718.101
Short title.--This chapter shall be known and may be cited as the
"Condominium Act."
History.--s. 1, ch. 76-222.
718.102 Purposes.--The
purpose of this chapter is:
(1) To give statutory recognition to
the condominium form of ownership of real property.
(2) To establish procedures for the
creation, sale, and operation of condominiums.
Every condominium created and existing in this state shall be subject to
the provisions of this chapter.
History.--s. 1, ch. 76-222.
718.103
Definitions.--As used in this chapter, the term:
(1) “Assessment” means a share of
the funds which are required for the payment of common expenses, which
from time to time is assessed against the unit owner.
(2) “Association” means, in addition to any entity responsible for the
operation of common elements owned in undivided shares by unit owners,
any entity which operates or maintains other real property in which unit
owners have use rights, where membership in the entity is composed
exclusively of unit owners or their elected or appointed representatives
and is a required condition of unit ownership.
DECLARATORY
STATEMENT: Cozumel
Condominium Assoc., Inc. DECLARATORY
STATEMENT:
Old
Port Cove Property Owners Assoc. Inc. & Harbor Village Condominium
Assoc., Inc.
(3) “Association property” means that
property, real and personal, which is owned or leased by, or is
dedicated by a recorded plat to, the association for the use and benefit
of its members.
(4) “Board of administration” or “board” means the board of directors or
other representative body which is responsible for administration of the
association.
(5) “Buyer” means a person who purchases a condominium unit. The term
“purchaser” may be used interchangeably with the term “buyer.”
(6) “Bylaws” means the bylaws of the association as they are amended
from time to time.
(7) “Committee” means a group of board members, unit owners, or board
members and unit owners appointed by the board or a member of the board
to make recommendations to the board regarding the proposed annual
budget or to take action on behalf of the board.
(8) “Common elements” means the portions of the condominium property not
included in the units.
(9) “Common expenses” means all expenses properly incurred by the
association in the performance of its duties, including expenses
specified in s. 718.115.
DECLARATORY
STATEMENT: The
Sanctuary at Blue Heron Assoc., Inc.
(10) “Common surplus” means the amount of
all receipts or revenues, including assessments, rents, or profits,
collected by a condominium association which exceeds common expenses.
(11) “Condominium” means that form of ownership of real property created
pursuant to this chapter, which is comprised entirely of units that may
be owned by one or more persons, and in which there is, appurtenant to
each unit, an undivided share in common elements.
(12) “Condominium parcel” means a unit, together with the undivided
share in the common elements appurtenant to the unit.
(13) “Condominium property” means the lands, leaseholds, and personal
property that are subjected to condominium ownership, whether or not
contiguous, and all improvements thereon and all easements and rights
appurtenant thereto intended for use in connection with the condominium.
(14) “Conspicuous type” means bold type in capital letters no smaller
than the largest type, exclusive of headings, on the page on which it
appears and, in all cases, at least 10-point type. Where conspicuous
type is required, it must be separated on all sides from other type and
print. Conspicuous type may be used in a contract for purchase and sale
of a unit, a lease of a unit for more than 5 years, or a prospectus or
offering circular only where required by law.
(15) “Declaration” or “declaration of condominium” means the instrument
or instruments by which a condominium is created, as they are from time
to time amended.
(16) “Developer” means a person who creates a condominium or offers
condominium parcels for sale or lease in the ordinary course of
business, but does not include:
(a) An owner or lessee of a condominium or cooperative unit who has
acquired the unit for his or her own occupancy;
(b) A cooperative association that creates a condominium by conversion
of an existing residential cooperative after control of the association
has been transferred to the unit owners if, following the conversion,
the unit owners are the same persons who were unit owners of the
cooperative and no units are offered for sale or lease to the public as
part of the plan of conversion;
(c) A bulk assignee or bulk buyer as defined in s. 718.703; or
(d) A state, county, or municipal entity acting as a lessor and not
otherwise named as a developer in the declaration of condominium.
(17) “Division” means the Division of Florida Condominiums, Timeshares,
and Mobile Homes of the Department of Business and Professional
Regulation.
(18) “Land” means the surface of a legally described parcel of real
property and includes, unless otherwise specified in the declaration and
whether separate from or including such surface, airspace lying above
and subterranean space lying below such surface. However, if so defined
in the declaration, the term “land” may mean all or any portion of the
airspace or subterranean space between two legally identifiable
elevations and may exclude the surface of a parcel of real property and
may mean any combination of the foregoing, whether or not contiguous, or
may mean a condominium unit.
(19) “Limited common elements” means those common elements which are
reserved for the use of a certain unit or units to the exclusion of all
other units, as specified in the declaration.
(20) “Multicondominium” means real property containing two or more
condominiums, all of which are operated by the same association.
(21) “Operation” or “operation of the condominium” includes the
administration and management of the condominium property and the
association.
(22) “Rental agreement” means any written agreement, or oral agreement
if for less duration than 1 year, providing for use and occupancy of
premises.
(23) “Residential condominium” means a condominium consisting of two or
more units, any of which are intended for use as a private temporary or
permanent residence, except that a condominium is not a residential
condominium if the use for which the units are intended is primarily
commercial or industrial and not more than three units are intended to
be used for private residence, and are intended to be used as housing
for maintenance, managerial, janitorial, or other operational staff of
the condominium. With respect to a condominium that is not a timeshare
condominium, a residential unit includes a unit intended as a private
temporary or permanent residence as well as a unit not intended for
commercial or industrial use. With respect to a timeshare condominium,
the timeshare instrument as defined in s. 721.05(35) shall govern the
intended use of each unit in the condominium. If a condominium is a
residential condominium but contains units intended to be used for
commercial or industrial purposes, then, with respect to those units
which are not intended for or used as private residences, the
condominium is not a residential condominium. A condominium which
contains both commercial and residential units is a mixed-use
condominium and is subject to the requirements of s. 718.404.
(24) “Special assessment” means any assessment levied against a unit
owner other than the assessment required by a budget adopted annually.
(25) “Timeshare estate” means any interest in a unit under which the
exclusive right of use, possession, or occupancy of the unit circulates
among the various purchasers of a timeshare plan pursuant to chapter 721
on a recurring basis for a period of time.
(26) “Timeshare unit” means a unit in which timeshare estates have been
created.
(27) “Unit” means a part of the condominium property which is subject to
exclusive ownership. A unit may be in improvements, land, or land and
improvements together, as specified in the declaration.
(28) “Unit owner” or “owner of a unit” means a record owner of legal
title to a condominium parcel.
(29) “Voting certificate” means a document which designates one of the
record title owners, or the corporate, partnership, or entity
representative, who is authorized to vote on behalf of a condominium
unit that is owned by more than one owner or by any entity.
(30) “Voting interests” means the voting rights distributed to the
association members pursuant to s. 718.104(4)(j). In a multicondominium
association, the voting interests of the association are the voting
rights distributed to the unit owners in all condominiums operated by
the association. On matters related to a specific condominium in a
multicondominium association, the voting interests of the condominium
are the voting rights distributed to the unit owners in that
condominium.
History.--s. 1, ch. 76-222; s. 1, ch. 78-328; s. 2, ch. 80-3; s.
6, ch. 80-323; s. 1, ch. 84-368; s. 45, ch. 85-62; s. 1, ch. 90-151; s. 1,
ch. 91-103; s. 5, ch. 91-426; s. 1, ch. 92-49; s. 34, ch. 95-274; s. 850,
ch. 97-102; s. 1, ch. 98-322; s. 73, ch. 99-3; s. 48, ch. 2000-302; s. 19,
ch. 2001-64; s. 34, ch. 2004-279; s. 12, ch. 2004-353; s. 3, ch. 2007-80;
s. 45, ch. 2008-240; s. 2, ch. 2021-99.
718.1035 Power of
attorney; compliance with chapter.--The use of a power of attorney
that affects any aspect of the operation of a condominium shall be
subject to and in compliance with the provisions of this chapter and all
condominium documents, association rules and other rules adopted
pursuant to this chapter, and all other covenants, conditions, and
restrictions in force at the time of the execution of the power of
attorney.
History.--s. 4, ch. 86-175.
DECLARATORY
STATEMENT: Ocean
Dunes of Hutchinson Island Condominium Assoc., Inc.
718.104 Creation of
condominiums; contents of declaration.--Every condominium created in
this state shall be created pursuant to this chapter.
(1) A condominium may be created on land owned in fee simple or held under a lease complying with the provisions of s. 718.401.
(2) A condominium is created by recording a declaration in the public records of the county where the land is located, executed and acknowledged with the requirements for a deed. All persons who have record title to the interest in the land being submitted to condominium ownership, or their lawfully authorized agents, must join in the execution of the declaration. Upon the recording of the declaration, or an amendment adding a phase to the condominium under s. 718.403(6), all units described in the declaration or phase amendment as being located in or on the land then being submitted to condominium ownership shall come into existence, regardless of the state of completion of planned improvements in which the units may be located or any other requirement or description that a declaration may provide. Upon recording the declaration of condominium pursuant to this section, the developer shall file the recording information with the division within 120 calendar days on a form prescribed by the division.
(3) All persons who have any record interest in any mortgage encumbering the interest in the land being submitted to condominium ownership must either join in the execution of the declaration or execute, with the requirements for deed, and record, a consent to the declaration or an agreement subordinating their mortgage interest to the declaration.
(4) The declaration must contain or provide for the following matters:
(a) A statement submitting the property to condominium ownership.
(b) The name by which the condominium property is to be identified, which shall include the word “condominium” or be followed by the words “a condominium.”
(c) The legal description of the land and, if a leasehold estate is submitted to condominium, an identification of the lease.
(d) An identification of each unit by letter, name, or number, or combination thereof, so that no unit bears the same designation as any other unit.
(e) A survey of the land which meets the minimum technical standards set forth by the Board of Professional Surveyors and Mappers, pursuant to s. 472.027, and a graphic description of the improvements in which units are located and a plot plan thereof that, together with the declaration, are in sufficient detail to identify the common elements and each unit and their relative locations and approximate dimensions. Failure of the survey to meet minimum technical standards shall not invalidate an otherwise validly created condominium. The survey, graphic description, and plot plan may be in the form of exhibits consisting of building plans, floor plans, maps, surveys, or sketches. If the construction of the condominium is not substantially completed, there shall be a statement to that effect, and, upon substantial completion of construction, the developer or the association shall amend the declaration to include the certificate described below. The amendment may be accomplished by referring to the recording data of a survey of the condominium that complies with the certificate. A certificate of a surveyor and mapper authorized to practice in this state shall be included in or attached to the declaration or the survey or graphic description as recorded under s. 718.105 that the construction of the improvements is substantially complete so that the material, together with the provisions of the declaration describing the condominium property, is an accurate representation of the location and dimensions of the improvements and so that the identification, location, and dimensions of the common elements and of each unit can be determined from these materials. Completed units within each substantially completed building in a condominium development may be conveyed to purchasers, notwithstanding that other buildings in the condominium are not substantially completed, provided that all planned improvements, including, but not limited to, landscaping, utility services and access to the unit, and common-element facilities serving such building, as set forth in the declaration, are first completed and the declaration of condominium is first recorded and provided that as to the units being conveyed there is a certificate of a surveyor and mapper as required above, including certification that all planned improvements, including, but not limited to, landscaping, utility services and access to the unit, and common-element facilities serving the building in which the units to be conveyed are located have been substantially completed, and such certificate is recorded with the original declaration or as an amendment to such declaration. This section shall not, however, operate to require development of improvements and amenities declared to be included in future phases pursuant to s. 718.403 prior to conveying a unit as provided herein. For the purposes of this section, a “certificate of a surveyor and mapper” means certification by a surveyor and mapper in the form provided herein and may include, along with certification by a surveyor and mapper, when appropriate, certification by an architect or engineer authorized to practice in this state. Notwithstanding the requirements of substantial completion provided in this section, nothing contained herein shall prohibit or impair the validity of a mortgage encumbering units together with an undivided interest in the common elements as described in a declaration of condominium recorded prior to the recording of a certificate of a surveyor and mapper as provided herein.
(f) The undivided share of ownership of the common elements and common surplus of the condominium that is appurtenant to each unit stated as a percentage or a fraction of the whole. In the declaration of condominium for residential condominiums created after April 1, 1992, the ownership share of the common elements assigned to each residential unit shall be based either upon the total square footage of each residential unit in uniform relationship to the total square footage of each other residential unit in the condominium or on an equal fractional basis.
(g) The percentage or fractional shares of liability for common expenses of the condominium, which, for all residential units, must be the same as the undivided shares of ownership of the common elements and common surplus appurtenant to each unit as provided for in paragraph (f).
(h) If a developer reserves the right, in a declaration recorded on or after July 1, 2000, to create a multicondominium, the declaration must state, or provide a specific formula for determining, the fractional or percentage shares of liability for the common expenses of the association and of ownership of the common surplus of the association to be allocated to the units in each condominium to be operated by the association. If a declaration recorded on or after July 1, 2000, for a condominium operated by a multicondominium association as originally recorded fails to so provide, the share of liability for the common expenses of the association and of ownership of the common surplus of the association allocated to each unit in each condominium operated by the association shall be a fraction of the whole, the numerator of which is the number “one” and the denominator of which is the total number of units in all condominiums operated by the association.
(i) The name of the association, which must be a corporation for profit or a corporation not for profit.
(j) Unit owners’ membership and voting rights in the association.
(k) The document or documents creating the association, which may be attached as an exhibit.
(l) A copy of the bylaws, which shall be attached as an exhibit. Defects or omissions in the bylaws shall not affect the validity of the condominium or title to the condominium parcels.
(m) Other desired provisions not inconsistent with this chapter.
(n) The creation of a nonexclusive easement for ingress and egress over streets, walks, and other rights-of-way serving the units of a condominium, as part of the common elements necessary to provide reasonable access to the public ways, or a dedication of the streets, walks, and other rights-of-way to the public. All easements for ingress and egress shall not be encumbered by any leasehold or lien other than those on the condominium parcels, unless:
1. Any such lien is subordinate to the rights of unit owners, or
2. The holder of any encumbrance or leasehold of any easement has executed and recorded an agreement that the use-rights of each unit owner will not be terminated as long as the unit owner has not been evicted because of a default under the encumbrance or lease, and the use-rights of any mortgagee of a unit who has acquired title to a unit may not be terminated.
(o) If timeshare estates will or may be created with respect to any unit in the condominium, a statement in conspicuous type declaring that timeshare estates will or may be created with respect to units in the condominium. In addition, the degree, quantity, nature, and extent of the timeshare estates that will or may be created shall be defined and described in detail in the declaration, with a specific statement as to the minimum duration of the recurring periods of rights of use, possession, or occupancy that may be created with respect to any unit.
(5) The declaration as originally recorded or as amended under the procedures provided therein may include covenants and restrictions concerning the use, occupancy, and transfer of the units permitted by law with reference to real property. However, the rule against perpetuities shall not defeat a right given any person or entity by the declaration for the purpose of allowing unit owners to retain reasonable control over the use, occupancy, and transfer of units.
(6) A person who joins in, or consents to the execution of, a declaration subjects his or her interest in the condominium property to the provisions of the declaration.
(7) All provisions of the declaration are enforceable equitable servitudes, run with the land, and are effective until the condominium is terminated.
History.—s. 1, ch. 76-222; s. 1, ch. 77-174; s. 2, ch. 78-328; s. 7, ch. 78-340; s. 1, ch. 79-314; s. 3, ch. 82-199; s. 2, ch. 84-368; s. 2, ch. 90-151; s. 2, ch. 91-103; ss. 1, 5, ch. 91-426; s. 122, ch. 94-119; s. 851, ch. 97-102; s. 1, ch. 98-195; s. 49, ch. 2000-302; s. 5, ch. 2002-27; s. 1,
ch. 2013-122.
718.1045 Timeshare
estates; limitation on creation.--No timeshare estates shall be
created with respect to any condominium unit except pursuant to
provisions in the declaration expressly permitting the creation of such
estates.
History.--s. 3, ch. 78-328.
718.105 Recording
of declaration.--
(1) When executed as required by
s. 718.104, a declaration together with all exhibits and all amendments is
entitled to recordation as an agreement relating to the conveyance of
land.
(2) Graphic descriptions of
improvements constituting exhibits to a declaration, when accompanied by
the certificate of a surveyor required by s. 718.104, may be recorded as a
part of a declaration without approval of any public body or officer.
(3) The clerk of the circuit
court recording the declaration may, for his or her convenience, file the
exhibits of a declaration which contains graphic descriptions of
improvements in a separate book, and shall indicate the place of filing
upon the margin of the record of the declaration.
(4)(a) If the declaration does
not have the certificate or the survey or graphic description of the
improvements required under s. 718.104(4)(e), the developer shall deliver
therewith to the clerk an estimate, signed by a surveyor authorized to
practice in this state, of the cost of a final survey or graphic
description providing the certificate prescribed by s. 718.104(4)(e), and
shall deposit with the clerk the sum of money specified in the estimate.
(b) The clerk shall hold the
money until an amendment to the declaration is recorded that complies with
the certificate requirements of s. 718.104(4)(e). At that time, the clerk
shall pay to the person presenting the amendment to the declaration the
sum of money deposited, without making any charge for holding the sum,
receiving it, or paying out, other than the fees required for recording
the condominium documents.
(c) If the sum of money held by
the clerk has not been paid to the developer or association as provided in
paragraph (b) within 3 years after the date the declaration was originally
recorded, the clerk may notify, in writing, the registered agent of the
association that the sum is still available and the purpose for which it
was deposited. If the association does not record the certificate within
90 days after the clerk has given the notice, the clerk may disburse the
money to the developer. If the developer cannot be located, the clerk
shall disburse the money to the Division of Florida Condominiums,
Timeshares, and Mobile Homes for deposit in the Division of Florida
Condominiums, Timeshares, and Mobile Homes Trust Fund.
(5) When a declaration of
condominium is recorded pursuant to this section, a certificate or
receipted bill shall be filed with the clerk of the circuit court in the
county where the property is located showing that all taxes due and owing
on the property have been paid in full as of the date of recordation.
History.--s. 1, ch. 76-222; s. 1, ch. 77-174; s. 8, ch. 78-340;
s. 3, ch. 90-151; s. 852, ch. 97-102; s. 1, ch. 99-350; s. 46, ch.
2008-240.
718.106 Condominium
parcels; appurtenances; possession and enjoyment.--
(1) A condominium parcel created by the
declaration is a separate parcel of real property, even though the
condominium is created on a leasehold.
(2) There shall pass with a unit, as
appurtenances thereto:
(a) An undivided share in the common
elements and common surplus.
(b) The exclusive right to use such
portion of the common elements as may be provided by the declaration,
including the right to transfer such right to other units or unit owners
to the extent authorized by the declaration as originally recorded, or
amendments to the declaration adopted pursuant to the provisions
contained therein. Amendments to declarations of condominium providing
for the transfer of use rights with respect to limited common elements
are not amendments that materially modify unit appurtenances as
described in s. 718.110(4). However, in order to be effective, the
transfer of use rights with respect to limited common elements must be
effectuated in conformity with the procedures set forth in the
declaration as originally recorded or as amended under the procedures
provided therein. This section is intended to clarify existing law and
applies to associations existing on the effective date of this act.
DECLARATORY
STATEMENT: Waterview,
A Condominium
(c) An exclusive easement for the use
of the airspace occupied by the unit as it exists at any particular time
and as the unit may lawfully be altered or reconstructed from time to
time. An easement in airspace which is vacated shall be terminated
automatically.
(d) Membership in the association
designated in the declaration, with the full voting rights appertaining
thereto.
(e) Other appurtenances as may be
provided in the declaration.
(3) A unit owner is entitled to the
exclusive possession of his or her unit, subject to the provisions of s.
718.111(5). He or she is entitled to use the common elements in
accordance with the purposes for which they are intended, but no use may
hinder or encroach upon the lawful rights of other unit owners.
(4) When a unit is leased, a tenant
shall have all use rights in the association property and those common
elements otherwise readily available for use generally by unit owners
and the unit owner shall not have such rights except as a guest, unless
such rights are waived in writing by the tenant. Nothing in this
subsection shall interfere with the access rights of the unit owner as a
landlord pursuant to chapter 83. The association shall have the right to
adopt rules to prohibit dual usage by a unit owner and a tenant of
association property and common elements otherwise readily available for
use generally by unit owners.
(5) A local government may not adopt an
ordinance or regulation that prohibits condominium unit owners or their
guests, licensees, or invitees from pedestrian access to a public beach
contiguous to a condominium property, except where necessary to protect
public health, safety, or natural resources. This subsection does not
prohibit a governmental entity from enacting regulations governing
activities taking place on the beach.
History.--s. 1, ch. 76-222; s. 3, ch.
84-368; s. 4, ch. 90-151; s. 5, ch. 94-350; s. 853, ch. 97-102; s. 50,
ch. 2000-302; s. 6, ch. 2002-27; s. 2, ch. 2007-173.
718.107 Restraint
upon separation and partition of common elements.--
(1) The undivided share in the common
elements which is appurtenant to a unit shall not be separated from it
and shall pass with the title to the unit, whether or not separately
described.
(2) The share in the common elements
appurtenant to a unit cannot be conveyed or encumbered except together
with the unit.
(3) The shares in the common elements
appurtenant to units are undivided, and no action for partition of the
common elements shall lie.
History.--s. 1, ch. 76-222.
718.108 Common
elements.--
(1) "Common elements"
includes within its meaning the following:
(a) The condominium property which is
not included within the units.
(b) Easements through units for
conduits, ducts, plumbing, wiring, and other facilities for the
furnishing of utility services to units and the common elements.
(c) An easement of support in every
portion of a unit which contributes to the support of a building.
(d) The property and installations
required for the furnishing of utilities and other services to more than
one unit or to the common elements.
(2) The declaration may designate other
parts of the condominium property as common elements.
History.--s. 1, ch. 76-222.
718.1085
Certain regulations not to be retroactively applied.— Notwithstanding
the provisions of chapter 633 or of any other code, statute, ordinance,
administrative rule, or regulation, or any interpretation thereof, an
association, condominium, or unit owner is not obligated to retrofit the
common elements or units of a residential condominium that meets the
definition of "housing for older persons" in s.760.29(4)(b)3. to comply
with requirements relating to handrails and guardrails if the unit
owners have voted to forego such retrofitting by the affirmative vote of
two-thirds of all voting interests in the affected condominium. However,
a condominium association may not vote to forego the retrofitting in
common areas in a high-rise building. For the purposes of this section,
the term "high-rise building" means a building that is greater than 75
feet in height where the building height is measured from the lowest
level of fire department access to the floor of the highest occupiable
level. For the purposes of this section, the term "common areas" means
stairwells and exposed, outdoor walkways and corridors, but does not
include individual balconies. In no event shall the local authority
having jurisdiction require retrofitting of common areas with handrails
and guardrails before the end of 2024.
(1) A vote to forego retrofitting may not be obtained by general proxy
or limited proxy, but shall be obtained by a vote personally cast at a
duly called membership meeting, or by execution of a written consent by
the member, and shall be effective upon the recording of a certificate
attesting to such
vote in the public records of the county where the condominium is
located. The association shall provide each unit owner written notice of
the vote to forego retrofitting of the required handrails or guardrails,
or both, in at least 16-point bold type, by certified mail, within 20
days after the association's vote. After such notice is provided to each
owner, a copy of such notice shall be provided by the current owner to a
new owner prior to closing and shall be provided by a unit owner to a
renter prior to signing a lease.
(2) As part of the information collected annually from condominiums,
the division shall require condominium associations to report the
membership vote and recording of a certificate under this subsection
and, if retrofitting has been undertaken, the per-unit cost of such
work. The division shall annually report to the Division of State Fire
Marshal of the Department of Financial Services the number of
condominiums that have elected to forego retrofitting.
Section 17. By July 1, 2019, the State Fire Marshal shall issue
a data call to all local fire officials to collect data regarding
high-rise condominiums greater than 75 feet in height which have not
retrofitted with a fire sprinkler system or an engineered life safety
system in accordance with ss. 633.208(5) and 718.112(2)(l), Florida
Statutes. Local fire officials shall submit such data to the State Fire
Marshal and shall include,for each individual building, the address, the
number of units, and the number of stories. By July 1, 2020, all data
must be received and compiled into a report by city and county. By
September 1, 2020, the report must be sent to the Governor, the
President of the Senate, and the Speaker of the House
of
Representatives.
History.--s. 1, ch. 2004-80.
718.109 Legal
description of condominium parcels.--Following the recording of the
declaration, a description of a condominium parcel by the number or
other designation by which the unit is identified in the declaration,
together with the recording data identifying the declaration, shall be a
sufficient legal description for all purposes. The description includes
all appurtenances to the unit concerned, whether or not separately
described, including, but not limited to, the undivided share in the
common elements appurtenant thereto.
History.--s. 1, ch. 76-222.
718.110 Amendment
of declaration; correction of error or omission in declaration by
circuit court.--
DECLARATORY
STATEMENT: Smuggler's
Landing at Cortez Condominium Assoc., Inc
(1)(a) If the declaration fails to
provide a method of amendment, the declaration may be amended as to all
matters except those described in subsection (4) or subsection (8) if
the amendment is approved by the owners of not less than two-thirds of
the units. Except as to those matters described in subsection (4) or
subsection (8), no declaration recorded after April 1, 1992, shall
require that amendments be approved by more than four-fifths of the
voting interests.
(b) No provision of the declaration
shall be revised or amended by reference to its title or number only.
Proposals to amend existing provisions of the declaration shall contain
the full text of the provision to be amended; new words shall be
inserted in the text and underlined; and words to be deleted shall be
lined through with hyphens. However, if the proposed change is so
extensive that this procedure would hinder, rather than assist, the
understanding of the proposed amendment, it is not necessary to use
underlining and hyphens as indicators of words added or deleted, but,
instead, a notation must be inserted immediately preceding the proposed
amendment in substantially the following language: "Substantial
rewording of declaration. See provision _____ for present text."
(c) Nonmaterial errors or omissions in
the amendment process will not invalidate an otherwise properly
promulgated amendment.
(2) An amendment, other than amendments
made by the developer pursuant to ss. 718.104, 718.403, and 718.504(6),
(7), and (9) without a vote of the unit owners and any rights the
developer may have in the declaration to amend without consent of the
unit owners which shall be limited to matters other than those under
subsections (4) and (8), shall be evidenced by a certificate of the
association which shall include the recording data identifying the
declaration and shall be executed in the form required for the execution
of a deed. An amendment by the developer must be evidenced in writing,
but a certificate of the association is not required. The developer of a
timeshare condominium may reserve specific rights in the declaration to
amend the declaration without the consent of the unit owners.
(3) An amendment of a declaration is
effective when properly recorded in the public records of the county
where the declaration is recorded.
(4) Unless otherwise provided in the
declaration as originally recorded, no amendment may change the
configuration or size of any unit in any material fashion, materially
alter or modify the appurtenances to the unit, or change the proportion
or percentage by which the unit owner shares the common expenses of the
condominium and owns the common surplus of the condominium unless the
record owner of the unit and all record owners of liens on the unit join
in the execution of the amendment and unless all the record owners of
all other units in the same condominium approve the amendment. The
acquisition of property by the association and material alterations or
substantial additions to such property or the common elements by the
association in accordance with s. 718.111(7) or s. 718.113, and
amendments providing for the transfer of use rights in limited common
elements pursuant to s. 718.106(2)(b) shall not be deemed to constitute
a material alteration or modification of the appurtenances to the units.
A declaration recorded after April 1, 1992, may not require the approval
of less than a majority of total voting interests of the condominium for
amendments under this subsection, unless otherwise required by a
governmental entity.
DECLARATORY
STATEMENT: Princess
Del Mar Condominium Owners Assoc., Inc.
DECLARATORY
STATEMENT: Altamira
at N. Hutchinson Island Condominium Assoc., Inc.
(5) If it appears that through a
scrivener's error a unit has not been designated as owning an
appropriate undivided share of the common elements or does not bear an
appropriate share of the common expenses or that all the common expenses
or interest in the common surplus or all of the common elements in the
condominium have not been distributed in the declaration, so that the
sum total of the shares of common elements which have been distributed
or the sum total of the shares of the common expenses or ownership of
common surplus fails to equal 100 percent, or if it appears that more
than 100 percent of common elements or common expenses or ownership of
the common surplus have been distributed, the error may be corrected by
filing an amendment to the declaration approved by the board of
administration or a majority of the unit owners.
(6) The common elements designated by
the declaration may be enlarged by an amendment to the declaration. The
amendment must describe the interest in the property and must submit the
property to the terms of the declaration. The amendment must be approved
and executed as provided in this section. The amendment divests the
association of title to the land and vests title in the unit owners as
part of the common elements, without naming them and without further
conveyance, in the same proportion as the undivided shares in the common
elements that are appurtenant to the unit owned by them.
(7) The declarations, bylaws, and
common elements of two or more independent condominiums of a single
complex may be merged to form a single condominium, upon the approval of
such voting interest of each condominium as is required by the
declaration for modifying the appurtenances to the units or changing the
proportion or percentages by which the owners of the parcel share the
common expenses and own the common surplus; upon the approval of all
record owners of liens; and upon the recording of new or amended
articles of incorporation, declarations, and bylaws.
(8) Unless otherwise provided in the
declaration as originally recorded, no amendment to the declaration may
permit timeshare estates to be created in any unit of the condominium,
unless the record owner of each unit of the condominium and the record
owners of liens on each unit of the condominium join in the execution of
the amendment.
(9) If there is an omission or error in
a declaration, or in any other document required by law to establish the
condominium, the association may correct the error or omission by an
amendment to the declaration or to the other document required to create
a condominium in the manner provided in the declaration to amend the
declaration or, if none is provided, by vote of a majority of the voting
interests of the condominium. The amendment is effective when passed and
approved and a certificate of amendment is executed and recorded as
provided in subsections (2) and (3). This procedure for amendment cannot
be used if such an amendment would materially or adversely affect
property rights of unit owners, unless the affected unit owners consent
in writing. This subsection does not restrict the powers of the
association to otherwise amend the declaration, or other documentation,
but authorizes a simple process of amendment requiring a lesser vote for
the purpose of curing defects, errors, or omissions when the property
rights of unit owners are not materially or adversely affected.
