HB 1195: Condominium/Cooperative/Homeowners' Associations

GENERAL BILL by Judiciary Committee; Economic Affairs Committee; Civil Justice Subcommittee; Moraitis; Grant

Condominium/Cooperative/Homeowners' Associations; Revises & provides various provisions relating to specified condominium, cooperative, & homeowners' associations, including records, elections, fees, powers, duties, officers, meetings, notices, governance, foreclosure, liens, & bulk assignees & bulk buyers.

EFFECTIVE DATE: July 1, 2011

   

Bill History

Date

Chamber

Action

03/03/2011 House • Filed
03/08/2011 House • Introduced -HJ 105
03/14/2011 House • Referred to Civil Justice Subcommittee; Insurance and Banking Subcommittee; Judiciary Committee -HJ 220
03/25/2011 House • PCS on Committee agenda-- Civil Justice Subcommittee, 03/29/11, 12:00 pm, 404 HOB
03/29/2011 House • CS by Civil Justice Subcommittee; YEAS 13 NAYS 0 -HJ 415
04/05/2011 House • Pending review of CS under Rule 7.19(c)
• CS by Civil Justice Subcommittee read 1st time -HJ 412
04/06/2011 House • Original reference(s) removed: Insurance and Banking Subcommittee
• CS referred to Economic Affairs Committee; Judiciary Committee -HJ 450
• Now in Economic Affairs Committee -HJ 450
04/08/2011 House • On Committee agenda-- Economic Affairs Committee, 04/12/11, 1:00 pm, Reed Hall
04/12/2011 House • CS/CS by Economic Affairs Committee; YEAS 16 NAYS 0 -HJ 619
04/13/2011 House • Pending review of CS under Rule 7.19(c)
• CS/CS by Economic Affairs Committee read 1st time -HJ 617
04/14/2011 House • Now in Judiciary Committee -HJ 641
04/19/2011 House • On Committee agenda-- Judiciary Committee, 04/21/11, 11:00 am, 404 HOB
04/21/2011 House • CS/CS/CS by- Judiciary Committee; YEAS 18 NAYS 0 -HJ 776
04/25/2011 House • Pending review of CS -under Rule 7.19(c)
• CS/CS/CS by Judiciary Committee read 1st time -HJ 773
04/26/2011 House • Placed on Calendar -HJ 836
04/27/2011 House • Placed on Special Order Calendar, 04/29/11
04/29/2011 House • Read 2nd time -HJ 921
• Amendment(s) adopted (541223) -HJ 922
• Read 3rd time -HJ 922
• CS passed as amended; YEAS 113 NAYS 1 -HJ 922
04/29/2011 Senate • In Messages
05/03/2011 Senate • Received -SJ 782
• Referred to Regulated Industries; Community Affairs; Judiciary; Budget -SJ 782
• Withdrawn from Regulated Industries; Community Affairs; Judiciary; Budget -SJ 756
• Placed on Calendar, on 2nd reading
• Substituted for CS/CS/CS/SB 530 -SJ 756
• Read 2nd time -SJ 756
• Read 3rd time -SJ 757
• CS passed; YEAS 38 NAYS 0 -SJ 757
05/03/2011 House • Ordered enrolled -HJ 1103

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CS/CS/CS/HB 1195

 
1 A bill to be entitled
2 An act relating to condominium, cooperative, and
3 homeowners' associations; amending s. 633.0215, F.S.;
4 exempting certain residential buildings from a requirement
5 to install a manual fire alarm system; providing intent;
6 amending s. 718.111, F.S.; revising provisions relating to
7 the official records of condominium associations;
8 providing for disclosure of certain employment agreements
9 with and compensation paid to association employees;
10 amending s. 718.112, F.S.; revising provisions relating to
11 bylaws; providing that board of administration meetings
12 discussing personnel matters are not open to unit owners;
13 revising requirements for electing the board of directors;
14 providing a definition; providing for continued office and
15 for filling vacancies under certain circumstances;
16 specifying unit owner eligibility for board membership;
17 requiring that certain educational curriculum be completed
18 within a specified time before or after the election or
19 appointment of a board director; providing application;
20 amending s. 718.113, F.S.; authorizing the board of a
21 condominium association to install impact glass or other
22 code-compliant windows under certain circumstances;
23 amending s. 718.114, F.S.; requiring the vote or written
24 consent of a majority of the total voting interests before
25 a condominium association may enter into certain
26 agreements to acquire leaseholds, memberships, or other
27 possessory or use interests; amending s. 718.116, F.S.;
28 revising liability of an association, or its successor or
29 assignee, that acquires title to a unit through the
30 foreclosure of its lien for assessments; revising
31 provisions relating to condominium assessments; providing
32 association notice requirements regarding tenants
33 delinquent in paying any monetary obligation due to the
34 association; conforming a cross-reference; amending s.
35 718.117, F.S.; providing procedures and requirements for
36 termination of a condominium property that has been
37 totally destroyed or demolished; providing procedures and
38 requirements for partial termination of a condominium
39 property; requiring that a lien against a condominium unit
40 being terminated be transferred to the proceeds of sale
41 for certain portions of that property; amending s.
42 718.303, F.S.; revising provisions relating to imposing
43 remedies against a delinquent unit owner or a unit owner's
44 tenant, guest, or invitee; providing for the suspension of
45 certain rights of use; revising provisions relating to the
46 suspension of a member's voting rights; requiring that the
47 suspension of certain rights of use and voting rights be
48 approved at a noticed board meeting; amending s. 718.703,
49 F.S.; redefining the term "bulk assignee" and revising the
50 definition of the term "bulk buyer" for purposes of the
51 Distressed Condominium Relief Act; amending s. 718.704,
52 F.S.; revising provisions relating to the assignment and
53 assumption of developer rights by a bulk assignee;
54 amending s. 718.705, F.S.; revising provisions relating to
55 the transfer of control of a condominium board of
56 administration to unit owners; amending s. 718.706, F.S.;
57 revising provisions relating to the offering of units by a
58 bulk assignee or bulk buyer; amending s. 718.707, F.S.;
59 revising the time limitation for classification as a bulk
60 assignee or bulk buyer; amending s. 719.108, F.S.;
61 providing association notice requirements regarding
62 tenants delinquent in paying any monetary obligation due
63 to the association;  amending s. 719.303, F.S.; revising
64 provisions relating to imposing remedies against a
65 delinquent unit owner or a unit owner's tenant, guest, or
66 invitee; providing for the suspension of certain rights of
67 use and voting rights; requiring that the suspension of
68 certain rights of use and voting rights be approved at a
69 noticed board meeting; amending s. 720.301, F.S.; revising
70 the definition of the term "declaration of covenants";
71 amending s. 720.303, F.S.; revising provisions relating to
72 the rights of a member of a homeowners' association to
73 speak at meetings of the board; revising provisions
74 relating to records that are not accessible to members of
75 a homeowners' association; providing for disclosure of
76 employment agreements with and compensation paid to
77 association employees; amending s. 720.305, F.S.; revising
78 provisions relating to imposing remedies against a
79 delinquent member of a homeowners' association or any
80 member's tenant, guest, or invitee; providing for the
81 suspension of certain rights of use; revising provisions
82 relating to the suspension of a member's voting rights;
83 requiring that the suspension of certain rights of use and
84 voting rights be approved at a noticed board meeting;
85 amending s. 720.306, F.S.; specifying additional
86 requirements for candidates to be a member of the board of
87 a homeowners' association; amending s. 720.3085, F.S.;  
88 revising liability of an association, or its successor or
89 assignee, that acquires title to a unit through the
90 foreclosure of its lien for assessments; providing
91 association notice requirements regarding tenants
92 delinquent in paying any monetary obligation due to the
93 association; amending s. 720.309, F.S.; providing for the
94 allocation of communications services by a homeowners'
95 association; providing for the cancellation of
96 communication contracts; providing that hearing-impaired
97 or legally blind parcel owners and parcel owners receiving
98 certain supplemental security income or food assistance
99 may discontinue the service without incurring certain
100 costs; providing that parcel residents may not be denied
101 access to available franchised, licensed, or certificated
102 cable or video service providers under certain
103 circumstances; providing an effective date.
104
105 Be It Enacted by the Legislature of the State of Florida:
106
107      Section 1.  Subsection (14) of section 633.0215, Florida
108 Statutes, is amended to read:
109      633.0215  Florida Fire Prevention Code.-
110      (14)  A condominium, cooperative, or multifamily
111 residential building that is less than four one or two stories
112 in height and has an exterior corridor providing a means of
113 egress is exempt from installing a manual fire alarm system as
114 required in s. 9.6 of the most recent edition of the Life Safety
115 Code adopted in the Florida Fire Prevention Code. This is
116 intended to clarify existing law.
117      Section 2.  Paragraphs (a) and (c) of subsection (12) of
118 section 718.111, Florida Statutes, are amended to read:
119      718.111  The association.-
120      (12)  OFFICIAL RECORDS.-
121      (a)  From the inception of the association, the association
122 shall maintain each of the following items, if applicable, which
123 constitutes shall constitute the official records of the
124 association:
125      1.  A copy of the plans, permits, warranties, and other
126 items provided by the developer pursuant to s. 718.301(4).
127      2.  A photocopy of the recorded declaration of condominium
128 of each condominium operated by the association and of each
129 amendment to each declaration.
130      3.  A photocopy of the recorded bylaws of the association
131 and of each amendment to the bylaws.
132      4.  A certified copy of the articles of incorporation of
133 the association, or other documents creating the association,
134 and of each amendment thereto.
135      5.  A copy of the current rules of the association.
136      6.  A book or books that which contain the minutes of all
137 meetings of the association, of the board of administration, and
138 the of unit owners, which minutes must be retained for at least
139 7 years.
140      7.  A current roster of all unit owners and their mailing
141 addresses, unit identifications, voting certifications, and, if
142 known, telephone numbers. The association shall also maintain
143 the electronic mailing addresses and facsimile the numbers
144 designated by unit owners for receiving notice sent by
145 electronic transmission of those unit owners consenting to
146 receive notice by electronic transmission. The electronic
147 mailing addresses and facsimile telephone numbers are not
148 accessible to unit owners must be removed from association
149 records if consent to receive notice by electronic transmission
150 is not provided in accordance with subparagraph (c)5 revoked.
151 However, the association is not liable for an inadvertent
152 erroneous disclosure of the electronic mail address or facsimile
153 the number for receiving electronic transmission of notices.
154      8.  All current insurance policies of the association and
155 condominiums operated by the association.
156      9.  A current copy of any management agreement, lease, or
157 other contract to which the association is a party or under
158 which the association or the unit owners have an obligation or
159 responsibility.
160      10.  Bills of sale or transfer for all property owned by
161 the association.
162      11.  Accounting records for the association and separate
163 accounting records for each condominium that which the
164 association operates. All accounting records must shall be
165 maintained for at least 7 years. Any person who knowingly or
166 intentionally defaces or destroys such accounting records
167 required to be created and maintained by this chapter during the
168 period for which such records are required to be maintained, or
169 who knowingly or intentionally fails to create or maintain such
170 records, with the intent of causing harm to the association or
171 one or more of its members, is personally subject to a civil
172 penalty pursuant to s. 718.501(1)(d). The accounting records
173 must include, but are not limited to:
174      a.  Accurate, itemized, and detailed records of all
175 receipts and expenditures.
176      b.  A current account and a monthly, bimonthly, or
177 quarterly statement of the account for each unit designating the
178 name of the unit owner, the due date and amount of each
179 assessment, the amount paid on upon the account, and the balance
180 due.
181      c.  All audits, reviews, accounting statements, and
182 financial reports of the association or condominium.
183      d.  All contracts for work to be performed. Bids for work
184 to be performed are also considered official records and must be
185 maintained by the association.
186      12.  Ballots, sign-in sheets, voting proxies, and all other
187 papers relating to voting by unit owners, which must be
188 maintained for 1 year from the date of the election, vote, or
189 meeting to which the document relates, notwithstanding paragraph
190 (b).
191      13.  All rental records if the association is acting as
192 agent for the rental of condominium units.
193      14.  A copy of the current question and answer sheet as
194 described in s. 718.504.
195      15.  All other records of the association not specifically
196 included in the foregoing which are related to the operation of
197 the association.
198      16.  A copy of the inspection report as described provided
199 in s. 718.301(4)(p).
200      (c)  The official records of the association are open to
201 inspection by any association member or the authorized
202 representative of such member at all reasonable times. The right
203 to inspect the records includes the right to make or obtain
204 copies, at the reasonable expense, if any, of the member. The
205 association may adopt reasonable rules regarding the frequency,
206 time, location, notice, and manner of record inspections and
207 copying. The failure of an association to provide the records
208 within 10 working days after receipt of a written request
209 creates a rebuttable presumption that the association willfully
210 failed to comply with this paragraph. A unit owner who is denied
211 access to official records is entitled to the actual damages or
212 minimum damages for the association's willful failure to comply.
