Understanding SB 154 - Condominium and Coop Safety (Surfside Glitch Bill) Effective June 9, 2023, except as otherwise indicated herein This bill was passed in response to the surfside legislation passed last year, namely SB4D. This legislation clarifies many of the open issues and concerns that Associations were faced with after last year’s legislative session. Applies to Condominiums and Cooperatives. Milestone Inspections The legislature clarified that the requirements for the milestone inspections and structural integrity reserve studies apply only to residential Condominiums and Cooperatives, and not commercial Condominiums or Commercial Cooperatives. Note, the residential portion of a mixed use Condominium or mixed use Cooperative is subject to the milestone inspection and structural integrity reserve study requirements. The previous legislation differentiated between Condominiums and Cooperatives that were within three (3) miles of the coastline versus those that were not located within three (3) miles of a coastline. The coastline analysis has now been removed, and all condominium or cooperative buildings that are three (3) or more stories must conduct their milestone inspections within thirty (30) years of the building’s certificate of occupancy (the “30 Year Mark”), unless an earlier inspection (i.e., within twenty-five (25) years of certificate of occupancy) is justified by a local enforcement agency taking into account certain environmental factors, such as proximity to salt water. The legislature expanded who could perform the milestone inspection so that it could be performed by a “team of professionals,” with an engineer or licensed architect acting as the person responsible. The bill authorizes local enforcement agencies to extend the deadline for a building if it can be shown with good cause that the building has entered into a contract with an engineer or architect before the deadline but that the report cannot be reasonably completed prior to then. The bill specifies that the association must notify the membership of the deadline to complete a milestone inspection within 14 days of notice from the local enforcement agency that a milestone inspection is required. The bill further permits the local enforcement agency to accept a report issued by an engineer or architect that inspected the...

Understanding HB-919 - Homeowners Bill of Rights This law applies only to HOA’s and does not apply to Condominiums or Cooperatives.  This Act takes effect October 1, 2023. For all HOA notices of Board meetings, the notices now must specifically identify all agenda items for the meetings. The bill requires that where an Association collects a deposit from a member for any reason, including construction or a lease security deposit, or any other deposit, the Association must keep that deposit in a separate account from other Association funds.  Upon completion of the construction project or other reason for which the deposit was collected, the member may request an accounting from the Association, and the accounting must be provided within 7 days of the request.  Also, the Association must return any unused funds to the member within thirty (30) days after the construction project or other reason for the deposit has been completed. The bill provides that an owner’s designated mailing address is the member's property address unless the member has sent written notice to the association requesting that a different mailing address be used for all required notices. Similarly, a member's e-mail address is the e-mail address provided when the member consents in writing to receiving electronic notices unless the member has sent written notice to the association requesting that a different e-mail address be used for required notices. The bill provides that officers, directors or managers who knowingly accept a kickback or other items without consideration may be subject to monetary damages. It further provides for removal from office if charged or indicted for certain crimes such as forgery of ballots and envelopes, theft or embezzlement of Association funds, destruction of Association records, and obstruction of justice. If any such criminal charge is pending against an officer or director, such officer or director may not be appointed or elected to any position as an officer or director in any association, nor may have access to any official records of any association, except pursuant to Court Order. The bill requires developer-appointed officers and directors to annually disclose to the association their...

