Bill Text: FL H1195 | 2011 | Regular Session | Engrossed


Bill Title: Condominium/Cooperative/Homeowners' Associations

Spectrum: Bipartisan Bill

Status: (Engrossed - Dead) 2011-05-03 - Ordered enrolled -HJ 1103 [H1195 Detail]

Download: Florida-2011-H1195-Engrossed.html
CS/CS/CS/HB 1195

1
A bill to be entitled
2An act relating to condominium, cooperative, and
3homeowners' associations; amending s. 633.0215, F.S.;
4exempting certain residential buildings from a requirement
5to install a manual fire alarm system; providing intent;
6amending s. 718.111, F.S.; revising provisions relating to
7the official records of condominium associations;
8providing for disclosure of certain employment agreements
9with and compensation paid to association employees;
10amending s. 718.112, F.S.; revising provisions relating to
11bylaws; providing that board of administration meetings
12discussing personnel matters are not open to unit owners;
13revising requirements for electing the board of directors;
14providing a definition; providing for continued office and
15for filling vacancies under certain circumstances;
16specifying unit owner eligibility for board membership;
17requiring that certain educational curriculum be completed
18within a specified time before or after the election or
19appointment of a board director; providing application;
20amending s. 718.113, F.S.; authorizing the board of a
21condominium association to install impact glass or other
22code-compliant windows under certain circumstances;
23amending s. 718.114, F.S.; requiring the vote or written
24consent of a majority of the total voting interests before
25a condominium association may enter into certain
26agreements to acquire leaseholds, memberships, or other
27possessory or use interests; amending s. 718.116, F.S.;
28revising liability of an association, or its successor or
29assignee, that acquires title to a unit through the
30foreclosure of its lien for assessments; revising
31provisions relating to condominium assessments; providing
32association notice requirements regarding tenants
33delinquent in paying any monetary obligation due to the
34association; conforming a cross-reference; amending s.
35718.117, F.S.; providing procedures and requirements for
36termination of a condominium property that has been
37totally destroyed or demolished; providing procedures and
38requirements for partial termination of a condominium
39property; requiring that a lien against a condominium unit
40being terminated be transferred to the proceeds of sale
41for certain portions of that property; amending s.
42718.303, F.S.; revising provisions relating to imposing
43remedies against a delinquent unit owner or a unit owner's
44tenant, guest, or invitee; providing for the suspension of
45certain rights of use; revising provisions relating to the
46suspension of a member's voting rights; requiring that the
47suspension of certain rights of use and voting rights be
48approved at a noticed board meeting; amending s. 718.703,
49F.S.; redefining the term "bulk assignee" and revising the
50definition of the term "bulk buyer" for purposes of the
51Distressed Condominium Relief Act; amending s. 718.704,
52F.S.; revising provisions relating to the assignment and
53assumption of developer rights by a bulk assignee;
54amending s. 718.705, F.S.; revising provisions relating to
55the transfer of control of a condominium board of
56administration to unit owners; amending s. 718.706, F.S.;
57revising provisions relating to the offering of units by a
58bulk assignee or bulk buyer; amending s. 718.707, F.S.;
59revising the time limitation for classification as a bulk
60assignee or bulk buyer; amending s. 719.108, F.S.;
61providing association notice requirements regarding
62tenants delinquent in paying any monetary obligation due
63to the association;  amending s. 719.303, F.S.; revising
64provisions relating to imposing remedies against a
65delinquent unit owner or a unit owner's tenant, guest, or
66invitee; providing for the suspension of certain rights of
67use and voting rights; requiring that the suspension of
68certain rights of use and voting rights be approved at a
69noticed board meeting; amending s. 720.301, F.S.; revising
70the definition of the term "declaration of covenants";
71amending s. 720.303, F.S.; revising provisions relating to
72the rights of a member of a homeowners' association to
73speak at meetings of the board; revising provisions
74relating to records that are not accessible to members of
75a homeowners' association; providing for disclosure of
76employment agreements with and compensation paid to
77association employees; amending s. 720.305, F.S.; revising
78provisions relating to imposing remedies against a
79delinquent member of a homeowners' association or any
80member's tenant, guest, or invitee; providing for the
81suspension of certain rights of use; revising provisions
82relating to the suspension of a member's voting rights;
83requiring that the suspension of certain rights of use and
84voting rights be approved at a noticed board meeting;
85amending s. 720.306, F.S.; specifying additional
86requirements for candidates to be a member of the board of
87a homeowners' association; amending s. 720.3085, F.S.;  
88revising liability of an association, or its successor or
89assignee, that acquires title to a unit through the
90foreclosure of its lien for assessments; providing
91association notice requirements regarding tenants
92delinquent in paying any monetary obligation due to the
93association; amending s. 720.309, F.S.; providing for the
94allocation of communications services by a homeowners'
95association; providing for the cancellation of
96communication contracts; providing that hearing-impaired
97or legally blind parcel owners and parcel owners receiving
98certain supplemental security income or food assistance
99may discontinue the service without incurring certain
100costs; providing that parcel residents may not be denied
101access to available franchised, licensed, or certificated
102cable or video service providers under certain
103circumstances; providing an effective date.
104
105Be It Enacted by the Legislature of the State of Florida:
106
107     Section 1.  Subsection (14) of section 633.0215, Florida
108Statutes, is amended to read:
109     633.0215  Florida Fire Prevention Code.-
110     (14)  A condominium, cooperative, or multifamily
111residential building that is less than four one or two stories
112in height and has an exterior corridor providing a means of
113egress is exempt from installing a manual fire alarm system as
114required in s. 9.6 of the most recent edition of the Life Safety
115Code adopted in the Florida Fire Prevention Code. This is
116intended to clarify existing law.
117     Section 2.  Paragraphs (a) and (c) of subsection (12) of
118section 718.111, Florida Statutes, are amended to read:
119     718.111  The association.-
120     (12)  OFFICIAL RECORDS.-
121     (a)  From the inception of the association, the association
122shall maintain each of the following items, if applicable, which
123constitutes shall constitute the official records of the
124association:
125     1.  A copy of the plans, permits, warranties, and other
126items provided by the developer pursuant to s. 718.301(4).
127     2.  A photocopy of the recorded declaration of condominium
128of each condominium operated by the association and of each
129amendment to each declaration.
130     3.  A photocopy of the recorded bylaws of the association
131and of each amendment to the bylaws.
132     4.  A certified copy of the articles of incorporation of
133the association, or other documents creating the association,
134and of each amendment thereto.
135     5.  A copy of the current rules of the association.
136     6.  A book or books that which contain the minutes of all
137meetings of the association, of the board of administration, and
138the of unit owners, which minutes must be retained for at least
1397 years.
