CS/HB 1195

1
A bill to be entitled
2An act relating to condominium, cooperative, and
3homeowners' associations; amending s. 633.0215, F.S.;
4exempting certain residential buildings from a requirement
5to install a manual fire alarm system; amending s.
6718.111, F.S.; revising provisions relating to the
7official records of condominium associations; providing
8for disclosure of certain employment agreements with and
9compensation paid to association employees; amending s.
10718.112, F.S.; revising provisions relating to bylaws;
11providing that board of administration meetings discussing
12personnel matters are not open to unit owners; revising
13requirements for electing the board of directors;
14providing a definition; providing for continued office and
15for filling vacancies under certain circumstances;
16specifying unit owner eligibility for board membership;
17requiring that certain educational curriculum be completed
18within a specified time before or after the election or
19appointment of a board director; providing application;
20amending s. 718.113, F.S.; authorizing the board of a
21condominium association to install impact glass or other
22code-compliant windows under certain circumstances;
23amending s. 718.114, F.S.; requiring the vote or written
24consent of a majority of the total voting interests before
25a condominium association may enter into certain
26agreements to acquire leaseholds, memberships, or other
27possessory or use interests; amending s. 718.116, F.S.;
28revising provisions relating to condominium assessments;
29requiring any rent payments received by an association
30from a tenant to be applied to the unit owner's oldest
31delinquent monetary obligation; conforming a cross-
32reference; amending s. 718.117, F.S.; providing procedures
33and requirements for termination of a condominium property
34that has been totally destroyed or demolished; providing
35procedures and requirements for partial termination of a
36condominium property; requiring that a lien against a
37condominium unit being terminated be transferred to the
38proceeds of sale for certain portions of that property;
39amending s. 718.303, F.S.; revising provisions relating to
40imposing remedies against a delinquent unit owner or a
41unit owner's tenant, guest, or invitee; providing for the
42suspension of certain rights of use; revising provisions
43relating to the suspension of a member's voting rights;
44requiring that the suspension of certain rights of use and
45voting rights be approved at a noticed board meeting;
46amending s. 718.703, F.S.; redefining the term "bulk
47assignee" and revising the definition of the term "bulk
48buyer" for purposes of the Distressed Condominium Relief
49Act; amending s. 718.704, F.S.; revising provisions
50relating to the assignment and assumption of developer
51rights by a bulk assignee; amending s. 718.705, F.S.;
52revising provisions relating to the transfer of control of
53a condominium board of administration to unit owners;
54amending s. 718.706, F.S.; revising provisions relating to
55the offering of units by a bulk assignee or bulk buyer;
56amending s. 718.707, F.S.; revising the time limitation
57for classification as a bulk assignee or bulk buyer;
58amending s. 719.108, F.S.; requiring any rent payments
59received by a cooperative association from a tenant to be
60applied to the unit owner's oldest delinquent monetary
61obligation; amending s. 719.303, F.S.; revising provisions
62relating to imposing remedies against a delinquent unit
63owner or a unit owner's tenant, guest, or invitee;
64providing for the suspension of certain rights of use and
65voting rights; requiring that the suspension of certain
66rights of use and voting rights be approved at a noticed
67board meeting; amending s. 720.301, F.S.; revising the
68definition of the term "declaration of covenants";
69amending s. 720.303, F.S.; revising provisions relating to
70records that are not accessible to members of a
71homeowners' association; providing for disclosure of
72employment agreements with and compensation paid to
73association employees; amending s. 720.305, F.S.; revising
74provisions relating to imposing remedies against a
75delinquent member of a homeowners' association or any
76member's tenant, guest, or invitee; providing for the
77suspension of certain rights of use; revising provisions
78relating to the suspension of a member's voting rights;
79requiring that the suspension of certain rights of use and
80voting rights be approved at a noticed board meeting;
81amending s. 720.306, F.S.; specifying additional
82requirements for candidates to be a member of the board of
83a homeowners' association; amending s. 720.3085, F.S.;
84requiring any rent payments received by an association
85from a tenant to be applied to the parcel owner's oldest
86delinquent monetary obligation; amending s. 720.309, F.S.;
87providing for the allocation of communications services by
88a homeowners' association; providing for the cancellation
89of communication contracts; providing that hearing-
90impaired or legally blind parcel owners and parcel owners
91receiving certain supplemental security income or food
92assistance may discontinue the service without incurring
93certain costs; providing that parcel residents may not be
94denied access to available franchised, licensed, or
95certificated cable or video service providers under
96certain circumstances; providing an effective date.
97
98Be It Enacted by the Legislature of the State of Florida:
99
100     Section 1.  Subsection (14) of section 633.0215, Florida
101Statutes, is amended to read:
102     633.0215  Florida Fire Prevention Code.-
103     (14)  A condominium, cooperative, or multifamily
104residential building that is less than four one or two stories
105in height and has an exterior corridor providing a means of
106egress is exempt from installing a manual fire alarm system as
107required in s. 9.6 of the most recent edition of the Life Safety
108Code adopted in the Florida Fire Prevention Code. This
109subsection is intended to clarify existing law.
110     Section 2.  Paragraphs (a) and (c) of subsection (12) of
111section 718.111, Florida Statutes, are amended to read:
112     718.111  The association.-
113     (12)  OFFICIAL RECORDS.-
114     (a)  From the inception of the association, the association
115shall maintain each of the following items, if applicable, which
116constitutes shall constitute the official records of the
117association:
118     1.  A copy of the plans, permits, warranties, and other
119items provided by the developer pursuant to s. 718.301(4).
120     2.  A photocopy of the recorded declaration of condominium
121of each condominium operated by the association and of each
122amendment to each declaration.
123     3.  A photocopy of the recorded bylaws of the association
124and of each amendment to the bylaws.
125     4.  A certified copy of the articles of incorporation of
126the association, or other documents creating the association,
127and of each amendment thereto.
128     5.  A copy of the current rules of the association.
129     6.  A book or books that which contain the minutes of all
130meetings of the association, of the board of administration, and
131the of unit owners, which minutes must be retained for at least
1327 years.
133     7.  A current roster of all unit owners and their mailing
134addresses, unit identifications, voting certifications, and, if
135known, telephone numbers. The association shall also maintain
136the electronic mailing addresses and facsimile the numbers
137designated by unit owners for receiving notice sent by
138electronic transmission of those unit owners consenting to
139receive notice by electronic transmission. The electronic
140mailing addresses and facsimile telephone numbers are not
141accessible to unit owners must be removed from association
142records if consent to receive notice by electronic transmission
143is not provided in accordance with subparagraph (c)5 revoked.
144However, the association is not liable for an inadvertent
145erroneous disclosure of the electronic mail address or facsimile
146the number for receiving electronic transmission of notices.
147     8.  All current insurance policies of the association and
148condominiums operated by the association.
149     9.  A current copy of any management agreement, lease, or
150other contract to which the association is a party or under
151which the association or the unit owners have an obligation or
152responsibility.
153     10.  Bills of sale or transfer for all property owned by
154the association.
155     11.  Accounting records for the association and separate
156accounting records for each condominium that which the
157association operates. All accounting records must shall be
158maintained for at least 7 years. Any person who knowingly or
159intentionally defaces or destroys such accounting records
160required to be created and maintained by this chapter during the
161period for which such records are required to be maintained, or
162who knowingly or intentionally fails to create or maintain such
163records, with the intent of causing harm to the association or
164one or more of its members, is personally subject to a civil
165penalty pursuant to s. 718.501(1)(d). The accounting records
166must include, but are not limited to:
167     a.  Accurate, itemized, and detailed records of all
168receipts and expenditures.
169     b.  A current account and a monthly, bimonthly, or
170quarterly statement of the account for each unit designating the
171name of the unit owner, the due date and amount of each
172assessment, the amount paid on upon the account, and the balance
173due.
174     c.  All audits, reviews, accounting statements, and
175financial reports of the association or condominium.
176     d.  All contracts for work to be performed. Bids for work
177to be performed are also considered official records and must be
178maintained by the association.
179     12.  Ballots, sign-in sheets, voting proxies, and all other
180papers relating to voting by unit owners, which must be
181maintained for 1 year from the date of the election, vote, or
182meeting to which the document relates, notwithstanding paragraph
183(b).
184     13.  All rental records if the association is acting as
185agent for the rental of condominium units.
186     14.  A copy of the current question and answer sheet as
187described in s. 718.504.
188     15.  All other records of the association not specifically
189included in the foregoing which are related to the operation of
190the association.
191     16.  A copy of the inspection report as described provided
192in s. 718.301(4)(p).
193     (c)  The official records of the association are open to
194inspection by any association member or the authorized
195representative of such member at all reasonable times. The right
196to inspect the records includes the right to make or obtain
197copies, at the reasonable expense, if any, of the member. The
198association may adopt reasonable rules regarding the frequency,
199time, location, notice, and manner of record inspections and
200copying. The failure of an association to provide the records
201within 10 working days after receipt of a written request
202creates a rebuttable presumption that the association willfully
203failed to comply with this paragraph. A unit owner who is denied
204access to official records is entitled to the actual damages or
205minimum damages for the association's willful failure to comply.
206Minimum damages are shall be $50 per calendar day for up to 10
207days, beginning the calculation to begin on the 11th working day
208after receipt of the written request. The failure to permit
209inspection of the association records as provided herein
210entitles any person prevailing in an enforcement action to
211recover reasonable attorney's fees from the person in control of
212the records who, directly or indirectly, knowingly denied access
213to the records. Any person who knowingly or intentionally
214defaces or destroys accounting records that are required by this
215chapter to be maintained during the period for which such
216records are required to be maintained, or who knowingly or
217intentionally fails to create or maintain accounting records
218that are required to be created or maintained, with the intent
219of causing harm to the association or one or more of its
220members, is personally subject to a civil penalty pursuant to s.
221718.501(1)(d). The association shall maintain an adequate number
222of copies of the declaration, articles of incorporation, bylaws,
223and rules, and all amendments to each of the foregoing, as well
224as the question and answer sheet as described provided for in s.
225718.504 and year-end financial information required under in
226this section, on the condominium property to ensure their
227availability to unit owners and prospective purchasers, and may
228charge its actual costs for preparing and furnishing these
229documents to those requesting the documents. Notwithstanding the
230provisions of this paragraph, the following records are not
231accessible to unit owners:
232     1.  Any record protected by the lawyer-client privilege as
233described in s. 90.502; and any record protected by the work-
234product privilege, including a any record prepared by an
235association attorney or prepared at the attorney's express
236direction,; which reflects a mental impression, conclusion,
237litigation strategy, or legal theory of the attorney or the
238association, and which was prepared exclusively for civil or
239criminal litigation or for adversarial administrative
240proceedings, or which was prepared in anticipation of such
241imminent civil or criminal litigation or imminent adversarial
242administrative proceedings until the conclusion of the
243litigation or adversarial administrative proceedings.
244     2.  Information obtained by an association in connection
245with the approval of the lease, sale, or other transfer of a
246unit.
247     3.  Personnel records of association or management company
248employees, including, but not limited to, disciplinary, payroll,
249health, and insurance records. For purposes of this
250subparagraph, the term "personnel records" does not include
251written employment agreements with an association employee or
252management company, or budgetary or financial records that
253indicate the compensation paid to an association employee.
254     4.  Medical records of unit owners.