The Florida Association of Counties (FAC) has appointed Broward Commissioner Steve Geller to serve as Chair of the FAC Community & Urban Affairs Committee and Policy Leader on the FAC Finance, Tax & Administration Policy Committee.  The Community & Urban Affairs Committee is tasked with developing and recommending an annual statewide legislative platform for counties based on the following areas: Affordable Housing; Growth Management; Development, Planning and Zoning; State and Regional Transportation and Strategic Intermodal System Issues.  The Finance, Tax and Administration Committee oversees policies relating to the taxation and funding of local governments, administration of essential public services and accessible and accountable county government.  Commissioner Geller is uniquely qualified to serve on these committees with experience as a County Commissioner (2016-Present), Florida State Senator (1998-2008) and Florida State Representative (1988-1998). Geller served as Chair on the State Community Affairs Committee and as Vice Chair and Ranking Minority Member on the Finance and Tax Committee during his 20 years in the State Legislature. His areas of expertise align with those of the Florida Association of Counties. His most recent record of accomplishment includes: Creation of Film Lauderdale that serves as the Broward County Film Commission providing incentives to create high paying jobs, increase tourism and promote Broward County. Commission approval to allow affordable housing in commercially zoned areas located along transit-oriented corridors.Broward County Apprenticeship Program that mandates apprenticeship participation requirements on County construction contracts over $5 million, increasing opportunities for high paying skilled jobs.Advocate for innovative methods for water management and environmental planning as climate change has posed significant challenges such as flooding, sea level rise and extreme temperatures. Committed to public service, Commissioner Geller currently serves as Chair of the Broward County Water Advisory Board and Chair of the South Florida Regional Planning Council. He also serves on the Executive Committee of the Florida Association of Counties and the Broward County Cultural Council. For more than 85 years, the Florida Association of Counties (FAC) has represented the diverse interests of Florida's counties, emphasizing the importance of protecting home rule - the concept that communities and their local leaders should make the decisions that...

We hope you all join us in celebrating Founding Partner Peter S. Sachs’ 50-year anniversary of practicing law in the State of Florida!   Peter became a member of The Florida Bar in 1973. He and his fellow 50-Year members were honored at the 2023 Florida Bar 50-Year Member Luncheon at The Boca Raton on Friday, June 23, 2023. The special event took place during The Florida Bar Annual Convention, which was held from June 21st-24th in Boca Raton. Earlier this year, Peter also celebrated 50 years since graduating from Fordham Law School with other members of the Class of ’73, including Senior Judge  Loretta Preska of the U.S. District Court for the Southern District of New York (SDNY), at their reunion in New York City.   “It is difficult to comprehend that 50 years have elapsed since taking my oath as a Member of the Florida Bar.  I am grateful that along the way I received guidance and mentorship from lawyers and judges that I admired as consummate and ethical professionals.  Looking back, what I cherish most are the friendships that I made with other lawyers, jurists, and the many clients that I was privileged to represent.  I am blessed to still be practicing law and look forward to mentoring the next generation of attorneys, including those at my law firm and two children who followed in my footsteps, one of whom is a Family Law attorney and the other who works in the legal department of The Disney Corporation.” – Peter Sachs   Peter founded Sachs Sax Caplan P.L. in 1979. He is Board Certified in Condominium and Planned Development Law by The Florida Bar and through the years has handled a multitude of matters related to community associations (condominiums, cooperatives, homeowners, master and country clubs). He is considered one of the pioneers in the development of community association law and has earned a reputation as a staunch consumer rights advocate.  Peter’s notable work includes obtaining significant settlements on behalf of each of the four Century Village communities and the Kings Point complex in Delray Beach. He also created and represents Kings Point Recreation Corporation, the...

Hunters Run Property Owners v. Centerline Real Estate, LLC   The firm has struck another blow in support of the right of homeowners’ associations to enact and enforce mandatory country club membership requirements for their members. The Atlanta-based Eleventh U.S. Circuit Court of Appeals, in a complex, 22-page opinion written by Circuit Judge Robert Luck of Miami, affirmed a federal trial court decision in the Southern District of Florida that the exclusive Hunters Run Country Club in Delray Beach had every legal right to enforce its mandatory country club membership provision. The decision was rendered in Case No. 20-11800, Hunters Run Property Owners Association, Inc. v. Centerline Real Estate, LLC. It was the latest of a number of cases across Florida in which unit owner-members of a country club community have brought lawsuits attacking provisions in the declaration of covenants and restrictions requiring homeowners to join their country club. SSC has always been out front in support of homeowners associations in residential communities that require mandatory membership in the country clubs that are within the community. In the March 30 Hunters Run case, SSC principal Robert Rivas, a Florida Bar Board Certified Expert in Appellate Practice, conducted the litigation in both the trial and appellate courts. Notably, Rivas was also lead counsel almost a decade ago in another major appellate precedent establishing the legal propriety of mandatory country club membership provisions. In Harris v. Aberdeen Prop. Owners Ass’n, Inc., 135 So. 3d 365 (Fla. 4th DCA 2014), an appeal Rivas conducted, the Fourth District Court of Appeals of Florida held that a challenge to a provision in a common interest community’s declaration of covenants and restrictions must be filed before the expiration of a five-year statute of limitations. The Harris case involved a mandatory membership amendment and its precedent has been used again and again in untimely attacks on such provisions. Robert Rivas is a Principal in the Tallahassee office of Sachs Sax Caplan, P.L. Previously Mr. Rivas had a career as an award-winning reporter and editor for major newspapers before he entered law school in 1988. He made Law Review and graduated summa cum laude from Nova Law Center in 1991.   