140     7.  A current roster of all unit owners and their mailing
141addresses, unit identifications, voting certifications, and, if
142known, telephone numbers. The association shall also maintain
143the electronic mailing addresses and facsimile the numbers
144designated by unit owners for receiving notice sent by
145electronic transmission of those unit owners consenting to
146receive notice by electronic transmission. The electronic
147mailing addresses and facsimile telephone numbers are not
148accessible to unit owners must be removed from association
149records if consent to receive notice by electronic transmission
150is not provided in accordance with subparagraph (c)5 revoked.
151However, the association is not liable for an inadvertent
152erroneous disclosure of the electronic mail address or facsimile
153the number for receiving electronic transmission of notices.
154     8.  All current insurance policies of the association and
155condominiums operated by the association.
156     9.  A current copy of any management agreement, lease, or
157other contract to which the association is a party or under
158which the association or the unit owners have an obligation or
159responsibility.
160     10.  Bills of sale or transfer for all property owned by
161the association.
162     11.  Accounting records for the association and separate
163accounting records for each condominium that which the
164association operates. All accounting records must shall be
165maintained for at least 7 years. Any person who knowingly or
166intentionally defaces or destroys such accounting records
167required to be created and maintained by this chapter during the
168period for which such records are required to be maintained, or
169who knowingly or intentionally fails to create or maintain such
170records, with the intent of causing harm to the association or
171one or more of its members, is personally subject to a civil
172penalty pursuant to s. 718.501(1)(d). The accounting records
173must include, but are not limited to:
174     a.  Accurate, itemized, and detailed records of all
175receipts and expenditures.
176     b.  A current account and a monthly, bimonthly, or
177quarterly statement of the account for each unit designating the
178name of the unit owner, the due date and amount of each
179assessment, the amount paid on upon the account, and the balance
180due.
181     c.  All audits, reviews, accounting statements, and
182financial reports of the association or condominium.
183     d.  All contracts for work to be performed. Bids for work
184to be performed are also considered official records and must be
185maintained by the association.
186     12.  Ballots, sign-in sheets, voting proxies, and all other
187papers relating to voting by unit owners, which must be
188maintained for 1 year from the date of the election, vote, or
189meeting to which the document relates, notwithstanding paragraph
190(b).
191     13.  All rental records if the association is acting as
192agent for the rental of condominium units.
193     14.  A copy of the current question and answer sheet as
194described in s. 718.504.
195     15.  All other records of the association not specifically
196included in the foregoing which are related to the operation of
197the association.
198     16.  A copy of the inspection report as described provided
199in s. 718.301(4)(p).
200     (c)  The official records of the association are open to
201inspection by any association member or the authorized
202representative of such member at all reasonable times. The right
203to inspect the records includes the right to make or obtain
204copies, at the reasonable expense, if any, of the member. The
205association may adopt reasonable rules regarding the frequency,
206time, location, notice, and manner of record inspections and
207copying. The failure of an association to provide the records
208within 10 working days after receipt of a written request
209creates a rebuttable presumption that the association willfully
210failed to comply with this paragraph. A unit owner who is denied
211access to official records is entitled to the actual damages or
212minimum damages for the association's willful failure to comply.
213Minimum damages are shall be $50 per calendar day for up to 10
214days, beginning the calculation to begin on the 11th working day
215after receipt of the written request. The failure to permit
216inspection of the association records as provided herein
217entitles any person prevailing in an enforcement action to
218recover reasonable attorney's fees from the person in control of
219the records who, directly or indirectly, knowingly denied access
220to the records. Any person who knowingly or intentionally
221defaces or destroys accounting records that are required by this
222chapter to be maintained during the period for which such
223records are required to be maintained, or who knowingly or
224intentionally fails to create or maintain accounting records
225that are required to be created or maintained, with the intent
226of causing harm to the association or one or more of its
227members, is personally subject to a civil penalty pursuant to s.
228718.501(1)(d). The association shall maintain an adequate number
229of copies of the declaration, articles of incorporation, bylaws,
230and rules, and all amendments to each of the foregoing, as well
231as the question and answer sheet as described provided for in s.
232718.504 and year-end financial information required under in
233this section, on the condominium property to ensure their
234availability to unit owners and prospective purchasers, and may
235charge its actual costs for preparing and furnishing these
236documents to those requesting the documents. Notwithstanding the
237provisions of this paragraph, the following records are not
238accessible to unit owners:
239     1.  Any record protected by the lawyer-client privilege as
240described in s. 90.502; and any record protected by the work-
241product privilege, including a any record prepared by an
242association attorney or prepared at the attorney's express
243direction,; which reflects a mental impression, conclusion,
244litigation strategy, or legal theory of the attorney or the
245association, and which was prepared exclusively for civil or
246criminal litigation or for adversarial administrative
247proceedings, or which was prepared in anticipation of such
248imminent civil or criminal litigation or imminent adversarial
249administrative proceedings until the conclusion of the
250litigation or adversarial administrative proceedings.
251     2.  Information obtained by an association in connection
252with the approval of the lease, sale, or other transfer of a
253unit.
254     3.  Personnel records of association or management company
255employees, including, but not limited to, disciplinary, payroll,
256health, and insurance records. For purposes of this
257subparagraph, the term "personnel records" does not include
258written employment agreements with an association employee or
259management company, or budgetary or financial records that
260indicate the compensation paid to an association employee.
261     4.  Medical records of unit owners.
262     5.  Social security numbers, driver's license numbers,
263credit card numbers, e-mail addresses, telephone numbers,
264facsimile numbers, emergency contact information, any addresses
265of a unit owner other than as provided to fulfill the
266association's notice requirements, and other personal
267identifying information of any person, excluding the person's
268name, unit designation, mailing address, and property address,
269and any address, e-mail address, or facsimile number provided to
270the association to fulfill the association's notice
271requirements. However, an owner may consent in writing to the
272disclosure of protected information described in this
273subparagraph. The association is not liable for the inadvertent
274disclosure of information that is protected under this
275subparagraph if the information is included in an official
276record of the association and is voluntarily provided by an
277owner and not requested by the association.
278     6.  Any Electronic security measures measure that are is
279used by the association to safeguard data, including passwords.
280     7.  The software and operating system used by the
281association which allow the allows manipulation of data, even if
282the owner owns a copy of the same software used by the
283association. The data is part of the official records of the
284association.
285     Section 3.  Paragraphs (b), (c), and (d) of subsection (2)
286of section 718.112, Florida Statutes, are amended to read:
287     718.112  Bylaws.-
288     (2)  REQUIRED PROVISIONS.-The bylaws shall provide for the
289following and, if they do not do so, shall be deemed to include
290the following:
291     (b)  Quorum; voting requirements; proxies.-
292     1.  Unless a lower number is provided in the bylaws, the
293percentage of voting interests required to constitute a quorum
294at a meeting of the members is shall be a majority of the voting
295interests. Unless otherwise provided in this chapter or in the
296declaration, articles of incorporation, or bylaws, and except as
297provided in subparagraph (d)4. (d)3., decisions shall be made by
298owners of a majority of the voting interests represented at a
299meeting at which a quorum is present.
