CS/CS/CS/HB 1195

1
A bill to be entitled
2An act relating to condominium, cooperative, and
3homeowners' associations; amending s. 633.0215, F.S.;
4exempting certain residential buildings from a requirement
5to install or maintain a manual fire alarm system;
6requiring removal of visible portions of the fire alarm
7system that are no longer maintained; amending s. 718.111,
8F.S.; revising provisions relating to the official records
9of condominium associations; providing for disclosure of
10certain employment agreements with and compensation paid
11to association employees; amending s. 718.112, F.S.;
12revising provisions relating to bylaws; providing that
13board of administration meetings discussing personnel
14matters are not open to unit owners; revising requirements
15for electing the board of directors; providing a
16definition; providing for continued office and for filling
17vacancies under certain circumstances; specifying unit
18owner eligibility for board membership; requiring that
19certain educational curriculum be completed within a
20specified time before or after the election or appointment
21of a board director; providing application; amending s.
22718.113, F.S.; authorizing the board of a condominium
23association to install impact glass or other code-
24compliant windows under certain circumstances; amending s.
25718.114, F.S.; requiring the vote or written consent of a
26majority of the total voting interests before a
27condominium association may enter into certain agreements
28to acquire leaseholds, memberships, or other possessory or
29use interests; amending s. 718.116, F.S.; revising
30liability of an association, or its successor or assignee,
31that acquires title to a unit through the foreclosure of
32its lien for assessments; revising provisions relating to
33condominium assessments; providing association notice
34requirements regarding tenants delinquent in paying any
35monetary obligation due to the association; conforming a
36cross-reference; amending s. 718.117, F.S.; providing
37procedures and requirements for termination of a
38condominium property that has been totally destroyed or
39demolished; providing procedures and requirements for
40partial termination of a condominium property; requiring
41that a lien against a condominium unit being terminated be
42transferred to the proceeds of sale for certain portions
43of that property; amending s. 718.303, F.S.; revising
44provisions relating to imposing remedies against a
45delinquent unit owner or a unit owner's tenant, guest, or
46invitee; providing for the suspension of certain rights of
47use; revising provisions relating to the suspension of a
48member's voting rights; requiring that the suspension of
49certain rights of use and voting rights be approved at a
50noticed board meeting; amending s. 718.703, F.S.;
51redefining the term "bulk assignee" and revising the
52definition of the term "bulk buyer" for purposes of the
53Distressed Condominium Relief Act; amending s. 718.704,
54F.S.; revising provisions relating to the assignment and
55assumption of developer rights by a bulk assignee;
56amending s. 718.705, F.S.; revising provisions relating to
57the transfer of control of a condominium board of
58administration to unit owners; amending s. 718.706, F.S.;
59revising provisions relating to the offering of units by a
60bulk assignee or bulk buyer; amending s. 718.707, F.S.;
61revising the time limitation for classification as a bulk
62assignee or bulk buyer; amending s. 719.108, F.S.;
63providing association notice requirements regarding
64tenants delinquent in paying any monetary obligation due
65to the association;  amending s. 719.303, F.S.; revising
66provisions relating to imposing remedies against a
67delinquent unit owner or a unit owner's tenant, guest, or
68invitee; providing for the suspension of certain rights of
69use and voting rights; requiring that the suspension of
70certain rights of use and voting rights be approved at a
71noticed board meeting; amending s. 720.301, F.S.; revising
72the definition of the term "declaration of covenants";
73amending s. 720.303, F.S.; revising provisions relating to
74the rights of a member of a homeowners' association to
75speak at meetings of the board; revising provisions
76relating to records that are not accessible to members of
77a homeowners' association; providing for disclosure of
78employment agreements with and compensation paid to
79association employees; amending s. 720.305, F.S.; revising
80provisions relating to imposing remedies against a
81delinquent member of a homeowners' association or any
82member's tenant, guest, or invitee; providing for the
83suspension of certain rights of use; revising provisions
84relating to the suspension of a member's voting rights;
85requiring that the suspension of certain rights of use and
86voting rights be approved at a noticed board meeting;
87amending s. 720.306, F.S.; specifying additional
88requirements for candidates to be a member of the board of
89a homeowners' association; amending s. 720.3085, F.S.;  
90revising liability of an association, or its successor or
91assignee, that acquires title to a unit through the
92foreclosure of its lien for assessments; providing
93association notice requirements regarding tenants
94delinquent in paying any monetary obligation due to the
95association; amending s. 720.309, F.S.; providing for the
96allocation of communications services by a homeowners'
97association; providing for the cancellation of
98communication contracts; providing that hearing-impaired
99or legally blind parcel owners and parcel owners receiving
100certain supplemental security income or food assistance
101may discontinue the service without incurring certain
102costs; providing that parcel residents may not be denied
103access to available franchised, licensed, or certificated
104cable or video service providers under certain
105circumstances; providing an effective date.
106
107Be It Enacted by the Legislature of the State of Florida:
108
109     Section 1.  Subsection (14) of section 633.0215, Florida
110Statutes, is amended to read:
111     633.0215  Florida Fire Prevention Code.-
112     (14)  A condominium, cooperative, or multifamily
113residential building that is less than four one or two stories
114in height and has an exterior corridor providing a means of
115egress is exempt from installing or maintaining a manual fire
116alarm system as required in s. 9.6 of the most recent edition of
117the Life Safety Code adopted in the Florida Fire Prevention
118Code. An owner who chooses to discontinue maintaining a fire
119alarm system installed in a condominium, cooperative, or
120multifamily residential building under this subsection must
121remove all components of the fire alarm system that are visible
122from the common areas.
123     Section 2.  Paragraphs (a) and (c) of subsection (12) of
124section 718.111, Florida Statutes, are amended to read:
125     718.111  The association.-
126     (12)  OFFICIAL RECORDS.-
127     (a)  From the inception of the association, the association
128shall maintain each of the following items, if applicable, which
129constitutes shall constitute the official records of the
130association:
131     1.  A copy of the plans, permits, warranties, and other
132items provided by the developer pursuant to s. 718.301(4).
133     2.  A photocopy of the recorded declaration of condominium
134of each condominium operated by the association and of each
135amendment to each declaration.
136     3.  A photocopy of the recorded bylaws of the association
137and of each amendment to the bylaws.
138     4.  A certified copy of the articles of incorporation of
139the association, or other documents creating the association,
140and of each amendment thereto.
141     5.  A copy of the current rules of the association.
142     6.  A book or books that which contain the minutes of all
143meetings of the association, of the board of administration, and
144the of unit owners, which minutes must be retained for at least
1457 years.
146     7.  A current roster of all unit owners and their mailing
147addresses, unit identifications, voting certifications, and, if
148known, telephone numbers. The association shall also maintain
149the electronic mailing addresses and facsimile the numbers
150designated by unit owners for receiving notice sent by
151electronic transmission of those unit owners consenting to
152receive notice by electronic transmission. The electronic
153mailing addresses and facsimile telephone numbers are not
154accessible to unit owners must be removed from association
155records if consent to receive notice by electronic transmission
156is not provided in accordance with subparagraph (c)5 revoked.
157However, the association is not liable for an inadvertent
158erroneous disclosure of the electronic mail address or facsimile
159the number for receiving electronic transmission of notices.
160     8.  All current insurance policies of the association and
161condominiums operated by the association.
162     9.  A current copy of any management agreement, lease, or
163other contract to which the association is a party or under
164which the association or the unit owners have an obligation or
165responsibility.
166     10.  Bills of sale or transfer for all property owned by
167the association.
168     11.  Accounting records for the association and separate
169accounting records for each condominium that which the
170association operates. All accounting records must shall be
171maintained for at least 7 years. Any person who knowingly or
172intentionally defaces or destroys such accounting records
173required to be created and maintained by this chapter during the
174period for which such records are required to be maintained, or
175who knowingly or intentionally fails to create or maintain such
176records, with the intent of causing harm to the association or
177one or more of its members, is personally subject to a civil
178penalty pursuant to s. 718.501(1)(d). The accounting records
179must include, but are not limited to:
180     a.  Accurate, itemized, and detailed records of all
181receipts and expenditures.
182     b.  A current account and a monthly, bimonthly, or
183quarterly statement of the account for each unit designating the
184name of the unit owner, the due date and amount of each
185assessment, the amount paid on upon the account, and the balance
186due.
187     c.  All audits, reviews, accounting statements, and
188financial reports of the association or condominium.
189     d.  All contracts for work to be performed. Bids for work
190to be performed are also considered official records and must be
191maintained by the association.
192     12.  Ballots, sign-in sheets, voting proxies, and all other
193papers relating to voting by unit owners, which must be
194maintained for 1 year from the date of the election, vote, or
195meeting to which the document relates, notwithstanding paragraph
196(b).
197     13.  All rental records if the association is acting as
198agent for the rental of condominium units.
199     14.  A copy of the current question and answer sheet as
200described in s. 718.504.
201     15.  All other records of the association not specifically
202included in the foregoing which are related to the operation of
203the association.
204     16.  A copy of the inspection report as described provided
205in s. 718.301(4)(p).
206     (c)  The official records of the association are open to
207inspection by any association member or the authorized
208representative of such member at all reasonable times. The right
209to inspect the records includes the right to make or obtain
210copies, at the reasonable expense, if any, of the member. The
211association may adopt reasonable rules regarding the frequency,
212time, location, notice, and manner of record inspections and
213copying. The failure of an association to provide the records
214within 10 working days after receipt of a written request
215creates a rebuttable presumption that the association willfully
216failed to comply with this paragraph. A unit owner who is denied
217access to official records is entitled to the actual damages or
218minimum damages for the association's willful failure to comply.
219Minimum damages are shall be $50 per calendar day for up to 10
220days, beginning the calculation to begin on the 11th working day
221after receipt of the written request. The failure to permit
222inspection of the association records as provided herein
223entitles any person prevailing in an enforcement action to
224recover reasonable attorney's fees from the person in control of
225the records who, directly or indirectly, knowingly denied access
226to the records. Any person who knowingly or intentionally
227defaces or destroys accounting records that are required by this
228chapter to be maintained during the period for which such
229records are required to be maintained, or who knowingly or
230intentionally fails to create or maintain accounting records
231that are required to be created or maintained, with the intent
232of causing harm to the association or one or more of its
233members, is personally subject to a civil penalty pursuant to s.
234718.501(1)(d). The association shall maintain an adequate number
235of copies of the declaration, articles of incorporation, bylaws,
236and rules, and all amendments to each of the foregoing, as well
237as the question and answer sheet as described provided for in s.
238718.504 and year-end financial information required under in
239this section, on the condominium property to ensure their
240availability to unit owners and prospective purchasers, and may
241charge its actual costs for preparing and furnishing these
242documents to those requesting the documents. Notwithstanding the
243provisions of this paragraph, the following records are not
244accessible to unit owners:
245     1.  Any record protected by the lawyer-client privilege as
246described in s. 90.502; and any record protected by the work-
247product privilege, including a any record prepared by an
248association attorney or prepared at the attorney's express
249direction,; which reflects a mental impression, conclusion,
250litigation strategy, or legal theory of the attorney or the
251association, and which was prepared exclusively for civil or
252criminal litigation or for adversarial administrative
253proceedings, or which was prepared in anticipation of such
254imminent civil or criminal litigation or imminent adversarial
255administrative proceedings until the conclusion of the
256litigation or adversarial administrative proceedings.
257     2.  Information obtained by an association in connection
258with the approval of the lease, sale, or other transfer of a
259unit.
260     3.  Personnel records of association or management company
261employees, including, but not limited to, disciplinary, payroll,
262health, and insurance records. For purposes of this
263subparagraph, the term "personnel records" does not include
264written employment agreements with an association employee or
265management company, or budgetary or financial records that
266indicate the compensation paid to an association employee.
267     4.  Medical records of unit owners.
268     5.  Social security numbers, driver's license numbers,
269credit card numbers, e-mail addresses, telephone numbers,
270facsimile numbers, emergency contact information, any addresses
271of a unit owner other than as provided to fulfill the
272association's notice requirements, and other personal
273identifying information of any person, excluding the person's
274name, unit designation, mailing address, and property address,
275and any address, e-mail address, or facsimile number provided to
276the association to fulfill the association's notice
277requirements. However, an owner may consent in writing to the
278disclosure of protected information described in this
279subparagraph. The association is not liable for the inadvertent
280disclosure of information that is protected under this
281subparagraph if the information is included in an official
282record of the association and is voluntarily provided by an
283owner and not requested by the association.