255     5.  Social security numbers, driver's license numbers,
256credit card numbers, e-mail addresses, telephone numbers,
257facsimile numbers, emergency contact information, any addresses
258of a unit owner other than as provided to fulfill the
259association's notice requirements, and other personal
260identifying information of any person, excluding the person's
261name, unit designation, mailing address, and property address,
262and any address, e-mail address, or facsimile number provided to
263the association to fulfill the association's notice
264requirements. However, an owner may consent in writing to the
265disclosure of protected information described in this
266subparagraph. The association is not liable for the inadvertent
267disclosure of information that is protected under this
268subparagraph if the information is included in an official
269record of the association and is voluntarily provided by an
270owner and not requested by the association.
271     6.  Any Electronic security measures measure that are is
272used by the association to safeguard data, including passwords.
273     7.  The software and operating system used by the
274association which allow the allows manipulation of data, even if
275the owner owns a copy of the same software used by the
276association. The data is part of the official records of the
277association.
278     Section 3.  Paragraphs (b), (c), and (d) of subsection (2)
279of section 718.112, Florida Statutes, are amended to read:
280     718.112  Bylaws.-
281     (2)  REQUIRED PROVISIONS.-The bylaws shall provide for the
282following and, if they do not do so, shall be deemed to include
283the following:
284     (b)  Quorum; voting requirements; proxies.-
285     1.  Unless a lower number is provided in the bylaws, the
286percentage of voting interests required to constitute a quorum
287at a meeting of the members is shall be a majority of the voting
288interests. Unless otherwise provided in this chapter or in the
289declaration, articles of incorporation, or bylaws, and except as
290provided in subparagraph (d)4. (d)3., decisions shall be made by
291owners of a majority of the voting interests represented at a
292meeting at which a quorum is present.
293     2.  Except as specifically otherwise provided herein, after
294January 1, 1992, unit owners may not vote by general proxy, but
295may vote by limited proxies substantially conforming to a
296limited proxy form adopted by the division. A No voting interest
297or consent right allocated to a unit owned by the association
298may not shall be exercised or considered for any purpose,
299whether for a quorum, an election, or otherwise. Limited proxies
300and general proxies may be used to establish a quorum. Limited
301proxies shall be used for votes taken to waive or reduce
302reserves in accordance with subparagraph (f)2.; for votes taken
303to waive the financial reporting requirements of s. 718.111(13);
304for votes taken to amend the declaration pursuant to s. 718.110;
305for votes taken to amend the articles of incorporation or bylaws
306pursuant to this section; and for any other matter for which
307this chapter requires or permits a vote of the unit owners.
308Except as provided in paragraph (d), a after January 1, 1992, no
309proxy, limited or general, may not shall be used in the election
310of board members. General proxies may be used for other matters
311for which limited proxies are not required, and may also be used
312in voting for nonsubstantive changes to items for which a
313limited proxy is required and given. Notwithstanding the
314provisions of this subparagraph, unit owners may vote in person
315at unit owner meetings. This subparagraph does not Nothing
316contained herein shall limit the use of general proxies or
317require the use of limited proxies for any agenda item or
318election at any meeting of a timeshare condominium association.
319     3.  Any proxy given is shall be effective only for the
320specific meeting for which originally given and any lawfully
321adjourned meetings thereof. A In no event shall any proxy is not
322be valid for a period longer than 90 days after the date of the
323first meeting for which it was given. Every proxy is revocable
324at any time at the pleasure of the unit owner executing it.
325     4.  A member of the board of administration or a committee
326may submit in writing his or her agreement or disagreement with
327any action taken at a meeting that the member did not attend.
328This agreement or disagreement may not be used as a vote for or
329against the action taken or to create and may not be used for
330the purposes of creating a quorum.
331     5.  If When any of the board or committee members meet by
332telephone conference, those board or committee members attending
333by telephone conference may be counted toward obtaining a quorum
334and may vote by telephone. A telephone speaker must be used so
335that the conversation of those board or committee members
336attending by telephone may be heard by the board or committee
337members attending in person as well as by any unit owners
338present at a meeting.
339     (c)  Board of administration meetings.-Meetings of the
340board of administration at which a quorum of the members is
341present are shall be open to all unit owners. A Any unit owner
342may tape record or videotape the meetings of the board of
343administration. The right to attend such meetings includes the
344right to speak at such meetings with reference to all designated
345agenda items. The division shall adopt reasonable rules
346governing the tape recording and videotaping of the meeting. The
347association may adopt written reasonable rules governing the
348frequency, duration, and manner of unit owner statements.
349     1.  Adequate notice of all board meetings, which must
350notice shall specifically identify all incorporate an
351identification of agenda items, must shall be posted
352conspicuously on the condominium property at least 48 continuous
353hours before preceding the meeting except in an emergency. If 20
354percent of the voting interests petition the board to address an
355item of business, the board shall at its next regular board
356meeting or at a special meeting of the board, but not later than
35760 days after the receipt of the petition, shall place the item
358on the agenda. Any item not included on the notice may be taken
359up on an emergency basis by at least a majority plus one of the
360board members of the board. Such emergency action must shall be
361noticed and ratified at the next regular board meeting of the
362board. However, written notice of any meeting at which
363nonemergency special assessments, or at which amendment to rules
364regarding unit use, will be considered must shall be mailed,
365delivered, or electronically transmitted to the unit owners and
366posted conspicuously on the condominium property at least not
367less than 14 days before prior to the meeting. Evidence of
368compliance with this 14-day notice requirement must shall be
369made by an affidavit executed by the person providing the notice
370and filed with among the official records of the association.
371Upon notice to the unit owners, the board shall, by duly adopted
372rule, designate a specific location on the condominium property
373or association property where upon which all notices of board
374meetings are to shall be posted. If there is no condominium
375property or association property where upon which notices can be
376posted, notices of board meetings shall be mailed, delivered, or
377electronically transmitted at least 14 days before the meeting
378to the owner of each unit. In lieu of or in addition to the
379physical posting of the notice of any meeting of the board of
380administration on the condominium property, the association may,
381by reasonable rule, adopt a procedure for conspicuously posting
382and repeatedly broadcasting the notice and the agenda on a
383closed-circuit cable television system serving the condominium
384association. However, if broadcast notice is used in lieu of a
385notice posted physically posted on the condominium property, the
386notice and agenda must be broadcast at least four times every
387broadcast hour of each day that a posted notice is otherwise
388required under this section. If When broadcast notice is
389provided, the notice and agenda must be broadcast in a manner
390and for a sufficient continuous length of time so as to allow an
391average reader to observe the notice and read and comprehend the
392entire content of the notice and the agenda. Notice of any
393meeting in which regular or special assessments against unit
394owners are to be considered for any reason must shall
395specifically state that assessments will be considered and
396provide the nature, estimated cost, and description of the
397purposes for such assessments.
398     2.  Meetings of a committee to take final action on behalf
399of the board or make recommendations to the board regarding the
400association budget are subject to the provisions of this
401paragraph. Meetings of a committee that does not take final
402action on behalf of the board or make recommendations to the
403board regarding the association budget are subject to the
404provisions of this section, unless those meetings are exempted
405from this section by the bylaws of the association.
406     3.  Notwithstanding any other law, the requirement that
407board meetings and committee meetings be open to the unit owners
408does not apply is inapplicable to:
409     a.  Meetings between the board or a committee and the
410association's attorney, with respect to proposed or pending
411litigation, if when the meeting is held for the purpose of
412seeking or rendering legal advice; or
413     b.  Board meetings held for the purpose of discussing
414personnel matters.
415     (d)  Unit owner meetings.-
416     1.  An annual meeting of the unit owners shall be held at
417the location provided in the association bylaws and, if the
418bylaws are silent as to the location, the meeting shall be held
419within 45 miles of the condominium property. However, such
420distance requirement does not apply to an association governing
421a timeshare condominium.
422     2.  Unless the bylaws provide otherwise, a vacancy on the
423board caused by the expiration of a director's term shall be
424filled by electing a new board member, and the election must be
425by secret ballot. An election is not required However, if the
426number of vacancies equals or exceeds the number of candidates,
427an election is not required. For purposes of this paragraph, the
428term "candidate" means an eligible person who has timely
429submitted the written notice, as described in sub-subparagraph
4304.a., of his or her intention to become a candidate. Except in a
431timeshare condominium, or if the staggered term of a board
432member does not expire until a later annual meeting, or if all
433members terms would otherwise expire but there are no
434candidates, the terms of all board members of the board expire
435at the annual meeting, and such board members may stand for
436reelection unless prohibited otherwise permitted by the bylaws.
437If the bylaws permit staggered terms of no more than 2 years and
438upon approval of a majority of the total voting interests, the
439association board members may serve 2-year staggered terms. If
440the number of board members whose terms expire at the annual
441meeting equals or have expired exceeds the number of candidates,
442the candidates become members of the board effective upon the
443adjournment of the annual meeting. Unless the bylaws provide
444otherwise, any remaining vacancies shall be filled by the
445affirmative vote of the majority of the directors making up the
446newly constituted board even if the directors constitute less
447than a quorum or there is only one director eligible members
448showing interest in or demonstrating an intention to run for the
449vacant positions, each board member whose term has expired is
450eligible for reappointment to the board of administration and
451need not stand for reelection. In a condominium association of
452more than 10 units or in a condominium association that does not
453include timeshare units or timeshare interests, coowners of a
454unit may not serve as members of the board of directors at the
455same time unless they own more than one unit or unless there are
456not enough eligible candidates to fill the vacancies on the
457board at the time of the vacancy. Any unit owner desiring to be
458a candidate for board membership must comply with sub-
459subparagraph 4.a. and must be eligible to serve on the board of
460directors at the time of the deadline for submitting a notice of
461intent to run in order to have his or her name listed as a
462proper candidate on the ballot or to serve on the board 3.a. A
463person who has been suspended or removed by the division under
464this chapter, or who is delinquent in the payment of any fee,
465fine, or special or regular assessment as provided in paragraph
466(n), is not eligible for board membership. A person who has been
467convicted of any felony in this state or in a United States
468District or Territorial Court, or who has been convicted of any
469offense in another jurisdiction which that would be considered a
470felony if committed in this state, is not eligible for board
471membership unless such felon's civil rights have been restored
472for at least 5 years as of the date on which such person seeks
473election to the board. The validity of an action by the board is
474not affected if it is later determined that a board member of
475the board is ineligible for board membership due to having been
476convicted of a felony.
477     3.2.  The bylaws must provide the method of calling
478meetings of unit owners, including annual meetings. Written
479notice, which must include an agenda, must shall be mailed, hand
480delivered, or electronically transmitted to each unit owner at
481least 14 days before the annual meeting, and must be posted in a
482conspicuous place on the condominium property at least 14
483continuous days before preceding the annual meeting. Upon notice
484to the unit owners, the board shall, by duly adopted rule,
485designate a specific location on the condominium property or
486association property where upon which all notices of unit owner
487meetings shall be posted. This requirement does not apply
488However, if there is no condominium property or association
489property for posting upon which notices can be posted, this
490requirement does not apply. In lieu of, or in addition to, the
491physical posting of meeting notices, the association may, by
492reasonable rule, adopt a procedure for conspicuously posting and
493repeatedly broadcasting the notice and the agenda on a closed-
494circuit cable television system serving the condominium
495association. However, if broadcast notice is used in lieu of a
496notice posted physically on the condominium property, the notice
497and agenda must be broadcast at least four times every broadcast
498hour of each day that a posted notice is otherwise required
499under this section. If broadcast notice is provided, the notice
500and agenda must be broadcast in a manner and for a sufficient
501continuous length of time so as to allow an average reader to
502observe the notice and read and comprehend the entire content of
503the notice and the agenda. Unless a unit owner waives in writing
504the right to receive notice of the annual meeting, such notice
505must be hand delivered, mailed, or electronically transmitted to
506each unit owner. Notice for meetings and notice for all other
507purposes must be mailed to each unit owner at the address last
508furnished to the association by the unit owner, or hand
509delivered to each unit owner. However, if a unit is owned by
510more than one person, the association must shall provide notice,
511for meetings and all other purposes, to the that one address
512that which the developer initially identifies for that purpose
513and thereafter as one or more of the owners of the unit shall
514advise the association in writing, or if no address is given or
515the owners of the unit do not agree, to the address provided on
516the deed of record. An officer of the association, or the
517manager or other person providing notice of the association
518meeting, must shall provide an affidavit or United States Postal
519Service certificate of mailing, to be included in the official
520records of the association affirming that the notice was mailed
521or hand delivered, in accordance with this provision.