300     2.  Except as specifically otherwise provided herein, after
301January 1, 1992, unit owners may not vote by general proxy, but
302may vote by limited proxies substantially conforming to a
303limited proxy form adopted by the division. A No voting interest
304or consent right allocated to a unit owned by the association
305may not shall be exercised or considered for any purpose,
306whether for a quorum, an election, or otherwise. Limited proxies
307and general proxies may be used to establish a quorum. Limited
308proxies shall be used for votes taken to waive or reduce
309reserves in accordance with subparagraph (f)2.; for votes taken
310to waive the financial reporting requirements of s. 718.111(13);
311for votes taken to amend the declaration pursuant to s. 718.110;
312for votes taken to amend the articles of incorporation or bylaws
313pursuant to this section; and for any other matter for which
314this chapter requires or permits a vote of the unit owners.
315Except as provided in paragraph (d), a after January 1, 1992, no
316proxy, limited or general, may not shall be used in the election
317of board members. General proxies may be used for other matters
318for which limited proxies are not required, and may also be used
319in voting for nonsubstantive changes to items for which a
320limited proxy is required and given. Notwithstanding the
321provisions of this subparagraph, unit owners may vote in person
322at unit owner meetings. This subparagraph does not Nothing
323contained herein shall limit the use of general proxies or
324require the use of limited proxies for any agenda item or
325election at any meeting of a timeshare condominium association.
326     3.  Any proxy given is shall be effective only for the
327specific meeting for which originally given and any lawfully
328adjourned meetings thereof. A In no event shall any proxy is not
329be valid for a period longer than 90 days after the date of the
330first meeting for which it was given. Every proxy is revocable
331at any time at the pleasure of the unit owner executing it.
332     4.  A member of the board of administration or a committee
333may submit in writing his or her agreement or disagreement with
334any action taken at a meeting that the member did not attend.
335This agreement or disagreement may not be used as a vote for or
336against the action taken or to create and may not be used for
337the purposes of creating a quorum.
338     5.  If When any of the board or committee members meet by
339telephone conference, those board or committee members attending
340by telephone conference may be counted toward obtaining a quorum
341and may vote by telephone. A telephone speaker must be used so
342that the conversation of those board or committee members
343attending by telephone may be heard by the board or committee
344members attending in person as well as by any unit owners
345present at a meeting.
346     (c)  Board of administration meetings.-Meetings of the
347board of administration at which a quorum of the members is
348present are shall be open to all unit owners. A Any unit owner
349may tape record or videotape the meetings of the board of
350administration. The right to attend such meetings includes the
351right to speak at such meetings with reference to all designated
352agenda items. The division shall adopt reasonable rules
353governing the tape recording and videotaping of the meeting. The
354association may adopt written reasonable rules governing the
355frequency, duration, and manner of unit owner statements.
356     1.  Adequate notice of all board meetings, which must
357notice shall specifically identify all incorporate an
358identification of agenda items, must shall be posted
359conspicuously on the condominium property at least 48 continuous
360hours before preceding the meeting except in an emergency. If 20
361percent of the voting interests petition the board to address an
362item of business, the board shall at its next regular board
363meeting or at a special meeting of the board, but not later than
36460 days after the receipt of the petition, shall place the item
365on the agenda. Any item not included on the notice may be taken
366up on an emergency basis by at least a majority plus one of the
367board members of the board. Such emergency action must shall be
368noticed and ratified at the next regular board meeting of the
369board. However, written notice of any meeting at which
370nonemergency special assessments, or at which amendment to rules
371regarding unit use, will be considered must shall be mailed,
372delivered, or electronically transmitted to the unit owners and
373posted conspicuously on the condominium property at least not
374less than 14 days before prior to the meeting. Evidence of
375compliance with this 14-day notice requirement must shall be
376made by an affidavit executed by the person providing the notice
377and filed with among the official records of the association.
378Upon notice to the unit owners, the board shall, by duly adopted
379rule, designate a specific location on the condominium property
380or association property where upon which all notices of board
381meetings are to shall be posted. If there is no condominium
382property or association property where upon which notices can be
383posted, notices of board meetings shall be mailed, delivered, or
384electronically transmitted at least 14 days before the meeting
385to the owner of each unit. In lieu of or in addition to the
386physical posting of the notice of any meeting of the board of
387administration on the condominium property, the association may,
388by reasonable rule, adopt a procedure for conspicuously posting
389and repeatedly broadcasting the notice and the agenda on a
390closed-circuit cable television system serving the condominium
391association. However, if broadcast notice is used in lieu of a
392notice posted physically posted on the condominium property, the
393notice and agenda must be broadcast at least four times every
394broadcast hour of each day that a posted notice is otherwise
395required under this section. If When broadcast notice is
396provided, the notice and agenda must be broadcast in a manner
397and for a sufficient continuous length of time so as to allow an
398average reader to observe the notice and read and comprehend the
399entire content of the notice and the agenda. Notice of any
400meeting in which regular or special assessments against unit
401owners are to be considered for any reason must shall
402specifically state that assessments will be considered and
403provide the nature, estimated cost, and description of the
404purposes for such assessments.
405     2.  Meetings of a committee to take final action on behalf
406of the board or make recommendations to the board regarding the
407association budget are subject to the provisions of this
408paragraph. Meetings of a committee that does not take final
409action on behalf of the board or make recommendations to the
410board regarding the association budget are subject to the
411provisions of this section, unless those meetings are exempted
412from this section by the bylaws of the association.
413     3.  Notwithstanding any other law, the requirement that
414board meetings and committee meetings be open to the unit owners
415does not apply is inapplicable to:
416     a.  Meetings between the board or a committee and the
417association's attorney, with respect to proposed or pending
418litigation, if when the meeting is held for the purpose of
419seeking or rendering legal advice; or
420     b.  Board meetings held for the purpose of discussing
421personnel matters.
422     (d)  Unit owner meetings.-
423     1.  An annual meeting of the unit owners shall be held at
424the location provided in the association bylaws and, if the
425bylaws are silent as to the location, the meeting shall be held
426within 45 miles of the condominium property. However, such
427distance requirement does not apply to an association governing
428a timeshare condominium.
429     2.  Unless the bylaws provide otherwise, a vacancy on the
430board caused by the expiration of a director's term shall be
431filled by electing a new board member, and the election must be
432by secret ballot. An election is not required However, if the
433number of vacancies equals or exceeds the number of candidates,
434an election is not required. For purposes of this paragraph, the
435term "candidate" means an eligible person who has timely
436submitted the written notice, as described in sub-subparagraph
4374.a., of his or her intention to become a candidate. Except in a
438timeshare condominium, or if the staggered term of a board
439member does not expire until a later annual meeting, or if all
440members terms would otherwise expire but there are no
441candidates, the terms of all board members of the board expire
442at the annual meeting, and such board members may stand for
443reelection unless prohibited otherwise permitted by the bylaws.
