Florida Senate - 2025 SB 368
By Senator Garcia
36-00063-25 2025368__
1 A bill to be entitled
2 An act relating to community associations; creating s.
3 16.0151, F.S.; creating the Condominium and
4 Homeowners’ Association Economic Crime, Fraud, and
5 Corruption Investigation Pilot Program within the
6 Department of Legal Affairs; providing the purpose of
7 the pilot program; defining the term “corruption”;
8 authorizing the department to contract with a private
9 entity to achieve the program’s purpose; requiring the
10 department to hire specified personnel under certain
11 circumstances; authorizing the submission of
12 complaints to the Office of the Condominium and
13 Homeowners’ Ombudsman; requiring the ombudsman to
14 review such complaints and take specified actions;
15 providing powers of and requirements for the
16 department relating to the pilot program; requiring
17 that the pilot program be funded from the Division of
18 Florida Condominiums, Timeshares, and Mobile Homes
19 Trust Fund; requiring that the pilot program’s primary
20 office be located in Miami-Dade County; providing for
21 future repeal of the pilot program, unless reviewed
22 and saved from repeal by the Legislature; amending s.
23 215.22, F.S.; exempting the Division of Florida
24 Condominiums, Timeshares, and Mobile Homes Trust Fund
25 from contributing to the General Revenue Fund;
26 amending s. 718.111, F.S.; requiring the division to
27 monitor condominium associations’ compliance with
28 requirements relating to maintenance of certain
29 insurance or fidelity bonding of certain persons;
30 authorizing the division to levy fines and penalties
31 for noncompliance; amending s. 718.1224, F.S.;
32 conforming a provision to changes made by the act;
33 creating s. 718.13, F.S.; requiring the division to
34 establish a searchable, cloud-based database by a
35 specified date which contains specified information
36 regarding each condominium association in this state;
37 requiring the division to establish rules and
38 procedures for associations to report such
39 information; requiring a condominium association to
40 notify the division of any changes to the information
41 listed in the database which is related to the
42 association; requiring that the creation and
43 administration of the database be funded in part by
44 specified proceeds; amending s. 718.501, F.S.;
45 requiring the division to forward complaints alleging
46 fraud or corruption to the Office of the Condominium
47 and Homeowners’ Ombudsman; making technical changes;
48 amending s. 718.5011, F.S.; renaming the Office of the
49 Condominium Ombudsman as the Office of the Condominium
50 and Homeowners’ Ombudsman; amending s. 718.5012, F.S.;
51 revising the powers of the ombudsman; making a
52 technical change; conforming provisions to changes
53 made by the act; amending s. 718.509, F.S.; conforming
54 a provision to changes made by the act; making
55 technical changes; amending s. 720.301, F.S.; revising
56 definitions and defining terms; amending s. 720.302,
57 F.S.; providing that certain parcels, including
58 amenities or recreational properties governed by a
59 recreational covenant, are exempt from ch. 720, F.S.;
60 amending s. 720.305, F.S.; authorizing an association
61 to levy fines for violations specified in the
62 governing documents of the association; prohibiting
63 fines from exceeding a specified amount; prohibiting
64 additional fines from being levied for the same
65 violation; prohibiting fines from being aggregated to
66 create a lien against a parcel; authorizing parcel
67 owners to attend hearings by certain teleconferencing
68 methods; prohibiting an association from taking action
69 related to alleged violations if the committee hearing
70 the matter makes certain findings or takes no action
71 on the violations; requiring that fines be reduced by
72 a specified percentage if the parcel owner cures the
73 violation within a specified period; authorizing an
74 association to collect reasonable attorney fees and
75 costs if the parcel owner does not cure the violation
76 within a specified period; requiring that the fine due
77 date be no earlier than a specified time period after
78 the hearing on a violation; requiring an association
79 to provide written notice to a parcel owner with
80 specific information related to a violation; providing
81 a parcel owner the right to a detailed accounting of
82 any amounts due and owed by the parcel owner if the
83 parcel owner submits a written request for such
84 accounting to an association; requiring an association
85 to produce such accounting within a specified
86 timeframe; providing that an association’s failure to
87 produce such accounting within that timeframe
88 constitutes a waiver of any pending violations, fines,
89 or penalties; requiring an association to apply
90 payments in a specified order; prohibiting the accrual
91 of attorney fees and costs after a parcel owner
92 satisfies a fine; authorizing a parcel owner to
93 request a hearing before an association to dispute the
94 reasonableness of attorney fees and costs; amending s.
95 720.3085, F.S.; providing for the application of
96 payments, in a specified priority, when a parcel owner
97 fails to designate how such payments are to be
98 applied; requiring that monetary judgment actions be
99 brought in the same lawsuit as the claim of lien
100 action against a parcel owner; making technical
101 changes; conforming cross-references; amending s.
102 720.3086, F.S.; revising the requirement that a
103 developer of a residential subdivision make available
104 for inspection within a specified timeframe a complete
105 financial report of certain expenses if an owner in
106 the subdivision submits a written request to the
107 developer; deleting a requirement that a developer
108 mail, publish, or post such report to each parcel
109 owner of the subdivision; conforming cross-references;
110 amending ss. 336.125, 558.002, 617.0725, 697.07,
111 702.10, 718.116, and 720.303, F.S.; conforming cross
112 references; making technical changes; reenacting ss.
113 626.854(19), 718.110(11)(f), 718.115(1)(f), and
114 718.406(6), F.S., relating to the definition and
115 prohibitions of the public insurance adjusters,
116 amendment of declarations, common expenses and common
117 surplus, and condominiums created within condominium
118 parcels, respectively, to incorporate the amendment
119 made to s. 718.111, F.S., in references thereto;
120 reenacting s. 723.0751(1), F.S., relating to mobile
121 home subdivision homeowners’ associations, to
122 incorporate the amendment made to s. 720.302, F.S., in
123 references thereto; reenacting s. 617.0825(9), F.S.,
124 relating to board committees and advisory committees,
125 to incorporate the amendment made to s. 720.305, F.S.,
126 in references thereto; providing an effective date.
127
128 Be It Enacted by the Legislature of the State of Florida:
129
130 Section 1. Section 16.0151, Florida Statutes, is created to
131 read:
132 16.0151 Condominium and Homeowners’ Association Economic
133 Crime, Fraud, and Corruption Investigation Pilot Program.—
134 (1) The Condominium and Homeowners’ Association Economic
135 Crime, Fraud, and Corruption Investigation Pilot Program is
136 created within the Department of Legal Affairs. The purpose of
137 the pilot program is to investigate condominium and homeowners’
138 association-related economic crime, fraud, and corruption in
139 this state. For the purposes of this section, the term
140 “corruption” means the act of an official or a fiduciary person
141 who unlawfully and wrongfully uses his or her position to
142 procure a benefit for himself or herself or for another person,
143 contrary to the duty and rights of others. The department may
144 contract with a private entity that employs retired law
145 enforcement officers who have subject matter expertise in
146 financial fraud to achieve the purpose of the pilot program. If
147 the department does not contract with a private entity, the
148 department must hire a suitable number of financial
149 investigators, investigators with previous law enforcement
150 experience, and clerical employees to staff the pilot program.
151 (2) A person may submit a condominium or homeowners’
152 association-related complaint to the Office of the Condominium
153 and Homeowners’ Ombudsman. The ombudsman shall review all
154 complaints submitted to the office and determine which
155 complaints to forward to the department for additional analysis
156 and investigation under the pilot program. If a complaint
157 submitted to the pilot program does not contain an allegation of
158 economic crime, fraud, or corruption, the pilot program
159 investigators must forward the complaint to the Division of
160 Florida Condominiums, Timeshares, and Mobile Homes, which shall
161 investigate such complaint pursuant to s. 718.501.
162 (3) The department has the power to issue subpoenas and
163 conduct audits for investigations in furtherance of the pilot
164 program and may administer oaths, subpoena witnesses, and compel
165 the production of books, papers, or other records relevant to
166 such investigations. If, after reviewing a complaint filed under
167 the pilot program, the department finds sufficient evidence for
168 criminal prosecution, it must refer the case to the appropriate
169 state attorney for prosecution.
170 (4) The pilot program shall be funded as provided in the
171 General Appropriations Act.
172 (5) The pilot program’s primary office shall be located in
173 Miami-Dade County.
174 (6) This section is repealed October 2, 2030, unless
175 reviewed and saved from repeal through reenactment by the
176 Legislature.
177 Section 2. Paragraph (w) is added to subsection (1) of
178 section 215.22, Florida Statutes, to read:
179 215.22 Certain income and certain trust funds exempt.—
180 (1) The following income of a revenue nature or the
181 following trust funds shall be exempt from the appropriation
182 required by s. 215.20(1):
183 (w) The Division of Florida Condominiums, Timeshares, and
184 Mobile Homes Trust Fund.
185 Section 3. Paragraph (h) of subsection (11) of section
186 718.111, Florida Statutes, is amended to read:
187 718.111 The association.—
188 (11) INSURANCE.—In order to protect the safety, health, and
189 welfare of the people of the State of Florida and to ensure
190 consistency in the provision of insurance coverage to
191 condominiums and their unit owners, this subsection applies to
192 every residential condominium in the state, regardless of the
193 date of its declaration of condominium. It is the intent of the
194 Legislature to encourage lower or stable insurance premiums for
195 associations described in this subsection.
