Malta the Hidden Secret
Malta is a hidden secret for many and is truly stunning in its capture. Find out more about the islands real estate.
How Should Community Associations Deal With Smoking? The Burning Question…
By Brian R. Harris, Esq. How to handle smoking in community associations presents a significant dilemma for the community’s board of directors. That is, whether to side with what tends to be the majority and pursue a ban on smoking on common elements, in individual homes, or both. Or, whether to side with the smokers…
5 “Don’ts” for Your Board of Directors
Don’t cut off utilities for delinquent assessments The reasoning goes, “We’ll see just how hard up they are – we’ll cut off their water and then see how soon they pay.” However, even if this is allowed under your governing documents, you are taking on significant risk by doing this. What if there is a…
Backyard Chickens – Fowl or Fair?
Most community associations will have a provision in their Bylaws or Declaration that effectively prohibits chickens from being kept in a backyard, such as “No farm animals, livestock, reptiles or exotic animals are allowed…” But some associations located in municipalities which do not ban chickens have been considering a change to their restrictions in light…
Beware Lawyer “Vanity Awards”
By Robert Meisner In reviewing a recent issue of a statewide legal publication, I noted that a former associate of our firm, who now heads his own firm, had submitted an announcement that he received an award from the “American Institute of Legal Counsel” (AIOLC). Unfortunately, he may have been duped by an unethical “vanity…
Don’t Give Up on Your Assessment Collection Efforts
The owner has not paid assessments in years. Perhaps the owner has a gambling problem and flushed all their money away at the casino. The only significant asset other than their residence is a car with a lien on title, which can’t be seized for a sheriff’s sale. The only income is social security, which…
How Do You Choose a Mediator?
By Robert M. Meisner Most judges in circuit court these days do whatever they can to see if a case can be resolved quickly and reasonably. To that end, the mediation-facilitation process is widely utilized to complete that task. Mediators are usually trained specifically to accomplish their responsibilities, but many times, there are persons who…
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…
Suspicious Minds of the Association Members
We’re caught in a trap We can’t reach quorum Because it’s two-thirds, baby Why can’t you see What you’re doing to me When you don’t give me your proxy? – Elvis President It’s a common problem for just about every board of directors – voter apathy and lack of trust will cause association members to…
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…
Priority Amendments to Governing Documents
Many Michigan condominium and homeowner association directors want to know how their governing documents might be improved. In our experience, it’s highly likely that just about any community association’s governing documents would benefit from full amendment and restatement. This holds true even for newer developments because developers that draft the governing documents have little incentive…
Guns in the Condominium: Rights and Restrictions
We recently examined an interesting question – can an association prohibit co-owners from bringing firearms to meetings of members held in the common elements? There is no case law specifically confirming the answer to this question, but this kind of rule or restriction would likely be defensible if challenged in court. The published legal scholarship…
Special Ethics Considerations for Community Association Lawyers
In the practice of community association law, attorneys face special ethical considerations with respect to representation of community association clients and the attorney’s relationship with community association management companies. Certain attorneys may receive a large portion of their business through referrals from one or two management companies, and if a dispute arises between one of…
Getting Millennials Involved With the Board
It’s happened again – someone has resigned from their position as director of your community association, and your Bylaws allow the Board to appoint someone to serve the remainder of the unserved term. It’s been difficult in the past to find volunteers, but you definitely need the help. The location of your condominium or homeowners…
The Five “INs” to Consider About Community Association Legal Counsel
As I have preached for so many years, boards of directors of community associations sometimes think that their job is to spend as little money at whatever cost. This carries over to the retention of legal counsel, and sometimes, their decision is prompted by a misguided simple comparison of billing rates alone and/or an affiliation…
Board Members Expected to Have Thick Skin
Contentious elections of an association’s board of directors can result in some serious allegations against candidates being communicated to an association’s members. “The board is wasting our money!” “He’s lazy and doesn’t want to do anything!” “She’s horrible at this!” While board members and candidates may feel wronged by inaccurate or false statements, they should…
It’s a Bird, It’s a Plane, No, It’s a Drone!
With the exponential rise in the popularity of drones (technically referred to as “Unmanned Aerial Vehicles”) over the past few years for personal use, as well as current testing by businesses like Amazon for commercial delivery to residences, the federal government and many states, including our state government in Michigan, have taken the first steps…
3 Reasons Your Community Association Assessments Are Too Low
When we speak with directors and other leaders from Michigan community associations, especially those from homeowners associations and subdivisions, we hear some common refrains when discussing the inadequacy of their regular monthly assessment/dues amounts. The Board may be fully aware that income is not sufficient to meet projected future costs, but for many reasons, the…
The 10 Things You Must Know Before Hiring Community Association Management
Most management companies recognize that in this dog-eat-dog world, marketing and advertising are extremely important in order to attract community association clients. In the old days, it was always the cheapest management company that had a leg up on getting the account. Nowadays, community associations tend to be more sophisticated in deciding which management company…
Michigan or California – Where Do You Want to Live?