213 Minimum damages are shall be $50 per calendar day for up to 10
214 days, beginning the calculation to begin on the 11th working day
215 after receipt of the written request. The failure to permit
216 inspection of the association records as provided herein
217 entitles any person prevailing in an enforcement action to
218 recover reasonable attorney's fees from the person in control of
219 the records who, directly or indirectly, knowingly denied access
220 to the records. Any person who knowingly or intentionally
221 defaces or destroys accounting records that are required by this
222 chapter to be maintained during the period for which such
223 records are required to be maintained, or who knowingly or
224 intentionally fails to create or maintain accounting records
225 that are required to be created or maintained, with the intent
226 of causing harm to the association or one or more of its
227 members, is personally subject to a civil penalty pursuant to s.
228 718.501(1)(d). The association shall maintain an adequate number
229 of copies of the declaration, articles of incorporation, bylaws,
230 and rules, and all amendments to each of the foregoing, as well
231 as the question and answer sheet as described provided for in s.
232 718.504 and year-end financial information required under in
233 this section, on the condominium property to ensure their
234 availability to unit owners and prospective purchasers, and may
235 charge its actual costs for preparing and furnishing these
236 documents to those requesting the documents. Notwithstanding the
237 provisions of this paragraph, the following records are not
238 accessible to unit owners:
239      1.  Any record protected by the lawyer-client privilege as
240 described in s. 90.502; and any record protected by the work-
241 product privilege, including a any record prepared by an
242 association attorney or prepared at the attorney's express
243 direction,; which reflects a mental impression, conclusion,
244 litigation strategy, or legal theory of the attorney or the
245 association, and which was prepared exclusively for civil or
246 criminal litigation or for adversarial administrative
247 proceedings, or which was prepared in anticipation of such
248 imminent civil or criminal litigation or imminent adversarial
249 administrative proceedings until the conclusion of the
250 litigation or adversarial administrative proceedings.
251      2.  Information obtained by an association in connection
252 with the approval of the lease, sale, or other transfer of a
253 unit.
254      3.  Personnel records of association or management company
255 employees, including, but not limited to, disciplinary, payroll,
256 health, and insurance records. For purposes of this
257 subparagraph, the term "personnel records" does not include
258 written employment agreements with an association employee or
259 management company, or budgetary or financial records that
260 indicate the compensation paid to an association employee.
261      4.  Medical records of unit owners.
262      5.  Social security numbers, driver's license numbers,
263 credit card numbers, e-mail addresses, telephone numbers,
264 facsimile numbers, emergency contact information, any addresses
265 of a unit owner other than as provided to fulfill the
266 association's notice requirements, and other personal
267 identifying information of any person, excluding the person's
268 name, unit designation, mailing address, and property address,
269 and any address, e-mail address, or facsimile number provided to
270 the association to fulfill the association's notice
271 requirements. However, an owner may consent in writing to the
272 disclosure of protected information described in this
273 subparagraph. The association is not liable for the inadvertent
274 disclosure of information that is protected under this
275 subparagraph if the information is included in an official
276 record of the association and is voluntarily provided by an
277 owner and not requested by the association.
278      6.  Any Electronic security measures measure that are is
279 used by the association to safeguard data, including passwords.
280      7.  The software and operating system used by the
281 association which allow the allows manipulation of data, even if
282 the owner owns a copy of the same software used by the
283 association. The data is part of the official records of the
284 association.
285      Section 3.  Paragraphs (b), (c), and (d) of subsection (2)
286 of section 718.112, Florida Statutes, are amended to read:
287      718.112  Bylaws.-
288      (2)  REQUIRED PROVISIONS.-The bylaws shall provide for the
289 following and, if they do not do so, shall be deemed to include
290 the following:
291      (b)  Quorum; voting requirements; proxies.-
292      1.  Unless a lower number is provided in the bylaws, the
293 percentage of voting interests required to constitute a quorum
294 at a meeting of the members is shall be a majority of the voting
295 interests. Unless otherwise provided in this chapter or in the
296 declaration, articles of incorporation, or bylaws, and except as
297 provided in subparagraph (d)4. (d)3., decisions shall be made by
298 owners of a majority of the voting interests represented at a
299 meeting at which a quorum is present.
300      2.  Except as specifically otherwise provided herein, after
301 January 1, 1992, unit owners may not vote by general proxy, but
302 may vote by limited proxies substantially conforming to a
303 limited proxy form adopted by the division. A No voting interest
304 or consent right allocated to a unit owned by the association
305 may not shall be exercised or considered for any purpose,
306 whether for a quorum, an election, or otherwise. Limited proxies
307 and general proxies may be used to establish a quorum. Limited
308 proxies shall be used for votes taken to waive or reduce
309 reserves in accordance with subparagraph (f)2.; for votes taken
310 to waive the financial reporting requirements of s. 718.111(13);
311 for votes taken to amend the declaration pursuant to s. 718.110;
312 for votes taken to amend the articles of incorporation or bylaws
313 pursuant to this section; and for any other matter for which
314 this chapter requires or permits a vote of the unit owners.
315 Except as provided in paragraph (d), a after January 1, 1992, no
316 proxy, limited or general, may not shall be used in the election
317 of board members. General proxies may be used for other matters
318 for which limited proxies are not required, and may also be used
319 in voting for nonsubstantive changes to items for which a
320 limited proxy is required and given. Notwithstanding the
321 provisions of this subparagraph, unit owners may vote in person
322 at unit owner meetings. This subparagraph does not Nothing
323 contained herein shall limit the use of general proxies or
324 require the use of limited proxies for any agenda item or
325 election at any meeting of a timeshare condominium association.
326      3.  Any proxy given is shall be effective only for the
327 specific meeting for which originally given and any lawfully
328 adjourned meetings thereof. A In no event shall any proxy is not
329 be valid for a period longer than 90 days after the date of the
330 first meeting for which it was given. Every proxy is revocable
331 at any time at the pleasure of the unit owner executing it.
332      4.  A member of the board of administration or a committee
333 may submit in writing his or her agreement or disagreement with
334 any action taken at a meeting that the member did not attend.
335 This agreement or disagreement may not be used as a vote for or
336 against the action taken or to create and may not be used for
337 the purposes of creating a quorum.
338      5.  If When any of the board or committee members meet by
339 telephone conference, those board or committee members attending
340 by telephone conference may be counted toward obtaining a quorum
341 and may vote by telephone. A telephone speaker must be used so
342 that the conversation of those board or committee members
343 attending by telephone may be heard by the board or committee
344 members attending in person as well as by any unit owners
345 present at a meeting.
346      (c)  Board of administration meetings.-Meetings of the
347 board of administration at which a quorum of the members is
348 present are shall be open to all unit owners. A Any unit owner
349 may tape record or videotape the meetings of the board of
350 administration. The right to attend such meetings includes the
351 right to speak at such meetings with reference to all designated
352 agenda items. The division shall adopt reasonable rules
353 governing the tape recording and videotaping of the meeting. The
354 association may adopt written reasonable rules governing the
355 frequency, duration, and manner of unit owner statements.
356      1.  Adequate notice of all board meetings, which must
357 notice shall specifically identify all incorporate an
358 identification of agenda items, must shall be posted
359 conspicuously on the condominium property at least 48 continuous
360 hours before preceding the meeting except in an emergency. If 20
361 percent of the voting interests petition the board to address an
362 item of business, the board shall at its next regular board
363 meeting or at a special meeting of the board, but not later than
364 60 days after the receipt of the petition, shall place the item
365 on the agenda. Any item not included on the notice may be taken
366 up on an emergency basis by at least a majority plus one of the
367 board members of the board. Such emergency action must shall be
368 noticed and ratified at the next regular board meeting of the
369 board. However, written notice of any meeting at which
370 nonemergency special assessments, or at which amendment to rules
371 regarding unit use, will be considered must shall be mailed,
372 delivered, or electronically transmitted to the unit owners and
373 posted conspicuously on the condominium property at least not
374 less than 14 days before prior to the meeting. Evidence of
375 compliance with this 14-day notice requirement must shall be
376 made by an affidavit executed by the person providing the notice
377 and filed with among the official records of the association.
378 Upon notice to the unit owners, the board shall, by duly adopted
379 rule, designate a specific location on the condominium property
380 or association property where upon which all notices of board
381 meetings are to shall be posted. If there is no condominium
382 property or association property where upon which notices can be
383 posted, notices of board meetings shall be mailed, delivered, or
384 electronically transmitted at least 14 days before the meeting
385 to the owner of each unit. In lieu of or in addition to the
386 physical posting of the notice of any meeting of the board of
387 administration on the condominium property, the association may,
388 by reasonable rule, adopt a procedure for conspicuously posting
389 and repeatedly broadcasting the notice and the agenda on a
390 closed-circuit cable television system serving the condominium
391 association. However, if broadcast notice is used in lieu of a
392 notice posted physically posted on the condominium property, the
393 notice and agenda must be broadcast at least four times every
394 broadcast hour of each day that a posted notice is otherwise
395 required under this section. If When broadcast notice is
396 provided, the notice and agenda must be broadcast in a manner
397 and for a sufficient continuous length of time so as to allow an
398 average reader to observe the notice and read and comprehend the
399 entire content of the notice and the agenda. Notice of any
400 meeting in which regular or special assessments against unit
401 owners are to be considered for any reason must shall
402 specifically state that assessments will be considered and
403 provide the nature, estimated cost, and description of the
404 purposes for such assessments.
405      2.  Meetings of a committee to take final action on behalf
406 of the board or make recommendations to the board regarding the
407 association budget are subject to the provisions of this
408 paragraph. Meetings of a committee that does not take final
409 action on behalf of the board or make recommendations to the
410 board regarding the association budget are subject to the
411 provisions of this section, unless those meetings are exempted
412 from this section by the bylaws of the association.
413      3.  Notwithstanding any other law, the requirement that
414 board meetings and committee meetings be open to the unit owners
415 does not apply is inapplicable to:
416      a.  Meetings between the board or a committee and the
417 association's attorney, with respect to proposed or pending
418 litigation, if when the meeting is held for the purpose of
419 seeking or rendering legal advice; or
420      b.  Board meetings held for the purpose of discussing
421 personnel matters.
422      (d)  Unit owner meetings.-
423      1.  An annual meeting of the unit owners shall be held at
424 the location provided in the association bylaws and, if the
425 bylaws are silent as to the location, the meeting shall be held
426 within 45 miles of the condominium property. However, such
427 distance requirement does not apply to an association governing
428 a timeshare condominium.
429      2.  Unless the bylaws provide otherwise, a vacancy on the
430 board caused by the expiration of a director's term shall be
431 filled by electing a new board member, and the election must be
432 by secret ballot. An election is not required However, if the
433 number of vacancies equals or exceeds the number of candidates,
434 an election is not required. For purposes of this paragraph, the
435 term "candidate" means an eligible person who has timely
436 submitted the written notice, as described in sub-subparagraph
437 4.a., of his or her intention to become a candidate. Except in a
438 timeshare condominium, or if the staggered term of a board
439 member does not expire until a later annual meeting, or if all
440 members terms would otherwise expire but there are no
441 candidates, the terms of all board members of the board expire
442 at the annual meeting, and such board members may stand for
443 reelection unless prohibited otherwise permitted by the bylaws.
444 If the bylaws permit staggered terms of no more than 2 years and
445 upon approval of a majority of the total voting interests, the
446 association board members may serve 2-year staggered terms. If
447 the number of board members whose terms expire at the annual
448 meeting equals or have expired exceeds the number of candidates,
449 the candidates become members of the board effective upon the
450 adjournment of the annual meeting. Unless the bylaws provide
451 otherwise, any remaining vacancies shall be filled by the
452 affirmative vote of the majority of the directors making up the
453 newly constituted board even if the directors constitute less
454 than a quorum or there is only one director eligible members
455 showing interest in or demonstrating an intention to run for the
456 vacant positions, each board member whose term has expired is
457 eligible for reappointment to the board of administration and
458 need not stand for reelection. In a condominium association of
459 more than 10 units or in a condominium association that does not
460 include timeshare units or timeshare interests, coowners of a
461 unit may not serve as members of the board of directors at the
462 same time unless they own more than one unit or unless there are
463 not enough eligible candidates to fill the vacancies on the
464 board at the time of the vacancy. Any unit owner desiring to be
465 a candidate for board membership must comply with sub-
466 subparagraph 4.a. and must be eligible to serve on the board of
467 directors at the time of the deadline for submitting a notice of
468 intent to run in order to have his or her name listed as a
469 proper candidate on the ballot or to serve on the board 3.a. A
470 person who has been suspended or removed by the division under
471 this chapter, or who is delinquent in the payment of any fee,
472 fine, or special or regular assessment as provided in paragraph
473 (n), is not eligible for board membership. A person who has been
474 convicted of any felony in this state or in a United States
475 District or Territorial Court, or who has been convicted of any
476 offense in another jurisdiction which that would be considered a
477 felony if committed in this state, is not eligible for board
478 membership unless such felon's civil rights have been restored
479 for at least 5 years as of the date on which such person seeks
480 election to the board. The validity of an action by the board is
481 not affected if it is later determined that a board member of
482 the board is ineligible for board membership due to having been
483 convicted of a felony.
