed to prospective purchasers or |
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lienholders, the association may do so, and the association and |
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its authorized agent shall be immune from suit by any person or |
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entity for information given in good faith if the association or |
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its authorized agent accompanies such information with a written |
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statement in substantially the following form:
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The information contained herein, to the extent not |
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required to be provided by the Florida Condominium |
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Act, is provided without warranty or certification of |
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any sort. Reliance on the accuracy of this |
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information, if provided in good faith, is at the sole |
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risk of the person or entity choosing to rely thereon. |
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You are encouraged to review original documentation |
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that may be available rather than relying on |
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summaries, compilations, statements of opinion, or |
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anecdotal information which may be the source of our |
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information. Florida law provides immunity from suit |
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for good faith information, even if it is later |
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determined to be inaccurate.
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2. The association or its authorized agent shall be |
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entitled to charge a reasonable fee to the prospective |
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purchaser, lienholder, or the current unit owner for its time in |
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providing good faith responses to requests for information by or |
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on behalf of a prospective purchaser or lienholder, other than |
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that required by law, provided that such fee shall not exceed |
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$150 plus the reasonable cost of photocopying and any attorney’s |
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fees incurred by the association.
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Section 3. Paragraphs (b) and (l) of subsection (2) of |
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section 718.112, Florida Statutes, are amended to read: |
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718.112 Bylaws.-- |
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(2) REQUIRED PROVISIONS.--The bylaws shall provide for the |
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following and, if they do not do so, shall be deemed to include |
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the following: |
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(b) Quorum; voting requirements; proxies.-- |
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1. Unless a lower number is provided in the bylaws, the |
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percentage of voting interests required to constitute a quorum |
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at a meeting of the members shall be a majority of the voting |
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interests. Unless otherwise provided in this chapter or in the |
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declaration, articles of incorporation, or bylaws, and except as |
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provided in subparagraph (d)3., decisions shall be made by |
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owners of a majority of the voting interests represented at a |
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meeting at which a quorum is present. |
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2. Except as specifically otherwise provided herein, after |
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January 1, 1992, unit owners may not vote by general proxy, but |
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may vote by limited proxies substantially conforming to a |
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limited proxy form adopted by the division. Limited proxies and |
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general proxies may be used to establish a quorum. Limited |
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proxies shall be used for votes taken to waive or reduce |
