CC&R EXTENDING

Not an attorney and you really should check with one to make sure all of the i's are dotted and the t's crossed but what it says is that before the time expires, you hold an election and if 50% of the owners of record sign yes, you can file with the county to extend the CC&R's for 20 years.

Section 27. No restriction imposed after December thirty-first, nineteen hundred and sixty-one shall be enforceable:—

(a) unless the person seeking enforcement (1) is a party to the instrument imposing the restriction and it is stated to be for his benefit or is entitled to such benefit as a successor to such party, or (2) is an owner of an interest in benefited land which either adjoins the subject parcel at the time enforcement is sought or is described in the instrument imposing the restriction and is stated therein to be benefited, and

(b) after thirty years from the imposition of the restriction, unless (1) the restriction is imposed as part of a common scheme applicable to four or more parcels contiguous except for any intervening streets or ways, and provision is made in the instrument or instruments imposing it for extension for further periods of not more than twenty years at a time by owners of record, at the time of recording of the extension, of fifty per cent or more of the restricted area in which the subject parcel is located, and an extension in accordance with such provision is recorded before the expiration of the thirty years or earlier date of termination specified in the instrument and names or is signed by one or more of the persons appearing of record to own the subject parcel at the time of such recording, and in case of such recording, twenty years, or the specified extension term if less than twenty years, has not expired after the recording of any such extension without the recording of a further like extension; or (2) in the case of any other restriction, a notice of restriction is recorded before the expiration of the thirty years, and in case of such recording, twenty years have not expired after the recording of any notice of restriction without the recording of a further notice of restriction.

A notice of restriction under this section shall not extend the period of enforceability unless it (a) is signed by a person then entitled of record to the benefit of the restriction and describes his benefited land, if any, (b) describes the subject parcel, (c) names one or more of the persons appearing of record to own the subject parcel at the time, and (d) specifies the instrument imposing the restriction and its place of record in the public records.

Fred

I do not have an answer, but rather a suggestion.

If docs must be refiled and all are basically happy then get them all (or a many as needed) to agree to a "simple" refile as in, it will be the same, nothing to worry about, no brainer, just sign here, etc. refile only.

Do not open the door to changes at this time as some might decide to step through that door and it could get funky, especially with those that like to "play" lawyer.

Refile now. Update later.

How to modify is all in the documents. However, you do need a lawyer to possibly file them for you. There is a fee associated with filing. You don't have to file your by-laws in most states. Just the CC&R's and Incorporation documents. I would suggest making changes to the number of votes it takes to change these.

It didn't cost us but about 3K for everything. However, took a 3 years to get the votes. There are ways around the special meeting to get the votes door to door. It makes it easier to get votes. Just have to have 2 forms. One for the vote and one for giving up the rights to vote at a special meeting. A lawyer can draft those up too.

I would form a committee and rewrite the documents. Then have the lawyer to review it. Plus don't hire a Real estate attorney or HOA one. You need a business/corporate lawyer. One familiar with contractual law. It will save you money not to have a specialist. May find some forms at your local Office supply store by the do it yourself rental agreements. there are some forms there related to HOA's for less than 20 dollars.

Fred,

We put together a committee to do the first draft. The committee used similar associations within the State and verified that the draft met any existing laws. This draft was then sent to the membership, who were asked for opinions. The Committee took those opinions and incorporated them (as they could) into the draft.

The draft was then provided to the board who made their own modifications to the document.

This draft was then sent to the attorney for review for compliance with existing laws and recommendations on language to be used to bring that section of the document into compliance. This cost us around 2K at the time. Having them do a review vs. rewriting the documents takes less time, thus minimizes cost.

The attorney returned the draft to the board who incorporated the attorney's advice into the document then sent it to the membership for a vote (with much leg work to solicit proxies to make it happen).

Once approved from the membership, it cost the Board another $500-600 to have the attorney witness the signatures and file the documents with the county.

Once filed, the Board provided a copy to each member.

This was a 2-3 year process but allowed everyone to have an input which made it easier to have the membership adopt them.