On Wednesday, December 3, 2014, from 11:30 am-2 pm I’ll be speaking on “Hot Legal Topics in Community Management” at the Charlotte Lunch ‘n Learn of the NC Chapter of the Community Associations Institute. The program is at Maggiano’s Little Italy at South Park Mall (4400 Sharon Road) in Charlotte. The cost for the program is $30 for CAI members/$40 for non-members. Topics will include: If you wish to attend, please register AS SOON AS POSSIBLE at by calling CAI-NC at 919-929-9312, as you must register to attend. Sponsorships are available. Feel free to forward this information to any managers, directors, community members, or others … Continue reading
Author Archives: Jim Slaughter
Must North Carolina HOA and Condominium Associations Have Workers’ Compensation Insurance?
An article from another law firm in the Charlotte Observer last week suggested that all North Carolina HOA and condominium associations must have Workers’ Compensation coverage or suffer the consequences. The article can no longer be found online, but here’s the short version: Since the article appeared, we’ve been inundated with questions from managers and associations as to whether they must rush out and purchase Worker’s Comp coverage, and if so, what product and in what amount? As you can imagine, both of these are complicated questions and could vary by association and circumstances. (For instance, only NC planned communities created after January … Continue reading
A Radio Tower in Every Yard?
Most often the Declaration of Covenants, Conditions and Restrictions (also known as the “CCR’s,” “Declaration of Condominium,” “Restrictions,” or by other names) is the highest governing document within an association. Typically, the terms of this document cannot be waived without express authority. After all, the Declaration is a binding contract among the members of the Association. Of course, language in the Declaration usually yields to express state statute or federal law. With that in mind, it is rather concerning to read House Resolution 4969 (“Amateur Radio Parity Act of 2014”) introduced last month by Congressman Adam Kinzinger (16th District, Illinois). HR 4969 would rewrite … Continue reading
Law Seminar Best Manuscript Award: Community Association Voting
Following this year’s national CAI Community Association (HOA and condo) Law Seminar, the College of Community Association Lawyers presented a “Best Manuscript Award” for the presentation with the best accompanying materials. First recipients of the Award were David Graf of Moeller Graf, P.C. in Englewood, CO and Steve Weil at Berding & Weil, LLP in Walnut Creek, CA for “Community Association Voting: Evolving Trends in Membership Elections of Directors and the Authorization of Corporate Action” (available at Law Seminar Best Manuscript). The 2015 Community Association Law Seminar will be held Wednesday, January 28 through Saturday, January 31, 2015, in San … Continue reading
Help, Our HOA (or Condo Association) Needs Money!
Community associations (HOAs and condos) can become cash-strapped for a variety of reasons—unexpected large repairs, increased utility expenses, weather related emergencies, or simply years of poor planning. Often the current board members are not the ones to blame. After all, they are simply trying to locate funds to pay necessary expenses, without which essential services such as water or electricity may be cut off. While there can be instances of financial malfeasance, most association financial crises are not the result of intentional wrongdoing. We see associations that kept assessments low for many years running headfirst into increased utility costs or unexpected expenses, at which … Continue reading
Legislative Update: Transfer of Special Declarant Rights Bill Adopted
The N.C. General Assembly is about to wrap up its two-year legislative session, so bills are flying around. In my legislative update of 2013 activity (www.lawfirmcarolinas.com/blog/nc-community-association-2013-legislative-roundup/), I noted several bills that while not adopted were still eligible for consideration in the 2014 Short Session. One of those, House Bill 330 (“Planned Community Act/Declarant Rights”) was signed into law by the Governor yesterday (Monday, July 7). HB 330, which was originally sponsored by Representatives Rob Bryan (Mecklenburg), Paul “Skip” Stam (Wake), Tom Murry (Wake), and John Szoka (Cumberland), was intended to clarify language in the Planned Community Act as to the transfer of … Continue reading
