ENROLLED HB 0861, Engrossed 1 2003 Legislature
   
1 A bill to be entitled
2          An act relating to homeowners' associations; amending s.
3    712.05, F.S.; providing that a recorded notice to preserve
4    a claim of right or covenant or restriction, or a part
5    thereof, may be filed by a homeowners’ association upon
6    approval by two-thirds of that association’s board of
7    directors; amending s. 712.06, F.S.; providing that
8    content requirements of a recorded notice to preserve a
9    claim of right may be satisfied by a homeowners’
10    association’s affidavit affirming the delivery of a
11    statement to its members; providing a form of said
12    statement of marketable title action; providing that
13    recorded notice of a claim of right is deemed sufficient
14    description of property if it cites official records
15    describing said property by book and page; amending s.
16    720.303, F.S.; providing powers for associations
17    controlled by unit owners other than the developer;
18    providing a limitation on the ability to initiate certain
19    litigation; amending s. 720.306, F.S.; prohibiting certain
20    amendments to bylaws of the associations; providing for a
21    limitation on the applicability of certain provisions of
22    the act; providing an effective date.
23         
24          Be It Enacted by the Legislature of the State of Florida:
25         
26          Section 1. Subsection (1) of section 712.05, Florida
27    Statutes, is amended to read:
28          712.05. Effect of filing notice.--
29          (1) Any person claiming an interest in land or a
30    homeowners’ association desiring to preserve any covenant or
31    restriction may preserve and protect the same from
32    extinguishment by the operation of this act by filing for
33    record, during the 30-year period immediately following the
34    effective date of the root of title, a notice, in writing, in
35    accordance with the provisions hereof, which notice shall have
36    the effect of so preserving such claim of right or such covenant
37    or restriction or portion of such covenant or restriction for a
38    period of not longer than 30 years after filing the same unless
39    again filed as required herein. No disability or lack of
40    knowledge of any kind on the part of anyone shall delay the
41    commencement of or suspend the running of said 30-year period.
42    Such notice may be filed for record by the claimant or by any
43    other person acting on behalf of any claimant who is:
44          (a) Under a disability,
45          (b) Unable to assert a claim on his or her behalf, or
46          (c) One of a class, but whose identity cannot be
47    established or is uncertain at the time of filing such notice of
48    claim for record.
49         
50          Such notice may be filed by a homeowners’ association only if
51    the preservation of such covenant or restriction or portion of
52    such covenant or restriction is approved by at least two-thirds
53    of the members of the board of directors of an incorporated
54    homeowners’ association at a meeting for which a notice, stating
55    the meeting’s time and place and containing the statement of
56    marketable title action described in s. 712.06(1)(b), was mailed
57    or hand delivered to members of the homeowners’ association not
58    less than 7 days prior to such meetinga majority vote at a
59    meeting of the membership where a quorum is present.
60          Section 2. Paragraphs (b) and (e) of subsection (1) of
61    section 712.06, Florida Statutes, are amended to read:
62          712.06 Contents of notice; recording and indexing.--
63          (1) To be effective, the notice above referred to in s.
64    712.05shall contain:
65          (b) The name and post office address of an owner, or the
66    name and post office address of the person in whose name said
67    property is assessed on the last completed tax assessment roll
68    of the county at the time of filing, who, for purpose of such
69    notice, shall be deemed to be an owner; provided, however, if a
70    homeowners’ association is filing the notice, then the
71    requirements of this paragraph may be satisfied by attaching to
72    and recording with the notice an affidavit executed by the
73    appropriate member of the board of directors of the homeowners’
74    association affirming that the board of directors of the
75    homeowners’ association caused a statement in substantially the
76    following form to be mailed or hand delivered to the members of
77    that homeowners’ association:
78         
79 STATEMENT OF MARKETABLE TITLE ACTION
80          The [name of homeowners’ association] (the “Association”)
81    has taken action to ensure that the [name of declaration,
82    covenant, or restriction], recorded in Official Records Book
83    _____, Page _____, of the public records of _____ County,
84    Florida, as may be amended from time to time, currently
85    burdening the property of each and every member of the
86    Association, retains its status as the source of marketable
87    title with regard to the transfer of a member’s residence. To
88    this end, the Association shall cause the notice required by
89    chapter 712, Florida Statutes, to be recorded in the public
90    records of _____ County, Florida. Copies of this notice and its
91    attachments are available through the Association pursuant to
92    the Association’s governing documents regarding official records
93    of the Association.
