Amending docs

Started by MegL1 • 5 replies • 166 views

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MegL1 (Florida)
Posts: 1

Posted:

Our board wants to amend our docs to say a board member who owns 2 nondeveloped lots does not have to pay dues. Our docs say all lots are assessed the same. Florida720.306(1)(c) requires a unanimous vote to alter voting rights or parcel owners share of expense The board says they only need 66%. They are clearly acting in the best interest of a fellow board member. Any help appreciated. It is a constant battle here.

KerryL1 (California)
Posts: 14,550

Posted:

What do your own CC&Rs say? Exact wording, puleeeease.

Btw, how many homes/lots are there in your HOA?

TimB4 (Tennessee)
Posts: 21,059

Posted:

In my opinion, the language in 720.306(1)(c) can be interpreted differently.

My advice, seek a legal opinion vs. an internet opinion.

Hopefully your board will do the same.

If the two opinions differ, then a legal challenge would be required in order to have a court rule on the interpretation.

KerryL1 (California)
Posts: 14,550

Posted:

I don't see (s c) as stating what you think it does, Meg. And I see in (b) that 2/3rds need to approve an amendment unless your CC&Rs state otherwise. WHAT do yours say?

In my opinion, too, boards may not create inequalities among its HOA's members. If the 2-lot owner pays no dues, everyone else will need to chip in to cover them! Also know that the lot-owning director may not vote with the Board to place this matter on a ballot for owners as it's a clear conflict of interest.

Who is "battling" whom?

DouglasK1 (Florida)
Posts: 2,046

Posted:

I read 720.306 similar to how the OP sees it.
(c) Unless otherwise provided in the governing documents as originally recorded or permitted by this chapter or chapter 617, an amendment may not materially and adversely alter the proportionate voting interest appurtenant to a parcel or increase the proportion or percentage by which a parcel shares in the common expenses of the association unless the record parcel owner and all record owners of liens on the parcels join in the execution of the amendment.

Exempting 2 lots from paying assessments would "increase the proportion or percentage" by which all other parcel owners share in the common expenses. Based my reading all of the owners (and their mortgage companies) of lots that would then pay a higher share would need to assent to the change.

Escaped former treasurer and director of a self managed association.

KerryL1 (California)
Posts: 14,550

Posted:

Interesting point, Douglas. For some topics our CC&Rs, lenders also would need to vote to approve a change like this.

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