522     4.3.  The members of the board shall be elected by written
523ballot or voting machine. Proxies may not be used in electing
524the board in general elections or elections to fill vacancies
525caused by recall, resignation, or otherwise, unless otherwise
526provided in this chapter.
527     a.  At least 60 days before a scheduled election, the
528association shall mail, deliver, or electronically transmit,
529whether by separate association mailing or included in another
530association mailing, delivery, or transmission, including
531regularly published newsletters, to each unit owner entitled to
532a vote, a first notice of the date of the election. Any unit
533owner or other eligible person desiring to be a candidate for
534the board must give written notice of his or her intent to be a
535candidate to the association at least 40 days before a scheduled
536election. Together with the written notice and agenda as set
537forth in subparagraph 3. 2., the association shall mail,
538deliver, or electronically transmit a second notice of the
539election to all unit owners entitled to vote, together with a
540ballot that lists all candidates. Upon request of a candidate,
541an information sheet, no larger than 8 1/2 inches by 11 inches,
542which must be furnished by the candidate at least 35 days before
543the election, must be included with the mailing, delivery, or
544transmission of the ballot, with the costs of mailing, delivery,
545or electronic transmission and copying to be borne by the
546association. The association is not liable for the contents of
547the information sheets prepared by the candidates. In order to
548reduce costs, the association may print or duplicate the
549information sheets on both sides of the paper. The division
550shall by rule establish voting procedures consistent with this
551sub-subparagraph, including rules establishing procedures for
552giving notice by electronic transmission and rules providing for
553the secrecy of ballots. Elections shall be decided by a
554plurality of those ballots cast. There is no quorum requirement;
555however, at least 20 percent of the eligible voters must cast a
556ballot in order to have a valid election of members of the
557board. A unit owner may not permit any other person to vote his
558or her ballot, and any ballots improperly cast are invalid. A,
559provided any unit owner who violates this provision may be fined
560by the association in accordance with s. 718.303. A unit owner
561who needs assistance in casting the ballot for the reasons
562stated in s. 101.051 may obtain such assistance. The regular
563election must occur on the date of the annual meeting. This sub-
564subparagraph does not apply to timeshare condominium
565associations. Notwithstanding this sub-subparagraph, an election
566is not required unless more candidates file notices of intent to
567run or are nominated than board vacancies exist.
568     b.  Within 90 days after being elected or appointed to the
569board, each newly elected or appointed director shall certify in
570writing to the secretary of the association that he or she has
571read the association's declaration of condominium, articles of
572incorporation, bylaws, and current written policies; that he or
573she will work to uphold such documents and policies to the best
574of his or her ability; and that he or she will faithfully
575discharge his or her fiduciary responsibility to the
576association's members. In lieu of this written certification,
577within 90 days after being elected or appointed to the board,
578the newly elected or appointed director may submit a certificate
579of having satisfactorily completed satisfactory completion of
580the educational curriculum administered by a division-approved
581condominium education provider within 1 year before or 90 days
582after the date of election or appointment. The written
583certification or educational certificate is valid and does not
584have to be resubmitted as long as the director serves on the
585board without interruption. A director who fails to timely file
586the written certification or educational certificate is
587suspended from service on the board until he or she complies
588with this sub-subparagraph. The board may temporarily fill the
589vacancy during the period of suspension. The secretary shall
590cause the association to retain a director's written
591certification or educational certificate for inspection by the
592members for 5 years after a director's election. Failure to have
593such written certification or educational certificate on file
594does not affect the validity of any board action. This chapter
595does not limit the use of general or limited proxies, require
596the use of general or limited proxies, or require the use of a
597written ballot or voting machine for any agenda item or election
598at any meeting of a timeshare condominium association.
599     5.4.  Any approval by unit owners called for by this
600chapter or the applicable declaration or bylaws, including, but
601not limited to, the approval requirement in s. 718.111(8), must
602shall be made at a duly noticed meeting of unit owners and is
603subject to all requirements of this chapter or the applicable
604condominium documents relating to unit owner decisionmaking,
605except that unit owners may take action by written agreement,
606without meetings, on matters for which action by written
607agreement without meetings is expressly allowed by the
608applicable bylaws or declaration or any law statute that
609provides for such action.
610     6.5.  Unit owners may waive notice of specific meetings if
611allowed by the applicable bylaws or declaration or any law
612statute. If authorized by the bylaws, notice of meetings of the
613board of administration, unit owner meetings, except unit owner
614meetings called to recall board members under paragraph (j), and
615committee meetings may be given by electronic transmission to
616unit owners who consent to receive notice by electronic
617transmission.
618     7.6.  Unit owners shall have the right to participate in
619meetings of unit owners with reference to all designated agenda
620items. However, the association may adopt reasonable rules
621governing the frequency, duration, and manner of unit owner
622participation.
623     8.7.  A Any unit owner may tape record or videotape a
624meeting of the unit owners subject to reasonable rules adopted
625by the division.
626     9.8.  Unless otherwise provided in the bylaws, any vacancy
627occurring on the board before the expiration of a term may be
628filled by the affirmative vote of the majority of the remaining
629directors, even if the remaining directors constitute less than
630a quorum, or by the sole remaining director. In the alternative,
631a board may hold an election to fill the vacancy, in which case
632the election procedures must conform to the requirements of sub-
633subparagraph 4.a. 3.a. unless the association governs 10 units
634or fewer and has opted out of the statutory election process, in
635which case the bylaws of the association control. Unless
636otherwise provided in the bylaws, a board member appointed or
637elected under this section shall fill the vacancy for the
638unexpired term of the seat being filled. Filling vacancies
639created by recall is governed by paragraph (j) and rules adopted
640by the division.
641
642Notwithstanding subparagraph (b)2. and sub-subparagraph 4.a.
643(d)3.a., an association of 10 or fewer units may, by affirmative
644vote of a majority of the total voting interests, provide for
645different voting and election procedures in its bylaws, which
646vote may be by a proxy specifically delineating the different
647voting and election procedures. The different voting and
648election procedures may provide for elections to be conducted by
649limited or general proxy.
650     Section 4.  Subsection (5) of section 718.113, Florida
651Statutes, is amended to read:
652     718.113  Maintenance; limitation upon improvement; display
653of flag; hurricane shutters; display of religious decorations.-
654     (5)  Each board of administration shall adopt hurricane
655shutter specifications for each building within each condominium
656operated by the association which shall include color, style,
657and other factors deemed relevant by the board. All
658specifications adopted by the board must shall comply with the
659applicable building code.
660     (a)  The board may, subject to the provisions of s.
661718.3026, and the approval of a majority of voting interests of
662the condominium, install hurricane shutters, impact glass or
663other code-compliant windows, or hurricane protection that
664complies with or exceeds the applicable building code. However,
665or both, except that a vote of the owners is not required if the
666maintenance, repair, and replacement of hurricane shutters,
667impact glass, or other code-compliant windows or other forms of
668hurricane protection are the responsibility of the association
669pursuant to the declaration of condominium. If However, where
670hurricane protection or laminated glass or window film
671architecturally designed to function as hurricane protection
672which complies with or exceeds the current applicable building
673code has been previously installed, the board may not install
674hurricane shutters, or other hurricane protection, or impact
675glass or other code-compliant windows except upon approval by a
676majority vote of the voting interests.
677     (b)  The association is shall be responsible for the
678maintenance, repair, and replacement of the hurricane shutters
679or other hurricane protection authorized by this subsection if
680such hurricane shutters or other hurricane protection is the
681responsibility of the association pursuant to the declaration of
682condominium. If the hurricane shutters or other hurricane
683protection authorized by this subsection are the responsibility
684of the unit owners pursuant to the declaration of condominium,
685the responsibility for the maintenance, repair, and replacement
686of such items are shall be the responsibility of the unit owner.
687     (c)  The board may operate shutters installed pursuant to
688this subsection without permission of the unit owners only if
689where such operation is necessary to preserve and protect the
690condominium property and association property. The installation,
691replacement, operation, repair, and maintenance of such shutters
692in accordance with the procedures set forth in this paragraph
693are herein shall not be deemed a material alteration to the
694common elements or association property within the meaning of
695this section.
696     (d)  Notwithstanding any other provision to the contrary in
697the condominium documents, if approval is required by the
698documents, a board may shall not refuse to approve the
699installation or replacement of hurricane shutters by a unit
700owner conforming to the specifications adopted by the board.
701     Section 5.  Section 718.114, Florida Statutes, is amended
702to read:
703     718.114  Association powers.-An association may has the
704power to enter into agreements, to acquire leaseholds,
705memberships, and other possessory or use interests in lands or
706facilities such as country clubs, golf courses, marinas, and
707other recreational facilities,. It has this power whether or not
708the lands or facilities are contiguous to the lands of the
709condominium, if such lands and facilities they are intended to
710provide enjoyment, recreation, or other use or benefit to the
711unit owners. All of these leaseholds, memberships, and other
712possessory or use interests existing or created at the time of
713recording the declaration must be stated and fully described in
714the declaration. Subsequent to the recording of the declaration,
715agreements acquiring these leaseholds, memberships, or other
716possessory or use interests which are not entered into within 12
717months following the recording of the declaration are shall be
718considered a material alteration or substantial addition to the
719real property that is association property, and the association
720may not acquire or enter into such agreements acquiring these
721leaseholds, memberships, or other possessory or use interests
722except upon a vote of, or written consent by, a majority of the
723total voting interests or as authorized by the declaration as
724provided in s. 718.113. The declaration may provide that the
725rental, membership fees, operations, replacements, and other
726expenses are common expenses and may impose covenants and
727restrictions concerning their use and may contain other
728provisions not inconsistent with this chapter. A condominium
729association may conduct bingo games as provided in s. 849.0931.
730     Section 6.  Subsection (3), paragraph (b) of subsection
731(5), and subsection (11) of section 718.116, Florida Statutes,
732are amended to read:
733     718.116  Assessments; liability; lien and priority;
734interest; collection.-
735     (3)  Assessments and installments on assessments which are
736not paid when due bear interest at the rate provided in the
737declaration, from the due date until paid. The This rate may not
738exceed the rate allowed by law, and, if no rate is provided in
739the declaration, interest accrues at the rate of 18 percent per
740year. Also, If provided by the declaration or bylaws, the
741association may, in addition to such interest, charge an
742administrative late fee of up to the greater of $25 or 5 percent
743of each installment of the assessment for each delinquent
744installment for which the payment is late. Any payment received
745by an association must be applied first to any interest accrued
746by the association, then to any administrative late fee, then to
747any costs and reasonable attorney's fees incurred in collection,
748and then to the delinquent assessment. The foregoing is
749applicable notwithstanding any restrictive endorsement,
750designation, or instruction placed on or accompanying a payment.
