House panel moves on homeowner association managers bill

Article Courtesy of The Florida Current

By Gray Rohrer

Published February 8, 2014

 

Two proposed committee bills protecting community association managers took their first steps Wednesday, receiving unanimous support from the House Civil Justice Subcommittee.

The bills would protect community association managers, or CAMs, help from criminal penalties for the unlicensed practice of law and define their duties that can be practiced without fear of unlicensed practice sanctions.

CAMs help homeowners associations and other groups draft some legal documents and are concerned that a pending decision from the Florida Supreme Court could rule some of their duties as the unlicensed practice of law.

The Florida Bar petitioned the court for the decision, which if given would require CAMs to use lawyers to draft amendments to homeowners association bylaws, determine how many votes are needed to establish a quorum or pass a motion, and prepare contracts and construction liens. CAMs contend higher attorney fees for those activities will boost HOA fees on homeowners.

“It saves costs because it clarifies that CAMs can provide those delineated activities,” David Felice, a manager with Tampa-based Terra Managers, told the committee of CJS 14-02.

Steve Metz, lobbyist for The Florida Bar said his organization hasn’t taken a position on a second bill approved by the committee, CJS 14-03, that protects CAMs from criminal penalties associated with the unlicensed practice of law. He warned lawmakers, however, to beware of the “law of unintended consequences.”

“What I don’t think you want is now someone who can go to this statute and ... have someone hide behind that and do bad stuff. I’m sure you wouldn’t want an arbitrator or mediator who is only licensed to do that say, ‘Wow, there’s not a criminal penalty for doing this,” Metz said. “Most of our (unlicensed practice of law) cases are where people who have held themselves out as lawyers and have really done bad things.”


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