196 (h) The association shall maintain insurance or fidelity
197 bonding of all persons who control or disburse funds of the
198 association. The insurance policy or fidelity bond must cover
199 the maximum funds that will be in the custody of the association
200 or its management agent at any one time. Upon receipt of a
201 complaint, the division shall monitor an association for
202 compliance with this paragraph and may issue fines and penalties
203 established by the division for failure of an association to
204 maintain the required insurance policy or fidelity bond. The
205 division shall monitor compliance with this paragraph and may
206 levy fines and penalties established by the division for failure
207 of an association to maintain the required insurance policy or
208 fidelity bond. As used in this paragraph, the term “persons who
209 control or disburse funds of the association” includes, but is
210 not limited to, those individuals authorized to sign checks on
211 behalf of the association, and the president, secretary, and
212 treasurer of the association. The association shall bear the
213 cost of any such bonding.
214 Section 4. Subsection (3) of section 718.1224, Florida
215 Statutes, is amended to read:
216 718.1224 Prohibition against SLAPP suits; other prohibited
217 actions.—
218 (3) It is unlawful for a condominium association to fine,
219 discriminatorily increase a unit owner’s assessments,
220 discriminatorily decrease services to a unit owner, or bring or
221 threaten to bring an action for possession or other civil
222 action, including a defamation, libel, slander, or tortious
223 interference action, based on conduct described in this
224 subsection. In order for the unit owner to raise the defense of
225 retaliatory conduct, the unit owner must have acted in good
226 faith and not for any improper purposes, such as to harass or to
227 cause unnecessary delay or for frivolous purpose or needless
228 increase in the cost of litigation. Examples of conduct for
229 which a condominium association, an officer, a director, or an
230 agent of an association may not retaliate include, but are not
231 limited to, situations in which:
232 (a) The unit owner has in good faith complained to a
233 governmental agency charged with responsibility for enforcement
234 of a building, housing, or health code of a suspected violation
235 applicable to the condominium;
236 (b) The unit owner has organized, encouraged, or
237 participated in a unit owners’ organization;
238 (c) The unit owner submitted information or filed a
239 complaint alleging criminal violations or violations of this
240 chapter or the rules of the division with the division, the
241 Office of the Condominium and Homeowners’ Ombudsman, a law
242 enforcement agency, a state attorney, the Attorney General, or
243 any other governmental agency;
244 (d) The unit owner has exercised his or her rights under
245 this chapter;
246 (e) The unit owner has complained to the association or any
247 of the association’s representatives for the failure to comply
248 with this chapter or chapter 617; or
249 (f) The unit owner has made public statements critical of
250 the operation or management of the association.
251 Section 5. Section 718.13, Florida Statutes, is created to
252 read:
253 718.13 Database for condominium association information.—
254 (1) By July 1, 2027, the division shall establish a
255 searchable, cloud-based database that contains information
256 regarding each condominium association operating within this
257 state. The division shall establish rules and procedures for the
258 manner in which an association is to provide such information.
259 The database must allow a user to search the name by which a
260 condominium property is identified to find the association that
261 governs such property. At a minimum, the database must include
262 all of the following information for each association:
263 (a) The names, e-mail addresses, and other contact
264 information of officers and directors of the association.
265 (b) An indication that the association is self-managed, or,
266 if not self-managed, the contact information for any person
267 licensed under part VIII of chapter 468 who is responsible for
268 management of the association.
269 (c) A copy of the association’s governing documents,
270 including, but not limited to, declarations, bylaws, and rules
271 and any amendments thereto.
272 (d) A copy of the association’s adopted annual budget, in a
273 file format that is compatible with the database, which includes
274 the amount and purpose of any monthly assessments and current or
275 pending special assessments levied by the association.
276 (e) A copy of any studies regarding funds in reserve
277 accounts held by the association or any reports regarding the
278 physical inspection of properties maintained by the association,
279 including any structural integrity reserve studies conducted
280 under s. 718.112(2)(g) of such properties.
281 (2) An association must notify the division of any change
282 to the information related to the association which is included
283 in the database within 30 days after such change occurs.
284 (3) Expenses associated with the creation and
285 administration of the database must be funded in part by
286 proceeds from the annual fee paid by associations pursuant to s.
287 718.501(2)(a).
288 Section 6. Paragraphs (n) and (p) of subsection (1) of
289 section 718.501, Florida Statutes, are amended to read:
290 718.501 Authority, responsibility, and duties of Division
291 of Florida Condominiums, Timeshares, and Mobile Homes.—
292 (1) The division may enforce and ensure compliance with
293 this chapter and rules relating to the development,
294 construction, sale, lease, ownership, operation, and management
295 of residential condominium units and complaints related to the
296 procedural completion of milestone inspections under s. 553.899.
297 In performing its duties, the division has complete jurisdiction
298 to investigate complaints and enforce compliance with respect to
299 associations that are still under developer control or the
300 control of a bulk assignee or bulk buyer pursuant to part VII of
301 this chapter and complaints against developers, bulk assignees,
302 or bulk buyers involving improper turnover or failure to
303 turnover, pursuant to s. 718.301. However, after turnover has
304 occurred, the division has jurisdiction to investigate
305 complaints related only to:
306 (n) If a complaint is made, the division must conduct its
307 inquiry with due regard for the interests of the affected
308 parties. Within 30 days after receipt of a complaint, the
309 division shall acknowledge the complaint in writing and notify
310 the complainant whether the complaint is within the jurisdiction
311 of the division and whether additional information is needed by
312 the division from the complainant. The division shall conduct
313 its investigation and, within 90 days after receipt of the
314 original complaint or of timely requested additional
315 information, take action upon the complaint. However, the
316 failure to complete the investigation within 90 days does not
317 prevent the division from continuing the investigation,
318 accepting or considering evidence obtained or received after 90
319 days, or taking administrative action if reasonable cause exists
320 to believe that a violation of this chapter or a rule has
321 occurred. If an investigation is not completed within the time
322 limits established in this paragraph, the division shall, on a
323 monthly basis, notify the complainant in writing of the status
324 of the investigation. If the division receives a complaint about
325 an association which alleges economic crime, fraud, or
326 corruption, the division must forward the complaint to the
327 Office of the Condominium and Homeowners’ Ombudsman. When
328 reporting its action to the complainant, the division shall
329 inform the complainant of any right to a hearing under ss.
330 120.569 and 120.57. The division may adopt rules regarding the
331 submission of a complaint against an association.
332 (p) The division director or any officer or employee of the
333 division and the condominium and homeowners’ ombudsman or any
334 employee of the Office of the Condominium and Homeowners’
335 Ombudsman may attend and observe any meeting of the board of
336 administration or any unit owner meeting, including any meeting
337 of a subcommittee or special committee, which is open to members
338 of the association for the purpose of performing the duties of
339 the division or the Office of the Condominium and Homeowners’
340 Ombudsman under this chapter.
341 Section 7. Subsection (1) of section 718.5011, Florida
342 Statutes, is amended to read:
343 718.5011 Ombudsman; appointment; administration.—
344 (1) There is created an Office of the Condominium and
345 Homeowners’ Ombudsman, to be located for administrative purposes
346 within the Division of Florida Condominiums, Timeshares, and
347 Mobile Homes. The functions of the office shall be funded by the
348 Division of Florida Condominiums, Timeshares, and Mobile Homes
349 Trust Fund. The ombudsman shall be a bureau chief of the
350 division, and the office shall be set within the division in the
351 same manner as any other bureau is staffed and funded.
352 Section 8. Section 718.5012, Florida Statutes, is amended
353 to read:
354 718.5012 Ombudsman; powers and duties.—The ombudsman shall
355 have the powers that are necessary to carry out the duties of
356 his or her office for this chapter and chapter 720, including
357 the following specific powers:
358 (1) To have access to and use of all files and records of
359 the division.
360 (2) To employ professional and clerical staff as necessary
361 for the efficient operation of the office.
362 (3) To prepare and issue reports and recommendations to the
363 Governor, the department, the division, the Advisory Council on
364 Condominiums, the President of the Senate, and the Speaker of
365 the House of Representatives on any matter or subject within the
366 jurisdiction of the division. The ombudsman shall make
367 recommendations he or she deems appropriate for legislation
368 relative to division procedures, rules, jurisdiction, personnel,
369 and functions.
370 (4) To act as liaison between the division, unit owners,
371 boards of directors, board members, community association
372 managers, and other affected parties under this chapter and
373 chapter 720. The ombudsman shall develop policies and procedures
374 to assist homeowners, unit owners, boards of directors, board
375 members, community association managers, and other affected
376 parties to understand their rights and responsibilities as set
377 forth in this chapter and the condominium documents governing
378 their respective associations association. The ombudsman shall
379 coordinate and assist in the preparation and adoption of
380 educational and reference material, and shall endeavor to
381 coordinate with private or volunteer providers of these
382 services, so that the availability of these resources is made
383 known to the largest possible audience.
384 (5) To monitor and review procedures and disputes
385 concerning condominium elections or meetings, including, but not
386 limited to, recommending that the division pursue enforcement
387 action in any manner where there is reasonable cause to believe
388 that election misconduct has occurred and reviewing secret
389 ballots cast at a vote of the association.
390 (6) To make recommendations to the division for changes in
391 rules and procedures for the filing, investigation, and
392 resolution of complaints filed by homeowners, unit owners,
393 associations, and managers.