(10) If there is an omission or error
in a declaration of condominium, or any other document required to
establish the condominium, which omission or error would affect the
valid existence of the condominium, the circuit court has jurisdiction
to entertain a petition of one or more of the unit owners in the
condominium, or of the association, to correct the error or omission,
and the action may be a class action. The court may require that one or
more methods of correcting the error or omission be submitted to the
unit owners to determine the most acceptable correction. All unit
owners, the association, and the mortgagees of a first mortgage of
record must be joined as parties to the action. Service of process on
unit owners may be by publication, but the plaintiff must furnish every
unit owner not personally served with process with a copy of the
petition and final decree of the court by certified mail, return receipt
requested, at the unit owner's last known residence address. If an
action to determine whether the declaration or another condominium
document complies with the mandatory requirements for the formation of a
condominium is not brought within 3 years of the recording of the
declaration, the declaration and other documents shall be effective
under this chapter to create a condominium, as of the date the
declaration was recorded, whether or not the documents substantially
comply with the mandatory requirements of law. However, both before and
after the expiration of this 3-year period, the circuit court has
jurisdiction to entertain a petition permitted under this subsection for
the correction of the documentation, and other methods of amendment may
be utilized to correct the errors or omissions at any time.
(11) The Legislature finds that the
procurement of mortgagee consent to amendments that do not affect the
rights or interests of mortgagees is an unreasonable and substantial
logistical and financial burden on the unit owners and that there is a
compelling state interest in enabling the members of a condominium
association to approve amendments to the condominium documents through
legal means. Accordingly, and notwithstanding any provision to the
contrary contained in this section:
(a) As to any mortgage recorded on or
after October 1, 2007, any provision in the declaration, articles of
incorporation, or bylaws that requires the consent or joinder of some or
all mortgagees of units or any other portion of the condominium property
to or in amendments to the declaration, articles of incorporation, or
bylaws or for any other matter shall be enforceable only as to the
following matters:
1. Those matters described in
subsections (4) and (8).
2. Amendments to the declaration,
articles of incorporation, or bylaws that adversely affect the priority
of the mortgagee's lien or the mortgagee's rights to foreclose its lien
or that otherwise materially affect the rights and interests of the
mortgagees.
(b) As to mortgages recorded before
October 1, 2007, any existing provisions in the declaration, articles of
incorporation, or bylaws requiring mortgagee consent shall be
enforceable.
(c) In securing consent or joinder, the
association shall be entitled to rely upon the public records to
identify the holders of outstanding mortgages. The association may use
the address provided in the original recorded mortgage document, unless
there is a different address for the holder of the mortgage in a
recorded assignment or modification of the mortgage, which recorded
assignment or modification must reference the official records book and
page on which the original mortgage was recorded. Once the association
has identified the recorded mortgages of record, the association shall,
in writing, request of each unit owner whose unit is encumbered by a
mortgage of record any information the owner has in his or her
possession regarding the name and address of the person to whom mortgage
payments are currently being made. Notice shall be sent to such person
if the address provided in the original recorded mortgage document is
different from the name and address of the mortgagee or assignee of the
mortgage as shown by the public record. The association shall be deemed
to have complied with this requirement by making the written request of
the unit owners required under this paragraph. Any notices required to
be sent to the mortgagees under this paragraph shall be sent to all
available addresses provided to the association.
(d) Any notice to the mortgagees
required under paragraph (c) may be sent by a method that establishes
proof of delivery, and any mortgagee who fails to respond within 60 days
after the date of mailing shall be deemed to have consented to the
amendment.
(e) For those amendments requiring
mortgagee consent on or after October 1, 2007, in the event mortgagee
consent is provided other than by properly recorded joinder, such
consent shall be evidenced by affidavit of the association recorded in
the public records of the county where the declaration is recorded. Any
amendment adopted without the required consent of a mortgagee shall be
voidable only by a mortgagee who was entitled to notice and an
opportunity to consent. An action to void an amendment shall be subject
to the statute of limitations beginning 5 years after the date of
discovery as to the amendments described in subparagraphs (a)1. and 2.
and 5 years after the date of recordation of the certificate of
amendment for all other amendments. This provision shall apply to all
mortgages, regardless of the date of recordation of the mortgage.
(f) Notwithstanding the provisions of
this section, any amendment or amendments to conform a declaration of
condominium to the insurance coverage provisions in s. 718.111(11) may
be made as provided in that section.
(12)(a) With respect to an existing
multicondominium association, any amendment to change the fractional or
percentage share of liability for the common expenses of the association
and ownership of the common surplus of the association must be approved
by at least a majority of the total voting interests of each condominium
operated by the association unless the declarations of all condominiums
operated by the association uniformly require approval by a greater
percentage of the voting interests of each condominium.
(b) Unless approval by a greater
percentage of the voting interests of an existing multicondominium
association is expressly required in the declaration of an existing
condominium, the declaration may be amended upon approval of at least a
majority of the total voting interests of each condominium operated by
the multicondominium association for the purpose of:
1. Setting forth in the declaration the
formula currently utilized, but not previously stated in the
declaration, for determining the percentage or fractional shares of
liability for the common expenses of the multicondominium association
and ownership of the common surplus of the multicondominium association.
2. Providing for the creation or
enlargement of a multicondominium association by the merger or
consolidation of two or more associations and changing the name of the
association, as appropriate.
(13) An amendment prohibiting unit owners from renting their units or altering the duration of the rental term or specifying or limiting the number of times unit owners are entitled to rent their units during a specified period applies only to unit owners who consent to the amendment and unit owners who acquire title to their units after the effective date of that amendment.
(14) Except for those portions of the common elements designed and intended to be used by all unit owners, a portion of the common elements serving only one unit or a group of units may be reclassified as a limited common element upon the vote required to amend the declaration as provided therein or as required under paragraph (1)(a), and shall not be considered an amendment pursuant to subsection (4). This is a clarification of existing law.
History.--s. 1, ch. 76-222; s. 8, ch.
77-221; s. 6, ch. 77-222; s. 5, ch. 78-328; s. 2, ch. 78-340; s. 4, ch.
84-368; s. 5, ch. 90-151; s. 3, ch. 91-103; ss. 2, 5, ch. 91-426; s. 51,
ch. 2000-302; s. 7, ch. 2002-27; s. 24, ch. 2004-345; s. 1, ch.
2004-353; s. 3, ch. 2007-173.
718.111 THE
ASSOCIATION.--
(1) CORPORATE
ENTITY.
(a) The
operation of
the
condominium
shall be by
the
association,
which must
be a Florida
corporation
for profit
or a Florida
corporation
not for
profit.
However, any
association
which was in
existence on
January 1,
1977, need
not be
incorporated.
The owners
of units
shall be
shareholders
or members
of the
association.
The officers
and
directors of
the
association
have a
fiduciary
relationship
to the unit
owners. It
is the
intent of
the
Legislature
that nothing
in this
paragraph
shall be
construed as
providing
for or
removing a
requirement
of a
fiduciary
relationship
between any
manager
employed by
the
association
and the unit
owners. An
officer,
director, or
manager may
not solicit,
offer to
accept, or
accept any
thing or
service of
value or
kickback for
which
consideration
has not been
provided for
his or her
own benefit
or that of
his or her
immediate
family, from
any person
providing or
proposing to
provide
goods or
services to
the
association.
Any such
officer,
director, or
manager who
knowingly so
solicits,
offers to
accept, or
accepts any
thing or
service of
value or
kickback is
subject to a
civil
penalty
pursuant to
s.
718.501(1)(d)
and, if
applicable,
a criminal
penalty as
provided in
paragraph
(d).
However,
this
paragraph
does not
prohibit an
officer,
director, or
manager from
accepting
services or
items
received in
connection
with trade
fairs or
education
programs. An
association
may operate
more than
one
condominium.
(b) A
director of
the
association
who is
present at a
meeting of
its board at
which action
on any
corporate
matter is
taken shall
be presumed
to have
assented to
the action
taken unless
he or she
votes
against such
action or
abstains
from voting.
A director
of the
association
who abstains
from voting
on any
action taken
on any
corporate
matter shall
be presumed
to have
taken no
position
with regard
to the
action.
Directors
may not vote
by proxy or
by secret
ballot at
board
meetings,
except that
officers may
be elected
by secret
ballot. A
vote or
abstention
for each
member
present
shall be
recorded in
the minutes.
(c) A unit
owner does
not have any
authority to
act for the
association
by reason of
being a unit
owner.
(d) As
required by
s. 617.0830,
an officer,
director, or
agent shall
discharge
his or her
duties in
good faith,
with the
care an
ordinarily
prudent
person in a
like
position
would
exercise
under
similar
circumstances,
and in a
manner he or
she
reasonably
believes to
be in the
interests of
the
association.
An officer,
director, or
agent shall
be liable
for monetary
damages as
provided in
s. 617.0834
if such
officer,
director, or
agent
breached or
failed to
perform his
or her
duties and
the breach
of, or
failure to
perform, his
or her
duties
constitutes
a violation
of criminal
law as
provided in
s. 617.0834;
constitutes
a
transaction
from which
the officer
or director
derived an
improper
personal
benefit,
either
directly or
indirectly;
or
constitutes
recklessness
or an act or
omission
that was in
bad faith,
with
malicious
purpose, or
in a manner
exhibiting
wanton and
willful
disregard of
human
rights,
safety, or
property.
Forgery of a
ballot
envelope or
voting
certificate
used in a
condominium
association
election is
punishable
as provided
in s.
831.01, the
theft or
embezzlement
of funds of
a
condominium
association
is
punishable
as provided
in s.
812.014, and
the
destruction
of or the
refusal to
allow
inspection
or copying
of an
official
record of a
condominium
association
that is
accessible
to unit
owners
within the
time periods
required by
general law
in
furtherance
of any crime
is
punishable
as tampering
with
physical
evidence as
provided in
s. 918.13 or
as
obstruction
of justice
as provided
in chapter
843. An
officer or
director
charged by
information
or
indictment
with a crime
referenced
in this
paragraph
must be
removed from
office, and
the vacancy
shall be
filled as
provided in
s.
718.112(2)(d)2.
until the
end of the
officer’s or
director’s
period of
suspension
or the end
of his or
her term of
office,
whichever
occurs
first. If a
criminal
charge is
pending
against the
officer or
director, he
or she may
not be
appointed or
elected to a
position as
an officer
or a
director of
any
association
and may not
have access
to the
official
records of
any
association,
except
pursuant to
a court
order.
However, if
the charges
are resolved
without a
finding of
guilt, the
officer or
director
must be
reinstated
for the
remainder of
his or her
term of
office, if
any.
(2) POWERS
AND DUTIES.—The
powers and
duties of
the
association
include
those set
forth in
this section
and, except
as expressly
limited or
restricted
in this
chapter,
those set
forth in the
declaration
and bylaws
and part I
of chapter
607 and
chapter 617,
as
applicable.
(3) POWER
TO MANAGE
CONDOMINIUM
PROPERTY AND
TO CONTRACT,
SUE, AND BE
SUED;
CONFLICT OF
INTEREST.—
(a) The
association
may
contract,
sue, or be
sued with
respect to
the exercise
or
nonexercise
of its
powers. For
these
purposes,
the powers
of the
association
include, but
are not
limited to,
the
maintenance,
management,
and
operation of
the
condominium
property.
(b) After
control of
the
association
is obtained
by unit
owners other
than the
developer,
the
association
may:
1. Institute,
maintain,
settle, or
appeal
actions or
hearings in
its name on
behalf of
all unit
owners
concerning
matters of
common
interest to
most or all
unit owners,
including,
but not
limited to,
the common
elements;
the roof and
structural
components
of a
building or
other
improvements;
mechanical,
electrical,
and plumbing
elements
serving an
improvement
or a
building;
and
representations
of the
developer
pertaining
to any
existing or
proposed
commonly
used
facilities;
2. Protest
ad valorem
taxes on
commonly
used
facilities
and on
units;
3. Defend
actions
pertaining
to ad
valorem
taxation of
commonly
used
facilities
or units or
in eminent
domain
actions; and
4. Bring
inverse
condemnation
actions.
(c) If the
association
has the
authority to
maintain a
class
action, the
association
may be
joined in an
action as
representative
of that
class with
reference to
litigation
and disputes
involving
the matters
for which
the
association
could bring
a class
action.
(d) The
association,
in its own
name or on
behalf of
some or all
unit owners,
may
institute,
file,
protest, or
maintain any
administrative
challenge,
lawsuit,
appeal, or
other
challenge to
ad valorem
taxes
assessed on
units,
commonly
used
facilities,
or common
elements. In
any
subsequent
proceeding,
lawsuit,
appeal, or
other
challenge
brought by
the property
appraiser
related to
units that
were the
subject of a
single joint
petition
filed under
s.
194.011(3),
the
association
has the
right to
represent
the interest
of the unit
owners as
provided in
s.
194.011(3)(e)2.,
and the unit
owners are
not
necessary or
indispensable
parties to
such
actions.
This
paragraph is
intended to
clarify
existing law
and applies
to cases
pending on
July 1,
2021.
(e) This
section does
not limit
any
statutory or
common-law
right of any
individual
unit owner
or class of
unit owners
to bring any
action
without
participation
by the
association
which may
otherwise be
available.
(f) An
association
may not hire
an attorney
who
represents
the
management
company of
the
association.
(4) ASSESSMENTS;
MANAGEMENT
OF COMMON
ELEMENTS.—The
association
has the
power to
make and
collect
assessments
and to
lease,
maintain,
repair, and
replace the
common
elements or
association
property;
however, the
association
may not
charge a use
fee against
a unit owner
for the use
of common
elements or
association
property
unless
otherwise
provided for
in the
declaration
of
condominium
or by a
majority
vote of the
association
or unless
the charges
relate to
expenses
incurred by
an owner
having
exclusive
use of the
common
elements or
association
property.
(5) RIGHT
OF ACCESS TO
UNITS.—
(a) The
association
has the
irrevocable
right of
access to
each unit
during
reasonable
hours, when
necessary
for the
maintenance,
repair, or
replacement
of any
common
elements or
of any
portion of a
unit to be
maintained
by the
association
pursuant to
the
declaration
or as
necessary to
prevent
damage to
the common
elements or
to a unit.
(b)1. In
addition to
the
association’s
right of
access in
paragraph
(a) and
regardless
of whether
authority is
provided in
the
declaration
or other
recorded
condominium
documents,
an
association,
at the sole
discretion
of the
board, may
enter an
abandoned
unit to
inspect the
unit and
adjoining
common
elements;
make repairs
to the unit
or to the
common
elements
serving the
unit, as
needed;
repair the
unit if mold
or
deterioration
is present;
turn on the
utilities
for the
unit; or
otherwise
maintain,
preserve, or
protect the
unit and
adjoining
common
elements.
For purposes
of this
paragraph, a
unit is
presumed to
be abandoned
if:
a. The unit
is the
subject of a
foreclosure
action and
no tenant
appears to
have resided
in the unit
for at least
4 continuous
weeks
without
prior
written
notice to
the
association;
or
b. No tenant
appears to
have resided
in the unit
for 2
consecutive
months
without
prior
written
notice to
the
association,
and the
association
is unable to
contact the
owner or
determine
the
whereabouts
of the owner
after
reasonable
inquiry.
2. Except in
the case of
an
emergency,
an
association
may not
enter an
abandoned
unit until 2
days after
notice of
the
association’s
intent to
enter the
unit has
been mailed
or
hand-delivered
to the owner
at the
address of
the owner as
reflected in
the records
of the
association.
The notice
may be given
by
electronic
transmission
to unit
owners who
previously
consented to
receive
notice by
electronic
transmission.
3. Any
expense
incurred by
an
association
pursuant to
this
paragraph is
chargeable
to the unit
owner and
enforceable
as an
assessment
pursuant to
s. 718.116,
and the
association
may use its
lien
authority
provided by
s. 718.116
to enforce
collection
of the
expense.
4. The
association
may petition
a court of
competent
jurisdiction
to appoint a
receiver to
lease out an
abandoned
unit for the
benefit of
the
association
to offset
against the
rental
income the
association’s
costs and
expenses of
maintaining,
preserving,
and
protecting
the unit and
the
adjoining
common
elements,
including
the costs of
the
receivership
and all
unpaid
assessments,
interest,
administrative
late fees,
costs, and
reasonable
attorney
fees.
(6) OPERATION
OF
CONDOMINIUMS
CREATED
PRIOR TO
1977.—Notwithstanding
any
provision of
this
chapter, an
association
may operate
two or more
residential
condominiums
in which the
initial
condominium
declaration
was recorded
prior to
January 1,
1977, and
may continue
to so
operate such
condominiums
as a single
condominium
for purposes
of financial
matters,
including
budgets,
assessments,
accounting,
recordkeeping,
and similar
matters, if
provision is
made for
such
consolidated
operation in
the
applicable
declarations
of each such
condominium
or in the
bylaws. An
association
for such
condominiums
may also
provide for
consolidated
financial
operation as
described in
this section
either by
amending its
declaration
pursuant to
s.
718.110(1)(a)
or by
amending its
bylaws and
having the
amendment
approved by
not less
than
two-thirds
of the total
voting
interests.
Notwithstanding
any
provision in
this
chapter,
common
expenses for
residential
condominiums
in such a
project
being
operated by
a single
association
may be
assessed
against all
unit owners
in such
project
pursuant to
the
proportions
or
percentages
established
therefor in
the
declarations
as initially
recorded or
in the
bylaws as
initially
adopted,
subject,
however, to
the
limitations
of ss.
718.116 and
718.302.
(7) TITLE
TO PROPERTY.—
(a) The
association
has the
power to
acquire
title to
property or
otherwise
hold,
convey,
lease, and
mortgage
association
property for
the use and
benefit of
its members.
The power to
acquire
personal
property
shall be
exercised by
the board of
administration.
Except as
otherwise
permitted in
subsections
(8) and (9)
and in s.
718.114, no
association
may acquire,
convey,
lease, or
mortgage
association
real
property
except in
the manner
provided in
the
declaration,
and if the
declaration
does not
specify the
procedure,
then
approval of
75 percent
of the total
voting
interests
shall be
required.
(b) Subject
to the
provisions
of s.
718.112(2)(m),
the
association,
through its
board, has
the limited
power to
convey a
portion of
the common
elements to
a condemning
authority
for the
purposes of
providing
utility
easements,
right-of-way
expansion,
or other
public
purposes,
whether
negotiated
or as a
result of
eminent
domain
proceedings.
(8) PURCHASE
OF LEASES.—The
association
has the
power to
purchase any
land or
recreation
lease,
subject to
the same
manner of
approval as
in s.
718.114 for
the
acquisition
of
leaseholds.
(9) PURCHASE
OF UNITS.—The
association
has the
power,
unless
prohibited
by the
declaration,
articles of
incorporation,
or bylaws of
the
association,
to purchase
units in the
condominium
and to
acquire and
hold, lease,
mortgage,
and convey
them. There
shall be no
limitation
on the
association’s
right to
purchase a
unit at a
foreclosure
sale
resulting
from the
association’s
foreclosure
of its lien
for unpaid
assessments,
or to take
title by
deed in lieu
of
foreclosure.
However,
except for a
timeshare
condominium,
a board
member,
manager, or
management
company may
not purchase
a unit at a
foreclosure
sale
resulting
from the
association’s
foreclosure
of its lien
for unpaid
assessments
or take
title by
deed in lieu
of
foreclosure.
(10) EASEMENTS.—Unless
prohibited
by the
declaration,
the board of
administration
has the
authority,
without the
joinder of
any unit
owner, to
grant,
modify, or
move any
easement if
the easement
constitutes
part of or
crosses the
common
elements or
association
property.
This
subsection
does not
authorize
the board of
administration
to modify,
move, or
vacate any
easement
created in
whole or in
part for the
use or
benefit of
anyone other
than the
unit owners,
or crossing
the property
of anyone
other than
the unit
owners,
without the
consent or
approval of
those other
persons
having the
use or
benefit of
the
easement, as
required by
law or by
the
instrument
creating the
easement.
Nothing in
this
subsection
affects the
minimum
requirements
of s.
718.104(4)(n)
or the
powers
enumerated
in
subsection
(3).
(11) INSURANCE.—In
order to
protect the
safety,
health, and
welfare of
the people
of the State
of Florida
and to
ensure
consistency
in the
provision of
insurance
coverage to
condominiums
and their
unit owners,
this
subsection
applies to
every
residential
condominium
in the
state,
regardless
of the date
of its
declaration
of
condominium.
It is the
intent of
the
Legislature
to encourage
lower or
stable
insurance
premiums for
associations
described in
this
subsection.
(a) Adequate
property
insurance,
regardless
of any
requirement
in the
declaration
of
condominium
for coverage
by the
association
for full
insurable
value,
replacement
cost, or
similar
coverage,
must be
based on the
replacement
cost of the
property to
be insured
as
determined
by an
independent
insurance
appraisal or
update of a
prior
appraisal.
The
replacement
cost must be
determined
at least
once every
36 months.
1. An
association
or group of
associations
may provide
adequate
property
insurance
through a
self-insurance
fund that
complies
with the
requirements
of ss.
624.460-624.488.
2. The
association
may also
provide
adequate
property
insurance
coverage for
a group of
at least
three
communities
created and
operating
under this
chapter,
chapter 719,
chapter 720,
or chapter
721 by
obtaining
and
maintaining
for such
communities
insurance
coverage
sufficient
to cover an
amount equal
to the
probable
maximum loss
for the
communities
for a
250-year
windstorm
event. Such
probable
maximum loss
must be
determined
through the
use of a
competent
model that
has been
accepted by
the Florida
Commission
on Hurricane
Loss
Projection
Methodology.
A policy or
program
providing
such
coverage may
not be
issued or
renewed
after July
1, 2008,
unless it
has been
reviewed and
approved by
the Office
of Insurance
Regulation.
The review
and approval
must include
approval of
the policy
and related
forms
pursuant to
ss. 627.410
and 627.411,
approval of
the rates
pursuant to
s. 627.062,
a
determination
that the
loss model
approved by
the
commission
was
accurately
and
appropriately
applied to
the insured
structures
to determine
the 250-year
probable
maximum
loss, and a
determination
that
complete and
accurate
disclosure
of all
material
provisions
is provided
to
condominium
unit owners
before
execution of
the
agreement by
a
condominium
association.
3. When
determining
the adequate
amount of
property
insurance
coverage,
the
association
may consider
deductibles
as
determined
by this
subsection.
(b) If an
association
is a
developer-controlled
association,
the
association
shall
exercise its
best efforts
to obtain
and maintain
insurance as
described in
paragraph
(a). Failure
to obtain
and maintain
adequate
property
insurance
during any
period of
developer
control
constitutes
a breach of
fiduciary
responsibility
by the
developer-appointed
members of
the board of
directors of
the
association,
unless the
members can
show that
despite such
failure,
they have
made their
best efforts
to maintain
the required
coverage.
(c) Policies
may include
deductibles
as
determined
by the
board.
1. The
deductibles
must be
consistent
with
industry
standards
and
prevailing
practice for
communities
of similar
size and
age, and
having
similar
construction
and
facilities
in the
locale where
the
condominium
property is
situated.
2. The
deductibles
may be based
upon
available
funds,
including
reserve
accounts, or
predetermined
assessment
authority at
the time the
insurance is
obtained.
3. The board
shall
establish
the amount
of
deductibles
based upon
the level of
available
funds and
predetermined
assessment
authority at
a meeting of
the board in
the manner
set forth in
s.
718.112(2)(e).
(d) An
association
controlled
by unit
owners
operating as
a
residential
condominium
shall use
its best
efforts to
obtain and
maintain
adequate
property
insurance to
protect the
association,
the
association
property,
the common
elements,
and the
condominium
property
that must be
insured by
the
association
pursuant to
this
subsection.
(e) The
declaration
of
condominium
as
originally
recorded, or
as amended
pursuant to
procedures
provided
therein, may
provide that
condominium
property
consisting
of
freestanding
buildings
comprised of
no more than
one building
in or on
such unit
need not be
insured by
the
association
if the
declaration
requires the
unit owner
to obtain
adequate
insurance
for the
condominium
property. An
association
may also
obtain and
maintain
liability
insurance
for
directors
and
officers,
insurance
for the
benefit of
association
employees,
and flood
insurance
for common
elements,
association
property,
and units.
(f) Every
property
insurance
policy
issued or
renewed on
or after
January 1,
2009, for
the purpose
of
protecting
the
condominium
must provide
primary
coverage
for:
1. All
portions of
the
condominium
property as
originally
installed or
replacement
of like kind
and quality,
in
accordance
with the
original
plans and
specifications.
2. All
alterations
or additions
made to the
condominium
property or
association
property
pursuant to
s.
718.113(2).
3. The
coverage
must exclude
all personal
property
within the
unit or
limited
common
elements,
and floor,
wall, and
ceiling
coverings,
electrical
fixtures,
appliances,
water
heaters,
water
filters,
built-in
cabinets and
countertops,
and window
treatments,
including
curtains,
drapes,
blinds,
hardware,
and similar
window
treatment
components,
or
replacements
of any of
the
foregoing
which are
located
within the
boundaries
of the unit
and serve
only such
unit. Such
property and
any
insurance
thereupon is
the
responsibility
of the unit
owner.
(g) A
condominium
unit owner
policy must
conform to
the
requirements
of s.
627.714.
1. All
reconstruction
work after a
property
loss must be
undertaken
by the
association
except as
otherwise
authorized
in this
section. A
unit owner
may
undertake
reconstruction
work on
portions of
the unit
with the
prior
written
consent of
the board of
administration.
However,
such work
may be
conditioned
upon the
approval of
the repair
methods, the
qualifications
of the
proposed
contractor,
or the
contract
that is used
for that
purpose. A
unit owner
must obtain
all required
governmental
permits and
approvals
before
commencing
reconstruction.
2. Unit
owners are
responsible
for the cost
of
reconstruction
of any
portions of
the
condominium
property for
which the
unit owner
is required
to carry
property
insurance,
or for which
the unit
owner is
responsible
under
paragraph
(j), and the
cost of any
such
reconstruction
work
undertaken
by the
association
is
chargeable
to the unit
owner and
enforceable
as an
assessment
and may be
collected in
the manner
provided for
the
collection
of
assessments
pursuant to
s. 718.116.
3. A
multicondominium
association
may elect,
by a
majority
vote of the
collective
members of
the
condominiums
operated by
the
association,
to operate
the
condominiums
as a single
condominium
for purposes
of insurance
matters,
including,
but not
limited to,
the purchase
of the
property
insurance
required by
this section
and the
apportionment
of
deductibles
and damages
in excess of
coverage.
The election
to aggregate
the
treatment of
insurance
premiums,
deductibles,
and excess
damages
constitutes
an amendment
to the
declaration
of all
condominiums
operated by
the
association,
and the
costs of
insurance
must be
stated in
the
association
budget. The
amendments
must be
recorded as
required by
s. 718.110.
(h) The
association
shall
maintain
insurance or
fidelity
bonding of
all persons
who control
or disburse
funds of the
association.
The
insurance
policy or
fidelity
bond must
cover the
maximum
funds that
will be in
the custody
of the
association
or its
management
agent at any
one time. As
used in this
paragraph,
the term
“persons who
control or
disburse
funds of the
association”
includes,
but is not
limited to,
those
individuals
authorized
to sign
checks on
behalf of
the
association,
and the
president,
secretary,
and
treasurer of
the
association.
The
association
shall bear
the cost of
any such
bonding.
(i) The
association
may amend
the
declaration
of
condominium
without
regard to
any
requirement
for approval
by
mortgagees
of
amendments
affecting
insurance
requirements
for the
purpose of
conforming
the
declaration
of
condominium
to the
coverage
requirements
of this
subsection.
(j) Any
portion of
the
condominium
property
that must be
insured by
the
association
against
property
loss
pursuant to
paragraph
(f) which is
damaged by
an insurable
event shall
be
reconstructed,
repaired, or
replaced as
necessary by
the
association
as a common
expense. In
the absence
of an
insurable
event, the
association
or the unit
owners shall
be
responsible
for the
reconstruction,
repair, or
replacement
as
determined
by the
maintenance
provisions
of the
declaration
or bylaws.
All property
insurance
deductibles
and other
damages in
excess of
property
insurance
coverage
under the
property
insurance
policies
maintained
by the
association
are a common
expense of
the
condominium,
except that:
1. A unit
owner is
responsible
for the
costs of
repair or
replacement
of any
portion of
the
condominium
property not
paid by
insurance
proceeds if
such damage
is caused by
intentional
conduct,
negligence,
or failure
to comply
with the
terms of the
declaration
or the rules
of the
association
by a unit
owner, the
members of
his or her
family, unit
occupants,
tenants,
guests, or
invitees,
without
compromise
of the
subrogation
rights of
the insurer.
2. The
provisions
of
subparagraph
1. regarding
the
financial
responsibility
of a unit
owner for
the costs of
repairing or
replacing
other
portions of
the
condominium
property
also apply
to the costs
of repair or
replacement
of personal
property of
other unit
owners or
the
association,
as well as
other
property,
whether real
or personal,
which the
unit owners
are required
to insure.
3. To the
extent the
cost of
repair or
reconstruction
for which
the unit
owner is
responsible
under this
paragraph is
reimbursed
to the
association
by insurance
proceeds,
and the
association
has
collected
the cost of
such repair
or
reconstruction
from the
unit owner,
the
association
shall
reimburse
the unit
owner
without the
waiver of
any rights
of
subrogation.
4. The
association
is not
obligated to
pay for
reconstruction
or repairs
of property
losses as a
common
expense if
the property
losses were
known or
should have
been known
to a unit
owner and
were not
reported to
the
association
until after
the
insurance
claim of the
association
for that
property was
settled or
resolved
with
finality, or
denied
because it
was untimely
filed.
(k) An
association
may, upon
the approval
of a
majority of
the total
voting
interests in
the
association,
opt out of
the
provisions
of paragraph
(j) for the
allocation
of repair or
reconstruction
expenses and
allocate
repair or
reconstruction
expenses in
the manner
provided in
the
declaration
as
originally
recorded or
as amended.
Such vote
may be
approved by
the voting
interests of
the
association
without
regard to
any
mortgagee
consent
requirements.
(l) In a
multicondominium
association
that has not
consolidated
its
financial
operations
under
subsection
(6), any
condominium
operated by
the
association
may opt out
of the
provisions
of paragraph
(j) with the
approval of
a majority
of the total
voting
interests in
that
condominium.