484      3.2.  The bylaws must provide the method of calling
485 meetings of unit owners, including annual meetings. Written
486 notice, which must include an agenda, must shall be mailed, hand
487 delivered, or electronically transmitted to each unit owner at
488 least 14 days before the annual meeting, and must be posted in a
489 conspicuous place on the condominium property at least 14
490 continuous days before preceding the annual meeting. Upon notice
491 to the unit owners, the board shall, by duly adopted rule,
492 designate a specific location on the condominium property or
493 association property where upon which all notices of unit owner
494 meetings shall be posted. This requirement does not apply
495 However, if there is no condominium property or association
496 property for posting upon which notices can be posted, this
497 requirement does not apply. In lieu of, or in addition to, the
498 physical posting of meeting notices, the association may, by
499 reasonable rule, adopt a procedure for conspicuously posting and
500 repeatedly broadcasting the notice and the agenda on a closed-
501 circuit cable television system serving the condominium
502 association. However, if broadcast notice is used in lieu of a
503 notice posted physically on the condominium property, the notice
504 and agenda must be broadcast at least four times every broadcast
505 hour of each day that a posted notice is otherwise required
506 under this section. If broadcast notice is provided, the notice
507 and agenda must be broadcast in a manner and for a sufficient
508 continuous length of time so as to allow an average reader to
509 observe the notice and read and comprehend the entire content of
510 the notice and the agenda. Unless a unit owner waives in writing
511 the right to receive notice of the annual meeting, such notice
512 must be hand delivered, mailed, or electronically transmitted to
513 each unit owner. Notice for meetings and notice for all other
514 purposes must be mailed to each unit owner at the address last
515 furnished to the association by the unit owner, or hand
516 delivered to each unit owner. However, if a unit is owned by
517 more than one person, the association must shall provide notice,
518 for meetings and all other purposes, to the that one address
519 that which the developer initially identifies for that purpose
520 and thereafter as one or more of the owners of the unit shall
521 advise the association in writing, or if no address is given or
522 the owners of the unit do not agree, to the address provided on
523 the deed of record. An officer of the association, or the
524 manager or other person providing notice of the association
525 meeting, must shall provide an affidavit or United States Postal
526 Service certificate of mailing, to be included in the official
527 records of the association affirming that the notice was mailed
528 or hand delivered, in accordance with this provision.
529      4.3.  The members of the board shall be elected by written
530 ballot or voting machine. Proxies may not be used in electing
531 the board in general elections or elections to fill vacancies
532 caused by recall, resignation, or otherwise, unless otherwise
533 provided in this chapter.
534      a.  At least 60 days before a scheduled election, the
535 association shall mail, deliver, or electronically transmit,
536 whether by separate association mailing or included in another
537 association mailing, delivery, or transmission, including
538 regularly published newsletters, to each unit owner entitled to
539 a vote, a first notice of the date of the election. Any unit
540 owner or other eligible person desiring to be a candidate for
541 the board must give written notice of his or her intent to be a
542 candidate to the association at least 40 days before a scheduled
543 election. Together with the written notice and agenda as set
544 forth in subparagraph 3. 2., the association shall mail,
545 deliver, or electronically transmit a second notice of the
546 election to all unit owners entitled to vote, together with a
547 ballot that lists all candidates. Upon request of a candidate,
548 an information sheet, no larger than 8 1/2 inches by 11 inches,
549 which must be furnished by the candidate at least 35 days before
550 the election, must be included with the mailing, delivery, or
551 transmission of the ballot, with the costs of mailing, delivery,
552 or electronic transmission and copying to be borne by the
553 association. The association is not liable for the contents of
554 the information sheets prepared by the candidates. In order to
555 reduce costs, the association may print or duplicate the
556 information sheets on both sides of the paper. The division
557 shall by rule establish voting procedures consistent with this
558 sub-subparagraph, including rules establishing procedures for
559 giving notice by electronic transmission and rules providing for
560 the secrecy of ballots. Elections shall be decided by a
561 plurality of those ballots cast. There is no quorum requirement;
562 however, at least 20 percent of the eligible voters must cast a
563 ballot in order to have a valid election of members of the
564 board. A unit owner may not permit any other person to vote his
565 or her ballot, and any ballots improperly cast are invalid. A,
566 provided any unit owner who violates this provision may be fined
567 by the association in accordance with s. 718.303. A unit owner
568 who needs assistance in casting the ballot for the reasons
569 stated in s. 101.051 may obtain such assistance. The regular
570 election must occur on the date of the annual meeting. This sub-
571 subparagraph does not apply to timeshare condominium
572 associations. Notwithstanding this sub-subparagraph, an election
573 is not required unless more candidates file notices of intent to
574 run or are nominated than board vacancies exist.
575      b.  Within 90 days after being elected or appointed to the
576 board, each newly elected or appointed director shall certify in
577 writing to the secretary of the association that he or she has
578 read the association's declaration of condominium, articles of
579 incorporation, bylaws, and current written policies; that he or
580 she will work to uphold such documents and policies to the best
581 of his or her ability; and that he or she will faithfully
582 discharge his or her fiduciary responsibility to the
583 association's members. In lieu of this written certification,
584 within 90 days after being elected or appointed to the board,
585 the newly elected or appointed director may submit a certificate
586 of having satisfactorily completed satisfactory completion of
587 the educational curriculum administered by a division-approved
588 condominium education provider within 1 year before or 90 days
589 after the date of election or appointment. The written
590 certification or educational certificate is valid and does not
591 have to be resubmitted as long as the director serves on the
592 board without interruption. A director who fails to timely file
593 the written certification or educational certificate is
594 suspended from service on the board until he or she complies
595 with this sub-subparagraph. The board may temporarily fill the
596 vacancy during the period of suspension. The secretary shall
597 cause the association to retain a director's written
598 certification or educational certificate for inspection by the
599 members for 5 years after a director's election. Failure to have
600 such written certification or educational certificate on file
601 does not affect the validity of any board action.
602      5.4.  Any approval by unit owners called for by this
603 chapter or the applicable declaration or bylaws, including, but
604 not limited to, the approval requirement in s. 718.111(8), must
605 shall be made at a duly noticed meeting of unit owners and is
606 subject to all requirements of this chapter or the applicable
607 condominium documents relating to unit owner decisionmaking,
608 except that unit owners may take action by written agreement,
609 without meetings, on matters for which action by written
610 agreement without meetings is expressly allowed by the
611 applicable bylaws or declaration or any law statute that
612 provides for such action.
613      6.5.  Unit owners may waive notice of specific meetings if
614 allowed by the applicable bylaws or declaration or any law
615 statute. If authorized by the bylaws, notice of meetings of the
616 board of administration, unit owner meetings, except unit owner
617 meetings called to recall board members under paragraph (j), and
618 committee meetings may be given by electronic transmission to
619 unit owners who consent to receive notice by electronic
620 transmission.
621      7.6.  Unit owners shall have the right to participate in
622 meetings of unit owners with reference to all designated agenda
623 items. However, the association may adopt reasonable rules
624 governing the frequency, duration, and manner of unit owner
625 participation.
626      8.7.  A Any unit owner may tape record or videotape a
627 meeting of the unit owners subject to reasonable rules adopted
628 by the division.
629      9.8.  Unless otherwise provided in the bylaws, any vacancy
630 occurring on the board before the expiration of a term may be
631 filled by the affirmative vote of the majority of the remaining
632 directors, even if the remaining directors constitute less than
633 a quorum, or by the sole remaining director. In the alternative,
634 a board may hold an election to fill the vacancy, in which case
635 the election procedures must conform to the requirements of sub-
636 subparagraph 4.a. 3.a. unless the association governs 10 units
637 or fewer and has opted out of the statutory election process, in
638 which case the bylaws of the association control. Unless
639 otherwise provided in the bylaws, a board member appointed or
640 elected under this section shall fill the vacancy for the
641 unexpired term of the seat being filled. Filling vacancies
642 created by recall is governed by paragraph (j) and rules adopted
643 by the division.
644      10.  This chapter does not limit the use of general or
645 limited proxies, require the use of general or limited proxies,
646 or require the use of a written ballot or voting machine for any
647 agenda item or election at any meeting of a timeshare
648 condominium association.
649
650 Notwithstanding subparagraph (b)2. and sub-subparagraph 4.a.
651 (d)3.a., an association of 10 or fewer units may, by affirmative
652 vote of a majority of the total voting interests, provide for
653 different voting and election procedures in its bylaws, which
654 vote may be by a proxy specifically delineating the different
655 voting and election procedures. The different voting and
656 election procedures may provide for elections to be conducted by
657 limited or general proxy.
658      Section 4.  Subsection (5) of section 718.113, Florida
659 Statutes, is amended to read:
660      718.113  Maintenance; limitation upon improvement; display
661 of flag; hurricane shutters; display of religious decorations.-
662      (5)  Each board of administration shall adopt hurricane
663 shutter specifications for each building within each condominium
664 operated by the association which shall include color, style,
665 and other factors deemed relevant by the board. All
666 specifications adopted by the board must shall comply with the
667 applicable building code.
668      (a)  The board may, subject to the provisions of s.
669 718.3026, and the approval of a majority of voting interests of
670 the condominium, install hurricane shutters, impact glass or
671 other code-compliant windows, or hurricane protection that
672 complies with or exceeds the applicable building code. However,
673 or both, except that a vote of the owners is not required if the
674 maintenance, repair, and replacement of hurricane shutters,
675 impact glass, or other code-compliant windows or other forms of
676 hurricane protection are the responsibility of the association
677 pursuant to the declaration of condominium. If However, where
678 hurricane protection or laminated glass or window film
679 architecturally designed to function as hurricane protection
680 which complies with or exceeds the current applicable building
681 code has been previously installed, the board may not install
682 hurricane shutters, or other hurricane protection, or impact
683 glass or other code-compliant windows except upon approval by a
684 majority vote of the voting interests.
685      (b)  The association is shall be responsible for the
686 maintenance, repair, and replacement of the hurricane shutters
687 or other hurricane protection authorized by this subsection if
688 such hurricane shutters or other hurricane protection is the
689 responsibility of the association pursuant to the declaration of
690 condominium. If the hurricane shutters or other hurricane
691 protection authorized by this subsection are the responsibility
692 of the unit owners pursuant to the declaration of condominium,
693 the responsibility for the maintenance, repair, and replacement
694 of such items are shall be the responsibility of the unit owner.
695      (c)  The board may operate shutters installed pursuant to
696 this subsection without permission of the unit owners only if
697 where such operation is necessary to preserve and protect the
698 condominium property and association property. The installation,
699 replacement, operation, repair, and maintenance of such shutters
700 in accordance with the procedures set forth in this paragraph
701 are herein shall not be deemed a material alteration to the
702 common elements or association property within the meaning of
703 this section.
704      (d)  Notwithstanding any other provision to the contrary in
705 the condominium documents, if approval is required by the
706 documents, a board may shall not refuse to approve the
707 installation or replacement of hurricane shutters by a unit
708 owner conforming to the specifications adopted by the board.
709      Section 5.  Section 718.114, Florida Statutes, is amended
710 to read:
711      718.114  Association powers.-An association may has the
712 power to enter into agreements, to acquire leaseholds,
713 memberships, and other possessory or use interests in lands or
714 facilities such as country clubs, golf courses, marinas, and
715 other recreational facilities,. It has this power whether or not
716 the lands or facilities are contiguous to the lands of the
717 condominium, if such lands and facilities they are intended to
718 provide enjoyment, recreation, or other use or benefit to the
719 unit owners. All of these leaseholds, memberships, and other
720 possessory or use interests existing or created at the time of
721 recording the declaration must be stated and fully described in
722 the declaration. Subsequent to the recording of the declaration,
723 agreements acquiring these leaseholds, memberships, or other
724 possessory or use interests which are not entered into within 12
725 months following the recording of the declaration are shall be
726 considered a material alteration or substantial addition to the
727 real property that is association property, and the association
728 may not acquire or enter into such agreements acquiring these
729 leaseholds, memberships, or other possessory or use interests
730 except upon a vote of, or written consent by, a majority of the
731 total voting interests or as authorized by the declaration as
732 provided in s. 718.113. The declaration may provide that the
733 rental, membership fees, operations, replacements, and other
734 expenses are common expenses and may impose covenants and
735 restrictions concerning their use and may contain other
736 provisions not inconsistent with this chapter. A condominium
737 association may conduct bingo games as provided in s. 849.0931.
738      Section 6.  Paragraph (b) of subsection (1), subsection
739 (3), paragraph (b) of subsection (5), and subsection (11) of
740 section 718.116, Florida Statutes, are amended to read:
741      718.116  Assessments; liability; lien and priority;
742 interest; collection.-
743      (1)
744      (b)1. The liability of a first mortgagee or its successor
745 or assignees who acquire title to a unit by foreclosure or by
746 deed in lieu of foreclosure for the unpaid assessments that
747 became due before the mortgagee's acquisition of title is
748 limited to the lesser of:
749      a.1.  The unit's unpaid common expenses and regular
750 periodic assessments which accrued or came due during the 12
751 months immediately preceding the acquisition of title and for
752 which payment in full has not been received by the association;
753 or
754      b.2.  One percent of the original mortgage debt. The
755 provisions of this paragraph apply only if the first mortgagee
756 joined the association as a defendant in the foreclosure action.
757 Joinder of the association is not required if, on the date the
758 complaint is filed, the association was dissolved or did not
759 maintain an office or agent for service of process at a location
760 which was known to or reasonably discoverable by the mortgagee.