394 (7) To provide resources to assist members of boards of
395 directors and officers of associations to carry out their powers
396 and duties consistent with this chapter, chapter 720, division
397 rules, and the condominium documents governing the association.
398 (8) To encourage and facilitate voluntary meetings with and
399 between homeowners, unit owners, boards of directors, board
400 members, community association managers, and other affected
401 parties when the meetings may assist in resolving a dispute
402 within a community association before a person submits a dispute
403 for a formal or administrative remedy. It is the intent of the
404 Legislature that the ombudsman act as a neutral resource for
405 both the rights and responsibilities of homeowners, unit owners,
406 associations, and board members.
407 (9) To assist with the resolution of disputes between
408 homeowners or unit owners and the association or between
409 homeowners or unit owners when the dispute is not within the
410 jurisdiction of the division to resolve.
411 (10) To appoint an election monitor to attend the annual
412 meeting of the homeowners or unit owners and conduct the
413 election of directors if 15 percent of the total voting
414 interests in an association or six owners, whichever is greater,
415 make such a petition to the ombudsman Fifteen percent of the
416 total voting interests in a condominium association, or six unit
417 owners, whichever is greater, may petition the ombudsman to
418 appoint an election monitor to attend the annual meeting of the
419 unit owners and conduct the election of directors. The ombudsman
420 shall appoint a division employee, a person or persons
421 specializing in homeowners’ association or condominium election
422 monitoring, as applicable, or an attorney licensed to practice
423 in this state as the election monitor. All costs associated with
424 the election monitoring process must shall be paid by the
425 association. The division shall adopt a rule establishing
426 procedures for the appointment of election monitors and the
427 scope and extent of the monitor’s role in the election process.
428 (11) To void an election if the ombudsman determines that a
429 violation of this chapter or chapter 720 has occurred relating
430 to elections.
431 (12) To petition the court to appoint a receiver if the
432 appointment of a receiver is in the best interests of the
433 association or owners.
434 (13) To issue subpoenas and conduct audits for
435 investigations for the purposes of the Condominium and
436 Homeowners’ Association Economic Crime, Fraud, and Corruption
437 Investigation Pilot Program established under s. 16.0151.
438 Section 9. Subsection (2) of section 718.509, Florida
439 Statutes, is amended to read:
440 718.509 Division of Florida Condominiums, Timeshares, and
441 Mobile Homes Trust Fund.—
442 (2) All moneys collected by the division from fees, fines,
443 or penalties or from costs awarded to the division by a court or
444 administrative final order must shall be paid into the Division
445 of Florida Condominiums, Timeshares, and Mobile Homes Trust
446 Fund. The Legislature shall appropriate funds from this trust
447 fund sufficient to administer carry out the provisions of this
448 chapter and the provisions of law with respect to each category
449 of business covered by the trust fund. The division shall
450 maintain separate revenue accounts in the trust fund for each of
451 the businesses regulated by the division. The division shall
452 provide for the proportionate allocation among the accounts of
453 expenses incurred by the division in the performance of its
454 duties with respect to each of these businesses. As part of its
455 normal budgetary process, the division shall prepare an annual
456 report of revenue and allocated expenses related to the
457 operation of each of these businesses, which may be used to
458 determine fees charged by the division. This subsection shall
459 operate pursuant to the provisions of s. 215.20.
460 Section 10. Present subsections (2) through (12) and (13)
461 of section 720.301, Florida Statutes, are redesignated as
462 subsections (3) through (13) and (15), respectively, new
463 subsections (2) and (14) are added to that section, and
464 subsection (1) and present subsections (8) and (10) of that
465 section are amended, to read:
466 720.301 Definitions.—As used in this chapter, the term:
467 (1) “Assessment” or “amenity fee” means a sum or sums of
468 money payable to the association, to the developer or other
469 owner of common areas, or to recreational facilities and other
470 properties serving the parcels by the owners of one or more
471 parcels as authorized in the governing documents, which if not
472 paid by the owner of a parcel, can result in a lien against the
473 parcel by the association.
474 (2) “Amenity fee” means any dues, fees, charges, or other
475 amounts due in accordance with a recreational covenant which are
476 levied against an owner for recreational membership or use. The
477 term does not mean assessments as defined in subsection (1).
478 Amenity fees may consist, in part, of expenses, profit, interest
479 or carrying cost recoupment, or other components that are to be
480 paid to a private third-party commercial amenity or recreational
481 facility owner, as may be set forth in a recreational covenant.
482 However, the expenses of a homeowners’ association may not be
483 included in the amenity fee. All remedies available to amenity
484 or recreational facility owners for nonpayment of amenity fees
485 must be set forth in a recreational covenant, and the collection
486 of amenity fees is not controlled by this chapter.
487 (9)(a)(8) “Governing documents” means:
488 1.(a) The recorded declaration of covenants for a community
489 and all duly adopted and recorded amendments, supplements, and
490 recorded exhibits thereto, subject to paragraph (b); and
491 2.(b) The articles of incorporation and bylaws of the
492 homeowners’ association and any duly adopted amendments thereto.
493 (b) Consistent with s. 720.302(3)(b) of the Homeowners’
494 Association Act, recreational covenants with respect to
495 commercial amenity properties, including where such recreational
496 covenants are attached as exhibits to a declaration of covenants
497 for a community, may not be deemed or considered to be governing
498 documents of an association.
499 (11)(10) “Member” means a member of an association, and may
500 include, but is not limited to, a parcel owner or an association
501 representing parcel owners or a combination thereof, and
502 includes any person or entity obligated by the governing
503 documents to pay an assessment or amenity fee.
504 (14) “Recreational covenant” means a recorded covenant that
505 is separate and distinct from a declaration of covenants for a
506 community and that sets forth the nature and requirements of
507 membership, use, or purchase of privately owned commercial
508 recreational facilities or amenities for owners in one or more
509 communities or community development districts. Recreational
510 covenants are not governing documents of a community. A
511 recreational covenant must be recorded in the public records of
512 the county in which the recreational facility is located; must
513 contain information regarding the amounts that may be levied
514 against individuals who will be members, as well as any remedies
515 the recreational facility owner has in connection with
516 nonpayment of such amounts; and must include a mechanism,
517 formula, or other means by which a future purchase of the
518 recreational facility may be transacted between the recreational
519 facility owner and an association, community development
520 district, or other governmental entity.
521 Section 11. Subsection (3) of section 720.302, Florida
522 Statutes, is amended to read:
523 720.302 Purposes, scope, and application.—
524 (3) This chapter does not apply to:
525 (a) A community that is composed of property primarily
526 intended for commercial, industrial, or other nonresidential
527 use; or
528 (b) The commercial or industrial parcels, inclusive of
529 amenities or recreational properties governed by a recreational
530 covenant, in a community that contains both residential parcels
531 and parcels intended for commercial or industrial use.
532 Section 12. Subsection (2) of section 720.305, Florida
533 Statutes, is amended to read:
534 720.305 Obligations of members; remedies at law or in
535 equity; levy of fines and suspension of use rights.—
536 (2) An association may levy reasonable fines for violations
537 of its the declaration, association bylaws, or reasonable rules
538 otherwise provided in its governing documents of the
539 association. A fine may not exceed $100 per violation against
540 any member or any member’s tenant, guest, or invitee for the
541 failure of the owner of the parcel or its occupant, licensee, or
542 invitee to comply with any provision of the association’s
543 declaration, the association bylaws, or reasonable rules
544 otherwise provided in its governing documents of the association
545 unless otherwise provided in the governing documents, provided
546 that the fine for such violation does not exceed $1,000. A fine
547 may not be assessed more than once for the same violation. A
548 fine may be levied by the board for each day of a continuing
549 violation, with a single notice and opportunity for hearing,
550 except that the fine may not exceed $1,000 in the aggregate
551 unless otherwise provided in the governing documents. A fine of
552 less than $1,000 may not become a lien against a parcel, and
553 fines may not be aggregated to create a lien against a parcel.
554 In any action to recover a fine, the prevailing party may be is
555 entitled to reasonable attorney fees and costs from the
556 nonprevailing party as provided in paragraph (d) determined by
557 the court.
558 (a) An association may suspend, for a reasonable period of
559 time, the right of a member, or a member’s tenant, guest, or
560 invitee, to use common areas and facilities for the failure of
561 the owner of the parcel or its occupant, licensee, or invitee to
562 comply with any provision of the declaration, the association
563 bylaws, or reasonable rules of the association. This paragraph
564 does not apply to that portion of common areas used to provide
565 access or utility services to the parcel. A suspension may not
566 prohibit an owner or tenant of a parcel from having vehicular
567 and pedestrian ingress to and egress from the parcel, including,
568 but not limited to, the right to park.
569 (b) A fine or suspension levied by the board of
570 administration may not be imposed unless the board first
571 provides at least 14 days’ written notice of the parcel owner’s
572 right to a hearing to the parcel owner at his or her designated
573 mailing or e-mail address in the association’s official records
574 and, if applicable, to any occupant, licensee, or invitee of the
575 parcel owner, sought to be fined or suspended. Such hearing must
576 be held within 90 days after issuance of the notice before a
577 committee of at least three members appointed by the board who
578 are not officers, directors, or employees of the association, or
579 the spouse, parent, child, brother, or sister of an officer,
580 director, or employee. The committee may hold the hearing by
581 telephone or other electronic means. The notice must include a
582 description of the alleged violation; the specific action
583 required to cure such violation, if applicable; and the hearing
584 date, location, and access information if held by telephone or
585 other electronic means. A parcel owner has the right to attend a
586 hearing by telephone, video teleconference, or other electronic
587 means.
