In Case You Missed It: What You Should Know About the Radburn Bill (Webinar Video)

Posted by on Oct 17, 2017 in Alternative Dispute Resolution, Board Meetings, Elections/Voting, Legislation, Speaking Engagements

On August 22, 2017 and September 13, 2017, Hill Wallack‘s Ronald L. Perl, Esq., Caroline Record, Esq. and Jonathan H. Katz, Esq., in conjunction with Wilkin & Guttenplan, P.C., presented two webinars dealing with what you and your community association should know about the new Radburn Bill.

In case you missed either of these webinars, you can view them by clicking here.

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Electronic Voting Now Authorized in New Jersey Community Associations

Posted by on Aug 17, 2017 in Board Meetings, Elections/Voting, Legislation

By Jonathan H. Katz, Esq.

One of the overlooked effects of the recent Radburn Legislation is that it now provides statutory authority for New Jersey community associations to vote electronically. Specifically, the new law authorizes an association to utilize electronic voting: (1) when the board determines to allow voting by such means; and (2) when an association member consents to casting a vote electronically.

While this issue may not have come up previously in many associations, many states’ non-profit corporate statutes or association enabling statutes do not specifically address and/or authorize the option of electronic voting. In addition, most corporate statutes provide that elections and other action can be taken only at an in-person meeting of members or, if no meeting is to be held, by unanimous consent of the members. For example, New Jersey’s Non-Profit Corporations Act, provides only that elections of trustees may be conducted by mail and the Act authorizes decisions to be made in lieu of an in-person meeting only “if all the members entitled to vote thereon consent thereto in writing.” There is no mention of voting by electronic means.

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HUD Releases Final Rule Related to Discrimination in Community Associations

Posted by on Aug 2, 2017 in Disability Accommodations, Fair Housing, Legislation

By Caroline Record, Esq.

In September 2016, the U.S. Department of Housing and Urban Development (“HUD”) released final regulations relating to housing discrimination, which now require community associations to investigate claims of harassment by one resident of another resident who is a member of a  “protected class.” Under the Fair Housing Act, a protected class includes race, color, national origin, religion, sex, familial status and disability/handicap. In the past, if an association resident harassed another association resident, the association’s board or community manager may have viewed this as a personal issue, which would not be within the association’s scope of responsibility to investigate/address. This position was based on the belief that the association neither encouraged nor participated in the alleged harassing conduct and, therefore, could not be responsible for the conduct of its residents.

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Regarding the Radburn: New Law Enhances Voting Participation Rights in New Jersey Community Associations

Posted by on Jul 18, 2017 in Board Meetings, Elections/Voting, Legal Decisions, Legislation

By Jonathan H. Katz, Esq.

On July 13, 2017, New Jersey Governor Chris Christie signed into law P.L. 2017, Ch. 106 (S-2492/A-4091). The new law makes significant changes to the Planned Real Estate Development Full Disclosure Act (“PREDFDA”), N.J.S.A. 45:22A-43 et seq., with respect to procedures for board elections and voting participation rights. Although the legislation comes in direct response to complaints over a specific association – the Radburn Association in Fair Lawn – it will affect most, if not all, of the estimated 7,000 community associations located in New Jersey.

As outlined in a January 2017 article, the historic Radburn was established in 1929 as a “Town for the Motor Age.” The Radburn boasts 18 acres of internal parks, a shopping plaza, an elementary school, and “other remnants of the founders’ ambitious attempt to create a self-sufficient community.” However, for the past decade, pressure has been increasing from residents seeking to change what they considered to be an outdated and secretive process that the Raburn utilizes to elect its Board of Trustees. Specifically, not every owner in the Radburn was granted the right to either run for or vote for its Board. These issues led to litigation and caused so much uproar that State Senator Robert Gordon (D-Fair Lawn) introduced this legislation to make the election/voting process more inclusive and transparent.

Now that this legislation has been signed into law, it will change not only the Radburn’s elections, but will also have implications for most of New Jersey’s condominiums and homeowners associations. In fact, most of these newly enacted provisions will trump every association’s current by-laws. The most relevant provisions of the new legislation are as follows:

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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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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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