284     6.  Any Electronic security measures measure that are is
285used by the association to safeguard data, including passwords.
286     7.  The software and operating system used by the
287association which allow the allows manipulation of data, even if
288the owner owns a copy of the same software used by the
289association. The data is part of the official records of the
290association.
291     Section 3.  Paragraphs (b), (c), and (d) of subsection (2)
292of section 718.112, Florida Statutes, are amended to read:
293     718.112  Bylaws.-
294     (2)  REQUIRED PROVISIONS.-The bylaws shall provide for the
295following and, if they do not do so, shall be deemed to include
296the following:
297     (b)  Quorum; voting requirements; proxies.-
298     1.  Unless a lower number is provided in the bylaws, the
299percentage of voting interests required to constitute a quorum
300at a meeting of the members is shall be a majority of the voting
301interests. Unless otherwise provided in this chapter or in the
302declaration, articles of incorporation, or bylaws, and except as
303provided in subparagraph (d)4. (d)3., decisions shall be made by
304owners of a majority of the voting interests represented at a
305meeting at which a quorum is present.
306     2.  Except as specifically otherwise provided herein, after
307January 1, 1992, unit owners may not vote by general proxy, but
308may vote by limited proxies substantially conforming to a
309limited proxy form adopted by the division. A No voting interest
310or consent right allocated to a unit owned by the association
311may not shall be exercised or considered for any purpose,
312whether for a quorum, an election, or otherwise. Limited proxies
313and general proxies may be used to establish a quorum. Limited
314proxies shall be used for votes taken to waive or reduce
315reserves in accordance with subparagraph (f)2.; for votes taken
316to waive the financial reporting requirements of s. 718.111(13);
317for votes taken to amend the declaration pursuant to s. 718.110;
318for votes taken to amend the articles of incorporation or bylaws
319pursuant to this section; and for any other matter for which
320this chapter requires or permits a vote of the unit owners.
321Except as provided in paragraph (d), a after January 1, 1992, no
322proxy, limited or general, may not shall be used in the election
323of board members. General proxies may be used for other matters
324for which limited proxies are not required, and may also be used
325in voting for nonsubstantive changes to items for which a
326limited proxy is required and given. Notwithstanding the
327provisions of this subparagraph, unit owners may vote in person
328at unit owner meetings. This subparagraph does not Nothing
329contained herein shall limit the use of general proxies or
330require the use of limited proxies for any agenda item or
331election at any meeting of a timeshare condominium association.
332     3.  Any proxy given is shall be effective only for the
333specific meeting for which originally given and any lawfully
334adjourned meetings thereof. A In no event shall any proxy is not
335be valid for a period longer than 90 days after the date of the
336first meeting for which it was given. Every proxy is revocable
337at any time at the pleasure of the unit owner executing it.
338     4.  A member of the board of administration or a committee
339may submit in writing his or her agreement or disagreement with
340any action taken at a meeting that the member did not attend.
341This agreement or disagreement may not be used as a vote for or
342against the action taken or to create and may not be used for
343the purposes of creating a quorum.
344     5.  If When any of the board or committee members meet by
345telephone conference, those board or committee members attending
346by telephone conference may be counted toward obtaining a quorum
347and may vote by telephone. A telephone speaker must be used so
348that the conversation of those board or committee members
349attending by telephone may be heard by the board or committee
350members attending in person as well as by any unit owners
351present at a meeting.
352     (c)  Board of administration meetings.-Meetings of the
353board of administration at which a quorum of the members is
354present are shall be open to all unit owners. A Any unit owner
355may tape record or videotape the meetings of the board of
356administration. The right to attend such meetings includes the
357right to speak at such meetings with reference to all designated
358agenda items. The division shall adopt reasonable rules
359governing the tape recording and videotaping of the meeting. The
360association may adopt written reasonable rules governing the
361frequency, duration, and manner of unit owner statements.
362     1.  Adequate notice of all board meetings, which must
363notice shall specifically identify all incorporate an
364identification of agenda items, must shall be posted
365conspicuously on the condominium property at least 48 continuous
366hours before preceding the meeting except in an emergency. If 20
367percent of the voting interests petition the board to address an
368item of business, the board shall at its next regular board
369meeting or at a special meeting of the board, but not later than
37060 days after the receipt of the petition, shall place the item
371on the agenda. Any item not included on the notice may be taken
372up on an emergency basis by at least a majority plus one of the
373board members of the board. Such emergency action must shall be
374noticed and ratified at the next regular board meeting of the
375board. However, written notice of any meeting at which
376nonemergency special assessments, or at which amendment to rules
377regarding unit use, will be considered must shall be mailed,
378delivered, or electronically transmitted to the unit owners and
379posted conspicuously on the condominium property at least not
380less than 14 days before prior to the meeting. Evidence of
381compliance with this 14-day notice requirement must shall be
382made by an affidavit executed by the person providing the notice
383and filed with among the official records of the association.
384Upon notice to the unit owners, the board shall, by duly adopted
385rule, designate a specific location on the condominium property
386or association property where upon which all notices of board
387meetings are to shall be posted. If there is no condominium
388property or association property where upon which notices can be
389posted, notices of board meetings shall be mailed, delivered, or
390electronically transmitted at least 14 days before the meeting
391to the owner of each unit. In lieu of or in addition to the
392physical posting of the notice of any meeting of the board of
393administration on the condominium property, the association may,
394by reasonable rule, adopt a procedure for conspicuously posting
395and repeatedly broadcasting the notice and the agenda on a
396closed-circuit cable television system serving the condominium
397association. However, if broadcast notice is used in lieu of a
398notice posted physically posted on the condominium property, the
399notice and agenda must be broadcast at least four times every
400broadcast hour of each day that a posted notice is otherwise
401required under this section. If When broadcast notice is
402provided, the notice and agenda must be broadcast in a manner
403and for a sufficient continuous length of time so as to allow an
404average reader to observe the notice and read and comprehend the
405entire content of the notice and the agenda. Notice of any
406meeting in which regular or special assessments against unit
407owners are to be considered for any reason must shall
408specifically state that assessments will be considered and
409provide the nature, estimated cost, and description of the
410purposes for such assessments.
411     2.  Meetings of a committee to take final action on behalf
412of the board or make recommendations to the board regarding the
413association budget are subject to the provisions of this
414paragraph. Meetings of a committee that does not take final
415action on behalf of the board or make recommendations to the
416board regarding the association budget are subject to the
417provisions of this section, unless those meetings are exempted
418from this section by the bylaws of the association.
419     3.  Notwithstanding any other law, the requirement that
420board meetings and committee meetings be open to the unit owners
421does not apply is inapplicable to:
422     a.  Meetings between the board or a committee and the
423association's attorney, with respect to proposed or pending
424litigation, if when the meeting is held for the purpose of
425seeking or rendering legal advice; or
426     b.  Board meetings held for the purpose of discussing
427personnel matters.
428     (d)  Unit owner meetings.-
429     1.  An annual meeting of the unit owners shall be held at
430the location provided in the association bylaws and, if the
431bylaws are silent as to the location, the meeting shall be held
432within 45 miles of the condominium property. However, such
433distance requirement does not apply to an association governing
434a timeshare condominium.
435     2.  Unless the bylaws provide otherwise, a vacancy on the
436board caused by the expiration of a director's term shall be
437filled by electing a new board member, and the election must be
438by secret ballot. An election is not required However, if the
439number of vacancies equals or exceeds the number of candidates,
440an election is not required. For purposes of this paragraph, the
441term "candidate" means an eligible person who has timely
442submitted the written notice, as described in sub-subparagraph
4434.a., of his or her intention to become a candidate. Except in a
444timeshare condominium, or if the staggered term of a board
445member does not expire until a later annual meeting, or if all
446members terms would otherwise expire but there are no
447candidates, the terms of all board members of the board expire
448at the annual meeting, and such board members may stand for
449reelection unless prohibited otherwise permitted by the bylaws.
450If the bylaws permit staggered terms of no more than 2 years and
451upon approval of a majority of the total voting interests, the
452association board members may serve 2-year staggered terms. If
453the number of board members whose terms expire at the annual
454meeting equals or have expired exceeds the number of candidates,
455the candidates become members of the board effective upon the
456adjournment of the annual meeting. Unless the bylaws provide
457otherwise, any remaining vacancies shall be filled by the
458affirmative vote of the majority of the directors making up the
459newly constituted board even if the directors constitute less
460than a quorum or there is only one director eligible members
461showing interest in or demonstrating an intention to run for the
462vacant positions, each board member whose term has expired is
463eligible for reappointment to the board of administration and
464need not stand for reelection. In a condominium association of
465more than 10 units or in a condominium association that does not
466include timeshare units or timeshare interests, coowners of a
467unit may not serve as members of the board of directors at the
468same time unless they own more than one unit or unless there are
469not enough eligible candidates to fill the vacancies on the
470board at the time of the vacancy. Any unit owner desiring to be
471a candidate for board membership must comply with sub-
472subparagraph 4.a. and must be eligible to serve on the board of
473directors at the time of the deadline for submitting a notice of
474intent to run in order to have his or her name listed as a
475proper candidate on the ballot or to serve on the board 3.a. A
476person who has been suspended or removed by the division under
477this chapter, or who is delinquent in the payment of any fee,
478fine, or special or regular assessment as provided in paragraph
479(n), is not eligible for board membership. A person who has been
480convicted of any felony in this state or in a United States
481District or Territorial Court, or who has been convicted of any
482offense in another jurisdiction which that would be considered a
483felony if committed in this state, is not eligible for board
484membership unless such felon's civil rights have been restored
485for at least 5 years as of the date on which such person seeks
486election to the board. The validity of an action by the board is
487not affected if it is later determined that a board member of
488the board is ineligible for board membership due to having been
489convicted of a felony.
490     3.2.  The bylaws must provide the method of calling
491meetings of unit owners, including annual meetings. Written
492notice, which must include an agenda, must shall be mailed, hand
493delivered, or electronically transmitted to each unit owner at
494least 14 days before the annual meeting, and must be posted in a
495conspicuous place on the condominium property at least 14
496continuous days before preceding the annual meeting. Upon notice
497to the unit owners, the board shall, by duly adopted rule,
498designate a specific location on the condominium property or
499association property where upon which all notices of unit owner
500meetings shall be posted. This requirement does not apply
501However, if there is no condominium property or association
502property for posting upon which notices can be posted, this
503requirement does not apply. In lieu of, or in addition to, the
504physical posting of meeting notices, the association may, by
505reasonable rule, adopt a procedure for conspicuously posting and
506repeatedly broadcasting the notice and the agenda on a closed-
507circuit cable television system serving the condominium
508association. However, if broadcast notice is used in lieu of a
509notice posted physically on the condominium property, the notice
510and agenda must be broadcast at least four times every broadcast
511hour of each day that a posted notice is otherwise required
512under this section. If broadcast notice is provided, the notice
513and agenda must be broadcast in a manner and for a sufficient
514continuous length of time so as to allow an average reader to
515observe the notice and read and comprehend the entire content of
516the notice and the agenda. Unless a unit owner waives in writing
517the right to receive notice of the annual meeting, such notice
518must be hand delivered, mailed, or electronically transmitted to
519each unit owner. Notice for meetings and notice for all other
520purposes must be mailed to each unit owner at the address last
521furnished to the association by the unit owner, or hand
522delivered to each unit owner. However, if a unit is owned by
523more than one person, the association must shall provide notice,
524for meetings and all other purposes, to the that one address
525that which the developer initially identifies for that purpose
526and thereafter as one or more of the owners of the unit shall
527advise the association in writing, or if no address is given or
528the owners of the unit do not agree, to the address provided on
529the deed of record. An officer of the association, or the
530manager or other person providing notice of the association
531meeting, must shall provide an affidavit or United States Postal
532Service certificate of mailing, to be included in the official
533records of the association affirming that the notice was mailed
534or hand delivered, in accordance with this provision.
535     4.3.  The members of the board shall be elected by written
536ballot or voting machine. Proxies may not be used in electing
537the board in general elections or elections to fill vacancies
538caused by recall, resignation, or otherwise, unless otherwise
539provided in this chapter.
