Hill Wallack Attorneys Exhibiting/Presenting at CAI-NJ 2016 Conference & Expo

Posted by on Oct 18, 2016 in Board Meetings, CAI, Confidentiality & Ethics, Speaking Engagements

Hill Wallack LLP’s Community Association Practice Group will be exhibiting at the 2016 CAI-NJ Annual Conference & Expo, which is being held on Wednesday, October 26, 2016, from 10:00 a.m. to 3:00 p.m. at the Garden State Exhibit Center in Somerset, New Jersey.

This year’s conference returns to Central Jersey, so do not miss out on the exciting lineup of networking events, educational sessions, informative exhibits and more! Registration is FREE for all homeowners and board members (pre-registration is recommended). There will be plenty of giveaways and FREE breakfast and lunch. Come see us at Booth 505!

Also, join Terry A. Kessler, Esq. and Jonathan H. Katz, Esq. of Hill Wallack LLP and Denise Becker, PCAM, of Homestead Management Services, Inc. for their 12:00 p.m. presentation entitled Batman vs. Superman: The Struggle Regarding Ethics and Confidentiality for Board Members & Property Managers. Program Description: “In a world where association board members are faced with issues regarding ethics and confidentiality on a daily basis, who can you turn to in order to work through these complex problems? In this battle of good versus evil, you can’t rely on the Man of Steel or the Dark Knight. This program will arm you with the necessary information and discuss the relevant law in order to help you properly navigate these thorny issues.”

For more information and to register to attend the 2016 CAI-NJ Annual Conference & Expo, click here

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FHA Proposes New Regulations for Condominium Project Approval

Posted by on Sep 28, 2016 in FHA, Legislation, Uncategorized

By Jonathan H. Katz, Esq.

On September 27, 2016, the Federal Housing Administration (FHA) proposed new regulations governing the condominium project approval process. These proposed regulations seek to address issues created by certain onerous requirements of Mortgage Letter 2011-22 as well as to respond to the changing conditions in the condominium market.

The notable proposed regulations include:

  • Minimum Owner-Occupancy Requirements – FHA currently requires a minimum of fifty (50) percent of the units occupied by owners. FHA is specifically inviting comment on this issue and is proposing to establish an allowable range of owner-occupancy between twenty-five (25) and seventy-five (75) percent. The range would allow FHA to choose a specific percentage that is responsive to future market changes.
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NJ Supreme Court Decision Paves the Way for Condominium Associations in Transition to Recover Damages against the Developer and Subcontractors

Posted by on Aug 23, 2016 in Construction Defect, Insurance, Legal Decisions

By: Christopher R. Geary, Esq.

On August 4, 2016, the New Jersey Supreme Court issued its decision in Cypress Point Condominium Association, Inc. v. Adria Towers, LLC, et al., which held that faulty workmanship by a subcontractor that causes property damage is a covered loss under the developer’s/general contractor’s commercial general liability (CGL) insurance policy. The ruling holds that this consequential damage constitutes an “occurrence” under the CGL policy and, as such, may allow community associations to recover for water infiltration and other defective construction.

In this case, Cypress Point Condominium Association instituted transition litigation against the project’s developer/general contractor for water leaks and other construction defects, which caused damage to the units and common property. The developer’s insurance company argued that the Association’s claims were not covered under the various CGL policies obtained by the developer because the alleged faulty workmanship by the developer’s subcontractors did not amount to an “occurrence” and that the resulting damages did not constitute “property damage” under the policies.

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Join Us at the 2016 New Jersey Cooperator’s Condo, HOA and Co-op Expo on Wednesday, May 11, 2016!

Posted by on May 6, 2016 in New Jersey Cooperator, Speaking Engagements

Hill Wallack LLP‘s Community Association Practice Group will be exhibiting at the 2016 New Jersey Cooperator’s Condo, HOA and Co-op Expo on Wednesday, May 11, 2016, 10:00 a.m. to 4:30 p.m., at the Meadowlands Exposition Center in Secaucus, New Jersey.

Join board members, property managers, building owners and real estate professionals and meet building service companies, attend educational seminars and get your questions answered by a member of our team at Booth 600.

For more information or to register to attend, click here!

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Pennsylvania Community Associations Benefit from Amendments to Uniform Planned Community Act and Uniform Condo Act

Posted by on Apr 25, 2016 in Collections, Legislation, UCA, UPCA

By: Jeffrey G. DiAmico, Esq.

On April 20, 2016, Governor Tom Wolf signed into law Act 21 – House Bill 1340, sponsored by Representative Martina White, which amended the Pennsylvania Uniform Planned Community Act (UPCA) and the Uniform Condominium Act (UCA) under Title 68 (Real and Personal Property). The amendments, specifically with regard to Section 3315(d) and Section 5315(e) of the Title 68 Acts – Lien for Assessments, expanded the provisions under the UPCA and the UCA and established that a lien for unpaid assessments may now be instituted within four (4) years (rather than the previous timeframe of three (3) years) after the assessments become payable. Additionally, the amendments now enable associations to resolve assessment delinquencies by allowing an association to obtain a personal judgment against the delinquent unit owner(s) rather than foreclosing on the lien, while still preserving the statutory lien. Previous to the amendment, in 2014, the United States Court of Appeals held that a personal judgment obtained by a community association in Pennsylvania did not preserve the statutory lien and that unless associations filed a lien foreclosure action within three (3) years of a delinquency, the lien for assessments was extinguished. The amendment allows associations to resolve assessment delinquencies without putting ownership of homes at risk through foreclosure proceedings.

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Condo FAQs: “Limited Priority” Liens Pursuant to the New Jersey Condominium Act

Posted by on Mar 8, 2016 in Collections, Condo FAQs

By Jonathan H. Katz, Esq.

Hill Wallack LLP’s Condo FAQs is a continuing series in which we answer frequently asked questions (FAQs) pertaining to condominiums, cooperatives and homeowners’ associations. These FAQs relate to various issues that include interpretation of governing documents, board meetings, suspension of privileges, collections, or bankruptcy and foreclosure.

Question: I’ve heard that when a mortgage lender forecloses on a condominium unit, the association is entitled to six (6) months of assessments. I’ve also heard that the association has “limited priority” over the mortgage. Is that true? What does that really mean?

Answer: Pursuant to N.J.S.A. 46:8B-21(b) of the New Jersey Condominium Act, a condominium association’s recorded lien for delinquent common expense assessments may have limited priority over an existing mortgage under certain circumstances. If those specific requirements are met, the association to would be entitled to six (6) months of “customary condominium assessments” from the mortgage lender if the unit is sold as part of a mortgage lender’s foreclosure action.

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New Law Requires Clearing of Snow from Fire Hydrants within 24 Hours

Posted by on Feb 25, 2016 in Legislation, Snow Removal

By Ronald L. Perl, Esq.

The recent snow storm created a nightmare for many community associations in New Jersey. The unusual amount of snow and high winds interfered with snow removal efforts and created both physical and financial burdens. It is therefore timely to discuss a law that became operative on January 1st of this year, which gives municipalities the authority to require adjacent property owners to clear snow from all fire hydrants “within 24 hours of snow coverage.” The law, N.J.S.A. 40:65-12.1, also authorizes municipalities to require the installation of a locator pole on each hydrant.  

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