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When replying with a question or a statement, please include your full name and legal name of your Association, if you are a Board or Committee Member and/or Resident, and if you are a manager, your name, name of the your Management Company or if you are an independent manager, the name of the Association you manage. No acronyms, please unless your legal name is an acronym, This will expedite our reply to you as our database is by Association or Management Company.
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Foreclosure is Obsolete – Really?
A lot of articles/advertisements are being posted on social media claiming that Homeowners and Condominium Foreclosures are becoming obsolete. Of course the “articles” are written by a collection agency that markets to associations. It is interesting to note that collection agencies do not have the ability to foreclose without the aid of a licensed attorney. It’s a great marketing spin on some recently proposed (out of state) legislation, but is it true?
No. It isn’t even particularly clever or effective.
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The collection agency would like you to believe that they are the kinder and gentler way to go about collecting from your neighbors. The collection agencies claim that there is
no way
that they will “threaten” anyone with taking away their home - that just isn’t nice. The collection agency will set up a campaign to make repeated calls and send out letters demanding payment and maybe, just maybe someday you will recover a portion of what you are owed. After all, it just isn’t right to take away someone’s house just for not paying assessments. After all, the agency claims these people are your neighbors and the laws might change to prevent you from foreclosing soon. Because obviously foreclosure doesn’t work. The collection agency further claims that they will do all of this work for you without charging you! You may ask: “
What? It’s free?”
The simple answer is no. A portion of the sums collected are retained by the collection agency. The Association may not have to write a check, but make no mistake the Association will be writing what is called a bad debt write off. The portion of the money the Association is legally entitled to receive is retained by the collection agency. Bottom line, you do not recover the amount the Association should and could. Let’s pause here for a moment and let that sink in. That is going to be one fun meeting when you explain that to the rest of the membership.
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Foreclosure is the most effective and efficient method to collect your assessments, period. Think about who you would pay first, the guy on the phone who is going to call you again if you don’t pay
or
the guy on the courthouse steps who is going to sell your house? The majority of our foreclosure cases do not proceed to foreclosure sale. Why? A homeowner is not likely to risk losing their biggest asset over unpaid assessments. Even though the process is foreclosure, our goal is education and/or enlightenment.
An informed owner who understands the importance of the association is a good neighbor. Good neighbors pay their bills, they volunteer for committees, get involved and maybe even run for a position on the board.
If you have any questions, please call us at the office nearest to you.
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COVID-19 - Part I The Webinar
Now Available on Our Website
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Our April 7th live webinar featuring our
Senior & Founding Partner, Neal McCulloh,
and President of Sentry Management, Brad Pomp, was a huge success. Record number of attendees tuned in for this two webinar on the effects that the Conornavirus is having on Community Associations and the solutions to those issues.
If you missed the
Webinar
, you may view it on our website.
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COVID-19 Part II Webinar Coming May 19
Our next free live joint COVID-19 webinar featuring Neal McCulloh and Brad Pomp is scheduled for Tuesday May 19th with new information. This webinar will be in the evening.and is open to the public. As time draws nearer, the link to sign up for this blockbuster webinar will be posted in our newsletter and Facebook page.
Reserve the date! More information coming soon!
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Change Up In Live Webinar Schedule
Our original intent when we announced our 2020 series of live in-person seminars and live webinars, was to present various subjects throughout Central Florida. However with the arrival of COVID-19, we have consolidated our live in-person and live webinars into a shorter schedule through June. We will be hosting approximately two webinars per month for the months of April - June and resume our 2020 Schedule in September depending upon the environment at that time. Traditionally, there are no seminars/webinars in the months of July and August.
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Upcoming Free Live Webinars
Thursday, May 7
Log on by: 6:15 p.m.
Welcome: 6:20 p.m.
Class Starts: 6:30 p.m.
S
ervice pets, therapy pets, emotional support pets…oh my goodness! What can an Association do about these particular designations of pets? Can you restrict them? Did you think that all these type of pets were dogs? Is it possible to have a 15 foot boa constrictor as an emotional support animal? Can you restrict certain breeds of dogs from your community?