540     a.  At least 60 days before a scheduled election, the
541association shall mail, deliver, or electronically transmit,
542whether by separate association mailing or included in another
543association mailing, delivery, or transmission, including
544regularly published newsletters, to each unit owner entitled to
545a vote, a first notice of the date of the election. Any unit
546owner or other eligible person desiring to be a candidate for
547the board must give written notice of his or her intent to be a
548candidate to the association at least 40 days before a scheduled
549election. Together with the written notice and agenda as set
550forth in subparagraph 3. 2., the association shall mail,
551deliver, or electronically transmit a second notice of the
552election to all unit owners entitled to vote, together with a
553ballot that lists all candidates. Upon request of a candidate,
554an information sheet, no larger than 8 1/2 inches by 11 inches,
555which must be furnished by the candidate at least 35 days before
556the election, must be included with the mailing, delivery, or
557transmission of the ballot, with the costs of mailing, delivery,
558or electronic transmission and copying to be borne by the
559association. The association is not liable for the contents of
560the information sheets prepared by the candidates. In order to
561reduce costs, the association may print or duplicate the
562information sheets on both sides of the paper. The division
563shall by rule establish voting procedures consistent with this
564sub-subparagraph, including rules establishing procedures for
565giving notice by electronic transmission and rules providing for
566the secrecy of ballots. Elections shall be decided by a
567plurality of those ballots cast. There is no quorum requirement;
568however, at least 20 percent of the eligible voters must cast a
569ballot in order to have a valid election of members of the
570board. A unit owner may not permit any other person to vote his
571or her ballot, and any ballots improperly cast are invalid. A,
572provided any unit owner who violates this provision may be fined
573by the association in accordance with s. 718.303. A unit owner
574who needs assistance in casting the ballot for the reasons
575stated in s. 101.051 may obtain such assistance. The regular
576election must occur on the date of the annual meeting. This sub-
577subparagraph does not apply to timeshare condominium
578associations. Notwithstanding this sub-subparagraph, an election
579is not required unless more candidates file notices of intent to
580run or are nominated than board vacancies exist.
581     b.  Within 90 days after being elected or appointed to the
582board, each newly elected or appointed director shall certify in
583writing to the secretary of the association that he or she has
584read the association's declaration of condominium, articles of
585incorporation, bylaws, and current written policies; that he or
586she will work to uphold such documents and policies to the best
587of his or her ability; and that he or she will faithfully
588discharge his or her fiduciary responsibility to the
589association's members. In lieu of this written certification,
590within 90 days after being elected or appointed to the board,
591the newly elected or appointed director may submit a certificate
592of having satisfactorily completed satisfactory completion of
593the educational curriculum administered by a division-approved
594condominium education provider within 1 year before or 90 days
595after the date of election or appointment. The written
596certification or educational certificate is valid and does not
597have to be resubmitted as long as the director serves on the
598board without interruption. A director who fails to timely file
599the written certification or educational certificate is
600suspended from service on the board until he or she complies
601with this sub-subparagraph. The board may temporarily fill the
602vacancy during the period of suspension. The secretary shall
603cause the association to retain a director's written
604certification or educational certificate for inspection by the
605members for 5 years after a director's election. Failure to have
606such written certification or educational certificate on file
607does not affect the validity of any board action.
608     5.4.  Any approval by unit owners called for by this
609chapter or the applicable declaration or bylaws, including, but
610not limited to, the approval requirement in s. 718.111(8), must
611shall be made at a duly noticed meeting of unit owners and is
612subject to all requirements of this chapter or the applicable
613condominium documents relating to unit owner decisionmaking,
614except that unit owners may take action by written agreement,
615without meetings, on matters for which action by written
616agreement without meetings is expressly allowed by the
617applicable bylaws or declaration or any law statute that
618provides for such action.
619     6.5.  Unit owners may waive notice of specific meetings if
620allowed by the applicable bylaws or declaration or any law
621statute. If authorized by the bylaws, notice of meetings of the
622board of administration, unit owner meetings, except unit owner
623meetings called to recall board members under paragraph (j), and
624committee meetings may be given by electronic transmission to
625unit owners who consent to receive notice by electronic
626transmission.
627     7.6.  Unit owners shall have the right to participate in
628meetings of unit owners with reference to all designated agenda
629items. However, the association may adopt reasonable rules
630governing the frequency, duration, and manner of unit owner
631participation.
632     8.7.  A Any unit owner may tape record or videotape a
633meeting of the unit owners subject to reasonable rules adopted
634by the division.
635     9.8.  Unless otherwise provided in the bylaws, any vacancy
636occurring on the board before the expiration of a term may be
637filled by the affirmative vote of the majority of the remaining
638directors, even if the remaining directors constitute less than
639a quorum, or by the sole remaining director. In the alternative,
640a board may hold an election to fill the vacancy, in which case
641the election procedures must conform to the requirements of sub-
642subparagraph 4.a. 3.a. unless the association governs 10 units
643or fewer and has opted out of the statutory election process, in
644which case the bylaws of the association control. Unless
645otherwise provided in the bylaws, a board member appointed or
646elected under this section shall fill the vacancy for the
647unexpired term of the seat being filled. Filling vacancies
648created by recall is governed by paragraph (j) and rules adopted
649by the division.
650     10.  This chapter does not limit the use of general or
651limited proxies, require the use of general or limited proxies,
652or require the use of a written ballot or voting machine for any
653agenda item or election at any meeting of a timeshare
654condominium association.
655
656Notwithstanding subparagraph (b)2. and sub-subparagraph 4.a.
657(d)3.a., an association of 10 or fewer units may, by affirmative
658vote of a majority of the total voting interests, provide for
659different voting and election procedures in its bylaws, which
660vote may be by a proxy specifically delineating the different
661voting and election procedures. The different voting and
662election procedures may provide for elections to be conducted by
663limited or general proxy.
664     Section 4.  Subsection (5) of section 718.113, Florida
665Statutes, is amended to read:
666     718.113  Maintenance; limitation upon improvement; display
667of flag; hurricane shutters; display of religious decorations.-
668     (5)  Each board of administration shall adopt hurricane
669shutter specifications for each building within each condominium
670operated by the association which shall include color, style,
671and other factors deemed relevant by the board. All
672specifications adopted by the board must shall comply with the
673applicable building code.
674     (a)  The board may, subject to the provisions of s.
675718.3026, and the approval of a majority of voting interests of
676the condominium, install hurricane shutters, impact glass or
677other code-compliant windows, or hurricane protection that
678complies with or exceeds the applicable building code. However,
679or both, except that a vote of the owners is not required if the
680maintenance, repair, and replacement of hurricane shutters,
681impact glass, or other code-compliant windows or other forms of
682hurricane protection are the responsibility of the association
683pursuant to the declaration of condominium. If However, where
684hurricane protection or laminated glass or window film
685architecturally designed to function as hurricane protection
686which complies with or exceeds the current applicable building
687code has been previously installed, the board may not install
688hurricane shutters, or other hurricane protection, or impact
689glass or other code-compliant windows except upon approval by a
690majority vote of the voting interests.
691     (b)  The association is shall be responsible for the
692maintenance, repair, and replacement of the hurricane shutters
693or other hurricane protection authorized by this subsection if
694such hurricane shutters or other hurricane protection is the
695responsibility of the association pursuant to the declaration of
696condominium. If the hurricane shutters or other hurricane
697protection authorized by this subsection are the responsibility
698of the unit owners pursuant to the declaration of condominium,
699the responsibility for the maintenance, repair, and replacement
700of such items are shall be the responsibility of the unit owner.
701     (c)  The board may operate shutters installed pursuant to
702this subsection without permission of the unit owners only if
703where such operation is necessary to preserve and protect the
704condominium property and association property. The installation,
705replacement, operation, repair, and maintenance of such shutters
706in accordance with the procedures set forth in this paragraph
707are herein shall not be deemed a material alteration to the
708common elements or association property within the meaning of
709this section.
710     (d)  Notwithstanding any other provision to the contrary in
711the condominium documents, if approval is required by the
712documents, a board may shall not refuse to approve the
713installation or replacement of hurricane shutters by a unit
714owner conforming to the specifications adopted by the board.
715     Section 5.  Section 718.114, Florida Statutes, is amended
716to read:
717     718.114  Association powers.-An association may has the
718power to enter into agreements, to acquire leaseholds,
719memberships, and other possessory or use interests in lands or
720facilities such as country clubs, golf courses, marinas, and
721other recreational facilities,. It has this power whether or not
722the lands or facilities are contiguous to the lands of the
723condominium, if such lands and facilities they are intended to
724provide enjoyment, recreation, or other use or benefit to the
725unit owners. All of these leaseholds, memberships, and other
726possessory or use interests existing or created at the time of
727recording the declaration must be stated and fully described in
728the declaration. Subsequent to the recording of the declaration,
729agreements acquiring these leaseholds, memberships, or other
730possessory or use interests which are not entered into within 12
731months following the recording of the declaration are shall be
732considered a material alteration or substantial addition to the
733real property that is association property, and the association
734may not acquire or enter into such agreements acquiring these
735leaseholds, memberships, or other possessory or use interests
736except upon a vote of, or written consent by, a majority of the
737total voting interests or as authorized by the declaration as
738provided in s. 718.113. The declaration may provide that the
739rental, membership fees, operations, replacements, and other
740expenses are common expenses and may impose covenants and
741restrictions concerning their use and may contain other
742provisions not inconsistent with this chapter. A condominium
743association may conduct bingo games as provided in s. 849.0931.
744     Section 6.  Paragraph (b) of subsection (1), subsection
745(3), paragraph (b) of subsection (5), and subsection (11) of
746section 718.116, Florida Statutes, are amended to read:
747     718.116  Assessments; liability; lien and priority;
748interest; collection.-
749     (1)
750     (b)1. The liability of a first mortgagee or its successor
751or assignees who acquire title to a unit by foreclosure or by
752deed in lieu of foreclosure for the unpaid assessments that
753became due before the mortgagee's acquisition of title is
754limited to the lesser of:
755     a.1.  The unit's unpaid common expenses and regular
756periodic assessments which accrued or came due during the 12
757months immediately preceding the acquisition of title and for
758which payment in full has not been received by the association;
759or
760     b.2.  One percent of the original mortgage debt. The
761provisions of this paragraph apply only if the first mortgagee
762joined the association as a defendant in the foreclosure action.
763Joinder of the association is not required if, on the date the
764complaint is filed, the association was dissolved or did not
765maintain an office or agent for service of process at a location
766which was known to or reasonably discoverable by the mortgagee.
767     2.  An association, or its successor or assignee, that
768acquires title to a unit through the foreclosure of its lien for
769assessments is not liable for any unpaid assessments, late fees,
770interest, or reasonable attorney's fees and costs that came due
771before the association's acquisition of title in favor of any
772other association, as defined in s. 718.103(2) or s. 720.301(9),
773which holds a superior lien interest on the unit. This
774subparagraph is intended to clarify existing law.
775     (3)  Assessments and installments on assessments which are
776not paid when due bear interest at the rate provided in the
777declaration, from the due date until paid. The This rate may not
778exceed the rate allowed by law, and, if no rate is provided in
779the declaration, interest accrues at the rate of 18 percent per
780year. Also, If provided by the declaration or bylaws, the
781association may, in addition to such interest, charge an
782administrative late fee of up to the greater of $25 or 5 percent
783of each installment of the assessment for each delinquent
784installment for which the payment is late. Any payment received
785by an association must be applied first to any interest accrued
786by the association, then to any administrative late fee, then to
787any costs and reasonable attorney's fees incurred in collection,
788and then to the delinquent assessment. The foregoing is
789applicable notwithstanding any restrictive endorsement,
790designation, or instruction placed on or accompanying a payment.
791A late fee is not subject to chapter 687 or s. 718.303(4)(3).
792     (5)
793     (b)  To be valid, a claim of lien must state the
794description of the condominium parcel, the name of the record
795owner, the name and address of the association, the amount due,
796and the due dates. It must be executed and acknowledged by an
797officer or authorized agent of the association. The lien is not
798effective longer than 1 year after the claim of lien was
799recorded unless, within that time, an action to enforce the lien
800is commenced. The 1-year period is automatically extended for
801any length of time during which the association is prevented
802from filing a foreclosure action by an automatic stay resulting
803from a bankruptcy petition filed by the parcel owner or any
804other person claiming an interest in the parcel. The claim of
805lien secures all unpaid assessments that are due and that may
806accrue after the claim of lien is recorded and through the entry
807of a final judgment, as well as interest and all reasonable
808costs and attorney's fees incurred by the association incident
809to the collection process. Upon payment in full, the person
810making the payment is entitled to a satisfaction of the lien.