Today, I’d like to discuss something called covenant enforcement. Covenant enforcement is when an association must enforce the rules, regulations and restrictive covenants that are contained in an association’s declaration, whether it's a declaration of condominium or a declaration of covenants and restrictions – and there are many ways of doing so. However, one of the biggest complaints that I've heard over the years is that associations have no teeth to enforce their documents, which is not true. Associations do have teeth – they do have the ability to enforce. The issue primarily is being willing to do what it takes to enforce the documents. Avenues to take include fining, suspending usage rights or potentially suspending voting rights. In extreme cases, you're talking about going to mandatory mediation, which is now required under the homeowner's association statute, Section 720.311 of the Florida Statutes. It's also one of your options under the condominium statute, Section 718.1255. So, you do have some options for covenant enforcement. What we always need to be mindful of when enforcing an association’s rules is that everybody must be treated the same under similar circumstances. You don't want to be in a position where you are trying to enforce your rules and regulations against a unit owner or an occupant, and they raise a defense of selective enforcement. Selective enforcement means that you have enforced the same covenant against one person but not another under similar circumstances. We always must compare apples to apples and oranges to oranges. Other defenses include waiver and estoppel (which are really two sides of the same coin).  For example, if approval was obtained for an architectural change, and the owner expended money and time and contractors in getting the work done, the association can’t come back and change its mind later. The approval has already been relied upon. We never want these kinds of valid defenses to be able to be raised, so we need to be mindful of what we're doing and how we're doing it. We always need to make sure that we're even handed, that we're consistent, and that...

It has never been more challenging to be a board member in a condominium or homeowners association than it is at this time. Association board members in this voluntary position are being interacted by Association Members everywhere they go. In the hallway, at the pool, in the elevator, and everywhere else in the community, they’re being asked board questions and association questions by unit owners - possibly whom they’ve never even met. Aside from the usual worrying about maintenance, assessments and other items, we are now dealing with a pandemic as well - a pandemic that has created a plethora of new issues that we weren’t necessarily expecting. Covid-19 has created a situation where owners are spending more time in their homes, which means more time reviewing their property and its structure. Furthermore, homeowners’ association meetings are now often conducted on Zoom. Therefore, people who otherwise may have rarely shown up and been involved are regularly dropping in live from the comfort of their living room. As an Association attorney, I have clients come to me because newly interested owners are challenging them and their board members. They're challenging the appearance of their community. They're challenging the assessments they're paying, and they're challenging their rights, which sometimes have to be taken away for health, safety and welfare purposes. How do board members overcome or live with these challenges? As Association board members, you have to understand now more than ever, that you are board members when you interact at a meeting with other board members. When you’re walking around the halls or when you are at the pool, you are not a board member. You are not conducting board business, therefore you don't have an obligation to respond to these questions. However, I know that is not a great answer, because unit owners expect answers. So,one of the things I instruct our board members to do is to tell any and all unit owners, “That’s a very important concern, please put it in writing, submit it to our property manager, and we'll take it up at the next board meeting.” That...