588 (c) If the committee, by majority vote, does not find that
589 a violation exists or does not approve a proposed fine or
590 suspension, the proposed fine or suspension may not be imposed
591 and action may not be taken related to the alleged violation.
592 The role of the committee is limited to determining whether a
593 violation exists and, if so, to confirm or reject the fine or
594 suspension levied by the board.
595 (d) Within 7 days after the hearing, the committee shall
596 provide written notice to the parcel owner at his or her
597 designated mailing or e-mail address in the association’s
598 official records and, if applicable, any occupant, licensee, or
599 invitee of the parcel owner, of the committee’s findings related
600 to the violation, including any applicable fines or suspensions
601 that the committee approved or rejected, and how the parcel
602 owner or any occupant, licensee, or invitee of the parcel owner
603 may cure the violation, if applicable, or fulfill a suspension,
604 or the date by which a fine must be paid. Fines, suspensions,
605 attorney fees, and costs must be determined and structured as
606 follows:
607 1. If a violation is confirmed by the association and
608 subsequently cured before the hearing, a fine or suspension may
609 not be levied and attorney fees and costs may not be awarded.
610 2. If a violation is confirmed at a hearing and the parcel
611 owner cures the violation within 30 days after the hearing, the
612 fine must be reduced by 50 percent and any applicable suspension
613 must be lifted. Attorney fees and costs may not be awarded.
614 3. If a violation is confirmed at a hearing and not cured
615 within 30 days after the hearing, reasonable attorney fees and
616 costs may be awarded to the association for the work required to
617 collect the fine and remedy the violation.
618 4. If a violation is confirmed at a hearing and not cured,
619 fines for such violation are due no earlier than 30 days after
620 the hearing. Following the hearing, the association shall
621 provide written notice to the designated parcel owner and
622 address any findings related to the violation, including
623 applicable fines, suspensions, and instructions on how to cure
624 the violation and pay associated penalties.
625 (e) If a violation and the proposed fine or suspension
626 levied by the board is approved by the committee and the
627 violation is not cured or the fine is not paid per the written
628 notice required in paragraph (d), reasonable attorney fees and
629 costs may be awarded to the association. Attorney fees and costs
630 may not begin to accrue until after the date noticed for payment
631 under paragraph (d) and the time for an appeal has expired If a
632 violation has been cured before the hearing or in the manner
633 specified in the written notice required in paragraph (b) or
634 paragraph (d), a fine or suspension may not be imposed.
635 (f) A parcel owner has a right at any time to make a
636 written request for a detailed accounting of all amounts due and
637 payable from the parcel owner to the association, and the
638 association must provide such information within 10 calendar
639 days after receipt of such written request. Failure of the
640 association to respond constitutes a waiver of any pending
641 violation, fine, or penalty. Upon receiving payment for any
642 outstanding amounts from a parcel owner, an association must
643 apply the payment first to the fine, before satisfying any other
644 outstanding amounts due. Attorney fees and costs may not
645 continue to accrue after a parcel owner’s satisfaction of the
646 fine, and the parcel owner may request a hearing before the
647 association to dispute the reasonableness of attorney fees and
648 costs assessed in the association’s collection of the fine. If a
649 violation is not cured and the proposed fine or suspension
650 levied by the board is approved by the committee by a majority
651 vote, the committee must set a date by which the fine must be
652 paid, which date must be at least 30 days after delivery of the
653 written notice required in paragraph (d). Attorney fees and
654 costs may not be awarded against the parcel owner based on
655 actions taken by the board before the date set for the fine to
656 be paid.
657 (g) If a violation and the proposed fine or suspension
658 levied by the board is approved by the committee and the
659 violation is not cured or the fine is not paid per the written
660 notice required in paragraph (d), reasonable attorney fees and
661 costs may be awarded to the association. Attorney fees and costs
662 may not begin to accrue until after the date noticed for payment
663 under paragraph (d) and the time for an appeal has expired.
664 Section 13. Section 720.3085, Florida Statutes, is amended
665 to read:
666 720.3085 Priority of payment; payment for assessments; lien
667 claims.—
668 (1) Payments made by a parcel owner must be applied to any
669 outstanding amounts due that are designated by the parcel owner
670 on the payment instrument or otherwise in writing. In the event
671 the parcel owner does not designate the outstanding amounts to
672 which the remitted payment must be applied, the association must
673 apply the parcel owner’s payment in priority as follows:
674 (a) Regularly occurring assessments.
675 (b) Special assessments.
676 (c) Fines.
677 (d) Interest.
678 (e) Other fees or costs charged by the association,
679 including attorney fees and costs.
680 (2) When authorized by the governing documents, the
681 association has a lien on each parcel to secure the payment of
682 assessments and other amounts provided for by this section.
683 Except as otherwise set forth in this section, the lien is
684 effective from and shall relate back to the date on which the
685 original declaration of the community was recorded. However, as
686 to first mortgages of record, the lien is effective from and
687 after recording of a claim of lien in the public records of the
688 county in which the parcel is located. This subsection does not
689 bestow upon any lien, mortgage, or certified judgment of record
690 on July 1, 2008, including the lien for unpaid assessments
691 created in this section, a priority that, by law, the lien,
692 mortgage, or judgment did not have before July 1, 2008.
693 (a) To be valid, a claim of lien must state the description
694 of the parcel, the name of the record owner, the name and
695 address of the association, the assessment amount due, and the
696 due date. The claim of lien secures all unpaid assessments that
697 are due and that may accrue subsequent to the recording of the
698 claim of lien and before entry of a certificate of title, as
699 well as interest, late charges, and reasonable costs and
700 attorney fees incurred by the association incident to the
701 collection process. The person making payment is entitled to a
702 satisfaction of the lien upon payment in full.
703 (b) By recording a notice in substantially the following
704 form, a parcel owner or the parcel owner’s agent or attorney may
705 require the association to enforce a recorded claim of lien
706 against his or her parcel:
707
708 NOTICE OF CONTEST OF LIEN
709
710 TO: ...(Name and address of association)...
711
712 You are notified that the undersigned contests the claim of lien
713 filed by you on ...., ...(year)..., and recorded in Official
714 Records Book .... at page ...., of the public records of ....
715 County, Florida, and that the time within which you may file
716 suit to enforce your lien is limited to 90 days following the
717 date of service of this notice. Executed this .... day of ....,
718 ...(year)....
719
720 Signed: ...(Owner or Attorney)...
721
722 After the notice of a contest of lien has been recorded, the
723 clerk of the circuit court shall mail a copy of the recorded
724 notice to the association by certified mail, return receipt
725 requested, at the address shown in the claim of lien or the most
726 recent amendment to it and shall certify to the service on the
727 face of the notice. Service is complete upon mailing. After
728 service, the association has 90 days in which to file an action
729 to enforce the lien and, if the action is not filed within the
730 90-day period, the lien is void. However, the 90-day period
731 shall be extended for any length of time that the association is
732 prevented from filing its action because of an automatic stay
733 resulting from the filing of a bankruptcy petition by the parcel
734 owner or by any other person claiming an interest in the parcel.
735 (c) The association may bring an action in its name to
736 foreclose a lien for assessments in the same manner in which a
737 mortgage of real property is foreclosed and may also bring an
738 action to recover a money judgment for the unpaid assessments
739 without waiving any claim of lien, but such money judgment
740 action must be brought in the same lawsuit as the claim of lien
741 action. The association is entitled to recover its reasonable
742 attorney attorney’s fees incurred in an action to foreclose a
743 lien or an action to recover a money judgment for unpaid
744 assessments.
745 (d) A release of lien must be in substantially the
746 following form:
747
748 RELEASE OF LIEN
749
750 The undersigned lienor, in consideration of the final payment in
751 the amount of $...., hereby waives and releases its lien and
752 right to claim a lien for unpaid assessments through ....,
753 ...(year)..., recorded in the Official Records Book .... at Page
754 ...., of the public records of .... County, Florida, for the
755 following described real property:
756
757 (PARCEL NO. .... OR LOT AND BLOCK) OF ...(subdivision
758 name)... SUBDIVISION AS SHOWN IN THE PLAT THEREOF,
759 RECORDED AT PLAT BOOK ...., PAGE ...., OF THE OFFICIAL
760 RECORDS OF .... COUNTY, FLORIDA.
761
762 ...(or insert appropriate metes and bounds description
763 here)...
764
765 ...(Signature of Authorized Agent)... ...(Signature of
766 Witness)...
767 ...(Print Name)... ...(Print Name)...
768
769 ...(Signature of Witness)...
770 ...(Print Name)...
771
772 Sworn to (or affirmed) and subscribed before me this .... day of
773 ...., ...(year)..., by ...(name of person making statement)....
774
775 ...(Signature of Notary Public)...
776 ...(Print, type, or stamp commissioned name of Notary Public)...
777 Personally Known .... OR Produced .... as identification.
778 (e) If the parcel owner remains in possession of the parcel
779 after a foreclosure judgment has been entered, the court may
780 require the parcel owner to pay a reasonable rent for the
781 parcel. If the parcel is rented or leased during the pendency of
782 the foreclosure action, the association is entitled to the
783 appointment of a receiver to collect the rent. The expenses of
784 the receiver must be paid by the party who does not prevail in
785 the foreclosure action.