811
812After notice of contest of lien has been recorded, the clerk of
813the circuit court shall mail a copy of the recorded notice to
814the association by certified mail, return receipt requested, at
815the address shown in the claim of lien or most recent amendment
816to it and shall certify to the service on the face of the
817notice. Service is complete upon mailing. After service, the
818association has 90 days in which to file an action to enforce
819the lien; and, if the action is not filed within the 90-day
820period, the lien is void. However, the 90-day period shall be
821extended for any length of time during which that the
822association is prevented from filing its action because of an
823automatic stay resulting from the filing of a bankruptcy
824petition by the unit owner or by any other person claiming an
825interest in the parcel.
826     (11)(a)  If the unit is occupied by a tenant and the unit
827owner is delinquent in paying any monetary obligation due to the
828association, the association may make a written demand that the
829tenant pay to the association the subsequent rental payments
830future monetary obligations related to the condominium unit to
831the association, and continue to the tenant must make such
832payments until all monetary obligations of the unit owner
833related to the unit have been paid in full to the association
834payment. The demand is continuing in nature and, upon demand,
835The tenant must pay the monetary obligations to the association
836until the association releases the tenant or the tenant
837discontinues tenancy in the unit.
838     1.  The association must provide the tenant a notice, by
839hand delivery or United States mail, in substantially the
840following form:
841
842     Pursuant to section 718.116(11), Florida
843Statutes, the association demands that you pay your
844rent directly to the condominium association and
845continue doing so until the association notifies you
846otherwise.
847     Payment due the condominium association may be in
848the same form as you paid your landlord and must be
849sent by United States mail or hand delivery to
850...(full address)..., payable to ...(name)....
851     Your obligation to pay your rent to the
852association begins immediately, unless you have
853already paid rent to your landlord for the current
854period before receiving this notice. In that case, you
855must provide the association written proof of your
856payment within 14 days after receiving this notice and
857your obligation to pay rent to the association would
858then begin with the next rental period.
859     Pursuant to section 718.116(11), Florida
860Statutes, your payment of rent to the association
861gives you complete immunity from any claim for the
862rent by your landlord for all amounts timely paid to
863the association.
864
865     2.  The association must mail written notice to the unit
866owner of the association's demand that the tenant make payments
867to the association.
868     3.  The association shall, upon request, provide the tenant
869with written receipts for payments made.
870     4.  A tenant who acts in good faith in response to a
871written demand from an association is immune from any claim by  
872from the landlord or unit owner related to the rent timely paid
873to the association after the association has made written
874demand.
875     (b)(a)  If the tenant paid prepaid rent to the landlord or
876unit owner for a given rental period before receiving the demand
877from the association and provides written evidence to the
878association of having paid paying the rent to the association
879within 14 days after receiving the demand, the tenant shall
880begin making rental payments to the association for the
881following rental period and shall continue making receive credit
882for the prepaid rent for the applicable period and must make any
883subsequent rental payments to the association to be credited
884against the monetary obligations of the unit owner until the
885association releases the tenant or the tenant discontinues
886tenancy in the unit to the association.
887     (c)(b)  The tenant is not liable for increases in the
888amount of the monetary obligations due unless the tenant was
889notified in writing of the increase at least 10 days before the
890date the rent is due. The liability of the tenant may not exceed
891the amount due from the tenant to the tenant's landlord. The
892tenant's landlord shall provide the tenant a credit against
893rents due to the landlord unit owner in the amount of moneys
894paid to the association under this section.
895     (d)(c)  The association may issue notice notices under s.
89683.56 and may sue for eviction under ss. 83.59-83.625 as if the
897association were a landlord under part II of chapter 83 if the
898tenant fails to pay a required payment to the association after
899written demand has been made to the tenant. However, the
900association is not otherwise considered a landlord under chapter
90183 and specifically has no obligations duties under s. 83.51.
902     (e)(d)  The tenant does not, by virtue of payment of
903monetary obligations to the association, have any of the rights
904of a unit owner to vote in any election or to examine the books
905and records of the association.
906     (f)(e)  A court may supersede the effect of this subsection
907by appointing a receiver.
908     Section 7.  Subsections (2), (3), (4), and (11), paragraphs
909(a) and (d) of subsection (12), subsection (14), paragraph (a)
910of subsection (17), and subsections (18) and (19) of section
911718.117, Florida Statutes, are amended to read:
912     718.117  Termination of condominium.-
913     (2)  TERMINATION BECAUSE OF ECONOMIC WASTE OR
914IMPOSSIBILITY.-
915     (a)  Notwithstanding any provision in the declaration, the
916condominium form of ownership of a property may be terminated by
917a plan of termination approved by the lesser of the lowest
918percentage of voting interests necessary to amend the
919declaration or as otherwise provided in the declaration for
920approval of termination if:
921     1.  The total estimated cost of construction or repairs
922necessary to construct the intended improvements or restore the
923improvements to their former condition or bring them into
924compliance with applicable laws or regulations exceeds the
925combined fair market value of the units in the condominium after
926completion of the construction or repairs; or
927     2.  It becomes impossible to operate or reconstruct a
928condominium to its prior physical configuration because of land
929use laws or regulations.
930     (b)  Notwithstanding paragraph (a), a condominium in which
93175 percent or more of the units are timeshare units may be
932terminated only pursuant to a plan of termination approved by 80
933percent of the total voting interests of the association and the
934holders of 80 percent of the original principal amount of
935outstanding recorded mortgage liens of timeshare estates in the
936condominium, unless the declaration provides for a lower voting
937percentage.
938     (c)  Notwithstanding paragraph (a), a condominium that
939includes units and timeshare estates where the improvements have
940been totally destroyed or demolished may be terminated pursuant
941to a plan of termination proposed by a unit owner upon the
942filing of a petition in court seeking equitable relief. Within
94310 days after the filing of a petition as provided in this
944paragraph and in lieu of the requirements of paragraph (15)(a),
945the petitioner shall record the proposed plan of termination and
946mail a copy of the proposed plan and a copy of the petition to:
947     1.  If the association has not been dissolved as a matter
948of law, each member of the board of directors of the association
949identified in the most recent annual report filed with the
950Department of State and the registered agent of the association;
951     2.  The managing entity as defined in s. 721.05(22);
952     3.  Each unit owner and each timeshare estate owner at the
953address reflected in the official records of the association,
954or, if the association records cannot be obtained by the
955petitioner, each unit owner and each timeshare estate owner at
956the address listed in the office of the tax collector for tax
957notices; and
958     4.  Each holder of a recorded mortgage lien affecting a
959unit or timeshare estate at the address appearing on the
960recorded mortgage or any recorded assignment thereof.
961
962The association, if it has not been dissolved as a matter of
963law, acting as class representative, or the managing entity as
964defined in s. 721.05(22), any unit owner, any timeshare estate
965owner, or any holder of a recorded mortgage lien affecting a
966unit or timeshare estate may intervene in the proceedings to
967contest the proposed plan of termination brought pursuant to
968this paragraph. The provisions of subsection (9), to the extent
969inconsistent with this paragraph, and subsection (16) are not
970applicable to a party contesting a plan of termination under
971this paragraph. If no party intervenes to contest the proposed
972plan within 45 days after the filing of the petition, the
973petitioner may move the court to enter a final judgment to
974authorize implementation of the plan of termination. If a party
975timely intervenes to contest the proposed plan, the plan may not
976be implemented until a final judgment has been entered by the
977court finding that the proposed plan of termination is fair and
978reasonable and authorizing implementation of the plan.
979     (3)  OPTIONAL TERMINATION.-Except as provided in subsection
980(2) or unless the declaration provides for a lower percentage,
981the condominium form of ownership of the property may be
982terminated for all or a portion of the condominium property
983pursuant to a plan of termination approved by at least 80
984percent of the total voting interests of the condominium if no
985not more than 10 percent of the total voting interests of the
986condominium have rejected the plan of termination by negative
987vote or by providing written objections thereto. This subsection
988does not apply to condominiums in which 75 percent or more of
989the units are timeshare units.
990     (4)  EXEMPTION.-A plan of termination is not an amendment
991subject to s. 718.110(4). In a partial termination, a plan of
992termination is not an amendment subject to s. 718.110(4) if the
993ownership share of the common elements of a surviving unit in
994the condominium remains in the same proportion to the surviving
995units as it was before the partial termination.
996     (11)  PLAN OF TERMINATION; OPTIONAL PROVISIONS; CONDITIONAL
997TERMINATION.-
998     (a)  The plan of termination may provide that each unit
999owner retains the exclusive right of possession to the portion
1000of the real estate which that formerly constituted the unit if,
1001in which case the plan specifies must specify the conditions of
1002possession. In a partial termination, the plan of termination as
1003specified in subsection (10) must also identify the units that
1004survive the partial termination and provide that such units
1005remain in the condominium form of ownership pursuant to an
1006amendment to the declaration of condominium or an amended and
1007restated declaration. In a partial termination, title to the
1008surviving units and common elements that remain part of the
1009condominium property specified in the plan of termination remain
1010vested in the ownership shown in the public records and do not
1011vest in the termination trustee.
1012     (b)  In a conditional termination, the plan must specify
1013the conditions for termination. A conditional plan does not vest
1014title in the termination trustee until the plan and a
1015certificate executed by the association with the formalities of
1016a deed, confirming that the conditions in the conditional plan
1017have been satisfied or waived by the requisite percentage of the
1018voting interests, have been recorded. In a partial termination,
1019the plan does not vest title to the surviving units or common
1020elements that remain part of the condominium property in the
1021termination trustee.
1022     (12)  ALLOCATION OF PROCEEDS OF SALE OF CONDOMINIUM
1023PROPERTY.-
1024     (a)  Unless the declaration expressly provides for the
1025allocation of the proceeds of sale of condominium property, the
1026plan of termination must first apportion the proceeds between
1027the aggregate value of all units and the value of the common
1028elements, based on their respective fair market values
1029immediately before the termination, as determined by one or more
1030independent appraisers selected by the association or
1031termination trustee. In a partial termination, the aggregate
1032values of the units and common elements that are being
1033terminated must be separately determined, and the plan of
1034termination must specify the allocation of the proceeds of sale
1035for the units and common elements.
1036     (d)  Liens that encumber a unit shall be transferred to the
1037proceeds of sale of the condominium property and the proceeds of
1038sale or other distribution of association property, common
1039surplus, or other association assets attributable to such unit
1040in their same priority. In a partial termination, liens that
1041encumber a unit being terminated must be transferred to the
1042proceeds of sale of that portion of the condominium property
1043being terminated which are attributable to such unit. The
1044proceeds of any sale of condominium property pursuant to a plan
1045of termination may not be deemed to be common surplus or
1046association property.
1047     (14)  TITLE VESTED IN TERMINATION TRUSTEE.-If termination
1048is pursuant to a plan of termination under subsection (2) or
1049subsection (3), the unit owners' rights and title to as tenants
1050in common in undivided interests in the condominium property
1051being terminated vests vest in the termination trustee when the
1052plan is recorded or at a later date specified in the plan. The
1053unit owners thereafter become the beneficiaries of the proceeds
1054realized from the plan of termination as set forth in the plan.
1055The termination trustee may deal with the condominium property
1056being terminated or any interest therein if the plan confers on
1057the trustee the authority to protect, conserve, manage, sell, or
1058dispose of the condominium property. The trustee, on behalf of
1059the unit owners, may contract for the sale of real property
1060being terminated, but the contract is not binding on the unit
1061owners until the plan is approved pursuant to subsection (2) or
1062subsection (3).
1063     (17)  DISTRIBUTION.-
1064     (a)  Following termination of the condominium, the
1065condominium property, association property, common surplus, and
1066other assets of the association shall be held by the termination
1067trustee pursuant to the plan of termination, as trustee for unit
1068owners and holders of liens on the units, in their order of
1069priority unless otherwise set forth in the plan of termination.
1070     (18)  ASSOCIATION STATUS.-The termination of a condominium
1071does not change the corporate status of the association that
1072operated the condominium property. The association continues to
1073exist to conclude its affairs, prosecute and defend actions by
1074or against it, collect and discharge obligations, dispose of and
1075convey its property, and collect and divide its assets, but not
1076to act except as necessary to conclude its affairs. In a partial
1077termination, the association may continue as the condominium
1078association for the property that remains subject to the
1079declaration of condominium.