761      2.  An association, or its successor or assignee, that
762 acquires title to a unit through the foreclosure of its lien for
763 assessments is not liable for any unpaid assessments, late fees,
764 interest, or reasonable attorney's fees and costs that came due
765 before the association's acquisition of title in favor of any
766 other association, as defined in s. 718.103(2) or s. 720.301(9),
767 which holds a superior lien interest on the unit. This
768 subparagraph is intended to clarify existing law.
769      (3)  Assessments and installments on assessments which are
770 not paid when due bear interest at the rate provided in the
771 declaration, from the due date until paid. The This rate may not
772 exceed the rate allowed by law, and, if no rate is provided in
773 the declaration, interest accrues at the rate of 18 percent per
774 year. Also, If provided by the declaration or bylaws, the
775 association may, in addition to such interest, charge an
776 administrative late fee of up to the greater of $25 or 5 percent
777 of each installment of the assessment for each delinquent
778 installment for which the payment is late. Any payment received
779 by an association must be applied first to any interest accrued
780 by the association, then to any administrative late fee, then to
781 any costs and reasonable attorney's fees incurred in collection,
782 and then to the delinquent assessment. The foregoing is
783 applicable notwithstanding any restrictive endorsement,
784 designation, or instruction placed on or accompanying a payment.
785 A late fee is not subject to chapter 687 or s. 718.303(4)(3).
786      (5)
787      (b)  To be valid, a claim of lien must state the
788 description of the condominium parcel, the name of the record
789 owner, the name and address of the association, the amount due,
790 and the due dates. It must be executed and acknowledged by an
791 officer or authorized agent of the association. The lien is not
792 effective longer than 1 year after the claim of lien was
793 recorded unless, within that time, an action to enforce the lien
794 is commenced. The 1-year period is automatically extended for
795 any length of time during which the association is prevented
796 from filing a foreclosure action by an automatic stay resulting
797 from a bankruptcy petition filed by the parcel owner or any
798 other person claiming an interest in the parcel. The claim of
799 lien secures all unpaid assessments that are due and that may
800 accrue after the claim of lien is recorded and through the entry
801 of a final judgment, as well as interest and all reasonable
802 costs and attorney's fees incurred by the association incident
803 to the collection process. Upon payment in full, the person
804 making the payment is entitled to a satisfaction of the lien.
805
806 After notice of contest of lien has been recorded, the clerk of
807 the circuit court shall mail a copy of the recorded notice to
808 the association by certified mail, return receipt requested, at
809 the address shown in the claim of lien or most recent amendment
810 to it and shall certify to the service on the face of the
811 notice. Service is complete upon mailing. After service, the
812 association has 90 days in which to file an action to enforce
813 the lien; and, if the action is not filed within the 90-day
814 period, the lien is void. However, the 90-day period shall be
815 extended for any length of time during which that the
816 association is prevented from filing its action because of an
817 automatic stay resulting from the filing of a bankruptcy
818 petition by the unit owner or by any other person claiming an
819 interest in the parcel.
820      (11)(a)  If the unit is occupied by a tenant and the unit
821 owner is delinquent in paying any monetary obligation due to the
822 association, the association may make a written demand that the
823 tenant pay to the association the subsequent rental payments
824 future monetary obligations related to the condominium unit to
825 the association, and continue to the tenant must make such
826 payments until all monetary obligations of the unit owner
827 related to the unit have been paid in full to the association
828 payment. The demand is continuing in nature and, upon demand,
829 The tenant must pay the monetary obligations to the association
830 until the association releases the tenant or the tenant
831 discontinues tenancy in the unit.
832      1.  The association must provide the tenant a notice, by
833 hand delivery or United States mail, in substantially the
834 following form:
835
836      Pursuant to section 718.116(11), Florida
837 Statutes, the association demands that you pay your
838 rent directly to the condominium association and
839 continue doing so until the association notifies you
840 otherwise.
841      Payment due the condominium association may be in
842 the same form as you paid your landlord and must be
843 sent by United States mail or hand delivery to
844 ...(full address)..., payable to ...(name)....
845      Your obligation to pay your rent to the
846 association begins immediately, unless you have
847 already paid rent to your landlord for the current
848 period before receiving this notice. In that case, you
849 must provide the association written proof of your
850 payment within 14 days after receiving this notice and
851 your obligation to pay rent to the association would
852 then begin with the next rental period.
853      Pursuant to section 718.116(11), Florida
854 Statutes, your payment of rent to the association
855 gives you complete immunity from any claim for the
856 rent by your landlord for all amounts timely paid to
857 the association.
858
859      2.  The association must mail written notice to the unit
860 owner of the association's demand that the tenant make payments
861 to the association.
862      3.  The association shall, upon request, provide the tenant
863 with written receipts for payments made.
864      4.  A tenant who acts in good faith in response to a
865 written demand from an association is immune from any claim by
866 from the landlord or unit owner related to the rent timely paid
867 to the association after the association has made written
868 demand.
869      (b)(a)  If the tenant paid prepaid rent to the landlord or
870 unit owner for a given rental period before receiving the demand
871 from the association and provides written evidence to the
872 association of having paid paying the rent to the association
873 within 14 days after receiving the demand, the tenant shall
874 begin making rental payments to the association for the
875 following rental period and shall continue making receive credit
876 for the prepaid rent for the applicable period and must make any
877 subsequent rental payments to the association to be credited
878 against the monetary obligations of the unit owner until the
879 association releases the tenant or the tenant discontinues
880 tenancy in the unit to the association.
881      (c)(b)  The tenant is not liable for increases in the
882 amount of the monetary obligations due unless the tenant was
883 notified in writing of the increase at least 10 days before the
884 date the rent is due. The liability of the tenant may not exceed
885 the amount due from the tenant to the tenant's landlord. The
886 tenant's landlord shall provide the tenant a credit against
887 rents due to the landlord unit owner in the amount of moneys
888 paid to the association under this section.
889      (d)(c)  The association may issue notice notices under s.
890 83.56 and may sue for eviction under ss. 83.59-83.625 as if the
891 association were a landlord under part II of chapter 83 if the
892 tenant fails to pay a required payment to the association after
893 written demand has been made to the tenant. However, the
894 association is not otherwise considered a landlord under chapter
895 83 and specifically has no obligations duties under s. 83.51.
896      (e)(d)  The tenant does not, by virtue of payment of
897 monetary obligations to the association, have any of the rights
898 of a unit owner to vote in any election or to examine the books
899 and records of the association.
900      (f)(e)  A court may supersede the effect of this subsection
901 by appointing a receiver.
902      Section 7.  Subsections (2), (3), (4), and (11), paragraphs
903 (a) and (d) of subsection (12), subsection (14), paragraph (a)
904 of subsection (17), and subsections (18) and (19) of section
905 718.117, Florida Statutes, are amended to read:
906      718.117  Termination of condominium.-
907      (2)  TERMINATION BECAUSE OF ECONOMIC WASTE OR
908 IMPOSSIBILITY.-
909      (a)  Notwithstanding any provision in the declaration, the
910 condominium form of ownership of a property may be terminated by
911 a plan of termination approved by the lesser of the lowest
912 percentage of voting interests necessary to amend the
913 declaration or as otherwise provided in the declaration for
914 approval of termination if:
915      1.  The total estimated cost of construction or repairs
916 necessary to construct the intended improvements or restore the
917 improvements to their former condition or bring them into
918 compliance with applicable laws or regulations exceeds the
919 combined fair market value of the units in the condominium after
920 completion of the construction or repairs; or
921      2.  It becomes impossible to operate or reconstruct a
922 condominium to its prior physical configuration because of land
923 use laws or regulations.
924      (b)  Notwithstanding paragraph (a), a condominium in which
925 75 percent or more of the units are timeshare units may be
926 terminated only pursuant to a plan of termination approved by 80
927 percent of the total voting interests of the association and the
928 holders of 80 percent of the original principal amount of
929 outstanding recorded mortgage liens of timeshare estates in the
930 condominium, unless the declaration provides for a lower voting
931 percentage.
932      (c)  Notwithstanding paragraph (a), a condominium that
933 includes units and timeshare estates where the improvements have
934 been totally destroyed or demolished may be terminated pursuant
935 to a plan of termination proposed by a unit owner upon the
936 filing of a petition in court seeking equitable relief. Within
937 10 days after the filing of a petition as provided in this
938 paragraph and in lieu of the requirements of paragraph (15)(a),
939 the petitioner shall record the proposed plan of termination and
940 mail a copy of the proposed plan and a copy of the petition to:
941      1.  If the association has not been dissolved as a matter
942 of law, each member of the board of directors of the association
943 identified in the most recent annual report filed with the
944 Department of State and the registered agent of the association;
945      2.  The managing entity as defined in s. 721.05(22);
946      3.  Each unit owner and each timeshare estate owner at the
947 address reflected in the official records of the association,
948 or, if the association records cannot be obtained by the
949 petitioner, each unit owner and each timeshare estate owner at
950 the address listed in the office of the tax collector for tax
951 notices; and
952      4.  Each holder of a recorded mortgage lien affecting a
953 unit or timeshare estate at the address appearing on the
954 recorded mortgage or any recorded assignment thereof.
955
956 The association, if it has not been dissolved as a matter of
957 law, acting as class representative, or the managing entity as
958 defined in s. 721.05(22), any unit owner, any timeshare estate
959 owner, or any holder of a recorded mortgage lien affecting a
960 unit or timeshare estate may intervene in the proceedings to
961 contest the proposed plan of termination brought pursuant to
962 this paragraph. The provisions of subsection (9), to the extent
963 inconsistent with this paragraph, and subsection (16) are not
964 applicable to a party contesting a plan of termination under
965 this paragraph. If no party intervenes to contest the proposed
966 plan within 45 days after the filing of the petition, the
967 petitioner may move the court to enter a final judgment to
968 authorize implementation of the plan of termination. If a party
969 timely intervenes to contest the proposed plan, the plan may not
970 be implemented until a final judgment has been entered by the
971 court finding that the proposed plan of termination is fair and
972 reasonable and authorizing implementation of the plan.
973      (3)  OPTIONAL TERMINATION.-Except as provided in subsection
974 (2) or unless the declaration provides for a lower percentage,
975 the condominium form of ownership of the property may be
976 terminated for all or a portion of the condominium property
977 pursuant to a plan of termination approved by at least 80
978 percent of the total voting interests of the condominium if no
979 not more than 10 percent of the total voting interests of the
980 condominium have rejected the plan of termination by negative
981 vote or by providing written objections thereto. This subsection
982 does not apply to condominiums in which 75 percent or more of
983 the units are timeshare units.
984      (4)  EXEMPTION.-A plan of termination is not an amendment
985 subject to s. 718.110(4). In a partial termination, a plan of
986 termination is not an amendment subject to s. 718.110(4) if the
987 ownership share of the common elements of a surviving unit in
988 the condominium remains in the same proportion to the surviving
989 units as it was before the partial termination.
990      (11)  PLAN OF TERMINATION; OPTIONAL PROVISIONS; CONDITIONAL
991 TERMINATION.-
992      (a)  The plan of termination may provide that each unit
993 owner retains the exclusive right of possession to the portion
994 of the real estate which that formerly constituted the unit if,
995 in which case the plan specifies must specify the conditions of
996 possession. In a partial termination, the plan of termination as
997 specified in subsection (10) must also identify the units that
998 survive the partial termination and provide that such units
999 remain in the condominium form of ownership pursuant to an
1000 amendment to the declaration of condominium or an amended and
1001 restated declaration. In a partial termination, title to the
1002 surviving units and common elements that remain part of the
1003 condominium property specified in the plan of termination remain
1004 vested in the ownership shown in the public records and do not
1005 vest in the termination trustee.
1006      (b)  In a conditional termination, the plan must specify
1007 the conditions for termination. A conditional plan does not vest
1008 title in the termination trustee until the plan and a
1009 certificate executed by the association with the formalities of
1010 a deed, confirming that the conditions in the conditional plan
1011 have been satisfied or waived by the requisite percentage of the
1012 voting interests, have been recorded. In a partial termination,
1013 the plan does not vest title to the surviving units or common
1014 elements that remain part of the condominium property in the
1015 termination trustee.
1016      (12)  ALLOCATION OF PROCEEDS OF SALE OF CONDOMINIUM
1017 PROPERTY.-
1018      (a)  Unless the declaration expressly provides for the
1019 allocation of the proceeds of sale of condominium property, the
1020 plan of termination must first apportion the proceeds between
1021 the aggregate value of all units and the value of the common
1022 elements, based on their respective fair market values
1023 immediately before the termination, as determined by one or more
1024 independent appraisers selected by the association or
1025 termination trustee. In a partial termination, the aggregate
1026 values of the units and common elements that are being
1027 terminated must be separately determined, and the plan of
1028 termination must specify the allocation of the proceeds of sale
1029 for the units and common elements.
1030      (d)  Liens that encumber a unit shall be transferred to the
1031 proceeds of sale of the condominium property and the proceeds of
1032 sale or other distribution of association property, common
1033 surplus, or other association assets attributable to such unit
1034 in their same priority. In a partial termination, liens that
1035 encumber a unit being terminated must be transferred to the
1036 proceeds of sale of that portion of the condominium property
1037 being terminated which are attributable to such unit. The
1038 proceeds of any sale of condominium property pursuant to a plan
1039 of termination may not be deemed to be common surplus or
1040 association property.