751A late fee is not subject to chapter 687 or s. 718.303(4)(3).
752     (5)
753     (b)  To be valid, a claim of lien must state the
754description of the condominium parcel, the name of the record
755owner, the name and address of the association, the amount due,
756and the due dates. It must be executed and acknowledged by an
757officer or authorized agent of the association. The lien is not
758effective longer than 1 year after the claim of lien was
759recorded unless, within that time, an action to enforce the lien
760is commenced. The 1-year period is automatically extended for
761any length of time during which the association is prevented
762from filing a foreclosure action by an automatic stay resulting
763from a bankruptcy petition filed by the parcel owner or any
764other person claiming an interest in the parcel. The claim of
765lien secures all unpaid assessments that are due and that may
766accrue after the claim of lien is recorded and through the entry
767of a final judgment, as well as interest and all reasonable
768costs and attorney's fees incurred by the association incident
769to the collection process. Upon payment in full, the person
770making the payment is entitled to a satisfaction of the lien.
771
772After notice of contest of lien has been recorded, the clerk of
773the circuit court shall mail a copy of the recorded notice to
774the association by certified mail, return receipt requested, at
775the address shown in the claim of lien or most recent amendment
776to it and shall certify to the service on the face of the
777notice. Service is complete upon mailing. After service, the
778association has 90 days in which to file an action to enforce
779the lien; and, if the action is not filed within the 90-day
780period, the lien is void. However, the 90-day period shall be
781extended for any length of time during which that the
782association is prevented from filing its action because of an
783automatic stay resulting from the filing of a bankruptcy
784petition by the unit owner or by any other person claiming an
785interest in the parcel.
786     (11)  If the unit is occupied by a tenant and the unit
787owner is delinquent in paying any monetary obligation due to the
788association, the association may make a written demand that the
789tenant pay rent to the association the future monetary
790obligations related to the condominium unit to the association,
791and continue to the tenant must make such payments until all
792monetary obligations of the unit owner related to the unit have
793been paid in full to the association payment. The demand is
794continuing in nature and, upon demand, The tenant must pay the
795monetary obligations to the association until the association
796releases the tenant or the tenant discontinues tenancy in the
797unit. The association must mail written notice to the unit owner
798of the association's demand that the tenant make payments to the
799association. The association shall, upon request, provide the
800tenant with written receipts for payments made. A tenant who
801acts in good faith in response to a written demand from an
802association is immune from any claim by from the unit owner
803related to the rent once the association has made written
804demand. Any payment received from a tenant must be applied to
805the unit owner's oldest delinquent monetary obligation.
806     (a)  If the tenant paid prepaid rent to the unit owner for
807a given rental period before receiving the demand from the
808association and provides written evidence of prepaying paying
809the rent to the association within 14 days after receiving the
810demand, the tenant shall receive credit for the prepaid rent for
811the applicable period but and must make any subsequent rental
812payments to the association to be credited against the monetary
813obligations of the unit owner to the association.
814     (b)  The tenant is not liable for increases in the amount
815of the monetary obligations due unless the tenant was notified
816in writing of the increase at least 10 days before the date the
817rent is due. The liability of the tenant may not exceed the
818amount due from the tenant to the tenant's landlord. The
819tenant's landlord shall provide the tenant a credit against
820rents due to the unit owner in the amount of moneys paid to the
821association under this section.
822     (c)  The association may issue notices under s. 83.56 and
823may sue for eviction under ss. 83.59-83.625 as if the
824association were a landlord under part II of chapter 83 if the
825tenant fails to pay a required payment to the association.
826However, the association is not otherwise considered a landlord
827under chapter 83 and specifically has no obligations duties
828under s. 83.51.
829     (d)  The tenant does not, by virtue of payment of rent
830monetary obligations to the association, have any of the rights
831of a unit owner to vote in any election or to examine the books
832and records of the association.
833     (e)  A court may supersede the effect of this subsection by
834appointing a receiver.
835     Section 7.  Subsections (2), (3), (4), and (11), paragraphs
836(a) and (d) of subsection (12), subsection (14), paragraph (a)
837of subsection (17), and subsections (18) and (19) of section
838718.117, Florida Statutes, are amended to read:
839     718.117  Termination of condominium.-
840     (2)  TERMINATION BECAUSE OF ECONOMIC WASTE OR
841IMPOSSIBILITY.-
842     (a)  Notwithstanding any provision in the declaration, the
843condominium form of ownership of a property may be terminated by
844a plan of termination approved by the lesser of the lowest
845percentage of voting interests necessary to amend the
846declaration or as otherwise provided in the declaration for
847approval of termination if:
848     1.  The total estimated cost of construction or repairs
849necessary to construct the intended improvements or restore the
850improvements to their former condition or bring them into
851compliance with applicable laws or regulations exceeds the
852combined fair market value of the units in the condominium after
853completion of the construction or repairs; or
854     2.  It becomes impossible to operate or reconstruct a
855condominium to its prior physical configuration because of land
856use laws or regulations.
857     (b)  Notwithstanding paragraph (a), a condominium in which
85875 percent or more of the units are timeshare units may be
859terminated only pursuant to a plan of termination approved by 80
860percent of the total voting interests of the association and the
861holders of 80 percent of the original principal amount of
862outstanding recorded mortgage liens of timeshare estates in the
863condominium, unless the declaration provides for a lower voting
864percentage.
865     (c)  Notwithstanding paragraph (a), a condominium that
866includes units and timeshare estates where the improvements have
867been totally destroyed or demolished may be terminated pursuant
868to a plan of termination proposed by a unit owner upon the
869filing of a petition in court seeking equitable relief. Within
87010 days after the filing of a petition as provided in this
871paragraph and in lieu of the requirements of paragraph (15)(a),
872the petitioner shall record the proposed plan of termination and
873mail a copy of the proposed plan and a copy of the petition to:
874     1.  If the association has not been dissolved as a matter
875of law, each member of the board of directors of the association
876identified in the most recent annual report filed with the
877Department of State and the registered agent of the association;
878     2.  The managing entity as defined in s. 721.05(22);
879     3.  Each unit owner and each timeshare estate owner at the
880address reflected in the official records of the association,
881or, if the association records cannot be obtained by the
882petitioner, each unit owner and each timeshare estate owner at
883the address listed in the office of the tax collector for tax
884notices; and
885     4.  Each holder of a recorded mortgage lien affecting a
886unit or timeshare estate at the address appearing on the
887recorded mortgage or any recorded assignment thereof.
888
889The association, if it has not been dissolved as a matter of
890law, acting as class representative, or the managing entity as
891defined in s. 721.05(22), any unit owner, any timeshare estate
892owner, or any holder of a recorded mortgage lien affecting a
893unit or timeshare estate may intervene in the proceedings to
894contest the proposed plan of termination brought pursuant to
895this paragraph. The provisions of subsection (9), to the extent
896inconsistent with this paragraph, and subsection (16) are not
897applicable to a party contesting a plan of termination under
898this paragraph. If no party intervenes to contest the proposed
899plan within 45 days after the filing of the petition, the
900petitioner may move the court to enter a final judgment to
901authorize implementation of the plan of termination. If a party
902timely intervenes to contest the proposed plan, the plan may not
903be implemented until a final judgment has been entered by the
904court finding that the proposed plan of termination is fair and
905reasonable and authorizing implementation of the plan.
906     (3)  OPTIONAL TERMINATION.-Except as provided in subsection
907(2) or unless the declaration provides for a lower percentage,
908the condominium form of ownership of the property may be
909terminated for all or a portion of the condominium property
910pursuant to a plan of termination approved by at least 80
911percent of the total voting interests of the condominium if no
912not more than 10 percent of the total voting interests of the
913condominium have rejected the plan of termination by negative
914vote or by providing written objections thereto. This subsection
915does not apply to condominiums in which 75 percent or more of
916the units are timeshare units.
917     (4)  EXEMPTION.-A plan of termination is not an amendment
918subject to s. 718.110(4). In a partial termination, a plan of
919termination is not an amendment subject to s. 718.110(4) if the
920ownership share of the common elements of a surviving unit in
921the condominium remains in the same proportion to the surviving
922units as it was before the partial termination.
923     (11)  PLAN OF TERMINATION; OPTIONAL PROVISIONS; CONDITIONAL
924TERMINATION.-
925     (a)  The plan of termination may provide that each unit
926owner retains the exclusive right of possession to the portion
927of the real estate which that formerly constituted the unit if,
928in which case the plan specifies must specify the conditions of
929possession. In a partial termination, the plan of termination as
930specified in subsection (10) must also identify the units that
931survive the partial termination and provide that such units
932remain in the condominium form of ownership pursuant to an
933amendment to the declaration of condominium or an amended and
934restated declaration. In a partial termination, title to the
935surviving units and common elements that remain part of the
936condominium property specified in the plan of termination remain
937vested in the ownership shown in the public records and do not
938vest in the termination trustee.
939     (b)  In a conditional termination, the plan must specify
940the conditions for termination. A conditional plan does not vest
941title in the termination trustee until the plan and a
942certificate executed by the association with the formalities of
943a deed, confirming that the conditions in the conditional plan
944have been satisfied or waived by the requisite percentage of the
945voting interests, have been recorded. In a partial termination,
946the plan does not vest title to the surviving units or common
947elements that remain part of the condominium property in the
948termination trustee.
949     (12)  ALLOCATION OF PROCEEDS OF SALE OF CONDOMINIUM
950PROPERTY.-
951     (a)  Unless the declaration expressly provides for the
952allocation of the proceeds of sale of condominium property, the
953plan of termination must first apportion the proceeds between
954the aggregate value of all units and the value of the common
955elements, based on their respective fair market values
956immediately before the termination, as determined by one or more
957independent appraisers selected by the association or
958termination trustee. In a partial termination, the aggregate
959values of the units and common elements that are being
960terminated must be separately determined, and the plan of
961termination must specify the allocation of the proceeds of sale
962for the units and common elements.
963     (d)  Liens that encumber a unit shall be transferred to the
964proceeds of sale of the condominium property and the proceeds of
965sale or other distribution of association property, common
966surplus, or other association assets attributable to such unit
967in their same priority. In a partial termination, liens that
968encumber a unit being terminated must be transferred to the
969proceeds of sale of that portion of the condominium property
970being terminated which are attributable to such unit. The
971proceeds of any sale of condominium property pursuant to a plan
972of termination may not be deemed to be common surplus or
973association property.
974     (14)  TITLE VESTED IN TERMINATION TRUSTEE.-If termination
975is pursuant to a plan of termination under subsection (2) or
976subsection (3), the unit owners' rights and title to as tenants
977in common in undivided interests in the condominium property
978being terminated vests vest in the termination trustee when the
979plan is recorded or at a later date specified in the plan. The
980unit owners thereafter become the beneficiaries of the proceeds
981realized from the plan of termination as set forth in the plan.
982The termination trustee may deal with the condominium property
983being terminated or any interest therein if the plan confers on
984the trustee the authority to protect, conserve, manage, sell, or
985dispose of the condominium property. The trustee, on behalf of
986the unit owners, may contract for the sale of real property
987being terminated, but the contract is not binding on the unit
988owners until the plan is approved pursuant to subsection (2) or
989subsection (3).
990     (17)  DISTRIBUTION.-
991     (a)  Following termination of the condominium, the
992condominium property, association property, common surplus, and
993other assets of the association shall be held by the termination
994trustee pursuant to the plan of termination, as trustee for unit
995owners and holders of liens on the units, in their order of
996priority unless otherwise set forth in the plan of termination.