Pets are one of the most controversial issues community associations are facing today and it is a highly charged emotional issue. Some owners will fight you to the bitter end rather than give up their pets. Will they win? In this one hour class, our attorneys will provide you with solutions to these issues and some questions for you to ponder.
Register here for this one hour webinar with our entertaining
Senior & Founding Partner, Neal McCulloh
!
Pre-submitted written questions are invited. To submit your question, send an email to publicrelations@clayton-mcculloh.com with your name and the name of your Association or if you are a manager, the name of your Management Company. There
is also time during the event to ask your questions on this highly-charged topic.
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Free Live Webinar
Tallahassee Lassie:
The 2020 Legal Update
is adding another topic to the webinar
Ask Any
Community Association Question!
featuring the dynamic duo of Partners, Brian Hess and
Alan Schwartzseid!
Thursday, May 14
Log on by: 6:15 p.m.
Welcome: 6:20 p.m;
Class Starts: 6:30 p.m.
Previously, we were presenting "Tallahassee Lassie: The 2020 Mini Legal Update for Board Members" however, COVID-19 reared its ugly head and the Florida Legislature was distracted. Therefore, only one law was passed that related to Community Associations. Instead of canceling this webinar, we have decided to cover the one law that signed by our Governor and then for the balance of the hour, open the webinar up to any questions you have on your mind relating to Community Associations! This will be the only webinar we will be offering this year that will feature all questions and answer and only a few minutes of the single law passed. Here's your chance to get that question you wanted answered without paying your attorney! It can't get much better than that! Pre-submitted written questions are invited. To submit your question, send an email to
publicrelations@clayton-mcculloh.com
w
ith your name and the name of your Association or if you are a manager, the name of your Management Company at least 24 hours prior to the webinar.
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Free Live
HOA Board Certification Webinar
Last Live HOA Board Cert
for 2020
Featuring our Litigator-in-Chief and Partner,
Russ Klemm
Th
ursday, June 18
Class Starts: 6:30 p.m.
This 2 1/2 - 3 hour class focuses on the tools that HOA Board Members and Managers need to carry out their daily duties. This class is required by law for all new Board Members within ninety days of taking office. Once you have taken the course and have not gone off the board (for even a day), it is not necessary to retake this class. However, Clayton & McCulloh updates this class each year with fresh material.
Pre-submitted written questions are invited. To submit your question, send an email to
publicrelations@clayton-mcculloh.com
with your name and the name of your Association or if you are a manager, the name of your Management Company.
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Free Live Webinar
Stand By Me: Working Effectively with Your Attorney
Date: to be announced
Time: 6:30 - 7:30 p.m.
Speaker: Senior & Founding Partner, Ken Clayton
Unsure why your attorney approaches something a certain way? Don't understand why a title search is necessary? This brand new one hour webinar will provide suggestions and solutions on how to work with your attorney effectively. We will release the date as soon as it becomes available.
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Ask C&M
Ask C&M is a monthly column where in readers can ask questions of our attorneys. The questions must be generic in nature and cannot require the review of your Association's Governing Documents. If you would like to submit a question for possible publication, please click
here.
This month we are featuring two questions.
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Kristine Lavango of the Community Association of Pineda Springs
submitted this question for this month’s column: “Under Chapter 720.303 (5) Inspection and Copying of Records, are email communications between an HOA Board and the Community Association Manager's official property management company's email address (of which do not include any attorney-client privilege) considered "official records" and can therefore be requested by a homeowner for inspection?”
Alan Schwartzseid
,
our newest Partner, provides this answer: “The answer is frankly that the statutes are not entirely clear. F.S. § 720.305(4)(l) provides that, subject to the exclusions found in F.S. § 720.305(5), the association’s official records include all “written records of the association not specifically included in the [preceding subsections of the statute] which are related to the operation of the association” (underlining added). Experts in our field differ as to whether an e-mail qualifies as such a “written” record, and therefore whether e-mails qualify as association records. Ostensibly, once an e-mail is printed, it becomes a “written” record, being a tangible document capable of being “inspected” by the membership. However, it remains unclear whether an un-printed record qualifies under the statute. Notably, F.S. § 718.111(12)15. mirrors § 720.305(4)(l) in the context of a Florida condominium association’s official records.
