It is common practice for developers to collect working fund contributions or initial contributions upon the sale of homes in communities operated by homeowner associations. The amount of working fund contributions or initial contributions can be either a specific dollar amount or an amount equal to 2-3 months of association assessments. In a recent opinion, a Florida appellate court ruled that such contributions may be used by the developer to offset the developer’s deficit funding obligation to the homeowner association.
Citing to the recent London high-rise fire, Florida Governor Rick Scott vetoed House Bill 653 which, among other things, sought to amend the condominium fire sprinkler retrofitting and life safety systems requirements. However, the Governor signed House Bill 1237 and House Bill 6027 into law on June 26, 2016. The legislation signed by the Governor goes
One of the hot development trends in Florida are developers terminating existing residential condominium buildings and repurposing such buildings or land. One reason why developers are attempting to gain control of condominium buildings is because the property’s highest and best use is not for a condominium building but rather a rental building or some
Florida Governor Rick Scott signed House Bill 398 into law on June 14, 2017. House Bill 398 addresses estoppel certificates and expands the scope of the current statutory provision. Specifically, the legislation changes the process and requirements for issuance of estoppel certificates by condominium and homeowners associations as follows: The time
During the legislative session which ended on May 5, 2017, the Florida legislature passed 5 bills that will become law on July 1, 2017, unless vetoed by Florida's Governor Scott: Senate Bill 398, House Bill 653, House Bill 1237; Senate Bill 1520, and HB 6027. Below is a summary of the legislation which will be sent to the Governor. Senate Bill 398:
Click here to view our full Doing Business in Florida blog.