444If the bylaws permit staggered terms of no more than 2 years and
445upon approval of a majority of the total voting interests, the
446association board members may serve 2-year staggered terms. If
447the number of board members whose terms expire at the annual
448meeting equals or have expired exceeds the number of candidates,
449the candidates become members of the board effective upon the
450adjournment of the annual meeting. Unless the bylaws provide
451otherwise, any remaining vacancies shall be filled by the
452affirmative vote of the majority of the directors making up the
453newly constituted board even if the directors constitute less
454than a quorum or there is only one director eligible members
455showing interest in or demonstrating an intention to run for the
456vacant positions, each board member whose term has expired is
457eligible for reappointment to the board of administration and
458need not stand for reelection. In a condominium association of
459more than 10 units or in a condominium association that does not
460include timeshare units or timeshare interests, coowners of a
461unit may not serve as members of the board of directors at the
462same time unless they own more than one unit or unless there are
463not enough eligible candidates to fill the vacancies on the
464board at the time of the vacancy. Any unit owner desiring to be
465a candidate for board membership must comply with sub-
466subparagraph 4.a. and must be eligible to serve on the board of
467directors at the time of the deadline for submitting a notice of
468intent to run in order to have his or her name listed as a
469proper candidate on the ballot or to serve on the board 3.a. A
470person who has been suspended or removed by the division under
471this chapter, or who is delinquent in the payment of any fee,
472fine, or special or regular assessment as provided in paragraph
473(n), is not eligible for board membership. A person who has been
474convicted of any felony in this state or in a United States
475District or Territorial Court, or who has been convicted of any
476offense in another jurisdiction which that would be considered a
477felony if committed in this state, is not eligible for board
478membership unless such felon's civil rights have been restored
479for at least 5 years as of the date on which such person seeks
480election to the board. The validity of an action by the board is
481not affected if it is later determined that a board member of
482the board is ineligible for board membership due to having been
483convicted of a felony.
484     3.2.  The bylaws must provide the method of calling
485meetings of unit owners, including annual meetings. Written
486notice, which must include an agenda, must shall be mailed, hand
487delivered, or electronically transmitted to each unit owner at
488least 14 days before the annual meeting, and must be posted in a
489conspicuous place on the condominium property at least 14
490continuous days before preceding the annual meeting. Upon notice
491to the unit owners, the board shall, by duly adopted rule,
492designate a specific location on the condominium property or
493association property where upon which all notices of unit owner
494meetings shall be posted. This requirement does not apply
495However, if there is no condominium property or association
496property for posting upon which notices can be posted, this
497requirement does not apply. In lieu of, or in addition to, the
498physical posting of meeting notices, the association may, by
499reasonable rule, adopt a procedure for conspicuously posting and
500repeatedly broadcasting the notice and the agenda on a closed-
501circuit cable television system serving the condominium
502association. However, if broadcast notice is used in lieu of a
503notice posted physically on the condominium property, the notice
504and agenda must be broadcast at least four times every broadcast
505hour of each day that a posted notice is otherwise required
506under this section. If broadcast notice is provided, the notice
507and agenda must be broadcast in a manner and for a sufficient
508continuous length of time so as to allow an average reader to
509observe the notice and read and comprehend the entire content of
510the notice and the agenda. Unless a unit owner waives in writing
511the right to receive notice of the annual meeting, such notice
512must be hand delivered, mailed, or electronically transmitted to
513each unit owner. Notice for meetings and notice for all other
514purposes must be mailed to each unit owner at the address last
515furnished to the association by the unit owner, or hand
516delivered to each unit owner. However, if a unit is owned by
517more than one person, the association must shall provide notice,
518for meetings and all other purposes, to the that one address
519that which the developer initially identifies for that purpose
520and thereafter as one or more of the owners of the unit shall
521advise the association in writing, or if no address is given or
522the owners of the unit do not agree, to the address provided on
523the deed of record. An officer of the association, or the
524manager or other person providing notice of the association
525meeting, must shall provide an affidavit or United States Postal
526Service certificate of mailing, to be included in the official
527records of the association affirming that the notice was mailed
528or hand delivered, in accordance with this provision.
529     4.3.  The members of the board shall be elected by written
530ballot or voting machine. Proxies may not be used in electing
531the board in general elections or elections to fill vacancies
532caused by recall, resignation, or otherwise, unless otherwise
533provided in this chapter.
534     a.  At least 60 days before a scheduled election, the
535association shall mail, deliver, or electronically transmit,
536whether by separate association mailing or included in another
537association mailing, delivery, or transmission, including
538regularly published newsletters, to each unit owner entitled to
539a vote, a first notice of the date of the election. Any unit
540owner or other eligible person desiring to be a candidate for
541the board must give written notice of his or her intent to be a
542candidate to the association at least 40 days before a scheduled
543election. Together with the written notice and agenda as set
544forth in subparagraph 3. 2., the association shall mail,
545deliver, or electronically transmit a second notice of the
546election to all unit owners entitled to vote, together with a
547ballot that lists all candidates. Upon request of a candidate,
548an information sheet, no larger than 8 1/2 inches by 11 inches,
549which must be furnished by the candidate at least 35 days before
550the election, must be included with the mailing, delivery, or
551transmission of the ballot, with the costs of mailing, delivery,
552or electronic transmission and copying to be borne by the
553association. The association is not liable for the contents of
554the information sheets prepared by the candidates. In order to
555reduce costs, the association may print or duplicate the
556information sheets on both sides of the paper. The division
557shall by rule establish voting procedures consistent with this
558sub-subparagraph, including rules establishing procedures for
559giving notice by electronic transmission and rules providing for
560the secrecy of ballots. Elections shall be decided by a
561plurality of those ballots cast. There is no quorum requirement;
562however, at least 20 percent of the eligible voters must cast a
563ballot in order to have a valid election of members of the
564board. A unit owner may not permit any other person to vote his
565or her ballot, and any ballots improperly cast are invalid. A,
566provided any unit owner who violates this provision may be fined
567by the association in accordance with s. 718.303. A unit owner
568who needs assistance in casting the ballot for the reasons
569stated in s. 101.051 may obtain such assistance. The regular
570election must occur on the date of the annual meeting. This sub-
571subparagraph does not apply to timeshare condominium
572associations. Notwithstanding this sub-subparagraph, an election
573is not required unless more candidates file notices of intent to
574run or are nominated than board vacancies exist.