After working with California condominium and homeowner associations for over 10 years with a prominent community association law firm based in Los Angeles, my wife and I decided to move to the Detroit area to be closer to extended family. I had the fortune to join up with The Meisner Law Group here as a…
Myths About Condominiums
Over the course of our many years practicing condominium law, we have found that co-owners and board members alike will require guidance to correct some common misconceptions about condominium living and the respective responsibilities of the co-owners, management and board of directors of the Association. Following are some thoughts on some of the most persistent…
Are You Observing Constitutional Rights in Disciplinary Hearings?
Boards of directors of community associations (and, unfortunately, even the attorneys advising them) will sometimes mistakenly believe that co-owners are not entitled to certain Constitutional rights of due process with respect to disciplinary hearings. They might warn a co-owner not to bring their attorney to a hearing or not allow an owner to cross-examine witnesses,…
When the Inmates Take Over the Asylum and a Good Board Loses Control
Those of us who have been involved in representing community associations (in my case, for over forty-five years) have, no doubt, experienced a situation where so-called dissidents in a community association, for clearly irrational reasons, strive to seize control of the association so they can further their “platform”, which frequently leads to the demise of…
Opting Out of Condo Association Audit Requirements – Good or Bad?
Michigan condominium associations with annual revenues greater than $20,000 are required under the Michigan Condominium Act to submit their financial records for an annual audit or review by a Certified Public Accountant. However, many condominium associations do not know that the co-owners may vote to opt out of this requirement on an annual basis, by…
Nonprofit Corporation Act changes harm condo associations
Michigan residents who live in condo/homeowner/cooperative associations and fair-minded lawyers who have ties or dealings with nonprofit corporations were recently dealt a serious blow by lawmakers. Significant changes were made to the Michigan Nonprofit Corporation Act (the “Act”) during a lame-duck session of the Legislature. Although some changes can be viewed as positive, as a…
Tips on How to Handle Disputes With the Condominium Developer
A. DON’T DO IT YOURSELF Turn the matter over to your experienced community association attorney – otherwise, you will be outgunned and outsmarted, as most developers are sophisticated businesspeople with an army of lawyers. B. DETERMINE WHAT MAY BE AT ISSUE Circulate a questionnaire to all co-owners regarding construction defects and other problems. If the defects…
Assistance Animals in a “No Pets” Community
You moved into a homeowner’s association where pets are not allowed. Or maybe you serve on the Board of Directors of a homeowner’s association where there is a “no pets” policy. Perhaps that is the reason you chose to move into that community or it was of one of several reasons. Then one day, you…
On the Board: Legal Aid
By Robert M. Meisner, Esq. Listen up, board members: The community association attorney does not work for you. The attorney is accountable to the entity that hired him or her, namely the community association itself. The board members govern the association, but they are not the client. Some community association board members believe the association…
Navigating the Relationship Between the Managing Agent and Attorney for Association
By Robert M. Meisner, Esq. It has always been the position of this law firm that a community or condominium association should get all of the help it possibly can in running its affairs. The directors and officers are generally volunteers who are not compensated for their efforts, are incurring potential liability, and are often involved…
Condominium Boards and Ethics: The top 5 reasons that your Association needs a Code of Conduct
Condominium associations are largely governed by volunteer directors that receive little training with respect to their fiduciary duties and potential ethical issues that they may face. Each director has a fiduciary duty of care and duty of loyalty to act in the best interest of the association. Unfortunately, many directors blur the lines between what…
What are the top 5 signs that your Condominium Documents need to be amended in Michigan?
It is the responsibility of the Board to enforce the Master Deed and Bylaws. MCL 559.190 allows for the Condominium Bylaws to be amended based upon a vote of 2/3 of the Co-Owners. In certain circumstances identified in MCL 559.190a, mortgagee approval is also required to amend the condominium documents. Many Associations run into problems…
The Top 3 Roadblocks Preventing Your Condominium Association From Obtaining FHA Certification
*This article may not reflect current changes being made by FHA which are in the process of being finalized by FHA at this time. Contact us to confirm current requirements. An FHA loan allows a buyer to purchase a condominium with a smaller down payment, and in some instances, at lower interest rates. A purchaser can…
Who is the Developer of my Condominium?