786 (f) The association may purchase the parcel at the
787 foreclosure sale and hold, lease, mortgage, or convey the
788 parcel.
789 (3)(a)(2)(a) A parcel owner, regardless of how his or her
790 title to property has been acquired, including by purchase at a
791 foreclosure sale or by deed in lieu of foreclosure, is liable
792 for all assessments that come due while he or she is the parcel
793 owner. The parcel owner’s liability for assessments may not be
794 avoided by waiver or suspension of the use or enjoyment of any
795 common area or by abandonment of the parcel upon which the
796 assessments are made.
797 (b) A parcel owner is jointly and severally liable with the
798 previous parcel owner for all unpaid assessments that came due
799 up to the time of transfer of title. This liability is without
800 prejudice to any right the present parcel owner may have to
801 recover any amounts paid by the present owner from the previous
802 owner. For the purposes of this paragraph, the term “previous
803 owner” does shall not include an association that acquires title
804 to a delinquent property through foreclosure or by deed in lieu
805 of foreclosure. The present parcel owner’s liability for unpaid
806 assessments is limited to any unpaid assessments that accrued
807 before the association acquired title to the delinquent property
808 through foreclosure or by deed in lieu of foreclosure.
809 (c) Notwithstanding anything to the contrary contained in
810 this section, the liability of a first mortgagee, or its
811 successor or assignee as a subsequent holder of the first
812 mortgage who acquires title to a parcel by foreclosure or by
813 deed in lieu of foreclosure for the unpaid assessments that
814 became due before the mortgagee’s acquisition of title, shall be
815 the lesser of:
816 1. The parcel’s unpaid common expenses and regular periodic
817 or special assessments that accrued or came due during the 12
818 months immediately preceding the acquisition of title and for
819 which payment in full has not been received by the association;
820 or
821 2. One percent of the original mortgage debt.
822
823 The limitations on first mortgagee liability provided by this
824 paragraph apply only if the first mortgagee filed suit against
825 the parcel owner and initially joined the association as a
826 defendant in the mortgagee foreclosure action. Joinder of the
827 association is not required if, on the date the complaint is
828 filed, the association was dissolved or did not maintain an
829 office or agent for service of process at a location that was
830 known to or reasonably discoverable by the mortgagee.
831 (d) An association, or its successor or assignee, that
832 acquires title to a parcel through the foreclosure of its lien
833 for assessments is not liable for any unpaid assessments, late
834 fees, interest, or reasonable attorney attorney’s fees and costs
835 that came due before the association’s acquisition of title in
836 favor of any other association, as defined in s. 718.103 or s.
837 720.301 s. 720.301(9), which holds a superior lien interest on
838 the parcel. This paragraph is intended to clarify existing law.
839 (4)(3) Assessments and installments on assessments that are
840 not paid when due bear interest from the due date until paid at
841 the rate provided in the declaration of covenants or the bylaws
842 of the association, which rate may not exceed the rate allowed
843 by law. If no rate is provided in the declaration or bylaws,
844 simple interest accrues at the rate of 18 percent per year.
845 Notwithstanding the declaration or bylaws, compound interest may
846 not accrue on assessments and installments on assessments that
847 are not paid when due.
848 (a) If the declaration or bylaws so provide, the
849 association may also charge an administrative late fee not to
850 exceed the greater of $25 or 5 percent of the amount of each
851 installment that is paid past the due date.
852 (b) Any payment received by an association and accepted
853 must shall be applied first to any interest accrued, then to any
854 administrative late fee, then to any costs and reasonable
855 attorney fees incurred in collection, and then to the delinquent
856 assessment. This paragraph applies notwithstanding any
857 restrictive endorsement, designation, or instruction placed on
858 or accompanying a payment. A late fee is not subject to the
859 provisions of chapter 687 and is not a fine. The foregoing is
860 applicable notwithstanding s. 673.3111, any purported accord and
861 satisfaction, or any restrictive endorsement, designation, or
862 instruction placed on or accompanying a payment. The preceding
863 sentence is intended to clarify existing law.
864 (c)1. If an association sends out an invoice for
865 assessments or a parcel’s statement of the account described in
866 s. 720.303(4)(a)10.b., the invoice for assessments or the
867 parcel’s statement of account must be delivered to the parcel
868 owner by first-class United States mail or by electronic
869 transmission to the parcel owner’s e-mail address maintained in
870 the association’s official records.
871 2. Before changing the method of delivery for an invoice
872 for assessments or the statement of the account, the association
873 must deliver a written notice of such change to each parcel
874 owner. The written notice must be delivered to the parcel owner
875 at least 30 days before the association sends the invoice for
876 assessments or the statement of the account by the new delivery
877 method. The notice must be sent by first-class United States
878 mail to the owner at his or her last address as reflected in the
879 association’s records and, if such address is not the parcel
880 address, must be sent by first-class United States mail to the
881 parcel address. Notice is deemed to have been delivered upon
882 mailing as required by this subparagraph.
883 3. A parcel owner must affirmatively acknowledge his or her
884 understanding that the association will change its method of
885 delivery of the invoice for assessments or the statement of the
886 account before the association may change the method of
887 delivering an invoice for assessments or the statement of
888 account. The parcel owner may make the affirmative
889 acknowledgment electronically or in writing.
890 (d) An association may not require payment of attorney fees
891 related to a past due assessment without first delivering a
892 written notice of late assessment to the parcel owner which
893 specifies the amount owed the association and provides the
894 parcel owner an opportunity to pay the amount owed without the
895 assessment of attorney fees. The notice of late assessment must
896 be sent by first-class United States mail to the owner at his or
897 her last address as reflected in the association’s records and,
898 if such address is not the parcel address, must also be sent by
899 first-class United States mail to the parcel address. Notice is
900 deemed to have been delivered upon mailing as required by this
901 paragraph. A rebuttable presumption that an association mailed a
902 notice in accordance with this paragraph is established if a
903 board member, officer, or agent of the association, or a manager
904 licensed under part VIII of chapter 468, provides a sworn
905 affidavit attesting to such mailing. The notice must be in
906 substantially the following form:
907
908 NOTICE OF LATE ASSESSMENT
909
910 RE: Parcel .... of ...(name of association)...
911
912 The following amounts are currently due on your
913 account to ...(name of association)..., and must be
914 paid within 30 days after the date of this letter.
915 This letter is shall serve as the association’s notice
916 to proceed with further collection action against your
917 property no sooner than 30 days after the date of this
918 letter, unless you pay in full the amounts set forth
919 below:
920
921
922 Maintenance due ...(dates)... $.....
923 Late fee, if applicable $.....
924 Interest through ...(dates)...* $.....
925 TOTAL OUTSTANDING $.....
926
927 *Interest accrues at the rate of .... percent per
928 annum.
929
930 (5)(4) A homeowners’ association may not file a record of
931 lien against a parcel for unpaid assessments unless a written
932 notice or demand for past due assessments as well as any other
933 amounts owed to the association pursuant to its governing
934 documents has been made by the association. The written notice
935 or demand must:
936 (a) Provide the owner with 45 days following the date the
937 notice is deposited in the mail to make payment for all amounts
938 due, including, but not limited to, any attorney attorney’s fees
939 and actual costs associated with the preparation and delivery of
940 the written demand. The notice must be in substantially the
941 following form:
942
943 NOTICE OF INTENT
944 TO RECORD A CLAIM OF LIEN
945
946 RE: Parcel or (lot/block) ...(lot/parcel number)... of
947 ...(name of association)...
948
949 The following amounts are currently due on your
950 account to ...(name of association)..., and must be
951 paid within 45 days after your receipt of this letter.
952 This letter is shall serve as the association’s notice
953 of intent to record a Claim of Lien against your
954 property no sooner than 45 days after your receipt of
955 this letter, unless you pay in full the amounts set
956 forth below:
957
958 Maintenance due ...(dates)... $.....
959 Late fee, if applicable $.....
960 Interest through ...(dates)...* $.....
961 Certified mail charges $.....
962 Other costs $.....
963 TOTAL OUTSTANDING $.....
964
965 *Interest accrues at the rate of .... percent per
966 annum.
967
968 (b) Be sent by registered or certified mail, return receipt
969 requested, and by first-class United States mail to the parcel
970 owner at his or her last address as reflected in the records of
971 the association, if the address is within the United States, and
972 to the parcel owner subject to the demand at the address of the
973 parcel if the owner’s address as reflected in the records of the
974 association is not the parcel address. If the address reflected
975 in the records is outside the United States, then sending the
976 notice to that address and to the parcel address by first-class
977 United States mail is sufficient.
978 (6)(5) The association may bring an action in its name to
979 foreclose a lien for unpaid assessments secured by a lien in the
980 same manner that a mortgage of real property is foreclosed and
981 may also bring an action to recover a money judgment for the
982 unpaid assessments without waiving any claim of lien. The action
983 to foreclose the lien may not be brought until 45 days after the
984 parcel owner has been provided notice of the association’s
985 intent to foreclose and collect the unpaid amount. The notice
986 must be given in the manner provided in paragraph (5)(b)
987 paragraph (4)(b), and the notice may not be provided until the
988 passage of the 45 days required in paragraph (5)(a) paragraph
989 (4)(a). The notice must be in substantially the following form:
990
991 DELINQUENT ASSESSMENT
992
993 This letter is to inform you a Claim of Lien has been filed
994 against your property because you have not paid the ...(type of
995 assessment)... assessment to ...(name of association).... The
996 association intends to foreclose the lien and collect the unpaid
997 amount within 45 days of this letter being provided to you.