1080     (19)  CREATION OF ANOTHER CONDOMINIUM.-The termination or
1081partial termination of a condominium does not bar the filing of
1082a new declaration of condominium or an amended and restated
1083declaration of condominium by the termination trustee, or the
1084trustee's successor in interest, for the terminated property or
1085affecting any portion thereof of the same property. The partial
1086termination of a condominium may provide for the simultaneous
1087filing of an amendment to the declaration of condominium or an
1088amended and restated declaration of condominium by the
1089condominium association for any portion of the property not
1090terminated from the condominium form of ownership.
1091     Section 8.  Subsections (3), (4), and (5) of section
1092718.303, Florida Statutes, are amended, and subsection (6) is
1093added to that section, to read:
1094     718.303  Obligations of owners and occupants; remedies.-
1095     (3)  If a unit owner is delinquent for more than 90 days in
1096paying a monetary obligation due to the association, the
1097association may suspend the right of a unit owner or a unit's
1098occupant, licensee, or invitee to use common elements, common
1099facilities, or any other association property until the monetary
1100obligation is paid. This subsection does not apply to limited
1101common elements intended to be used only by that unit, common
1102elements that must be used to access the unit, utility services
1103provided to the unit, parking spaces, or elevators. The
1104association may also levy reasonable fines for the failure of
1105the owner of the unit, or its occupant, licensee, or invitee, to
1106comply with any provision of the declaration, the association
1107bylaws, or reasonable rules of the association. A fine may does
1108not become a lien against a unit. A fine may not exceed $100 per
1109violation. However, A fine may be levied on the basis of each
1110day of a continuing violation, with a single notice and
1111opportunity for hearing. However, the fine may not exceed $100
1112per violation, or $1,000 in the aggregate exceed $1,000.
1113     (a)  An association may suspend, for a reasonable period of
1114time, the right of a unit owner, or a unit owner's tenant,
1115guest, or invitee, to use the common elements, common
1116facilities, or any other association property for failure to
1117comply with any provision of the declaration, the association
1118bylaws, or reasonable rules of the association.
1119     (b)  A fine or suspension may not be imposed levied and a
1120suspension may not be imposed unless the association first
1121provides at least 14 days' written notice and an opportunity for
1122a hearing to the unit owner and, if applicable, its occupant,
1123licensee, or invitee. The hearing must be held before a
1124committee of other unit owners who are neither board members nor
1125persons residing in a board member's household. If the committee
1126does not agree with the fine or suspension, the fine or
1127suspension may not be levied or imposed.
1128     (4)  If a unit owner is more than 90 days delinquent in
1129paying a monetary obligation due to the association, the
1130association may suspend the right of the unit owner or the
1131unit's occupant, licensee, or invitee to use common elements,
1132common facilities, or any other association property until the
1133monetary obligation is paid in full. This subsection does not
1134apply to limited common elements intended to be used only by
1135that unit, common elements needed to access the unit, utility
1136services provided to the unit, parking spaces, or elevators. The
1137notice and hearing requirements under subsection (3) do not
1138apply to suspensions imposed under this subsection.
1139     (4)  The notice and hearing requirements of subsection (3)
1140do not apply to the imposition of suspensions or fines against a
1141unit owner or a unit's occupant, licensee, or invitee because of
1142failing to pay any amounts due the association. If such a fine
1143or suspension is imposed, the association must levy the fine or
1144impose a reasonable suspension at a properly noticed board
1145meeting, and after the imposition of such fine or suspension,
1146the association must notify the unit owner and, if applicable,
1147the unit's occupant, licensee, or invitee by mail or hand
1148delivery.
1149     (5)  An association may also suspend the voting rights of a
1150unit or member due to nonpayment of any monetary obligation due
1151to the association which is more than 90 days delinquent. A
1152voting interest or consent right allocated to a unit or member
1153which has been suspended by the association may not be counted
1154towards the total number of voting interests necessary to
1155constitute a quorum, the number of voting interests required to
1156conduct an election, or the number of voting interests required
1157to approve an action under this chapter or pursuant to the
1158declaration, articles of incorporation, or bylaws. The
1159suspension ends upon full payment of all obligations currently
1160due or overdue the association. The notice and hearing
1161requirements under subsection (3) do not apply to a suspension
1162imposed under this subsection.
1163     (6)  All suspensions imposed pursuant to subsection (4) or
1164subsection (5) must be approved at a properly noticed board
1165meeting. Upon approval, the association must notify the unit
1166owner and, if applicable, the unit's occupant, licensee, or
1167invitee by mail or hand delivery.
1168     Section 9.  Section 718.703, Florida Statutes, is amended
1169to read:
1170     718.703  Definitions.-As used in this part, the term:
1171     (1)  "Bulk assignee" means a person who is not a bulk buyer
1172and who:
1173     (a)  Acquires more than seven condominium parcels in a
1174single condominium as set forth in s. 718.707; and
1175     (b)  Receives an assignment of any of the developer rights,
1176other than or in addition to those rights described in
1177subsection (2), some or all of the rights of the developer as
1178set forth in the declaration of condominium or this chapter: by
1179     1.  By a written instrument recorded as part of or as an
1180exhibit to the deed; or as
1181     2.  By a separate instrument recorded in the public records
1182of the county in which the condominium is located; or
1183     3.  Pursuant to a final judgment or certificate of title
1184issued in favor of a purchaser at a foreclosure sale.
1185
1186A mortgagee or its assignee may not be deemed a bulk assignee or
1187a developer by reason of the acquisition of condominium units
1188and receipt of an assignment of some or all of a developer
1189rights unless the mortgagee or its assignee exercises any of the
1190developer rights other than those described in subsection (2).
1191     (2)  "Bulk buyer" means a person who acquires more than
1192seven condominium parcels in a single condominium as set forth
1193in s. 718.707, but who does not receive an assignment of any
1194developer rights, or receives only some or all of the following
1195rights: other than
1196     (a)  The right to conduct sales, leasing, and marketing
1197activities within the condominium;
1198     (b)  The right to be exempt from the payment of working
1199capital contributions to the condominium association arising out
1200of, or in connection with, the bulk buyer's acquisition of the a
1201bulk number of units; and
1202     (c)  The right to be exempt from any rights of first
1203refusal which may be held by the condominium association and
1204would otherwise be applicable to subsequent transfers of title
1205from the bulk buyer to a third party purchaser concerning one or
1206more units.
1207     Section 10.  Section 718.704, Florida Statutes, is amended
1208to read:
1209     718.704  Assignment and assumption of developer rights by
1210bulk assignee; bulk buyer.-
1211     (1)  A bulk assignee is deemed to have assumed assumes and
1212is liable for all duties and responsibilities of the developer
1213under the declaration and this chapter upon its acquisition of
1214title to units and continuously thereafter, except that it is
1215not liable for:
1216     (a)  Warranties of the developer under s. 718.203(1) or s.
1217718.618, except as expressly provided by the bulk assignee in a
1218prospectus or offering circular, or the contract for purchase
1219and sale executed with a purchaser, or for design, construction,
1220development, or repair work performed by or on behalf of the
1221such bulk assignee.;
1222     (b)  The obligation to:
1223     1.  Fund converter reserves under s. 718.618 for a unit
1224that was not acquired by the bulk assignee; or
1225     2.  Provide implied converter warranties on any portion of
1226the condominium property except as expressly provided by the
1227bulk assignee in a prospectus or offering circular, or the
1228contract for purchase and sale executed with a purchaser, or for
1229and pertaining to any design, construction, development, or
1230repair work performed by or on behalf of the bulk assignee.;
1231     (c)  The requirement to provide the association with a
1232cumulative audit of the association's finances from the date of
1233formation of the condominium association as required by s.
1234718.301(4)(c). However, the bulk assignee must provide an audit
1235for the period during which the bulk assignee elects or appoints
1236a majority of the members of the board of administration.;
1237     (d)  Any liability arising out of or in connection with
1238actions taken by the board of administration or the developer-
1239appointed directors before the bulk assignee elects or appoints
1240a majority of the members of the board of administration.; and
1241     (e)  Any liability for or arising out of the developer's
1242failure to fund previous assessments or to resolve budgetary
1243deficits in relation to a developer's right to guarantee
1244assessments, except as otherwise provided in subsection (2).
1245
1246The bulk assignee is also responsible only for delivering
1247documents and materials in accordance with s. 718.705(3). A bulk
1248assignee may expressly assume some or all of the developer
1249obligations of the developer described in paragraphs (a)-(e).
1250     (2)  A bulk assignee assigned the developer right receiving
1251the assignment of the rights of the developer to guarantee the
1252level of assessments and fund budgetary deficits pursuant to s.
1253718.116 assumes and is liable for all obligations of the
1254developer with respect to such guarantee upon its acquisition of
1255title to the units and continuously thereafter, including any
1256applicable funding of reserves to the extent required by law,
1257for as long as the guarantee remains in effect. A bulk assignee
1258not receiving such assignment, or a bulk buyer, does not assume
1259and is not liable for the obligations of the developer with
1260respect to such guarantee, but is responsible for payment of
1261assessments due on or after acquisition of the units in the same
1262manner as all other owners of condominium parcels or as
1263otherwise provided in s. 718.116.
1264     (3)  A bulk buyer is liable for the duties and
1265responsibilities of a the developer under the declaration and
1266this chapter only to the extent that such provided in this part,
1267together with any other duties or responsibilities are of the
1268developer expressly assumed in writing by the bulk buyer.
1269     (4)  An acquirer of condominium parcels is not a bulk
1270assignee or a bulk buyer if the transfer to such acquirer was
1271made:
1272     (a)  Before the effective date of this part;
1273     (b)  With the intent to hinder, delay, or defraud any
1274purchaser, unit owner, or the association;, or if the acquirer
1275is
1276     (c)  By a person who would be considered an insider under
1277s. 726.102(7).
1278     (5)  An assignment of developer rights to a bulk assignee
1279may be made by a the developer, a previous bulk assignee, a
1280mortgagee or assignee who has acquired title to the units and
1281received an assignment of rights, or a court acting on behalf of
1282the developer or the previous bulk assignee if such developer
1283rights are held by the predecessor in title to the bulk
1284assignee. At any particular time, there may not be no more than
1285one bulk assignee within a condominium; however, but there may
1286be more than one bulk buyer. If more than one acquirer of
1287condominium parcels in the same condominium receives an
1288assignment of developer rights in addition to those rights
1289described in s. 718.703(2) from the same person, the bulk
1290assignee is the acquirer whose instrument of assignment is
1291recorded first in the public records of the county in which the
1292condominium is located, and any subsequent purported bulk
1293assignee may still qualify as a bulk buyer.
1294     Section 11.  Subsections (1) and (3) of section 718.705,
1295Florida Statutes, are amended to read:
1296     718.705  Board of administration; transfer of control.-
1297     (1)  If, at the time the bulk assignee acquires title to
1298the units and receives an assignment of developer rights, the
1299developer has not relinquished control of the board of
1300administration, for purposes of determining the timing for
1301transfer of control of the board of administration of the
1302association to unit owners other than the developer under s.
1303718.301(1)(a) and (b), if a bulk assignee is entitled to elect a
1304majority of the members of the board, a condominium parcel
1305acquired by the bulk assignee is not deemed to be conveyed to a
1306purchaser, or owned by an owner other than the developer, until
1307the condominium parcel is conveyed to an owner who is not a bulk
1308assignee.
1309     (3)  If a bulk assignee relinquishes control of the board
1310of administration as set forth in s. 718.301, the bulk assignee
1311must deliver all of those items required by s. 718.301(4).
1312However, the bulk assignee is not required to deliver items and
1313documents not in the possession of the bulk assignee if some
1314items were or should have been in existence before the bulk
1315assignee's acquisition of the units during the period during
1316which the bulk assignee was entitled to elect at least a
1317majority of the members of the board of administration. In
1318conjunction with the acquisition of units condominium parcels, a
1319bulk assignee shall undertake a good faith effort to obtain the
1320documents and materials that must be provided to the association
1321pursuant to s. 718.301(4). If the bulk assignee is not able to
1322obtain all of such documents and materials, the bulk assignee
1323must certify in writing to the association the names or
1324descriptions of the documents and materials that were not
1325obtainable by the bulk assignee. Delivery of the certificate
1326relieves the bulk assignee of responsibility for delivering the
1327documents and materials referenced in the certificate as
1328otherwise required under ss. 718.112 and 718.301 and this part.