There are several notable points to recall when addressing records inspection requests of this nature. First, the statutes mentioned above, by including these “catchall” provisions, are ostensibly intended toward transparency whenever possible; a judge or arbitrator may find that public policy supports requiring production of the e-mails you described for inspection. The applicable public policy may be different if, for example, the e-mails sought happen to be in a Board Member’s personal e-mail records rather than the Association’s or the manager’s records. Moreover, even if an e-mail is not be subject to a records inspection, it may nevertheless be subject to discovery within a lawsuit. To avoid a search of directors, officers, and committee members, and others’ personal e-mails, we typically suggest that those individuals exclusively use a separate e-mail address for any and all association business.”
Requests for inspections of written records which may include e-mails should be discussed with counsel, who can clarify further how a judge or arbitrator may interpret the specific facts and law associated with the specific request.
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Laurie Kazmierczak of Quail Ridge Ridge at Suntree Homeowners Association
submitted this question: "What are our options concerning our community pool- leave it open? Do we close it citing the FL stay-at-home directive? Do we take out all the tables and chairs and keep it open with restrictions?"
Russ Klemm
,
one of our Partners and head of our Litigation Department supplies this answer: "The Governor, as well as county and local authorities, has issued a number of Executive Orders, Directives and Ordinances, to counter the COVID-19 pandemic and to protect the health, safety and welfare of the public.
As there is now a “State of Emergency” in effect in Florida, your Association would, ostensibly, have the authority under Florida Statues 720.316, to close the pool under the emergency powers (temporally) granted to a HOA Board of Directors.
However, your Board can consider other alternatives to a complete shutdown of the pool, or other recreational amenities.
If the pool is reopened, the usage must comply with the “social distancing” directives of the Governor’s Executive Orders, and use of the pool (or any other recreational facilities) must be limited to no more than 10 people at a time.
Many associations are removing furniture from association facilities (or removing furniture that would hold more than 10 people), to help control groups from gathering.
An Association may not, however, attempt to impose discriminatory restrictions, such as restricting renters or members under a certain age, from using the pool (unless children are currently restricted from using the pool).
Another consideration is the enforcement of any new rules and regulations, meant to enforce social distancing and prevent use by more than 10 people at a time.
How, as a practical matter, would the Association enforce any new restrictions ? Are the pool and any other recreational facilities adequately monitored ? If the pool is shut down, can the pool be secured?
There are alternatives your Association may consider, however, the paramount consideration of an Association’s Board of Directors is to uphold the fiduciary responsibilities that the Board has to the membership."
We want to thank everyone who submitted questions for the Ask C&M column. Keep those questions coming!"
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Tips for Directors
Take Advantage of E-Billing
Many of us are feeling anxious over contracting COVID-19, especially when interacting with people or objects from outside the controlled safety of your own home. In the interest of reducing such exposure, we are recommending clients limit administrative ground mail from Clayton & McCulloh, such as invoices.
For years we have offered E-billing, and many clients use this process for convenience, but now with current health concerns we are encouraging clients to make this switch if possible – even if only for the duration of quarantine conditions. To switch to having invoices sent by email, please contact Client Services (407-875-2655 x151 or
dbatan@clayton-mcculloh.com
) and we will update the file. We are also encouraging payment by credit card through an encrypted portal on our website at
clayton-mcculloh.com
; I’m sorry, we cannot take credit cards over the phone for your own financial security.
While there has been no clear indication of infection from handling mail, the Center for Disease Control does recommend washing your hands thoroughly for at least 20 seconds after handling ground mail as a simple precaution. Stay safe, everyone.
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Annual Corporate Report
Deadline Extended
The deadline to file your Annual Corporate Report with the Department of Business & Professional Regulations has been extended from May 1 to June 30, 2020.