998
999 You owe the interest accruing from ...(month/year)... to the
1000 present. As of the date of this letter, the total amount due
1001 with interest is $..... All costs of any action and interest
1002 from this day forward will also be charged to your account.
1003
1004 Any questions concerning this matter should be directed to
1005 ...(insert name, addresses, and telephone numbers of association
1006 representative)....
1007 (a) The association may recover any interest, late charges,
1008 costs, and reasonable attorney attorney’s fees incurred in a
1009 lien foreclosure action or in an action to recover a money
1010 judgment for the unpaid assessments.
1011 (b) The time limitations in this subsection do not apply if
1012 the parcel is subject to a foreclosure action or forced sale of
1013 another party, or if an owner of the parcel is a debtor in a
1014 bankruptcy proceeding.
1015 (7)(6) If after service of a summons on a complaint to
1016 foreclose a lien the parcel is not the subject of a mortgage
1017 foreclosure or a notice of tax certificate sale, the parcel
1018 owner is not a debtor in bankruptcy proceedings, or the trial of
1019 or trial docket for the lien foreclosure action is not set to
1020 begin within 30 days, the parcel owner may serve and file with
1021 the court a qualifying offer at any time before the entry of a
1022 foreclosure judgment. For purposes of this subsection, the term
1023 “qualifying offer” means a written offer to pay all amounts
1024 secured by the lien of the association plus amounts accruing
1025 during the pendency of the offer. The parcel owner may make only
1026 one qualifying offer during the pendency of a foreclosure
1027 action. If a parcel becomes the subject of a mortgage
1028 foreclosure or a notice of tax certificate sale while a
1029 qualifying offer is pending, the qualifying offer becomes
1030 voidable at the election of the association. If the parcel owner
1031 becomes a debtor in bankruptcy proceedings while a qualifying
1032 offer is pending, the qualifying offer becomes void.
1033 (a) The parcel owner shall deliver a copy of the filed
1034 qualifying offer to the association’s attorney by hand delivery,
1035 obtaining a written receipt, or by certified mail, return
1036 receipt requested.
1037 (b) The parcel owner’s filing of the qualifying offer with
1038 the court stays the foreclosure action for the period stated in
1039 the qualifying offer, which may not exceed 60 days following the
1040 date of service of the qualifying offer and no sooner than 30
1041 days before the date of trial, arbitration, or the beginning of
1042 the trial docket, whichever occurs first, to permit the parcel
1043 owner to pay the qualifying offer to the association plus any
1044 amounts accruing during the pendency of the offer.
1045 (c) The qualifying offer must be in writing, be signed by
1046 all owners of the parcel and the spouse of any owner if the
1047 spouse resides in or otherwise claims a homestead interest in
1048 the parcel, be acknowledged by a notary public, and be in
1049 substantially the following form:
1050
1051 QUALIFYING OFFER
1052 AUTOMATIC STAY INVOKED
1053 PURSUANT TO F.S. 720.3085
1054
1055 I/We, [Name(s) of Parcel Owner(s)], admit the following:
1056 1. The total amount due the association is secured by the
1057 lien of the association.
1058 2. The association is entitled to foreclose its claim of
1059 lien and obtain a foreclosure judgment for the total amount due
1060 if I/we breach this qualifying offer by failing to pay the
1061 amount due by the date specified in this qualifying offer.
1062 3. I/We will not permit the priority of the lien of the
1063 association or the amounts secured by the lien to be endangered.
1064 4. I/We hereby affirm that the date(s) by which the
1065 association will receive $ [specify amount] as the total amount
1066 due is [specify date, no later than 60 days after the date of
1067 service of the qualifying offer and at least 30 days before the
1068 trial or arbitration date], in the following amounts and dates:
1069 5. I/We hereby confirm that I/we have requested and have
1070 received from the homeowners’ association a breakdown and total
1071 of all sums due the association and that the amount offered
1072 above is equal to or greater than the total amount provided by
1073 the association.
1074 6. This qualifying offer operates as a stay to all portions
1075 of the foreclosure action which seek to collect unpaid
1076 assessments as provided in s. 720.3085.
1077
1078 Signed: ...(Signatures of all parcel owners and spouses, if
1079 any)...
1080
1081 Sworn to and subscribed this ...(date)... day of ...(month)...,
1082 ...(year)..., before the undersigned authority.
1083
1084 Notary Public: ...(Signature of notary public)...
1085
1086 If the parcel owner makes a qualifying offer under this
1087 subsection, the association may not add the cost of any legal
1088 fees incurred by the association within the period of the stay
1089 other than costs acquired in defense of a mortgage foreclosure
1090 action concerning the parcel, a bankruptcy proceeding in which
1091 the parcel owner is a debtor, or in response to filings by a
1092 party other than the association in the lien foreclosure action
1093 of the association.
1094 (8)(7) If the parcel owner breaches the qualifying offer,
1095 the stay must shall be vacated and the association may proceed
1096 in its action to obtain a foreclosure judgment against the
1097 parcel and the parcel owners for the amount in the qualifying
1098 offer and any amounts accruing after the date of the qualifying
1099 offer.
1100 (9)(a)(8)(a) If the parcel is occupied by a tenant and the
1101 parcel owner is delinquent in paying any monetary obligation due
1102 to the association, the association may demand that the tenant
1103 pay to the association the subsequent rental payments and
1104 continue to make such payments until all the monetary
1105 obligations of the parcel owner related to the parcel have been
1106 paid in full to the association and the association releases the
1107 tenant or until the tenant discontinues tenancy in the parcel.
1108 1. The association must provide the tenant a notice, by
1109 hand delivery or United States mail, in substantially the
1110 following form:
1111
1112 Pursuant to section 720.3085(9) 720.3085(8),
1113 Florida Statutes, we demand that you make your rent
1114 payments directly to the homeowners’ association and
1115 continue doing so until the association notifies you
1116 otherwise.
1117 Payment due the homeowners’ association may be in
1118 the same form as you paid your landlord and must be
1119 sent by United States mail or hand delivery to
1120 ...(full address)..., payable to ...(name)....
1121 Your obligation to pay your rent to the
1122 association begins immediately, unless you have
1123 already paid rent to your landlord for the current
1124 period before receiving this notice. In that case, you
1125 must provide the association written proof of your
1126 payment within 14 days after receiving this notice and
1127 your obligation to pay rent to the association would
1128 then begin with the next rental period.
1129 Pursuant to section 720.3085(9) 720.3085(8),
1130 Florida Statutes, your payment of rent to the
1131 association gives you complete immunity from any claim
1132 for the rent by your landlord.
1133
1134 2. A tenant is immune from any claim by the parcel owner
1135 related to the rent timely paid to the association after the
1136 association has made written demand.
1137 (b) If the tenant paid rent to the landlord or parcel owner
1138 for a given rental period before receiving the demand from the
1139 association and provides written evidence to the association of
1140 having paid the rent within 14 days after receiving the demand,
1141 the tenant must shall begin making rental payments to the
1142 association for the following rental period and must shall
1143 continue making rental payments to the association to be
1144 credited against the monetary obligations of the parcel owner
1145 until the association releases the tenant or the tenant
1146 discontinues tenancy in the unit. The association shall, upon
1147 request, provide the tenant with written receipts for payments
1148 made. The association shall mail written notice to the parcel
1149 owner of the association’s demand that the tenant pay monetary
1150 obligations to the association.
1151 (c) The liability of the tenant may not exceed the amount
1152 due from the tenant to the tenant’s landlord. The tenant shall
1153 be given a credit against rents due to the landlord in the
1154 amount of assessments paid to the association.
1155 (d) The association may issue notice under s. 83.56 and sue
1156 for eviction under ss. 83.59-83.625 as if the association were a
1157 landlord under part II of chapter 83 if the tenant fails to pay
1158 a monetary obligation. However, the association is not otherwise
1159 considered a landlord under chapter 83 and specifically has no
1160 obligations under s. 83.51.
1161 (e) The tenant does not, by virtue of payment of monetary
1162 obligations, have any of the rights of a parcel owner to vote in
1163 any election or to examine the books and records of the
1164 association.
1165 (f) A court may supersede the effect of this subsection by
1166 appointing a receiver.
1167 Section 14. Section 720.3086, Florida Statutes, is amended
1168 to read:
1169 720.3086 Financial report.—In a residential subdivision in
1170 which the owners of lots or parcels must pay mandatory
1171 maintenance or amenity fees to the subdivision developer or to
1172 the owners of the common areas, recreational facilities, and
1173 other properties serving the lots or parcels, the developer or
1174 owner of such areas, facilities, or properties shall make
1175 available for inspection public, within 60 days following the
1176 end of each fiscal year, and upon written request from an owner
1177 in the applicable subdivision, a complete financial report of
1178 the actual, total receipts of mandatory maintenance or amenity
1179 fees received by it, and an itemized listing of the expenditures
1180 made by it from such fees, for that year. Such report shall be
1181 made public by mailing it to each lot or parcel owner in the
1182 subdivision, by publishing it in a publication regularly
1183 distributed within the subdivision, or by posting it in
1184 prominent locations in the subdivision. This section does not
1185 apply to amounts paid to homeowner associations pursuant to
1186 chapter 617, chapter 718, chapter 719, chapter 721, or chapter
1187 723, or to amounts paid to local governmental entities,
1188 including special districts.