Such vote
may be
approved by
the voting
interests
without
regard to
any
mortgagee
consent
requirements.
(m) Any
association
or
condominium
voting to
opt out of
the
guidelines
for repair
or
reconstruction
expenses as
described in
paragraph
(j) must
record a
notice
setting
forth the
date of the
opt-out vote
and the page
of the
official
records book
on which the
declaration
is recorded.
The decision
to opt out
is effective
upon the
date of
recording of
the notice
in the
public
records by
the
association.
An
association
that has
voted to opt
out of
paragraph
(j) may
reverse that
decision by
the same
vote
required in
paragraphs
(k) and (l),
and notice
thereof
shall be
recorded in
the official
records.
(n) The
association
is not
obligated to
pay for any
reconstruction
or repair
expenses due
to property
loss to any
improvements
installed by
a current or
former owner
of the unit
or by the
developer if
the
improvement
benefits
only the
unit for
which it was
installed
and is not
part of the
standard
improvements
installed by
the
developer on
all units as
part of
original
construction,
whether or
not such
improvement
is located
within the
unit. This
paragraph
does not
relieve any
party of its
obligations
regarding
recovery due
under any
insurance
implemented
specifically
for such
improvements.
(o) The
provisions
of this
subsection
shall not
apply to
timeshare
condominium
associations.
Insurance
for
timeshare
condominium
associations
shall be
maintained
pursuant to
s. 721.165.
(12) OFFICIAL
RECORDS.—
(a) From the
inception of
the
association,
the
association
shall
maintain
each of the
following
items, if
applicable,
which
constitutes
the official
records of
the
association:
1. A copy of
the plans,
permits,
warranties,
and other
items
provided by
the
developer
under s.
718.301(4).
2. A
photocopy of
the recorded
declaration
of
condominium
of each
condominium
operated by
the
association
and each
amendment to
each
declaration.
3. A
photocopy of
the recorded
bylaws of
the
association
and each
amendment to
the bylaws.
4. A
certified
copy of the
articles of
incorporation
of the
association,
or other
documents
creating the
association,
and each
amendment
thereto.
5. A copy of
the current
rules of the
association.
6. A book or
books that
contain the
minutes of
all meetings
of the
association,
the board of
administration,
and the unit
owners.
7. A current
roster of
all unit
owners and
their
mailing
addresses,
unit
identifications,
voting
certifications,
and, if
known,
telephone
numbers. The
association
shall also
maintain the
e-mail
addresses
and
facsimile
numbers of
unit owners
consenting
to receive
notice by
electronic
transmission.
The e-mail
addresses
and
facsimile
numbers are
not
accessible
to unit
owners if
consent to
receive
notice by
electronic
transmission
is not
provided in
accordance
with
sub-subparagraph
(c)3.e.
However, the
association
is not
liable for
an
inadvertent
disclosure
of the
e-mail
address or
facsimile
number for
receiving
electronic
transmission
of notices.
8. All
current
insurance
policies of
the
association
and
condominiums
operated by
the
association.
9. A current
copy of any
management
agreement,
lease, or
other
contract to
which the
association
is a party
or under
which the
association
or the unit
owners have
an
obligation
or
responsibility.
10. Bills of
sale or
transfer for
all property
owned by the
association.
11. Accounting
records for
the
association
and separate
accounting
records for
each
condominium
that the
association
operates.
Any person
who
knowingly or
intentionally
defaces or
destroys
such
records, or
who
knowingly or
intentionally
fails to
create or
maintain
such
records,
with the
intent of
causing harm
to the
association
or one or
more of its
members, is
personally
subject to a
civil
penalty
pursuant to
s.
718.501(1)(d).
The
accounting
records must
include, but
are not
limited to:
a. Accurate,
itemized,
and detailed
records of
all receipts
and
expenditures.
b. A current
account and
a monthly,
bimonthly,
or quarterly
statement of
the account
for each
unit
designating
the name of
the unit
owner, the
due date and
amount of
each
assessment,
the amount
paid on the
account, and
the balance
due.
c. All
audits,
reviews,
accounting
statements,
and
financial
reports of
the
association
or
condominium.
d. All
contracts
for work to
be
performed.
Bids for
work to be
performed
are also
considered
official
records and
must be
maintained
by the
association
for at least
1 year after
receipt of
the bid.
12. Ballots,
sign-in
sheets,
voting
proxies, and
all other
papers and
electronic
records
relating to
voting by
unit owners,
which must
be
maintained
for 1 year
from the
date of the
election,
vote, or
meeting to
which the
document
relates,
notwithstanding
paragraph
(b).
13. All
rental
records if
the
association
is acting as
agent for
the rental
of
condominium
units.
14. A copy
of the
current
question and
answer sheet
as described
in s.
718.504.
15. A copy
of the
inspection
report as
described in
s.
718.301(4)(p).
16. Bids for
materials,
equipment,
or services.
17. All
affirmative
acknowledgments
made
pursuant to
s.
718.121(4)(c).
18. All
other
written
records of
the
association
not
1specifically
included in
the
foregoing
which are
related to
the
operation of
the
association.
(b) The
official
records
specified in
subparagraphs
(a)1.-6.
must be
permanently
maintained
from the
inception of
the
association.
Bids for
work to be
performed or
for
materials,
equipment,
or services
must be
maintained
for at least
1 year after
receipt of
the bid. All
other
official
records must
be
maintained
within the
state for at
least 7
years,
unless
otherwise
provided by
general law.
The records
of the
association
shall be
made
available to
a unit owner
within 45
miles of the
condominium
property or
within the
county in
which the
condominium
property is
located
within 10
working days
after
receipt of a
written
request by
the board or
its
designee.
However,
such
distance
requirement
does not
apply to an
association
governing a
timeshare
condominium.
This
paragraph
may be
complied
with by
having a
copy of the
official
records of
the
association
available
for
inspection
or copying
on the
condominium
property or
association
property, or
the
association
may offer
the option
of making
the records
available to
a unit owner
electronically
via the
Internet or
by allowing
the records
to be viewed
in
electronic
format on a
computer
screen and
printed upon
request. The
association
is not
responsible
for the use
or misuse of
the
information
provided to
an
association
member or
his or her
authorized
representative
in
compliance
with this
chapter
unless the
association
has an
affirmative
duty not to
disclose
such
information
under this
chapter.
(c)1. The
official
records of
the
association
are open to
inspection
by any
association
member or
the
authorized
representative
of such
member at
all
reasonable
times. The
right to
inspect the
records
includes the
right to
make or
obtain
copies, at
the
reasonable
expense, if
any, of the
member or
authorized
representative
of such
member. A
renter of a
unit has a
right to
inspect and
copy only
the
declaration
of
condominium
and the
association’s
bylaws and
rules. The
association
may adopt
reasonable
rules
regarding
the
frequency,
time,
location,
notice, and
manner of
record
inspections
and copying
but may not
require a
member to
demonstrate
any purpose
or state any
reason for
the
inspection.
The failure
of an
association
to provide
the records
within 10
working days
after
receipt of a
written
request
creates a
rebuttable
presumption
that the
association
willfully
failed to
comply with
this
paragraph. A
unit owner
who is
denied
access to
official
records is
entitled to
the actual
damages or
minimum
damages for
the
association’s
willful
failure to
comply.
Minimum
damages are
$50 per
calendar day
for up to 10
days,
beginning on
the 11th
working day
after
receipt of
the written
request. The
failure to
permit
inspection
entitles any
person
prevailing
in an
enforcement
action to
recover
reasonable
attorney
fees from
the person
in control
of the
records who,
directly or
indirectly,
knowingly
denied
access to
the records.
2. Any
person who
knowingly or
intentionally
defaces or
destroys
accounting
records that
are required
by this
chapter to
be
maintained
during the
period for
which such
records are
required to
be
maintained,
or who
knowingly or
intentionally
fails to
create or
maintain
accounting
records that
are required
to be
created or
maintained,
with the
intent of
causing harm
to the
association
or one or
more of its
members, is
personally
subject to a
civil
penalty
pursuant to
s.
718.501(1)(d).
3. The
association
shall
maintain an
adequate
number of
copies of
the
declaration,
articles of
incorporation,
bylaws, and
rules, and
all
amendments
to each of
the
foregoing,
as well as
the question
and answer
sheet as
described in
s. 718.504
and year-end
financial
information
required
under this
section, on
the
condominium
property to
ensure their
availability
to unit
owners and
prospective
purchasers,
and may
charge its
actual costs
for
preparing
and
furnishing
these
documents to
those
requesting
the
documents.
An
association
shall allow
a member or
his or her
authorized
representative
to use a
portable
device,
including a
smartphone,
tablet,
portable
scanner, or
any other
technology
capable of
scanning or
taking
photographs,
to make an
electronic
copy of the
official
records in
lieu of the
association’s
providing
the member
or his or
her
authorized
representative
with a copy
of such
records. The
association
may not
charge a
member or
his or her
authorized
representative
for the use
of a
portable
device.
Notwithstanding
this
paragraph,
the
following
records are
not
accessible
to unit
owners:
a. Any
record
protected by
the
lawyer-client
privilege as
described in
s. 90.502
and any
record
protected by
the
work-product
privilege,
including a
record
prepared by
an
association
attorney or
prepared at
the
attorney’s
express
direction,
which
reflects a
mental
impression,
conclusion,
litigation
strategy, or
legal theory
of the
attorney or
the
association,
and which
was prepared
exclusively
for civil or
criminal
litigation
or for
adversarial
administrative
proceedings,
or which was
prepared in
anticipation
of such
litigation
or
proceedings
until the
conclusion
of the
litigation
or
proceedings.
b. Information
obtained by
an
association
in
connection
with the
approval of
the lease,
sale, or
other
transfer of
a unit.
c. Personnel
records of
association
or
management
company
employees,
including,
but not
limited to,
disciplinary,
payroll,
health, and
insurance
records. For
purposes of
this
sub-subparagraph,
the term
“personnel
records”
does not
include
written
employment
agreements
with an
association
employee or
management
company, or
budgetary or
financial
records that
indicate the
compensation
paid to an
association
employee.
d. Medical
records of
unit owners.
e. Social
security
numbers,
driver
license
numbers,
credit card
numbers,
e-mail
addresses,
telephone
numbers,
facsimile
numbers,
emergency
contact
information,
addresses of
a unit owner
other than
as provided
to fulfill
the
association’s
notice
requirements,
and other
personal
identifying
information
of any
person,
excluding
the person’s
name, unit
designation,
mailing
address,
property
address, and
any address,
e-mail
address, or
facsimile
number
provided to
the
association
to fulfill
the
association’s
notice
requirements.
Notwithstanding
the
restrictions
in this
sub-subparagraph,
an
association
may print
and
distribute
to unit
owners a
directory
containing
the name,
unit
address, and
all
telephone
numbers of
each unit
owner.
However, an
owner may
exclude his
or her
telephone
numbers from
the
directory by
so
requesting
in writing
to the
association.
An owner may
consent in
writing to
the
disclosure
of other
contact
information
described in
this
sub-subparagraph.
The
association
is not
liable for
the
inadvertent
disclosure
of
information
that is
protected
under this
sub-subparagraph
if the
information
is included
in an
official
record of
the
association
and is
voluntarily
provided by
an owner and
not
requested by
the
association.
f. Electronic
security
measures
that are
used by the
association
to safeguard
data,
including
passwords.
g. The
software and
operating
system used
by the
association
which allow
the
manipulation
of data,
even if the
owner owns a
copy of the
same
software
used by the
association.
The data is
part of the
official
records of
the
association.
h. All
affirmative
acknowledgments
made
pursuant to
s.
718.121(4)(c).
(d) The
association
shall
prepare a
question and
answer sheet
as described
in s.
718.504, and
shall update
it annually.
(e)1. The
association
or its
authorized
agent is not
required to
provide a
prospective
purchaser or
lienholder
with
information
about the
condominium
or the
association
other than
information
or documents
required by
this chapter
to be made
available or
disclosed.
The
association
or its
authorized
agent may
charge a
reasonable
fee to the
prospective
purchaser,
lienholder,
or the
current unit
owner for
providing
good faith
responses to
requests for
information
by or on
behalf of a
prospective
purchaser or
lienholder,
other than
that
required by
law, if the
fee does not
exceed $150
plus the
reasonable
cost of
photocopying
and any
attorney’s
fees
incurred by
the
association
in
connection
with the
response.
2. An
association
and its
authorized
agent are
not liable
for
providing
such
information
in good
faith
pursuant to
a written
request if
the person
providing
the
information
includes a
written
statement in
substantially
the
following
form: “The
responses
herein are
made in good
faith and to
the best of
my ability
as to their
accuracy.”
(f) An
outgoing
board or
committee
member must
relinquish
all official
records and
property of
the
association
in his or
her
possession
or under his
or her
control to
the incoming
board within
5 days after
the
election.
The division
shall impose
a civil
penalty as
set forth in
s.
718.501(1)(d)6.
against an
outgoing
board or
committee
member who
willfully
and
knowingly
fails to
relinquish
such records
and
property.
(g)1. By
January 1,
2019, an
association
managing a
condominium
with 150 or
more units
which does
not contain
timeshare
units shall
post digital
copies of
the
documents
specified in
subparagraph
2. on its
website or
make such
documents
available
through an
application
that can be
downloaded
on a mobile
device.
a. The
association’s
website or
application
must be:
(I) An
independent
website,
application,
or web
portal
wholly owned
and operated
by the
association;
or
(II) A
website,
application,
or web
portal
operated by
a
third-party
provider
with whom
the
association
owns,
leases,
rents, or
otherwise
obtains the
right to
operate a
web page,
subpage, web
portal,
collection
of subpages
or web
portals, or
an
application
which is
dedicated to
the
association’s
activities
and on which
required
notices,
records, and
documents
may be
posted or
made
available by
the
association.
b. The
association’s
website or
application
must be
accessible
through the
Internet and
must contain
a subpage,
web portal,
or other
protected
electronic
location
that is
inaccessible
to the
general
public and
accessible
only to unit
owners and
employees of
the
association.
c. Upon a
unit owner’s
written
request, the
association
must provide
the unit
owner with a
username and
password and
access to
the
protected
sections of
the
association’s
website or
application
which
contain any
notices,
records, or
documents
that must be
electronically
provided.
2. A current
copy of the
following
documents
must be
posted in
digital
format on
the
association’s
website or
application:
a. The
recorded
declaration
of
condominium
of each
condominium
operated by
the
association
and each
amendment to
each
declaration.
b. The
recorded
bylaws of
the
association
and each
amendment to
the bylaws.
c. The
articles of
incorporation
of the
association,
or other
documents
creating the
association,
and each
amendment to
the articles
of
incorporation
or other
documents.
The copy
posted
pursuant to
this
sub-subparagraph
must be a
copy of the
articles of
incorporation
filed with
the
Department
of State.
d. The rules
of the
association.
e. A list of
all
executory
contracts or
documents to
which the
association
is a party
or under
which the
association
or the unit
owners have
an
obligation
or
responsibility
and, after
bidding for
the related
materials,
equipment,
or services
has closed,
a list of
bids
received by
the
association
within the
past year.
Summaries of
bids for
materials,
equipment,
or services
which exceed
$500 must be
maintained
on the
website or
application
for 1 year.
In lieu of
summaries,
complete
copies of
the bids may
be posted.
f. The
annual
budget
required by
s.
718.112(2)(f)
and any
proposed
budget to be
considered
at the
annual
meeting.
g. The
financial
report
required by
subsection
(13) and any
monthly
income or
expense
statement to
be
considered
at a
meeting.
h. The
certification
of each
director
required by
s.
718.112(2)(d)4.b.
i. All
contracts or
transactions
between the
association
and any
director,
officer,
corporation,
firm, or
association
that is not
an
affiliated
condominium
association
or any other
entity in
which an
association
director is
also a
director or
officer and
financially
interested.
j. Any
contract or
document
regarding a
conflict of
interest or
possible
conflict of
interest as
provided in
ss.
468.436(2)(b)6.
and
718.3027(3).
k. The
notice of
any unit
owner
meeting and
the agenda
for the
meeting, as
required by
s.
718.112(2)(d)3.,
no later
than 14 days
before the
meeting. The
notice must
be posted in
plain view
on the front
page of the
website or
application,
or on a
separate
subpage of
the website
or
application
labeled
“Notices”
which is
conspicuously
visible and
linked from
the front
page. The
association
must also
post on its
website or
application
any document
to be
considered
and voted on
by the
owners
during the
meeting or
any document
listed on
the agenda
at least 7
days before
the meeting
at which the
document or
the
information
within the
document
will be
considered.
l. Notice of
any board
meeting, the
agenda, and
any other
document
required for
the meeting
as required
by s.
718.112(2)(c),
which must
be posted no
later than
the date
required for
notice under
s.
718.112(2)(c).
3. The
association
shall ensure
that the
information
and records
described in
paragraph
(c), which
are not
allowed to
be
accessible
to unit
owners, are
not posted
on the
association’s
website or
application.
If protected
information
or
information
restricted
from being
accessible
to unit
owners is
included in
documents
that are
required to
be posted on
the
association’s
website or
application,
the
association
shall ensure
the
information
is redacted
before
posting the
documents.
Notwithstanding
the
foregoing,
the
association
or its agent
is not
liable for
disclosing
information
that is
protected or
restricted
under this
paragraph
unless such
disclosure
was made
with a
knowing or
intentional
disregard of
the
protected or
restricted
nature of
such
information.
4. The
failure of
the
association
to post
information
required
under
subparagraph
2. is not in
and of
itself
sufficient
to
invalidate
any action
or decision
of the
association’s
board or its
committees.
(13) FINANCIAL
REPORTING.—
Within 90 days
after the end of
the fiscal year,
or annually on a
date provided in
the bylaws, the
association
shall prepare
and complete, or
contract for the
preparation and
completion of, a
financial report
for the
preceding fiscal
year. Within 21
days after the
final financial
report is
completed by the
association or
received from
the third party,
but not later
than 120 days
after the end of
the fiscal year
or other date as
provided in the
bylaws, the
association
shall mail to
each unit owner
at the address
last furnished
to the
association by
the unit owner,
or hand deliver
to each unit
owner, a copy of
the most recent
financial report
or a notice that
a copy of the
most recent
financial report
will be mailed
or hand
delivered to the
unit owner,
without charge,
within 5
business days
after receipt of
a written
request from the
unit owner. The
division shall
adopt rules
setting forth
uniform
accounting
principles and
standards to be
used by all
associations and
addressing the
financial
reporting
requirements for
multicondominium
associations.
The rules must
include, but not
be limited to,
standards for
presenting a
summary of
association
reserves,
including a good
faith estimate
disclosing the
annual amount of
reserve funds
that would be
necessary for
the association
to fully fund
reserves for
each reserve
item based on
the
straight-line
accounting
method. This
disclosure is
not applicable
to reserves
funded via the
pooling method.
In adopting such
rules, the
division shall
consider the
number of
members and
annual revenues
of an
association.
Financial
reports shall be
prepared as
follows:
(a) An
association that
meets the
criteria of this
paragraph shall
prepare a
complete set of
financial
statements in
accordance with
generally
accepted
accounting
principles. The
financial
statements must
be based upon
the
association’s
total annual
revenues, as
follows:
1. An
association with
total annual
revenues of
$150,000 or
more, but less
than $300,000,
shall prepare
compiled
financial
statements.
2. An
association with
total annual
revenues of at
least $300,000,
but less than
$500,000, shall
prepare reviewed
financial
statements.
3. An
association with
total annual
revenues of
$500,000 or more
shall prepare
audited
financial
statements.
(b)1. An
association with
total annual
revenues of less
than $150,000
shall prepare a
report of cash
receipts and
expenditures.
2. A report of
cash receipts
and
disbursements
must disclose
the amount of
receipts by
accounts and
receipt
classifications
and the amount
of expenses by
accounts and
expense
classifications,
including, but
not limited to,
the following,
as applicable:
costs for
security,
professional and
management fees
and expenses,
taxes, costs for
recreation
facilities,
expenses for
refuse
collection and
utility
services,
expenses for
lawn care, costs
for building
maintenance and
repair,
insurance costs,
administration
and salary
expenses, and
reserves
accumulated and
expended for
capital
expenditures,
deferred
maintenance, and
any other
category for
which the
association
maintains
reserves.
(c) An
association may
prepare, without
a meeting of or
approval by the
unit owners:
1. Compiled,
reviewed, or
audited
financial
statements, if
the association
is required to
prepare a report
of cash receipts
and
expenditures;
2. Reviewed or
audited
financial
statements, if
the association
is required to
prepare compiled
financial
statements; or
3. Audited
financial
statements if
the association
is required to
prepare reviewed
financial
statements.
(d) If approved
by a majority of
the voting
interests
present at a
properly called
meeting of the
association, an
association may
prepare:
1. A report of
cash receipts
and expenditures
in lieu of a
compiled,
reviewed, or
audited
financial
statement;
2. A report of
cash receipts
and expenditures
or a compiled
financial
statement in
lieu of a
reviewed or
audited
financial
statement; or
3. A report of
cash receipts
and
expenditures, a
compiled
financial
statement, or a
reviewed
financial
statement in
lieu of an
audited
financial
statement.
Such meeting and
approval must
occur before the
end of the
fiscal year and
is effective
only for the
fiscal year in
which the vote
is taken, except
that the
approval may
also be
effective for
the following
fiscal year. If
the developer
has not turned
over control of
the association,
all unit owners,
including the
developer, may
vote on issues
related to the
preparation of
the
association’s
financial
reports, from
the date of
incorporation of
the association
through the end
of the second
fiscal year
after the fiscal
year in which
the certificate
of a surveyor
and mapper is
recorded
pursuant to s.
718.104(4)(e) or
an instrument
that transfers
title to a unit
in the
condominium
which is not
accompanied by a
recorded
assignment of
developer rights
in favor of the
grantee of such
unit is
recorded,
whichever occurs
first.
Thereafter, all
unit owners
except the
developer may
vote on such
issues until
control is
turned over to
the association
by the
developer. Any
audit or review
prepared under
this section
shall be paid
for by the
developer if
done before
turnover of
control of the
association.
(e) A unit owner
may provide
written notice
to the division
of the
association’s
failure to mail
or hand deliver
him or her a
copy of the most
recent financial
report within 5
business days
after he or she
submitted a
written request
to the
association for
a copy of such
report. If the
division
determines that
the association
failed to mail
or hand deliver
a copy of the
most recent
financial report
to the unit
owner, the
division shall
provide written
notice to the
association that
the association
must mail or
hand deliver a
copy of the most
recent financial
report to the
unit owner and
the division
within 5
business days
after it
receives such
notice from the
division. An
association that
fails to comply
with the
division’s
request may not
waive the
financial
reporting
requirement
provided in
paragraph (d)
for the fiscal
year in which
the unit owner’s
request was made
and the
following fiscal
year. A
financial report
received by the
division
pursuant to this
paragraph shall
be maintained,
and the division
shall provide a
copy of such
report to an
association
member upon his
or her request.
(14) COMMINGLING.—All
funds collected
by an
association
shall be
maintained
separately in
the
association’s
name. For
investment
purposes only,
reserve funds
may be
commingled with
operating funds
of the
association.
Commingled
operating and
reserve funds
shall be
accounted for
separately, and
a commingled
account shall
not, at any
time, be less
than the amount
identified as
reserve funds.
This subsection
does not
prohibit a
multicondominium
association from
commingling the
operating funds
of separate
condominiums or
the reserve
funds of
separate
condominiums.
Furthermore, for
investment
purposes only, a
multicondominium
association may
commingle the
operating funds
of separate
condominiums
with the reserve
funds of
separate
condominiums. A
manager or
business entity
required to be
licensed or
registered under
s. 468.432, or
an agent,
employee,
officer, or
director of an
association,
shall not
commingle any
association
funds with his
or her funds or
with the funds
of any other
condominium
association or
the funds of a
community
association as
defined in s.
468.431.
(15) DEBIT
CARDS.—
(a) An
association and
its officers,
directors,
employees, and
agents may not
use a debit card
issued in the
name of the
association, or
billed directly
to the
association, for
the payment of
any association
expense.
(b) Use of a
debit card
issued in the
name of the
association, or
billed directly
to the
association, for
any expense that
is not a lawful
obligation of
the association
may be
prosecuted as
credit card
fraud pursuant
to s. 817.61.
History.—s.
1, ch. 76-222; s. 2, ch. 78-340; ss. 2,
3, 5, ch. 79-314; s. 1, ch. 80-323; s.
1, ch. 81-225; s. 1, ch. 82-199; s. 5,
ch. 84-368; s. 5, ch. 86-175; s. 2, ch.
87-46; s. 4, ch. 87-117; s. 6, ch.
90-151; s. 4, ch. 91-103; ss. 3, 5, ch.
91-426; s. 2, ch. 92-49; s. 1, ch.
94-77; s. 231, ch. 94-218; s. 2, ch.
94-336; s. 35, ch. 95-274; s. 854, ch.
97-102; s. 2, ch. 98-322; s. 74, ch.
99-3; s. 52, ch. 2000-302; s. 20, ch.
2001-64; s. 8, ch. 2002-27; s. 4, ch.
2003-14; s. 1, ch. 2004-345; s. 2, ch.
2004-353; s. 37, ch. 2007-1; s. 4, ch.
2007-80; s. 6, ch. 2008-28; ss. 1, 3, ch.
2008-240; s. 87, ch. 2009-21; s. 9, ch.
2010-174; s. 49, ch. 2011-4; s. 2, ch.
2011-196; s. 4, ch. 2013-122; s. 2, ch.
2013-188; s. 8, ch. 2014-133; s. 69, ch.
2014-209; s. 2, ch. 2015-97; s. 1, ch.
2017-161; s. 1, ch. 2017-188; s. 1, ch.
2018-96; s. 1, ch. 2021-91; s. 3, ch.
2021-99; s. 3, ch. 2021-209.
1Note.—As amended by s. 1, ch.
2021-91. The amendment by s. 3, ch.
2021-99, uses the words “specified in
subparagraphs 1.-16.” instead of the
words “specifically included in the
foregoing.”
718.112 Bylaws.--
(1) GENERALLY.--
(a) The
operation of the association shall
be governed by the articles of
incorporation if the association is
incorporated, and the bylaws of the
association, which shall be included
as exhibits to the recorded
declaration. If one association
operates more than one condominium,
it shall not be necessary to
rerecord the same articles of
incorporation and bylaws as exhibits
to each declaration after the first,
provided that in each case where the
articles and bylaws are not so
recorded, the declaration expressly
incorporates them by reference as
exhibits and identifies the book and
page of the public records where the
first declaration to which they were
attached is recorded.
(b) No amendment to the articles of
incorporation or bylaws is valid
unless recorded with identification
on the first page thereof of the
book and page of the public records
where the declaration of each
condominium operated by the
association is recorded.
(c) The association may extinguish a
discriminatory restriction as
provided under s. 712.065.
(2) REQUIRED PROVISIONS.—The
bylaws shall provide for the
following and, if they do not do so,
shall be deemed to include the
following:
(a) Administration.—
1. The form of administration of the
association shall be described
indicating the title of the officers
and board of administration and
specifying the powers, duties,
manner of selection and removal, and
compensation, if any, of officers
and boards. In the absence of such a
provision, the board of
administration shall be composed of
five members, unless the condominium
has five or fewer units. The board
shall consist of not fewer than
three members in condominiums with
five or fewer units that are
not-for-profit corporations. In the
absence of provisions to the
contrary in the bylaws, the board of
administration shall have a
president, a secretary, and a
treasurer, who shall perform the
duties of such officers customarily
performed by officers of
corporations. Unless prohibited in
the bylaws, the board of
administration may appoint other
officers and grant them the duties
it deems appropriate. Unless
otherwise provided in the bylaws,
the officers shall serve without
compensation and at the pleasure of
the board of administration. Unless
otherwise provided in the bylaws,
the members of the board shall serve
without compensation.
2. When a unit owner of a
residential condominium files a
written inquiry by certified mail
with the board of administration,
the board shall respond in writing
to the unit owner within 30 days
after receipt of the inquiry. The
board’s response shall either give a
substantive response to the
inquirer, notify the inquirer that a
legal opinion has been requested, or
notify the inquirer that advice has
been requested from the division. If
the board requests advice from the
division, the board shall, within 10
days after its receipt of the
advice, provide in writing a
substantive response to the
inquirer. If a legal opinion is
requested, the board shall, within
60 days after the receipt of the
inquiry, provide in writing a
substantive response to the inquiry.
The failure to provide a substantive
response to the inquiry as provided
herein precludes the board from
recovering attorney fees and costs
in any subsequent litigation,
administrative proceeding, or
arbitration arising out of the
inquiry. The association may through
its board of administration adopt
reasonable rules and regulations
regarding the frequency and manner
of responding to unit owner
inquiries, one of which may be that
the association is only obligated to
respond to one written inquiry per
unit in any given 30-day period. In
such a case, any additional inquiry
or inquiries must be responded to in
the subsequent 30-day period, or
periods, as applicable.
(b) Quorum; voting requirements;
proxies.—
1. Unless a lower number is provided
in the bylaws, the percentage of
voting interests required to
constitute a quorum at a meeting of
the members is a majority of the
voting interests. Unless otherwise
provided in this chapter or in the
declaration, articles of
incorporation, or bylaws, and except
as provided in subparagraph (d)4.,
decisions shall be made by a
majority of the voting interests
represented at a meeting at which a
quorum is present.
2. Except as specifically otherwise
provided herein, unit owners in a
residential condominium may not vote
by general proxy, but may vote by
limited proxies substantially
conforming to a limited proxy form
adopted by the division. A voting
interest or consent right allocated
to a unit owned by the association
may not be exercised or considered
for any purpose, whether for a
quorum, an election, or otherwise.
Limited proxies and general proxies
may be used to establish a quorum.
Limited proxies shall be used for
votes taken to waive or reduce
reserves in accordance with
subparagraph (f)2.; for votes taken
to waive the financial reporting
requirements of s. 718.111(13); for
votes taken to amend the declaration
pursuant to s. 718.110; for votes
taken to amend the articles of
incorporation or bylaws pursuant to
this section; and for any other
matter for which this chapter
requires or permits a vote of the
unit owners. Except as provided in
paragraph (d), a proxy, limited or
general, may not be used in the
election of board members in a
residential condominium. General
proxies may be used for other
matters for which limited proxies
are not required, and may be used in
voting for nonsubstantive changes to
items for which a limited proxy is
required and given. Notwithstanding
this subparagraph, unit owners may
vote in person at unit owner
meetings. This subparagraph does not
limit the use of general proxies or
require the use of limited proxies
for any agenda item or election at
any meeting of a timeshare
condominium association or a
nonresidential condominium
association.