997     (18)  ASSOCIATION STATUS.-The termination of a condominium
998does not change the corporate status of the association that
999operated the condominium property. The association continues to
1000exist to conclude its affairs, prosecute and defend actions by
1001or against it, collect and discharge obligations, dispose of and
1002convey its property, and collect and divide its assets, but not
1003to act except as necessary to conclude its affairs. In a partial
1004termination, the association may continue as the condominium
1005association for the property that remains subject to the
1006declaration of condominium.
1007     (19)  CREATION OF ANOTHER CONDOMINIUM.-The termination or
1008partial termination of a condominium does not bar the filing of
1009a new declaration of condominium or an amended and restated
1010declaration of condominium by the termination trustee, or the
1011trustee's successor in interest, for the terminated property or
1012affecting any portion thereof of the same property. The partial
1013termination of a condominium may provide for the simultaneous
1014filing of an amendment to the declaration of condominium or an
1015amended and restated declaration of condominium by the
1016condominium association for any portion of the property not
1017terminated from the condominium form of ownership.
1018     Section 8.  Subsections (3), (4), and (5) of section
1019718.303, Florida Statutes, are amended, and subsection (6) is
1020added to that section, to read:
1021     718.303  Obligations of owners and occupants; remedies.-
1022     (3)  If a unit owner is delinquent for more than 90 days in
1023paying a monetary obligation due to the association, the
1024association may suspend the right of a unit owner or a unit's
1025occupant, licensee, or invitee to use common elements, common
1026facilities, or any other association property until the monetary
1027obligation is paid. This subsection does not apply to limited
1028common elements intended to be used only by that unit, common
1029elements that must be used to access the unit, utility services
1030provided to the unit, parking spaces, or elevators. The
1031association may also levy reasonable fines for the failure of
1032the owner of the unit, or its occupant, licensee, or invitee, to
1033comply with any provision of the declaration, the association
1034bylaws, or reasonable rules of the association. A fine may does
1035not become a lien against a unit. A fine may not exceed $100 per
1036violation. However, A fine may be levied on the basis of each
1037day of a continuing violation, with a single notice and
1038opportunity for hearing. However, the fine may not exceed $100
1039per violation, or $1,000 in the aggregate exceed $1,000.
1040     (a)  An association may suspend, for a reasonable period of
1041time, the right of a unit owner, or a unit owner's tenant,
1042guest, or invitee, to use the common elements, common
1043facilities, or any other association property for failure to
1044comply with any provision of the declaration, the association
1045bylaws, or reasonable rules of the association.
1046     (b)  A fine or suspension may not be imposed levied and a
1047suspension may not be imposed unless the association first
1048provides at least 14 days' written notice and an opportunity for
1049a hearing to the unit owner and, if applicable, its occupant,
1050licensee, or invitee. The hearing must be held before a
1051committee of other unit owners who are neither board members nor
1052persons residing in a board member's household. If the committee
1053does not agree with the fine or suspension, the fine or
1054suspension may not be levied or imposed.
1055     (4)  If a unit owner is more than 90 days delinquent in
1056paying a monetary obligation due to the association, the
1057association may suspend the right of the unit owner or the
1058unit's occupant, licensee, or invitee to use common elements,
1059common facilities, or any other association property until the
1060monetary obligation is paid in full. This subsection does not
1061apply to limited common elements intended to be used only by
1062that unit, common elements needed to access the unit, utility
1063services provided to the unit, parking spaces, or elevators. The
1064notice and hearing requirements under subsection (3) do not
1065apply to suspensions imposed under this subsection.
1066     (4)  The notice and hearing requirements of subsection (3)
1067do not apply to the imposition of suspensions or fines against a
1068unit owner or a unit's occupant, licensee, or invitee because of
1069failing to pay any amounts due the association. If such a fine
1070or suspension is imposed, the association must levy the fine or
1071impose a reasonable suspension at a properly noticed board
1072meeting, and after the imposition of such fine or suspension,
1073the association must notify the unit owner and, if applicable,
1074the unit's occupant, licensee, or invitee by mail or hand
1075delivery.
1076     (5)  An association may also suspend the voting rights of a
1077member due to nonpayment of any monetary obligation due to the
1078association which is more than 90 days delinquent. The
1079suspension ends upon full payment of all obligations currently
1080due or overdue the association. A voting interest or consent
1081right allocated to a unit which has been suspended by the
1082association may not be exercised or considered for any purpose,
1083including, but not limited to, a quorum, an election, or the
1084votes required to approve an action under this chapter or
1085pursuant to the declaration, articles of incorporation, or
1086bylaws. The notice and hearing requirements under subsection (3)
1087do not apply to a suspension imposed under this subsection.
1088     (6)  All suspensions imposed pursuant to subsection (4) or
1089subsection (5) must be approved at a properly noticed board
1090meeting. Upon approval, the association must notify the unit
1091owner and, if applicable, the unit's occupant, licensee, or
1092invitee by mail or hand delivery.
1093     Section 9.  Section 718.703, Florida Statutes, is amended
1094to read:
1095     718.703  Definitions.-As used in this part, the term:
1096     (1)  "Bulk assignee" means a person who is not a bulk buyer
1097and who:
1098     (a)  Acquires more than seven condominium parcels in a
1099single condominium as set forth in s. 718.707; and
1100     (b)  Receives an assignment of any of the developer rights,
1101other than or in addition to those rights described in
1102subsection (2), some or all of the rights of the developer as
1103set forth in the declaration of condominium or this chapter: by
1104     1.  By a written instrument recorded as part of or as an
1105exhibit to the deed; or as
1106     2.  By a separate instrument recorded in the public records
1107of the county in which the condominium is located; or
1108     3.  Pursuant to a final judgment or certificate of title
1109issued in favor of a purchaser at a foreclosure sale.
1110
1111A mortgagee or its assignee may not be deemed a bulk assignee or
1112a developer by reason of the acquisition of condominium units
1113and receipt of an assignment of some or all of a developer
1114rights unless the mortgagee or its assignee exercises any of the
1115developer rights other than those described in subsection (2).
1116     (2)  "Bulk buyer" means a person who acquires more than
1117seven condominium parcels in a single condominium as set forth
1118in s. 718.707, but who does not receive an assignment of any
1119developer rights, or receives only some or all of the following
1120rights: other than
1121     (a)  The right to conduct sales, leasing, and marketing
1122activities within the condominium;
1123     (b)  The right to be exempt from the payment of working
1124capital contributions to the condominium association arising out
1125of, or in connection with, the bulk buyer's acquisition of the a
1126bulk number of units; and
1127     (c)  The right to be exempt from any rights of first
1128refusal which may be held by the condominium association and
1129would otherwise be applicable to subsequent transfers of title
1130from the bulk buyer to a third party purchaser concerning one or
1131more units.
1132     Section 10.  Section 718.704, Florida Statutes, is amended
1133to read:
1134     718.704  Assignment and assumption of developer rights by
1135bulk assignee; bulk buyer.-
1136     (1)  A bulk assignee is deemed to have assumed assumes and
1137is liable for all duties and responsibilities of the developer
1138under the declaration and this chapter upon its acquisition of
1139title to units and continuously thereafter, except that it is
1140not liable for:
1141     (a)  Warranties of the developer under s. 718.203(1) or s.
1142718.618, except as expressly provided by the bulk assignee in a
1143prospectus or offering circular, or the contract for purchase
1144and sale executed with a purchaser, or for design, construction,
1145development, or repair work performed by or on behalf of the
1146such bulk assignee.;
1147     (b)  The obligation to:
1148     1.  Fund converter reserves under s. 718.618 for a unit
1149that was not acquired by the bulk assignee; or
1150     2.  Provide implied converter warranties on any portion of
1151the condominium property except as expressly provided by the
1152bulk assignee in a prospectus or offering circular, or the
1153contract for purchase and sale executed with a purchaser, or for
1154and pertaining to any design, construction, development, or
1155repair work performed by or on behalf of the bulk assignee.;
1156     (c)  The requirement to provide the association with a
1157cumulative audit of the association's finances from the date of
1158formation of the condominium association as required by s.
1159718.301(4)(c). However, the bulk assignee must provide an audit
1160for the period during which the bulk assignee elects or appoints
1161a majority of the members of the board of administration.;
1162     (d)  Any liability arising out of or in connection with
1163actions taken by the board of administration or the developer-
1164appointed directors before the bulk assignee elects or appoints
1165a majority of the members of the board of administration.; and
1166     (e)  Any liability for or arising out of the developer's
1167failure to fund previous assessments or to resolve budgetary
1168deficits in relation to a developer's right to guarantee
1169assessments, except as otherwise provided in subsection (2).
1170
1171The bulk assignee is also responsible only for delivering
1172documents and materials in accordance with s. 718.705(3). A bulk
1173assignee may expressly assume some or all of the developer
1174obligations of the developer described in paragraphs (a)-(e).
1175     (2)  A bulk assignee assigned the developer right receiving
1176the assignment of the rights of the developer to guarantee the
1177level of assessments and fund budgetary deficits pursuant to s.
1178718.116 assumes and is liable for all obligations of the
1179developer with respect to such guarantee upon its acquisition of
1180title to the units and continuously thereafter, including any
1181applicable funding of reserves to the extent required by law,
1182for as long as the guarantee remains in effect. A bulk assignee
1183not receiving such assignment, or a bulk buyer, does not assume
1184and is not liable for the obligations of the developer with
1185respect to such guarantee, but is responsible for payment of
1186assessments due on or after acquisition of the units in the same
1187manner as all other owners of condominium parcels or as
1188otherwise provided in s. 718.116.
1189     (3)  A bulk buyer is liable for the duties and
1190responsibilities of a the developer under the declaration and
1191this chapter only to the extent that such provided in this part,
1192together with any other duties or responsibilities are of the
1193developer expressly assumed in writing by the bulk buyer.
1194     (4)  An acquirer of condominium parcels is not a bulk
1195assignee or a bulk buyer if the transfer to such acquirer was
1196made:
1197     (a)  Before the effective date of this part;
1198     (b)  With the intent to hinder, delay, or defraud any
1199purchaser, unit owner, or the association;, or if the acquirer
1200is
1201     (c)  By a person who would be considered an insider under
1202s. 726.102(7).
1203     (5)  An assignment of developer rights to a bulk assignee
1204may be made by a the developer, a previous bulk assignee, a
1205mortgagee or assignee who has acquired title to the units and
1206received an assignment of rights, or a court acting on behalf of
1207the developer or the previous bulk assignee if such developer
1208rights are held by the predecessor in title to the bulk
1209assignee. At any particular time, there may not be no more than
1210one bulk assignee within a condominium; however, but there may
1211be more than one bulk buyer. If more than one acquirer of
1212condominium parcels in the same condominium receives an
1213assignment of developer rights in addition to those rights
1214described in s. 718.703(2) from the same person, the bulk
1215assignee is the acquirer whose instrument of assignment is
1216recorded first in the public records of the county in which the
1217condominium is located, and any subsequent purported bulk
1218assignee may still qualify as a bulk buyer.
1219     Section 11.  Subsections (1) and (3) of section 718.705,
1220Florida Statutes, are amended to read:
1221     718.705  Board of administration; transfer of control.-
1222     (1)  If, at the time the bulk assignee acquires title to
1223the units and receives an assignment of developer rights, the
1224developer has not relinquished control of the board of
1225administration, for purposes of determining the timing for
1226transfer of control of the board of administration of the
1227association to unit owners other than the developer under s.