Declaration Amendments, Reasonableness & Original Intent: Wallach v. Linville Owners Association
A case issued by the North Carolina Court of Appeals today suggests there are instances when an amendment to a Declaration (also known as Covenants, Conditions and Restrictions) has to pass an “original intent” test. In Wallach v. Linville Owners Association, Inc., the original Declaration provided for reduced assessments for lots owned by builders. Several years later and after transition, the membership followed the amendment process to amend the Declaration to require equal assessments from all lots (and eliminating the reduced rate for builders). On appeal, the builders argued that such an amendment “contravenes the original intent of the Declaration.” The Court … Continue reading
Greensboro Office Expansion Complete
Exciting news—the expansion to our Greensboro office is finished and our large meeting room/training center is now open! (See photo.) Our newest conference room has a flexible arrangement and can be used for training, board meetings, videoconferencing, or even smaller membership meetings. While the standard set-up easily seats about 30 with tables, the room can be rearranged and has seating for 60. The room also is equipped with electrical plugs throughout, Wi-Fi, and an 80” widescreen TV for presentations or videoconferencing. We intend to regularly use this space for HOA/condo training and larger meetings that involve our attorneys. However, in the event you or … Continue reading
How to Chair a Convention or Large Membership Meeting
Most of the time, I seem to be advising boards on how to run less formal meetings. That’s because the major parliamentary authorities, such as Robert’s Rules of Order Newly Revised (12th Edition) and The Standard Code of Parliamentary Procedure (“Sturgis”), recognize that boards with not more than about 12 members present can follow more relaxed procedures (and only be more formal if the circumstances require it). For examples of smaller board procedure, see Board Procedures Versus a Membership Meeting or Convention. Even so, you will occasionally encounter larger meetings—homeowner or condominium membership meetings, conventions, church meetings, shareholder meetings, membership meetings of … Continue reading
North Carolina Condo and HOA “Ask an Attorney Night” – April 22
Have a condo or HOA association question you’d like to ask a lawyer? The North Carolina Chapter of the Community Associations Institute (CAI) is hosting an “Ask an Attorney Night: Your HOA & Condo Questions Answered” on Tuesday, April 22, 2014, from 5-7:30 pm at the Sheraton Greensboro-Koury Convention Center in Greensboro, NC. Topics could include: But it really depends on what questions are asked! Details are in the attached CAI-Ask-An-Attorney flyer. Everyone is invited—homeowners, board members, community managers, or anyone interested in HOA’s and condos, but registration is required. The cost is $25 for members and $35 for non-members. For more information on … Continue reading
Buy a Book and Support the National Association of Parliamentarians!
Prior to having two books published last year, I hadn’t given much attention to the bookselling world. Sometimes I’d buy a book from the National Association of Parliamentarians (NAP) at the Biennial Convention or National Training Conference. Or from Barnes & Noble if I happened to be there. Or from Amazon if there was free shipping. Book purchases were really about convenience, since all the books seemed to cost generally the same. In fact, when you think about it, why would an organization like NAP go to the trouble to maintain an online bookstore? For one, NAP publishes original works related to parliamentary procedure … Continue reading
Support CAI — Buy a Book!
Prior to having two books published last year, I hadn’t given much attention to the bookselling world. Sometimes I’d buy a book from the Community Associations Institute (CAI) bookstore at the Annual Conference or Law Seminar. Or I might purchase a book from the National Association of Parliamentarians on meeting procedure. Or from Barnes & Noble if I happened to be there. Or from Amazon if there was free shipping. Book purchases were really about convenience, since all the books seemed to cost generally the same. In fact, when you think about it, why would any organization like CAI go to the trouble to maintain … Continue reading
Unanimous Consent: Good Presiding Officers Use It!