3. A proxy given is effective only
for the specific meeting for which
originally given and any lawfully
adjourned meetings thereof. A proxy
is not valid longer than 90 days
after the date of the first meeting
for which it was given. Each proxy
is revocable at any time at the
pleasure of the unit owner executing
it.
4. A member of the board of
administration or a committee may
submit in writing his or her
agreement or disagreement with any
action taken at a meeting that the
member did not attend. This
agreement or disagreement may not be
used as a vote for or against the
action taken or to create a quorum.
5. A board or committee member’s
participation in a meeting via
telephone, real-time
videoconferencing, or similar
real-time electronic or video
communication counts toward a
quorum, and such member may vote as
if physically present. A speaker
must be used so that the
conversation of such members may be
heard by the board or committee
members attending in person as well
as by any unit owners present at a
meeting.
(c) Board of administration
meetings.—Meetings of the board
of administration at which a quorum
of the members is present are open
to all unit owners. Members of the
board of administration may use
e-mail as a means of communication
but may not cast a vote on an
association matter via e-mail. A
unit owner may tape record or
videotape the meetings. The right to
attend such meetings includes the
right to speak at such meetings with
reference to all designated agenda
items. The division shall adopt
reasonable rules governing the tape
recording and videotaping of the
meeting. The association may adopt
written reasonable rules governing
the frequency, duration, and manner
of unit owner statements.
1. Adequate notice of all board
meetings, which must specifically
identify all agenda items, must be
posted conspicuously on the
condominium property at least 48
continuous hours before the meeting
except in an emergency. If 20
percent of the voting interests
petition the board to address an
item of business, the board, within
60 days after receipt of the
petition, shall place the item on
the agenda at its next regular board
meeting or at a special meeting
called for that purpose. An item not
included on the notice may be taken
up on an emergency basis by a vote
of at least a majority plus one of
the board members. Such emergency
action must be noticed and ratified
at the next regular board meeting.
Written notice of a meeting at which
a nonemergency special assessment or
an amendment to rules regarding unit
use will be considered must be
mailed, delivered, or electronically
transmitted to the unit owners and
posted conspicuously on the
condominium property at least 14
days before the meeting. Evidence of
compliance with this 14-day notice
requirement must be made by an
affidavit executed by the person
providing the notice and filed with
the official records of the
association. Notice of any meeting
in which regular or special
assessments against unit owners are
to be considered must specifically
state that assessments will be
considered and provide the estimated
cost and description of the purposes
for such assessments. Upon notice to
the unit owners, the board shall, by
duly adopted rule, designate a
specific location on the condominium
property where all notices of board
meetings must be posted. If there is
no condominium property where
notices can be posted, notices shall
be mailed, delivered, or
electronically transmitted to each
unit owner at least 14 days before
the meeting. In lieu of or in
addition to the physical posting of
the notice on the condominium
property, the association may, by
reasonable rule, adopt a procedure
for conspicuously posting and
repeatedly broadcasting the notice
and the agenda on a closed-circuit
cable television system serving the
condominium association. However, if
broadcast notice is used in lieu of
a notice physically posted on
condominium property, the notice and
agenda must be broadcast at least
four times every broadcast hour of
each day that a posted notice is
otherwise required under this
section. If broadcast notice is
provided, the notice and agenda must
be broadcast in a manner and for a
sufficient continuous length of time
so as to allow an average reader to
observe the notice and read and
comprehend the entire content of the
notice and the agenda. In addition
to any of the authorized means of
providing notice of a meeting of the
board, the association may, by rule,
adopt a procedure for conspicuously
posting the meeting notice and the
agenda on a website serving the
condominium association for at least
the minimum period of time for which
a notice of a meeting is also
required to be physically posted on
the condominium property. Any rule
adopted shall, in addition to other
matters, include a requirement that
the association send an electronic
notice in the same manner as a
notice for a meeting of the members,
which must include a hyperlink to
the website where the notice is
posted, to unit owners whose e-mail
addresses are included in the
association’s official records.
2. Meetings of a committee to take
final action on behalf of the board
or make recommendations to the board
regarding the association budget are
subject to this paragraph. Meetings
of a committee that does not take
final action on behalf of the board
or make recommendations to the board
regarding the association budget are
subject to this section, unless
those meetings are exempted from
this section by the bylaws of the
association.
3. Notwithstanding any other law,
the requirement that board meetings
and committee meetings be open to
the unit owners does not apply to:
a. Meetings between the board or a
committee and the association’s
attorney, with respect to proposed
or pending litigation, if the
meeting is held for the purpose of
seeking or rendering legal advice;
or
b. Board meetings held for the
purpose of discussing personnel
matters.
(d) Unit owner meetings.—
1. An annual meeting of the unit
owners must be held at the location
provided in the association bylaws
and, if the bylaws are silent as to
the location, the meeting must be
held within 45 miles of the
condominium property. However, such
distance requirement does not apply
to an association governing a
timeshare condominium.
2. Unless the bylaws provide
otherwise, a vacancy on the board
caused by the expiration of a
director’s term must be filled by
electing a new board member, and the
election must be by secret ballot.
An election is not required if the
number of vacancies equals or
exceeds the number of candidates.
For purposes of this paragraph, the
term “candidate” means an eligible
person who has timely submitted the
written notice, as described in
sub-subparagraph 4.a., of his or her
intention to become a candidate.
Except in a timeshare or
nonresidential condominium, or if
the staggered term of a board member
does not expire until a later annual
meeting, or if all members’ terms
would otherwise expire but there are
no candidates, the terms of all
board members expire at the annual
meeting, and such members may stand
for reelection unless prohibited by
the bylaws. Board members may serve
terms longer than 1 year if
permitted by the bylaws or articles
of incorporation. A board member may
not serve more than 8 consecutive
years unless approved by an
affirmative vote of unit owners
representing two-thirds of all votes
cast in the election or unless there
are not enough eligible candidates
to fill the vacancies on the board
at the time of the vacancy. Only
board service that occurs on or
after July 1, 2018, may be used when
calculating a board member’s term
limit. If the number of board
members whose terms expire at the
annual meeting equals or exceeds the
number of candidates, the candidates
become members of the board
effective upon the adjournment of
the annual meeting. Unless the
bylaws provide otherwise, any
remaining vacancies shall be filled
by the affirmative vote of the
majority of the directors making up
the newly constituted board even if
the directors constitute less than a
quorum or there is only one
director. In a residential
condominium association of more than
10 units or in a residential
condominium association that does
not include timeshare units or
timeshare interests, co-owners of a
unit may not serve as members of the
board of directors at the same time
unless they own more than one unit
or unless there are not enough
eligible candidates to fill the
vacancies on the board at the time
of the vacancy. A unit owner in a
residential condominium desiring to
be a candidate for board membership
must comply with sub-subparagraph
4.a. and must be eligible to be a
candidate to serve on the board of
directors at the time of the
deadline for submitting a notice of
intent to run in order to have his
or her name listed as a proper
candidate on the ballot or to serve
on the board. A person who has been
suspended or removed by the division
under this chapter, or who is
delinquent in the payment of any
assessment due to the association,
is not eligible to be a candidate
for board membership and may not be
listed on the ballot. For purposes
of this paragraph, a person is
delinquent if a payment is not made
by the due date as specifically
identified in the declaration of
condominium, bylaws, or articles of
incorporation. If a due date is not
specifically identified in the
declaration of condominium, bylaws,
or articles of incorporation, the
due date is the first day of the
assessment period. A person who has
been convicted of any felony in this
state or in a United States District
or Territorial Court, or who has
been convicted of any offense in
another jurisdiction which would be
considered a felony if committed in
this state, is not eligible for
board membership unless such felon’s
civil rights have been restored for
at least 5 years as of the date such
person seeks election to the board.
The validity of an action by the
board is not affected if it is later
determined that a board member is
ineligible for board membership due
to having been convicted of a
felony. This subparagraph does not
limit the term of a member of the
board of a nonresidential or
timeshare condominium.
3. The bylaws must provide the
method of calling meetings of unit
owners, including annual meetings.
Written notice of an annual meeting
must include an agenda; be mailed,
hand delivered, or electronically
transmitted to each unit owner at
least 14 days before the annual
meeting; and be posted in a
conspicuous place on the condominium
property or association property at
least 14 continuous days before the
annual meeting. Written notice of a
meeting other than an annual meeting
must include an agenda; be mailed,
hand delivered, or electronically
transmitted to each unit owner; and
be posted in a conspicuous place on
the condominium property or
association property within the
timeframe specified in the bylaws.
If the bylaws do not specify a
timeframe for written notice of a
meeting other than an annual
meeting, notice must be provided at
least 14 continuous days before the
meeting. Upon notice to the unit
owners, the board shall, by duly
adopted rule, designate a specific
location on the condominium property
or association property where all
notices of unit owner meetings must
be posted. This requirement does not
apply if there is no condominium
property for posting notices. In
lieu of, or in addition to, the
physical posting of meeting notices,
the association may, by reasonable
rule, adopt a procedure for
conspicuously posting and repeatedly
broadcasting the notice and the
agenda on a closed-circuit cable
television system serving the
condominium association. However, if
broadcast notice is used in lieu of
a notice posted physically on the
condominium property, the notice and
agenda must be broadcast at least
four times every broadcast hour of
each day that a posted notice is
otherwise required under this
section. If broadcast notice is
provided, the notice and agenda must
be broadcast in a manner and for a
sufficient continuous length of time
so as to allow an average reader to
observe the notice and read and
comprehend the entire content of the
notice and the agenda. In addition
to any of the authorized means of
providing notice of a meeting of the
board, the association may, by rule,
adopt a procedure for conspicuously
posting the meeting notice and the
agenda on a website serving the
condominium association for at least
the minimum period of time for which
a notice of a meeting is also
required to be physically posted on
the condominium property. Any rule
adopted shall, in addition to other
matters, include a requirement that
the association send an electronic
notice in the same manner as a
notice for a meeting of the members,
which must include a hyperlink to
the website where the notice is
posted, to unit owners whose e-mail
addresses are included in the
association’s official records.
Unless a unit owner waives in
writing the right to receive notice
of the annual meeting, such notice
must be hand delivered, mailed, or
electronically transmitted to each
unit owner. Notice for meetings and
notice for all other purposes must
be mailed to each unit owner at the
address last furnished to the
association by the unit owner, or
hand delivered to each unit owner.
However, if a unit is owned by more
than one person, the association
must provide notice to the address
that the developer identifies for
that purpose and thereafter as one
or more of the owners of the unit
advise the association in writing,
or if no address is given or the
owners of the unit do not agree, to
the address provided on the deed of
record. An officer of the
association, or the manager or other
person providing notice of the
association meeting, must provide an
affidavit or United States Postal
Service certificate of mailing, to
be included in the official records
of the association affirming that
the notice was mailed or hand
delivered in accordance with this
provision.
4. The members of the board of a
residential condominium shall be
elected by written ballot or voting
machine. Proxies may not be used in
electing the board in general
elections or elections to fill
vacancies caused by recall,
resignation, or otherwise, unless
otherwise provided in this chapter.
This subparagraph does not apply to
an association governing a timeshare
condominium.
a. At least 60 days before a
scheduled election, the association
shall mail, deliver, or
electronically transmit, by separate
association mailing or included in
another association mailing,
delivery, or transmission, including
regularly published newsletters, to
each unit owner entitled to a vote,
a first notice of the date of the
election. A unit owner or other
eligible person desiring to be a
candidate for the board must give
written notice of his or her intent
to be a candidate to the association
at least 40 days before a scheduled
election. Together with the written
notice and agenda as set forth in
subparagraph 3., the association
shall mail, deliver, or
electronically transmit a second
notice of the election to all unit
owners entitled to vote, together
with a ballot that lists all
candidates not less than 14 days or
more than 34 days before the date of
the election. Upon request of a
candidate, an information sheet, no
larger than 81/2 inches by 11
inches, which must be furnished by
the candidate at least 35 days
before the election, must be
included with the mailing, delivery,
or transmission of the ballot, with
the costs of mailing, delivery, or
electronic transmission and copying
to be borne by the association. The
association is not liable for the
contents of the information sheets
prepared by the candidates. In order
to reduce costs, the association may
print or duplicate the information
sheets on both sides of the paper.
The division shall by rule establish
voting procedures consistent with
this sub-subparagraph, including
rules establishing procedures for
giving notice by electronic
transmission and rules providing for
the secrecy of ballots. Elections
shall be decided by a plurality of
ballots cast. There is no quorum
requirement; however, at least 20
percent of the eligible voters must
cast a ballot in order to have a
valid election. A unit owner may not
authorize any other person to vote
his or her ballot, and any ballots
improperly cast are invalid. A unit
owner who violates this provision
may be fined by the association in
accordance with s. 718.303. A unit
owner who needs assistance in
casting the ballot for the reasons
stated in s. 101.051 may obtain such
assistance. The regular election
must occur on the date of the annual
meeting. Notwithstanding this
sub-subparagraph, an election is not
required unless more candidates file
notices of intent to run or are
nominated than board vacancies
exist.
b. Within 90 days after being
elected or appointed to the board of
an association of a residential
condominium, each newly elected or
appointed director shall certify in
writing to the secretary of the
association that he or she has read
the association’s declaration of
condominium, articles of
incorporation, bylaws, and current
written policies; that he or she
will work to uphold such documents
and policies to the best of his or
her ability; and that he or she will
faithfully discharge his or her
fiduciary responsibility to the
association’s members. In lieu of
this written certification, within
90 days after being elected or
appointed to the board, the newly
elected or appointed director may
submit a certificate of having
satisfactorily completed the
educational curriculum administered
by a division-approved condominium
education provider within 1 year
before or 90 days after the date of
election or appointment. The written
certification or educational
certificate is valid and does not
have to be resubmitted as long as
the director serves on the board
without interruption. A director of
an association of a residential
condominium who fails to timely file
the written certification or
educational certificate is suspended
from service on the board until he
or she complies with this
sub-subparagraph. The board may
temporarily fill the vacancy during
the period of suspension. The
secretary shall cause the
association to retain a director’s
written certification or educational
certificate for inspection by the
members for 5 years after a
director’s election or the duration
of the director’s uninterrupted
tenure, whichever is longer. Failure
to have such written certification
or educational certificate on file
does not affect the validity of any
board action.
c. Any challenge to the election
process must be commenced within 60
days after the election results are
announced.
5. Any approval by unit owners
called for by this chapter or the
applicable declaration or bylaws,
including, but not limited to, the
approval requirement in s.
718.111(8), must be made at a duly
noticed meeting of unit owners and
is subject to all requirements of
this chapter or the applicable
condominium documents relating to
unit owner decisionmaking, except
that unit owners may take action by
written agreement, without meetings,
on matters for which action by
written agreement without meetings
is expressly allowed by the
applicable bylaws or declaration or
any law that provides for such
action.
6. Unit owners may waive notice of
specific meetings if allowed by the
applicable bylaws or declaration or
any law. Notice of meetings of the
board of administration, unit owner
meetings, except unit owner meetings
called to recall board members under
paragraph (j), and committee
meetings may be given by electronic
transmission to unit owners who
consent to receive notice by
electronic transmission. A unit
owner who consents to receiving
notices by electronic transmission
is solely responsible for removing
or bypassing filters that block
receipt of mass e-mails sent to
members on behalf of the association
in the course of giving electronic
notices.
7. Unit owners have the right to
participate in meetings of unit
owners with reference to all
designated agenda items. However,
the association may adopt reasonable
rules governing the frequency,
duration, and manner of unit owner
participation.
8. A unit owner may tape record or
videotape a meeting of the unit
owners subject to reasonable rules
adopted by the division.
9. Unless otherwise provided in the
bylaws, any vacancy occurring on the
board before the expiration of a
term may be filled by the
affirmative vote of the majority of
the remaining directors, even if the
remaining directors constitute less
than a quorum, or by the sole
remaining director. In the
alternative, a board may hold an
election to fill the vacancy, in
which case the election procedures
must conform to sub-subparagraph
4.a. unless the association governs
10 units or fewer and has opted out
of the statutory election process,
in which case the bylaws of the
association control. Unless
otherwise provided in the bylaws, a
board member appointed or elected
under this section shall fill the
vacancy for the unexpired term of
the seat being filled. Filling
vacancies created by recall is
governed by paragraph (j) and rules
adopted by the division.
10. This chapter does not limit the
use of general or limited proxies,
require the use of general or
limited proxies, or require the use
of a written ballot or voting
machine for any agenda item or
election at any meeting of a
timeshare condominium association or
nonresidential condominium
association.
Notwithstanding subparagraph (b)2.
and sub-subparagraph 4.a., an
association of 10 or fewer units
may, by affirmative vote of a
majority of the total voting
interests, provide for different
voting and election procedures in
its bylaws, which may be by a proxy
specifically delineating the
different voting and election
procedures. The different voting and
election procedures may provide for
elections to be conducted by limited
or general proxy.
(e) Budget meeting.—
1. Any meeting at which a proposed
annual budget of an association will
be considered by the board or unit
owners shall be open to all unit
owners. At least 14 days prior to
such a meeting, the board shall hand
deliver to each unit owner, mail to
each unit owner at the address last
furnished to the association by the
unit owner, or electronically
transmit to the location furnished
by the unit owner for that purpose a
notice of such meeting and a copy of
the proposed annual budget. An
officer or manager of the
association, or other person
providing notice of such meeting,
shall execute an affidavit
evidencing compliance with such
notice requirement, and such
affidavit shall be filed among the
official records of the association.
2.a. If a board adopts in any fiscal
year an annual budget which requires
assessments against unit owners
which exceed 115 percent of
assessments for the preceding fiscal
year, the board shall conduct a
special meeting of the unit owners
to consider a substitute budget if
the board receives, within 21 days
after adoption of the annual budget,
a written request for a special
meeting from at least 10 percent of
all voting interests. The special
meeting shall be conducted within 60
days after adoption of the annual
budget. At least 14 days prior to
such special meeting, the board
shall hand deliver to each unit
owner, or mail to each unit owner at
the address last furnished to the
association, a notice of the
meeting. An officer or manager of
the association, or other person
providing notice of such meeting
shall execute an affidavit
evidencing compliance with this
notice requirement, and such
affidavit shall be filed among the
official records of the association.
Unit owners may consider and adopt a
substitute budget at the special
meeting. A substitute budget is
adopted if approved by a majority of
all voting interests unless the
bylaws require adoption by a greater
percentage of voting interests. If
there is not a quorum at the special
meeting or a substitute budget is
not adopted, the annual budget
previously adopted by the board
shall take effect as scheduled.
b. Any determination of whether
assessments exceed 115 percent of
assessments for the prior fiscal
year shall exclude any authorized
provision for reasonable reserves
for repair or replacement of the
condominium property, anticipated
expenses of the association which
the board does not expect to be
incurred on a regular or annual
basis, or assessments for
betterments to the condominium
property.
c. If the developer controls the
board, assessments shall not exceed
115 percent of assessments for the
prior fiscal year unless approved by
a majority of all voting interests.
(f) Annual budget.—
1. The proposed annual budget of
estimated revenues and expenses must
be detailed and must show the
amounts budgeted by accounts and
expense classifications, including,
at a minimum, any applicable
expenses listed in s. 718.504(21).
The board shall adopt the annual
budget at least 14 days prior to the
start of the association’s fiscal
year. In the event that the board
fails to timely adopt the annual
budget a second time, it shall be
deemed a minor violation and the
prior year’s budget shall continue
in effect until a new budget is
adopted. A multicondominium
association shall adopt a separate
budget of common expenses for each
condominium the association operates
and shall adopt a separate budget of
common expenses for the association.
In addition, if the association
maintains limited common elements
with the cost to be shared only by
those entitled to use the limited
common elements as provided for in
s. 718.113(1), the budget or a
schedule attached to it must show
the amount budgeted for this
maintenance. If, after turnover of
control of the association to the
unit owners, any of the expenses
listed in s. 718.504(21) are not
applicable, they need not be listed.
2.a. In addition to annual operating
expenses, the budget must include
reserve accounts for capital
expenditures and deferred
maintenance. These accounts must
include, but are not limited to,
roof replacement, building painting,
and pavement resurfacing, regardless
of the amount of deferred
maintenance expense or replacement
cost, and any other item that has a
deferred maintenance expense or
replacement cost that exceeds
$10,000. The amount to be reserved
must be computed using a formula
based upon estimated remaining
useful life and estimated
replacement cost or deferred
maintenance expense of each reserve
item. The association may adjust
replacement reserve assessments
annually to take into account any
changes in estimates or extension of
the useful life of a reserve item
caused by deferred maintenance. This
subsection does not apply to an
adopted budget in which the members
of an association have determined,
by a majority vote at a duly called
meeting of the association, to
provide no reserves or less reserves
than required by this subsection.
b. Before turnover of control of an
association by a developer to unit
owners other than a developer
pursuant to s. 718.301, the
developer may vote the voting
interests allocated to its units to
waive the reserves or reduce the
funding of reserves through the
period expiring at the end of the
second fiscal year after the fiscal
year in which the certificate of a
surveyor and mapper is recorded
pursuant to s. 718.104(4)(e) or an
instrument that transfers title to a
unit in the condominium which is not
accompanied by a recorded assignment
of developer rights in favor of the
grantee of such unit is recorded,
whichever occurs first, after which
time reserves may be waived or
reduced only upon the vote of a
majority of all nondeveloper voting
interests voting in person or by
limited proxy at a duly called
meeting of the association. If a
meeting of the unit owners has been
called to determine whether to waive
or reduce the funding of reserves
and no such result is achieved or a
quorum is not attained, the reserves
included in the budget shall go into
effect. After the turnover, the
developer may vote its voting
interest to waive or reduce the
funding of reserves.
3. Reserve funds and any interest
accruing thereon shall remain in the
reserve account or accounts, and may
be used only for authorized reserve
expenditures unless their use for
other purposes is approved in
advance by a majority vote at a duly
called meeting of the association.
Before turnover of control of an
association by a developer to unit
owners other than the developer
pursuant to s. 718.301, the
developer-controlled association may
not vote to use reserves for
purposes other than those for which
they were intended without the
approval of a majority of all
nondeveloper voting interests,
voting in person or by limited proxy
at a duly called meeting of the
association.
4. The only voting interests that
are eligible to vote on questions
that involve waiving or reducing the
funding of reserves, or using
existing reserve funds for purposes
other than purposes for which the
reserves were intended, are the
voting interests of the units
subject to assessment to fund the
reserves in question. Proxy
questions relating to waiving or
reducing the funding of reserves or
using existing reserve funds for
purposes other than purposes for
which the reserves were intended
must contain the following statement
in capitalized, bold letters in a
font size larger than any other used
on the face of the proxy ballot:
WAIVING OF RESERVES, IN WHOLE OR IN
PART, OR ALLOWING ALTERNATIVE USES
OF EXISTING RESERVES MAY RESULT IN
UNIT OWNER LIABILITY FOR PAYMENT OF
UNANTICIPATED SPECIAL ASSESSMENTS
REGARDING THOSE ITEMS.
(g) Assessments.—The manner of
collecting from the unit owners
their shares of the common expenses
shall be stated in the bylaws.
Assessments shall be made against
units not less frequently than
quarterly in an amount which is not
less than that required to provide
funds in advance for payment of all
of the anticipated current operating
expenses and for all of the unpaid
operating expenses previously
incurred. Nothing in this paragraph
shall preclude the right of an
association to accelerate
assessments of an owner delinquent
in payment of common expenses.
Accelerated assessments shall be due
and payable on the date the claim of
lien is filed. Such accelerated
assessments shall include the
amounts due for the remainder of the
budget year in which the claim of
lien was filed.
(h) Amendment of bylaws.—
1. The method by which the bylaws
may be amended consistent with the
provisions of this chapter shall be
stated. If the bylaws fail to
provide a method of amendment, the
bylaws may be amended if the
amendment is approved by the owners
of not less than two-thirds of the
voting interests.
2. No bylaw shall be revised or
amended by reference to its title or
number only. Proposals to amend
existing bylaws shall contain the
full text of the bylaws to be
amended; new words shall be inserted
in the text underlined, and words to
be deleted shall be lined through
with hyphens. However, if the
proposed change is so extensive that
this procedure would hinder, rather
than assist, the understanding of
the proposed amendment, it is not
necessary to use underlining and
hyphens as indicators of words added
or deleted, but, instead, a notation
must be inserted immediately
preceding the proposed amendment in
substantially the following
language: “Substantial rewording of
bylaw. See bylaw for present text.”
3. Nonmaterial errors or omissions
in the bylaw process will not
invalidate an otherwise properly
promulgated amendment.
(i) Transfer fees.—An
association may not charge a fee in
connection with the sale, mortgage,
lease, sublease, or other transfer
of a unit unless the association is
required to approve such transfer
and a fee for such approval is
provided for in the declaration,
articles, or bylaws. Any such fee
may be preset but may not exceed
$150 per applicant. For the purpose
of calculating the fee, spouses or a
parent or parents and any dependent
children are considered one
applicant. However, if the lease or
sublease is a renewal of a lease or
sublease with the same lessee or
sublessee, a charge may not be made.
Such fees must be adjusted every 5
years in an amount equal to the
total of the annual increases
occurring in the Consumer Price
Index for All Urban Consumers, U.S.
City Average, All Items during that
5-year period. The Department of
Business and Professional Regulation
shall periodically calculate the
fees, rounded to the nearest dollar,
and publish the amounts, as
adjusted, on its website. The
foregoing notwithstanding, if the
authority to do so appears in the
declaration, articles, or bylaws, an
association may require that a
prospective lessee place a security
deposit, in an amount not to exceed
the equivalent of 1 month’s rent,
into an escrow account maintained by
the association. The security
deposit shall protect against
damages to the common elements or
association property. Payment of
interest, claims against the
deposit, refunds, and disputes under
this paragraph shall be handled in
the same fashion as provided in part
II of chapter 83.
(j) Recall of board members.—Subject
to s. 718.301, any member of the
board of administration may be
recalled and removed from office
with or without cause by the vote or
agreement in writing by a majority
of all the voting interests. A
special meeting of the unit owners
to recall a member or members of the
board of administration may be
called by 10 percent of the voting
interests giving notice of the
meeting as required for a meeting of
unit owners, and the notice shall
state the purpose of the meeting.
Electronic transmission may not be
used as a method of giving notice of
a meeting called in whole or in part
for this purpose.
1. If the recall is approved by a
majority of all voting interests by
a vote at a meeting, the recall will
be effective as provided in this
paragraph. The board shall duly
notice and hold a board meeting
within 5 full business days after
the adjournment of the unit owner
meeting to recall one or more board
members. Such member or members
shall be recalled effective
immediately upon conclusion of the
board meeting, provided that the
recall is facially valid. A recalled
member must turn over to the board,
within 10 full business days after
the vote, any and all records and
property of the association in their
possession.
2. If the proposed recall is by an
agreement in writing by a majority
of all voting interests, the
agreement in writing or a copy
thereof shall be served on the
association by certified mail or by
personal service in the manner
authorized by chapter 48 and the
Florida Rules of Civil Procedure.
The board of administration shall
duly notice and hold a meeting of
the board within 5 full business
days after receipt of the agreement
in writing. Such member or members
shall be recalled effective
immediately upon the conclusion of
the board meeting, provided that the
recall is facially valid. A recalled
member must turn over to the board,
within 10 full business days, any
and all records and property of the
association in their possession.
3. If the board fails to duly notice
and hold a board meeting within 5
full business days after service of
an agreement in writing or within 5
full business days after the
adjournment of the unit owner recall
meeting, the recall is deemed
effective and the board members so
recalled shall turn over to the
board within 10 full business days
after the vote any and all records
and property of the association.
4. If the board fails to duly notice
and hold the required meeting or at
the conclusion of the meeting
determines that the recall is not
facially valid, the unit owner
representative may file a petition
or court action under s. 718.1255
challenging the board’s failure to
act or challenging the board’s
determination on facial validity.
The petition or action must be filed
within 60 days after the expiration
of the applicable
5-full-business-day period. The
review of a petition or action under
this subparagraph is limited to the
sufficiency of service on the board
and the facial validity of the
written agreement or ballots filed.
5. If a vacancy occurs on the board
as a result of a recall or removal
and less than a majority of the
board members are removed, the
vacancy may be filled by the
affirmative vote of a majority of
the remaining directors,
notwithstanding any provision to the
contrary contained in this
subsection. If vacancies occur on
the board as a result of a recall
and a majority or more of the board
members are removed, the vacancies
shall be filled in accordance with
procedural rules to be adopted by
the division, which rules need not
be consistent with this subsection.
The rules must provide procedures
governing the conduct of the recall
election as well as the operation of
the association during the period
after a recall but before the recall
election.
6. A board member who has been
recalled may file a petition or
court action under s. 718.1255
challenging the validity of the
recall. The petition or action must
be filed within 60 days after the
recall. The association and the unit
owner representative shall be named
as the respondents. The petition or
action may challenge the facial
validity of the written agreement or
ballots filed or the substantial
compliance with the procedural
requirements for the recall. If the
arbitrator or court determines the
recall was invalid, the petitioning
board member shall immediately be
reinstated and the recall is null
and void. A board member who is
successful in challenging a recall
is entitled to recover reasonable
attorney fees and costs from the
respondents. The arbitrator or court
may award reasonable attorney fees
and costs to the respondents if they
prevail, if the arbitrator or court
makes a finding that the
petitioner’s claim is frivolous.
7. The division or a court of
competent jurisdiction may not
accept for filing a recall petition
or court action, whether filed under
subparagraph 1., subparagraph 2.,
subparagraph 4., or subparagraph 6.,
when there are 60 or fewer days
until the scheduled reelection of
the board member sought to be
recalled or when 60 or fewer days
have elapsed since the election of
the board member sought to be
recalled.
(k) Alternative dispute
resolution.—There must be a
provision for alternative dispute
resolution as provided for in s.
718.1255 for any residential
condominium.