Whether you’re an existing board member or a new board member this year, as Community Association Law attorneys, we’d like to offer you some advice as you begin to fulfill your duties in 2023. Here are the 3 top tips for community association board members: 1. Know Your Governing Documents  Whether you're a Condominium Association under Chapter 718 or a Homeowners Association under Chapter 720, your Community Association has a set of governing documents, and the law imposes upon you a duty to know what those documents are as well as their function and purpose.  Both HOAs and condo associations have declarations of covenants and restrictions that impose a set of obligations or stipulations on owners (i.e. use restrictions, ownership restrictions, occupancy restrictions, etc.). Under the law, there is a certain hierarchy in governing documents in which the Declaration is the most important. The other two types of governing documents, the Articles of Incorporation and Bylaws, determine how your corporation runs i.e. eligibility requirements for the board, elections, annual meetings, etc.  Under law, a new board member of a community association – both in condos and HOAs – have an obligation within 90 days of commencing service on the board to certify in writing that they have read and understand all governing documents and agreed to, to the best of their ability, enforce those governing documents according to their provisions.  As community association law attorneys, we also recommend that you take a board certification course, especially if you have never served as a board member before. Along with a Certificate of Completion, you’ll receive valuable information and tips for being a successful board member. Our Community Association Attorneys at Sachs Sax Caplan frequently teach board member certification courses as well as continuing education courses for Florida Community Association Managers. To learn more and find out when our next class is, call 561-994-4499. 2. Treat Your Community Like a Business  As a board member, you have a fiduciary obligation to other members and owners in your community to serve objectively, responsibly, honestly and efficiently. I believe the best way to do that...

Hiring an attorney isn’t really something that most people think about, until they suddenly need one. That means the majority people don’t really know what to look for when they do have to find an experienced attorney in South Florida. If you find yourself searching for one of the best lawyers in West Palm Beach and beyond, here are 5 things you may want to keep in mind: 1) One of the first questions you may have is where to find a great attorney in South Florida. With all the TV ads, billboards and website banners, it can seem overwhelming know where to start and whom to trust. That’s why I suggest to start by asking your friends, family, and colleagues. See if they know or can refer you to someone they have had a positive interaction with. Now you may think, “But I don’t want them to know my personal business.” We understand. Maybe you’ve met an attorney and have their business card tucked away somewhere. Dust off that business card and give them a call. If they can't help you, ask them to refer you to someone who can. 2) The next thing you may be wondering is if your needs will be better served by a big firm or a small firm. Here at Sachs Sax Caplan, we have over 30 attorneys and 32 support staff, offering you all the resources of a big firm while also being able to give you and your case the personal attention that comes with a boutique firm, which we consider as the best kind of firm to solve all legal of your needs. 3) Now that you’ve found some attorneys with whom you are interested in meeting, the next step is to schedule a time to determine who is the right fit for you and your needs. Think of this meeting as somewhat of an interview and, as you would for any interview, do your due diligence beforehand. Check out their websites and read about their firms’ previous cases to help you get a sense of who they are and how...

We at Sachs Sax Caplan want to welcome back all of the out-of-town residents who are now coming back down to South Florida after a summer respite elsewhere in the country. As Community Association attorneys, we would like to give you some brief pointers of things we recommend you do upon returning to the Tri County area.  Start by checking your utilities to ensure they are all turned back on. Check for leaks by flushing all toilets and examining all doors and windows in your home. If you do detect any water leakage in those areas, communicate the problem to your association board and your property manager as soon as possible so they can be remediated expeditiously.  Hopefully you won’t find any problems, however, whether you do or do not have any situation to report, you should contact your property manager or board of directors to inquire about what the board has done since the last time you've left. If you've not had electronic communication with them, you're going to want to ask specifically if there have been any special assessments passed or if there any special assessments planned. Determine whether there have been any large maintenance projects completed or in progress or if there are any plans for upcoming work. Projects like this may affect day-to-day operations in the community, and, of course, you will also want to know how any work done will impact the pocketbook that you have with your association.  You should also be aware of the recent legislation passed in the state in response to the Surfside tragedy that involves stricter building safety requirements. One aspect of SB 4-D involves the funding of reserves for the continued maintenance and repair of condominium and co-op buildings three stories or larger that is now required to be in the budget.  Historically, it is unlikely that your association has already prepared or adequately funded their reserves, and these large-scale projects are likely going to result in a special assessment. The sooner your association can plan and prepare, the less of an impact it will have on each owner.  In...

