 |
||||||||
|
|
||||||||
|
||||||||
|
When insurance lapses on a unitBy RICHARD WHITE © St. Petersburg Times, published March 31, 2001 Question: Our documents provide for the association to obtain homeowner's insurance on a unit if the property owner fails to do so. One of our owners has "disappeared" for several months and has let his insurance and dues lapse. We have placed a lien on the property to recover our dues and attorney's fees. Several insurance agents have told us they cannot write either fire or homeowner's insurance for us without the owner's approval. What are our alternatives? Answer: It is not typical for documents to provide for the association to buy insurance on individual units. If there is a mortgage on the property, typically the lender continues to pay the insurance, even through foreclosure, to protect the asset. If there is no mortgage and no foreclosure, the association should immediately start lien and foreclosure action. The faster you foreclose, the faster the association can take title and then obtain insurance. Don't try to solve this problem without the guidance of your association attorney. Meeting noticeQuestion: Is it sufficient to post the time and place of a regular board meeting on the bulletin board 48 hours in advance? Answer: Both condominium and homeowner association acts require that the notice be posted 48 hours in advance. I recommend that the board establish a location where all official correspondence and notices will be posted, such as a glass-enclosed, locking bulletin board. If there is no common building or area, select an outside location -- near the entrance or the mailboxes -- where you can place the board. If you can find no central area to place a notice board, you must send the notice seven days in advance. Spending, moving fundsQuestion: As the treasurer, I thought I had the right to move association funds to accounts that paid higher rates of interest. Our operating account holds funds exceeding the amount needed to cover our current bills. I directed our bank to move the excess funds to a CD. I was criticized for this action. Don't I have the duty to transfer funds from a non-interest-bearing account to one that pays interest? Answer: Any time you spend or transfer funds from the association's accounts, you need to notify the members. It's their money. The best way to do this is to give a report at the next meeting and make a motion to transfer the funds. When the action on this motion is reported in the minutes, that will serve to notify members. As a safeguard, have all funds require two signatures to transfer or to write a check. * * * Write to Richard White, c/o Community Living, St. Petersburg Times, P.O. Box 1121, St. Petersburg, FL 33731. Sorry, he can't take phone calls or provide personal replies by mail, but you can e-mail him at CAMquestions@bigfoot.com. Please include your name and city. Questions should concern association operations; legal opinions cannot be offered. For specific legal advice, contact an association attorney. To discuss provisions of the state condo/co-op acts, call the state Bureau of Condominiums office in Tallahassee at (800) 226-9101 or (850) 488-0725 or call the Tampa bureau at (800) 226-6028, (800) 226-4472, or (813) 744-6149. Or write to the Bureau of Condominiums, Education Section, Suite 200, 4524 Oak Fair Blvd., Tampa, FL 33610. Please note that this office provides no information about homeowners' associations. The state has no bureau or department covering those associations. You can access the Bureau of Condominiums Web site at http://www.state.fl.us/dbpr/html/lsc/co_page.html.
 © 2006 • All Rights Reserved • St. Petersburg Times
490 First Avenue South • St. Petersburg, FL 33701 • 727-893-8111 
|
Home&Garden page |
