House Bill 174 “Landlord/Tenant-Foreclosure & Evict. Changes” (with the full title of “An Act to Amend and Enhance Certain Notice Requirements and Protections for Tenants of Real Properties in Foreclosure and to Allow for Purchasers of Real Property Under Option Contracts to Pursue Monetary Damages Separately from Summary Ejectment Proceedings and Other Amendments to the Homebuyer Protection Act”) was ratified by the North Carolina General Assembly on July 28, 2015, and signed by Governor McCrory on Thursday, August 6, 2015. HB 174 becomes the third piece of legislation that could impact community associations passed into law this year (see First Community … Continue reading
Law Firm Carolinas Charlotte Office Moves to Larger Location
Big news for the firm! After 6 years in the UNC-Charlotte area, our firm has moved to a larger office closer to uptown—1927 South Tryon Street, Suite 109 (photo at left) in Historic South End. We plan to have an open house next month, so we hope you’ll stop by for a visit! In addition to staff, two attorneys who do a great deal of real estate and community association (HOA and condo) law are resident in the Charlotte office—Elizabeth Holloway and David Wilson. David is also licensed in South Carolina. Other firm attorneys regularly work out of the office, including Keith Black, … Continue reading
Eminent Domain – Condemnation Yes! The government can take your property over your objections
Most people know the government has the power of eminent domain which is the authority to take private property so long as they pay fair compensation. This is also known as Condemnation Taking, Declaration of Taking, Notice of Taking, and possibly Inverse Condemnation. The process usually starts when you are contacted by an agent of the condemning authority to discuss the real estate involved and to negotiate a sales price. These agents will have an appraisal that was conducted for the condemnor. This appraisal will provide the starting point for negotiations. There is almost always room to increase the offer … Continue reading
An Ounce of Prevention: Architectural Review in Your Homeowners Association
Most homeowners associations have some sort of architectural review process. Of these, many spell out how that review is supposed to proceed. Generally, the homeowner submits an application for some sort of change to the property, and the board of directors or an appointed architectural review committee (often abbreviated as the “ARC,” “ACC,” or “ARB”) will determine whether the submitted application will be approved. Many associations require some sort of drawing or rendering of what the change will look like, along with pictures or samples. This helps the ARC to understand how the proposed changes will look when completed. There … Continue reading
BRANDED WITH THE “SCARLET A”: What effect does Adultery have on your Equitable Distribution Claim?
Your spouse has confronted you with evidence that confirms that you have been having an affair. Does this mean that she/he gets everything from the marriage…all your hard earned dollars, your home and other property? Does it mean that you will have to start over from scratch? The simple answer is NO. Adultery, whether you are the adulterer or the wronged spouse, is not a factor set out by law as having any effect or relevance to equitable distribution of the property that you have acquired during the marriage. North Carolina General Statute 50-20 and following establishes what property is … Continue reading
The U.S. Flag Code and Proper Use of the Flag
Most of us learned growing up that during the Pledge of Allegiance we’re supposed to stand at attention facing the American flag with our right hands over our hearts. Persons in official uniform render military salutes. Hats should be removed unless part of a uniform or religious attire. Less known is the fact that these practices are prescribed by federal law. The Flag Code in United States Code Title 4 Chapter 1 details proper behavior towards the American flag. While the Code was originally just a guide for flag etiquette created by the National Flag Conference in 1923, Congress made the … Continue reading
Second Community Association Bill Signed into Law
House Bill 511 “Credit Unions/Statutory changes” (with a full title of “An Act to Make Various Statutory Changes Related to Credit Unions”) was ratified by the North Carolina General Assembly on June 10, 2015, and signed by Governor McCrory on Friday, June 19, 2015. HB 511 becomes the second piece of community association legislation passed into law this year (see First Community Association Bill Signed into Law and NC Community Association Legislative Roundup – May 14, 2015). The bill concerns details in the early stages of a condominium. The NC Condominium Act previously required that funds for the purchase or reservation of a … Continue reading
First NC Community Association Bill Signed into Law
House Bill 513 “Real Property/Technical Corrections” (with a long title of “An Act to Make Technical Corrections and Other Conforming Changes to the General Statutes Concerning Real Property”) was ratified by the North Carolina General Assembly on May 28, 2015, and signed by Governor McCrory earlier today (June 4, 2015). As a result, HB 513 has the distinction of being the first of many pieces of community association legislation to make it into law this year (see NC Community Association Legislative Roundup – May 14, 2015). The bill is a follow-up to last session’s adopted changes to NCGS 47F-3-104 HB 330: … Continue reading
Voting by Proxy at Homeowner Association Meetings
If you cannot attend the annual meeting for a homeowners association but you still want your vote to count, then voting by proxy might be for you! The planned community act allows a member of most homeowner’s associations to appoint a proxy to vote (or take any other action) for that member at a meeting (though this provision of the planned community act does not apply to all homeowners associations). The best way to appoint a proxy is to sign and date a form designating someone else to vote in your place at the meeting. If your proxy appointment form … Continue reading
NC Community Association Legislative Update – May 14, 2015
Thursday, April 30, 2015 was the all-important “crossover deadline” in the North Carolina General Assembly. Without getting too much into the weeds, bills that are “non-budget” must generally have passed one chamber or the other by the crossover deadline to be eligible for consideration during the 2015/2016 session (although House and Senate rules are slightly different when it comes to crossover). CAVEAT: legislation referred to as “dead” doesn’t always mean “completely dead.” As the News & Observer noted several years ago: “[Legislative] rules are made to be circumvented, so there are many ways to keep legislation alive.”) Still, now seems a logical time to look … Continue reading
Pool Rules – A Confusing World
With warmer weather, we’re getting our usual barrage of pool questions. Many deal with appropriate pool rules and pool signs. Without question, pool issues are one of the more confusing areas of our practice in that there are few absolutes. That’s particularly the case when it comes to dealing with Fair Housing Act issues. The Fair Housing Act (“FHA”) was originally adopted in 1968 and prohibits discrimination based on race, color, religion, sex, or national origin. The FHA was amended in 1988 to add protected classes of disability and familial status. The short version as to familial status is this: associations should not treat … Continue reading
So You Have A Judgment…Now What?