1189 Section 15. Paragraph (a) of subsection (1) of section
1190 336.125, Florida Statutes, is amended to read:
1191 336.125 Closing and abandonment of roads; optional
1192 conveyance to homeowners’ association; traffic control
1193 jurisdiction.—
1194 (1)(a) In addition to the authority provided in s. 336.12,
1195 the governing body of the county may abandon the roads and
1196 rights-of-way dedicated in a recorded residential subdivision
1197 plat and simultaneously convey the county’s interest in such
1198 roads, rights-of-way, and appurtenant drainage facilities to a
1199 homeowners’ association for the subdivision, if the following
1200 conditions have been met:
1201 1. The homeowners’ association has requested the
1202 abandonment and conveyance in writing for the purpose of
1203 converting the subdivision to a gated neighborhood with
1204 restricted public access.
1205 2. No fewer than four-fifths of the owners of record of
1206 property located in the subdivision have consented in writing to
1207 the abandonment and simultaneous conveyance to the homeowners’
1208 association.
1209 3. The homeowners’ association is both a corporation not
1210 for profit organized and in good standing under chapter 617, and
1211 a “homeowners’ association” as defined in s. 720.301 s.
1212 720.301(9) with the power to levy and collect assessments for
1213 routine and periodic major maintenance and operation of street
1214 lighting, drainage, sidewalks, and pavement in the subdivision.
1215 4. The homeowners’ association has entered into and
1216 executed such agreements, covenants, warranties, and other
1217 instruments; has provided, or has provided assurance of, such
1218 funds, reserve funds, and funding sources; and has satisfied
1219 such other requirements and conditions as may be established or
1220 imposed by the county with respect to the ongoing operation,
1221 maintenance, and repair and the periodic reconstruction or
1222 replacement of the roads, drainage, street lighting, and
1223 sidewalks in the subdivision after the abandonment by the
1224 county.
1225 Section 16. Subsection (2) of section 558.002, Florida
1226 Statutes, is amended to read:
1227 558.002 Definitions.—As used in this chapter, the term:
1228 (2) “Association” has the same meaning as in s. 718.103, s.
1229 719.103(2), s. 720.301 s. 720.301(9), or s. 723.075.
1230 Section 17. Section 617.0725, Florida Statutes, is amended
1231 to read:
1232 617.0725 Quorum.—An amendment to the articles of
1233 incorporation or the bylaws which adds, changes, or deletes a
1234 greater or lesser quorum or voting requirement must meet the
1235 same quorum or voting requirement and be adopted by the same
1236 vote and voting groups required to take action under the quorum
1237 and voting requirements then in effect or proposed to be
1238 adopted, whichever is greater. This section does not apply to
1239 any corporation that is an association, as defined in s. 720.301
1240 s. 720.301(9), or any corporation regulated under chapter 718 or
1241 chapter 719.
1242 Section 18. Paragraph (b) of subsection (10) of section
1243 697.07, Florida Statutes, is amended to read:
1244 697.07 Assignment of rents.—
1245 (10) This section does not apply to a corporation that is a
1246 homeowners’ association or an association, as those terms are
1247 defined in s. 720.301, or a corporation regulated under chapter
1248 718 or chapter 719, that:
1249 (b) Collects rents from tenants in a parcel or unit
1250 pursuant to s. 718.116(11), s. 719.108(10), or s. 720.3085(9) s.
1251 720.3085(8).
1252 Section 19. Paragraph (j) of subsection (2) of section
1253 702.10, Florida Statutes, is amended to read:
1254 702.10 Order to show cause; entry of final judgment of
1255 foreclosure; payment during foreclosure.—
1256 (2) Except as provided in paragraph (i), in any action for
1257 foreclosure, in addition to any other relief that the court may
1258 award, the plaintiff may request that the court enter an order
1259 directing the mortgagor defendant to show cause why an order to
1260 make payments during the pendency of the foreclosure proceedings
1261 or an order to vacate the premises should not be entered.
1262 (j) For purposes of this subsection, the term “mortgagor”
1263 means a person who grants a mortgage or a successor in ownership
1264 of the real property described in the mortgage. The term does
1265 not include a homeowners’ association or an association, as
1266 those terms are defined in s. 720.301, or a corporation
1267 regulated under chapter 718 or chapter 719, that:
1268 1. Acquires title to a parcel or unit through the
1269 foreclosure of its claim of lien, or a deed in lieu of
1270 foreclosure, provided that title remains vested in the
1271 association or corporation and any rents collected are applied
1272 to assessments that are then due; or
1273 2. Collects rents from the tenants in the parcel or unit
1274 pursuant to s. 718.116(11), s. 719.108(10), or s. 720.3085(9) s.
1275 720.3085(8).
1276 Section 20. Paragraph (b) of subsection (1) of section
1277 718.116, Florida Statutes, is amended, and subsection (10) of
1278 that section is republished, to read:
1279 718.116 Assessments; liability; lien and priority;
1280 interest; collection.—
1281 (1)
1282 (b)1. The liability of a first mortgagee or its successor
1283 or assignees who acquire title to a unit by foreclosure or by
1284 deed in lieu of foreclosure for the unpaid assessments that
1285 became due before the mortgagee’s acquisition of title is
1286 limited to the lesser of:
1287 a. The unit’s unpaid common expenses and regular periodic
1288 assessments which accrued or came due during the 12 months
1289 immediately preceding the acquisition of title and for which
1290 payment in full has not been received by the association; or
1291 b. One percent of the original mortgage debt. The
1292 provisions of This paragraph applies apply only if the first
1293 mortgagee joined the association as a defendant in the
1294 foreclosure action. Joinder of the association is not required
1295 if, on the date the complaint is filed, the association was
1296 dissolved or did not maintain an office or agent for service of
1297 process at a location which was known to or reasonably
1298 discoverable by the mortgagee.
1299 2. An association, or its successor or assignee, that
1300 acquires title to a unit through the foreclosure of its lien for
1301 assessments is not liable for any unpaid assessments, late fees,
1302 interest, or reasonable attorney attorney’s fees and costs that
1303 came due before the association’s acquisition of title in favor
1304 of any other association, as defined in s. 718.103 or s. 720.301
1305 s. 720.301(9), which holds a superior lien interest on the unit.
1306 This subparagraph is intended to clarify existing law.
1307 (10) The specific purpose or purposes of any special
1308 assessment, including any contingent special assessment levied
1309 in conjunction with the purchase of an insurance policy
1310 authorized by s. 718.111(11), approved in accordance with the
1311 condominium documents shall be set forth in a written notice of
1312 such assessment sent or delivered to each unit owner. The funds
1313 collected pursuant to a special assessment shall be used only
1314 for the specific purpose or purposes set forth in such notice.
1315 However, upon completion of such specific purpose or purposes,
1316 any excess funds will be considered common surplus, and may, at
1317 the discretion of the board, either be returned to the unit
1318 owners or applied as a credit toward future assessments.
1319 Section 21. Paragraph (a) of subsection (4) and paragraph
1320 (g) of subsection (5) of section 720.303, Florida Statutes, are
1321 amended to read:
1322 720.303 Association powers and duties; meetings of board;
1323 official records; budgets; financial reporting; association
1324 funds; recalls.—
1325 (4) OFFICIAL RECORDS.—
1326 (a) The association shall maintain each of the following
1327 items, when applicable, for at least 7 years, unless the
1328 governing documents of the association require a longer period
1329 of time, which constitute the official records of the
1330 association:
1331 1. Copies of any plans, specifications, permits, and
1332 warranties related to improvements constructed on the common
1333 areas or other property that the association is obligated to
1334 maintain, repair, or replace.
1335 2. A copy of the bylaws of the association and of each
1336 amendment to the bylaws.
1337 3. A copy of the articles of incorporation of the
1338 association and of each amendment thereto.
1339 4. A copy of the declaration of covenants and a copy of
1340 each amendment thereto.
1341 5. A copy of the current rules of the homeowners’
1342 association.
1343 6. The minutes of all meetings of the board of directors
1344 and of the members.
1345 7. A current roster of all members and their designated
1346 mailing addresses and parcel identifications. A member’s
1347 designated mailing address is the member’s property address,
1348 unless the member has sent written notice to the association
1349 requesting that a different mailing address be used for all
1350 required notices. The association shall also maintain the e-mail
1351 addresses and the facsimile numbers designated by members for
1352 receiving notice sent by electronic transmission of those
1353 members consenting to receive notice by electronic transmission.
1354 A member’s e-mail address is the e-mail address the member
1355 provided when consenting in writing to receiving notice by
1356 electronic transmission, unless the member has sent written
1357 notice to the association requesting that a different e-mail
1358 address be used for all required notices. The e-mail addresses
1359 and facsimile numbers provided by members to receive notice by
1360 electronic transmission must be removed from association records
1361 when the member revokes consent to receive notice by electronic
1362 transmission. However, the association is not liable for an
1363 erroneous disclosure of the e-mail address or the facsimile
1364 number for receiving electronic transmission of notices.
1365 8. All of the association’s insurance policies or a copy
1366 thereof.