Sure, you can use formal procedure to handle routine, noncontroversial matters in board and membership meetings. But why would you? Let’s look at a typical meeting example: Chair: Is there a motion to approve the minutes?[uncomfortable silence, finally followed by]Member: I move to approve the minutes.Chair: Is there a second?[uncomfortable silence, finally followed by]Member: Second! Chair: It is moved and seconded to approve the minutes. Is there any discussion?[no, there isn’t]Chair: The question is on the motion to approve the minutes. Those in favor of approving the minutes, say ‘aye.’ . . . Those opposed, say ‘no.’ The minutes are approved.[FYI, everyone … Continue reading
Updated North Carolina Planned Community Act (47F) for HOAs and North Carolina Condominium Act (47C) Statutes
The 2013 North Carolina General Assembly adopted several significant amendments that impact owners in homeowner associations and condominium associations. For more details, see these past blog posts (THE LINKS HAVE BEEN UPDATED TO KEEP CURRENT): HOA & Condo Collections – Significant October 1 Law Changes Revised Assessment Lien Statute New Voluntary Prelitigation Mediation Law All of these new statutes are now in effect. Interestingly, these changes can be hard to track down. Even the online statutes at the North Carolina General Assembly Website do not have the current language. As a result, if you need the current language of the … Continue reading
Association Attorneys (And Others) Should Attend the 2014 Community Association Law Seminar
Each year about this time I like to share information on the excellent national Community Association Law Seminar, sponsored by the Community Associations Institute (CAI) and the College of Community Association Lawyers (CCAL). The 2014 program will run from Thursday, January 23 through Saturday, January 25 in Las Vegas, NV. This Law Seminar is the 35th annual, and the speakers and programs are always outstanding. The faculty includes many of the best homeowner and condominium attorneys in the country. This year’s program will include the popular case law update as well as over 20 separate sessions dealing with different aspects of community association … Continue reading
Notes and Comments on Robert’s Rules Receives 2013 Phifer Award
Notes and Comments on Robert’s Rules of Order, Fourth Edition [now Notes and Comments on Robert’s Rules, Fifth Edition, updated for the 2020 Robert’s] has received the 2013 Phifer Award from the Commission on American Parliamentary Practice (CAPP), an affiliate of the National Communication Association (NCA). The Award recognizes distinguished scholarship in parliamentary procedure and was presented to authors Jon Ericson, Gaut Ragsdale and Jim Slaughter at NCA’s recent 99th annual convention in Washington, DC. The Phifer Award is named for the late Gregg Phifer, a longtime professor of communication and instructor of parliamentary procedure at Florida State University. “While … Continue reading
What to Do About Speeding Cars on Community Association Roads in North Carolina
We’ve gotten many more calls recently from homeowner and condominium association clients dealing with speeding vehicles on community association roads. Perhaps people are speeding more, or it may simply be that associations have gotten fed up with the problem. Whatever the case, the options in North Carolina can at times be limited. In some states, statutes clearly provide what an association can (or cannot) do on its own or even public roads in the association. Without such clear statutes, in North Carolina the issue often comes down to the status of the roads, the governing documents, and specific circumstances. Community Association Speeding Options … Continue reading
What Happens if You Lose Quorum During a Meeting?
My last blog concerned “What Happens if You Don’t Have Quorum at the Start of a Meeting?” A related question is, “What happens if you start the meeting with a quorum, but lose it during the meeting?” While the issue of quorum at the beginning of a meeting can be complicated, the issue of vanishing quorum can get downright confusing. That’s because you can end at a different result depending your type of organization (nonprofit corporation, membership meeting, board, shareholder meeting, governmental body, HOA, condo association, etc.) and location (different states have different statutes). What is the Significance of Meeting Quorum ? Under common … Continue reading
What Happens if You Don’t Have Quorum at the Beginning of a Meeting?
Quorum is the minimum number of members who must be present at a meeting to transact business. The requirement protects the organization by preventing a very small number of members from taking action on behalf of the entire organization. While there are some exceptions (see below), no motions or votes should occur unless there is a quorum. What Is the Right Quorum? Quorum can be an absolute number (“five members of the board”) or a percentage (“20 percent of the votes in the condominium”) and is usually established in the governing documents, such as the constitution or bylaws. However, quorum is … Continue reading
Should Annual Meetings Approve Minutes?
Like board meetings, an annual meeting of a nonprofit, condominium association, or homeowner association should keep accurate minutes. After all, adopted minutes are the official record of actions taken at a meeting. Well-written minutes may be the best proof of whether a proposal was adopted or the exact wording of a motion, possibly even years later. (See “A Minute on Meeting Minutes” for tips on best practices.) Who Approves Annual Meeting Minutes? But who should vote to approve annual meeting minutes? It’s not uncommon for such membership meetings to take up the minutes as an early item of business at the following annual meeting. But … Continue reading