1041      (14)  TITLE VESTED IN TERMINATION TRUSTEE.-If termination
1042 is pursuant to a plan of termination under subsection (2) or
1043 subsection (3), the unit owners' rights and title to as tenants
1044 in common in undivided interests in the condominium property
1045 being terminated vests vest in the termination trustee when the
1046 plan is recorded or at a later date specified in the plan. The
1047 unit owners thereafter become the beneficiaries of the proceeds
1048 realized from the plan of termination as set forth in the plan.
1049 The termination trustee may deal with the condominium property
1050 being terminated or any interest therein if the plan confers on
1051 the trustee the authority to protect, conserve, manage, sell, or
1052 dispose of the condominium property. The trustee, on behalf of
1053 the unit owners, may contract for the sale of real property
1054 being terminated, but the contract is not binding on the unit
1055 owners until the plan is approved pursuant to subsection (2) or
1056 subsection (3).
1057      (17)  DISTRIBUTION.-
1058      (a)  Following termination of the condominium, the
1059 condominium property, association property, common surplus, and
1060 other assets of the association shall be held by the termination
1061 trustee pursuant to the plan of termination, as trustee for unit
1062 owners and holders of liens on the units, in their order of
1063 priority unless otherwise set forth in the plan of termination.
1064      (18)  ASSOCIATION STATUS.-The termination of a condominium
1065 does not change the corporate status of the association that
1066 operated the condominium property. The association continues to
1067 exist to conclude its affairs, prosecute and defend actions by
1068 or against it, collect and discharge obligations, dispose of and
1069 convey its property, and collect and divide its assets, but not
1070 to act except as necessary to conclude its affairs. In a partial
1071 termination, the association may continue as the condominium
1072 association for the property that remains subject to the
1073 declaration of condominium.
1074      (19)  CREATION OF ANOTHER CONDOMINIUM.-The termination or
1075 partial termination of a condominium does not bar the filing of
1076 a new declaration of condominium or an amended and restated
1077 declaration of condominium by the termination trustee, or the
1078 trustee's successor in interest, for the terminated property or
1079 affecting any portion thereof of the same property. The partial
1080 termination of a condominium may provide for the simultaneous
1081 filing of an amendment to the declaration of condominium or an
1082 amended and restated declaration of condominium by the
1083 condominium association for any portion of the property not
1084 terminated from the condominium form of ownership.
1085      Section 8.  Subsections (3), (4), and (5) of section
1086 718.303, Florida Statutes, are amended, and subsection (6) is
1087 added to that section, to read:
1088      718.303  Obligations of owners and occupants; remedies.-
1089      (3)  If a unit owner is delinquent for more than 90 days in
1090 paying a monetary obligation due to the association, the
1091 association may suspend the right of a unit owner or a unit's
1092 occupant, licensee, or invitee to use common elements, common
1093 facilities, or any other association property until the monetary
1094 obligation is paid. This subsection does not apply to limited
1095 common elements intended to be used only by that unit, common
1096 elements that must be used to access the unit, utility services
1097 provided to the unit, parking spaces, or elevators. The
1098 association may also levy reasonable fines for the failure of
1099 the owner of the unit, or its occupant, licensee, or invitee, to
1100 comply with any provision of the declaration, the association
1101 bylaws, or reasonable rules of the association. A fine may does
1102 not become a lien against a unit. A fine may not exceed $100 per
1103 violation. However, A fine may be levied on the basis of each
1104 day of a continuing violation, with a single notice and
1105 opportunity for hearing. However, the fine may not exceed $100
1106 per violation, or $1,000 in the aggregate exceed $1,000.
1107      (a)  An association may suspend, for a reasonable period of
1108 time, the right of a unit owner, or a unit owner's tenant,
1109 guest, or invitee, to use the common elements, common
1110 facilities, or any other association property for failure to
1111 comply with any provision of the declaration, the association
1112 bylaws, or reasonable rules of the association.
1113      (b)  A fine or suspension may not be imposed levied and a
1114 suspension may not be imposed unless the association first
1115 provides at least 14 days' written notice and an opportunity for
1116 a hearing to the unit owner and, if applicable, its occupant,
1117 licensee, or invitee. The hearing must be held before a
1118 committee of other unit owners who are neither board members nor
1119 persons residing in a board member's household. If the committee
1120 does not agree with the fine or suspension, the fine or
1121 suspension may not be levied or imposed.
1122      (4)  If a unit owner is more than 90 days delinquent in
1123 paying a monetary obligation due to the association, the
1124 association may suspend the right of the unit owner or the
1125 unit's occupant, licensee, or invitee to use common elements,
1126 common facilities, or any other association property until the
1127 monetary obligation is paid in full. This subsection does not
1128 apply to limited common elements intended to be used only by
1129 that unit, common elements needed to access the unit, utility
1130 services provided to the unit, parking spaces, or elevators. The
1131 notice and hearing requirements under subsection (3) do not
1132 apply to suspensions imposed under this subsection.
1133      (4)  The notice and hearing requirements of subsection (3)
1134 do not apply to the imposition of suspensions or fines against a
1135 unit owner or a unit's occupant, licensee, or invitee because of
1136 failing to pay any amounts due the association. If such a fine
1137 or suspension is imposed, the association must levy the fine or
1138 impose a reasonable suspension at a properly noticed board
1139 meeting, and after the imposition of such fine or suspension,
1140 the association must notify the unit owner and, if applicable,
1141 the unit's occupant, licensee, or invitee by mail or hand
1142 delivery.
1143      (5)  An association may also suspend the voting rights of a
1144 unit or member due to nonpayment of any monetary obligation due
1145 to the association which is more than 90 days delinquent. A
1146 voting interest or consent right allocated to a unit or member
1147 which has been suspended by the association may not be counted
1148 towards the total number of voting interests necessary to
1149 constitute a quorum, the number of voting interests required to
1150 conduct an election, or the number of voting interests required
1151 to approve an action under this chapter or pursuant to the
1152 declaration, articles of incorporation, or bylaws. The
1153 suspension ends upon full payment of all obligations currently
1154 due or overdue the association. The notice and hearing
1155 requirements under subsection (3) do not apply to a suspension
1156 imposed under this subsection.
1157      (6)  All suspensions imposed pursuant to subsection (4) or
1158 subsection (5) must be approved at a properly noticed board
1159 meeting. Upon approval, the association must notify the unit
1160 owner and, if applicable, the unit's occupant, licensee, or
1161 invitee by mail or hand delivery.
1162      Section 9.  Section 718.703, Florida Statutes, is amended
1163 to read:
1164      718.703  Definitions.-As used in this part, the term:
1165      (1)  "Bulk assignee" means a person who is not a bulk buyer
1166 and who:
1167      (a)  Acquires more than seven condominium parcels in a
1168 single condominium as set forth in s. 718.707; and
1169      (b)  Receives an assignment of any of the developer rights,
1170 other than or in addition to those rights described in
1171 subsection (2), some or all of the rights of the developer as
1172 set forth in the declaration of condominium or this chapter: by
1173      1.  By a written instrument recorded as part of or as an
1174 exhibit to the deed; or as
1175      2.  By a separate instrument recorded in the public records
1176 of the county in which the condominium is located; or
1177      3.  Pursuant to a final judgment or certificate of title
1178 issued in favor of a purchaser at a foreclosure sale.
1179
1180 A mortgagee or its assignee may not be deemed a bulk assignee or
1181 a developer by reason of the acquisition of condominium units
1182 and receipt of an assignment of some or all of a developer
1183 rights unless the mortgagee or its assignee exercises any of the
1184 developer rights other than those described in subsection (2).
1185      (2)  "Bulk buyer" means a person who acquires more than
1186 seven condominium parcels in a single condominium as set forth
1187 in s. 718.707, but who does not receive an assignment of any
1188 developer rights, or receives only some or all of the following
1189 rights: other than
1190      (a)  The right to conduct sales, leasing, and marketing
1191 activities within the condominium;
1192      (b)  The right to be exempt from the payment of working
1193 capital contributions to the condominium association arising out
1194 of, or in connection with, the bulk buyer's acquisition of the a
1195 bulk number of units; and
1196      (c)  The right to be exempt from any rights of first
1197 refusal which may be held by the condominium association and
1198 would otherwise be applicable to subsequent transfers of title
1199 from the bulk buyer to a third party purchaser concerning one or
1200 more units.
1201      Section 10.  Section 718.704, Florida Statutes, is amended
1202 to read:
1203      718.704  Assignment and assumption of developer rights by
1204 bulk assignee; bulk buyer.-
1205      (1)  A bulk assignee is deemed to have assumed assumes and
1206 is liable for all duties and responsibilities of the developer
1207 under the declaration and this chapter upon its acquisition of
1208 title to units and continuously thereafter, except that it is
1209 not liable for:
1210      (a)  Warranties of the developer under s. 718.203(1) or s.
1211 718.618, except as expressly provided by the bulk assignee in a
1212 prospectus or offering circular, or the contract for purchase
1213 and sale executed with a purchaser, or for design, construction,
1214 development, or repair work performed by or on behalf of the
1215 such bulk assignee.;
1216      (b)  The obligation to:
1217      1.  Fund converter reserves under s. 718.618 for a unit
1218 that was not acquired by the bulk assignee; or
1219      2.  Provide implied converter warranties on any portion of
1220 the condominium property except as expressly provided by the
1221 bulk assignee in a prospectus or offering circular, or the
1222 contract for purchase and sale executed with a purchaser, or for
1223 and pertaining to any design, construction, development, or
1224 repair work performed by or on behalf of the bulk assignee.;
1225      (c)  The requirement to provide the association with a
1226 cumulative audit of the association's finances from the date of
1227 formation of the condominium association as required by s.
1228 718.301(4)(c). However, the bulk assignee must provide an audit
1229 for the period during which the bulk assignee elects or appoints
1230 a majority of the members of the board of administration.;
1231      (d)  Any liability arising out of or in connection with
1232 actions taken by the board of administration or the developer-
1233 appointed directors before the bulk assignee elects or appoints
1234 a majority of the members of the board of administration.; and
1235      (e)  Any liability for or arising out of the developer's
1236 failure to fund previous assessments or to resolve budgetary
1237 deficits in relation to a developer's right to guarantee
1238 assessments, except as otherwise provided in subsection (2).
1239
1240 The bulk assignee is also responsible only for delivering
1241 documents and materials in accordance with s. 718.705(3). A bulk
1242 assignee may expressly assume some or all of the developer
1243 obligations of the developer described in paragraphs (a)-(e).
1244      (2)  A bulk assignee assigned the developer right receiving
1245 the assignment of the rights of the developer to guarantee the
1246 level of assessments and fund budgetary deficits pursuant to s.
1247 718.116 assumes and is liable for all obligations of the
1248 developer with respect to such guarantee upon its acquisition of
1249 title to the units and continuously thereafter, including any
1250 applicable funding of reserves to the extent required by law,
1251 for as long as the guarantee remains in effect. A bulk assignee
1252 not receiving such assignment, or a bulk buyer, does not assume
1253 and is not liable for the obligations of the developer with
1254 respect to such guarantee, but is responsible for payment of
1255 assessments due on or after acquisition of the units in the same
1256 manner as all other owners of condominium parcels or as
1257 otherwise provided in s. 718.116.
1258      (3)  A bulk buyer is liable for the duties and
1259 responsibilities of a the developer under the declaration and
1260 this chapter only to the extent that such provided in this part,
1261 together with any other duties or responsibilities are of the
1262 developer expressly assumed in writing by the bulk buyer.
1263      (4)  An acquirer of condominium parcels is not a bulk
1264 assignee or a bulk buyer if the transfer to such acquirer was
1265 made:
1266      (a)  Before the effective date of this part;
1267      (b)  With the intent to hinder, delay, or defraud any
1268 purchaser, unit owner, or the association;, or if the acquirer
1269 is
1270      (c)  By a person who would be considered an insider under
1271 s. 726.102(7).
1272      (5)  An assignment of developer rights to a bulk assignee
1273 may be made by a the developer, a previous bulk assignee, a
1274 mortgagee or assignee who has acquired title to the units and
1275 received an assignment of rights, or a court acting on behalf of
1276 the developer or the previous bulk assignee if such developer
1277 rights are held by the predecessor in title to the bulk
1278 assignee. At any particular time, there may not be no more than
1279 one bulk assignee within a condominium; however, but there may
1280 be more than one bulk buyer. If more than one acquirer of
1281 condominium parcels in the same condominium receives an
1282 assignment of developer rights in addition to those rights
1283 described in s. 718.703(2) from the same person, the bulk
1284 assignee is the acquirer whose instrument of assignment is
1285 recorded first in the public records of the county in which the
1286 condominium is located, and any subsequent purported bulk
1287 assignee may still qualify as a bulk buyer.
1288      Section 11.  Subsections (1) and (3) of section 718.705,
1289 Florida Statutes, are amended to read:
1290      718.705  Board of administration; transfer of control.-
1291      (1)  If, at the time the bulk assignee acquires title to
1292 the units and receives an assignment of developer rights, the
1293 developer has not relinquished control of the board of
1294 administration, for purposes of determining the timing for
1295 transfer of control of the board of administration of the
1296 association to unit owners other than the developer under s.
1297 718.301(1)(a) and (b), if a bulk assignee is entitled to elect a
1298 majority of the members of the board, a condominium parcel
1299 acquired by the bulk assignee is not deemed to be conveyed to a
1300 purchaser, or owned by an owner other than the developer, until
1301 the condominium parcel is conveyed to an owner who is not a bulk
1302 assignee.