Benjamin Franklin famously said back in 1736 that “an ounce of prevention is worth a pound of cure.” Mr. Franklin’s saying was most certainly not meant to apply to Florida property owners associations as Florida was not even a state at the time but his advice can be seen as applicable to community associations insofar as service contracts are concerned because it is easier to prevent large costs and legal exposure to an association by sound contract language crafted or approved by an attorney at the start of a relationship with a vendor than to repair the damage that a poorly worded agreement that was simply signed on an association’s behalf without legal review has created. What do I mean by service contract? An important function of an association is to oversee essential services that vendors provide for the community such as landscaping, pest control, asphalt paving, and security. These services require written contracts which should include important terms that protect the association, particularly in the event that the vendor does not perform its side of the bargain or causes damage to a person or property. Why is the assistance of an attorney important in the review of service contracts? Perhaps most significantly, contract disputes can be expensive and time-consuming. And, such disputes are not always incorporated into the association’s annual budget which could put a lot of financial strain on the association and lead to unpopular special assessments. Also, the association can be stuck with a vendor that is doing a poor job. Some examples of where an attorney’s advice is important include making sure the vendor is contractually obligated to provide sufficient insurance and that there are well worded indemnification provisions. There are some nuances in Florida law regarding indemnity and all too often it seems that contracts created by vendors are one-sided and do not protect the association in the event for example that a third party is injured as a result of the vendor’s services. Also, contracts created by the vendor may be unclear or unfavorable to the association regarding the vendor’s responsibilities, the timeframe by which...

My firm receives roughly three phone calls a month from people that have bought or sold homes without the help of a professional real estate attorney and experience post-closing issues. As real estate lawyers, we're here to help avoid having to make those phone calls in the first place.  In the State of Florida, it's not required to have an attorney for your closing transactions – but it is highly recommended. Buying a home is a significant investment, and similarly selling a home is a significant transaction.  Whether buying or selling, you need an attorney on your side, representing your best interests. A real estate agent plays a very important role, but they're not attorneys, nor do they render legal advice. Similarly, in Florida, a title agency serves a role, but they're an independent third party. They do not “represent” you.  However, a board certified real estate attorney can represent you and look out for your best interests. So, why exactly do you need an attorney on a real estate transaction? Following are important issues that an experienced real estate attorney will assist with: Taking Title - An attorney will help you avoid post-closing issues by clarifying important issues at the outset.  Firstly, how do you want to take the title – individually? Jointly? Perhaps you are better suited with a life estate, trust or other type of planning mechanism.  It is far better and more cost-effective to address these issues prior to closing. Tax Planning - Tax planning, including transfer taxes at closing, real estate taxes and potential income taxes, are issues that can be addressed and planned before closing takes place if you discuss it with an experienced real estate attorney beforehand.  Surveys - An attorney will help you raise and review important survey and title issues that a title agent may not share with you – or may not know to. In fact, some title agents close without a survey. However, we always recommend closing with a survey reviewed and commented on by an attorney.  Title Objections - Your attorney will also raise title objections that a title...

Rent is typically a business's second largest expense following wages and a lease is often a five to ten year term. Therefore, your lease is probably one of the most significant contracts that you as a business owner will enter into. And it's probably one of the most costly ones, too. That’s why it's important to understand some of the mechanics of your commercial lease.  Commercial leases are often negotiated, and a reasonable landlord will consider modifications that benefit the tenant.  As a Florida Bar Board Certified Real Estate Attorney, with significant experience in commercial leasing, following are some considerations that I recommend people think about before signing a lease: Exit Strategy: What is your exit strategy? Can you terminate the lease early? And if so, under what circumstances?  Can you assign or sublease? The permitted use allowed in the lease is a function of what you can or can't do with respect to your exit strategy. Timing: What is the timing of the landlord or tenant construction/improvements? Responsibility: Who's paying for construction/improvements? How and when is the landlord dispersing any tenant improvement allowance? Code Changes: Who is responsible for required improvements to the property due to code changes? For instance, several years ago, the ADA changed, and every commercial space had to be modified, therefore you need to know who's responsible for paying and making those changes? CAM Expenses: How are operating expenses, often referred to as CAM (common area maintenance), determined? What's included and excluded in the component of CAM? What are your audit rights as a tenant to review and audit the way the landlord has assessed CAM?Future Alterations: What are your rights to make alterations and improvements to the property after the lease commences? This is particularly important for leases with longer terms and renewal options. Parking: An issue that I find a lot of tenants asked me about is parking and signage. To what extent do you have reserved parking and does any other tenant in the building have reserved parking? Signage: What are your signage rights and who's paying for your signage? Personal Guaranty: Is the lease personally guaranteed, and if so,...