94          (e) If such claim is based upon an instrument of record or
95    a recorded covenant or restriction, such instrument of record or
96    recorded covenant or restriction shall be deemedshall be
97    sufficiently described to identify the same if the notice
98    includes a, includingreference to the book and page in which
99    the same is recorded.
100          Section 3. Subsection (1) of section 720.303, Florida
101    Statutes, is amended to read:
102          720.303 Association powers and duties; meetings of board;
103    official records; budgets; financial reporting.--
104          (1) POWERS AND DUTIES.--An association which operates a
105    community as defined in s. 720.301, must be operated by an
106    association that is a Florida corporation. After October 1,
107    1995, the association must be incorporated and the initial
108    governing documents must be recorded in the official records of
109    the county in which the community is located. An association may
110    operate more than one community. The officers and directors of
111    an association have a fiduciary relationship to the members who
112    are served by the association. The powers and duties of an
113    association include those set forth in this chapter and, except
114    as expressly limited or restricted in this chapter, those set
115    forth in the governing documents. After control of the
116    association is obtained by unit owners other than the developer,
117    the association may institute, maintain, settle, or appeal
118    actions or hearings in its name on behalf of all members
119    concerning matters of common interest to the members, including,
120    but not limited to, the common areas; roof or structural
121    components of a building, or other improvements for which the
122    association is responsible; mechanical, electrical, or plumbing
123    elements serving an improvement or building for which the
124    association is responsible; representations of the developer
125    pertaining to any existing or proposed commonly used facility;
126    and protesting ad valorem taxes on commonly used facilities. The
127    association may defend actions in eminent domain or bring
128    inverse condemnation actions. Before commencing litigation
129    against any party in the name of the association involving
130    amounts in controversy in excess of $100,000, the association
131    must obtain the affirmative approval of a majority of the voting
132    interests at a meeting of the membership at which a quorum has
133    been attained. This subsection does not limit any statutory or
134    common-law right of any individual member or class of members to
135    bring any action without participation by the association.A
136    member does not have authority to act for the association by
137    virtue of being a member. An association may have more than one
138    class of members and may issue membership certificates.
139          Section 4. Subsection (1) of section 720.306, Florida
140    Statutes, is amended to read:
141          720.306 Meetings of members; voting and election
142    procedures; amendments.--
143          (1) QUORUM; AMENDMENTS.--
144          (a) Unless a lower number is provided in the bylaws, the
145    percentage of voting interests required to constitute a quorum
146    at a meeting of the members shall be 30 percent of the total
147    voting interests. Unless otherwise provided in this chapter or
148    in the articles of incorporation or bylaws, decisions that
149    require a vote of the members must be made by the concurrence of
150    at least a majority of the voting interests present, in person
151    or by proxy, at a meeting at which a quorum has been attained.
152          (b) Unless otherwise provided in the governing documents
153    or required by law, and other than those matters set forth in
154    paragraph (c), any governing document of an association may be
155    amended by the affirmative vote of two-thirds of the voting
156    interests of the association.
157          (c) Unless otherwise provided in the governing documents
158    as originally recorded or permitted by this chapter or chapter
159    617, an amendment may not materially and adversely alter the
160    proportionate voting interest appurtenant to a parcel or
161    increase the proportion or percentage by which a parcel shares
162    in the common expenses of the associationaffect vested rights
163    unless the record parcel owner of the affected parceland all
164    record owners of liens on the affectedparcels join in the
165    execution of the amendment. For purposes of this section, a
166    change in quorum requirements is not an alteration of voting
167    interests.
168          Section 5. The amendments to s. 720.306, Florida Statutes,
169    provided in this act shall not apply to or affect any vested
170    rights recognized by any court order or judgment in any action
171    commenced prior to July 1, 2003, and any such vested rights so
172    recognized may not be subsequently altered without the consent
173    of the affected parcel owner or owners.
174          Section 6. This act shall take effect July 1, 2003.