1329The responsibility of the bulk assignee for the audit required
1330by s. 718.301(4) commences as of the date on which the bulk
1331assignee elected or appointed a majority of the members of the
1332board of administration.
1333     Section 12.  Section 718.706, Florida Statutes, is amended
1334to read:
1335     718.706  Specific provisions pertaining to offering of
1336units by a bulk assignee or bulk buyer.-
1337     (1)  Before offering more than seven any units in a single
1338condominium for sale or for lease for a term exceeding 5 years,
1339a bulk assignee or a bulk buyer must file the following
1340documents with the division and provide such documents to a
1341prospective purchaser or tenant:
1342     (a)  An updated prospectus or offering circular, or a
1343supplement to the prospectus or offering circular, filed by the
1344original developer prepared in accordance with s. 718.504, which
1345must include the form of contract for sale and for lease in
1346compliance with s. 718.503(2);
1347     (b)  An updated Frequently Asked Questions and Answers
1348sheet;
1349     (c)  The executed escrow agreement if required under s.
1350718.202; and
1351     (d)  The financial information required by s. 718.111(13).
1352However, if a financial information report did does not exist
1353for the fiscal year before the acquisition of title by the bulk
1354assignee or bulk buyer, and if or accounting records that cannot
1355be obtained in good faith by the bulk assignee or the bulk buyer
1356which would permit preparation of the required financial
1357information report for that period cannot be obtained despite
1358good faith efforts by the bulk assignee or the bulk buyer, the
1359bulk assignee or bulk buyer is excused from the requirement of
1360this paragraph. However, the bulk assignee or bulk buyer must
1361include in the purchase contract the following statement in
1362conspicuous type:
1363
1364ALL OR A PORTION OF THE FINANCIAL INFORMATION REPORT
1365REQUIRED UNDER S. 718.111(13) FOR THE TIME PERIOD
1366BEFORE THE SELLER'S ACQUISITION OF THE UNIT
1367IMMEDIATELY PRECEDING FISCAL YEAR OF THE ASSOCIATION
1368IS NOT AVAILABLE OR CANNOT BE OBTAINED DESPITE THE
1369GOOD FAITH EFFORTS OF CREATED BY THE SELLER DUE TO THE
1370INSUFFICIENT ACCOUNTING RECORDS OF THE ASSOCIATION.
1371
1372     (2)  Before offering more than seven any units in a single
1373condominium for sale or for lease for a term exceeding 5 years,
1374a bulk assignee or a bulk buyer must file with the division and
1375provide to a prospective purchaser or tenant under a lease for a
1376term exceeding 5 years a disclosure statement that includes, but
1377is not limited to:
1378     (a)  A description of any rights of the developer rights
1379that developer which have been assigned to the bulk assignee or
1380bulk buyer;
1381     (b)  The following statement in conspicuous type:
1382
1383THE SELLER IS NOT OBLIGATED FOR ANY WARRANTIES OF THE
1384DEVELOPER UNDER S. 718.203(1) OR S. 718.618, AS
1385APPLICABLE, EXCEPT FOR DESIGN, CONSTRUCTION,
1386DEVELOPMENT, OR REPAIR WORK PERFORMED BY OR ON BEHALF
1387OF THE SELLER; and
1388
1389     (c)  If the condominium is a conversion subject to part VI,
1390the following statement in conspicuous type:
1391
1392THE SELLER HAS NO OBLIGATION TO FUND CONVERTER
1393RESERVES OR TO PROVIDE CONVERTER WARRANTIES UNDER S.
1394718.618 ON ANY PORTION OF THE CONDOMINIUM PROPERTY
1395EXCEPT AS MAY BE EXPRESSLY REQUIRED OF THE SELLER IN
1396THE CONTRACT FOR PURCHASE AND SALE EXECUTED BY THE
1397SELLER AND THE PREVIOUS DEVELOPER AND PERTAINING TO
1398ANY DESIGN, CONSTRUCTION, DEVELOPMENT, OR REPAIR WORK
1399PERFORMED BY OR ON BEHALF OF THE SELLER.
1400
1401     (3)  A bulk assignee, while it is in control of the board
1402of administration of the association, may not authorize, on
1403behalf of the association:
1404     (a)  The waiver of reserves or the reduction of funding of
1405the reserves pursuant to s. 718.112(2)(f)2., unless approved by
1406a majority of the voting interests not controlled by the
1407developer, bulk assignee, and bulk buyer; or
1408     (b)  The use of reserve expenditures for other purposes
1409pursuant to s. 718.112(2)(f)3., unless approved by a majority of
1410the voting interests not controlled by the developer, bulk
1411assignee, and bulk buyer.
1412     (4)  A bulk assignee or a bulk buyer must comply with all
1413the requirements of s. 718.302 regarding any contracts entered
1414into by the association during the period the bulk assignee or
1415bulk buyer maintains control of the board of administration.
1416Unit owners shall be provided afforded all of the rights and the
1417protections contained in s. 718.302 regarding agreements entered
1418into by the association which are under the control of before
1419unit owners other than the developer, bulk assignee, or bulk
1420buyer elected a majority of the board of administration.
1421     (5)  Notwithstanding any other provision of this part, a
1422bulk assignee or a bulk buyer is not required to comply with the
1423filing or disclosure requirements of subsections (1) and (2) if
1424all of the units owned by the bulk assignee or bulk buyer are
1425offered and conveyed to a single purchaser in a single
1426transaction. A bulk buyer must comply with the requirements
1427contained in the declaration regarding any transfer of a unit,
1428including sales, leases, and subleases. A bulk buyer is not
1429entitled to any exemptions afforded a developer or successor
1430developer under this chapter regarding the transfer of a unit,
1431including sales, leases, or subleases.
1432     Section 13.  Section 718.707, Florida Statutes, is amended
1433to read:
1434     718.707  Time limitation for classification as bulk
1435assignee or bulk buyer.-A person acquiring condominium parcels
1436may not be classified as a bulk assignee or bulk buyer unless
1437the condominium parcels were acquired on or after July 1, 2010,
1438but before July 1, 2012. The date of such acquisition shall be
1439determined by the date of recording of a deed or other
1440instrument of conveyance for such parcels in the public records
1441of the county in which the condominium is located, or by the
1442date of issuing issuance of a certificate of title in a
1443foreclosure proceeding with respect to such condominium parcels.
1444     Section 14.  Subsections (3), (4), and (10) of section
1445719.108, Florida Statutes, are amended to read:
1446     719.108  Rents and assessments; liability; lien and
1447priority; interest; collection; cooperative ownership.-
1448     (3)  Rents and assessments, and installments on them, not
1449paid when due bear interest at the rate provided in the
1450cooperative documents from the date due until paid. This rate
1451may not exceed the rate allowed by law, and, if a rate is not
1452provided in the cooperative documents, interest accrues at 18
1453percent per annum. If the cooperative documents or bylaws so
1454provide, the association may charge an administrative late fee
1455in addition to such interest, in an amount not to exceed the
1456greater of $25 or 5 percent of each installment of the
1457assessment for each delinquent installment that the payment is
1458late. Any payment received by an association must be applied
1459first to any interest accrued by the association, then to any
1460administrative late fee, then to any costs and reasonable
1461attorney's fees incurred in collection, and then to the
1462delinquent assessment. The foregoing applies notwithstanding any
1463restrictive endorsement, designation, or instruction placed on
1464or accompanying a payment. A late fee is not subject to chapter
1465687 or s. 719.303(4)(3).
1466     (4)  The association has a lien on each cooperative parcel
1467for any unpaid rents and assessments, plus interest, and any
1468authorized administrative late fees, and any reasonable costs
1469for collection services for which the association has contracted
1470against the unit owner of the cooperative parcel. If authorized
1471by the cooperative documents, the lien also secures reasonable
1472attorney's fees incurred by the association incident to the
1473collection of the rents and assessments or enforcement of such
1474lien. The lien is effective from and after recording a claim of
1475lien in the public records in the county in which the
1476cooperative parcel is located which states the description of
1477the cooperative parcel, the name of the unit owner, the amount
1478due, and the due dates. The lien expires if a claim of lien is
1479not filed within 1 year after the date the assessment was due,
1480and the lien does not continue for longer than 1 year after the
1481claim of lien has been recorded unless, within that time, an
1482action to enforce the lien is commenced. Except as otherwise
1483provided in this chapter, a lien may not be filed by the
1484association against a cooperative parcel until 30 days after the
1485date on which a notice of intent to file a lien has been
1486delivered to the owner.
1487     (a)  The notice must be sent to the unit owner at the
1488address of the unit by first-class United States mail and:
1489     1.  If the most recent address of the unit owner on the
1490records of the association is the address of the unit, the
1491notice must be sent by registered or certified mail, return
1492receipt requested, to the unit owner at the address of the unit.
1493     2.  If the most recent address of the unit owner on the
1494records of the association is in the United States, but is not
1495the address of the unit, the notice must be sent by registered
1496or certified mail, return receipt requested, to the unit owner
1497at his or her most recent address.
1498     3.  If the most recent address of the unit owner on the
1499records of the association is not in the United States, the
1500notice must be sent by first-class United States mail to the
1501unit owner at his or her most recent address.
1502     (b)  A notice that is sent pursuant to this subsection is
1503deemed delivered upon mailing.
1504     (10)(a)  If the unit is occupied by a tenant and the unit
1505owner is delinquent in paying any monetary obligation due to the
1506association, the association may make a written demand that the
1507tenant pay to the association the subsequent rental payments
1508future monetary obligations related to the cooperative share to
1509the association and continue to the tenant must make such
1510payments until all monetary obligations of the unit owner
1511related to the unit have been paid in full to the association
1512payment. The demand is continuing in nature, and upon demand,
1513The tenant must pay the monetary obligations to the association
1514until the association releases the tenant or the tenant
1515discontinues tenancy in the unit.
1516     1.  The association must provide the tenant a notice, by
1517hand delivery or United States mail, in substantially the
1518following form:
1519
1520     Pursuant to section 719.108(10), Florida
1521Statutes, we demand that you make your rent payments
1522directly to the cooperative association and continue
1523doing so until the association notifies you otherwise.
1524     Payment due the cooperative association may be in
1525the same form as you paid your landlord and must be
1526sent by United States mail or hand delivery to
1527...(full address)..., payable to ...(name)....
1528     Your obligation to pay your rent to the
1529association begins immediately, unless you have
1530already paid rent to your landlord for the current
1531period before receiving this notice. In that case, you
1532must provide the association written proof of your
1533payment within 14 days after receiving this notice and
1534your obligation to pay rent to the association would
1535then begin with the next rental period.
1536     Pursuant to section 719.108(10), Florida
1537Statutes, your payment of rent to the association
1538gives you complete immunity from any claim for the
1539rent by your landlord.
1540
1541     2.  The association must mail written notice to the unit
1542owner of the association's demand that the tenant make payments
1543to the association.
1544     3.  The association shall, upon request, provide the tenant
1545with written receipts for payments made.
1546     4.  A tenant who acts in good faith in response to a
1547written demand from an association is immune from any claim by
1548from the landlord or unit owner related to the rent timely paid
1549to the association after the association has made written
1550demand.
1551     (b)(a)  If the tenant paid prepaid rent to the landlord or
1552unit owner for a given rental period before receiving the demand
1553from the association and provides written evidence to the
1554association of having paid paying the rent to the association
1555within 14 days after receiving the demand, the tenant shall
1556begin making rental payments to the association for the
1557following rental period and shall continue making receive credit
1558for the prepaid rent for the applicable period and must make any
1559subsequent rental payments to the association to be credited
1560against the monetary obligations of the unit owner until the
1561association releases the tenant or the tenant discontinues
1562tenancy in the unit to the association.
1563     (c)(b)  The tenant is not liable for increases in the
1564amount of the regular monetary obligations due unless the tenant
1565was notified in writing of the increase at least 10 days before
1566the date on which the rent is due. The liability of the tenant
1567may not exceed the amount due from the tenant to the tenant's
1568landlord. The tenant's landlord shall provide the tenant a
1569credit against rents due to the landlord unit owner in the
1570amount of moneys paid to the association under this section.
1571     (d)(c)  The association may issue notice notices under s.
