Collection Agency Agreements: What You Don’t Know Can Hurt You

Instead of retaining experienced legal counsel, some community associations contract with a collection agency to pursue delinquent assessments without an understanding of the major differences between the two approaches. One purported benefit offered by collection agencies is a “no upfront fees” approach where fees and costs are deferred and only added to the delinquent account…

Dept. of Veterans Affairs Makes Site Condo Approval Easier

“Effective immediately, site condominiums in the state of Michigan will be processed in the same manner as a single family detached residence. VA will no longer review legal documentation for site condominiums. Lenders will be responsible for ensuring that any site condominium proposed as collateral for a VA-guaranteed loan meet requirements for the state of…

Stay on Top of Co-Owners’ Obligation to Insure

Unfortunately, we have witnessed a recent spate of fires that have occurred in various condominiums throughout Michigan. This has reminded us, and the associations that we represent, how important it is to have appropriate provisions in the condominium bylaws requiring co-owners to insure their units, and to enforce those provisions consistently. Some co-owners mistakenly assume…

Be Careful With Your Bylaw Restrictions

We recently wrote about some homeowners who plainly violated the restrictive covenants in their association’s governing documents when they painted their home blue without submitting an application for approval. Another case involving a blue house from Nebraska recently caught our attention, Estates at Prairie Ridge Homeowners Association v. Korth, 904 N.W.2d 15 (Neb. 2017). However,…

Commercial Use Prohibitions Mean No Short-Term Renting

The Michigan Court of Appeals has published a 2-1 split decision, Eager v. Peasley, Mich App N.W.2d, 2017 WL 5907310, confirming that short-term rentals (generally understood to be for a term less than one month) constitute violations of “commercial use” prohibitions in deed restrictions. Previously, there were unpublished decisions to this effect, but a published…

Massachusetts Gets it Right Regarding Anti-Litigation Provisions

We have previously written about Michigan HB 4446, advocating for removal of the exemption for developers in the bill, or in the alternative, abandoning it. Now, a new Massachusetts Supreme Court ruling in Trustees of the Cambridge Point Condominium Trust vs. Cambridge Point, LLC has been published, where the court found an anti-litigation provision in the…