As most of you are probably aware, the Governor has issued a new Executive Order implementing the Phase 1 Plan to Re-Open Florida. We are extremely concerned that numerous individuals and various associations may believe that this constitutes a carte-blanche to open up their common property despite the number of people who may congregate there. Ultimately, we are very concerned that such course of action may in many instances, jeopardize the health, safety and welfare of the community’s owners, residents and guests.

Given that our Governor has decreed a State of Emergency for the State of Florida and given the devastating economic impact this virus has caused, many Associations may feel compelled to try to help their Members by ceasing or delaying their collection efforts. As you know, collections are the lifeblood of Associations as Associations need funds with which to operate. Unfortunately, when Owners cease paying their Assessments, this does not decrease an Association’s expenses. To the contrary, the Association’s expenses generally remain constant, if not increase as the number of delinquencies increase. Because of this, to the extent the Association forgoes collections; the rest of the Owners may have to make up the difference between what the Association should have received vs. that which the Association has received.

Orange County has issued an Emergency Order mandating that all “non-essential service” businesses be closed and the workers stay at home due to the COVID-19 virus. Clayton and McCulloh is concerned that this Order will cause some confusion and misunderstanding among our Clients regarding whether or how this Order affects our law firm. Although many businesses and professions are affected by this Order which goes into effect on Thursday, March 26, 2020, @ 11:00 p.m. (EST), legal services are specifically designated as an “essential service,” that is excluded from the application of the Order.

While there is a lot of discussion about associations endeavoring to postpone meetings so as to preserve social distancing and not potentially expose people to COVID19, also known as the coronavirus, ultimately, a limited number of meetings may not be able to be postponed. These include some Board meetings, Committee meetings, etc. As such, what precautions, if any, should your Association undertake in the event it needs to proceed with a meeting?

I am frequently asked to explain in layman’s terms what legal terms mean. Here’s a fun little list of fancy words with a no-nonsense take.

So you’ve been served with a lawsuit or petition for arbitration. The question is what to do with the documents? Do you get nervous and concerned, and simply respond? No – a response without understanding the law could hurt your defense more than helping. Moreover, except in small claims court, a corporate entity defendant (including LLC’s and the like, and our community association clients) can only represent itself through counsel in Florida. A response filed by a representative - even a director or officer - may be stricken or simply disregarded by the Court or arbitrator, as thought it was never filed.

For many community associations, collection of past-due assessments plays a major role in the annual legal budget (although in successful collections, the attorney’s fees and costs incurred are collected from the delinquent owners). These past-due accounts create a myriad of challenges, such as lenders’ foreclosure actions or owners’ bankruptcies, in addition to the association’s collection efforts themselves, which are often addressed simultaneously with these challenging issues.

A new law took effect July 1, 2019, which would allow the cultivation of vegetables and fruits on residential properties.

Few statutory provisions are more exploited by owners, cause more expense and (legally permissible) harassment, or disrupt an association's operation, more than Fla. Stat. §§ 718.111(12)(c) (relating to condominium associations) and 720.303(5) (relating to community associations other than condos, timeshares, and cooperatives). Those subsections require that such communities make certain association records available within 10 working days of receiving a statutorily compliant request. As you may have learned during our Board Member Certification courses, the records which must be produced in response to such a request include essentially all written association records, with limited statutory exemptions (i.e., individual owners' confidential information, attorney-client privileged communications, etc.). If associations have no policy limiting the frequency or length of these inspections, owners could ostensibly issue requests on a weekly or even a daily basis, effectively forcing the community’s operation to a halt. Thus, it would benefit all communities to implement such reasonable limitations, in addition to undertaking steps to facilitate production of records rather than having owners visit management, counsel's offices, or for self-managed communities without a clubhouse or similar facility, having to incur the cost of renting space or even having someone come to an individual Board Member’s home, to complete the inspection.