1303      (3)  If a bulk assignee relinquishes control of the board
1304 of administration as set forth in s. 718.301, the bulk assignee
1305 must deliver all of those items required by s. 718.301(4).
1306 However, the bulk assignee is not required to deliver items and
1307 documents not in the possession of the bulk assignee if some
1308 items were or should have been in existence before the bulk
1309 assignee's acquisition of the units during the period during
1310 which the bulk assignee was entitled to elect at least a
1311 majority of the members of the board of administration. In
1312 conjunction with the acquisition of units condominium parcels, a
1313 bulk assignee shall undertake a good faith effort to obtain the
1314 documents and materials that must be provided to the association
1315 pursuant to s. 718.301(4). If the bulk assignee is not able to
1316 obtain all of such documents and materials, the bulk assignee
1317 must certify in writing to the association the names or
1318 descriptions of the documents and materials that were not
1319 obtainable by the bulk assignee. Delivery of the certificate
1320 relieves the bulk assignee of responsibility for delivering the
1321 documents and materials referenced in the certificate as
1322 otherwise required under ss. 718.112 and 718.301 and this part.
1323 The responsibility of the bulk assignee for the audit required
1324 by s. 718.301(4) commences as of the date on which the bulk
1325 assignee elected or appointed a majority of the members of the
1326 board of administration.
1327      Section 12.  Section 718.706, Florida Statutes, is amended
1328 to read:
1329      718.706  Specific provisions pertaining to offering of
1330 units by a bulk assignee or bulk buyer.-
1331      (1)  Before offering more than seven any units in a single
1332 condominium for sale or for lease for a term exceeding 5 years,
1333 a bulk assignee or a bulk buyer must file the following
1334 documents with the division and provide such documents to a
1335 prospective purchaser or tenant:
1336      (a)  An updated prospectus or offering circular, or a
1337 supplement to the prospectus or offering circular, filed by the
1338 original developer prepared in accordance with s. 718.504, which
1339 must include the form of contract for sale and for lease in
1340 compliance with s. 718.503(2);
1341      (b)  An updated Frequently Asked Questions and Answers
1342 sheet;
1343      (c)  The executed escrow agreement if required under s.
1344 718.202; and
1345      (d)  The financial information required by s. 718.111(13).
1346 However, if a financial information report did does not exist
1347 for the fiscal year before the acquisition of title by the bulk
1348 assignee or bulk buyer, and if or accounting records that cannot
1349 be obtained in good faith by the bulk assignee or the bulk buyer
1350 which would permit preparation of the required financial
1351 information report for that period cannot be obtained despite
1352 good faith efforts by the bulk assignee or the bulk buyer, the
1353 bulk assignee or bulk buyer is excused from the requirement of
1354 this paragraph. However, the bulk assignee or bulk buyer must
1355 include in the purchase contract the following statement in
1356 conspicuous type:
1357
1358 ALL OR A PORTION OF THE FINANCIAL INFORMATION REPORT
1359 REQUIRED UNDER S. 718.111(13) FOR THE TIME PERIOD
1360 BEFORE THE SELLER'S ACQUISITION OF THE UNIT
1361 IMMEDIATELY PRECEDING FISCAL YEAR OF THE ASSOCIATION
1362 IS NOT AVAILABLE OR CANNOT BE OBTAINED DESPITE THE
1363 GOOD FAITH EFFORTS OF CREATED BY THE SELLER DUE TO THE
1364 INSUFFICIENT ACCOUNTING RECORDS OF THE ASSOCIATION.
1365
1366      (2)  Before offering more than seven any units in a single
1367 condominium for sale or for lease for a term exceeding 5 years,
1368 a bulk assignee or a bulk buyer must file with the division and
1369 provide to a prospective purchaser or tenant under a lease for a
1370 term exceeding 5 years a disclosure statement that includes, but
1371 is not limited to:
1372      (a)  A description of any rights of the developer rights
1373 that developer which have been assigned to the bulk assignee or
1374 bulk buyer;
1375      (b)  The following statement in conspicuous type:
1376
1377 THE SELLER IS NOT OBLIGATED FOR ANY WARRANTIES OF THE
1378 DEVELOPER UNDER S. 718.203(1) OR S. 718.618, AS
1379 APPLICABLE, EXCEPT FOR DESIGN, CONSTRUCTION,
1380 DEVELOPMENT, OR REPAIR WORK PERFORMED BY OR ON BEHALF
1381 OF THE SELLER; and
1382
1383      (c)  If the condominium is a conversion subject to part VI,
1384 the following statement in conspicuous type:
1385
1386 THE SELLER HAS NO OBLIGATION TO FUND CONVERTER
1387 RESERVES OR TO PROVIDE CONVERTER WARRANTIES UNDER S.
1388 718.618 ON ANY PORTION OF THE CONDOMINIUM PROPERTY
1389 EXCEPT AS MAY BE EXPRESSLY REQUIRED OF THE SELLER IN
1390 THE CONTRACT FOR PURCHASE AND SALE EXECUTED BY THE
1391 SELLER AND THE PREVIOUS DEVELOPER AND PERTAINING TO
1392 ANY DESIGN, CONSTRUCTION, DEVELOPMENT, OR REPAIR WORK
1393 PERFORMED BY OR ON BEHALF OF THE SELLER.
1394
1395      (3)  A bulk assignee, while it is in control of the board
1396 of administration of the association, may not authorize, on
1397 behalf of the association:
1398      (a)  The waiver of reserves or the reduction of funding of
1399 the reserves pursuant to s. 718.112(2)(f)2., unless approved by
1400 a majority of the voting interests not controlled by the
1401 developer, bulk assignee, and bulk buyer; or
1402      (b)  The use of reserve expenditures for other purposes
1403 pursuant to s. 718.112(2)(f)3., unless approved by a majority of
1404 the voting interests not controlled by the developer, bulk
1405 assignee, and bulk buyer.
1406      (4)  A bulk assignee or a bulk buyer must comply with all
1407 the requirements of s. 718.302 regarding any contracts entered
1408 into by the association during the period the bulk assignee or
1409 bulk buyer maintains control of the board of administration.
1410 Unit owners shall be provided afforded all of the rights and the
1411 protections contained in s. 718.302 regarding agreements entered
1412 into by the association which are under the control of before
1413 unit owners other than the developer, bulk assignee, or bulk
1414 buyer elected a majority of the board of administration.
1415      (5)  Notwithstanding any other provision of this part, a
1416 bulk assignee or a bulk buyer is not required to comply with the
1417 filing or disclosure requirements of subsections (1) and (2) if
1418 all of the units owned by the bulk assignee or bulk buyer are
1419 offered and conveyed to a single purchaser in a single
1420 transaction. A bulk buyer must comply with the requirements
1421 contained in the declaration regarding any transfer of a unit,
1422 including sales, leases, and subleases. A bulk buyer is not
1423 entitled to any exemptions afforded a developer or successor
1424 developer under this chapter regarding the transfer of a unit,
1425 including sales, leases, or subleases.
1426      Section 13.  Section 718.707, Florida Statutes, is amended
1427 to read:
1428      718.707  Time limitation for classification as bulk
1429 assignee or bulk buyer.-A person acquiring condominium parcels
1430 may not be classified as a bulk assignee or bulk buyer unless
1431 the condominium parcels were acquired on or after July 1, 2010,
1432 but before July 1, 2012. The date of such acquisition shall be
1433 determined by the date of recording of a deed or other
1434 instrument of conveyance for such parcels in the public records
1435 of the county in which the condominium is located, or by the
1436 date of issuing issuance of a certificate of title in a
1437 foreclosure proceeding with respect to such condominium parcels.
1438      Section 14.  Subsections (3), (4), and (10) of section
1439 719.108, Florida Statutes, are amended to read:
1440      719.108  Rents and assessments; liability; lien and
1441 priority; interest; collection; cooperative ownership.-
1442      (3)  Rents and assessments, and installments on them, not
1443 paid when due bear interest at the rate provided in the
1444 cooperative documents from the date due until paid. This rate
1445 may not exceed the rate allowed by law, and, if a rate is not
1446 provided in the cooperative documents, interest accrues at 18
1447 percent per annum. If the cooperative documents or bylaws so
1448 provide, the association may charge an administrative late fee
1449 in addition to such interest, in an amount not to exceed the
1450 greater of $25 or 5 percent of each installment of the
1451 assessment for each delinquent installment that the payment is
1452 late. Any payment received by an association must be applied
1453 first to any interest accrued by the association, then to any
1454 administrative late fee, then to any costs and reasonable
1455 attorney's fees incurred in collection, and then to the
1456 delinquent assessment. The foregoing applies notwithstanding any
1457 restrictive endorsement, designation, or instruction placed on
1458 or accompanying a payment. A late fee is not subject to chapter
1459 687 or s. 719.303(4)(3).
1460      (4)  The association has a lien on each cooperative parcel
1461 for any unpaid rents and assessments, plus interest, and any
1462 authorized administrative late fees, and any reasonable costs
1463 for collection services for which the association has contracted
1464 against the unit owner of the cooperative parcel. If authorized
1465 by the cooperative documents, the lien also secures reasonable
1466 attorney's fees incurred by the association incident to the
1467 collection of the rents and assessments or enforcement of such
1468 lien. The lien is effective from and after recording a claim of
1469 lien in the public records in the county in which the
1470 cooperative parcel is located which states the description of
1471 the cooperative parcel, the name of the unit owner, the amount
1472 due, and the due dates. The lien expires if a claim of lien is
1473 not filed within 1 year after the date the assessment was due,
1474 and the lien does not continue for longer than 1 year after the
1475 claim of lien has been recorded unless, within that time, an
1476 action to enforce the lien is commenced. Except as otherwise
1477 provided in this chapter, a lien may not be filed by the
1478 association against a cooperative parcel until 30 days after the
1479 date on which a notice of intent to file a lien has been
1480 delivered to the owner.
1481      (a)  The notice must be sent to the unit owner at the
1482 address of the unit by first-class United States mail and:
1483      1.  If the most recent address of the unit owner on the
1484 records of the association is the address of the unit, the
1485 notice must be sent by registered or certified mail, return
1486 receipt requested, to the unit owner at the address of the unit.
1487      2.  If the most recent address of the unit owner on the
1488 records of the association is in the United States, but is not
1489 the address of the unit, the notice must be sent by registered
1490 or certified mail, return receipt requested, to the unit owner
1491 at his or her most recent address.
1492      3.  If the most recent address of the unit owner on the
1493 records of the association is not in the United States, the
1494 notice must be sent by first-class United States mail to the
1495 unit owner at his or her most recent address.
1496      (b)  A notice that is sent pursuant to this subsection is
1497 deemed delivered upon mailing.
1498      (10)(a)  If the unit is occupied by a tenant and the unit
1499 owner is delinquent in paying any monetary obligation due to the
1500 association, the association may make a written demand that the
1501 tenant pay to the association the subsequent rental payments
1502 future monetary obligations related to the cooperative share to
1503 the association and continue to the tenant must make such
1504 payments until all monetary obligations of the unit owner
1505 related to the unit have been paid in full to the association
1506 payment. The demand is continuing in nature, and upon demand,
1507 The tenant must pay the monetary obligations to the association
1508 until the association releases the tenant or the tenant
1509 discontinues tenancy in the unit.
1510      1.  The association must provide the tenant a notice, by
1511 hand delivery or United States mail, in substantially the
1512 following form:
1513
1514      Pursuant to section 719.108(10), Florida
1515 Statutes, we demand that you make your rent payments
1516 directly to the cooperative association and continue
1517 doing so until the association notifies you otherwise.
1518      Payment due the cooperative association may be in
1519 the same form as you paid your landlord and must be
1520 sent by United States mail or hand delivery to
1521 ...(full address)..., payable to ...(name)....
1522      Your obligation to pay your rent to the
1523 association begins immediately, unless you have
1524 already paid rent to your landlord for the current
1525 period before receiving this notice. In that case, you
1526 must provide the association written proof of your
1527 payment within 14 days after receiving this notice and
1528 your obligation to pay rent to the association would
1529 then begin with the next rental period.
1530      Pursuant to section 719.108(10), Florida
1531 Statutes, your payment of rent to the association
1532 gives you complete immunity from any claim for the
1533 rent by your landlord.
1534
1535      2.  The association must mail written notice to the unit
1536 owner of the association's demand that the tenant make payments
1537 to the association.
1538      3.  The association shall, upon request, provide the tenant
1539 with written receipts for payments made.
1540      4.  A tenant who acts in good faith in response to a
1541 written demand from an association is immune from any claim by
1542 from the landlord or unit owner related to the rent timely paid
1543 to the association after the association has made written
1544 demand.
1545      (b)(a)  If the tenant paid prepaid rent to the landlord or
1546 unit owner for a given rental period before receiving the demand
1547 from the association and provides written evidence to the
1548 association of having paid paying the rent to the association
1549 within 14 days after receiving the demand, the tenant shall
1550 begin making rental payments to the association for the
1551 following rental period and shall continue making receive credit
1552 for the prepaid rent for the applicable period and must make any
1553 subsequent rental payments to the association to be credited
1554 against the monetary obligations of the unit owner until the
1555 association releases the tenant or the tenant discontinues
1556 tenancy in the unit to the association.