575     b.  Within 90 days after being elected or appointed to the
576board, each newly elected or appointed director shall certify in
577writing to the secretary of the association that he or she has
578read the association's declaration of condominium, articles of
579incorporation, bylaws, and current written policies; that he or
580she will work to uphold such documents and policies to the best
581of his or her ability; and that he or she will faithfully
582discharge his or her fiduciary responsibility to the
583association's members. In lieu of this written certification,
584within 90 days after being elected or appointed to the board,
585the newly elected or appointed director may submit a certificate
586of having satisfactorily completed satisfactory completion of
587the educational curriculum administered by a division-approved
588condominium education provider within 1 year before or 90 days
589after the date of election or appointment. The written
590certification or educational certificate is valid and does not
591have to be resubmitted as long as the director serves on the
592board without interruption. A director who fails to timely file
593the written certification or educational certificate is
594suspended from service on the board until he or she complies
595with this sub-subparagraph. The board may temporarily fill the
596vacancy during the period of suspension. The secretary shall
597cause the association to retain a director's written
598certification or educational certificate for inspection by the
599members for 5 years after a director's election. Failure to have
600such written certification or educational certificate on file
601does not affect the validity of any board action.
602     5.4.  Any approval by unit owners called for by this
603chapter or the applicable declaration or bylaws, including, but
604not limited to, the approval requirement in s. 718.111(8), must
605shall be made at a duly noticed meeting of unit owners and is
606subject to all requirements of this chapter or the applicable
607condominium documents relating to unit owner decisionmaking,
608except that unit owners may take action by written agreement,
609without meetings, on matters for which action by written
610agreement without meetings is expressly allowed by the
611applicable bylaws or declaration or any law statute that
612provides for such action.
613     6.5.  Unit owners may waive notice of specific meetings if
614allowed by the applicable bylaws or declaration or any law
615statute. If authorized by the bylaws, notice of meetings of the
616board of administration, unit owner meetings, except unit owner
617meetings called to recall board members under paragraph (j), and
618committee meetings may be given by electronic transmission to
619unit owners who consent to receive notice by electronic
620transmission.
621     7.6.  Unit owners shall have the right to participate in
622meetings of unit owners with reference to all designated agenda
623items. However, the association may adopt reasonable rules
624governing the frequency, duration, and manner of unit owner
625participation.
626     8.7.  A Any unit owner may tape record or videotape a
627meeting of the unit owners subject to reasonable rules adopted
628by the division.
629     9.8.  Unless otherwise provided in the bylaws, any vacancy
630occurring on the board before the expiration of a term may be
631filled by the affirmative vote of the majority of the remaining
632directors, even if the remaining directors constitute less than
633a quorum, or by the sole remaining director. In the alternative,
634a board may hold an election to fill the vacancy, in which case
635the election procedures must conform to the requirements of sub-
636subparagraph 4.a. 3.a. unless the association governs 10 units
637or fewer and has opted out of the statutory election process, in
638which case the bylaws of the association control. Unless
639otherwise provided in the bylaws, a board member appointed or
640elected under this section shall fill the vacancy for the
641unexpired term of the seat being filled. Filling vacancies
642created by recall is governed by paragraph (j) and rules adopted
643by the division.
644     10.  This chapter does not limit the use of general or
645limited proxies, require the use of general or limited proxies,
646or require the use of a written ballot or voting machine for any
647agenda item or election at any meeting of a timeshare
648condominium association.
649
650Notwithstanding subparagraph (b)2. and sub-subparagraph 4.a.
651(d)3.a., an association of 10 or fewer units may, by affirmative
652vote of a majority of the total voting interests, provide for
653different voting and election procedures in its bylaws, which
654vote may be by a proxy specifically delineating the different
655voting and election procedures. The different voting and
656election procedures may provide for elections to be conducted by
657limited or general proxy.
658     Section 4.  Subsection (5) of section 718.113, Florida
659Statutes, is amended to read:
660     718.113  Maintenance; limitation upon improvement; display
661of flag; hurricane shutters; display of religious decorations.-
662     (5)  Each board of administration shall adopt hurricane
663shutter specifications for each building within each condominium
664operated by the association which shall include color, style,
665and other factors deemed relevant by the board. All
666specifications adopted by the board must shall comply with the
667applicable building code.
668     (a)  The board may, subject to the provisions of s.
669718.3026, and the approval of a majority of voting interests of
670the condominium, install hurricane shutters, impact glass or
671other code-compliant windows, or hurricane protection that
672complies with or exceeds the applicable building code. However,
673or both, except that a vote of the owners is not required if the
674maintenance, repair, and replacement of hurricane shutters,
675impact glass, or other code-compliant windows or other forms of
676hurricane protection are the responsibility of the association
677pursuant to the declaration of condominium. If However, where
678hurricane protection or laminated glass or window film
679architecturally designed to function as hurricane protection
680which complies with or exceeds the current applicable building
681code has been previously installed, the board may not install
682hurricane shutters, or other hurricane protection, or impact
683glass or other code-compliant windows except upon approval by a
684majority vote of the voting interests.
685     (b)  The association is shall be responsible for the
686maintenance, repair, and replacement of the hurricane shutters
687or other hurricane protection authorized by this subsection if
688such hurricane shutters or other hurricane protection is the
689responsibility of the association pursuant to the declaration of
690condominium. If the hurricane shutters or other hurricane
691protection authorized by this subsection are the responsibility
692of the unit owners pursuant to the declaration of condominium,
693the responsibility for the maintenance, repair, and replacement
694of such items are shall be the responsibility of the unit owner.
695     (c)  The board may operate shutters installed pursuant to
696this subsection without permission of the unit owners only if
697where such operation is necessary to preserve and protect the
698condominium property and association property. The installation,
699replacement, operation, repair, and maintenance of such shutters
700in accordance with the procedures set forth in this paragraph
701are herein shall not be deemed a material alteration to the
702common elements or association property within the meaning of
703this section.
704     (d)  Notwithstanding any other provision to the contrary in
705the condominium documents, if approval is required by the
706documents, a board may shall not refuse to approve the
707installation or replacement of hurricane shutters by a unit
708owner conforming to the specifications adopted by the board.
709     Section 5.  Section 718.114, Florida Statutes, is amended
710to read:
711     718.114  Association powers.-An association may has the
712power to enter into agreements, to acquire leaseholds,
713memberships, and other possessory or use interests in lands or
714facilities such as country clubs, golf courses, marinas, and
715other recreational facilities,. It has this power whether or not
716the lands or facilities are contiguous to the lands of the
717condominium, if such lands and facilities they are intended to
718provide enjoyment, recreation, or other use or benefit to the
719unit owners. All of these leaseholds, memberships, and other
720possessory or use interests existing or created at the time of
721recording the declaration must be stated and fully described in
722the declaration. Subsequent to the recording of the declaration,
723agreements acquiring these leaseholds, memberships, or other
724possessory or use interests which are not entered into within 12
725months following the recording of the declaration are shall be
726considered a material alteration or substantial addition to the
727real property that is association property, and the association
728may not acquire or enter into such agreements acquiring these
729leaseholds, memberships, or other possessory or use interests
730except upon a vote of, or written consent by, a majority of the
731total voting interests or as authorized by the declaration as
732provided in s. 718.113. The declaration may provide that the
733rental, membership fees, operations, replacements, and other
734expenses are common expenses and may impose covenants and
735restrictions concerning their use and may contain other
736provisions not inconsistent with this chapter. A condominium
737association may conduct bingo games as provided in s. 849.0931.