Congratulations on successfully winning your case and obtaining a money judgment against the opposing party! But a money judgment alone is just a piece of paper and won’t necessarily result in money in your pocket, so what now? Most likely, the defendant/judgment debtor isn’t going to show up at your house with a check to satisfy the debt. How do you transform that piece of paper into actual money? If you have obtained a judgment in either District or Superior Court, your ability to do anything is often limited for thirty (30) days after the judgment is entered. One step … Continue reading
How Is the Motion to Lay on the Table Misused?
For today’s blog on one of the most misused parliamentary motions (“to Table”), here’s a Q&A from Notes and Comments on Robert’s Rules of Order, Fifth Edition: HOW IS THE MOTION TO LAY ON THE TABLE MISUSED? Because the motion to Lay on the Table is not debatable, requires only a majority vote, and has high precedence, members can be tempted to use it to kill the main motion. This is an improper use of the motion to Lay on the Table. “In ordinary assemblies, the motion to Lay on the Table is not in order if the evident intent … Continue reading
Charlotte Condo and HOA “Ask an Expert Night” – May 13
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 the HOA Experts: Q&A on Legal Issues Affecting Community Associations” on Wednesday, May 13, 2015, from 5:30-7:00 pm (sign-in begins at 5 pm) at the Employer’s Association, 3020 W. Arrowood Road, Charlotte. I’ll be participating along with my friend and community association attorney Mike Hunter with Horack Talley. (FYI, Mike and I were suitemates at UNC-Chapel Hill many years ago, but questions for this event will be limited to community association issues!) Topics could include: But it really depends on what … Continue reading
North Carolina Community Association Legislative Roundup – April 14, 2015
As noted in my last legislative blog post, today (April 14) at 5 pm was the deadline for filing legislative proposals for this session other than appropriations or finance bills. Since most all bills that could impact North Carolina homeowner or condominium associations have now been filed, let’s take a look at them. Proposed NC Community Association Bills (listed in order of most recent filings first): ** This blog has been updated to include HB 931 filed on April 16 ** (1) House Bill 931: Const. Amendment/HOA Forecl. & Debt Setoff was filed on April 16, 2015, by Rep. Rodney Moore (D-Mecklenburg), Kelly M. Alexander, Jr. (D-Mecklenburg), … Continue reading
Non-Judicial Foreclosure in North Carolina: The Limited Scope of the Hearing Before the Clerk of Court in Condominium or Homeowner Association Foreclosures
Contrary to popular belief, most property owners fulfill their financial obligations to their association. As a result, the number of actual association foreclosures is very, very small. Of that percentage, almost nobody wakes up in the morning and decides to stop paying a mortgage or condominium or homeowner association dues. The facts of life, however, intervene. Taking care of loved ones who are sick, loss of a job, or other life-changing experiences happen more than one would expect. When a person is dealing with these difficulties and trying to make mortgage payments and pay homeowners association dues, it is an … Continue reading
North Carolina Community Association Legislative Roundup – April 8, 2015
Ah. Flowers are blooming. Birds are chirping. Community association legislative proposals are being filed. It must be spring! Both the North Carolina House and Senate are back in full swing with the two-year 2015-2017 legislative session. While there are numerous bill deadlines, here are some of the important ones. All Senate bills had to be filed by Thursday, March 26. House deadlines are a bit more complicated. House bills recommended by study commissions had a filing deadline of Wednesday, February 25. House public bills and resolutions that were not appropriations or finance have a filing deadline of Tuesday, April 14. House public bills that are appropriations or finance have a … Continue reading
Corporate Veil or Corporate Fail?
By creating a corporate entity (whether it is an S-Corporation, C-Corporation or a limited liability company), many smart business owners seek to create an additional layer of protection between their personal assets or that of their family and the potential liability that can arise when operating a business. Unfortunately, what many do not realize is that simply creating the entity isn’t necessarily enough to achieve or maintain that protection. After the Articles of Incorporation or Articles of Organization, depending upon whether you decided to create a corporation or a limited liability company, have been filed and accepted by the North … Continue reading
Community Association Managers, Lawyers, and Tooth Whitening?
So, what do state boards that regulate community association managers and dentists have in common? According to a decision from the U.S. Supreme Court last week, possibly more than you’d think. Interestingly, the case of North Carolina State Board of Dental Examiners v. Federal Trade Commission has received little attention beyond lots of chatter by licensing boards, regulatory lawyers, and state legislators. Dawn Bauman, CAI’s Senior Vice President of Governmental Affairs, posted about the case to community association lawyers last week and there was not a single reply. This isn’t a case to be ignored, as it will likely impact many states … Continue reading
Does the Chair Vote in the Event of a Tie?
In board and membership meetings you’ll sometimes hear the phrase that the chair gets to vote “in case of a tie vote.” But is that accurate? In short, no. The chair only being permitted to vote in the event of a tie is not the general rule, would be unfair, and is not language found in any of the major parliamentary authorities, including Robert’s Rules of Order Newly Revised (12th Edition). While a few state statutes and some bylaws have such language, that’s mostly due to a misunderstanding of common parliamentary practices. So, what’s the general rule in Robert’s and other parliamentary manuals? Chair Voting … Continue reading