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reserves in accordance with subparagraph (f)2.; for votes taken |
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to waive the financial reporting requirements of s. 718.111(13); |
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for votes taken to amend the declaration pursuant to s. 718.110; |
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353
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for votes taken to amend the articles of incorporation or bylaws |
|
354
|
pursuant to this section; and for any other matter for which |
|
355
|
this chapter requires or permits a vote of the unit owners. |
|
356
|
Except as provided in paragraph (d), after January 1, 1992, no |
|
357
|
proxy, limited or general, shall be used in the election of |
|
358
|
board members. General proxies may be used for other matters for |
|
359
|
which limited proxies are not required, and may also be used in |
|
360
|
voting for nonsubstantive changes to items for which a limited |
|
361
|
proxy is required and given. Notwithstanding the provisions of |
|
362
|
this subparagraph, unit owners may vote in person at unit owner |
|
363
|
meetings. Nothing contained herein shall limit the use of |
|
364
|
general proxies or require the use of limited proxies for any |
|
365
|
agenda item or election at any meeting of a timeshare |
|
366
|
condominium association. |
|
367
|
3. Any proxy given shall be effective only for the |
|
368
|
specific meeting for which originally given and any lawfully |
|
369
|
adjourned meetings thereof. In no event shall any proxy be valid |
|
370
|
for a period longer than 90 days after the date of the first |
|
371
|
meeting for which it was given. Every proxy is revocable at any |
|
372
|
time at the pleasure of the unit owner executing it. |
|
373
|
4. A member of the board of administration or a committee |
|
374
|
may submit in writing his or her agreement or disagreement with |
|
375
|
any action taken at a meeting that the member did not attend. |
|
376
|
This agreement or disagreement may not be used as a vote for or |
|
377
|
against the action taken and may not be used for the purposes of |
|
378
|
creating a quorum. |
|
379
|
5. When any of the board or committee members meet by |
|
380
|
telephone conference, those board or committee members attending |
|
381
|
by telephone conference may be counted toward obtaining a quorum |
|
382
|
and may vote by telephone. A telephone speaker must be used so |
|
383
|
that the conversation of those board or committee members |
|
384
|
attending by telephone may be heard by the board or committee |
|
385
|
members attending in person as well as by any unit owners |
|
386
|
present at a meeting. |
|
387
|
(l) Certificate of compliance.--There shall be a provision |
|
388
|
that a certificate of compliance from a licensed electrical |
|
389
|
contractor or electrician may be accepted by the association's |
|
390
|
board as evidence of compliance of the condominium units to the |
|
391
|
applicable fire and life safety code. Notwithstanding the |
|
392
|
provisions of chapter 633 or of any other statute, ordinance, |
|
393
|
administrative rule, or regulation, or any interpretation of the |
|
394
|
foregoing, no association, condominium, or unit owner shall be |
|
395
|
obligated to retrofit the common elements or units of a |
|
396
|
residential condominium with a fire sprinkler system in a |
|
397
|
building that has been certified for occupancy by the applicable |
|
398
|
governmental entity, provided that the unit owners have voted to |
|
399
|
forego such retrofitting by the affirmative vote of two-thirds |
|
400
|
of all voting interests. Such vote may not be obtained by |
|
401
|
general proxy or limited proxy. Such vote may be taken at a duly |
|
402
|
noticed meeting or by written consent without a meeting, and |
|
403
|
shall be effective upon the recording of a duly executed |
|
404
|
certificate attesting to such vote in the public records for the |
|
405
|
county where the condominium is located. The association shall |
|
406
|
provide each unit owner written notice of the vote to forego |
|
407
|
retrofitting of the required fire sprinkler system, in at least |
|
408
|
16-point bold type, by certified mail within 20 days after the |
|
409
|
association’s vote. Such notice shall also be provided to new |
|
410
|
owners at closing or to renters upon signing a lease. Such vote |
|
411
|
shall be held biannually or, by majority vote of the board of |
|
412
|
directors of the condominium association, at the next annual |
|
413
|
meeting. As part of the information collected annually from |
|
414
|
condominiums by the division, it shall require condominium |
|
415
|
associations to report the membership vote and recording of a |
|
416
|
certificate under this subsection and, if retrofitting has been |
|
417
|
undertaken, the per-unit cost of such work. The division shall |
|
418
|
annually report to the Department of Insurance, State Fire |
|
419
|
Marshal’s Office, the number of condominiums that have elected |
|
420
|
to forego retrofitting.