738     Section 6.  Paragraph (b) of subsection (1), subsection
739(3), paragraph (b) of subsection (5), and subsection (11) of
740section 718.116, Florida Statutes, are amended to read:
741     718.116  Assessments; liability; lien and priority;
742interest; collection.-
743     (1)
744     (b)1. The liability of a first mortgagee or its successor
745or assignees who acquire title to a unit by foreclosure or by
746deed in lieu of foreclosure for the unpaid assessments that
747became due before the mortgagee's acquisition of title is
748limited to the lesser of:
749     a.1.  The unit's unpaid common expenses and regular
750periodic assessments which accrued or came due during the 12
751months immediately preceding the acquisition of title and for
752which payment in full has not been received by the association;
753or
754     b.2.  One percent of the original mortgage debt. The
755provisions of this paragraph apply only if the first mortgagee
756joined the association as a defendant in the foreclosure action.
757Joinder of the association is not required if, on the date the
758complaint is filed, the association was dissolved or did not
759maintain an office or agent for service of process at a location
760which was known to or reasonably discoverable by the mortgagee.
761     2.  An association, or its successor or assignee, that
762acquires title to a unit through the foreclosure of its lien for
763assessments is not liable for any unpaid assessments, late fees,
764interest, or reasonable attorney's fees and costs that came due
765before the association's acquisition of title in favor of any
766other association, as defined in s. 718.103(2) or s. 720.301(9),
767which holds a superior lien interest on the unit. This
768subparagraph is intended to clarify existing law.
769     (3)  Assessments and installments on assessments which are
770not paid when due bear interest at the rate provided in the
771declaration, from the due date until paid. The This rate may not
772exceed the rate allowed by law, and, if no rate is provided in
773the declaration, interest accrues at the rate of 18 percent per
774year. Also, If provided by the declaration or bylaws, the
775association may, in addition to such interest, charge an
776administrative late fee of up to the greater of $25 or 5 percent
777of each installment of the assessment for each delinquent
778installment for which the payment is late. Any payment received
779by an association must be applied first to any interest accrued
780by the association, then to any administrative late fee, then to
781any costs and reasonable attorney's fees incurred in collection,
782and then to the delinquent assessment. The foregoing is
783applicable notwithstanding any restrictive endorsement,
784designation, or instruction placed on or accompanying a payment.
785A late fee is not subject to chapter 687 or s. 718.303(4)(3).
786     (5)
787     (b)  To be valid, a claim of lien must state the
788description of the condominium parcel, the name of the record
789owner, the name and address of the association, the amount due,
790and the due dates. It must be executed and acknowledged by an
791officer or authorized agent of the association. The lien is not
792effective longer than 1 year after the claim of lien was
793recorded unless, within that time, an action to enforce the lien
794is commenced. The 1-year period is automatically extended for
795any length of time during which the association is prevented
796from filing a foreclosure action by an automatic stay resulting
797from a bankruptcy petition filed by the parcel owner or any
798other person claiming an interest in the parcel. The claim of
799lien secures all unpaid assessments that are due and that may
800accrue after the claim of lien is recorded and through the entry
801of a final judgment, as well as interest and all reasonable
802costs and attorney's fees incurred by the association incident
803to the collection process. Upon payment in full, the person
804making the payment is entitled to a satisfaction of the lien.
805
806After notice of contest of lien has been recorded, the clerk of
807the circuit court shall mail a copy of the recorded notice to
808the association by certified mail, return receipt requested, at
809the address shown in the claim of lien or most recent amendment
810to it and shall certify to the service on the face of the
811notice. Service is complete upon mailing. After service, the
812association has 90 days in which to file an action to enforce
813the lien; and, if the action is not filed within the 90-day
814period, the lien is void. However, the 90-day period shall be
815extended for any length of time during which that the
816association is prevented from filing its action because of an
817automatic stay resulting from the filing of a bankruptcy
818petition by the unit owner or by any other person claiming an
819interest in the parcel.
820     (11)(a)  If the unit is occupied by a tenant and the unit
821owner is delinquent in paying any monetary obligation due to the
822association, the association may make a written demand that the
823tenant pay to the association the subsequent rental payments
824future monetary obligations related to the condominium unit to
825the association, and continue to the tenant must make such
826payments until all monetary obligations of the unit owner
827related to the unit have been paid in full to the association
828payment. The demand is continuing in nature and, upon demand,
829The tenant must pay the monetary obligations to the association
830until the association releases the tenant or the tenant
831discontinues tenancy in the unit.
832     1.  The association must provide the tenant a notice, by
833hand delivery or United States mail, in substantially the
834following form:
835
836     Pursuant to section 718.116(11), Florida
837Statutes, the association demands that you pay your
838rent directly to the condominium association and
839continue doing so until the association notifies you
840otherwise.
841     Payment due the condominium association may be in
842the same form as you paid your landlord and must be
843sent by United States mail or hand delivery to
844...(full address)..., payable to ...(name)....
845     Your obligation to pay your rent to the
846association begins immediately, unless you have
847already paid rent to your landlord for the current
848period before receiving this notice. In that case, you
849must provide the association written proof of your
850payment within 14 days after receiving this notice and
851your obligation to pay rent to the association would
852then begin with the next rental period.
853     Pursuant to section 718.116(11), Florida
854Statutes, your payment of rent to the association
855gives you complete immunity from any claim for the
856rent by your landlord for all amounts timely paid to
857the association.
858
859     2.  The association must mail written notice to the unit
860owner of the association's demand that the tenant make payments
861to the association.
862     3.  The association shall, upon request, provide the tenant
863with written receipts for payments made.
864     4.  A tenant who acts in good faith in response to a
865written demand from an association is immune from any claim by  
866from the landlord or unit owner related to the rent timely paid
867to the association after the association has made written
868demand.
869     (b)(a)  If the tenant paid prepaid rent to the landlord or
870unit owner for a given rental period before receiving the demand
871from the association and provides written evidence to the
872association of having paid paying the rent to the association
873within 14 days after receiving the demand, the tenant shall
874begin making rental payments to the association for the
875following rental period and shall continue making receive credit
876for the prepaid rent for the applicable period and must make any
877subsequent rental payments to the association to be credited
878against the monetary obligations of the unit owner until the
879association releases the tenant or the tenant discontinues
880tenancy in the unit to the association.
881     (c)(b)  The tenant is not liable for increases in the
882amount of the monetary obligations due unless the tenant was
883notified in writing of the increase at least 10 days before the
884date the rent is due. The liability of the tenant may not exceed
885the amount due from the tenant to the tenant's landlord. The
886tenant's landlord shall provide the tenant a credit against
887rents due to the landlord unit owner in the amount of moneys
888paid to the association under this section.