(l) Firesafety.—An
association must ensure compliance
with the Florida Fire Prevention
Code. As to a residential
condominium building that is a
high-rise building as defined under
the Florida Fire Prevention Code,
the association must retrofit either
a fire sprinkler system or an
engineered life safety system as
specified in the Florida Fire
Prevention Code. Notwithstanding
chapter 633 or of any other code,
statute, ordinance, administrative
rule, or regulation, or any
interpretation of the foregoing, an
association, residential
condominium, or unit owner is not
obligated to retrofit the common
elements, association property, or
units of a residential condominium
with a fire sprinkler system in a
building that has been certified for
occupancy by the applicable
governmental entity if the unit
owners have voted to forego such
retrofitting by the affirmative vote
of a majority of all voting
interests in the affected
condominium. The local authority
having jurisdiction may not require
completion of retrofitting with a
fire sprinkler system or an
engineered life safety system before
January 1, 2024.
1. A vote to forego retrofitting may
be obtained by limited proxy or by a
ballot personally cast at a duly
called membership meeting, or by
execution of a written consent by
the member, and is effective upon
recording a certificate attesting to
such vote in the public records of
the county where the condominium is
located. The association shall mail
or hand deliver to each unit owner
written notice at least 14 days
before the membership meeting in
which the vote to forego
retrofitting of the required fire
sprinkler system is to take place.
Within 30 days after the
association’s opt-out vote, notice
of the results of the opt-out vote
must be mailed or hand delivered to
all unit owners. Evidence of
compliance with this notice
requirement must be made by
affidavit executed by the person
providing the notice and filed among
the official records of the
association. After notice is
provided to each owner, a copy must
be provided by the current owner to
a new owner before closing and by a
unit owner to a renter before
signing a lease.
2. If there has been a previous vote
to forego retrofitting, a vote to
require retrofitting may be obtained
at a special meeting of the unit
owners called by a petition of at
least 10 percent of the voting
interests. Such a vote may only be
called once every 3 years. Notice
shall be provided as required for
any regularly called meeting of the
unit owners, and must state the
purpose of the meeting. Electronic
transmission may not be used to
provide notice of a meeting called
in whole or in part for this
purpose.
3. As part of the information
collected annually from
condominiums, the division shall
require condominium associations to
report the membership vote and
recording of a certificate under
this subsection and, if retrofitting
has been undertaken, the per-unit
cost of such work. The division
shall annually report to the
Division of State Fire Marshal of
the Department of Financial Services
the number of condominiums that have
elected to forego retrofitting.
4. Notwithstanding s. 553.509, a
residential association may not be
obligated to, and may forego the
retrofitting of, any improvements
required by s. 553.509(2) upon an
affirmative vote of a majority of
the voting interests in the affected
condominium.
5. This paragraph does not apply to
timeshare condominium associations,
which shall be governed by s.
721.24.
(m) Common elements; limited
power to convey.—
1. With respect to condominiums
created on or after October 1, 1994,
the bylaws shall include a provision
granting the association a limited
power to convey a portion of the
common elements to a condemning
authority for the purpose of
providing utility easements,
right-of-way expansion, or other
public purposes, whether negotiated
or as a result of eminent domain
proceedings.
2. In any case where the bylaws are
silent as to the association’s power
to convey common elements as
described in subparagraph 1., the
bylaws shall be deemed to include
the provision described in
subparagraph 1.
(n) Director or officer
delinquencies.—A director or officer
more than 90 days delinquent in the
payment of any monetary obligation
due the association shall be deemed
to have abandoned the office,
creating a vacancy in the office to
be filled according to law.
(o) Director or officer offenses.—A
director or officer charged by
information or indictment with a
felony theft or embezzlement offense
involving the association’s funds or
property must be removed from
office, creating a vacancy in the
office to be filled according to law
until the end of the period of the
suspension or the end of the
director’s term of office, whichever
occurs first. While such director or
officer has such criminal charge
pending, he or she may not be
appointed or elected to a position
as a director or officer. However,
if the charges are resolved without
a finding of guilt, the director or
officer shall be reinstated for the
remainder of his or her term of
office, if any.
(3) OPTIONAL PROVISIONS.—The
bylaws as originally recorded or as
amended under the procedures
provided therein may provide for the
following:
(a) A method of adopting and
amending administrative rules and
regulations governing the details of
the operation and use of the common
elements.
(b) Restrictions on and requirements
for the use, maintenance, and
appearance of the units and the use
of the common elements.
(c) Provisions for giving notice by
electronic transmission in a manner
authorized by law of meetings of the
board of directors and committees
and of annual and special meetings
of the members.
(d) Other provisions which are not
inconsistent with this chapter or
with the declaration, as may be
desired.
History.—
s.
1,
ch.
76-222;
s.
1,
ch.
77-174;
s.
5,
ch.
77-221;
ss.
3,
4,
ch.
77-222;
s.
1,
ch.
78-340;
s.
6,
ch.
79-314;
s.
2,
ch.
80-323;
s.
2,
ch.
81-225;
s.
1,
ch.
82-113;
s.
4,
ch.
82-199;
s.
6,
ch.
84-368;
s.
6,
ch.
86-175;
s.
2,
ch.
88-148;
s.
7,
ch.
90-151;
s.
5,
ch.
91-103;
ss.
5,
6,
ch.
91-426;
s.
3,
ch.
92-49;
s.
3,
ch.
94-336;
s.
7,
ch.
94-350;
s.
36,
ch.
95-274;
s.
2,
ch.
96-396;
s.
32,
ch.
97-93;
s.
1773,
ch.
97-102;
s.
1,
ch.
97-301;
s.
2,
ch.
98-195;
s.
3,
ch.
98-322;
s.
53,
ch.
2000-302;
s.
21,
ch.
2001-64;
s.
9,
ch.
2002-27;
s.
5,
ch.
2003-14;
s.
4,
ch.
2004-345;
s.
4,
ch.
2004-353;
s.
134,
ch.
2005-2;
s.
7,
ch.
2008-28;
s.
88,
ch.
2009-21;
s.
10,
ch.
2010-174;
s.
3,
ch.
2011-196;
s.
5,
ch.
2013-122;
s.
1,
ch.
2013-159;
s.
3,
ch.
2013-188;
s.
1,
ch.
2014-74;
s.
9,
ch.
2014-133;
s.
3,
ch.
2015-97;
s.
3,
ch.
2017-188;
s.
2,
ch.
2018-96;
s.
15,
ch.
2019-165;
s.
4,
ch.
2021-99;
s.
21,
ch.
2021-135.
718.1124 Failure
to fill vacancies on board of administration sufficient to constitute a
quorum; appointment of receiver upon petition of unit owner.--
((1) Maintenance of the
common elements is the responsibility of the association. The
declaration may provide that certain limited common elements shall be
maintained by those entitled to use the limited common elements or that
the association shall provide the maintenance, either as a common
expense or with the cost shared only by those entitled to use the
limited common elements. If the maintenance is to be by the association
at the expense of only those entitled to use the limited common
elements, the declaration shall describe in detail the method of
apportioning such costs among those entitled to use the limited common
elements, and the association may use the provisions of s. 718.116 to
enforce payment of the shares of such costs by the unit owners entitled
to use the limited common elements.
(2)(a) Except as otherwise provided in this section, there shall be no
material alteration or substantial additions to the common elements or
to real property which is association property, except in a manner
provided in the declaration as originally recorded or as amended under
the procedures provided therein. If the declaration as originally
recorded or as amended under the procedures provided therein does not
specify the procedure for approval of material alterations or
substantial additions, 75 percent of the total voting interests of the
association must approve the alterations or additions before the
material alterations or substantial additions are commenced. This
paragraph is intended to clarify existing law and applies to
associations existing on July 1, 2018.
(b) There shall not be any material alteration of, or substantial
addition to, the common elements of any condominium operated by a
multicondominium association unless approved in the manner provided in
the declaration of the affected condominium or condominiums as
originally recorded or as amended under the procedures provided therein.
If a declaration as originally recorded or as amended under the
procedures provided therein does not specify a procedure for approving
such an alteration or addition, the approval of 75 percent of the total
voting interests of each affected condominium is required before the
material alterations or substantial additions are commenced. This
subsection does not prohibit a provision in any declaration, articles of
incorporation, or bylaws as originally recorded or as amended under the
procedures provided therein requiring the approval of unit owners in any
condominium operated by the same association or requiring board approval
before a material alteration or substantial addition to the common
elements is permitted. This paragraph is intended to clarify existing
law and applies to associations existing on July 1, 2018.
(c) There shall not be any material alteration or substantial addition
made to association real property operated by a multicondominium
association, except as provided in the declaration, articles of
incorporation, or bylaws as originally recorded or as amended under the
procedures provided therein. If the declaration, articles of
incorporation, or bylaws as originally recorded or as amended under the
procedures provided therein do not specify the procedure for approving
an alteration or addition to association real property, the approval of
75 percent of the total voting interests of the association is required
before the material alterations or substantial additions are commenced.
This paragraph is intended to clarify existing law and applies to
associations existing on July 1, 2018.
(3) A unit owner shall not do anything within his or her unit or on the
common elements which would adversely affect the safety or soundness of
the common elements or any portion of the association property or
condominium property which is to be maintained by the association.
(4) Any unit owner may display one portable, removable United States
flag in a respectful way and, on Armed Forces Day, Memorial Day, Flag
Day, Independence Day, and Veterans Day, may display in a respectful way
portable, removable official flags, not larger than 41/2 feet by 6 feet,
that represent the United States Army, Navy, Air Force, Marine Corps, or
Coast Guard, regardless of any declaration rules or requirements dealing
with flags or decorations.
(5) Each board of administration of a residential condominium shall
adopt hurricane shutter specifications for each building within each
condominium operated by the association which shall include color,
style, and other factors deemed relevant by the board. All
specifications adopted by the board must comply with the applicable
building code.
(a) The board may, subject to s. 718.3026 and the approval of a majority
of voting interests of the residential condominium, install hurricane
shutters, impact glass, code-compliant windows or doors, or other types
of code-compliant hurricane protection that comply with or exceed the
applicable building code. However, a vote of the owners is not required
if the maintenance, repair, and replacement of hurricane shutters,
impact glass, code-compliant windows or doors, or other types of
code-compliant hurricane protection are the responsibility of the
association pursuant to the declaration of condominium. If hurricane
protection or laminated glass or window film architecturally designed to
function as hurricane protection that complies with or exceeds the
current applicable building code has been previously installed, the
board may not install hurricane shutters, impact glass, code-compliant
windows or doors, or other types of code-compliant hurricane protection
except upon approval by a majority vote of the voting interests.
(b) The association is responsible for the maintenance, repair, and
replacement of the hurricane shutters, impact glass, code-compliant
windows or doors, or other types of code-compliant hurricane protection
authorized by this subsection if such property is the responsibility of
the association pursuant to the declaration of condominium. If the
hurricane shutters, impact glass, code-compliant windows or doors, or
other types of code-compliant hurricane protection are the
responsibility of the unit owners pursuant to the declaration of
condominium, the maintenance, repair, and replacement of such items are
the responsibility of the unit owner.
(c) The board may operate shutters, impact glass, code-compliant windows
or doors, or other types of code-compliant hurricane protection
installed pursuant to this subsection without permission of the unit
owners only if such operation is necessary to preserve and protect the
condominium property and association property. The installation,
replacement, operation, repair, and maintenance of such shutters, impact
glass, code-compliant windows or doors, or other types of code-compliant
hurricane protection in accordance with the procedures set forth in this
paragraph are not a material alteration to the common elements or
association property within the meaning of this section.
(d) Notwithstanding any other provision in the residential condominium
documents, if approval is required by the documents, a board may not
refuse to approve the installation or replacement of hurricane shutters,
impact glass, code-compliant windows or doors, or other types of
code-compliant hurricane protection by a unit owner conforming to the
specifications adopted by the board.
(6) An association may not refuse the request of a unit owner for a
reasonable accommodation for the attachment on the mantel or frame of
the door of the unit owner of a religious object not to exceed 3 inches
wide, 6 inches high, and 1.5 inches deep.
(7) Notwithstanding the provisions of this section or the governing
documents of a condominium or a multicondominium association, the board
of administration may, without any requirement for approval of the unit
owners, install upon or within the common elements or association
property solar collectors, clotheslines, or other energy-efficient
devices based on renewable resources for the benefit of the unit owners.
(8) The Legislature finds that the use of electric and natural gas fuel
vehicles conserves and protects the state’s environmental resources,
provides significant economic savings to drivers, and serves an
important public interest. The participation of condominium associations
is essential to the state’s efforts to conserve and protect the state’s
environmental resources and provide economic savings to drivers. For
purposes of this subsection, the term “natural gas fuel” has the same
meaning as in s. 206.9951, and the term “natural gas fuel vehicle” means
any motor vehicle, as defined in s. 320.01, that is powered by natural
gas fuel. Therefore, the installation of an electric vehicle charging
station or a natural gas fuel station shall be governed as follows:
(a) A declaration of condominium or restrictive covenant may not
prohibit or be enforced so as to prohibit any unit owner from installing
an electric vehicle charging station or a natural gas fuel station
within the boundaries of the unit owner’s limited common element or
exclusively designated parking area. The board of administration of a
condominium association may not prohibit a unit owner from installing an
electric vehicle charging station for an electric vehicle, as defined in
s. 320.01, or a natural gas fuel station for a natural gas fuel vehicle
within the boundaries of his or her limited common element or
exclusively designated parking area. The installation of such charging
or fuel stations is subject to the provisions of this subsection.
(b) The installation may not cause irreparable damage to the condominium
property.
(c) The electricity for the electric vehicle charging station or natural
gas fuel station must be separately metered or metered by an embedded
meter and payable by the unit owner installing such charging or fuel
station or by his or her successor.
(d) The cost for supply and storage of the natural gas fuel must be paid
by the unit owner installing the natural gas fuel station or by his or
her successor.
(e) The unit owner who is installing an electric vehicle charging
station or a natural gas fuel station is responsible for the costs of
installation, operation, maintenance, and repair, including, but not
limited to, hazard and liability insurance. The association may enforce
payment of such costs under s. 718.116.
(f) If the unit owner or his or her successor decides there is no longer
a need for the electric vehicle charging station or natural gas fuel
station, such person is responsible for the cost of removal of such
charging or fuel station. The association may enforce payment of such
costs under s. 718.116.
(g) The unit owner installing, maintaining, or removing the electric
vehicle charging station or natural gas fuel station is responsible for
complying with all federal, state, or local laws and regulations
applicable to such installation, maintenance, or removal.
(h) The association may require the unit owner to:
1. Comply with bona fide safety requirements, consistent with applicable
building codes or recognized safety standards, for the protection of
persons and property.
2. Comply with reasonable architectural standards adopted by the
association that govern the dimensions, placement, or external
appearance of the electric vehicle charging station or natural gas fuel
station, provided that such standards may not prohibit the installation
of such charging or fuel station or substantially increase the cost
thereof.
3. Engage the services of a licensed and registered firm familiar with
the installation or removal and core requirements of an electric vehicle
charging station or a natural gas fuel station.
4. Provide a certificate of insurance naming the association as an
additional insured on the owner’s insurance policy for any claim related
to the installation, maintenance, or use of the electric vehicle
charging station or natural gas fuel station within 14 days after
receiving the association’s approval to install such charging or fuel
station or notice to provide such a certificate.
5. Reimburse the association for the actual cost of any increased
insurance premium amount attributable to the electric vehicle charging
station or natural gas fuel station within 14 days after receiving the
association’s insurance premium invoice.
(i) The association provides an implied easement across the common
elements of the condominium property to the unit owner for purposes of
electric vehicle charging station or natural gas fuel station
installation, and the furnishing of electrical power or natural gas fuel
supply, including any necessary equipment, to such charging or fuel
station, subject to the requirements of this subsection.
(9) The board of administration of an association may make available,
install, or operate an electric vehicle charging station or a natural
gas fuel station upon the common elements or association property and
establish the charges or the manner of payments for the unit owners,
residents, or guests who use the electric vehicle charging station or
natural gas fuel station. For the purposes of this section, the
installation, repair, or maintenance of an electric vehicle charging
station or natural gas fuel station under this subsection does not
constitute a material alteration or substantial addition to the common
elements or association property.
History.—
s. 1, ch. 76-222; s. 1, ch. 89-161; s. 8, ch. 90-151; s. 6, ch. 91-103;
s. 5, ch. 91-426; s. 4, ch. 92-49; s. 8, ch. 94-350; s. 43, ch. 95-274;
s. 855, ch. 97-102; s. 54, ch. 2000-302; s. 10, ch. 2002-27; s. 1, ch.
2003-28; s. 9, ch. 2008-28; s. 26, ch. 2008-191; s. 89, ch. 2009-21; s.
59, ch. 2010-176; s. 4, ch. 2011-196; s. 4, ch. 2013-188; s. 2, ch.
2014-74; s. 3, ch. 2018-96; s. 5, ch. 2021-99. 718.114 Association
powers.-- 718.114 Association powers.—An association may enter into agreements to acquire leaseholds, memberships, and other possessory or use interests in lands or facilities such as country clubs, golf courses, marinas, and other recreational facilities, regardless of whether the lands or facilities are contiguous to the lands of the condominium, if such lands and facilities are intended to provide enjoyment, recreation, or other use or benefit to the unit owners. All of these leaseholds, memberships, and other possessory or use interests existing or created at the time of recording the declaration must be stated and fully described in the declaration. Subsequent to the recording of the declaration, agreements acquiring these leaseholds, memberships, or other possessory or use interests which are not entered into within 12 months of the date of the recording of the certificate of a surveyor and mapper pursuant to s. 718.104(4)(e) or the recording of an instrument that transfers title to a unit in the condominium which is not accompanied by a recorded assignment of developer rights in favor of the grantee of such unit, whichever occurs first, are a material alteration or substantial addition to the real property that is association property, and the association may not acquire or enter into such agreements except upon a vote of, or written consent by, a majority of the total voting interests or as authorized by the declaration as provided in s. 718.113. The declaration may provide that the rental, membership fees, operations, replacements, and other expenses are common expenses and may impose covenants and restrictions concerning their use and may contain other provisions not inconsistent with this chapter. A condominium association may conduct bingo games as provided in s. 849.0931.
History.—s. 1, ch. 76-222; s. 4, ch. 79-314; s. 9, ch. 90-151; s. 1, ch. 91-67; s. 7, ch. 91-103; s. 2, ch. 91-206; s. 5, ch. 91-426; ss. 2, 6, ch. 92-280; s. 1, ch. 93-160; s. 4, ch. 2007-173; s. 3, ch. 2007-228; s. 5, ch. 2011-196; s. 6, ch. 2013-122.
718.115 Common
expenses and common surplus.--
(1)(a) Common expenses include the expenses of the operation, maintenance, repair, replacement, or protection of the common elements and association property, costs of carrying out the powers and duties of the association, and any other expense, whether or not included in the foregoing, designated as common expense by this chapter, the declaration, the documents creating the association, or the bylaws. Common expenses also include reasonable transportation services, insurance for directors and officers, road maintenance and operation expenses, in-house communications, and security services, which are reasonably related to the general benefit of the unit owners even if such expenses do not attach to the common elements or property of the condominium. However, such common expenses must either have been services or items provided on or after the date control of the association is transferred from the developer to the unit owners or must be services or items provided for in the condominium documents or bylaws. Unless the manner of payment or allocation of expenses is otherwise addressed in the declaration of condominium, the expenses of any items or services required by any federal, state, or local governmental entity to be installed, maintained, or supplied to the condominium property by the association, including, but not limited to, firesafety equipment or water and sewer service where a master meter serves the condominium, shall be common expenses whether or not such items or services are specifically identified as common expenses in the declaration of condominium, articles of incorporation, or bylaws of the association.
(b) The common expenses of a condominium within a multicondominium are the common expenses directly attributable to the operation of that condominium. The common expenses of a multicondominium association do not include the common expenses directly attributable to the operation of any specific condominium or condominiums within the multicondominium. This paragraph is intended to clarify existing law and applies to associations existing on the effective date of this act.
(c) The common expenses of a multicondominium association may include categories of expenses related to the property or common elements within a specific condominium in the multicondominium if such property or common elements are areas in which all members of the multicondominium association have use rights or from which all members receive tangible economic benefits. Such common expenses of the association shall be identified in the declaration or bylaws as originally recorded or as amended under the procedures provided therein of each condominium within the multicondominium association. This paragraph is intended to clarify existing law and applies to associations existing on the effective date of this act.
(d) If provided in the declaration, the cost of communications services as defined in chapter 202, information services, or Internet services obtained pursuant to a bulk contract is a common expense. If the declaration does not provide for the cost of such services as a common expense, the board may enter into such a contract, and the cost of the service will be a common expense. The cost for the services under a bulk rate contract may be allocated on a per-unit basis rather than a percentage basis if the declaration provides for other than an equal sharing of common expenses, and any contract entered into before July 1, 1998, in which the cost of the service is not equally divided among all unit owners, may be changed by vote of a majority of the voting interests present at a regular or special meeting of the association, to allocate the cost equally among all units. The contract must be for at least 2 years.
1. Any contract made by the board on or after July 1, 1998, may be canceled by a majority of the voting interests present at the next regular or special meeting of the association. Any member may make a motion to cancel the contract, but if no motion is made or if such motion fails to obtain the required majority at the next regular or special meeting, whichever occurs first, following the making of the contract, such contract shall be deemed ratified for the term therein expressed.
2. Such contract must provide, and is deemed to provide if not expressly set forth, that any hearing-impaired or legally blind unit owner who does not occupy the unit with a non-hearing-impaired or sighted person, or any unit owner receiving supplemental security income under Title XVI of the Social Security Act or food assistance as administered by the Department of Children and Family Services pursuant to s. 414.31, may discontinue the cable or video service without incurring disconnect fees, penalties, or subsequent service charges, and, as to such units, the owners are not required to pay any common expenses charge related to such service. If fewer than all members of an association share the expenses of cable or video service, the expense shall be shared equally by all participating unit owners. The association may use the provisions of s. 718.116 to enforce payment of the shares of such costs by the unit owners receiving cable or video service.
(e) The expense of installation, replacement, operation, repair, and maintenance of hurricane shutters, impact glass, code-compliant windows or doors, or other types of code-compliant hurricane protection by the board pursuant to s. 718.113(5) constitutes a common expense and shall be collected as provided in this section if the association is responsible for the maintenance, repair, and replacement of the hurricane shutters, impact glass, code-compliant windows or doors, or other types of code-compliant hurricane protection pursuant to the declaration of condominium. However, if the maintenance, repair, and replacement of the hurricane shutters, impact glass, code-compliant windows or doors, or other types of code-compliant hurricane protection are the responsibility of the unit owners pursuant to the declaration of condominium, the cost of the installation of the hurricane shutters, impact glass, code-compliant windows or doors, or other types of code-compliant hurricane protection is not a common expense and shall be charged individually to the unit owners based on the cost of installation of the hurricane shutters, impact glass, code-compliant windows or doors, or other types of code-compliant hurricane protection appurtenant to the unit. Notwithstanding s. 718.116(9), and regardless of whether or not the declaration requires the association or unit owners to maintain, repair, or replace hurricane shutters, impact glass, code-compliant windows or doors, or other types of code-compliant hurricane protection, a unit owner who has previously installed hurricane shutters in accordance with s. 718.113(5) that comply with the current applicable building code shall receive a credit when the shutters are installed; a unit owner who has previously installed impact glass or code-compliant windows or doors that comply with the current applicable building code shall receive a credit when the impact glass or code-compliant windows or doors are installed; and a unit owner who has installed other types of code-compliant hurricane protection that comply with the current applicable building code shall receive a credit when the same type of other code-compliant hurricane protection is installed, and the credit shall be equal to the pro rata portion of the assessed installation cost assigned to each unit. However, such unit owner remains responsible for the pro rata share of expenses for hurricane shutters, impact glass, code-compliant windows or doors, or other types of code-compliant hurricane protection installed on common elements and association property by the board pursuant to s. 718.113(5) and remains responsible for a pro rata share of the expense of the replacement, operation, repair, and maintenance of such shutters, impact glass, code-compliant windows or doors, or other types of code-compliant hurricane protection.
(f) Common expenses include the costs of insurance acquired by the association under the authority of s. 718.111(11), including costs and contingent expenses required to participate in a self-insurance fund authorized and approved pursuant to s. 624.462.
(g) If any unpaid share of common expenses or assessments is extinguished by foreclosure of a superior lien or by a deed in lieu of foreclosure thereof, the unpaid share of common expenses or assessments are common expenses collectible from all the unit owners in the condominium in which the unit is located.
(2) Except as otherwise provided by this chapter, funds for payment of the common expenses of a condominium shall be collected by assessments against the units in that condominium in the proportions or percentages provided in that condominium’s declaration. In a residential condominium, or mixed-use condominium created after January 1, 1996, each unit’s share of the common expenses of the condominium and common surplus of the condominium shall be the same as the unit’s appurtenant ownership interest in the common elements.
(3) Common surplus is owned by unit owners in the same shares as their ownership interest in the common elements.
(4)(a) Funds for payment of the common expenses of a condominium within a multicondominium shall be collected as provided in subsection (2). Common expenses of a multicondominium association shall be funded by assessments against all unit owners in the association in the proportion or percentage set forth in the declaration as required by s. 718.104(4)(h) or s. 718.110(12), as applicable.
(b) In a multicondominium association, the total common surplus owned by a unit owner consists of that owner’s share of the common surplus of the association plus that owner’s share of the common surplus of the condominium in which the owner’s unit is located, in the proportion or percentage set forth in the declaration as required by s. 718.104(4)(h) or s. 718.110(12), as applicable.
History.—s. 1, ch. 76-222; s. 1, ch. 77-174; s. 7, ch. 84-368; s. 1, ch. 88-148; s. 11, ch. 90-151; s. 8, ch. 91-103; s. 3, ch. 91-116; ss. 5, 8, ch. 91-426; s. 5, ch. 92-49; s. 9, ch. 94-350; s. 3, ch. 96-396; s. 4, ch. 98-322; s. 55, ch. 2000-302; s. 11, ch. 2002-27; s. 5, ch. 2007-80; s. 10, ch. 2008-28; s. 4, ch. 2008-240; s. 11, ch. 2010-174; s. 40, ch. 2010-209; s. 5, ch. 2013-188.
718.116
Assessments; liability; lien and priority; interest; collection.--
(1)(a) A
unit owner, regardless of how his or
her title has been acquired,
including by purchase at a
foreclosure sale or by deed in lieu
of foreclosure, is liable for all
assessments which come due while he
or she is the unit owner.
Additionally, a unit owner is
jointly and severally liable with
the previous owner for all unpaid
assessments that came due up to the
time of transfer of title. This
liability is without prejudice to
any right the owner may have to
recover from the previous owner the
amounts paid by the owner. For the
purposes of this paragraph, the term
“previous owner” does not include an
association that acquires title to a
delinquent property through
foreclosure or by deed in lieu of
foreclosure. A present unit owner’s
liability for unpaid assessments is
limited to any unpaid assessments
that accrued before the association
acquired title to the delinquent
property through foreclosure or by
deed in lieu of foreclosure.
(b)1. The liability of a first
mortgagee or its successor or
assignees who acquire title to a
unit by foreclosure or by deed in
lieu of foreclosure for the unpaid
assessments that became due before
the mortgagee’s acquisition of title
is limited to the lesser of:
a. The unit’s unpaid common expenses
and regular periodic assessments
which accrued or came due during the
12 months immediately preceding the
acquisition of title and for which
payment in full has not been
received by the association; or
b. One percent of the original
mortgage debt. The provisions of
this paragraph apply only if the
first mortgagee joined the
association as a defendant in the
foreclosure action. Joinder of the
association is not required if, on
the date the complaint is filed, the
association was dissolved or did not
maintain an office or agent for
service of process at a location
which was known to or reasonably
discoverable by the mortgagee.
2. An association, or its successor
or assignee, that acquires title to
a unit through the foreclosure of
its lien for assessments is not
liable for any unpaid assessments,
late fees, interest, or reasonable
attorney’s fees and costs that came
due before the association’s
acquisition of title in favor of any
other association, as defined in s.
718.103(2) or s. 720.301(9), which
holds a superior lien interest on
the unit. This subparagraph is
intended to clarify existing law.
(c) The person acquiring title shall
pay the amount owed to the
association within 30 days after
transfer of title. Failure to pay
the full amount when due shall
entitle the association to record a
claim of lien against the parcel and
proceed in the same manner as
provided in this section for the
collection of unpaid assessments.
(d) With respect to each timeshare
unit, each owner of a timeshare
estate therein is jointly and
severally liable for the payment of
all assessments and other charges
levied against or with respect to
that unit pursuant to the
declaration or bylaws, except to the
extent that the declaration or
bylaws may provide to the contrary.
(e) Notwithstanding the provisions
of paragraph (b), a first mortgagee
or its successor or assignees who
acquire title to a condominium unit
as a result of the foreclosure of
the mortgage or by deed in lieu of
foreclosure of the mortgage shall be
exempt from liability for all unpaid
assessments attributable to the
parcel or chargeable to the previous
owner which came due prior to
acquisition of title if the first
mortgage was recorded prior to April
1, 1992. If, however, the first
mortgage was recorded on or after
April 1, 1992, or on the date the
mortgage was recorded, the
declaration included language
incorporating by reference future
amendments to this chapter, the
provisions of paragraph (b) shall
apply.
(f) The provisions of this
subsection are intended to clarify
existing law, and shall not be
available in any case where the
unpaid assessments sought to be
recovered by the association are
secured by a lien recorded prior to
the recording of the mortgage.
Notwithstanding the provisions of
chapter 48, the association shall be
a proper party to intervene in any
foreclosure proceeding to seek
equitable relief.
(g) For purposes of this subsection,
the term “successor or assignee” as
used with respect to a first
mortgagee includes only a subsequent
holder of the first mortgage.
(2) The liability for assessments
may not be avoided by waiver of the
use or enjoyment of any common
element or by abandonment of the
unit for which the assessments are
made.
(3) Assessments and installments on
assessments which are not paid when
due bear interest at the rate
provided in the declaration, from
the due date until paid. The rate
may not exceed the rate allowed by
law, and, if no rate is provided in
the declaration, interest accrues at
the rate of 18 percent per year. If
provided by the declaration or
bylaws, the association may, in
addition to such interest, charge an
administrative late fee of up to the
greater of $25 or 5 percent of each
delinquent installment for which the
payment is late. Any payment
received by an association must be
applied first to any interest
accrued by the association, then to
any administrative late fee, then to
any costs and reasonable attorney
fees incurred in collection, and
then to the delinquent assessment.