1228718.301(1)(a) and (b), if a bulk assignee is entitled to elect a
1229majority of the members of the board, a condominium parcel
1230acquired by the bulk assignee is not deemed to be conveyed to a
1231purchaser, or owned by an owner other than the developer, until
1232the condominium parcel is conveyed to an owner who is not a bulk
1233assignee.
1234     (3)  If a bulk assignee relinquishes control of the board
1235of administration as set forth in s. 718.301, the bulk assignee
1236must deliver all of those items required by s. 718.301(4).
1237However, the bulk assignee is not required to deliver items and
1238documents not in the possession of the bulk assignee if some
1239items were or should have been in existence before the bulk
1240assignee's acquisition of the units during the period during
1241which the bulk assignee was entitled to elect at least a
1242majority of the members of the board of administration. In
1243conjunction with the acquisition of units condominium parcels, a
1244bulk assignee shall undertake a good faith effort to obtain the
1245documents and materials that must be provided to the association
1246pursuant to s. 718.301(4). If the bulk assignee is not able to
1247obtain all of such documents and materials, the bulk assignee
1248must certify in writing to the association the names or
1249descriptions of the documents and materials that were not
1250obtainable by the bulk assignee. Delivery of the certificate
1251relieves the bulk assignee of responsibility for delivering the
1252documents and materials referenced in the certificate as
1253otherwise required under ss. 718.112 and 718.301 and this part.
1254The responsibility of the bulk assignee for the audit required
1255by s. 718.301(4) commences as of the date on which the bulk
1256assignee elected or appointed a majority of the members of the
1257board of administration.
1258     Section 12.  Section 718.706, Florida Statutes, is amended
1259to read:
1260     718.706  Specific provisions pertaining to offering of
1261units by a bulk assignee or bulk buyer.-
1262     (1)  Before offering more than seven any units in a single
1263condominium for sale or for lease for a term exceeding 5 years,
1264a bulk assignee or a bulk buyer must file the following
1265documents with the division and provide such documents to a
1266prospective purchaser or tenant:
1267     (a)  An updated prospectus or offering circular, or a
1268supplement to the prospectus or offering circular, filed by the
1269original developer prepared in accordance with s. 718.504, which
1270must include the form of contract for sale and for lease in
1271compliance with s. 718.503(2);
1272     (b)  An updated Frequently Asked Questions and Answers
1273sheet;
1274     (c)  The executed escrow agreement if required under s.
1275718.202; and
1276     (d)  The financial information required by s. 718.111(13).
1277However, if a financial information report did does not exist
1278for the fiscal year before the acquisition of title by the bulk
1279assignee or bulk buyer, and if or accounting records that cannot
1280be obtained in good faith by the bulk assignee or the bulk buyer
1281which would permit preparation of the required financial
1282information report for that period cannot be obtained despite
1283good faith efforts by the bulk assignee or the bulk buyer, the
1284bulk assignee or bulk buyer is excused from the requirement of
1285this paragraph. However, the bulk assignee or bulk buyer must
1286include in the purchase contract the following statement in
1287conspicuous type:
1288
1289ALL OR A PORTION OF THE FINANCIAL INFORMATION REPORT
1290REQUIRED UNDER S. 718.111(13) FOR THE TIME PERIOD
1291BEFORE THE SELLER'S ACQUISITION OF THE UNIT
1292IMMEDIATELY PRECEDING FISCAL YEAR OF THE ASSOCIATION
1293IS NOT AVAILABLE OR CANNOT BE OBTAINED DESPITE THE
1294GOOD FAITH EFFORTS OF CREATED BY THE SELLER DUE TO THE
1295INSUFFICIENT ACCOUNTING RECORDS OF THE ASSOCIATION.
1296
1297     (2)  Before offering more than seven any units in a single
1298condominium for sale or for lease for a term exceeding 5 years,
1299a bulk assignee or a bulk buyer must file with the division and
1300provide to a prospective purchaser or tenant under a lease for a
1301term exceeding 5 years a disclosure statement that includes, but
1302is not limited to:
1303     (a)  A description of any rights of the developer rights
1304that developer which have been assigned to the bulk assignee or
1305bulk buyer;
1306     (b)  The following statement in conspicuous type:
1307
1308THE SELLER IS NOT OBLIGATED FOR ANY WARRANTIES OF THE
1309DEVELOPER UNDER S. 718.203(1) OR S. 718.618, AS
1310APPLICABLE, EXCEPT FOR DESIGN, CONSTRUCTION,
1311DEVELOPMENT, OR REPAIR WORK PERFORMED BY OR ON BEHALF
1312OF THE SELLER; and
1313
1314     (c)  If the condominium is a conversion subject to part VI,
1315the following statement in conspicuous type:
1316
1317THE SELLER HAS NO OBLIGATION TO FUND CONVERTER
1318RESERVES OR TO PROVIDE CONVERTER WARRANTIES UNDER S.
1319718.618 ON ANY PORTION OF THE CONDOMINIUM PROPERTY
1320EXCEPT AS MAY BE EXPRESSLY REQUIRED OF THE SELLER IN
1321THE CONTRACT FOR PURCHASE AND SALE EXECUTED BY THE
1322SELLER AND THE PREVIOUS DEVELOPER AND PERTAINING TO
1323ANY DESIGN, CONSTRUCTION, DEVELOPMENT, OR REPAIR WORK
1324PERFORMED BY OR ON BEHALF OF THE SELLER.
1325
1326     (3)  A bulk assignee, while it is in control of the board
1327of administration of the association, may not authorize, on
1328behalf of the association:
1329     (a)  The waiver of reserves or the reduction of funding of
1330the reserves pursuant to s. 718.112(2)(f)2., unless approved by
1331a majority of the voting interests not controlled by the
1332developer, bulk assignee, and bulk buyer; or
1333     (b)  The use of reserve expenditures for other purposes
1334pursuant to s. 718.112(2)(f)3., unless approved by a majority of
1335the voting interests not controlled by the developer, bulk
1336assignee, and bulk buyer.
1337     (4)  A bulk assignee or a bulk buyer must comply with all
1338the requirements of s. 718.302 regarding any contracts entered
1339into by the association during the period the bulk assignee or
1340bulk buyer maintains control of the board of administration.
1341Unit owners shall be provided afforded all of the rights and the
1342protections contained in s. 718.302 regarding agreements entered
1343into by the association which are under the control of before
1344unit owners other than the developer, bulk assignee, or bulk
1345buyer elected a majority of the board of administration.
1346     (5)  Notwithstanding any other provision of this part, a
1347bulk assignee or a bulk buyer is not required to comply with the
1348filing or disclosure requirements of subsections (1) and (2) if
1349all of the units owned by the bulk assignee or bulk buyer are
1350offered and conveyed to a single purchaser in a single
1351transaction. A bulk buyer must comply with the requirements
1352contained in the declaration regarding any transfer of a unit,
1353including sales, leases, and subleases. A bulk buyer is not
1354entitled to any exemptions afforded a developer or successor
1355developer under this chapter regarding the transfer of a unit,
1356including sales, leases, or subleases.
1357     Section 13.  Section 718.707, Florida Statutes, is amended
1358to read:
1359     718.707  Time limitation for classification as bulk
1360assignee or bulk buyer.-A person acquiring condominium parcels
1361may not be classified as a bulk assignee or bulk buyer unless
1362the condominium parcels were acquired on or after July 1, 2010,
1363but before July 1, 2012. The date of such acquisition shall be
1364determined by the date of recording of a deed or other
1365instrument of conveyance for such parcels in the public records
1366of the county in which the condominium is located, or by the
1367date of issuing issuance of a certificate of title in a
1368foreclosure proceeding with respect to such condominium parcels.
1369     Section 14.  Subsections (3), (4), and (10) of section
1370719.108, Florida Statutes, are amended to read:
1371     719.108  Rents and assessments; liability; lien and
1372priority; interest; collection; cooperative ownership.-
1373     (3)  Rents and assessments, and installments on them, not
1374paid when due bear interest at the rate provided in the
1375cooperative documents from the date due until paid. This rate
1376may not exceed the rate allowed by law, and, if a rate is not
1377provided in the cooperative documents, interest accrues at 18
1378percent per annum. If the cooperative documents or bylaws so
1379provide, the association may charge an administrative late fee
1380in addition to such interest, in an amount not to exceed the
1381greater of $25 or 5 percent of each installment of the
1382assessment for each delinquent installment that the payment is
1383late. Any payment received by an association must be applied
1384first to any interest accrued by the association, then to any
1385administrative late fee, then to any costs and reasonable
1386attorney's fees incurred in collection, and then to the
1387delinquent assessment. The foregoing applies notwithstanding any
1388restrictive endorsement, designation, or instruction placed on
1389or accompanying a payment. A late fee is not subject to chapter
1390687 or s. 719.303(4)(3).
1391     (4)  The association has a lien on each cooperative parcel
1392for any unpaid rents and assessments, plus interest, and any
1393authorized administrative late fees, and any reasonable costs
1394for collection services for which the association has contracted
1395against the unit owner of the cooperative parcel. If authorized
1396by the cooperative documents, the lien also secures reasonable
1397attorney's fees incurred by the association incident to the
1398collection of the rents and assessments or enforcement of such
1399lien. The lien is effective from and after recording a claim of
1400lien in the public records in the county in which the
1401cooperative parcel is located which states the description of
1402the cooperative parcel, the name of the unit owner, the amount
1403due, and the due dates. The lien expires if a claim of lien is
1404not filed within 1 year after the date the assessment was due,
1405and the lien does not continue for longer than 1 year after the
1406claim of lien has been recorded unless, within that time, an
1407action to enforce the lien is commenced. Except as otherwise
1408provided in this chapter, a lien may not be filed by the
1409association against a cooperative parcel until 30 days after the
1410date on which a notice of intent to file a lien has been
1411delivered to the owner.
1412     (a)  The notice must be sent to the unit owner at the
1413address of the unit by first-class United States mail and:
1414     1.  If the most recent address of the unit owner on the
1415records of the association is the address of the unit, the
1416notice must be sent by registered or certified mail, return
1417receipt requested, to the unit owner at the address of the unit.
1418     2.  If the most recent address of the unit owner on the
1419records of the association is in the United States, but is not
1420the address of the unit, the notice must be sent by registered
1421or certified mail, return receipt requested, to the unit owner
1422at his or her most recent address.
1423     3.  If the most recent address of the unit owner on the
1424records of the association is not in the United States, the
1425notice must be sent by first-class United States mail to the
1426unit owner at his or her most recent address.
1427     (b)  A notice that is sent pursuant to this subsection is
1428deemed delivered upon mailing.
1429     (10)  If the unit is occupied by a tenant and the unit
1430owner is delinquent in paying any monetary obligation due to the
1431association, the association may make a written demand that the
1432tenant pay rent to the association the future monetary
1433obligations related to the cooperative share to the association
1434and continue to the tenant must make such payments until all
1435monetary obligations of the unit owner related to the unit have
1436been paid in full to the association payment. The demand is
1437continuing in nature, and upon demand, The tenant must pay the
1438monetary obligations to the association until the association
1439releases the tenant or the tenant discontinues tenancy in the
1440unit. The association must mail written notice to the unit owner
1441of the association's demand that the tenant make payments to the
1442association. The association shall, upon request, provide the
1443tenant with written receipts for payments made. A tenant who
1444acts in good faith in response to a written demand from an
1445association is immune from any claim by from the unit owner
1446related to the rent once the association has made written
1447demand. Any payment received from a tenant by the association
1448must be applied to the unit owner's oldest delinquent monetary
1449obligation.