1557      (c)(b)  The tenant is not liable for increases in the
1558 amount of the regular monetary obligations due unless the tenant
1559 was notified in writing of the increase at least 10 days before
1560 the date on which the rent is due. The liability of the tenant
1561 may not exceed the amount due from the tenant to the tenant's
1562 landlord. The tenant's landlord shall provide the tenant a
1563 credit against rents due to the landlord unit owner in the
1564 amount of moneys paid to the association under this section.
1565      (d)(c)  The association may issue notice notices under s.
1566 83.56 and may sue for eviction under ss. 83.59-83.625 as if the
1567 association were a landlord under part II of chapter 83 if the
1568 tenant fails to pay a required payment to the association after
1569 written demand has been made to the tenant. However, the
1570 association is not otherwise considered a landlord under chapter
1571 83 and specifically has no obligations duties under s. 83.51.
1572      (e)(d)  The tenant does not, by virtue of payment of
1573 monetary obligations to the association, have any of the rights
1574 of a unit owner to vote in any election or to examine the books
1575 and records of the association.
1576      (f)(e)  A court may supersede the effect of this subsection
1577 by appointing a receiver.
1578      Section 15.  Subsection (3) of section 719.303, Florida
1579 Statutes, is amended, and subsections (4), (5), and (6) are
1580 added to that section, to read:
1581      719.303  Obligations of owners.-
1582      (3)  If the cooperative documents so provide, The
1583 association may levy reasonable fines against a unit owner for
1584 failure of the unit owner or the unit's occupant, his or her
1585 licensee, or invitee or the unit's occupant to comply with any
1586 provision of the cooperative documents or reasonable rules of
1587 the association. A fine may not No fine shall become a lien
1588 against a unit. No fine shall exceed $100 per violation.
1589 However, A fine may be levied on the basis of each day of a
1590 continuing violation, with a single notice and opportunity for
1591 hearing. However, the fine may not exceed $100 per violation, or
1592 $1,000 provided that no such fine shall in the aggregate exceed
1593 $1,000.
1594      (a)  An association may suspend, for a reasonable period of
1595 time, the right of a unit owner, or a unit owner's tenant,
1596 guest, or invitee, to use the common elements, common
1597 facilities, or any other association property for failure to
1598 comply with any provision of the cooperative documents or
1599 reasonable rules of the association.
1600      (b)  A No fine or suspension may not be imposed levied
1601 except after giving reasonable notice and opportunity for a
1602 hearing to the unit owner and, if applicable, the unit's his or
1603 her licensee or invitee. The hearing must shall be held before a
1604 committee of other unit owners. If the committee does not agree
1605 with the fine or suspension, it may shall not be imposed levied.
1606 This subsection does not apply to unoccupied units.
1607      (4)  If a unit owner is more than 90 days delinquent in
1608 paying a monetary obligation due to the association, the
1609 association may suspend the right of the unit owner or the
1610 unit's occupant, licensee, or invitee to use common elements,
1611 common facilities, or any other association property until the
1612 monetary obligation is paid in full. This subsection does not
1613 apply to limited common elements intended to be used only by
1614 that unit, common elements needed to access the unit, utility
1615 services provided to the unit, parking spaces, or elevators. The
1616 notice and hearing requirements under subsection (3) do not
1617 apply to suspensions imposed under this subsection.
1618      (5)  An association may suspend the voting rights of a unit
1619 or member due to nonpayment of any monetary obligation due to
1620 the association which is more than 90 days delinquent. A voting
1621 interest or consent right allocated to a unit or member which
1622 has been suspended by the association may not be counted towards
1623 the total number of voting interests for any purpose, including,
1624 but not limited to, the number of voting interests necessary to
1625 constitute a quorum, the number of voting interests required to
1626 conduct an election, or the number of voting interests required
1627 to approve an action under this chapter or pursuant to the
1628 cooperative documents, articles of incorporation, or bylaws. The
1629 suspension ends upon full payment of all obligations currently
1630 due or overdue the association. The notice and hearing
1631 requirements under subsection (3) do not apply to a suspension
1632 imposed under this subsection.
1633      (6)  All suspensions imposed pursuant to subsection (4) or
1634 subsection (5) must be approved at a properly noticed board
1635 meeting. Upon approval, the association must notify the unit
1636 owner and, if applicable, the unit's occupant, licensee, or
1637 invitee by mail or hand delivery.
1638      Section 16.  Subsection (4) of section 720.301, Florida
1639 Statutes, is amended to read:
1640      720.301  Definitions.-As used in this chapter, the term:
1641      (4)  "Declaration of covenants," or "declaration," means a
1642 recorded written instrument or instruments in the nature of
1643 covenants running with the land which subject subjects the land
1644 comprising the community to the jurisdiction and control of an
1645 association or associations in which the owners of the parcels,
1646 or their association representatives, must be members.
1647      Section 17.  Paragraph (b) of subsection (2) and paragraph
1648 (c) of subsection (5) of section 720.303, Florida Statutes, are
1649 amended to read:
1650      720.303  Association powers and duties; meetings of board;
1651 official records; budgets; financial reporting; association
1652 funds; recalls.-
1653      (2)  BOARD MEETINGS.-
1654      (b)  Members have the right to attend all meetings of the
1655 board and to speak on any matter placed on the agenda by
1656 petition of the voting interests for at least 3 minutes. The
1657 right to attend such meetings includes the right to speak at
1658 such meetings with reference to all designated items. The
1659 association may adopt written reasonable rules expanding the
1660 right of members to speak and governing the frequency, duration,
1661 and other manner of member statements, which rules must be
1662 consistent with this paragraph and may include a sign-up sheet
1663 for members wishing to speak. Notwithstanding any other law,
1664 meetings between the board or a committee and the association's
1665 attorney to discuss proposed or pending litigation or meetings
1666 of the board held for the purpose of discussing personnel
1667 matters are not required to be open to the members other than
1668 directors.
1669      (5)  INSPECTION AND COPYING OF RECORDS.-The official
1670 records shall be maintained within the state and must be open to
1671 inspection and available for photocopying by members or their
1672 authorized agents at reasonable times and places within 10
1673 business days after receipt of a written request for access.
1674 This subsection may be complied with by having a copy of the
1675 official records available for inspection or copying in the
1676 community. If the association has a photocopy machine available
1677 where the records are maintained, it must provide parcel owners
1678 with copies on request during the inspection if the entire
1679 request is limited to no more than 25 pages.
1680      (c)  The association may adopt reasonable written rules
1681 governing the frequency, time, location, notice, records to be
1682 inspected, and manner of inspections, but may not require a
1683 parcel owner to demonstrate any proper purpose for the
1684 inspection, state any reason for the inspection, or limit a
1685 parcel owner's right to inspect records to less than one 8-hour
1686 business day per month. The association may impose fees to cover
1687 the costs of providing copies of the official records,
1688 including, without limitation, the costs of copying. The
1689 association may charge up to 50 cents per page for copies made
1690 on the association's photocopier. If the association does not
1691 have a photocopy machine available where the records are kept,
1692 or if the records requested to be copied exceed 25 pages in
1693 length, the association may have copies made by an outside
1694 vendor or association management company personnel and may
1695 charge the actual cost of copying, including any reasonable
1696 costs involving personnel fees and charges at an hourly rate for
1697 vendor or employee time to cover administrative costs to the
1698 vendor or association. The association shall maintain an
1699 adequate number of copies of the recorded governing documents,
1700 to ensure their availability to members and prospective members.
1701 Notwithstanding this paragraph, the following records are not
1702 accessible to members or parcel owners:
1703      1.  Any record protected by the lawyer-client privilege as
1704 described in s. 90.502 and any record protected by the work-
1705 product privilege, including, but not limited to, a any record
1706 prepared by an association attorney or prepared at the
1707 attorney's express direction which reflects a mental impression,
1708 conclusion, litigation strategy, or legal theory of the attorney
1709 or the association and which was prepared exclusively for civil
1710 or criminal litigation or for adversarial administrative
1711 proceedings or which was prepared in anticipation of such
1712 imminent civil or criminal litigation or imminent adversarial
1713 administrative proceedings until the conclusion of the
1714 litigation or administrative proceedings.
1715      2.  Information obtained by an association in connection
1716 with the approval of the lease, sale, or other transfer of a
1717 parcel.
1718      3.  Personnel records of the association's employees,
1719 including, but not limited to, disciplinary, payroll, health,
1720 and insurance records. For purposes of this subparagraph, the
1721 term "personnel records" does not include written employment
1722 agreements with an association employee or budgetary or
1723 financial records that indicate the compensation paid to an
1724 association employee.
1725      4.  Medical records of parcel owners or community
1726 residents.
1727      5.  Social security numbers, driver's license numbers,
1728 credit card numbers, electronic mailing addresses, telephone
1729 numbers, facsimile numbers, emergency contact information, any
1730 addresses for a parcel owner other than as provided for
1731 association notice requirements, and other personal identifying
1732 information of any person, excluding the person's name, parcel
1733 designation, mailing address, and property address. However, an
1734 owner may consent in writing to the disclosure of protected
1735 information described in this subparagraph. The association is
1736 not liable for the disclosure of information that is protected
1737 under this subparagraph if the information is included in an
1738 official record of the association and is voluntarily provided
1739 by an owner and not requested by the association.
1740      6.  Any electronic security measure that is used by the
1741 association to safeguard data, including passwords.
1742      7.  The software and operating system used by the
1743 association which allows the manipulation of data, even if the
1744 owner owns a copy of the same software used by the association.
1745 The data is part of the official records of the association.
1746      Section 18.  Section 720.305, Florida Statutes, is amended
1747 to read:
1748      720.305  Obligations of members; remedies at law or in
1749 equity; levy of fines and suspension of use rights.-
1750      (1)  Each member and the member's tenants, guests, and
1751 invitees, and each association, are governed by, and must comply
1752 with, this chapter, the governing documents of the community,
1753 and the rules of the association. Actions at law or in equity,
1754 or both, to redress alleged failure or refusal to comply with
1755 these provisions may be brought by the association or by any
1756 member against:
1757      (a)  The association;
1758      (b)  A member;
1759      (c)  Any director or officer of an association who
1760 willfully and knowingly fails to comply with these provisions;
1761 and
1762      (d)  Any tenants, guests, or invitees occupying a parcel or
1763 using the common areas.
1764
1765 The prevailing party in any such litigation is entitled to
1766 recover reasonable attorney's fees and costs. A member
1767 prevailing in an action between the association and the member
1768 under this section, in addition to recovering his or her
1769 reasonable attorney's fees, may recover additional amounts as
1770 determined by the court to be necessary to reimburse the member
1771 for his or her share of assessments levied by the association to
1772 fund its expenses of the litigation. This relief does not
1773 exclude other remedies provided by law. This section does not
1774 deprive any person of any other available right or remedy.
1775      (2)  The association If a member is delinquent for more
1776 than 90 days in paying a monetary obligation due the
1777 association, an association may suspend, until such monetary
1778 obligation is paid, the rights of a member or a member's
1779 tenants, guests, or invitees, or both, to use common areas and
1780 facilities and may levy reasonable fines of up to $100 per
1781 violation, against any member or any member's tenant, guest, or
1782 invitee for the failure of the owner of the parcel or its
1783 occupant, licensee, or invitee to comply with any provision of
1784 the declaration, the association bylaws, or reasonable rules of
1785 the association. A fine may be levied for each day of a
1786 continuing violation, with a single notice and opportunity for
1787 hearing, except that the a fine may not exceed $1,000 in the
1788 aggregate unless otherwise provided in the governing documents.
1789 A fine of less than $1,000 may not become a lien against a
1790 parcel. In any action to recover a fine, the prevailing party is
1791 entitled to collect its reasonable attorney's fees and costs
1792 from the nonprevailing party as determined by the court.
1793      (a)  An association may suspend, for a reasonable period of
1794 time, the right of a member, or a member's tenant, guest, or
1795 invitee, to use common areas and facilities for the failure of
1796 the owner of the parcel or its occupant, licensee, or invitee to
1797 comply with any provision of the declaration, the association
1798 bylaws, or reasonable rules of the association. The provisions
1799 regarding the suspension-of-use rights do not apply to the
1800 portion of common areas that must be used to provide access to
1801 the parcel or utility services provided to the parcel.
1802      (b)(a)  A fine or suspension may not be imposed without at
1803 least 14 days' notice to the person sought to be fined or
1804 suspended and an opportunity for a hearing before a committee of
1805 at least three members appointed by the board who are not
1806 officers, directors, or employees of the association, or the
1807 spouse, parent, child, brother, or sister of an officer,
1808 director, or employee. If the committee, by majority vote, does
1809 not approve a proposed fine or suspension, it may not be
1810 imposed. If the association imposes a fine or suspension, the
1811 association must provide written notice of such fine or
1812 suspension by mail or hand delivery to the parcel owner and, if
1813 applicable, to any tenant, licensee, or invitee of the parcel
1814 owner.
1815      (3)  If a member is more than 90 days delinquent in paying
1816 a monetary obligation due to the association, the association
1817 may suspend the rights of the member, or the member's tenant,
1818 guest, or invitee, to use common areas and facilities until the
1819 monetary obligation is paid in full. This subsection does not
1820 apply to that portion of common areas used to provide access or
1821 utility services to the parcel.