The foregoing is applicable
notwithstanding s. 673.3111, any
purported accord and satisfaction,
or any restrictive endorsement,
designation, or instruction placed
on or accompanying a payment. The
preceding sentence is intended to
clarify existing law. A late fee is
not subject to chapter 687 or s.
718.303(4).
(4) If the association is authorized
by the declaration or bylaws to
approve or disapprove a proposed
lease of a unit, the grounds for
disapproval may include, but are not
limited to, a unit owner being
delinquent in the payment of an
assessment at the time approval is
sought.
(5)(a) The association has a lien on
each condominium parcel to secure
the payment of assessments. Except
as otherwise provided in subsection
(1) and as set forth below, the lien
is effective from and shall relate
back to the recording of the
original declaration of condominium,
or, in the case of lien on a parcel
located in a phase condominium, the
last to occur of the recording of
the original declaration or
amendment thereto creating the
parcel. However, as to first
mortgages of record, the lien is
effective from and after recording
of a claim of lien in the public
records of the county in which the
condominium parcel is located.
Nothing in this subsection shall be
construed to bestow upon any lien,
mortgage, or certified judgment of
record on April 1, 1992, including
the lien for unpaid assessments
created herein, a priority which, by
law, the lien, mortgage, or judgment
did not have before that date.
(b) To be valid, a claim of lien
must state the description of the
condominium parcel, the name of the
record owner, the name and address
of the association, the amount due,
and the due dates. It must be
executed and acknowledged by an
officer or authorized agent of the
association. The lien is not
effective 1 year after the claim of
lien was recorded unless, within
that time, an action to enforce the
lien is commenced. The 1-year period
is automatically extended for any
length of time during which the
association is prevented from filing
a foreclosure action by an automatic
stay resulting from a bankruptcy
petition filed by the parcel owner
or any other person claiming an
interest in the parcel. The claim of
lien secures all unpaid assessments
that are due and that may accrue
after the claim of lien is recorded
and through the entry of a final
judgment, as well as interest,
administrative late fees, and all
reasonable costs and attorney fees
incurred by the association incident
to the collection process. Upon
payment in full, the person making
the payment is entitled to a
satisfaction of the lien.
(c) By recording a notice in
substantially the following form, a
unit owner or the unit owner’s agent
or attorney may require the
association to enforce a recorded
claim of lien against his or her
condominium parcel:
NOTICE OF
CONTEST OF LIEN
TO: (Name and address of
association) You are notified that
the undersigned contests the claim
of lien filed by you on , (year) ,
and recorded in Official Records
Book at Page , of the public records
of County, Florida, and that the
time within which you may file suit
to enforce your lien is limited to
90 days from the date of service of
this notice. Executed this day of ,
(year) .
Signed: (Owner or Attorney)
After notice of contest of lien has
been recorded, the clerk of the
circuit court shall mail a copy of
the recorded notice to the
association by certified mail,
return receipt requested, at the
address shown in the claim of lien
or most recent amendment to it and
shall certify to the service on the
face of the notice. Service is
complete upon mailing. After
service, the association has 90 days
in which to file an action to
enforce the lien; and, if the action
is not filed within the 90-day
period, the lien is void. However,
the 90-day period shall be extended
for any length of time during which
the association is prevented from
filing its action because of an
automatic stay resulting from the
filing of a bankruptcy petition by
the unit owner or by any other
person claiming an interest in the
parcel.
(d) A release of lien must be in
substantially the following form:
RELEASE OF
LIEN
The undersigned lienor, in
consideration of the final payment
in the amount of $ , hereby waives
and releases its lien and right to
claim a lien for unpaid assessments
through , (year) , recorded in the
Official Records Book at Page , of
the public records of County,
Florida, for the following described
real property:
UNIT NO. OF (NAME OF CONDOMINIUM)
, A CONDOMINIUM AS SET FORTH IN THE
DECLARATION OF CONDOMINIUM AND THE
EXHIBITS ANNEXED THERETO AND FORMING
A PART THEREOF, RECORDED IN OFFICIAL
RECORDS BOOK , PAGE , OF THE PUBLIC
RECORDS OF COUNTY, FLORIDA. THE
ABOVE DESCRIPTION INCLUDES, BUT IS
NOT LIMITED TO, ALL APPURTENANCES TO
THE CONDOMINIUM UNIT ABOVE
DESCRIBED, INCLUDING THE UNDIVIDED
INTEREST IN THE COMMON ELEMENTS OF
SAID CONDOMINIUM.
(Signature of Authorized Agent)
(Signature of Witness)
(Print Name) (Print Name)
(Signature of Witness)
(Print Name)
Sworn to (or affirmed) and
subscribed before me this day of ,
(year) , by (name of person making
statement) .
(Signature of Notary Public)
(Print, type, or stamp commissioned
name of Notary Public)
Personally Known OR Produced as
identification.
(6)(a) The association may bring an
action in its name to foreclose a
lien for assessments in the manner a
mortgage of real property is
foreclosed and may also bring an
action to recover a money judgment
for the unpaid assessments without
waiving any claim of lien. The
association is entitled to recover
its reasonable attorney’s fees
incurred in either a lien
foreclosure action or an action to
recover a money judgment for unpaid
assessments.
(b) No foreclosure judgment may be
entered until at least 45 days after
the association gives written notice
to the unit owner of its intention
to foreclose its lien to collect the
unpaid assessments. The notice must
be in substantially the following
form:
DELINQUENT
ASSESSMENT
This letter is to inform you a Claim
of Lien has been filed against your
property because you have not paid
the (type of assessment) assessment
to (name of association) . The
association intends to foreclose the
lien and collect the unpaid amount
within 45 days of this letter being
provided to you.
You owe the interest accruing from
(month/year) to the present. As of
the date of this letter, the total
amount due with interest is $ . All
costs of any action and interest
from this day forward will also be
charged to your account.
Any questions concerning this matter
should be directed to (insert name,
addresses, and telephone numbers of
association representative) .
If this notice is not given at least
45 days before the foreclosure
action is filed, and if the unpaid
assessments, including those coming
due after the claim of lien is
recorded, are paid before the entry
of a final judgment of foreclosure,
the association shall not recover
attorney fees or costs. The notice
must be given by delivery of a copy
of it to the unit owner or by
certified or registered mail, return
receipt requested, addressed to the
unit owner at his or her last known
address; and, upon such mailing, the
notice shall be deemed to have been
given, and the court shall proceed
with the foreclosure action and may
award attorney fees and costs as
permitted by law. The notice
requirements of this subsection are
satisfied if the unit owner records
a notice of contest of lien as
provided in subsection (5). The
notice requirements of this
subsection do not apply if an action
to foreclose a mortgage on the
condominium unit is pending before
any court; if the rights of the
association would be affected by
such foreclosure; and if actual,
constructive, or substitute service
of process has been made on the unit
owner.
(c) If the unit owner remains in
possession of the unit after a
foreclosure judgment has been
entered, the court, in its
discretion, may require the unit
owner to pay a reasonable rental for
the unit. If the unit is rented or
leased during the pendency of the
foreclosure action, the association
is entitled to the appointment of a
receiver to collect the rent. The
expenses of the receiver shall be
paid by the party which does not
prevail in the foreclosure action.
(d) The association has the power to
purchase the condominium parcel at
the foreclosure sale and to hold,
lease, mortgage, or convey it.
(7) A first mortgagee acquiring
title to a condominium parcel as a
result of foreclosure, or a deed in
lieu of foreclosure, may not, during
the period of its ownership of such
parcel, whether or not such parcel
is unoccupied, be excused from the
payment of some or all of the common
expenses coming due during the
period of such ownership.
(8) Within 10 business days after
receiving a written or electronic
request therefor from a unit owner
or the unit owner’s designee, or a
unit mortgagee or the unit
mortgagee’s designee, the
association shall issue the estoppel
certificate. Each association shall
designate on its website a person or
entity with a street or e-mail
address for receipt of a request for
an estoppel certificate issued
pursuant to this section. The
estoppel certificate must be
provided by hand delivery, regular
mail, or e-mail to the requestor on
the date of issuance of the estoppel
certificate.
(a) An estoppel certificate may be
completed by any board member,
authorized agent, or authorized
representative of the association,
including any authorized agent,
authorized representative, or
employee of a management company
authorized to complete this form on
behalf of the board or association.
The estoppel certificate must
contain all of the following
information and must be
substantially in the following form:
1. Date of issuance:
2. Name(s) of the unit owner(s) as
reflected in the books and records
of the association:
3. Unit designation and address:
4. Parking or garage space number,
as reflected in the books and
records of the association:
5. Attorney’s name and contact
information if the account is
delinquent and has been turned over
to an attorney for collection. No
fee may be charged for this
information.
6. Fee for the preparation and
delivery of the estoppel
certificate:
7. Name of the requestor:
8. Assessment information and other
information:
ASSESSMENT INFORMATION:
a. The regular periodic assessment
levied against the unit is $ per
(insert frequency of payment) .
b. The regular periodic assessment
is paid through (insert date paid
through) .
c. The next installment of the
regular periodic assessment is due
(insert due date) in the amount of $
d. An itemized list of all
assessments, special assessments,
and other moneys owed on the date of
issuance to the association by the
unit owner for a specific unit is
provided.
e. An itemized list of any
additional assessments, special
assessments, and other moneys that
are scheduled to become due for each
day after the date of issuance for
the effective period of the estoppel
certificate is provided. In
calculating the amounts that are
scheduled to become due, the
association may assume that any
delinquent amounts will remain
delinquent during the effective
period of the estoppel certificate.
OTHER INFORMATION:
f. Is there a capital contribution
fee, resale fee, transfer fee, or
other fee due? (Yes) (No) . If
yes, specify the type and the amount
of the fee.
g. Is there any open violation of
rule or regulation noticed to the
unit owner in the association
official records? (Yes) (No) .
h. Do the rules and regulations of
the association applicable to the
unit require approval by the board
of directors of the association for
the transfer of the unit? (Yes)
(No) . If yes, has the board
approved the transfer of the unit?
(Yes) (No) .
i. Is there a right of first refusal
provided to the members or the
association? (Yes) (No) . If yes,
have the members or the association
exercised that right of first
refusal? (Yes) (No) .
j. Provide a list of, and contact
information for, all other
associations of which the unit is a
member.
k. Provide contact information for
all insurance maintained by the
association.
l. Provide the signature of an
officer or authorized agent of the
association.
The association, at its option, may
include additional information in
the estoppel certificate.
(b) An estoppel certificate that is
hand delivered or sent by electronic
means has a 30-day effective period.
An estoppel certificate that is sent
by regular mail has a 35-day
effective period. If additional
information or a mistake related to
the estoppel certificate becomes
known to the association within the
effective period, an amended
estoppel certificate may be
delivered and becomes effective if a
sale or refinancing of the unit has
not been completed during the
effective period. A fee may not be
charged for an amended estoppel
certificate. An amended estoppel
certificate must be delivered on the
date of issuance, and a new 30-day
or 35-day effective period begins on
such date.
(c) An association waives the right
to collect any moneys owed in excess
of the amounts specified in the
estoppel certificate from any person
who in good faith relies upon the
estoppel certificate and from the
person’s successors and assigns.
(d) If an association receives a
request for an estoppel certificate
from a unit owner or the unit
owner’s designee, or a unit
mortgagee or the unit mortgagee’s
designee, and fails to deliver the
estoppel certificate within 10
business days, a fee may not be
charged for the preparation and
delivery of that estoppel
certificate.
(e) A summary proceeding pursuant to
s. 51.011 may be brought to compel
compliance with this subsection, and
in any such action the prevailing
party is entitled to recover
reasonable attorney fees.
(f) Notwithstanding any limitation
on transfer fees contained in s.
718.112(2)(i), an association or its
authorized agent may charge a
reasonable fee for the preparation
and delivery of an estoppel
certificate, which may not exceed
$250, if, on the date the
certificate is issued, no delinquent
amounts are owed to the association
for the applicable unit. If an
estoppel certificate is requested on
an expedited basis and delivered
within 3 business days after the
request, the association may charge
an additional fee of $100. If a
delinquent amount is owed to the
association for the applicable unit,
an additional fee for the estoppel
certificate may not exceed $150.
(g) If estoppel certificates for
multiple units owned by the same
owner are simultaneously requested
from the same association and there
are no past due monetary obligations
owed to the association, the
statement of moneys due for those
units may be delivered in one or
more estoppel certificates, and,
even though the fee for each unit
shall be computed as set forth in
paragraph (f), the total fee that
the association may charge for the
preparation and delivery of the
estoppel certificates may not
exceed, in the aggregate:
1. For 25 or fewer units, $750.
2. For 26 to 50 units, $1,000.
3. For 51 to 100 units, $1,500.
4. For more than 100 units, $2,500.
(h) The authority to charge a fee
for the preparation and delivery of
the estoppel certificate must be
established by a written resolution
adopted by the board or provided by
a written management, bookkeeping,
or maintenance contract and is
payable upon the preparation of the
certificate. If the certificate is
requested in conjunction with the
sale or mortgage of a unit but the
closing does not occur and no later
than 30 days after the closing date
for which the certificate was sought
the preparer receives a written
request, accompanied by reasonable
documentation, that the sale did not
occur from a payor that is not the
unit owner, the fee shall be
refunded to that payor within 30
days after receipt of the request.
The refund is the obligation of the
unit owner, and the association may
collect it from that owner in the
same manner as an assessment as
provided in this section. The right
to reimbursement may not be waived
or modified by any contract or
agreement. The prevailing party in
any action brought to enforce a
right of reimbursement shall be
awarded damages and all applicable
attorney fees and costs.
(i) The fees specified in this
subsection shall be adjusted every 5
years in an amount equal to the
total of the annual increases for
that 5-year period in the Consumer
Price Index for All Urban Consumers,
U.S. City Average, All Items. The
Department of Business and
Professional Regulation shall
periodically calculate the fees,
rounded to the nearest dollar, and
publish the amounts, as adjusted, on
its website.
(9)(a) A unit owner may not be
excused from payment of the unit
owner’s share of common expenses
unless all other unit owners are
likewise proportionately excluded
from payment, except as provided in
subsection (1) and in the following
cases:
1. If authorized by the declaration,
a developer who is offering units
for sale may elect to be excused
from payment of assessments against
those unsold units for a stated
period of time after the declaration
is recorded. However, the developer
must pay common expenses incurred
during such period which exceed
regular periodic assessments against
other unit owners in the same
condominium. The stated period must
terminate no later than the first
day of the fourth calendar month
following the month in which the
first closing occurs of a purchase
contract for a unit in that
condominium. If a
developer-controlled association has
maintained all insurance coverage
required by s. 718.111(11)(a),
common expenses incurred during the
stated period resulting from a
natural disaster or an act of God
occurring during the stated period,
which are not covered by proceeds
from insurance maintained by the
association, may be assessed against
all unit owners owning units on the
date of such natural disaster or act
of God, and their respective
successors and assigns, including
the developer with respect to units
owned by the developer. In the event
of such an assessment, all units
shall be assessed in accordance with
s. 718.115(2).
2. A developer who owns condominium
units, and who is offering the units
for sale, may be excused from
payment of assessments against those
unsold units for the period of time
the developer has guaranteed to all
purchasers or other unit owners in
the same condominium that
assessments will not exceed a stated
dollar amount and that the developer
will pay any common expenses that
exceed the guaranteed amount. Such
guarantee may be stated in the
purchase contract, declaration,
prospectus, or written agreement
between the developer and a majority
of the unit owners other than the
developer and may provide that,
after the initial guarantee period,
the developer may extend the
guarantee for one or more stated
periods. If a developer-controlled
association has maintained all
insurance coverage required by s.
718.111(11)(a), common expenses
incurred during a guarantee period,
as a result of a natural disaster or
an act of God occurring during the
same guarantee period, which are not
covered by the proceeds from such
insurance, may be assessed against
all unit owners owning units on the
date of such natural disaster or act
of God, and their successors and
assigns, including the developer
with respect to units owned by the
developer. Any such assessment shall
be in accordance with s. 718.115(2)
or (4), as applicable.
(b) If the purchase contract,
declaration, prospectus, or written
agreement between the developer and
a majority of unit owners other than
the developer provides for the
developer to be excused from payment
of assessments under paragraph (a),
only regular periodic assessments
for common expenses as provided for
in the declaration and prospectus
and disclosed in the estimated
operating budget shall be used for
payment of common expenses during
any period in which the developer is
excused. Accordingly, no funds which
are receivable from unit purchasers
or unit owners and payable to the
association, including capital
contributions or startup funds
collected from unit purchasers at
closing, may be used for payment of
such common expenses.
(c) If a developer of a
multicondominium is excused from
payment of assessments under
paragraph (a), the developer’s
financial obligation to the
multicondominium association during
any period in which the developer is
excused from payment of assessments
is as follows:
1. The developer shall pay the
common expenses of a condominium
affected by a guarantee, including
the funding of reserves as provided
in the adopted annual budget of that
condominium, which exceed the
regular periodic assessments at the
guaranteed level against all other
unit owners within that condominium.
2. The developer shall pay the
common expenses of a
multicondominium association,
including the funding of reserves as
provided in the adopted annual
budget of the association, which are
allocated to units within a
condominium affected by a guarantee
and which exceed the regular
periodic assessments against all
other unit owners within that
condominium.
(10) The specific purpose or
purposes of any special assessment,
including any contingent special
assessment levied in conjunction
with the purchase of an insurance
policy authorized by s. 718.111(11),
approved in accordance with the
condominium documents shall be set
forth in a written notice of such
assessment sent or delivered to each
unit owner. The funds collected
pursuant to a special assessment
shall be used only for the specific
purpose or purposes set forth in
such notice. However, upon
completion of such specific purpose
or purposes, any excess funds will
be considered common surplus, and
may, at the discretion of the board,
either be returned to the unit
owners or applied as a credit toward
future assessments.
(11)(a) If the unit is occupied by a
tenant and the unit owner is
delinquent in paying any monetary
obligation due to the association,
the association may make a written
demand that the tenant pay to the
association the subsequent rental
payments and continue to make such
payments until all monetary
obligations of the unit owner
related to the unit have been paid
in full to the association. The
tenant must pay the monetary
obligations to the association until
the association releases the tenant
or the tenant discontinues tenancy
in the unit.
1. The association must provide the
tenant a notice, by hand delivery or
United States mail, in substantially
the following form:
Pursuant to section 718.116(11),
Florida Statutes, the association
demands that you pay your rent
directly to the condominium
association and continue doing so
until the association notifies you
otherwise.
Payment due the condominium
association may be in the same form
as you paid your landlord and must
be sent by United States mail or
hand delivery to (full address) ,
payable to (name) .
Your obligation to pay your rent to
the association begins immediately,
unless you have already paid rent to
your landlord for the current period
before receiving this notice. In
that case, you must provide the
association written proof of your
payment within 14 days after
receiving this notice and your
obligation to pay rent to the
association would then begin with
the next rental period.
Pursuant to section 718.116(11),
Florida Statutes, your payment of
rent to the association gives you
complete immunity from any claim for
the rent by your landlord for all
amounts timely paid to the
association.
2. The association must mail written
notice to the unit owner of the
association’s demand that the tenant
make payments to the association.
3. The association shall, upon
request, provide the tenant with
written receipts for payments made.
4. A tenant is immune from any claim
by the landlord or unit owner
related to the rent timely paid to
the association after the
association has made written demand.
(b) If the tenant paid rent to the
landlord or unit owner for a given
rental period before receiving the
demand from the association and
provides written evidence to the
association of having paid the rent
within 14 days after receiving the
demand, the tenant shall begin
making rental payments to the
association for the following rental
period and shall continue making
rental payments to the association
to be credited against the monetary
obligations of the unit owner until
the association releases the tenant
or the tenant discontinues tenancy
in the unit.
(c) The liability of the tenant may
not exceed the amount due from the
tenant to the tenant’s landlord. The
tenant’s landlord shall provide the
tenant a credit against rents due to
the landlord in the amount of moneys
paid to the association.
(d) The association may issue notice
under s. 83.56 and sue for eviction
under ss. 83.59-83.625 as if the
association were a landlord under
part II of chapter 83 if the tenant
fails to pay a required payment to
the association after written demand
has been made to the tenant.
However, the association is not
otherwise considered a landlord
under chapter 83 and specifically
has no obligations under s. 83.51.
(e) The tenant does not, by virtue
of payment of monetary obligations
to the association, have any of the
rights of a unit owner to vote in
any election or to examine the books
and records of the association.
(f) A court may supersede the effect
of this subsection by appointing a
receiver.
History.—
s. 1, ch. 76-222; s. 1, ch. 77-174; s. 9, ch. 77-221; s. 7, ch. 77-222;
s. 6, ch. 78-328; s. 8, ch. 84-368; s. 12, ch. 90-151; s. 9, ch. 91-103;
ss. 4, 5, ch. 91-426; s. 6, ch. 92-49; s. 10, ch. 94-350; s. 87, ch.
95-211; s. 856, ch. 97-102; s. 7, ch. 98-322; s. 33, ch. 99-6; s. 1, ch.
2000-201; s. 56, ch. 2000-302; s. 7, ch. 2003-14; s. 6, ch. 2007-80; s.
5, ch. 2008-240; s. 12, ch. 2010-174; s. 6, ch. 2011-196; s. 10, ch.
2014-133; s. 3, ch. 2014-146; s. 89, ch. 2015-2; s. 9, ch. 2015-97; s.
1, ch. 2017-93; s. 2, ch. 2021-91.
Termination
of condominium.--
(1) LEGISLATIVE
FINDINGS.--
The Legislature finds that:
(a) Condominiums
are created as authorized by statute and
are subject to covenants that encumber
the land and restrict the use of real
property.
(b) In some circumstances, the continued
enforcement of those covenants may
create economic waste and areas of
disrepair which threaten the safety and
welfare of the public or cause
obsolescence of the property for its
intended use and thereby lower property
tax values, and it is the public policy
of this state to provide by statute a
method to preserve the value of the
property interests and the rights of
alienation thereof that owners have in
the condominium property before and
after termination.
(c) It is contrary to the public policy
of this state to require the continued
operation of a condominium when to do so
constitutes economic waste or when the
ability to do so is made impossible by
law or regulation.
(d) It is in the best interest of the
state to provide for termination of the
covenants of a declaration of
condominium in certain circumstances in
order to:
1. Ensure the continued maintenance,
management, and repair of stormwater
management systems, conservation areas,
and conservation easements.
2. Avoid transferring the expense of
maintaining infrastructure serving the
condominium property, including, but not
limited to, stormwater systems and
conservation areas, to the general tax
bases of the state and local
governments.
3. Prevent covenants from impairing the
continued productive use of the
property.
4. Protect state residents from health
and safety hazards created by derelict,
damaged, obsolete, or abandoned
condominium properties.
5. Provide fair treatment and just
compensation for individuals and
preserve property values and the local
property tax base.
6. Preserve the state’s long history of
protecting homestead property and
homestead property rights by ensuring
that such protection is extended to
homestead property owners in the context
of a termination of the covenants of a
declaration of condominium.
(2) TERMINATION BECAUSE OF ECONOMIC
WASTE OR IMPOSSIBILITY.—
(a) Notwithstanding any provision in the
declaration, the condominium form of
ownership of a property may be
terminated by a plan of termination
approved by the lesser of the lowest
percentage of voting interests necessary
to amend the declaration or as otherwise
provided in the declaration for approval
of termination if:
1. The total estimated cost of
construction or repairs necessary to
construct the intended improvements or
restore the improvements to their former
condition or bring them into compliance
with applicable laws or regulations
exceeds the combined fair market value
of the units in the condominium after
completion of the construction or
repairs; or
2. It becomes impossible to operate or
reconstruct a condominium to its prior
physical configuration because of land
use laws or regulations.
(b) Notwithstanding paragraph (a), a
condominium in which 75 percent or more
of the units are timeshare units may be
terminated only pursuant to a plan of
termination approved by 80 percent of
the total voting interests of the
association and the holders of 80
percent of the original principal amount
of outstanding recorded mortgage liens
of timeshare estates in the condominium,
unless the declaration provides for a
lower voting percentage.
(c) Notwithstanding paragraph (a), a
condominium that includes units and
timeshare estates where the improvements
have been totally destroyed or
demolished may be terminated pursuant to
a plan of termination proposed by a unit
owner upon the filing of a petition in
court seeking equitable relief. Within
10 days after the filing of a petition
as provided in this paragraph and in
lieu of the requirements of paragraph
(15)(a), the petitioner shall record the
proposed plan of termination and mail a
copy of the proposed plan and a copy of
the petition to:
1. If the association has not been
dissolved as a matter of law, each
member of the board of directors of the
association identified in the most
recent annual report filed with the
Department of State and the registered
agent of the association;
2. The managing entity as defined in s.
721.05(22);
3. Each unit owner and each timeshare
estate owner at the address reflected in
the official records of the association,
or, if the association records cannot be
obtained by the petitioner, each unit
owner and each timeshare estate owner at
the address listed in the office of the
tax collector for tax notices; and
4. Each holder of a recorded mortgage
lien affecting a unit or timeshare
estate at the address appearing on the
recorded mortgage or any recorded
assignment thereof.
The association, if it has not been
dissolved as a matter of law, acting as
class representative, or the managing
entity as defined in s. 721.05(22), any
unit owner, any timeshare estate owner,
or any holder of a recorded mortgage
lien affecting a unit or timeshare
estate may intervene in the proceedings
to contest the proposed plan of
termination brought pursuant to this
paragraph. The provisions of subsection
(9), to the extent inconsistent with
this paragraph, and subsection (16) are
not applicable to a party contesting a
plan of termination under this
paragraph. If no party intervenes to
contest the proposed plan within 45 days
after the filing of the petition, the
petitioner may move the court to enter a
final judgment to authorize
implementation of the plan of
termination. If a party timely
intervenes to contest the proposed plan,
the plan may not be implemented until a
final judgment has been entered by the
court finding that the proposed plan of
termination is fair and reasonable and
authorizing implementation of the plan.
(3) OPTIONAL TERMINATION.—The
condominium form of ownership may be
terminated for all or a portion of the
condominium property pursuant to a plan
of termination meeting the requirements
of this section and approved by the
division. Before a residential
association submits a plan to the
division, the plan must be approved by
at least 80 percent of the total voting
interests of the condominium. However,
if 5 percent or more of the total voting
interests of the condominium have
rejected the plan of termination by
negative vote or by providing written
objections, the plan of termination may
not proceed.
(a) The termination of the condominium
form of ownership is subject to the
following conditions:
1. The total voting interests of the
condominium must include all voting
interests for the purpose of considering
a plan of termination. A voting interest
of the condominium may not be suspended
for any reason when voting on
termination pursuant to this subsection.
2. If 5 percent or more of the total
voting interests of the condominium
reject a plan of termination, a
subsequent plan of termination pursuant
to this subsection may not be considered
for 24 months after the date of the
rejection.
(b) This subsection does not apply to
any condominium created pursuant to part
VI of this chapter until 5 years after
the recording of the declaration of
condominium, unless there is no
objection to the plan of termination.
(c) For purposes of this subsection, the
term “bulk owner” means the single
holder of such voting interests or an
owner together with a related entity or
entities that would be considered an
insider, as defined in s. 726.102,
holding such voting interests. If the
condominium association is a residential
association proposed for termination
pursuant to this section and, at the
time of recording the plan of
termination, at least 80 percent of the
total voting interests are owned by a
bulk owner, the plan of termination is
subject to the following conditions and
limitations:
1. If the former condominium units are
offered for lease to the public after
the termination, each unit owner in
occupancy immediately before the date of
recording of the plan of termination may
lease his or her former unit and remain
in possession of the unit for 12 months
after the effective date of the
termination on the same terms as similar
unit types within the property are being
offered to the public. In order to
obtain a lease and exercise the right to
retain exclusive possession of the unit
owner’s former unit, the unit owner must
make a written request to the
termination trustee to rent the former
unit within 90 days after the date the
plan of termination is recorded. Any
unit owner who fails to timely make such
written request and sign a lease within
15 days after being presented with a
lease is deemed to have waived his or
her right to retain possession of his or
her former unit and shall be required to
vacate the former unit upon the
effective date of the termination,
unless otherwise provided in the plan of
termination.
2. Any former unit owner whose unit was
granted homestead exemption status by
the applicable county property appraiser
as of the date of the recording of the
plan of termination shall be paid a
relocation payment in an amount equal to
1 percent of the termination proceeds
allocated to the owner’s former unit.
Any relocation payment payable under
this subparagraph shall be paid by the
single entity or related entities owning
at least 80 percent of the total voting
interests. Such relocation payment shall
be in addition to the termination
proceeds for such owner’s former unit
and shall be paid no later than 10 days
after the former unit owner vacates his
or her former unit.
3. For their respective units, all unit
owners other than the bulk owner must be
compensated at least 100 percent of the
fair market value of their units. The
fair market value shall be determined as
of a date that is no earlier than 90
days before the date that the plan of
termination is recorded and shall be
determined by an independent appraiser
selected by the termination trustee. For
a person whose unit was granted
homestead exemption status by the
applicable county property appraiser, or
was an owner-occupied operating
business, as of the date that the plan
of termination is recorded and who is
current in payment of both assessments
and other monetary obligations to the
association as of the date the plan of
termination is recorded, the fair market
value shall be at least the original
purchase price paid for the unit. For
purposes of this subparagraph, the term
“fair market value” means the price of a
unit that a seller is willing to accept
and a buyer is willing to pay on the
open market in an arms-length
transaction based on similar units sold
in other condominiums, including units
sold in bulk purchases but excluding
units sold at wholesale or distressed
prices. The purchase price of units
acquired in bulk following a bankruptcy
or foreclosure shall not be considered
for purposes of determining fair market
value.
4. The plan of termination must provide
for payment of a first mortgage
encumbering a unit to the extent
necessary to satisfy the lien, but the
payment may not exceed the unit’s share
of the proceeds of termination under the
plan. If the unit owner is current in
payment of both assessments and other
monetary obligations to the association
and any mortgage encumbering the unit as
of the date the plan of termination is
recorded, the receipt by the holder of
the unit’s share of the proceeds of
termination under the plan or the
outstanding balance of the mortgage,
whichever is less, shall be deemed to
have satisfied the first mortgage in
full.