889     (d)(c)  The association may issue notice notices under s.
89083.56 and may sue for eviction under ss. 83.59-83.625 as if the
891association were a landlord under part II of chapter 83 if the
892tenant fails to pay a required payment to the association after
893written demand has been made to the tenant. However, the
894association is not otherwise considered a landlord under chapter
89583 and specifically has no obligations duties under s. 83.51.
896     (e)(d)  The tenant does not, by virtue of payment of
897monetary obligations to the association, have any of the rights
898of a unit owner to vote in any election or to examine the books
899and records of the association.
900     (f)(e)  A court may supersede the effect of this subsection
901by appointing a receiver.
902     Section 7.  Subsections (2), (3), (4), and (11), paragraphs
903(a) and (d) of subsection (12), subsection (14), paragraph (a)
904of subsection (17), and subsections (18) and (19) of section
905718.117, Florida Statutes, are amended to read:
906     718.117  Termination of condominium.-
907     (2)  TERMINATION BECAUSE OF ECONOMIC WASTE OR
908IMPOSSIBILITY.-
909     (a)  Notwithstanding any provision in the declaration, the
910condominium form of ownership of a property may be terminated by
911a plan of termination approved by the lesser of the lowest
912percentage of voting interests necessary to amend the
913declaration or as otherwise provided in the declaration for
914approval of termination if:
915     1.  The total estimated cost of construction or repairs
916necessary to construct the intended improvements or restore the
917improvements to their former condition or bring them into
918compliance with applicable laws or regulations exceeds the
919combined fair market value of the units in the condominium after
920completion of the construction or repairs; or
921     2.  It becomes impossible to operate or reconstruct a
922condominium to its prior physical configuration because of land
923use laws or regulations.
924     (b)  Notwithstanding paragraph (a), a condominium in which
92575 percent or more of the units are timeshare units may be
926terminated only pursuant to a plan of termination approved by 80
927percent of the total voting interests of the association and the
928holders of 80 percent of the original principal amount of
929outstanding recorded mortgage liens of timeshare estates in the
930condominium, unless the declaration provides for a lower voting
931percentage.
932     (c)  Notwithstanding paragraph (a), a condominium that
933includes units and timeshare estates where the improvements have
934been totally destroyed or demolished may be terminated pursuant
935to a plan of termination proposed by a unit owner upon the
936filing of a petition in court seeking equitable relief. Within
93710 days after the filing of a petition as provided in this
938paragraph and in lieu of the requirements of paragraph (15)(a),
939the petitioner shall record the proposed plan of termination and
940mail a copy of the proposed plan and a copy of the petition to:
941     1.  If the association has not been dissolved as a matter
942of law, each member of the board of directors of the association
943identified in the most recent annual report filed with the
944Department of State and the registered agent of the association;
945     2.  The managing entity as defined in s. 721.05(22);
946     3.  Each unit owner and each timeshare estate owner at the
947address reflected in the official records of the association,
948or, if the association records cannot be obtained by the
949petitioner, each unit owner and each timeshare estate owner at
950the address listed in the office of the tax collector for tax
951notices; and
952     4.  Each holder of a recorded mortgage lien affecting a
953unit or timeshare estate at the address appearing on the
954recorded mortgage or any recorded assignment thereof.
955
956The association, if it has not been dissolved as a matter of
957law, acting as class representative, or the managing entity as
958defined in s. 721.05(22), any unit owner, any timeshare estate
959owner, or any holder of a recorded mortgage lien affecting a
960unit or timeshare estate may intervene in the proceedings to
961contest the proposed plan of termination brought pursuant to
962this paragraph. The provisions of subsection (9), to the extent
963inconsistent with this paragraph, and subsection (16) are not
964applicable to a party contesting a plan of termination under
965this paragraph. If no party intervenes to contest the proposed
966plan within 45 days after the filing of the petition, the
967petitioner may move the court to enter a final judgment to
968authorize implementation of the plan of termination. If a party
969timely intervenes to contest the proposed plan, the plan may not
970be implemented until a final judgment has been entered by the
971court finding that the proposed plan of termination is fair and
972reasonable and authorizing implementation of the plan.
973     (3)  OPTIONAL TERMINATION.-Except as provided in subsection
974(2) or unless the declaration provides for a lower percentage,
975the condominium form of ownership of the property may be
976terminated for all or a portion of the condominium property
977pursuant to a plan of termination approved by at least 80
978percent of the total voting interests of the condominium if no
979not more than 10 percent of the total voting interests of the
980condominium have rejected the plan of termination by negative
981vote or by providing written objections thereto. This subsection
982does not apply to condominiums in which 75 percent or more of
983the units are timeshare units.
984     (4)  EXEMPTION.-A plan of termination is not an amendment
985subject to s. 718.110(4). In a partial termination, a plan of
986termination is not an amendment subject to s. 718.110(4) if the
987ownership share of the common elements of a surviving unit in
988the condominium remains in the same proportion to the surviving
989units as it was before the partial termination.
990     (11)  PLAN OF TERMINATION; OPTIONAL PROVISIONS; CONDITIONAL
991TERMINATION.-
992     (a)  The plan of termination may provide that each unit
993owner retains the exclusive right of possession to the portion
994of the real estate which that formerly constituted the unit if,
995in which case the plan specifies must specify the conditions of
996possession. In a partial termination, the plan of termination as
997specified in subsection (10) must also identify the units that
998survive the partial termination and provide that such units
999remain in the condominium form of ownership pursuant to an
1000amendment to the declaration of condominium or an amended and
1001restated declaration. In a partial termination, title to the
1002surviving units and common elements that remain part of the
1003condominium property specified in the plan of termination remain
1004vested in the ownership shown in the public records and do not
1005vest in the termination trustee.
1006     (b)  In a conditional termination, the plan must specify
1007the conditions for termination. A conditional plan does not vest
1008title in the termination trustee until the plan and a
1009certificate executed by the association with the formalities of
1010a deed, confirming that the conditions in the conditional plan
1011have been satisfied or waived by the requisite percentage of the
1012voting interests, have been recorded. In a partial termination,
1013the plan does not vest title to the surviving units or common
1014elements that remain part of the condominium property in the
1015termination trustee.
1016     (12)  ALLOCATION OF PROCEEDS OF SALE OF CONDOMINIUM
1017PROPERTY.-
1018     (a)  Unless the declaration expressly provides for the
1019allocation of the proceeds of sale of condominium property, the
1020plan of termination must first apportion the proceeds between
1021the aggregate value of all units and the value of the common
1022elements, based on their respective fair market values
1023immediately before the termination, as determined by one or more
1024independent appraisers selected by the association or
1025termination trustee. In a partial termination, the aggregate
1026values of the units and common elements that are being
1027terminated must be separately determined, and the plan of
1028termination must specify the allocation of the proceeds of sale
1029for the units and common elements.