|
|
421
|
Section 4. Subsection (1) of section 718.303, Florida |
|
422
|
Statutes, is amended to read: |
|
423
|
718.303 Obligations of owners; waiver; levy of fine |
|
424
|
against unit by association.-- |
|
425
|
(1) Each unit owner, each tenant and other invitee, and |
|
426
|
each association shall be governed by, and shall comply with the |
|
427
|
provisions of, this chapter, the declaration, the documents |
|
428
|
creating the association, and the association bylaws and the |
|
429
|
provisions thereof shall be deemed expressly incorporated into |
|
430
|
any lease of a unit. Actions for damages or for injunctive |
|
431
|
relief, or both, for failure to comply with these provisions may |
|
432
|
be brought by the association or by a unit owner against: |
|
433
|
(a) The association. |
|
434
|
(b) A unit owner. |
|
435
|
(c) Directors designated by the developer, for actions |
|
436
|
taken by them prior to the time control of the association is |
|
437
|
assumed by unit owners other than the developer. |
|
438
|
(d) Any director who willfully and knowingly fails to |
|
439
|
comply with these provisions. |
|
440
|
(e) Any tenant leasing a unit, and any other invitee |
|
441
|
occupying a unit. |
|
442
|
|
|
443
|
The prevailing party in any such action or in any action in |
|
444
|
which the purchaser claims a right of voidability based upon |
|
445
|
contractual provisions as required in s. 718.503(1)(a) is |
|
446
|
entitled to recover reasonable attorney's fees. A unit owner |
|
447
|
prevailing in an action between the association and the unit |
|
448
|
owner under this section, in addition to recovering his or her |
|
449
|
reasonable attorney's fees, may recover additional amounts as |
|
450
|
determined by the court to be necessary to reimburse the unit |
|
451
|
owner for his or her share of assessments levied by the |
|
452
|
association to fund its expenses of the litigation. This relief |
|
453
|
does not exclude other remedies provided by law. Actions arising |
|
454
|
under this subsection shall not be deemed to be actions for |
|
455
|
specific performance.
|
|
456
|
Section 5. Subsection (2) of section 719.104, Florida |
|
457
|
Statutes, is amended to read: |
|
458
|
719.104 Cooperatives; access to units; records; financial |
|
459
|
reports; assessments; purchase of leases.-- |
|
460
|
(2) OFFICIAL RECORDS.-- |
|
461
|
(a) From the inception of the association, the association |
|
462
|
shall maintain a copy of each of the following, where |
|
463
|
applicable, which shall constitute the official records of the |
|
464
|
association: |
|
465
|
1. The plans, permits, warranties, and other items |
|
466
|
provided by the developer pursuant to s. 719.301(4). |
|
467
|
2. A photocopy of the cooperative documents. |
|
468
|
3. A copy of the current rules of the association. |
|
469
|
4. A book or books containing the minutes of all meetings |
|
470
|
of the association, of the board of directors, and of the unit |
|
471
|
owners, which minutes shall be retained for a period of not less |
|
472
|
than 7 years. |
|
473
|
5. A current roster of all unit owners and their mailing |
|
474
|
addresses, unit identifications, voting certifications, and, if |
|
475
|
known, telephone numbers. |
|
476
|
6. All current insurance policies of the association. |
|
477
|
7. A current copy of any management agreement, lease, or |
|
478
|
other contract to which the association is a party or under |
|
479
|
which the association or the unit owners have an obligation or |
|
480
|
responsibility. |
|
481
|
8. Bills of sale or transfer for all property owned by the |
|
482
|
association. |
|
483
|
9. Accounting records for the association and separate |
|
484
|
accounting records for each unit it operates, according to good |
|
485
|
accounting practices. All accounting records shall be maintained |
|
486
|
for a period of not less than 7 years. The accounting records |
|
487
|
shall include, but not be limited to: |
|
488
|
a. Accurate, itemized, and detailed records of all |
|
489
|
receipts and expenditures. |
|
490
|
b. A current account and a monthly, bimonthly, or |
|
491
|
quarterly statement of the account for each unit designating the |
|
492
|
name of the unit owner, the due date and amount of each |
|
493
|
assessment, the amount paid upon the account, and the balance |
|
494
|
due. |
|
495
|
c. All audits, reviews, accounting statements, and |
|
496
|
financial reports of the association. |
|
497
|
d. All contracts for work to be performed. Bids for work |