157283.56 and may sue for eviction under ss. 83.59-83.625 as if the
1573association were a landlord under part II of chapter 83 if the
1574tenant fails to pay a required payment to the association after
1575written demand has been made to the tenant. However, the
1576association is not otherwise considered a landlord under chapter
157783 and specifically has no obligations duties under s. 83.51.
1578     (e)(d)  The tenant does not, by virtue of payment of
1579monetary obligations to the association, have any of the rights
1580of a unit owner to vote in any election or to examine the books
1581and records of the association.
1582     (f)(e)  A court may supersede the effect of this subsection
1583by appointing a receiver.
1584     Section 15.  Subsection (3) of section 719.303, Florida
1585Statutes, is amended, and subsections (4), (5), and (6) are
1586added to that section, to read:
1587     719.303  Obligations of owners.-
1588     (3)  If the cooperative documents so provide, The
1589association may levy reasonable fines against a unit owner for
1590failure of the unit owner or the unit's occupant, his or her
1591licensee, or invitee or the unit's occupant to comply with any
1592provision of the cooperative documents or reasonable rules of
1593the association. A fine may not No fine shall become a lien
1594against a unit. No fine shall exceed $100 per violation.
1595However, A fine may be levied on the basis of each day of a
1596continuing violation, with a single notice and opportunity for
1597hearing. However, the fine may not exceed $100 per violation, or
1598$1,000 provided that no such fine shall in the aggregate exceed
1599$1,000.
1600     (a)  An association may suspend, for a reasonable period of
1601time, the right of a unit owner, or a unit owner's tenant,
1602guest, or invitee, to use the common elements, common
1603facilities, or any other association property for failure to
1604comply with any provision of the cooperative documents or
1605reasonable rules of the association.
1606     (b)  A No fine or suspension may not be imposed levied
1607except after giving reasonable notice and opportunity for a
1608hearing to the unit owner and, if applicable, the unit's his or
1609her licensee or invitee. The hearing must shall be held before a
1610committee of other unit owners. If the committee does not agree
1611with the fine or suspension, it may shall not be imposed levied.
1612This subsection does not apply to unoccupied units.
1613     (4)  If a unit owner is more than 90 days delinquent in
1614paying a monetary obligation due to the association, the
1615association may suspend the right of the unit owner or the
1616unit's occupant, licensee, or invitee to use common elements,
1617common facilities, or any other association property until the
1618monetary obligation is paid in full. This subsection does not
1619apply to limited common elements intended to be used only by
1620that unit, common elements needed to access the unit, utility
1621services provided to the unit, parking spaces, or elevators. The
1622notice and hearing requirements under subsection (3) do not
1623apply to suspensions imposed under this subsection.
1624     (5)  An association may suspend the voting rights of a unit
1625or member due to nonpayment of any monetary obligation due to
1626the association which is more than 90 days delinquent. A voting
1627interest or consent right allocated to a unit or member which
1628has been suspended by the association may not be counted towards
1629the total number of voting interests for any purpose, including,
1630but not limited to, the number of voting interests necessary to
1631constitute a quorum, the number of voting interests required to
1632conduct an election, or the number of voting interests required
1633to approve an action under this chapter or pursuant to the
1634cooperative documents, articles of incorporation, or bylaws. The
1635suspension ends upon full payment of all obligations currently
1636due or overdue the association. The notice and hearing
1637requirements under subsection (3) do not apply to a suspension
1638imposed under this subsection.
1639     (6)  All suspensions imposed pursuant to subsection (4) or
1640subsection (5) must be approved at a properly noticed board
1641meeting. Upon approval, the association must notify the unit
1642owner and, if applicable, the unit's occupant, licensee, or
1643invitee by mail or hand delivery.
1644     Section 16.  Subsection (4) of section 720.301, Florida
1645Statutes, is amended to read:
1646     720.301  Definitions.-As used in this chapter, the term:
1647     (4)  "Declaration of covenants," or "declaration," means a
1648recorded written instrument or instruments in the nature of
1649covenants running with the land which subject subjects the land
1650comprising the community to the jurisdiction and control of an
1651association or associations in which the owners of the parcels,
1652or their association representatives, must be members.
1653     Section 17.  Paragraph (b) of subsection (2) and paragraph
1654(c) of subsection (5) of section 720.303, Florida Statutes, are
1655amended to read:
1656     720.303  Association powers and duties; meetings of board;
1657official records; budgets; financial reporting; association
1658funds; recalls.-
1659     (2)  BOARD MEETINGS.-
1660     (b)  Members have the right to attend all meetings of the
1661board and to speak on any matter placed on the agenda by
1662petition of the voting interests for at least 3 minutes. The
1663right to attend such meetings includes the right to speak at
1664such meetings with reference to all designated items. The
1665association may adopt written reasonable rules expanding the
1666right of members to speak and governing the frequency, duration,
1667and other manner of member statements, which rules must be
1668consistent with this paragraph and may include a sign-up sheet
1669for members wishing to speak. Notwithstanding any other law,
1670meetings between the board or a committee and the association's
1671attorney to discuss proposed or pending litigation or meetings
1672of the board held for the purpose of discussing personnel
1673matters are not required to be open to the members other than
1674directors.
1675     (5)  INSPECTION AND COPYING OF RECORDS.-The official
1676records shall be maintained within the state and must be open to
1677inspection and available for photocopying by members or their
1678authorized agents at reasonable times and places within 10
1679business days after receipt of a written request for access.
1680This subsection may be complied with by having a copy of the
1681official records available for inspection or copying in the
1682community. If the association has a photocopy machine available
1683where the records are maintained, it must provide parcel owners
1684with copies on request during the inspection if the entire
1685request is limited to no more than 25 pages.
1686     (c)  The association may adopt reasonable written rules
1687governing the frequency, time, location, notice, records to be
1688inspected, and manner of inspections, but may not require a
1689parcel owner to demonstrate any proper purpose for the
1690inspection, state any reason for the inspection, or limit a
1691parcel owner's right to inspect records to less than one 8-hour
1692business day per month. The association may impose fees to cover
1693the costs of providing copies of the official records,
1694including, without limitation, the costs of copying. The
1695association may charge up to 50 cents per page for copies made
1696on the association's photocopier. If the association does not
1697have a photocopy machine available where the records are kept,
1698or if the records requested to be copied exceed 25 pages in
1699length, the association may have copies made by an outside
1700vendor or association management company personnel and may
1701charge the actual cost of copying, including any reasonable
1702costs involving personnel fees and charges at an hourly rate for
1703vendor or employee time to cover administrative costs to the
1704vendor or association. The association shall maintain an
1705adequate number of copies of the recorded governing documents,
1706to ensure their availability to members and prospective members.
1707Notwithstanding this paragraph, the following records are not
1708accessible to members or parcel owners:
1709     1.  Any record protected by the lawyer-client privilege as
1710described in s. 90.502 and any record protected by the work-
1711product privilege, including, but not limited to, a any record
1712prepared by an association attorney or prepared at the
1713attorney's express direction which reflects a mental impression,
1714conclusion, litigation strategy, or legal theory of the attorney
1715or the association and which was prepared exclusively for civil
1716or criminal litigation or for adversarial administrative
1717proceedings or which was prepared in anticipation of such
1718imminent civil or criminal litigation or imminent adversarial
1719administrative proceedings until the conclusion of the
1720litigation or administrative proceedings.
1721     2.  Information obtained by an association in connection
1722with the approval of the lease, sale, or other transfer of a
1723parcel.
1724     3.  Personnel records of the association's employees,
1725including, but not limited to, disciplinary, payroll, health,
1726and insurance records. For purposes of this subparagraph, the
1727term "personnel records" does not include written employment
1728agreements with an association employee or budgetary or
1729financial records that indicate the compensation paid to an
1730association employee.
1731     4.  Medical records of parcel owners or community
1732residents.
1733     5.  Social security numbers, driver's license numbers,
1734credit card numbers, electronic mailing addresses, telephone
1735numbers, facsimile numbers, emergency contact information, any
1736addresses for a parcel owner other than as provided for
1737association notice requirements, and other personal identifying
1738information of any person, excluding the person's name, parcel
1739designation, mailing address, and property address. However, an
1740owner may consent in writing to the disclosure of protected
1741information described in this subparagraph. The association is
1742not liable for the disclosure of information that is protected
1743under this subparagraph if the information is included in an
1744official record of the association and is voluntarily provided
1745by an owner and not requested by the association.
1746     6.  Any electronic security measure that is used by the
1747association to safeguard data, including passwords.
1748     7.  The software and operating system used by the
1749association which allows the manipulation of data, even if the
1750owner owns a copy of the same software used by the association.
1751The data is part of the official records of the association.
1752     Section 18.  Section 720.305, Florida Statutes, is amended
1753to read:
1754     720.305  Obligations of members; remedies at law or in
1755equity; levy of fines and suspension of use rights.-
1756     (1)  Each member and the member's tenants, guests, and
1757invitees, and each association, are governed by, and must comply
1758with, this chapter, the governing documents of the community,
1759and the rules of the association. Actions at law or in equity,
1760or both, to redress alleged failure or refusal to comply with
1761these provisions may be brought by the association or by any
1762member against:
1763     (a)  The association;
1764     (b)  A member;
1765     (c)  Any director or officer of an association who
1766willfully and knowingly fails to comply with these provisions;
1767and
1768     (d)  Any tenants, guests, or invitees occupying a parcel or
1769using the common areas.
1770
1771The prevailing party in any such litigation is entitled to
1772recover reasonable attorney's fees and costs. A member
1773prevailing in an action between the association and the member
1774under this section, in addition to recovering his or her
1775reasonable attorney's fees, may recover additional amounts as
1776determined by the court to be necessary to reimburse the member
1777for his or her share of assessments levied by the association to
1778fund its expenses of the litigation. This relief does not
1779exclude other remedies provided by law. This section does not
1780deprive any person of any other available right or remedy.
1781     (2)  The association If a member is delinquent for more
1782than 90 days in paying a monetary obligation due the
1783association, an association may suspend, until such monetary
1784obligation is paid, the rights of a member or a member's
1785tenants, guests, or invitees, or both, to use common areas and
1786facilities and may levy reasonable fines of up to $100 per
1787violation, against any member or any member's tenant, guest, or
1788invitee for the failure of the owner of the parcel or its
1789occupant, licensee, or invitee to comply with any provision of
1790the declaration, the association bylaws, or reasonable rules of
1791the association. A fine may be levied for each day of a
1792continuing violation, with a single notice and opportunity for
1793hearing, except that the a fine may not exceed $1,000 in the
1794aggregate unless otherwise provided in the governing documents.
1795A fine of less than $1,000 may not become a lien against a
1796parcel. In any action to recover a fine, the prevailing party is
1797entitled to collect its reasonable attorney's fees and costs
1798from the nonprevailing party as determined by the court.
1799     (a)  An association may suspend, for a reasonable period of
1800time, the right of a member, or a member's tenant, guest, or
1801invitee, to use common areas and facilities for the failure of
1802the owner of the parcel or its occupant, licensee, or invitee to
1803comply with any provision of the declaration, the association
1804bylaws, or reasonable rules of the association. The provisions
1805regarding the suspension-of-use rights do not apply to the
1806portion of common areas that must be used to provide access to
1807the parcel or utility services provided to the parcel.
1808     (b)(a)  A fine or suspension may not be imposed without at
1809least 14 days' notice to the person sought to be fined or
1810suspended and an opportunity for a hearing before a committee of
1811at least three members appointed by the board who are not
1812officers, directors, or employees of the association, or the
1813spouse, parent, child, brother, or sister of an officer,
1814director, or employee. If the committee, by majority vote, does
1815not approve a proposed fine or suspension, it may not be
1816imposed. If the association imposes a fine or suspension, the
1817association must provide written notice of such fine or
1818suspension by mail or hand delivery to the parcel owner and, if
1819applicable, to any tenant, licensee, or invitee of the parcel
1820owner.
1821     (3)  If a member is more than 90 days delinquent in paying
1822a monetary obligation due to the association, the association
1823may suspend the rights of the member, or the member's tenant,
1824guest, or invitee, to use common areas and facilities until the
1825monetary obligation is paid in full. This subsection does not
1826apply to that portion of common areas used to provide access or
1827utility services to the parcel.
1828     (b)  Suspension does of common-area-use rights do not
1829impair the right of an owner or tenant of a parcel to have
1830vehicular and pedestrian ingress to and egress from the parcel,
1831including, but not limited to, the right to park. The notice and
1832hearing requirements under subsection (2) do not apply to a
1833suspension imposed under this subsection.