1450     (a)  If the tenant paid prepaid rent to the unit owner for
1451a given rental period before receiving the demand from the
1452association and provides written evidence of prepaying paying
1453the rent to the association within 14 days after receiving the
1454demand, the tenant shall receive credit for the prepaid rent for
1455the applicable period but and must make any subsequent rental
1456payments to the association to be credited against the monetary
1457obligations of the unit owner to the association.
1458     (b)  The tenant is not liable for increases in the amount
1459of the regular monetary obligations due unless the tenant was
1460notified in writing of the increase at least 10 days before the
1461date on which the rent is due. The liability of the tenant may
1462not exceed the amount due from the tenant to the tenant's
1463landlord. The tenant's landlord shall provide the tenant a
1464credit against rents due to the unit owner in the amount of
1465moneys paid to the association under this section.
1466     (c)  The association may issue notices under s. 83.56 and
1467may sue for eviction under ss. 83.59-83.625 as if the
1468association were a landlord under part II of chapter 83 if the
1469tenant fails to pay a required payment. However, the association
1470is not otherwise considered a landlord under chapter 83 and
1471specifically has no obligations duties under s. 83.51.
1472     (d)  The tenant does not, by virtue of payment of monetary
1473obligations, have any of the rights of a unit owner to vote in
1474any election or to examine the books and records of the
1475association.
1476     (e)  A court may supersede the effect of this subsection by
1477appointing a receiver.
1478     Section 15.  Subsection (3) of section 719.303, Florida
1479Statutes, is amended, and subsections (4), (5), and (6) are
1480added to that section, to read:
1481     719.303  Obligations of owners.-
1482     (3)  If the cooperative documents so provide, The
1483association may levy reasonable fines against a unit owner for
1484failure of the unit owner or the unit's occupant, his or her
1485licensee, or invitee or the unit's occupant to comply with any
1486provision of the cooperative documents or reasonable rules of
1487the association. A fine may not No fine shall become a lien
1488against a unit. No fine shall exceed $100 per violation.
1489However, A fine may be levied on the basis of each day of a
1490continuing violation, with a single notice and opportunity for
1491hearing. However, the fine may not exceed $100 per violation, or
1492$1,000 provided that no such fine shall in the aggregate exceed
1493$1,000.
1494     (a)  An association may suspend, for a reasonable period of
1495time, the right of a unit owner, or a unit owner's tenant,
1496guest, or invitee, to use the common elements, common
1497facilities, or any other association property for failure to
1498comply with any provision of the cooperative documents or
1499reasonable rules of the association.
1500     (b)  A No fine or suspension may not be imposed levied
1501except after giving reasonable notice and opportunity for a
1502hearing to the unit owner and, if applicable, the unit's his or
1503her licensee or invitee. The hearing must shall be held before a
1504committee of other unit owners. If the committee does not agree
1505with the fine or suspension, it may shall not be imposed levied.
1506This subsection does not apply to unoccupied units.
1507     (4)  If a unit owner is more than 90 days delinquent in
1508paying a monetary obligation due to the association, the
1509association may suspend the right of the unit owner or the
1510unit's occupant, licensee, or invitee to use common elements,
1511common facilities, or any other association property until the
1512monetary obligation is paid in full. This subsection does not
1513apply to limited common elements intended to be used only by
1514that unit, common elements needed to access the unit, utility
1515services provided to the unit, parking spaces, or elevators. The
1516notice and hearing requirements under subsection (3) do not
1517apply to suspensions imposed under this subsection.
1518     (5)  An association may suspend the voting rights of a
1519member due to nonpayment of any monetary obligation due to the
1520association which is more than 90 days delinquent. The
1521suspension ends upon full payment of all obligations currently
1522due or overdue the association. A voting interest or consent
1523right allocated to a unit which has been suspended by the
1524association may not be exercised or considered for any purpose,
1525including, but not limited to, a quorum, an election, or the
1526votes required to approve an action under this chapter or
1527pursuant to the cooperative documents. The notice and hearing
1528requirements under subsection (3) do not apply to a suspension
1529imposed under this subsection.
1530     (6)  All suspensions imposed pursuant to subsection (4) or
1531subsection (5) must be approved at a properly noticed board
1532meeting. Upon approval, the association must notify the unit
1533owner and, if applicable, the unit's occupant, licensee, or
1534invitee by mail or hand delivery.
1535     Section 16.  Subsection (4) of section 720.301, Florida
1536Statutes, is amended to read:
1537     720.301  Definitions.-As used in this chapter, the term:
1538     (4)  "Declaration of covenants," or "declaration," means a
1539recorded written instrument or instruments in the nature of
1540covenants running with the land which subject subjects the land
1541comprising the community to the jurisdiction and control of an
1542association or associations in which the owners of the parcels,
1543or their association representatives, must be members.
1544     Section 17.  Paragraph (c) of subsection (5) of section
1545720.303, Florida Statutes, is amended to read:
1546     720.303  Association powers and duties; meetings of board;
1547official records; budgets; financial reporting; association
1548funds; recalls.-
1549     (5)  INSPECTION AND COPYING OF RECORDS.-The official
1550records shall be maintained within the state and must be open to
1551inspection and available for photocopying by members or their
1552authorized agents at reasonable times and places within 10
1553business days after receipt of a written request for access.
1554This subsection may be complied with by having a copy of the
1555official records available for inspection or copying in the
1556community. If the association has a photocopy machine available
1557where the records are maintained, it must provide parcel owners
1558with copies on request during the inspection if the entire
1559request is limited to no more than 25 pages.
1560     (c)  The association may adopt reasonable written rules
1561governing the frequency, time, location, notice, records to be
1562inspected, and manner of inspections, but may not require a
1563parcel owner to demonstrate any proper purpose for the
1564inspection, state any reason for the inspection, or limit a
1565parcel owner's right to inspect records to less than one 8-hour
1566business day per month. The association may impose fees to cover
1567the costs of providing copies of the official records,
1568including, without limitation, the costs of copying. The
1569association may charge up to 50 cents per page for copies made
1570on the association's photocopier. If the association does not
1571have a photocopy machine available where the records are kept,
1572or if the records requested to be copied exceed 25 pages in
1573length, the association may have copies made by an outside
1574vendor or association management company personnel and may
1575charge the actual cost of copying, including any reasonable
1576costs involving personnel fees and charges at an hourly rate for
1577vendor or employee time to cover administrative costs to the
1578vendor or association. The association shall maintain an
1579adequate number of copies of the recorded governing documents,
1580to ensure their availability to members and prospective members.
1581Notwithstanding this paragraph, the following records are not
1582accessible to members or parcel owners:
1583     1.  Any record protected by the lawyer-client privilege as
1584described in s. 90.502 and any record protected by the work-
1585product privilege, including, but not limited to, a any record
1586prepared by an association attorney or prepared at the
1587attorney's express direction which reflects a mental impression,
1588conclusion, litigation strategy, or legal theory of the attorney
1589or the association and which was prepared exclusively for civil
1590or criminal litigation or for adversarial administrative
1591proceedings or which was prepared in anticipation of such
1592imminent civil or criminal litigation or imminent adversarial
1593administrative proceedings until the conclusion of the
1594litigation or administrative proceedings.
1595     2.  Information obtained by an association in connection
1596with the approval of the lease, sale, or other transfer of a
1597parcel.
1598     3.  Personnel records of the association's employees,
1599including, but not limited to, disciplinary, payroll, health,
1600and insurance records. For purposes of this subparagraph, the
1601term "personnel records" does not include written employment
1602agreements with an association employee or budgetary or
1603financial records that indicate the compensation paid to an
1604association employee.
1605     4.  Medical records of parcel owners or community
1606residents.
1607     5.  Social security numbers, driver's license numbers,
1608credit card numbers, electronic mailing addresses, telephone
1609numbers, facsimile numbers, emergency contact information, any
1610addresses for a parcel owner other than as provided for
1611association notice requirements, and other personal identifying
1612information of any person, excluding the person's name, parcel
1613designation, mailing address, and property address. However, an
1614owner may consent in writing to the disclosure of protected
1615information described in this subparagraph. The association is
1616not liable for the disclosure of information that is protected
1617under this subparagraph if the information is included in an
1618official record of the association and is voluntarily provided
1619by an owner and not requested by the association.
1620     6.  Any electronic security measure that is used by the
1621association to safeguard data, including passwords.
1622     7.  The software and operating system used by the
1623association which allows the manipulation of data, even if the
1624owner owns a copy of the same software used by the association.
1625The data is part of the official records of the association.
1626     Section 18.  Section 720.305, Florida Statutes, is amended
1627to read:
1628     720.305  Obligations of members; remedies at law or in
1629equity; levy of fines and suspension of use rights.-
1630     (1)  Each member and the member's tenants, guests, and
1631invitees, and each association, are governed by, and must comply
1632with, this chapter, the governing documents of the community,
1633and the rules of the association. Actions at law or in equity,
1634or both, to redress alleged failure or refusal to comply with
1635these provisions may be brought by the association or by any
1636member against:
1637     (a)  The association;
1638     (b)  A member;
1639     (c)  Any director or officer of an association who
1640willfully and knowingly fails to comply with these provisions;
1641and
1642     (d)  Any tenants, guests, or invitees occupying a parcel or
1643using the common areas.
1644
1645The prevailing party in any such litigation is entitled to
1646recover reasonable attorney's fees and costs. A member
1647prevailing in an action between the association and the member
1648under this section, in addition to recovering his or her
1649reasonable attorney's fees, may recover additional amounts as
1650determined by the court to be necessary to reimburse the member
1651for his or her share of assessments levied by the association to
1652fund its expenses of the litigation. This relief does not
1653exclude other remedies provided by law. This section does not
1654deprive any person of any other available right or remedy.
1655     (2)  The association If a member is delinquent for more
1656than 90 days in paying a monetary obligation due the
1657association, an association may suspend, until such monetary
1658obligation is paid, the rights of a member or a member's
1659tenants, guests, or invitees, or both, to use common areas and
1660facilities and may levy reasonable fines of up to $100 per
1661violation, against any member or any member's tenant, guest, or
1662invitee for the failure of the owner of the parcel or its
1663occupant, licensee, or invitee to comply with any provision of
1664the declaration, the association bylaws, or reasonable rules of
1665the association. A fine may be levied for each day of a
1666continuing violation, with a single notice and opportunity for
1667hearing, except that the a fine may not exceed $1,000 in the
1668aggregate unless otherwise provided in the governing documents.
1669A fine of less than $1,000 may not become a lien against a
1670parcel. In any action to recover a fine, the prevailing party is
1671entitled to collect its reasonable attorney's fees and costs
1672from the nonprevailing party as determined by the court.
1673     (a)  An association may suspend, for a reasonable period of
1674time, the right of a member, or a member's tenant, guest, or
1675invitee, to use common areas and facilities for the failure of
1676the owner of the parcel or its occupant, licensee, or invitee to
1677comply with any provision of the declaration, the association
1678bylaws, or reasonable rules of the association. The provisions
1679regarding the suspension-of-use rights do not apply to the
1680portion of common areas that must be used to provide access to
1681the parcel or utility services provided to the parcel.
1682     (b)(a)  A fine or suspension may not be imposed without at
1683least 14 days' notice to the person sought to be fined or
1684suspended and an opportunity for a hearing before a committee of
1685at least three members appointed by the board who are not
1686officers, directors, or employees of the association, or the
1687spouse, parent, child, brother, or sister of an officer,
1688director, or employee. If the committee, by majority vote, does
1689not approve a proposed fine or suspension, it may not be
1690imposed. If the association imposes a fine or suspension, the
1691association must provide written notice of such fine or
1692suspension by mail or hand delivery to the parcel owner and, if
1693applicable, to any tenant, licensee, or invitee of the parcel
1694owner.