|
498
|
to be performed shall also be considered official records and |
|
499
|
shall be maintained for a period of 1 year. |
|
500
|
10. Ballots, sign-in sheets, voting proxies, and all other |
|
501
|
papers relating to voting by unit owners, which shall be |
|
502
|
maintained for a period of 1 year after the date of the |
|
503
|
election, vote, or meeting to which the document relates. |
|
504
|
11. All rental records where the association is acting as |
|
505
|
agent for the rental of units. |
|
506
|
12. A copy of the current question and answer sheet as |
|
507
|
described in s. 719.504. |
|
508
|
13. All other records of the association not specifically |
|
509
|
included in the foregoing which are related to the operation of |
|
510
|
the association. |
|
511
|
(b) The official records of the association shall be |
|
512
|
maintained within the state. The records of the association |
|
513
|
shall be made available to a unit owner within 5 working days |
|
514
|
after receipt of written request by the board or its designee. |
|
515
|
This paragraph may be complied with by having a copy of the |
|
516
|
official records available for inspection or copying on the |
|
517
|
cooperative property. |
|
518
|
(c) The official records of the association shall be open |
|
519
|
to inspection by any association member or the authorized |
|
520
|
representative of such member at all reasonable times. Failure |
|
521
|
to permit inspection of the association records as provided |
|
522
|
herein entitles any person prevailing in an enforcement action |
|
523
|
to recover reasonable attorney's fees from the person in control |
|
524
|
of the records who, directly or indirectly, knowingly denies |
|
525
|
access to the records for inspection. The right to inspect the |
|
526
|
records includes the right to make or obtain copies, at the |
|
527
|
reasonable expense, if any, of the association member. The |
|
528
|
association may adopt reasonable rules regarding the frequency, |
|
529
|
time, location, notice, and manner of record inspections and |
|
530
|
copying. The failure of an association to provide the records |
|
531
|
within 10 working days after receipt of a written request |
|
532
|
creates a rebuttable presumption that the association willfully |
|
533
|
failed to comply with this paragraph. A unit owner who is denied |
|
534
|
access to official records is entitled to the actual damages or |
|
535
|
minimum damages for the association's willful failure to comply |
|
536
|
with this paragraph. The minimum damages shall be $50 per |
|
537
|
calendar day up to 10 days, the calculation to begin on the 11th |
|
538
|
day after receipt of the written request. The association shall |
|
539
|
maintain an adequate number of copies of the declaration, |
|
540
|
articles of incorporation, bylaws, and rules, and all amendments |
|
541
|
to each of the foregoing, as well as the question and answer |
|
542
|
sheet provided for in s. 719.504, on the cooperative property to |
|
543
|
ensure their availability to unit owners and prospective |
|
544
|
purchasers, and may charge its actual costs for preparing and |
|
545
|
furnishing these documents to those requesting the same. |
|
546
|
Notwithstanding the provisions of this paragraph, the following |
|
547
|
records shall not be accessible to unit owners: |
|
548
|
1. A record that was prepared by an association attorney |
|
549
|
or prepared at the attorney's express direction; that reflects a |
|
550
|
mental impression, conclusion, litigation strategy, or legal |
|
551
|
theory of the attorney or the association; or that was prepared |
|
552
|
exclusively for civil or criminal litigation or for adversarial |
|
553
|
administrative proceedings or in anticipation of imminent civil |
|
554
|
or criminal litigation or imminent adversarial administrative |
|
555
|
proceedings, until the conclusion of the litigation or |
|
556
|
adversarial administrative proceedings. |
|
557
|
2. Information obtained by an association in connection |
|
558
|
with the approval of the lease, sale, or other transfer of a |
|
559
|
unit. |
|
560
|
3. Medical records of unit owners. |
|
561
|
(d) The association or its authorized agent shall not be |
|
562
|
required to provide a prospective purchaser or lienholder with |
|
563
|
information about the cooperative or association other than the |
|
564
|
information or documents required by this chapter to be made |
|
565
|
available or disclosed.