The National Council of Legislators from Gaming States (NCLGS) held its Summer Meeting at the Westin Copley Place in Boston, Massachusetts in early July 2022. Steven Geller, who is the NCLGS’s General Counsel, was a panelist on the topic of Sports Betting at the conference. The conversation centered around the Wire Act of 1961, which banned gambling across state lines. Prior to 2011, the U.S. Department of Justice stated that the Wire Act applied to all types of gambling.   In 2011, the U.S. Department of Justice reversed their prior opinion, and stated that the Wire Act only applied to sports betting. In 2018, the same body reversed the reversal, and again declared that the Wire Act applied to any form of gambling. In 2020, a federal judge ruled that the more limited 2011 interpretation was correct.  In 2021 The 1st Circuit Court of Appeals agreed with the Federal Judge’s ruling that the Wire Act only applied to Sports betting.  However, the U.S. Department of Justice has not changed their interpretation that the Wire Act applies to all types of gambling. These confusing rulings and reversals of the Act were debated by the panel during the session, and, most importantly, how the Wire Act applies to Sports Betting. “In my belief, the current state of sports betting is based more on what people want the law to be, instead of what the law actually is,” said Geller.  “I believe all of these attempts at wireless sports betting seem to violate the Wire Act,” Geller said. “I think [sports betting] should be limited to in-person. Now, do I think Congress should change the law? Absolutely. But until they do, I think we are bound by [the Wire Act].”  Geller said that consideration of limiting sports betting to brick-and-mortar sites might best be looked at for lawmakers in the sense of job creation — with online gambling employing far fewer local residents. “That is one of the fundamental reasons that people justify [legalization of] gambling,” Geller said. When the conversation turned to the possibility of a group of states forming a collective in an...

When I ask people if they have an estate plan, I often get responses such as I'm not wealthy, so I don't need a plan, or I don't have an estate, or why do I need a plan at all? Doesn't everything just go to my spouse and kids? These are common misconceptions regarding estate planning. As an estate planning attorney, it is my recommendation that everyone – regardless of age, wealth, and family status – should have an estate plan. Particularly in these times, where we have seen that things can change so quickly, having a plan has never been more important. Some estate plans are simple and require only a couple of documents, while other plans are more complex. The plan that is right for you should be determined by an experienced estate planning attorney and would be formulated during your consultation process. Oftentimes, there are multiple ways to achieve the results you desire. The main goals of estate planning include: Designating people to make your medical and financial decisions for you while you are alive;Ensuring your property passes to the people you want in the percentages you want, and;Avoiding probate. Clients with minor children are also concerned with designating someone to care for their children should something happen to them. While the Florida law and statutes provide for default answers to all of these situations, having estate planning documents in place can ensure that those responsible for making decisions on your behalf have an easier time doing so. Further, depending on your life’s circumstances, you may not want the default people acting for you or inheriting from you in the way the law outlines. Having a plan really keeps you in control. It allows you to dictate and influence how your own wellbeing is cared for as well as how your family is taken care of after you pass. Schedule a complimentary consultation to learn more about the options and planning tools that are right for you.   Andrew E. Gindea is an Associate Attorney at Sachs Sax Caplan, P.L. practicing in the Estate Planning and Probate Litigation...