1367 9. A current copy of all contracts to which the association
1368 is a party, including, without limitation, any management
1369 agreement, lease, or other contract under which the association
1370 has any obligation or responsibility. Bids received by the
1371 association for work to be performed are considered official
1372 records and must be kept for a period of 1 year.
1373 10. The financial and accounting records of the
1374 association, kept according to good accounting practices. The
1375 financial and accounting records must include:
1376 a. Accurate, itemized, and detailed records of all receipts
1377 and expenditures.
1378 b. A current account and a periodic statement of the
1379 account for each member, designating the name and current
1380 address of each member who is obligated to pay assessments, the
1381 due date and amount of each assessment or other charge against
1382 the member, the date and amount of each payment on the account,
1383 and the balance due.
1384 c. All tax returns, financial statements, and financial
1385 reports of the association.
1386 d. Any other records that identify, measure, record, or
1387 communicate financial information.
1388 11. A copy of the disclosure summary described in s.
1389 720.401(1).
1390 12. Ballots, sign-in sheets, voting proxies, and all other
1391 papers and electronic records relating to voting by parcel
1392 owners, which must be maintained for at least 1 year after the
1393 date of the election, vote, or meeting.
1394 13. All affirmative acknowledgments made pursuant to s.
1395 720.3085(4)(c)3. 720.3085(3)(c)3.
1396 14. All other written records of the association not
1397 specifically included in this subsection which are related to
1398 the operation of the association.
1399 (5) INSPECTION AND COPYING OF RECORDS.—
1400 (g) The association may adopt reasonable written rules
1401 governing the frequency, time, location, notice, records to be
1402 inspected, and manner of inspections, but may not require a
1403 parcel owner to demonstrate any proper purpose for the
1404 inspection, state any reason for the inspection, or limit a
1405 parcel owner’s right to inspect records to less than one 8-hour
1406 business day per month. The association may impose fees to cover
1407 the costs of providing copies of the official records, including
1408 the costs of copying and the costs required for personnel to
1409 retrieve and copy the records if the time spent retrieving and
1410 copying the records exceeds one-half hour and if the personnel
1411 costs do not exceed $20 per hour. Personnel costs may not be
1412 charged for records requests that result in the copying of 25 or
1413 fewer pages. The association may charge up to 25 cents per page
1414 for copies made on the association’s photocopier. If the
1415 association does not have a photocopy machine available where
1416 the records are kept, or if the records requested to be copied
1417 exceed 25 pages in length, the association may have copies made
1418 by an outside duplicating service and may charge the actual cost
1419 of copying, as supported by the vendor invoice. The association
1420 shall maintain an adequate number of copies of the recorded
1421 governing documents, to ensure their availability to members and
1422 prospective members. Notwithstanding this subsection, the
1423 following records are not accessible to members or parcel
1424 owners:
1425 1. Any record protected by the lawyer-client privilege as
1426 described in s. 90.502 and any record protected by the work
1427 product privilege, including, but not limited to, a record
1428 prepared by an association attorney or prepared at the
1429 attorney’s express direction which reflects a mental impression,
1430 conclusion, litigation strategy, or legal theory of the attorney
1431 or the association and which was prepared exclusively for civil
1432 or criminal litigation or for adversarial administrative
1433 proceedings or which was prepared in anticipation of such
1434 litigation or proceedings until the conclusion of the litigation
1435 or proceedings.
1436 2. Information obtained by an association in connection
1437 with the approval of the lease, sale, or other transfer of a
1438 parcel.
1439 3. Information an association obtains in a gated community
1440 in connection with guests’ visits to parcel owners or community
1441 residents.
1442 4. Personnel records of association or management company
1443 employees, including, but not limited to, disciplinary, payroll,
1444 health, and insurance records. For purposes of this
1445 subparagraph, the term “personnel records” does not include
1446 written employment agreements with an association or management
1447 company employee or budgetary or financial records that indicate
1448 the compensation paid to an association or management company
1449 employee.
1450 5. Medical records of parcel owners or community residents.
1451 6. Social security numbers, driver license numbers, credit
1452 card numbers, electronic mailing addresses, telephone numbers,
1453 facsimile numbers, emergency contact information, any addresses
1454 for a parcel owner other than as provided for association notice
1455 requirements, and other personal identifying information of any
1456 person, excluding the person’s name, parcel designation, mailing
1457 address, and property address. Notwithstanding the restrictions
1458 in this subparagraph, an association may print and distribute to
1459 parcel owners a directory containing the name, parcel address,
1460 and all telephone numbers of each parcel owner. However, an
1461 owner may exclude his or her telephone numbers from the
1462 directory by so requesting in writing to the association. An
1463 owner may consent in writing to the disclosure of other contact
1464 information described in this subparagraph. The association is
1465 not liable for the disclosure of information that is protected
1466 under this subparagraph if the information is included in an
1467 official record of the association and is voluntarily provided
1468 by an owner and not requested by the association.
1469 7. Any electronic security measure that is used by the
1470 association to safeguard data, including passwords.
1471 8. The software and operating system used by the
1472 association which allows the manipulation of data, even if the
1473 owner owns a copy of the same software used by the association.
1474 The data is part of the official records of the association.
1475 9. All affirmative acknowledgments made pursuant to s.
1476 720.3085(4)(c)3. 720.3085(3)(c)3.
1477 Section 22. For the purpose of incorporating the amendment
1478 made by this act to section 718.111, Florida Statutes, in a
1479 reference thereto, subsection (19) of section 626.854, Florida
1480 Statutes, is reenacted to read:
1481 626.854 “Public adjuster” defined; prohibitions.—The
1482 Legislature finds that it is necessary for the protection of the
1483 public to regulate public insurance adjusters and to prevent the
1484 unauthorized practice of law.
1485 (19) Subsections (5)-(18) apply only to residential
1486 property insurance policies and condominium unit owner policies
1487 as described in s. 718.111(11).
1488 Section 23. For the purpose of incorporating the amendment
1489 made by this act to section 718.111, Florida Statutes, in a
1490 reference thereto, paragraph (f) of subsection (11) of section
1491 718.110, Florida Statutes, is reenacted to read:
1492 718.110 Amendment of declaration; correction of error or
1493 omission in declaration by circuit court.—
1494 (11) The Legislature finds that the procurement of
1495 mortgagee consent to amendments that do not affect the rights or
1496 interests of mortgagees is an unreasonable and substantial
1497 logistical and financial burden on the unit owners and that
1498 there is a compelling state interest in enabling the members of
1499 a condominium association to approve amendments to the
1500 condominium documents through legal means. Accordingly, and
1501 notwithstanding any provision to the contrary contained in this
1502 section:
1503 (f) Notwithstanding the provisions of this section, any
1504 amendment or amendments to conform a declaration of condominium
1505 to the insurance coverage provisions in s. 718.111(11) may be
1506 made as provided in that section.
1507 Section 24. For the purpose of incorporating the amendment
1508 made by this act to section 718.111, Florida Statutes, in a
1509 reference thereto, paragraph (f) of subsection (1) of section
1510 718.115, Florida Statutes, is reenacted to read:
1511 718.115 Common expenses and common surplus.—
1512 (1)
1513 (f) Common expenses include the costs of insurance acquired
1514 by the association under the authority of s. 718.111(11),
1515 including costs and contingent expenses required to participate
1516 in a self-insurance fund authorized and approved pursuant to s.
1517 624.462.
1518 Section 25. For the purpose of incorporating the amendment
1519 made by this act to section 718.111, Florida Statutes, in a
1520 reference thereto, subsection (6) of section 718.406, Florida
1521 Statutes, is reenacted to read:
1522 718.406 Condominiums created within condominium parcels.—
1523 (6) The primary condominium association may provide
1524 insurance required by s. 718.111(11) for common elements and
1525 other improvements within the secondary condominium if the
1526 primary condominium declaration permits the primary condominium
1527 association to provide such insurance for the benefit of the
1528 condominium property included in the subdivided parcel, in lieu
1529 of such insurance being provided by the secondary condominium
1530 association.
1531 Section 26. For the purpose of incorporating the amendment
1532 made by this act to section 720.302, Florida Statutes, in a
1533 reference thereto, subsection (1) of section 723.0751, Florida
1534 Statutes, is reenacted to read:
1535 723.0751 Mobile home subdivision homeowners’ association.—
1536 (1) In the event that no homeowners’ association has been
1537 created pursuant to ss. 720.301-720.312 to operate a mobile home
1538 subdivision, the owners of lots in such mobile home subdivision
1539 shall be authorized to create a mobile home subdivision
1540 homeowners’ association in the manner prescribed in ss. 723.075,
1541 723.076, and 723.078 which shall have the powers and duties, to
1542 the extent applicable, set forth in ss. 723.002(2) and 723.074.
1543 Section 27. For the purpose of incorporating the amendment
1544 made by this act to section 720.305, Florida Statutes, in a
1545 reference thereto, subsection (9) of section 617.0825, Florida
1546 Statutes, is reenacted to read:
1547 617.0825 Board committees and advisory committees.—
1548 (9) This section does not apply to a committee established
1549 under chapter 718, chapter 719, or chapter 720 to perform the
1550 functions set forth in s. 718.303(3), s. 719.303(3), s.
1551 720.3035(1), s. 720.305(2), or s. 720.405, respectively.
1552 Section 28. This act shall take effect July 1, 2025.