5. Before a plan of termination is
presented to the unit owners for
consideration pursuant to this
paragraph, the plan must include the
following written disclosures in a sworn
statement:
a. The identity of any person or entity
that owns or controls 25 percent or more
of the units in the condominium and, if
the units are owned by an artificial
entity or entities, a disclosure of the
natural person or persons who, directly
or indirectly, manage or control the
entity or entities and the natural
person or persons who, directly or
indirectly, own or control 10 percent or
more of the artificial entity or
entities that constitute the bulk owner.
b. The units acquired by any bulk owner,
the date each unit was acquired, and the
total amount of compensation paid to
each prior unit owner by the bulk owner,
regardless of whether attributed to the
purchase price of the unit.
c. The relationship of any board member
to the bulk owner or any person or
entity affiliated with the bulk owner
subject to disclosure pursuant to this
subparagraph.
d. The factual circumstances that show
that the plan complies with the
requirements of this section and that
the plan supports the expressed public
policies of this section.
(d) If the members of the board of
administration are elected by the bulk
owner, unit owners other than the bulk
owner may elect at least one-third of
the members of the board of
administration before the approval of
any plan of termination.
(e) The division shall examine the plan
of termination to determine its
procedural sufficiency and, within 45
days after receipt of the initial
filing, the division shall notify the
association by mail of any procedural
deficiencies or that the filing is
accepted. If the notice is not given
within 45 days after the receipt of the
filing, the plan of termination is
presumed to be accepted. If the division
determines that the conditions required
by this section have been met and that
the plan complies with the procedural
requirements of this section, the
division shall authorize the
termination, and the termination may
proceed pursuant to this section.
(f) Subsection (2) does not apply to
optional termination pursuant to this
subsection.
(4) EXEMPTION.—A plan of
termination is not an amendment subject
to s. 718.110(4). In a partial
termination, a plan of termination is
not an amendment subject to s.
718.110(4) if the ownership share of the
common elements of a surviving unit in
the condominium remains in the same
proportion to the surviving units as it
was before the partial termination.
(5) MORTGAGE LIENHOLDERS.—Notwithstanding
any provision to the contrary in the
declaration or this chapter, approval of
a plan of termination by the holder of a
recorded mortgage lien affecting a
condominium parcel in which fewer than
75 percent of the units are timeshare
units is not required unless the plan of
termination will result in less than the
full satisfaction of the mortgage lien
affecting the condominium parcel. If
such approval is required and not given,
a holder of a recorded mortgage lien who
objects to the plan of termination may
contest the plan as provided in
subsection (16). At the time of sale,
the lien shall be transferred to the
proportionate share of the proceeds
assigned to the condominium parcel in
the plan of termination or as
subsequently modified by the court.
(6) POWERS IN CONNECTION WITH
TERMINATION.—The approval of the
plan of termination does not terminate
the association. It shall continue in
existence following approval of the plan
of termination with all powers and
duties it had before approval of the
plan. Notwithstanding any provision to
the contrary in the declaration or
bylaws, after approval of the plan the
board shall:
(a) Employ directors, agents, attorneys,
and other professionals to liquidate or
conclude its affairs.
(b) Conduct the affairs of the
association as necessary for the
liquidation or termination.
(c) Carry out contracts and collect,
pay, and settle debts and claims for and
against the association.
(d) Defend suits brought against the
association.
(e) Sue in the name of the association
for all sums due or owed to the
association or to recover any of its
property.
(f) Perform any act necessary to
maintain, repair, or demolish unsafe or
uninhabitable improvements or other
condominium property in compliance with
applicable codes.
(g) Sell at public or private sale or
exchange, convey, or otherwise dispose
of assets of the association for an
amount deemed to be in the best
interests of the association, and
execute bills of sale and deeds of
conveyance in the name of the
association.
(h) Collect and receive rents, profits,
accounts receivable, income, maintenance
fees, special assessments, or insurance
proceeds for the association.
(i) Contract and do anything in the name
of the association which is proper or
convenient to terminate the affairs of
the association.
(7) NATURAL DISASTERS.—
(a) If, after a natural disaster, the
identity of the directors or their right
to hold office is in doubt, if they are
deceased or unable to act, if they fail
or refuse to act, or if they cannot be
located, any interested person may
petition the circuit court to determine
the identity of the directors or, if
found to be in the best interests of the
unit owners, to appoint a receiver to
conclude the affairs of the association
after a hearing following notice to such
persons as the court directs.
Lienholders shall be given notice of the
petition and have the right to propose
persons for the consideration by the
court as receiver. If a receiver is
appointed, the court shall direct the
receiver to provide to all unit owners
written notice of his or her appointment
as receiver. Such notice shall be mailed
or delivered within 10 days after the
appointment. Notice by mail to a unit
owner shall be sent to the address used
by the county property appraiser for
notice to the unit owner.
(b) The receiver shall have all powers
given to the board pursuant to the
declaration, bylaws, and subsection (6),
and any other powers that are necessary
to conclude the affairs of the
association and are set forth in the
order of appointment. The appointment of
the receiver is subject to the bonding
requirements of such order. The order
shall also provide for the payment of a
reasonable fee to the receiver from the
sources identified in the order, which
may include rents, profits, incomes,
maintenance fees, or special assessments
collected from the condominium property.
(8) REPORTS AND REPLACEMENT OF
RECEIVER.—
(a) The association, receiver, or
termination trustee shall prepare
reports each quarter following the
approval of the plan of termination
setting forth the status and progress of
the termination, costs and fees
incurred, the date the termination is
expected to be completed, and the
current financial condition of the
association, receivership, or
trusteeship and provide copies of the
report by regular mail to the unit
owners and lienors at the mailing
address provided to the association by
the unit owners and the lienors.
(b) The unit owners of an association in
termination may recall or remove members
of the board of administration with or
without cause at any time as provided in
s. 718.112(2)(j).
(c) The lienors of an association in
termination representing at least 50
percent of the outstanding amount of
liens may petition the court for the
appointment of a termination trustee,
which shall be granted upon good cause
shown.
(9) PLAN OF TERMINATION.—The plan
of termination must be a written
document executed in the same manner as
a deed by unit owners having the
requisite percentage of voting interests
to approve the plan and by the
termination trustee. A copy of the
proposed plan of termination shall be
given to all unit owners, in the same
manner as for notice of an annual
meeting, at least 14 days prior to the
meeting at which the plan of termination
is to be voted upon or prior to or
simultaneously with the distribution of
the solicitation seeking execution of
the plan of termination or written
consent to or joinder in the plan. A
unit owner may document assent to the
plan by executing the plan or by consent
to or joinder in the plan in the manner
of a deed. A plan of termination and the
consents or joinders of unit owners must
be recorded in the public records of
each county in which any portion of the
condominium is located. The plan is
effective only upon recordation or at a
later date specified in the plan. If the
plan of termination fails to receive the
required approval, the plan shall not be
recorded and a new attempt to terminate
the condominium may not be proposed at a
meeting or by solicitation for joinder
and consent for 18 months after the date
that such failed plan of termination was
first given to all unit owners in the
manner as provided in this subsection.
(a) If the plan of termination is voted
on at a meeting of the unit owners
called in accordance with this
subsection, any unit owner desiring to
reject the plan must do so by either
voting to reject the plan in person or
by proxy, or by delivering a written
rejection to the association before or
at the meeting.
(b) If the plan of termination is
approved by written consent or joinder
without a meeting of the unit owners,
any unit owner desiring to object to the
plan must deliver a written objection to
the association within 20 days after the
date that the association notifies the
nonconsenting owners, in the manner
provided in paragraph (15)(a), that the
plan of termination has been approved by
written action in lieu of a unit owner
meeting.
(10) PLAN OF TERMINATION; REQUIRED
PROVISIONS.—The plan of termination
must specify:
(a) The name, address, and powers of the
termination trustee.
(b) A date after which the plan of
termination is void if it has not been
recorded.
(c) The interests of the respective unit
owners in the association property,
common surplus, and other assets of the
association, which shall be the same as
the respective interests of the unit
owners in the common elements
immediately before the termination,
unless otherwise provided in the
declaration.
(d) The interests of the respective unit
owners in any proceeds from the sale of
the condominium property. The plan of
termination may apportion those proceeds
pursuant to any method prescribed in
subsection (12). If, pursuant to the
plan of termination, condominium
property or real property owned by the
association is to be sold following
termination, the plan must provide for
the sale and may establish any minimum
sale terms.
(e) Any interests of the respective unit
owners in insurance proceeds or
condemnation proceeds that are not used
for repair or reconstruction at the time
of termination. Unless the declaration
expressly addresses the distribution of
insurance proceeds or condemnation
proceeds, the plan of termination may
apportion those proceeds pursuant to any
method prescribed in subsection (12).
(11) PLAN OF TERMINATION; OPTIONAL
PROVISIONS; CONDITIONAL TERMINATION;
WITHDRAWAL; ERRORS.—
(a) Unless the plan of termination
expressly authorizes a unit owner or
other person to retain the exclusive
right to possess that portion of the
real estate which formerly constituted
the unit after termination or to use the
common elements of the condominium after
termination, all such rights in the unit
and common elements automatically
terminate on the effective date of
termination. Unless the plan expressly
provides otherwise, all leases,
occupancy agreements, subleases,
licenses, or other agreements for the
use or occupancy of any unit or common
elements of the condominium
automatically terminate on the effective
date of termination. If the plan
expressly authorizes a unit owner or
other person to retain exclusive right
of possession for that portion of the
real estate that formerly constituted
the unit or to use the common elements
of the condominium after termination,
the plan must specify the terms and
conditions of possession. In a partial
termination, the plan of termination as
specified in subsection (10) must also
identify the units that survive the
partial termination and provide that
such units remain in the condominium
form of ownership pursuant to an
amendment to the declaration of
condominium or an amended and restated
declaration. In a partial termination,
title to the surviving units and common
elements that remain part of the
condominium property specified in the
plan of termination remain vested in the
ownership shown in the public records
and do not vest in the termination
trustee.
(b) In a conditional termination, the
plan must specify the conditions for
termination. A conditional plan does not
vest title in the termination trustee
until the plan and a certificate
executed by the association with the
formalities of a deed, confirming that
the conditions in the conditional plan
have been satisfied or waived by the
requisite percentage of the voting
interests, have been recorded. In a
partial termination, the plan does not
vest title to the surviving units or
common elements that remain part of the
condominium property in the termination
trustee.
(c) Unless otherwise provided in the
plan of termination, at any time before
the sale of the condominium property, a
plan may be withdrawn or modified by the
affirmative vote or written agreement of
at least the same percentage of voting
interests in the condominium as that
which was required for the initial
approval of the plan.
(d) Upon the discovery of a scrivener’s
error in the plan of termination, the
termination trustee may record an
amended plan or an amendment to the plan
for the purpose of correcting the error,
and the amended plan or amendment to the
plan must be executed by the termination
trustee in the same manner as required
for the execution of a deed.
(12) ALLOCATION OF PROCEEDS OF SALE
OF CONDOMINIUM PROPERTY.—
(a) Unless the declaration expressly
provides for the allocation of the
proceeds of sale of condominium
property, the plan of termination may
require separate valuations for the
common elements. However, in the absence
of such provision, it is presumed that
the common elements have no independent
value but rather that their value is
incorporated into the valuation of the
units. In a partial termination, the
aggregate values of the units and common
elements that are being terminated must
be separately determined, and the plan
of termination must specify the
allocation of the proceeds of sale for
the units and common elements being
terminated.
(b) The portion of proceeds allocated to
the units shall be apportioned among the
individual units. The apportionment is
deemed fair and reasonable if it is
determined by any of the following
methods:
1. The respective values of the units
based on the fair market values of the
units immediately before the
termination, as determined by one or
more independent appraisers selected by
the association or termination trustee;
2. The respective values of the units
based on the most recent market value of
the units before the termination, as
provided in the county property
appraiser’s records; or
3. The respective interests of the units
in the common elements specified in the
declaration immediately before the
termination.
(c) The methods of apportionment in
paragraph (b) do not prohibit any other
method of apportioning the proceeds of
sale allocated to the units or any other
method of valuing the units agreed upon
in the plan of termination. Any portion
of the proceeds separately allocated to
the common elements shall be apportioned
among the units based upon their
respective interests in the common
elements as provided in the declaration.
(d) Liens that encumber a unit shall,
unless otherwise provided in the plan of
termination, be transferred to the
proceeds of sale of the condominium
property and the proceeds of sale or
other distribution of association
property, common surplus, or other
association assets attributable to such
unit in their same priority. In a
partial termination, liens that encumber
a unit being terminated must be
transferred to the proceeds of sale of
that portion of the condominium property
being terminated which are attributable
to such unit. The proceeds of any sale
of condominium property pursuant to a
plan of termination may not be deemed to
be common surplus or association
property. The holder of a lien that
encumbers a unit at the time of
recording a plan must, within 30 days
after the written request from the
termination trustee, deliver a statement
to the termination trustee confirming
the outstanding amount of any
obligations of the unit owner secured by
the lien.
(e) The termination trustee may setoff
against, and reduce the share of, the
termination proceeds allocated to a unit
by the following amounts, which may
include attorney fees and costs:
1. All unpaid assessments, taxes, late
fees, interest, fines, charges, and
other amounts due and owing to the
association associated with the unit,
its owner, or the owner’s family
members, guests, tenants, occupants,
licensees, invitees, or other persons.
2. All costs of clearing title to the
owner’s unit, including, but not limited
to, locating lienors, obtaining
statements from such lienors confirming
the outstanding amount of any
obligations of the unit owner, and
paying all mortgages and other liens,
judgments, and encumbrances and filing
suit to quiet title or remove title
defects.
3. All costs of removing the owner or
the owner’s family members, guests,
tenants, occupants, licensees, invitees,
or other persons from the unit in the
event such persons fail to vacate a unit
as required by the plan.
4. All costs arising from, or related
to, any breach of the plan by the owner
or the owner’s family members, guests,
tenants, occupants, licensees, invitees,
or other persons.
5. All costs arising out of, or related
to, the removal and storage of all
personal property remaining in a unit,
other than personal property owned by
the association, so that the unit may be
delivered vacant and clear of the owner
or the owner’s family members, guests,
tenants, occupants, licensees, invitees,
or other persons as required by the
plan.
6. All costs arising out of, or related
to, the appointment and activities of a
receiver or attorney ad litem acting for
the owner in the event that the owner is
unable to be located.
(13) TERMINATION TRUSTEE.—The
association shall serve as termination
trustee unless another person is
appointed in the plan of termination. If
the association is unable, unwilling, or
fails to act as trustee, any unit owner
may petition the court to appoint a
trustee. Upon the date of the recording
or at a later date specified in the
plan, title to the condominium property
vests in the trustee. Unless prohibited
by the plan, the termination trustee
shall be vested with the powers given to
the board pursuant to the declaration,
bylaws, and subsection (6). If the
association is not the termination
trustee, the trustee’s powers shall be
coextensive with those of the
association to the extent not prohibited
in the plan of termination or the order
of appointment. If the association is
not the termination trustee, the
association shall transfer any
association property to the trustee. If
the association is dissolved, the
trustee shall also have such other
powers necessary to conclude the affairs
of the association.
(14) TITLE VESTED IN TERMINATION
TRUSTEE.—If termination is pursuant
to a plan of termination under
subsection (2) or subsection (3), title
to the condominium property being
terminated vests in the termination
trustee when the plan is recorded or at
a later date specified in the plan. The
unit owners thereafter become the
beneficiaries of the proceeds realized
from the plan of termination as set
forth in the plan. The termination
trustee may deal with the condominium
property being terminated or any
interest therein if the plan confers on
the trustee the authority to protect,
conserve, manage, sell, or dispose of
the condominium property. The trustee,
on behalf of the unit owners, may
contract for the sale of real property
being terminated, but the contract is
not binding on the unit owners until the
plan is approved pursuant to subsection
(2) or subsection (3).
(15) NOTICE.—
(a) Within 30 days after a plan of
termination has been recorded, the
termination trustee shall deliver by
certified mail, return receipt
requested, notice to all unit owners,
lienors of the condominium property, and
lienors of all units at their last known
addresses that a plan of termination has
been recorded. The notice must include
the book and page number of the public
records in which the plan was recorded,
notice that a copy of the plan shall be
furnished upon written request, and
notice that the unit owner or lienor has
the right to contest the fairness of the
plan.
(b) The trustee, within 90 days after
the effective date of the plan, shall
provide to the division a certified copy
of the recorded plan, the date the plan
was recorded, and the county, book, and
page number of the public records in
which the plan is recorded.
(16) RIGHT TO CONTEST.—A unit
owner or lienor may contest a plan of
termination by initiating a petition in
accordance with s. 718.1255 within 90
days after the date the plan is
recorded. A unit owner or lienor may
only contest the fairness and
reasonableness of the apportionment of
the proceeds from the sale among the
unit owners, that the liens of the first
mortgages of unit owners other than the
bulk owner have not or will not be
satisfied to the extent required by
subsection (3), or that the required
vote to approve the plan was not
obtained. A unit owner or lienor who
does not contest the plan within the
90-day period is barred from asserting
or prosecuting a claim against the
association, the termination trustee,
any unit owner, or any successor in
interest to the condominium property. In
an action contesting a plan of
termination, the person contesting the
plan has the burden of pleading and
proving that the apportionment of the
proceeds from the sale among the unit
owners was not fair and reasonable or
that the required vote was not obtained.
The apportionment of sale proceeds is
presumed fair and reasonable if it was
determined pursuant to the methods
prescribed in subsection (12). If the
petition is filed with the division for
arbitration, the arbitrator shall
determine the rights and interests of
the parties in the apportionment of the
sale proceeds. If the arbitrator
determines that the apportionment of
sales proceeds is not fair and
reasonable, the arbitrator may void the
plan or may modify the plan to apportion
the proceeds in a fair and reasonable
manner pursuant to this section based
upon the proceedings and order the
modified plan of termination to be
implemented. If the arbitrator
determines that the plan was not
properly approved, or that the
procedures to adopt the plan were not
properly followed, the arbitrator may
void the plan or grant other relief it
deems just and proper. The arbitrator
shall automatically void the plan upon a
finding that any of the disclosures
required in subparagraph (3)(c)5. are
omitted, misleading, incomplete, or
inaccurate. Any challenge to a plan,
other than a challenge that the required
vote was not obtained, does not affect
title to the condominium property or the
vesting of the condominium property in
the trustee, but shall only be a claim
against the proceeds of the plan. In any
such action, the prevailing party shall
recover reasonable attorney fees and
costs.
(17) DISTRIBUTION.—
(a) Following termination of the
condominium, the condominium property,
association property, common surplus,
and other assets of the association
shall be held by the termination trustee
pursuant to the plan of termination, as
trustee for unit owners and holders of
liens on the units, in their order of
priority unless otherwise set forth in
the plan of termination.
(b) Not less than 30 days before the
first distribution, the termination
trustee shall deliver by certified mail,
return receipt requested, a notice of
the estimated distribution to all unit
owners, lienors of the condominium
property, and lienors of each unit at
their last known addresses stating a
good faith estimate of the amount of the
distributions to each class and the
procedures and deadline for notifying
the termination trustee of any
objections to the amount. The deadline
must be at least 15 days after the date
the notice was mailed. The notice may be
sent with or after the notice required
by subsection (15). If a unit owner or
lienor files a timely objection with the
termination trustee, the trustee need
not distribute the funds and property
allocated to the respective unit owner
or lienor until the trustee has had a
reasonable time to determine the
validity of the adverse claim. In the
alternative, the trustee may interplead
the unit owner, lienor, and any other
person claiming an interest in the unit
and deposit the funds allocated to the
unit in the court registry, at which
time the condominium property,
association property, common surplus,
and other assets of the association are
free of all claims and liens of the
parties to the suit. In an interpleader
action, the trustee and prevailing party
may recover reasonable attorney’s fees
and costs.
(c) The proceeds from any sale of
condominium property or association
property and any remaining condominium
property or association property, common
surplus, and other assets shall be
distributed in the following priority:
1. To pay the reasonable termination
trustee’s fees and costs and accounting
fees and costs.
2. To lienholders of liens recorded
prior to the recording of the
declaration.
3. To purchase-money lienholders on
units to the extent necessary to satisfy
their liens; however, the distribution
may not exceed a unit owner’s share of
the proceeds.
4. To lienholders of liens of the
association which have been consented to
under s. 718.121(1).
5. To creditors of the association, as
their interests appear.
6. To unit owners, the proceeds of any
sale of condominium property subject to
satisfaction of liens on each unit in
their order of priority, in shares
specified in the plan of termination,
unless objected to by a unit owner or
lienor as provided in paragraph (b).
7. To unit owners, the remaining
condominium property, subject to
satisfaction of liens on each unit in
their order of priority, in shares
specified in the plan of termination,
unless objected to by a unit owner or a
lienor as provided in paragraph (b).
8. To unit owners, the proceeds of any
sale of association property, the
remaining association property, common
surplus, and other assets of the
association, subject to satisfaction of
liens on each unit in their order of
priority, in shares specified in the
plan of termination, unless objected to
by a unit owner or a lienor as provided
in paragraph (b).
(d) After determining that all known
debts and liabilities of an association
in the process of termination have been
paid or adequately provided for, the
termination trustee shall distribute the
remaining assets pursuant to the plan of
termination. If the termination is by
court proceeding or subject to court
supervision, the distribution may not be
made until any period for the
presentation of claims ordered by the
court has elapsed.
(e) Assets held by an association upon a
valid condition requiring return,
transfer, or conveyance, which condition
has occurred or will occur, shall be
returned, transferred, or conveyed in
accordance with the condition. The
remaining association assets shall be
distributed pursuant to paragraph (c).
(f) Distribution may be made in money,
property, or securities and in
installments or as a lump sum, if it can
be done fairly and ratably and in
conformity with the plan of termination.
Distribution shall be made as soon as is
reasonably consistent with the
beneficial liquidation of the assets.
(18) ASSOCIATION STATUS.—The
termination of a condominium does not
change the corporate status of the
association that operated the
condominium property. The association
continues to exist to conclude its
affairs, prosecute and defend actions by
or against it, collect and discharge
obligations, dispose of and convey its
property, and collect and divide its
assets, but not to act except as
necessary to conclude its affairs. In a
partial termination, the association may
continue as the condominium association
for the property that remains subject to
the declaration of condominium.
(19) CREATION OF ANOTHER CONDOMINIUM.—The
termination or partial termination of a
condominium does not bar the filing of a
new declaration of condominium by the
termination trustee, or the trustee’s
successor in interest, for the
terminated property or any portion
thereof. The partial termination of a
condominium may provide for the
simultaneous filing of an amendment to
the declaration of condominium or an
amended and restated declaration of
condominium by the condominium
association for any portion of the
property not terminated from the
condominium form of ownership.
(20) EXCLUSION.—This section does
not apply to the termination of a
condominium incident to a merger of that
condominium with one or more other
condominiums under s. 718.110(7).
(21) APPLICABILITY.—This section
applies to all condominiums in this
state in existence on or after July 1,
2007.
History.—
s. 1, ch. 76-222; s. 4, ch. 88-148; s. 47, ch. 95-274; s. 3, ch.
98-195; s. 57, ch. 2000-302; s. 1, ch. 2007-226; s. 11, ch. 2008-28; s. 2,
ch. 2008-202; s. 6, ch. 2008-240; s. 13, ch. 2010-174; s. 7, ch. 2011-196;
s. 11, ch. 2014-133; s. 1, ch. 2015-175; s. 1, ch. 2017-122; s. 6, ch.
2021-99. 718.118 Equitable
relief.--In the event of substantial damage to or destruction of all
or a substantial part of the condominium property, and if the property
is not repaired, reconstructed, or rebuilt within a reasonable period of
time, any unit owner may petition a court for equitable relief, which
may include a termination of the condominium and a partition.
History.--s. 1,
ch. 76-222.
718.119 Limitation
of liability.--
(1) The liability of the owner of a
unit for common expenses is limited to the amounts for which he or she
is assessed for common expenses from time to time in accordance with
this chapter, the declaration, and bylaws.
(2) The owner of a unit may be
personally liable for the acts or omissions of the association in
relation to the use of the common elements, but only to the extent of
his or her pro rata share of that liability in the same percentage as
his or her interest in the common elements, and then in no case shall
that liability exceed the value of his or her unit.
(3) In any legal action in which the
association may be exposed to liability in excess of insurance coverage
protecting it and the unit owners, the association shall give notice of
the exposure within a reasonable time to all unit owners, and they shall
have the right to intervene and defend.
History.--s. 1, ch. 76-222; s. 6, ch.
77-221; s. 5, ch. 77-222; s. 857, ch. 97-102.
718.120 Separate
taxation of condominium parcels; survival of declaration after tax sale;
assessment of timeshare estates.--
(1) Ad valorem taxes, benefit taxes,
and special assessments by taxing authorities shall be assessed against
the condominium parcels and not upon the condominium property as a
whole. No ad valorem tax, benefit tax, or special assessment, including
those made by special districts, drainage districts, or water management
districts, may be separately assessed against recreational facilities or
other common elements if such facilities or common elements are owned by
the condominium association or are owned jointly by the owners of the
condominium parcels. Each condominium parcel shall be separately
assessed for ad valorem taxes and special assessments as a single
parcel. The taxes and special assessments levied against each
condominium parcel shall constitute a lien only upon the condominium
parcel assessed and upon no other portion of the condominium property.
(2) All provisions of a declaration
relating to a condominium parcel which has been sold for taxes or
special assessments survive and are enforceable after the issuance of a
tax deed or master's deed, upon foreclosure of an assessment, a
certificate or lien, a tax deed, tax certificate, or tax lien, to the
same extent that they would be enforceable against a voluntary grantee
of the title immediately prior to the delivery of the tax deed, master's
deed, or clerk's certificate of title as provided in s. 197.573.
(3) Condominium
property divided into fee timeshare real property shall be assessed for
purposes of ad valorem taxes and special assessments as provided in s.
192.037.
History.--s. 1, ch. 76-222; s. 58, ch.
82-226; s. 1, ch. 84-261; s. 217, ch. 85-342; s. 4, ch. 91-116.
718.121 Liens.--
(1) Subsequent
to recording the declaration and while
the property remains subject to the
declaration, no liens of any nature are
valid against the condominium property
as a whole except with the unanimous
consent of the unit owners. During this
period, liens may arise or be created
only against individual condominium
parcels.
(2) Labor performed on or materials
furnished to a unit may not be the basis
for the filing of a lien under part I of
chapter 713, the Construction Lien Law,
against the unit or condominium parcel
of any unit owner not expressly
consenting to or requesting the labor or
materials. Labor performed on or
materials furnished for the installation
of a natural gas fuel station or an
electric vehicle charging station under
s. 718.113(8) may not be the basis for
filing a lien under part I of chapter
713 against the association, but such a
lien may be filed against the unit
owner. Labor performed on or materials
furnished to the common elements are not
the basis for a lien on the common
elements, but if authorized by the
association, the labor or materials are
deemed to be performed or furnished with
the express consent of each unit owner
and may be the basis for the filing of a
lien against all condominium parcels in
the proportions for which the owners are
liable for common expenses.
(3) If a lien against two or more
condominium parcels becomes effective,
each owner may relieve his or her
condominium parcel of the lien by
exercising any of the rights of a
property owner under chapter 713, or by
payment of the proportionate amount
attributable to his or her condominium
parcel. Upon the payment, the lienor
shall release the lien of record for
that condominium parcel.
(4)(a) If an association sends out an
invoice for assessments or a unit’s
statement of the account described in s.
718.111(12)(a)11.b., the invoice for
assessments or the unit’s statement of
account must be delivered to the unit
owner by first-class United States mail
or by electronic transmission to the
unit owner’s e-mail address maintained
in the association’s official records.
(b) Before changing the method of
delivery for an invoice for assessments
or the statement of the account, the
association must deliver a written
notice of such change to each unit
owner. The written notice must be
delivered to the unit owner at least 30
days before the association sends the
invoice for assessments or the statement
of the account by the new delivery
method. The notice must be sent by
first-class United States mail to the
unit owner at his or her last address as
reflected in the association’s records
and, if such address is not the unit
address, must be sent by first-class
United States mail to the unit address.
Notice is deemed to have been delivered
upon mailing as required by this
paragraph.
(c) A unit owner must affirmatively
acknowledge his or her understanding
that the association will change its
method of delivery of the invoice for
assessments or the unit’s statement of
the account before the association may
change the method of delivering an
invoice for assessments or the statement
of account. The unit owner may make the
affirmative acknowledgment
electronically or in writing.
(5) An association may not require
payment of attorney fees related to a
past due assessment without first
delivering a written notice of late
assessment to the unit owner which
specifies the amount owed the
association and provides the unit owner
an opportunity to pay the amount owed
without the assessment of attorney fees.
The notice of late assessment must be
sent by first-class United States mail
to the unit owner at his or her last
address as reflected in the
association’s records and, if such
address is not the unit address, must
also be sent by first-class United
States mail to the unit address. Notice
is deemed to have been delivered upon
mailing as required by this subsection.
A rebuttable presumption that an
association mailed a notice in
accordance with this subsection is
established if a board member, officer,
or agent of the association, or a
manager licensed under part VIII of
chapter 468, provides a sworn affidavit
attesting to such mailing. The notice
must be in substantially the following
form:
NOTICE OF LATE
ASSESSMENT
RE: Unit of (name of association)
The following amounts are currently due
on your account to (name of association)
, and must be paid within 30 days of the
date of this letter. This letter shall
serve as the association’s notice of its
intent to proceed with further
collection action against your property
no sooner than 30 days of the date of
this letter, unless you pay in full the
amounts set forth below:
Maintenance due (dates) $ .
Late fee, if applicable $ .
Interest through (dates) * $ .
TOTAL OUTSTANDING $ .
*Interest accrues at the rate of percent
per annum.