The Michigan Condominium Act, specifically MCL 559.106(2), defines a “Developer” of a Michigan Condominium as follows: (2) “Developer” means a person engaged in the business of developing a condominium project as provided in this act. Developer does not include any of the following (a) A real estate broker acting as agent for the developer in…
3 Tips for Handling a Co-Owner’s request to install an Electric Vehicle Charging Station
1. Review the Condominium Documents. An electric vehicle charging station (EVCS) will likely need to be located on the common elements or be hooked up to common elements. The condominium documents almost always require Board approval before a co-owner can make a modification to the common elements. The Board should review the condominium documents to determine…
A Roadmap to Discovering and Resolving Common Element Construction Defects
The improving real estate market has resulted in decreased home inventories, which has created an increased demand for new construction condominiums. Many potential purchasers will look to buy new construction condominium units with the expectation that the general common elements will be free from construction defects. This expectation often arises from two common myths. First,…
Community Associations: What Questions Should You Ask to Find the Truth About the Real Cost of Legal Services?
By Robert Meisner Frequently, we are asked about what questions a Condo Board should ask to find out the truth about the real cost of legal services, as some attorneys may try to brand some competitors as “expensive” in order to discourage condominium associations from hiring that firm. I thought it would be a good idea, therefore, to discuss…
Don’t take a vacation from the additional regulations that apply to Condominium Hotels
Michigan has been blessed with the Great Lakes which has resulted in numerous condominium projects being developed on or near the water that are intended for daily or weekly use by temporary occupants. These condominium projects are often referred to as “Condominium Hotels”, “Resort Condominiums”, “Condotels” or “Vacation Condominiums” despite the fact that the Michigan…
Smoking Bans in Condominiums
By Robert Meisner Most Michigan residents are familiar with the Dr. Ron Davis Smoke-Free Air Law of 2009; if not by name, then by its radical ban of smoking in Michigan’s restaurants and taverns. It is hard to imagine another law that has changed our daily lives more. The Act, and others like it around…
Association Boards and the “Duty to Act”
By Robert Meisner What is the duty of the Community Association (the Board of Directors) to act? I have been asked to write a brief article on whether Boards have a choice when it comes to enforcing the provisions of the Community Association Documents. What can be the consequences of that choice and to what…
Don’t Sign Your Cable Contract Until You Talk to Us
By Robert Meisner Many of our clients have recently been approached by their local cable franchise with an agreement which seems too good to be true. We agree. In most cases the agreement is too good to be true and should be reviewed first by legal counsel. Routinely, the cable company has offered to pay the…
Saving the Manager from Liability
By Robert Meisner By giving property managers the power to oversee a community, they become potentially liable to persons who may be injured, or for property that may be damaged. Consequently, property managers are often named as defendants in premises liability and other lawsuits. Therefore, it is imperative that property managers understand their potential for…
Purchasing a Condo as Your Primary Residence
By Robert Meisner In order to determine whether you are a good candidate for condominium living, you must understand the benefits and the disadvantages of condominium living. Those of us who are involved in the condominium industry will always agree on at least one thing. The biggest problem in the condominium setting is the condominium…
Collecting Assessments
By Robert Meisner As I have often told the participants in my seminars, collecting assessments is the lifeblood of the Association. First and foremost, the Association should have a written collection policy in conformity with its condominium documents which would outline when assessments will be deemed to be due, when various late charge notices will…
Why Is It Necessary to Enforce Our Bylaw Restrictions?
By Robert Meisner Over many years of representing community associations, I have been asked, on hundreds of occasions, why it is necessary for the association to vigorously pursue the enforcement of Bylaw Restrictions. The answer is not that difficult given the obligations of the Board of Directors under the Condominium Documents and the problems which I…
How to Tell If Your Condominium Documents Need Updating
By Robert Meisner and M. Katherine Michael I. Significant Advantages to Having Updated Governing Documents. The documents of a Condominium Project establish the Condominium Project from a legal (title) standpoint, and create the framework for the governance of the Condominium Project. A properly governed Condominium Project can significantly enhance Unit re-sale marketability and real estate…
Defending the Condominium Developer
A condominium association’s board of directors, which is responsible for administering the affairs of the association, is initially appointed by the developer until a certain number of units is sold. When the owners of the individual units (called “co-owners”) take control of the board, they may conduct financial and physical audits, and those audits may…
Amending the Documents in a “Mature” Association
By Robert Meisner This firm is often asked how a condominium or homeowner association which has been in existence for 10-25 years should go about amending its documents and whether or not it is a good idea. In the case of a condominium, generally, if the documents were drafted prior to July 1, 1978, they…
Community Associations and the Disabled Owner
By Robert Meisner As the population grows older and more people opt to live in condominiums, it is increasingly necessary for Community Associations to be aware of the applicable laws that apply in regard to disabled persons. There are many areas of the law that the Community Association should consider when responding to an accommodation request.…