Pursuant to Executive Order No. 20-52 and Department of State Emergency Order 2020-01, signed March 27, 2020, the time requirements for business entities to file annual reports are suspended and tolled until June 30, 2020.
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Are You Receiving Our Digital Newsletters
and Urgent Bulletins?
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To ensure you receive important updates, such as how the COVID-19 affects Community Associations and changes in the law, please make sure we have your contact information is correct. Please provide our Client Services Department with your current contact information. If you are a client, you may update this information by emailing our Coordinator of Client Services, David Batan (
dbatan@clayton-mcculloh.com
) with your name, title, legal name of your Association, home address, residential email address, and telephone numbers (both cell and landlines) or use this
link
to update this information on our website. If you are not a client, please provide the above information to
publicrelations@clayton-mcculloh.com
.
If we have your current information and you are not receiving our emails, please add
publicrelations@clayton-mcculloh.com
to your contacts. Otherwise, our digital materials may be directed to your spam folder or even blocked entirely by your carrier.
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Pet Corner
Due to the Coronavirus updates, we have temporarily suspended this column. Most private rescues has suspended adoptions until the current situation is over. This is due to the fact that most rescues’ foster their adoptable pets in private homes and do not want to place their fosters at risk. However, there are a few who is offering "no contact" adoptions such as Dachshunds Seeking Forever Homes. Most are still accepting dogs to be surrendered for adoption by the rescue. However, please check with your favorite rescue to see what their policy is at this time.
As of this time, there is no proof that COVID-19 is transmitted by pets. So, please – do not abandon your pets, place them up for adoption, or drop them off at your local animal control. Instead, let’s all do our best to empty the shelters (if they are open in your area) and contact private rescues about adopting a pet when this crisis is over. Save a life – make a difference!
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You Deserve to be Celebrated!
And we want to celebrate your birthday along with you by publishing your name, association or management company, your birthday Month and Day (e.g., March 5
th
) in as many of the following options below as you would like to share:
In our Newsletter. It would appear as – Sue Smith, XYZ HOA – February 2
Our Facebook page similar to above with an appropriate birthday photo that we select or you can furnish a headshot to you for publication
Or if you are very lucky, a digital birthday card.
If you would like to celebrate your very special day with other Board Members, Managers, and C&M, complete this
short form
. You are a special person who should be celebrated and treated like royalty on your debut day on Earth. So, share!
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And We Have A Winner!
Dolores Thomas of Lancaster at Kings Ridge Community Association in Clermont is our lucky winner of a Publix Gift Card. Her survey on what our readers want to see on our newsletters was picked randomly from a multitude of submissions. Watch for our next Survey where you can win a gift card for just giving us a piece of your mind. Thank you, Dolores for submitting your suggestions.
After reviewing the surveys, we will be implementing some of the changes that you suggested. We want to thank everyone for their suggestions. We really do care about your opinions as we are the Firm that Embraces Community.
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Orlando Office: Maitland
The Clayton & McCulloh Building
1065 Maitland Center Commons Blvd.
Maitland, FL 32751
Phone: (407) 875-2655
Fax: (407) 875-3363
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Melbourne Office: Suntree/Viera
Baytree Corporate Park
1301 Bedford Drive, Suite 102
Melbourne, FL 32940
Phone: (321) 751-3449
Fax: (321) 751-3450
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Toll Free: (888) 793-1486
After Hours - 24/7: (407) 808-2553
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You are receiving this e-mail as you fall into one of the following categories:
- You are currently a client or client's manager;
- You have requested to be on our mailing list;
- You are a former member of BCAM and NECAM;
- You registered for one of our seminars/webinars; and/or
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If you elect to be removed from this e-mail service, we will no longer be able to send you seminar invitations, information on changes in the law concerning Community Associations, newsletters, or any other information regarding the Community Association industry. You will not receive solicitation for business unless you have requested that information. We sincerely hope we can continue to assist you with the challenges that face Community Associations today through this service.
When replying with a question or statement please include your full name
a
nd the legal name of your Association or Management Company. (no acronyms, please, unless your legal name on the Article of Incorporation lists an acronym)
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