1695     (3)  If a member is more than 90 days delinquent in paying
1696a monetary obligation due to the association, the association
1697may suspend the rights of the member, or the member's tenant,
1698guest, or invitee, to use common areas and facilities until the
1699monetary obligation is paid in full. This subsection does not
1700apply to that portion of common areas used to provide access or
1701utility services to the parcel.
1702     (b)  Suspension does of common-area-use rights do not
1703impair the right of an owner or tenant of a parcel to have
1704vehicular and pedestrian ingress to and egress from the parcel,
1705including, but not limited to, the right to park. The notice and
1706hearing requirements under subsection (2) do not apply to a
1707suspension imposed under this subsection.
1708     (4)(3)  If the governing documents so provide, An
1709association may suspend the voting rights of a member for the
1710nonpayment of any monetary obligation that is more than regular
1711annual assessments that are delinquent in excess of 90 days
1712delinquent. A voting interest or consent right allocated to a
1713parcel which has been suspended by the association may not be
1714exercised or considered for any purpose, including, but not
1715limited to, a quorum, an election, or the votes required to
1716approve an action under this chapter or pursuant to the
1717governing documents. The notice and hearing requirements under
1718subsection (3) do not apply to a suspension imposed under this
1719subsection. The suspension ends upon full payment of all
1720obligations currently due or overdue to the association.
1721     (5)  All suspensions imposed pursuant to subsection (3) or
1722subsection (4) must be approved at a properly noticed board
1723meeting. Upon approval, the association must notify the parcel
1724owner and, if applicable, the parcel's occupant, licensee, or
1725invitee by mail or hand delivery.
1726     Section 19.  Subsection (9) of section 720.306, Florida
1727Statutes, is amended to read:
1728     720.306  Meetings of members; voting and election
1729procedures; amendments.-
1730     (9)(a)  ELECTIONS AND BOARD VACANCIES.- Elections of
1731directors must be conducted in accordance with the procedures
1732set forth in the governing documents of the association. All
1733members of the association are eligible to serve on the board of
1734directors, and a member may nominate himself or herself as a
1735candidate for the board at a meeting where the election is to be
1736held or, if the election process allows voting by absentee
1737ballot, in advance of the balloting. Except as otherwise
1738provided in the governing documents, boards of directors must be
1739elected by a plurality of the votes cast by eligible voters.
1740     (b)  A person who is delinquent in the payment of any fee,
1741fine, or other monetary obligation to the association for more
1742than 90 days is not eligible for board membership. A person who
1743has been convicted of any felony in this state or in a United
1744States District or Territorial Court, or has been convicted of
1745any offense in another jurisdiction which would be considered a
1746felony if committed in this state, is not eligible for board
1747membership unless such felon's civil rights have been restored
1748for at least 5 years as of the date on which such person seeks
1749election to the board. The validity of any action by the board
1750is not affected if it is later determined that a member of the
1751board is ineligible for board membership.
1752     (c)  Any election dispute between a member and an
1753association must be submitted to mandatory binding arbitration
1754with the division. Such proceedings must be conducted in the
1755manner provided by s. 718.1255 and the procedural rules adopted
1756by the division. Unless otherwise provided in the bylaws, any
1757vacancy occurring on the board before the expiration of a term
1758may be filled by an affirmative vote of the majority of the
1759remaining directors, even if the remaining directors constitute
1760less than a quorum, or by the sole remaining director. In the
1761alternative, a board may hold an election to fill the vacancy,
1762in which case the election procedures must conform to the
1763requirements of the governing documents. Unless otherwise
1764provided in the bylaws, a board member appointed or elected
1765under this section is appointed for the unexpired term of the
1766seat being filled. Filling vacancies created by recall is
1767governed by s. 720.303(10) and rules adopted by the division.
1768     Section 20.  Paragraph (a) of subsection (1) and
1769subsections (3) and (8) of section 720.3085, Florida Statutes,
1770are amended to read:
1771     720.3085  Payment for assessments; lien claims.-
1772     (1)  When authorized by the governing documents, the
1773association has a lien on each parcel to secure the payment of
1774assessments and other amounts provided for by this section.
1775Except as otherwise set forth in this section, the lien is
1776effective from and shall relate back to the date on which the
1777original declaration of the community was recorded. However, as
1778to first mortgages of record, the lien is effective from and
1779after recording of a claim of lien in the public records of the
1780county in which the parcel is located. This subsection does not
1781bestow upon any lien, mortgage, or certified judgment of record
1782on July 1, 2008, including the lien for unpaid assessments
1783created in this section, a priority that, by law, the lien,
1784mortgage, or judgment did not have before July 1, 2008.
1785     (a)  To be valid, a claim of lien must state the
1786description of the parcel, the name of the record owner, the
1787name and address of the association, the assessment amount due,
1788and the due date. The claim of lien secures shall secure all
1789unpaid assessments that are due and that may accrue subsequent
1790to the recording of the claim of lien and before entry of a
1791certificate of title, as well as interest, late charges, and
1792reasonable costs and attorney's fees incurred by the association
1793incident to the collection process. The person making the
1794payment is entitled to a satisfaction of the lien upon payment
1795in full.
1796     (3)  Assessments and installments on assessments that are
1797not paid when due bear interest from the due date until paid at
1798the rate provided in the declaration of covenants or the bylaws
1799of the association, which rate may not exceed the rate allowed
1800by law. If no rate is provided in the declaration or bylaws,
1801interest accrues at the rate of 18 percent per year.
1802     (a)  If the declaration or bylaws so provide, the
1803association may also charge an administrative late fee in an
1804amount not to exceed the greater of $25 or 5 percent of the
1805amount of each installment that is paid past the due date.
1806     (b)  Any payment received by an association and accepted
1807shall be applied first to any interest accrued, then to any
1808administrative late fee, then to any costs and reasonable
1809attorney's fees incurred in collection, and then to the
1810delinquent assessment. This paragraph applies notwithstanding
1811any restrictive endorsement, designation, or instruction placed
1812on or accompanying a payment. A late fee is not subject to the
1813provisions of chapter 687 and is not a fine.
1814     (8)  If the parcel is occupied by a tenant and the parcel
1815owner is delinquent in paying any monetary obligation due to the
1816association, the association may demand that the tenant pay rent
1817to the association and continue to make such payments until all
1818the monetary obligations of the parcel owner related to the
1819parcel have been paid in full and the future monetary
1820obligations related to the parcel. The demand is continuing in
1821nature, and upon demand, the tenant must continue to pay the
1822monetary obligations until the association releases the tenant
1823or until the tenant discontinues tenancy in the parcel. A tenant
1824who acts in good faith in response to a written demand from an
1825association is immune from any claim by from the parcel owner
1826related to the rent once the association has made written
1827demand. Any payment received from a tenant by the association
1828must be applied to the parcel owner's oldest delinquent monetary
1829obligation.
1830     (a)  If the tenant paid prepaid rent to the parcel owner
1831for a given rental period before receiving the demand from the
1832association and provides written evidence of prepaying paying
1833the rent to the association within 14 days after receiving the
1834demand, the tenant shall receive credit for the prepaid rent for
1835the applicable period but and must make any subsequent rental
1836payments to the association to be credited against the monetary
1837obligations of the parcel owner to the association. The
1838association shall, upon request, provide the tenant with written
1839receipts for payments made. The association shall mail written
1840notice to the parcel owner of the association's demand that the
1841tenant pay monetary obligations to the association.
1842     (b)  The tenant is not liable for increases in the amount
1843of the monetary obligations due unless the tenant was notified
1844in writing of the increase at least 10 days before the date on
1845which the rent is due. The liability of the tenant may not
1846exceed the amount due from the tenant to the tenant's landlord.
1847The tenant shall be given a credit against rents due to the
1848parcel owner in the amount of assessments paid to the
1849association.
1850     (c)  The association may issue notices under s. 83.56 and
1851may sue for eviction under ss. 83.59-83.625 as if the
1852association were a landlord under part II of chapter 83 if the
1853tenant fails to pay a monetary obligation. However, the
1854association is not otherwise considered a landlord under chapter
185583 and specifically has no obligations duties under s. 83.51.
1856     (d)  The tenant does not, by virtue of payment of monetary
1857obligations, have any of the rights of a parcel owner to vote in
1858any election or to examine the books and records of the
1859association.
1860     (e)  A court may supersede the effect of this subsection by
1861appointing a receiver.
1862     Section 21.  Section 720.309, Florida Statutes, is amended
1863to read:
1864     720.309  Agreements entered into by the association.-
1865     (1)  Any grant or reservation made by any document, and any
1866contract that has with a term greater than in excess of 10
1867years, that is made by an association before control of the
1868association is turned over to the members other than the
1869developer, and that provides which provide for the operation,
1870maintenance, or management of the association or common areas,
1871must be fair and reasonable.
1872     (2)  If the governing documents provide for the cost of
1873communications services as defined in s. 202.11, information
1874services or Internet services obtained pursuant to a bulk
1875contract shall be deemed an operating expense of the
1876association. If the governing documents do not provide for such
1877services, the board may contract for the services, and the cost
1878shall be deemed an operating expense of the association but must
1879be allocated on a per-parcel basis rather than a percentage
1880basis, notwithstanding that the governing documents provide for
1881other than an equal sharing of operating expenses. Any contract
1882entered into before July 1, 2011, in which the cost of the
1883service is not equally divided among all parcel owners may be
1884changed by a majority of the voting interests present at a
1885regular or special meeting of the association in order to
1886allocate the cost equally among all parcels.
1887     (a)  Any contract entered into by the board may be canceled
1888by a majority of the voting interests present at the next
1889regular or special meeting of the association, whichever occurs
1890first. Any member may make a motion to cancel such contract, but
1891if no motion is made or if such motion fails to obtain the
1892required vote, the contract shall be deemed ratified for the
1893term expressed therein.
1894     (b)  Any contract entered into by the board must provide,
1895and shall be deemed to provide if not expressly set forth
1896therein, that a hearing-impaired or legally blind parcel owner
1897who does not occupy the parcel with a non-hearing-impaired or
1898sighted person, or a parcel owner who receives supplemental
1899security income under Title XVI of the Social Security Act or
1900food assistance as administered by the Department of Children
1901and Family Services pursuant to s. 414.31, may discontinue the
1902service without incurring disconnect fees, penalties, or
1903subsequent service charges, and may not be required to pay any
1904operating expenses charge related to such service for those
1905parcels. If fewer than all parcel owners share the expenses of
1906the communications services, information services, or Internet
1907services, the expense must be shared by all participating parcel
1908owners. The association may use the provisions of s. 720.3085 to
1909enforce payment by the parcel owners receiving such services.
1910     (c)  A resident of any parcel, whether a tenant or parcel
1911owner, may not be denied access to available franchised,
1912licensed, or certificated cable or video service providers if
1913the resident pays the provider directly for services. A resident
1914or a cable or video service provider may not be required to pay
1915anything of value in order to obtain or provide such service
1916except for the charges normally paid for like services by
1917residents of single-family homes located outside the community
1918but within the same franchised, licensed, or certificated area,
1919and except for installation charges agreed to between the
1920resident and the service provider.
1921     Section 22.  This act shall take effect July 1, 2011.


CODING: Words stricken are deletions; words underlined are additions.