(6) Except as otherwise provided in this
chapter, no lien may be filed by the
association against a condominium unit
until 45 days after the date on which a
notice of intent to file a lien has been
delivered to the owner by registered or
certified mail, return receipt
requested, by first-class United States
mail to the owner at his or her last
address as reflected in the
association’s records and, if such
address is not the unit address, by
first-class United States mail to the
unit address. Notice is deemed to have
been delivered upon mailing as required
by this subsection, provided that it is
in substantially the following form:
NOTICE OF INTENT
TO RECORD A CLAIM OF LIEN
RE: Unit of (name of association)
The following amounts are currently due
on your account to (name of association)
, and must be paid within 45 days after
your receipt of this letter. This letter
shall serve as the association’s notice
of intent to record a Claim of Lien
against your property no sooner than 45
days after your receipt of this letter,
unless you pay in full the amounts set
forth below:
Maintenance due (dates) $ .
Late fee, if applicable $ .
Interest through (dates) * $ .
Certified mail charges (dates) $ .
Other costs $ .
TOTAL OUTSTANDING $ .
*Interest accrues at the rate of percent
per annum.
History.—
s. 1, ch. 76-222; s. 26, ch. 90-109; s.
858, ch. 97-102; s. 12, ch. 2008-28; s.
3, ch. 2008-202; s. 4, ch. 2014-146; s.
4, ch. 2018-96; s. 102, ch. 2019-3; s.
3, ch. 2021-91; s. 7, ch. 2021-99.
718.122
Unconscionability of certain leases; rebuttable presumption.--
(1) A lease pertaining to use by
condominium unit owners of recreational or other common facilities,
irrespective of the date on which such lease was entered into, is
presumptively unconscionable if all of the following elements exist:
(a) The lease was executed by persons
none of whom at the time of the execution of the lease were elected by
condominium unit owners, other than the developer, to represent their
interests;
(b) The lease requires either the
condominium association or the condominium unit owners to pay real
estate taxes on the subject real property;
(c) The lease requires either the
condominium association or the condominium unit owners to insure
buildings or other facilities on the subject real property against fire
or any other hazard;
(d) The lease requires either the
condominium association or the condominium unit owners to perform some
or all maintenance obligations pertaining to the subject real property
or facilities located upon the subject real property;
(e) The lease requires either the
condominium association or the condominium unit owners to pay rents to
the lessor for a period of 21 years or more;
(f) The lease provides that failure of
the lessee to make payments of rents due under the lease either creates,
establishes, or permits establishment of a lien upon individual
condominium units of the condominium to secure claims for rent;
(g) The lease requires an annual rental
which exceeds 25 percent of the appraised value of the leased property
as improved, provided that, for purposes of this paragraph, "annual
rental" means the amount due during the first 12 months of the
lease for all units, regardless of whether such units were in fact
occupied or sold during that period, and "appraised value"
means the appraised value placed upon the leased property the first tax
year after the sale of a unit in the condominium;
(h) The lease provides for a periodic
rental increase; and
(i) The lease or other condominium
documents require that every transferee of a condominium unit must
assume obligations under the lease.
(2) The Legislature expressly finds
that many leases involving use of recreational or other common
facilities by residents of condominiums were entered into by parties
wholly representative of the interests of a condominium developer at a
time when the condominium unit owners not only did not control the
administration of their condominium, but also had little or no voice in
such administration. Such leases often contain numerous obligations on
the part of either or both a condominium association and condominium
unit owners with relatively few obligations on the part of the lessor.
Such leases may or may not be unconscionable in any given case.
Nevertheless, the Legislature finds that a combination of certain
onerous obligations and circumstances warrants the establishment of a
rebuttable presumption of unconscionability of certain leases, as
specified in subsection (1). The presumption may be rebutted by a lessor
upon the showing of additional facts and circumstances to justify and
validate what otherwise appears to be an unconscionable lease under this
section. Failure of a lease to contain all the enumerated elements shall
neither preclude a determination of unconscionability of the lease nor
raise a presumption as to its conscionability. It is the intent of the
Legislature that this section is remedial and does not create any new
cause of action to invalidate any condominium lease, but shall operate
as a statutory prescription on procedural matters in actions brought on
one or more causes of action existing at the time of the execution of
such lease.
(3) Any provision of the Florida
Statutes to the contrary notwithstanding, neither the statute of
limitations nor laches shall prohibit unit owners from maintaining a
cause of action under the provisions of this section.
History.--s. 3, ch. 77-221; s. 11, ch.
94-350.
718.1224
Prohibition against SLAPP suits.--
(1) It is the intent of the
Legislature to protect the right of condominium unit owners to exercise their
rights to instruct their representatives and petition for redress of
grievances before the various governmental entities of this state as protected
by the First Amendment to the United States Constitution and s. 5, Art. I of
the State Constitution. The Legislature recognizes that strategic lawsuits
against public participation, or "SLAPP suits," as they are
typically referred to, have occurred when association members are sued by
individuals, business entities, or governmental entities arising out of a
condominium unit owner's appearance and presentation before a governmental
entity on matters related to the condominium association. However, it is the
public policy of this state that governmental entities, business
organizations, and individuals not engage in SLAPP suits, because such actions
are inconsistent with the right of condominium unit owners to participate in
the state's institutions of government. Therefore, the Legislature finds and
declares that prohibiting such lawsuits by governmental entities, business
entities, and individuals against condominium unit owners who address matters
concerning their condominium association will preserve this fundamental state
policy, preserve the constitutional rights of condominium unit owners, and
ensure the continuation of representative government in this state. It is the
intent of the Legislature that such lawsuits be expeditiously disposed of by
the courts. As used in this subsection, the term "governmental
entity" means the state, including the executive, legislative, and
judicial branches of government; the independent establishments of the state,
counties, municipalities, districts, authorities, boards, or commissions; or
any agencies of these branches that are subject to chapter 286.
(2) A governmental entity, business
organization, or individual in this state may not file or cause to be filed
through its employees or agents any lawsuit, cause of action, claim,
cross-claim, or counterclaim against a condominium unit owner without merit
and solely because such condominium unit owner has exercised the right to
instruct his or her representatives or the right to petition for redress of
grievances before the various governmental entities of this state, as
protected by the First Amendment to the United States Constitution and s. 5,
Art. I of the State Constitution.
(3) A condominium unit owner sued by
a governmental entity, business organization, or individual in violation of
this section has a right to an expeditious resolution of a claim that the suit
is in violation of this section. A condominium unit owner may petition the
court for an order dismissing the action or granting final judgment in favor
of that condominium unit owner. The petitioner may file a motion for summary
judgment, together with supplemental affidavits, seeking a determination that
the governmental entity's, business organization's, or individual's lawsuit
has been brought in violation of this section. The governmental entity,
business organization, or individual shall thereafter file its response and
any supplemental affidavits. As soon as practicable, the court shall set a
hearing on the petitioner's motion, which shall be held at the earliest
possible time after the filing of the governmental entity's, business
organization's, or individual's response. The court may award the condominium
unit owner sued by the governmental entity, business organization, or
individual actual damages arising from the governmental entity's,
individual's, or business organization's violation of this section. A court
may treble the damages awarded to a prevailing condominium unit owner and
shall state the basis for the treble damages award in its judgment. The court
shall award the prevailing party reasonable attorney's fees and costs incurred
in connection with a claim that an action was filed in violation of this
section.
(4) Condominium associations may not
expend association funds in prosecuting a SLAPP suit against a condominium
unit owner.
History.--s. 13, ch. 2008-28.
718.1225 Federal
Condominium and Cooperative Abuse Relief Act of 1980; applicability.--It
is the intent of the Legislature that the provisions of Title VI of Pub.
L. No. 96-399, other than the exceptions stated in s. 611 of that act,
shall not apply in this state.
History.--s. 6, ch. 82-199.
718.123 Right of
owners to peaceably assemble.--
(1) All common elements, common areas,
and recreational facilities serving any condominium shall be available
to unit owners in the condominium or condominiums served thereby and
their invited guests for the use intended for such common elements,
common areas, and recreational facilities, subject to the provisions of
s. 718.106(4). The entity or entities responsible for the operation of
the common elements, common areas, and recreational facilities may adopt
reasonable rules and regulations pertaining to the use of such common
elements, common areas, and recreational facilities. No entity or
entities shall unreasonably restrict any unit owner's right to peaceably
assemble or right to invite public officers or candidates for public
office to appear and speak in common elements, common areas, and
recreational facilities.
(2) Any owner prevented from exercising
rights guaranteed by subsection (1) may bring an action in the
appropriate court of the county in which the alleged infringement
occurred, and, upon favorable adjudication, the court shall enjoin the
enforcement of any provision contained in any condominium document or
rule which operates to deprive the owner of such rights.
History.--s. 1, ch. 77-222; s. 262, ch.
79-400; s. 2, ch. 81-185; s. 13, ch. 90-151.
718.1232 Cable
television service; resident's right to access without extra charge.--No
resident of any condominium dwelling unit, whether tenant or owner,
shall be denied access to any available franchised or licensed cable
television service, nor shall such resident or cable television service
be required to pay anything of value in order to obtain or provide such
service except those charges normally paid for like services by
residents of, or providers of such services to, single-family homes
within the same franchised or licensed area and except for installation
charges as such charges may be agreed to between such resident and the
provider of such services.
History.--s. 16, ch. 81-185.
718.124 Limitation
on actions by association.--The statute of limitations for any
actions in law or equity which a condominium association or a
cooperative association may have shall not begin to run until the unit
owners have elected a majority of the members of the board of
administration.
History.--s. 9, ch. 77-222; s. 263, ch.
79-400.
718.125 Attorney's
fees.--If a contract or lease between a condominium unit owner or
association and a developer contains a provision allowing attorney's
fees to the developer, should any litigation arise under the provisions
of the contract or lease, the court shall also allow reasonable
attorney's fees to the unit owner or association when the unit owner or
association prevails in any action by or against the unit owner or
association with respect to the contract or lease.
History.--s. 9, ch. 78-340.
718.1255
Alternative dispute resolution; voluntary mediation; mandatory
nonbinding arbitration; legislative findings.--
(1) DEFINITIONS.—
As used in this section, the term “dispute”
means any disagreement between two or more
parties that involves:
(a) The authority of the board of directors,
under this chapter or association document,
to:
1. Require any owner to take any action, or
not to take any action, involving that
owner’s unit or the appurtenances thereto.
2. Alter or add to a common area or element.
(b) The failure of a governing body, when
required by this chapter or an association
document, to:
1. Properly conduct elections.
2. Give adequate notice of meetings or other
actions.
3. Properly conduct meetings.
4. Allow inspection of books and records.
(c) A plan of termination pursuant to s.
718.117.
“Dispute” does not include any disagreement
that primarily involves: title to any unit
or common element; the interpretation or
enforcement of any warranty; the levy of a
fee or assessment, or the collection of an
assessment levied against a party; the
eviction or other removal of a tenant from a
unit; alleged breaches of fiduciary duty by
one or more directors; or claims for damages
to a unit based upon the alleged failure of
the association to maintain the common
elements or condominium property.
(2) MEDIATION.—Mediation through
Citizen Dispute Settlement Centers as
provided for in s. 44.201 is encouraged.
(3) LEGISLATIVE FINDINGS.—
(a) The Legislature finds that unit owners
are frequently at a disadvantage when
litigating against an association.
Specifically, a condominium association,
with its statutory assessment authority, is
often more able to bear the costs and
expenses of litigation than the unit owner
who must rely on his or her own financial
resources to satisfy the costs of litigation
against the association.
(b) The Legislature finds that alternative
dispute resolution has been making progress
in reducing court dockets and trials and in
offering a more efficient, cost-effective
option to court litigation. However, the
Legislature also finds that alternative
dispute resolution should not be used as a
mechanism to encourage the filing of
frivolous or nuisance suits.
(c) There exists a need to develop a
flexible means of alternative dispute
resolution that directs disputes to the most
efficient means of resolution.
(d) The high cost and significant delay of
circuit court litigation faced by unit
owners in the state can be alleviated by
requiring nonbinding arbitration and
mediation in appropriate cases, thereby
reducing delay and attorney fees while
preserving the right of either party to have
its case heard by a jury, if applicable, in
a court of law.
(4) NONBINDING ARBITRATION AND MEDIATION
OF DISPUTES.—The Division of Florida
Condominiums, Timeshares, and Mobile Homes
of the Department of Business and
Professional Regulation may employ full-time
attorneys to act as arbitrators to conduct
the arbitration hearings provided by this
chapter. The division may also certify
attorneys who are not employed by the
division to act as arbitrators to conduct
the arbitration hearings provided by this
chapter. A person may not be employed by the
department as a full-time arbitrator unless
he or she is a member in good standing of
The Florida Bar. A person may only be
certified by the division to act as an
arbitrator if he or she has been a member in
good standing of The Florida Bar for at
least 5 years and has mediated or arbitrated
at least 10 disputes involving condominiums
in this state during the 3 years immediately
preceding the date of application, mediated
or arbitrated at least 30 disputes in any
subject area in this state during the 3
years immediately preceding the date of
application, or attained board certification
in real estate law or condominium and
planned development law from The Florida
Bar. Arbitrator certification is valid for 1
year. An arbitrator who does not maintain
the minimum qualifications for initial
certification may not have his or her
certification renewed. The department may
not enter into a legal services contract for
an arbitration hearing under this chapter
with an attorney who is not a certified
arbitrator unless a certified arbitrator is
not available within 50 miles of the
dispute. The department shall adopt rules of
procedure to govern such arbitration
hearings including mediation incident
thereto. The decision of an arbitrator is
final; however, a decision is not deemed
final agency action. Nothing in this
provision shall be construed to foreclose
parties from proceeding in a trial de novo
unless the parties have agreed that the
arbitration is binding. If judicial
proceedings are initiated, the final
decision of the arbitrator is admissible in
evidence in the trial de novo.
(a) Before the institution of court
litigation, a party to a dispute, other than
an election or recall dispute, shall either
petition the division for nonbinding
arbitration or initiate presuit mediation as
provided in subsection (5). Arbitration is
binding on the parties if all parties in
arbitration agree to be bound in a writing
filed in arbitration. The petition must be
accompanied by a filing fee in the amount of
$50. Filing fees collected under this
section must be used to defray the expenses
of the alternative dispute resolution
program.
(b) The petition must recite, and have
attached thereto, supporting proof that the
petitioner gave the respondents:
1. Advance written notice of the specific
nature of the dispute;
2. A demand for relief, and a reasonable
opportunity to comply or to provide the
relief; and
3. Notice of the intention to file an
arbitration petition or other legal action
in the absence of a resolution of the
dispute.
Failure to include the allegations or proof
of compliance with these prerequisites
requires dismissal of the petition without
prejudice.
(c) Upon receipt, the petition shall be
promptly reviewed by the division to
determine the existence of a dispute and
compliance with the requirements of
paragraphs (a) and (b). If emergency relief
is required and is not available through
arbitration, a motion to stay the
arbitration may be filed. The motion must be
accompanied by a verified petition alleging
facts that, if proven, would support entry
of a temporary injunction, and if an
appropriate motion and supporting papers are
filed, the division may abate the
arbitration pending a court hearing and
disposition of a motion for temporary
injunction.
(d) Upon determination by the division that
a dispute exists and that the petition
substantially meets the requirements of
paragraphs (a) and (b) and any other
applicable rules, the division shall assign
or enter into a contract with an arbitrator
and serve a copy of the petition upon all
respondents. The arbitrator shall conduct a
hearing within 30 days after being assigned
or entering into a contract unless the
petition is withdrawn or a continuance is
granted for good cause shown.
(e) Before or after the filing of the
respondents’ answer to the petition, any
party may request that the arbitrator refer
the case to mediation under this section and
any rules adopted by the division. Upon
receipt of a request for mediation, the
division shall promptly contact the parties
to determine if there is agreement that
mediation would be appropriate. If all
parties agree, the dispute must be referred
to mediation. Notwithstanding a lack of an
agreement by all parties, the arbitrator may
refer a dispute to mediation at any time.
(f) Upon referral of a case to mediation,
the parties must select a mutually
acceptable mediator. To assist in the
selection, the arbitrator shall provide the
parties with a list of both volunteer and
paid mediators that have been certified by
the division under s. 718.501. If the
parties are unable to agree on a mediator
within the time allowed by the arbitrator,
the arbitrator shall appoint a mediator from
the list of certified mediators. If a case
is referred to mediation, the parties shall
attend a mediation conference, as scheduled
by the parties and the mediator. If any
party fails to attend a duly noticed
mediation conference, without the permission
or approval of the arbitrator or mediator,
the arbitrator must impose sanctions against
the party, including the striking of any
pleadings filed, the entry of an order of
dismissal or default if appropriate, and the
award of costs and attorney fees incurred by
the other parties. Unless otherwise agreed
to by the parties or as provided by order of
the arbitrator, a party is deemed to have
appeared at a mediation conference by the
physical presence of the party or its
representative having full authority to
settle without further consultation,
provided that an association may comply by
having one or more representatives present
with full authority to negotiate a
settlement and recommend that the board of
administration ratify and approve such a
settlement within 5 days from the date of
the mediation conference. The parties shall
share equally the expense of mediation,
unless they agree otherwise.
(g) The purpose of mediation as provided for
by this section is to present the parties
with an opportunity to resolve the
underlying dispute in good faith, and with a
minimum expenditure of time and resources.
(h) Mediation proceedings must generally be
conducted in accordance with the Florida
Rules of Civil Procedure, and these
proceedings are privileged and confidential
to the same extent as court-ordered
mediation. Persons who are not parties to
the dispute are not allowed to attend the
mediation conference without the consent of
all parties, with the exception of counsel
for the parties and corporate
representatives designated to appear for a
party. If the mediator declares an impasse
after a mediation conference has been held,
the arbitration proceeding terminates,
unless all parties agree in writing to
continue the arbitration proceeding, in
which case the arbitrator’s decision shall
be binding or nonbinding, as agreed upon by
the parties; in the arbitration proceeding,
the arbitrator shall not consider any
evidence relating to the unsuccessful
mediation except in a proceeding to impose
sanctions for failure to appear at the
mediation conference. If the parties do not
agree to continue arbitration, the
arbitrator shall enter an order of
dismissal, and either party may institute a
suit in a court of competent jurisdiction.
The parties may seek to recover any costs
and attorney fees incurred in connection
with arbitration and mediation proceedings
under this section as part of the costs and
fees that may be recovered by the prevailing
party in any subsequent litigation.
(i) Arbitration shall be conducted according
to rules adopted by the division. The filing
of a petition for arbitration shall toll the
applicable statute of limitations.
(j) At the request of any party to the
arbitration, the arbitrator shall issue
subpoenas for the attendance of witnesses
and the production of books, records,
documents, and other evidence and any party
on whose behalf a subpoena is issued may
apply to the court for orders compelling
such attendance and production. Subpoenas
shall be served and shall be enforceable in
the manner provided by the Florida Rules of
Civil Procedure. Discovery may, in the
discretion of the arbitrator, be permitted
in the manner provided by the Florida Rules
of Civil Procedure. Rules adopted by the
division may authorize any reasonable
sanctions except contempt for a violation of
the arbitration procedural rules of the
division or for the failure of a party to
comply with a reasonable nonfinal order
issued by an arbitrator which is not under
judicial review.
(k) The arbitration decision shall be
rendered within 30 days after the hearing
and presented to the parties in writing. An
arbitration decision is final in those
disputes in which the parties have agreed to
be bound. An arbitration decision is also
final if a complaint for a trial de novo is
not filed in a court of competent
jurisdiction in which the condominium is
located within 30 days. The right to file
for a trial de novo entitles the parties to
file a complaint in the appropriate trial
court for a judicial resolution of the
dispute. The prevailing party in an
arbitration proceeding shall be awarded the
costs of the arbitration and reasonable
attorney fees in an amount determined by the
arbitrator. Such an award shall include the
costs and reasonable attorney fees incurred
in the arbitration proceeding as well as the
costs and reasonable attorney fees incurred
in preparing for and attending any scheduled
mediation. An arbitrator’s failure to render
a written decision within 30 days after the
hearing may result in the cancellation of
his or her arbitration certification.
(l) The party who files a complaint for a
trial de novo shall be assessed the other
party’s arbitration costs, court costs, and
other reasonable costs, including attorney
fees, investigation expenses, and expenses
for expert or other testimony or evidence
incurred after the arbitration hearing if
the judgment upon the trial de novo is not
more favorable than the arbitration
decision. If the judgment is more favorable,
the party who filed a complaint for trial de
novo shall be awarded reasonable court costs
and attorney fees.
(m) Any party to an arbitration proceeding
may enforce an arbitration award by filing a
petition in a court of competent
jurisdiction in which the condominium is
located. A petition may not be granted
unless the time for appeal by the filing of
a complaint for trial de novo has expired.
If a complaint for a trial de novo has been
filed, a petition may not be granted with
respect to an arbitration award that has
been stayed. If the petition for enforcement
is granted, the petitioner shall recover
reasonable attorney fees and costs incurred
in enforcing the arbitration award. A
mediation settlement may also be enforced
through the county or circuit court, as
applicable, and any costs and fees incurred
in the enforcement of a settlement agreement
reached at mediation must be awarded to the
prevailing party in any enforcement action.
(5) PRESUIT MEDIATION.—In lieu of the
initiation of nonbinding arbitration as
provided in subsections (1)-(4), a party may
submit a dispute to presuit mediation in
accordance with s. 720.311; however,
election and recall disputes are not
eligible for mediation and such disputes
must be arbitrated by the division or filed
in a court of competent jurisdiction.
(6) DISPUTES INVOLVING ELECTION
IRREGULARITIES.—Every arbitration
petition received by the division and
required to be filed under this section
challenging the legality of the election of
any director of the board of administration
must be handled on an expedited basis in the
manner provided by the division’s rules for
recall arbitration disputes.
(7) APPLICABILITY.—This
section does not apply to a nonresidential
condominium unless otherwise specifically
provided for in the declaration of the
nonresidential condominium.
History.--
s. 4, ch. 82-199; s. 4, ch. 85-60; s. 10, ch. 91-103; s. 5, ch. 91-426; s.
7, ch. 92-49; s. 232, ch. 94-218; s. 12, ch. 94-350; s. 37, ch. 95-274; s.
859, ch. 97-102; s. 2, ch. 97-301; s. 12, ch. 2002-27; s. 14, ch. 2008-28;
s. 47, ch. 2008-240; s. 3, ch. 2014-74; s. 2, ch. 2015-175; s. 4, ch.
2017-188; s. 8, ch. 2021-99.
718.1256
Condominiums as residential property.--For the purpose of property
and casualty insurance risk classification, condominiums shall be
classed as residential property.
History.--s. 23, ch. 94-350.
718.1265
Association emergency powers.--
(1) To
the extent allowed by law, unless specifically prohibited by the declaration
of condominium, the articles, or the bylaws of an association, and
consistent with s. 617.0830, the board of administration, in response to
damage or injury caused by or anticipated in connection with an emergency,
as defined in s. 252.34(4), for which a state of emergency is declared
pursuant to s. 252.36 in the locale in which the condominium is located, may
exercise the following powers:
(a) Conduct board meetings, committee meetings, elections, and membership
meetings, in whole or in part, by telephone, real-time videoconferencing, or
similar real-time electronic or video communication with notice given as is
practicable. Such notice may be given in any practicable manner, including
publication, radio, United States mail, the Internet, electronic
transmission, public service announcements, and conspicuous posting on the
condominium property or association property or any other means the board
deems reasonable under the circumstances. Notice of decisions also may be
communicated as provided in this paragraph.
(b) Cancel and reschedule any association meeting.
(c) Name as assistant officers persons who are not directors, which
assistant officers shall have the same authority as the executive officers
to whom they are assistants during the state of emergency to accommodate the
incapacity or unavailability of any officer of the association.
(d) Relocate the association’s principal office or designate alternative
principal offices.
(e) Enter into agreements with local counties and municipalities to assist
counties and municipalities with debris removal.
(f) Implement a disaster plan or an emergency plan before, during, or
following the event for which a state of emergency is declared which may
include, but is not limited to, shutting down or off elevators; electricity;
water, sewer, or security systems; or air conditioners.
(g) Based upon advice of emergency management officials or public health
officials, or upon the advice of licensed professionals retained by or
otherwise available to the board, determine any portion of the condominium
property or association property unavailable for entry or occupancy by unit
owners, family members, tenants, guests, agents, or invitees to protect the
health, safety, or welfare of such persons.
(h) Require the evacuation of the condominium property in the event of a
mandatory evacuation order in the locale in which the condominium is
located. Should any unit owner or other occupant of a condominium fail or
refuse to evacuate the condominium property or association property where
the board has required evacuation, the association shall be immune from
liability or injury to persons or property arising from such failure or
refusal.
(i) Based upon advice of emergency management officials or public health
officials, or upon the advice of licensed professionals retained by or
otherwise available to the board, determine whether the condominium
property, association property, or any portion thereof can be safely
inhabited, accessed, or occupied. However, such determination is not
conclusive as to any determination of habitability pursuant to the
declaration.
(j) Mitigate further damage, injury, or contagion, including taking action
to contract for the removal of debris and to prevent or mitigate the spread
of fungus or contagion, including, but not limited to, mold or mildew, by
removing and disposing of wet drywall, insulation, carpet, cabinetry, or
other fixtures on or within the condominium property, even if the unit owner
is obligated by the declaration or law to insure or replace those fixtures
and to remove personal property from a unit.
(k) Contract, on behalf of any unit owner or owners, for items or services
for which the owners are otherwise individually responsible, but which are
necessary to prevent further injury, contagion, or damage to the condominium
property or association property. In such event, the unit owner or owners on
whose behalf the board has contracted are responsible for reimbursing the
association for the actual costs of the items or services, and the
association may use its lien authority provided by s. 718.116 to enforce
collection of the charges. Without limitation, such items or services may
include the drying of units, the boarding of broken windows or doors, the
replacement of damaged air conditioners or air handlers to provide climate
control in the units or other portions of the property, and the sanitizing
of the condominium property or association property, as applicable.
(l) Regardless of any provision to the contrary and even if such authority
does not specifically appear in the declaration of condominium, articles, or
bylaws of the association, levy special assessments without a vote of the
owners.
(m) Without unit owners’ approval, borrow money and pledge association
assets as collateral to fund emergency repairs and carry out the duties of
the association when operating funds are insufficient. This paragraph does
not limit the general authority of the association to borrow money, subject
to such restrictions as are contained in the declaration of condominium,
articles, or bylaws of the association.
(2) The special powers authorized under subsection (1) shall be limited to
that time reasonably necessary to protect the health, safety, and welfare of
the association and the unit owners and the unit owners’ family members,
tenants, guests, agents, or invitees and shall be reasonably necessary to
mitigate further damage, injury, or contagion and make emergency repairs.
(3) Notwithstanding paragraphs (1)(f)-(i), during a state of emergency
declared by executive order or proclamation of the Governor pursuant to s.
252.36, an association may not prohibit unit owners, tenants, guests,
agents, or invitees of a unit owner from accessing the unit and the common
elements and limited common elements appurtenant thereto for the purposes of
ingress to and egress from the unit and when access is necessary in
connection with:
(a) The sale, lease, or other transfer of title of a unit; or
(b) The habitability of the unit or for the health and safety of such person
unless a governmental order or determination, or a public health directive
from the Centers for Disease Control and Prevention, has been issued
prohibiting such access to the unit. Any such access is subject to
reasonable restrictions adopted by the association.
History.--s. 15, ch.
2008-28; s. 9, ch. 2021-99
718.127
Receivership notification.--
Upon the appointment of a receiver by a court
for any reason relating to a condominium association, the court shall direct
the receiver to provide to all unit owners written notice of his or her
appointment as receiver. Such notice shall be mailed or delivered within 10
days after the appointment. Notice by mail to a unit owner shall be sent to
the address used by the county property appraiser for notice to the unit
owner.
History.--s.
16, ch. 2008-28; s. 4, ch. 2008-202.
718.128 Electronic
voting.—
The association may conduct elections and
other unit owner votes through an
Internet-based online voting system if a
unit owner consents, in writing, to online
voting and if the following requirements are
met:
(1) The
association provides each unit owner
with:
(a) A
method to authenticate the unit
owner’s identity to the online
voting system.
(b) For
elections of the board, a method to
transmit an electronic ballot to the
online voting system that ensures
the secrecy and integrity of each
ballot.
(c) A
method to confirm, at least 14 days
before the voting deadline, that the
unit owner’s electronic device can
successfully communicate with the
online voting system.
(2) The
association uses an online voting system
that is:
(a) Able
to authenticate the unit owner’s
identity.
(b) Able
to authenticate the validity of each
electronic vote to ensure that the
vote is not altered in transit.
(c) Able
to transmit a receipt from the
online voting system to each unit
owner who casts an electronic vote.
(d) For
elections of the board of
administration, able to permanently
separate any authentication or
identifying information from the
electronic election ballot,
rendering it impossible to tie an
election ballot to a specific unit
owner.
(e) Able
to store and keep electronic votes
accessible to election officials for
recount, inspection, and review
purposes.
(3) A
unit owner voting electronically
pursuant to this section shall be
counted as being in attendance at the
meeting for purposes of determining a
quorum. A substantive vote of the unit
owners may not be taken on any issue
other than the issues specifically
identified in the electronic vote, when
a quorum is established based on unit
owners voting electronically pursuant to
this section.
(4) This
section applies to an association that
provides for and authorizes an online
voting system pursuant to this section
by a board resolution. The board
resolution must provide that unit owners
receive notice of the opportunity to
vote through an online voting system,
must establish reasonable procedures and
deadlines for unit owners to consent, in
writing, to online voting, and must
establish reasonable procedures and
deadlines for unit owners to opt out of
online voting after giving consent.
Written notice of a meeting at which the
resolution will be considered must be
mailed, delivered, or electronically
transmitted to the unit owners and
posted conspicuously on the condominium
property or association property at
least 14 days before the meeting.
Evidence of compliance with the 14-day
notice requirement must be made by an
affidavit executed by the person
providing the notice and filed with the
official records of the association.
(5) A
unit owner’s consent to online voting is
valid until the unit owner opts out of
online voting according to the
procedures established by the board of
administration pursuant to subsection
(4).
(6) This
section may apply to any matter that
requires a vote of the unit owners who
are not members of a timeshare
condominium association.
718.129 Law Enforcement Vehicles.--
Law enforcement vehicles.—An association
may not prohibit a law enforcement
officer, as defined in s. 943.10(1), who
is a unit owner, or who is a tenant,
guest, or invitee of a unit owner, from
parking his or her assigned law
enforcement vehicle in an area where the
unit owner, or the tenant, guest, or
invitee of the unit owner, otherwise has
a right to park.
History.—s.
4, ch. 2015-97.
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