|
|
566
|
1. If, for the convenience of the members, the association |
|
567
|
elects to provide requested information not required by law to |
|
568
|
be made available or disclosed to prospective purchasers or |
|
569
|
lienholders, the association may do so, and the association and |
|
570
|
its authorized agent shall be immune from suit by any person or |
|
571
|
entity for information given in good faith if the association or |
|
572
|
its authorized agent accompanies such information with a written |
|
573
|
statement in substantially the following form:
|
|
574
|
|
|
575
|
The information contained herein, to the extent not |
|
576
|
required to be provided by the Florida Cooperative |
|
577
|
Act, is provided without warranty or certification of |
|
578
|
any sort. Reliance on the accuracy of this |
|
579
|
information, if provided in good faith, is at the sole |
|
580
|
risk of the person or entity choosing to rely thereon. |
|
581
|
You are encouraged to review original documentation |
|
582
|
that may be available rather than relying on |
|
583
|
summaries, compilations, statements of opinion, or |
|
584
|
anecdotal information which may be the source of our |
|
585
|
information. Florida law provides immunity from suit |
|
586
|
for good faith information, even if it is later |
|
587
|
determined to be inaccurate.
|
|
588
|
|
|
589
|
2. The association or its authorized agent shall be |
|
590
|
entitled to charge a reasonable fee to the prospective |
|
591
|
purchaser, lienholder, or the current unit owner for its time in |
|
592
|
providing good faith responses to requests for information by or |
|
593
|
on behalf of a prospective purchaser or lienholder, other than |
|
594
|
that required by law, provided that such fee shall not exceed |
|
595
|
$150 plus the reasonable cost of photocopying and any attorney’s |
|
596
|
fees incurred by the association.
|
|
597
|
Section 6. Subsection (1) of section 719.303, Florida |
|
598
|
Statutes, is amended to read: |
|
599
|
719.303 Obligations of owners.-- |
|
600
|
(1) Each unit owner, each tenant and other invitee, and |
|
601
|
each association shall be governed by, and shall comply with the |
|
602
|
provisions of, this chapter, the cooperative documents, the |
|
603
|
documents creating the association, and the association bylaws, |
|
604
|
and the provisions thereof shall be deemed expressly |
|
605
|
incorporated into any lease of a unit. Actions for damages or |
|
606
|
for injunctive relief, or both, for failure to comply with these |
|
607
|
provisions may be brought by the association or by a unit owner |
|
608
|
against: |
|
609
|
(a) The association. |
|
610
|
(b) A unit owner. |
|
611
|
(c) Directors designated by the developer, for actions |
|
612
|
taken by them prior to the time control of the association is |
|
613
|
assumed by unit owners other than the developer. |
|
614
|
(d) Any director who willfully and knowingly fails to |
|
615
|
comply with these provisions. |
|
616
|
(e) Any tenant leasing a unit, and any other invitee |
|
617
|
occupying a unit. |
|
618
|
|
|
619
|
The prevailing party in any such action or in any action in |
|
620
|
which the purchaser claims a right of voidability based upon |
|
621
|
contractual provisions as required in s. 719.503(1)(a) is |
|
622
|
entitled to recover reasonable attorney's fees. A unit owner |
|
623
|
prevailing in an action between the association and the unit |
|
624
|
owner under this section, in addition to recovering his or her |
|
625
|
reasonable attorney's fees, may recover additional amounts as |
|
626
|
determined by the court to be necessary to reimburse the unit |
|
627
|
owner for his or her share of assessments levied by the |
|
628
|
association to fund its expenses of the litigation. This relief |
|
629
|
does not exclude other remedies provided by law. Actions arising |
|
630
|
under this subsection shall not be deemed to be actions for |
|
631
|
specific performance.
