Board Member’s Conflict of Interest – When Does a Board Member Cross a Line?

Board Member’s Conflict of Interest – When Does a Board Member Cross a Line?

A growing concern within Associations is the issue of potential Board conflicts.  Several issues must be evaluated including the board members volunteer status; board members personal or financial interest in a contract; receipt of gifts from vendors and litigation involving a board member against their association.

The volunteer status of a board member is essential…
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2011 California Legislative Update

2011 California Legislative Update

AB771 (Butler): Request for Documents/Fees: This law will amend Civil Code Section 1368 and add Section 1368.2. Currently, the Davis-Stirling Common Interest Development Act requires that an owner of a separate interest in a Common Interest Development provide specific documents to prospective purchasers of that property. In addition, homeowners associations are…
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Management Company Liability – How to Avoid the Pitfalls of Liability

Over the past approximately ten (10) years, there has been increasing sophistication and professionalism displayed by most management companies which perform managerial services for common interest developments.

The increasing sophistication and professionalism of management companies has grown out of several competing reasons including, (1) the understanding that managers are viewed by the homeowners Association as…
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Uncontested Board of Directors Elections: Do You Really Have to Hold an Election?

Uncontested Board of Directors Elections: Do You Really Have to Hold an Election?

An issue plaguing associations, managers and counsel is whether an association must comply with California Civil Code §1363.03 et. seq., for director elections if the nominations result in an uncontested election. The answer to this question largely depends upon who you ask,…
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Neighbor to Neighbor Disputes

The Top Ten List

Homeowners associations, their directors, management companies, lawyers and most importantly, the homeowners themselves can be and frequently are confronted by neighbor to neighbor disputes. If not handled properly, these disputes can get out of control, costing time, money and ultimately impacting the entire association.

This article outlines ten general areas and/or…
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The Pros and Cons of Construction Defect Litigation

The purpose of this article is to assist Board of Directors in determining whether or not they should proceed forward in filing a construction defect action involving their common interest development. For the purposes of this article, the distinction between Civil Code §1375, also known as the Calderon Act, and the ultimate filing of a…
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The Mold and The Dutiful

The media has jumped on the topic of mold. Newspapers and magazines publish article after article about “toxic mold” and TV News Shows have featured the topic of mold. Articles addressing “toxic mold” have become commonplace in many publications and appear to have lulled many who are not immediately affected by a mold related issue…
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Dealing with Differences and Conflicts Using Communication and Mediation

In a perfect world, everyone would get along and there would not be a need for ways to resolve conflict. Unfortunately conflicts do arise and it is especially prevalent among homeowners residing in Common Interest Developments. Such conflicts may arise between the Board of Directors with an individual homeowner or between two (2) or more…
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Tenants – For Better or Worse

When an owner purchases a property as an investment, the legal obligations of renting may be far from the owners mind. Some owners, not wanting the responsibility, hire a licensed real estate broker to find a qualified tenant and manage the tenancy for a fee. Owners handling the rental themselves should be familiar with the…
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SB800 – Construction Defects

The intent of SB800 is to facilitate and improve the resolution of construction defect claims. SB800 applies to single-family homes, condominiums and town homes originally sold on or after January 1, 2003, and is binding on all original purchasers and their successors in interest. The bill identifies new procedures for taking action against builders, architects…
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