1822      (b)  Suspension does of common-area-use rights do not
1823 impair the right of an owner or tenant of a parcel to have
1824 vehicular and pedestrian ingress to and egress from the parcel,
1825 including, but not limited to, the right to park. The notice and
1826 hearing requirements under subsection (2) do not apply to a
1827 suspension imposed under this subsection.
1828      (4)(3)  If the governing documents so provide, An
1829 association may suspend the voting rights of a parcel or member
1830 for the nonpayment of any monetary obligation due to the
1831 association that is more than regular annual assessments that
1832 are delinquent in excess of 90 days delinquent. A voting
1833 interest or consent right allocated to a parcel or member which
1834 has been suspended by the association may not be counted towards
1835 the total number of voting interests for any purpose, including,
1836 but not limited to, the number of voting interests necessary to
1837 constitute a quorum, the number of voting interests required to
1838 conduct an election, or the number of voting interests required
1839 to approve an action under this chapter or pursuant to the
1840 governing documents. The notice and hearing requirements under
1841 subsection (2) do not apply to a suspension imposed under this
1842 subsection. The suspension ends upon full payment of all
1843 obligations currently due or overdue to the association.
1844      (5)  All suspensions imposed pursuant to subsection (3) or
1845 subsection (4) must be approved at a properly noticed board
1846 meeting. Upon approval, the association must notify the parcel
1847 owner and, if applicable, the parcel's occupant, licensee, or
1848 invitee by mail or hand delivery.
1849      Section 19.  Subsection (9) of section 720.306, Florida
1850 Statutes, is amended to read:
1851      720.306  Meetings of members; voting and election
1852 procedures; amendments.-
1853      (9)(a)  ELECTIONS AND BOARD VACANCIES.- Elections of
1854 directors must be conducted in accordance with the procedures
1855 set forth in the governing documents of the association. All
1856 members of the association are eligible to serve on the board of
1857 directors, and a member may nominate himself or herself as a
1858 candidate for the board at a meeting where the election is to be
1859 held or, if the election process allows voting by absentee
1860 ballot, in advance of the balloting. Except as otherwise
1861 provided in the governing documents, boards of directors must be
1862 elected by a plurality of the votes cast by eligible voters.
1863      (b)  A person who is delinquent in the payment of any fee,
1864 fine, or other monetary obligation to the association for more
1865 than 90 days is not eligible for board membership. A person who
1866 has been convicted of any felony in this state or in a United
1867 States District or Territorial Court, or has been convicted of
1868 any offense in another jurisdiction which would be considered a
1869 felony if committed in this state, is not eligible for board
1870 membership unless such felon's civil rights have been restored
1871 for at least 5 years as of the date on which such person seeks
1872 election to the board. The validity of any action by the board
1873 is not affected if it is later determined that a member of the
1874 board is ineligible for board membership.
1875      (c)  Any election dispute between a member and an
1876 association must be submitted to mandatory binding arbitration
1877 with the division. Such proceedings must be conducted in the
1878 manner provided by s. 718.1255 and the procedural rules adopted
1879 by the division. Unless otherwise provided in the bylaws, any
1880 vacancy occurring on the board before the expiration of a term
1881 may be filled by an affirmative vote of the majority of the
1882 remaining directors, even if the remaining directors constitute
1883 less than a quorum, or by the sole remaining director. In the
1884 alternative, a board may hold an election to fill the vacancy,
1885 in which case the election procedures must conform to the
1886 requirements of the governing documents. Unless otherwise
1887 provided in the bylaws, a board member appointed or elected
1888 under this section is appointed for the unexpired term of the
1889 seat being filled. Filling vacancies created by recall is
1890 governed by s. 720.303(10) and rules adopted by the division.
1891      Section 20.  Paragraph (d) is added to subsection (2) of
1892 section 720.3085, Florida Statutes, and paragraph (a) of
1893 subsection (1) and subsections (3) and (8) of that section are
1894 amended, to read:
1895      720.3085  Payment for assessments; lien claims.-
1896      (1)  When authorized by the governing documents, the
1897 association has a lien on each parcel to secure the payment of
1898 assessments and other amounts provided for by this section.
1899 Except as otherwise set forth in this section, the lien is
1900 effective from and shall relate back to the date on which the
1901 original declaration of the community was recorded. However, as
1902 to first mortgages of record, the lien is effective from and
1903 after recording of a claim of lien in the public records of the
1904 county in which the parcel is located. This subsection does not
1905 bestow upon any lien, mortgage, or certified judgment of record
1906 on July 1, 2008, including the lien for unpaid assessments
1907 created in this section, a priority that, by law, the lien,
1908 mortgage, or judgment did not have before July 1, 2008.
1909      (a)  To be valid, a claim of lien must state the
1910 description of the parcel, the name of the record owner, the
1911 name and address of the association, the assessment amount due,
1912 and the due date. The claim of lien secures shall secure all
1913 unpaid assessments that are due and that may accrue subsequent
1914 to the recording of the claim of lien and before entry of a
1915 certificate of title, as well as interest, late charges, and
1916 reasonable costs and attorney's fees incurred by the association
1917 incident to the collection process. The person making the
1918 payment is entitled to a satisfaction of the lien upon payment
1919 in full.
1920      (2)
1921      (d)  An association, or its successor or assignee, that
1922 acquires title to a parcel through the foreclosure of its lien
1923 for assessments is not liable for any unpaid assessments, late
1924 fees, interest, or reasonable attorney's fees and costs that
1925 came due before the association's acquisition of title in favor
1926 of any other association, as defined in s. 718.103(2) or s.
1927 720.301(9), which holds a superior lien interest on the parcel.
1928 This paragraph is intended to clarify existing law.
1929      (3)  Assessments and installments on assessments that are
1930 not paid when due bear interest from the due date until paid at
1931 the rate provided in the declaration of covenants or the bylaws
1932 of the association, which rate may not exceed the rate allowed
1933 by law. If no rate is provided in the declaration or bylaws,
1934 interest accrues at the rate of 18 percent per year.
1935      (a)  If the declaration or bylaws so provide, the
1936 association may also charge an administrative late fee in an
1937 amount not to exceed the greater of $25 or 5 percent of the
1938 amount of each installment that is paid past the due date.
1939      (b)  Any payment received by an association and accepted
1940 shall be applied first to any interest accrued, then to any
1941 administrative late fee, then to any costs and reasonable
1942 attorney's fees incurred in collection, and then to the
1943 delinquent assessment. This paragraph applies notwithstanding
1944 any restrictive endorsement, designation, or instruction placed
1945 on or accompanying a payment. A late fee is not subject to the
1946 provisions of chapter 687 and is not a fine.
1947      (8)(a)  If the parcel is occupied by a tenant and the
1948 parcel owner is delinquent in paying any monetary obligation due
1949 to the association, the association may demand that the tenant
1950 pay to the association the subsequent rental payments and
1951 continue to make such payments until all the monetary
1952 obligations of the parcel owner related to the parcel have been
1953 paid in full to the association and the future monetary
1954 obligations related to the parcel. The demand is continuing in
1955 nature, and upon demand, the tenant must continue to pay the
1956 monetary obligations until the association releases the tenant
1957 or until the tenant discontinues tenancy in the parcel.
1958      1.  The association must provide the tenant a notice, by
1959 hand delivery or United States mail, in substantially the
1960 following form:
1961
1962      Pursuant to section 720.3085(8), Florida
1963 Statutes, we demand that you make your rent payments
1964 directly to the homeowners' association and continue
1965 doing so until the association notifies you otherwise.
1966      Payment due the homeowners' association may be in
1967 the same form as you paid your landlord and must be
1968 sent by United States mail or hand delivery to
1969 ...(full address)..., payable to ...(name)....
1970      Your obligation to pay your rent to the
1971 association begins immediately, unless you have
1972 already paid rent to your landlord for the current
1973 period before receiving this notice. In that case, you
1974 must provide the association written proof of your
1975 payment within 14 days after receiving this notice and
1976 your obligation to pay rent to the association would
1977 then begin with the next rental period.
1978      Pursuant to section 720.3085(8), Florida
1979 Statutes, your payment of rent to the association
1980 gives you complete immunity from any claim for the
1981 rent by your landlord.
1982
1983      2.  A tenant who acts in good faith in response to a
1984 written demand from an association is immune from any claim by
1985 from the parcel owner related to the rent timely paid to the
1986 association after the association has made written demand.
1987      (b)(a)  If the tenant paid prepaid rent to the landlord or
1988 parcel owner for a given rental period before receiving the
1989 demand from the association and provides written evidence to the
1990 association of having paid paying the rent to the association
1991 within 14 days after receiving the demand, the tenant shall
1992 begin making rental payments to the association for the
1993 following rental period and shall continue making receive credit
1994 for the prepaid rent for the applicable period and must make any
1995 subsequent rental payments to the association to be credited
1996 against the monetary obligations of the parcel owner until the
1997 association releases the tenant or the tenant discontinues
1998 tenancy in the unit to the association. The association shall,
1999 upon request, provide the tenant with written receipts for
2000 payments made. The association shall mail written notice to the
2001 parcel owner of the association's demand that the tenant pay
2002 monetary obligations to the association.
2003      (c)(b)  The liability of the tenant may not exceed the
2004 amount due from the tenant to the tenant's landlord. The tenant
2005 is not liable for increases in the amount of the monetary
2006 obligations due unless the tenant was notified in writing of the
2007 increase at least 10 days before the date on which the rent is
2008 due. The tenant shall be given a credit against rents due to the
2009 landlord parcel owner in the amount of assessments paid to the
2010 association.
2011      (d)(c)  The association may issue notice notices under s.
2012 83.56 and may sue for eviction under ss. 83.59-83.625 as if the
2013 association were a landlord under part II of chapter 83 if the
2014 tenant fails to pay a monetary obligation. However, the
2015 association is not otherwise considered a landlord under chapter
2016 83 and specifically has no obligations duties under s. 83.51.
2017      (e)(d)  The tenant does not, by virtue of payment of
2018 monetary obligations, have any of the rights of a parcel owner
2019 to vote in any election or to examine the books and records of
2020 the association.
2021      (f)(e)  A court may supersede the effect of this subsection
2022 by appointing a receiver.
2023      Section 21.  Section 720.309, Florida Statutes, is amended
2024 to read:
2025      720.309  Agreements entered into by the association.-
2026      (1)  Any grant or reservation made by any document, and any
2027 contract that has with a term greater than in excess of 10
2028 years, that is made by an association before control of the
2029 association is turned over to the members other than the
2030 developer, and that provides which provide for the operation,
2031 maintenance, or management of the association or common areas,
2032 must be fair and reasonable.
2033      (2)  If the governing documents provide for the cost of
2034 communications services as defined in s. 202.11, information
2035 services or Internet services obtained pursuant to a bulk
2036 contract shall be deemed an operating expense of the
2037 association. If the governing documents do not provide for such
2038 services, the board may contract for the services, and the cost
2039 shall be deemed an operating expense of the association but must
2040 be allocated on a per-parcel basis rather than a percentage
2041 basis, notwithstanding that the governing documents provide for
2042 other than an equal sharing of operating expenses. Any contract
2043 entered into before July 1, 2011, in which the cost of the
2044 service is not equally divided among all parcel owners may be
2045 changed by a majority of the voting interests present at a
2046 regular or special meeting of the association in order to
2047 allocate the cost equally among all parcels.
2048      (a)  Any contract entered into by the board may be canceled
2049 by a majority of the voting interests present at the next
2050 regular or special meeting of the association, whichever occurs
2051 first. Any member may make a motion to cancel such contract, but
2052 if no motion is made or if such motion fails to obtain the
2053 required vote, the contract shall be deemed ratified for the
2054 term expressed therein.
2055      (b)  Any contract entered into by the board must provide,
2056 and shall be deemed to provide if not expressly set forth
2057 therein, that a hearing-impaired or legally blind parcel owner
2058 who does not occupy the parcel with a non-hearing-impaired or
2059 sighted person, or a parcel owner who receives supplemental
2060 security income under Title XVI of the Social Security Act or
2061 food assistance as administered by the Department of Children
2062 and Family Services pursuant to s. 414.31, may discontinue the
2063 service without incurring disconnect fees, penalties, or
2064 subsequent service charges, and may not be required to pay any
2065 operating expenses charge related to such service for those
2066 parcels. If fewer than all parcel owners share the expenses of
2067 the communications services, information services, or Internet
2068 services, the expense must be shared by all participating parcel
2069 owners. The association may use the provisions of s. 720.3085 to
2070 enforce payment by the parcel owners receiving such services.
2071      (c)  A resident of any parcel, whether a tenant or parcel
2072 owner, may not be denied access to available franchised,
2073 licensed, or certificated cable or video service providers if
2074 the resident pays the provider directly for services. A resident
2075 or a cable or video service provider may not be required to pay
2076 anything of value in order to obtain or provide such service
2077 except for the charges normally paid for like services by
2078 residents of single-family homes located outside the community
2079 but within the same franchised, licensed, or certificated area,
2080 and except for installation charges agreed to between the
2081 resident and the service provider.
2082      Section 22.  This act shall take effect July 1, 2011.
 
CODING: Words stricken are deletions; words underlined are additions.

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