|
|
632
|
Section 7. Section 720.302, Florida Statutes, is amended |
|
633
|
to read: |
|
634
|
720.302 Purposes, scope, and application.-- |
|
635
|
(1) The purposes of ss. 720.301-720.312 are to give |
|
636
|
statutory recognition to corporations not for profitthat |
|
637
|
operate residential communities in this state, to provide |
|
638
|
procedures for operating homeowners' associations, and to |
|
639
|
protect the rights of association members without unduly |
|
640
|
impairing the ability of such associations to perform their |
|
641
|
functions. |
|
642
|
(2) The Legislature recognizes that it is not in the best |
|
643
|
interest of homeowners' associations or the individual |
|
644
|
association members thereof to create or impose a bureau or |
|
645
|
other agency of state government to regulate the affairs of |
|
646
|
homeowners' associations. Further, the Legislature recognizes |
|
647
|
that certain contract rights have been created for the benefit |
|
648
|
of homeowners' associations and members thereof before the |
|
649
|
effective date of this act and that ss. 720.301-720.312 are not |
|
650
|
intended to impair such contract rights, including, but not |
|
651
|
limited to, the rights of the developer to complete the |
|
652
|
community as initially contemplated. |
|
653
|
(3) Sections 720.301-720.312 do not apply to: |
|
654
|
(a) A community that is composed of property primarily |
|
655
|
intended for commercial, industrial, or other nonresidential |
|
656
|
use; or |
|
657
|
(b) The commercial or industrial parcels in a community |
|
658
|
that contains both residential parcels and parcels intended for |
|
659
|
commercial or industrial use. |
|
660
|
(4) Sections 720.301-720.312 do not apply to any |
|
661
|
association that is subject to regulation under chapter 718, |
|
662
|
chapter 719, or chapter 721; or to any nonmandatory association |
|
663
|
formed under chapter 723. |
|
664
|
(5) Unless expressly stated to the contrary, corporations |
|
665
|
not for profit that operate residential homeowners’ associations |
|
666
|
in this state shall be governed by and subject to the provisions |
|
667
|
of chapter 617. This provision is intended to clarify existing |
|
668
|
law.
|
|
669
|
Section 8. Subsection (5) is added to section 719.1055, |
|
670
|
Florida Statutes, to read: |
|
671
|
719.1055 Amendment of cooperative documents; alteration |
|
672
|
and acquisition of property.-- |
|
673
|
(5) Notwithstanding the provisions of chapter 633 or of |
|
674
|
any other statute, ordinance, administrative rule, or |
|
675
|
regulation, or any interpretation of the foregoing, no |
|
676
|
association, cooperative, or unit owner shall be obligated to |
|
677
|
retrofit the common areas or units of a residential cooperative |
|
678
|
with a fire sprinkler system or other enhanced fire protection |
|
679
|
system in a building that has been certified for occupancy by |
|
680
|
the applicable governmental entity, provided that the unit |
|
681
|
owners have voted to forego such retrofitting by the affirmative |
|
682
|
vote of two-thirds of all voting interests. Such vote may not be |
|
683
|
obtained by general proxy or limited proxy. Such vote may be |
|
684
|
taken at a duly noticed meeting or by written consent without a |
|
685
|
meeting, and shall be effective upon the recording of a duly |
|
686
|
executed certificate attesting to such vote in the public |
|
687
|
records for the county where the cooperative is located. The |
|
688
|
association shall provide each unit owner written notice of the |
|
689
|
vote to forego retrofitting of the required fire sprinkler |
|
690
|
system, in at least 16-point bold type, by certified mail within |
|
691
|
20 days after the association’s vote. Such notice shall also be |
|
692
|
provided to new owners at closing or to renters upon signing a |
|
693
|
lease. As part of the information collected from cooperatives by |
|
694
|
the division, it shall require cooperative associations to |
|
695
|
report the membership vote and recording of a certificate under |
|
696
|
this subsection and, if retrofitting has been undertaken, the |
|
697
|
per-unit cost of such work. The division shall annually report |
|
698
|
to the Department of Financial Services, Division of State Fire |
|
699
|
Marshal, the number of cooperatives that have elected to forego |
|
700
|
retrofitting. |
|
701
|
Section 9. This act shall take effect upon becoming a law. |
|
702
|
|