As we previously discussed here, the Florida Legislature enacted several changes to the Condominium Act via Senate Bill 630. Additionally, Senate Bill 56 and Senate Bill 1966 proposed changes to laws affecting lien notice and mailing requirements, attorney fee assessments, and board eligibility, which have since become law effective July 1, 2021. These changes are explained in depth below.
Senate Bill 56
Section 718.111(12)(a)-(c) – Official Records
- Associations are required to maintain as part of its official records all affirmative acknowledgements by unit owners regarding their understanding of any changes to the delivery method of assessment invoices and account statements. However, this information is not accessible to unit owner inspection.
Section 718.116(6)(b) – Notice of Intent to Foreclose Claim of Lien
- Upon giving written notice to unit owners of its intent to foreclose a claim of lien, the association must wait forty-five (45) days to foreclose a claim of lien. Previously, associations were required to wait only thirty (30) days.
Section 718.121(4)(a)-(c) – Delivery Method for Assessment Invoices and Account Statements
- If an association issues an invoice for assessments or a unit’s statement of account, same must be delivered to the unit owner by first-class United States mail or to the unit owner’s e-mail address as maintained in the official records.
- Before changing the method of delivery for an invoice for assessments or a unit’s statement of account, the association must deliver a written notice of such change to each unit owner. The written notice must be delivered at least thirty (30) days before the association sends the invoice for assessments or statement of account. Also, the notice must be sent by first-class United States mail to the unit owner at his/her address as reflected in the official records and the unit address.
- A unit owner must affirmatively acknowledge his/her understanding that the association will change its method of delivery of the invoice for assessments or the unit’s statement of account before the association may change its method of delivery. This acknowledgment may be made electronically or in writing.
Section 718.121(5) – Assessment of Attorney Fees to Unit Owners
- An association is prohibited from requiring payment of attorney fees related to a past due assessment without first delivering a written notice of late assessment to the unit owner. The unit owner must be given an opportunity to pay the amount owed without the assessment of attorney fees. The notice must state the amount owed to the association and sent by first-class United States mail to the unit owner at his/her address as reflected in the official records and the unit address.
- A sworn affidavit by a board member, officer, or agent of the association, or a licensed manager, attesting to the mailing requirements will establish a rebuttable presumption that the association complied with the new law.
Section 718.121(6) – Charging Liens
- Associations may not file liens against units until forty-five (45) days after delivering a notice of intent to file a lien by certified mail, return receipt requested, and first-class United States mail to the unit owner at his/her address as reflected in the official records and the unit address.
Senate Bill 1966
Section 718.112(2)(d) and (f) – Board Eligibility
- The new law provides that a person who is delinquent in the payment of any assessment due to the association is ineligible to run as a candidate for the board. Previously, the standard was whether a person was delinquent in the payment of any monetary obligation. Now, a person who is delinquent in the payment of a fine or other fees is still eligible to be a candidate for a board position. For purposes of this section, a person is delinquent if a payment is not made by the due date as required by the declaration of condominium, bylaws, or articles of incorporation. If no due date is specified, the due date is the first day of the assessment period.
However, the amendment to board eligibility as described above is inconsistent with remaining provisions. The Legislature did not amend Section 718.112(2)(n), which states that directors or officers more than 90 days delinquent in the payment of any monetary obligation shall be deemed to have abandoned the office, thereby creating a vacancy. In the instance where a person is delinquent in a fine, runs for a board position, and is ultimately elected, the untouched language of Section 718.112(2)(n) essentially strips the new board member of his/her position immediately upon election.
Section 718.112(f) – Annual Budget
- Associations must now adopt its annual budget at least fourteen (14) days prior to the start of its fiscal year. If the board fails to timely adopt an annual budget, it will be deemed a minor violation and the prior year’s budget will continue in effect until a new budget is adopted.
Read the first installment of “2021 Legislative Changes to Florida’s Condominium Act” here.
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Photo – AP Image/Wilfredo Lee