1834     (4)(3)  If the governing documents so provide, An
1835association may suspend the voting rights of a parcel or member
1836for the nonpayment of any monetary obligation due to the
1837association that is more than regular annual assessments that
1838are delinquent in excess of 90 days delinquent. A voting
1839interest or consent right allocated to a parcel or member which
1840has been suspended by the association may not be counted towards
1841the total number of voting interests for any purpose, including,
1842but not limited to, the number of voting interests necessary to
1843constitute a quorum, the number of voting interests required to
1844conduct an election, or the number of voting interests required
1845to approve an action under this chapter or pursuant to the
1846governing documents. The notice and hearing requirements under
1847subsection (2) do not apply to a suspension imposed under this
1848subsection. The suspension ends upon full payment of all
1849obligations currently due or overdue to the association.
1850     (5)  All suspensions imposed pursuant to subsection (3) or
1851subsection (4) must be approved at a properly noticed board
1852meeting. Upon approval, the association must notify the parcel
1853owner and, if applicable, the parcel's occupant, licensee, or
1854invitee by mail or hand delivery.
1855     Section 19.  Subsection (9) of section 720.306, Florida
1856Statutes, is amended to read:
1857     720.306  Meetings of members; voting and election
1858procedures; amendments.-
1859     (9)(a)  ELECTIONS AND BOARD VACANCIES.- Elections of
1860directors must be conducted in accordance with the procedures
1861set forth in the governing documents of the association. All
1862members of the association are eligible to serve on the board of
1863directors, and a member may nominate himself or herself as a
1864candidate for the board at a meeting where the election is to be
1865held or, if the election process allows voting by absentee
1866ballot, in advance of the balloting. Except as otherwise
1867provided in the governing documents, boards of directors must be
1868elected by a plurality of the votes cast by eligible voters.
1869     (b)  A person who is delinquent in the payment of any fee,
1870fine, or other monetary obligation to the association for more
1871than 90 days is not eligible for board membership. A person who
1872has been convicted of any felony in this state or in a United
1873States District or Territorial Court, or has been convicted of
1874any offense in another jurisdiction which would be considered a
1875felony if committed in this state, is not eligible for board
1876membership unless such felon's civil rights have been restored
1877for at least 5 years as of the date on which such person seeks
1878election to the board. The validity of any action by the board
1879is not affected if it is later determined that a member of the
1880board is ineligible for board membership.
1881     (c)  Any election dispute between a member and an
1882association must be submitted to mandatory binding arbitration
1883with the division. Such proceedings must be conducted in the
1884manner provided by s. 718.1255 and the procedural rules adopted
1885by the division. Unless otherwise provided in the bylaws, any
1886vacancy occurring on the board before the expiration of a term
1887may be filled by an affirmative vote of the majority of the
1888remaining directors, even if the remaining directors constitute
1889less than a quorum, or by the sole remaining director. In the
1890alternative, a board may hold an election to fill the vacancy,
1891in which case the election procedures must conform to the
1892requirements of the governing documents. Unless otherwise
1893provided in the bylaws, a board member appointed or elected
1894under this section is appointed for the unexpired term of the
1895seat being filled. Filling vacancies created by recall is
1896governed by s. 720.303(10) and rules adopted by the division.
1897     Section 20.  Paragraph (d) is added to subsection (2) of
1898section 720.3085, Florida Statutes, and paragraph (a) of
1899subsection (1) and subsections (3) and (8) of that section are
1900amended, to read:
1901     720.3085  Payment for assessments; lien claims.-
1902     (1)  When authorized by the governing documents, the
1903association has a lien on each parcel to secure the payment of
1904assessments and other amounts provided for by this section.
1905Except as otherwise set forth in this section, the lien is
1906effective from and shall relate back to the date on which the
1907original declaration of the community was recorded. However, as
1908to first mortgages of record, the lien is effective from and
1909after recording of a claim of lien in the public records of the
1910county in which the parcel is located. This subsection does not
1911bestow upon any lien, mortgage, or certified judgment of record
1912on July 1, 2008, including the lien for unpaid assessments
1913created in this section, a priority that, by law, the lien,
1914mortgage, or judgment did not have before July 1, 2008.
1915     (a)  To be valid, a claim of lien must state the
1916description of the parcel, the name of the record owner, the
1917name and address of the association, the assessment amount due,
1918and the due date. The claim of lien secures shall secure all
1919unpaid assessments that are due and that may accrue subsequent
1920to the recording of the claim of lien and before entry of a
1921certificate of title, as well as interest, late charges, and
1922reasonable costs and attorney's fees incurred by the association
1923incident to the collection process. The person making the
1924payment is entitled to a satisfaction of the lien upon payment
1925in full.
1926     (2)
1927     (d)  An association, or its successor or assignee, that
1928acquires title to a parcel through the foreclosure of its lien
1929for assessments is not liable for any unpaid assessments, late
1930fees, interest, or reasonable attorney's fees and costs that
1931came due before the association's acquisition of title in favor
1932of any other association, as defined in s. 718.103(2) or s.
1933720.301(9), which holds a superior lien interest on the parcel.
1934This paragraph is intended to clarify existing law.
1935     (3)  Assessments and installments on assessments that are
1936not paid when due bear interest from the due date until paid at
1937the rate provided in the declaration of covenants or the bylaws
1938of the association, which rate may not exceed the rate allowed
1939by law. If no rate is provided in the declaration or bylaws,
1940interest accrues at the rate of 18 percent per year.
1941     (a)  If the declaration or bylaws so provide, the
1942association may also charge an administrative late fee in an
1943amount not to exceed the greater of $25 or 5 percent of the
1944amount of each installment that is paid past the due date.
1945     (b)  Any payment received by an association and accepted
1946shall be applied first to any interest accrued, then to any
1947administrative late fee, then to any costs and reasonable
1948attorney's fees incurred in collection, and then to the
1949delinquent assessment. This paragraph applies notwithstanding
1950any restrictive endorsement, designation, or instruction placed
1951on or accompanying a payment. A late fee is not subject to the
1952provisions of chapter 687 and is not a fine.
1953     (8)(a)  If the parcel is occupied by a tenant and the
1954parcel owner is delinquent in paying any monetary obligation due
1955to the association, the association may demand that the tenant
1956pay to the association the subsequent rental payments and
1957continue to make such payments until all the monetary
1958obligations of the parcel owner related to the parcel have been
1959paid in full to the association and the future monetary
1960obligations related to the parcel. The demand is continuing in
1961nature, and upon demand, the tenant must continue to pay the
1962monetary obligations until the association releases the tenant
1963or until the tenant discontinues tenancy in the parcel.
1964     1.  The association must provide the tenant a notice, by
1965hand delivery or United States mail, in substantially the
1966following form:
1967
1968     Pursuant to section 720.3085(8), Florida
1969Statutes, we demand that you make your rent payments
1970directly to the homeowners' association and continue
1971doing so until the association notifies you otherwise.
1972     Payment due the homeowners' association may be in
1973the same form as you paid your landlord and must be
1974sent by United States mail or hand delivery to
1975...(full address)..., payable to ...(name)....
1976     Your obligation to pay your rent to the
1977association begins immediately, unless you have
1978already paid rent to your landlord for the current
1979period before receiving this notice. In that case, you
1980must provide the association written proof of your
1981payment within 14 days after receiving this notice and
1982your obligation to pay rent to the association would
1983then begin with the next rental period.
1984     Pursuant to section 720.3085(8), Florida
1985Statutes, your payment of rent to the association
1986gives you complete immunity from any claim for the
1987rent by your landlord.
1988
1989     2.  A tenant who acts in good faith in response to a
1990written demand from an association is immune from any claim by
1991from the parcel owner related to the rent timely paid to the
1992association after the association has made written demand.
1993     (b)(a)  If the tenant paid prepaid rent to the landlord or
1994parcel owner for a given rental period before receiving the
1995demand from the association and provides written evidence to the
1996association of having paid paying the rent to the association
1997within 14 days after receiving the demand, the tenant shall
1998begin making rental payments to the association for the
1999following rental period and shall continue making receive credit
2000for the prepaid rent for the applicable period and must make any
2001subsequent rental payments to the association to be credited
2002against the monetary obligations of the parcel owner until the
2003association releases the tenant or the tenant discontinues
2004tenancy in the unit to the association. The association shall,
2005upon request, provide the tenant with written receipts for
2006payments made. The association shall mail written notice to the
2007parcel owner of the association's demand that the tenant pay
2008monetary obligations to the association.
2009     (c)(b)  The liability of the tenant may not exceed the
2010amount due from the tenant to the tenant's landlord. The tenant
2011is not liable for increases in the amount of the monetary
2012obligations due unless the tenant was notified in writing of the
2013increase at least 10 days before the date on which the rent is
2014due. The tenant shall be given a credit against rents due to the
2015landlord parcel owner in the amount of assessments paid to the
2016association.
2017     (d)(c)  The association may issue notice notices under s.
201883.56 and may sue for eviction under ss. 83.59-83.625 as if the
2019association were a landlord under part II of chapter 83 if the
2020tenant fails to pay a monetary obligation. However, the
2021association is not otherwise considered a landlord under chapter
202283 and specifically has no obligations duties under s. 83.51.
2023     (e)(d)  The tenant does not, by virtue of payment of
2024monetary obligations, have any of the rights of a parcel owner
2025to vote in any election or to examine the books and records of
2026the association.
2027     (f)(e)  A court may supersede the effect of this subsection
2028by appointing a receiver.
2029     Section 21.  Section 720.309, Florida Statutes, is amended
2030to read:
2031     720.309  Agreements entered into by the association.-
2032     (1)  Any grant or reservation made by any document, and any
2033contract that has with a term greater than in excess of 10
2034years, that is made by an association before control of the
2035association is turned over to the members other than the
2036developer, and that provides which provide for the operation,
2037maintenance, or management of the association or common areas,
2038must be fair and reasonable.
2039     (2)  If the governing documents provide for the cost of
2040communications services as defined in s. 202.11, information
2041services or Internet services obtained pursuant to a bulk
2042contract shall be deemed an operating expense of the
2043association. If the governing documents do not provide for such
2044services, the board may contract for the services, and the cost
2045shall be deemed an operating expense of the association but must
2046be allocated on a per-parcel basis rather than a percentage
2047basis, notwithstanding that the governing documents provide for
2048other than an equal sharing of operating expenses. Any contract
2049entered into before July 1, 2011, in which the cost of the
2050service is not equally divided among all parcel owners may be
2051changed by a majority of the voting interests present at a
2052regular or special meeting of the association in order to
2053allocate the cost equally among all parcels.
2054     (a)  Any contract entered into by the board may be canceled
2055by a majority of the voting interests present at the next
2056regular or special meeting of the association, whichever occurs
2057first. Any member may make a motion to cancel such contract, but
2058if no motion is made or if such motion fails to obtain the
2059required vote, the contract shall be deemed ratified for the
2060term expressed therein.
2061     (b)  Any contract entered into by the board must provide,
2062and shall be deemed to provide if not expressly set forth
2063therein, that a hearing-impaired or legally blind parcel owner
2064who does not occupy the parcel with a non-hearing-impaired or
2065sighted person, or a parcel owner who receives supplemental
2066security income under Title XVI of the Social Security Act or
2067food assistance as administered by the Department of Children
2068and Family Services pursuant to s. 414.31, may discontinue the
2069service without incurring disconnect fees, penalties, or
2070subsequent service charges, and may not be required to pay any
2071operating expenses charge related to such service for those
2072parcels. If fewer than all parcel owners share the expenses of
2073the communications services, information services, or Internet
2074services, the expense must be shared by all participating parcel
2075owners. The association may use the provisions of s. 720.3085 to
2076enforce payment by the parcel owners receiving such services.
2077     (c)  A resident of any parcel, whether a tenant or parcel
2078owner, may not be denied access to available franchised,
2079licensed, or certificated cable or video service providers if
2080the resident pays the provider directly for services. A resident
2081or a cable or video service provider may not be required to pay
2082anything of value in order to obtain or provide such service
2083except for the charges normally paid for like services by
2084residents of single-family homes located outside the community
2085but within the same franchised, licensed, or certificated area,
2086and except for installation charges agreed to between the
2087resident and the service provider.
2088     Section 22.  This act shall take effect July 1, 2011.


CODING: Words stricken are deletions; words underlined are additions.