1030     (d)  Liens that encumber a unit shall be transferred to the
1031proceeds of sale of the condominium property and the proceeds of
1032sale or other distribution of association property, common
1033surplus, or other association assets attributable to such unit
1034in their same priority. In a partial termination, liens that
1035encumber a unit being terminated must be transferred to the
1036proceeds of sale of that portion of the condominium property
1037being terminated which are attributable to such unit. The
1038proceeds of any sale of condominium property pursuant to a plan
1039of termination may not be deemed to be common surplus or
1040association property.
1041     (14)  TITLE VESTED IN TERMINATION TRUSTEE.-If termination
1042is pursuant to a plan of termination under subsection (2) or
1043subsection (3), the unit owners' rights and title to as tenants
1044in common in undivided interests in the condominium property
1045being terminated vests vest in the termination trustee when the
1046plan is recorded or at a later date specified in the plan. The
1047unit owners thereafter become the beneficiaries of the proceeds
1048realized from the plan of termination as set forth in the plan.
1049The termination trustee may deal with the condominium property
1050being terminated or any interest therein if the plan confers on
1051the trustee the authority to protect, conserve, manage, sell, or
1052dispose of the condominium property. The trustee, on behalf of
1053the unit owners, may contract for the sale of real property
1054being terminated, but the contract is not binding on the unit
1055owners until the plan is approved pursuant to subsection (2) or
1056subsection (3).
1057     (17)  DISTRIBUTION.-
1058     (a)  Following termination of the condominium, the
1059condominium property, association property, common surplus, and
1060other assets of the association shall be held by the termination
1061trustee pursuant to the plan of termination, as trustee for unit
1062owners and holders of liens on the units, in their order of
1063priority unless otherwise set forth in the plan of termination.
1064     (18)  ASSOCIATION STATUS.-The termination of a condominium
1065does not change the corporate status of the association that
1066operated the condominium property. The association continues to
1067exist to conclude its affairs, prosecute and defend actions by
1068or against it, collect and discharge obligations, dispose of and
1069convey its property, and collect and divide its assets, but not
1070to act except as necessary to conclude its affairs. In a partial
1071termination, the association may continue as the condominium
1072association for the property that remains subject to the
1073declaration of condominium.
1074     (19)  CREATION OF ANOTHER CONDOMINIUM.-The termination or
1075partial termination of a condominium does not bar the filing of
1076a new declaration of condominium or an amended and restated
1077declaration of condominium by the termination trustee, or the
1078trustee's successor in interest, for the terminated property or
1079affecting any portion thereof of the same property. The partial
1080termination of a condominium may provide for the simultaneous
1081filing of an amendment to the declaration of condominium or an
1082amended and restated declaration of condominium by the
1083condominium association for any portion of the property not
1084terminated from the condominium form of ownership.
1085     Section 8.  Subsections (3), (4), and (5) of section
1086718.303, Florida Statutes, are amended, and subsection (6) is
1087added to that section, to read:
1088     718.303  Obligations of owners and occupants; remedies.-
1089     (3)  If a unit owner is delinquent for more than 90 days in
1090paying a monetary obligation due to the association, the
1091association may suspend the right of a unit owner or a unit's
1092occupant, licensee, or invitee to use common elements, common
1093facilities, or any other association property until the monetary
1094obligation is paid. This subsection does not apply to limited
1095common elements intended to be used only by that unit, common
1096elements that must be used to access the unit, utility services
1097provided to the unit, parking spaces, or elevators. The
1098association may also levy reasonable fines for the failure of
1099the owner of the unit, or its occupant, licensee, or invitee, to
1100comply with any provision of the declaration, the association
1101bylaws, or reasonable rules of the association. A fine may does
1102not become a lien against a unit. A fine may not exceed $100 per
1103violation. However, A fine may be levied on the basis of each
1104day of a continuing violation, with a single notice and
1105opportunity for hearing. However, the fine may not exceed $100
1106per violation, or $1,000 in the aggregate exceed $1,000.
1107     (a)  An association may suspend, for a reasonable period of
1108time, the right of a unit owner, or a unit owner's tenant,
1109guest, or invitee, to use the common elements, common
1110facilities, or any other association property for failure to
1111comply with any provision of the declaration, the association
1112bylaws, or reasonable rules of the association.
1113     (b)  A fine or suspension may not be imposed levied and a
1114suspension may not be imposed unless the association first
1115provides at least 14 days' written notice and an opportunity for
1116a hearing to the unit owner and, if applicable, its occupant,
1117licensee, or invitee. The hearing must be held before a
1118committee of other unit owners who are neither board members nor
1119persons residing in a board member's household. If the committee
1120does not agree with the fine or suspension, the fine or
1121suspension may not be levied or imposed.
1122     (4)  If a unit owner is more than 90 days delinquent in
1123paying a monetary obligation due to the association, the
1124association may suspend the right of the unit owner or the
1125unit's occupant, licensee, or invitee to use common elements,
1126common facilities, or any other association property until the
1127monetary obligation is paid in full. This subsection does not
1128apply to limited common elements intended to be used only by
1129that unit, common elements needed to access the unit, utility
1130services provided to the unit, parking spaces, or elevators. The
1131notice and hearing requirements under subsection (3) do not
1132apply to suspensions imposed under this subsection.
1133     (4)  The notice and hearing requirements of subsection (3)
1134do not apply to the imposition of suspensions or fines against a
1135unit owner or a unit's occupant, licensee, or invitee because of
1136failing to pay any amounts due the association. If such a fine
1137or suspension is imposed, the association must levy the fine or
1138impose a reasonable suspension at a properly noticed board
1139meeting, and after the imposition of such fine or suspension,
1140the association must notify the unit owner and, if applicable,
1141the unit's occupant, licensee, or invitee by mail or hand
1142delivery.
1143     (5)  An association may also suspend the voting rights of a
1144unit or member due to nonpayment of any monetary obligation due
1145to the association which is more than 90 days delinquent. A
1146voting interest or consent right allocated to a unit or member
1147which has been suspended by the association may not be counted
1148towards the total number of voting interests necessary to
1149constitute a quorum, the number of voting interests required to
1150conduct an election, or the number of voting interests required
1151to approve an action under this chapter or pursuant to the
1152declaration, articles of incorporation, or bylaws. The
1153suspension ends upon full payment of all obligations currently
1154due or overdue the association. The notice and hearing
1155requirements under subsection (3) do not apply to a suspension
1156imposed under this subsection.
1157     (6)  All suspensions imposed pursuant to subsection (4) or
1158subsection (5) must be approved at a properly noticed board
1159meeting. Upon approval, the association must notify the unit
1160owner and, if applicable, the unit's occupant, licensee, or
1161invitee by mail or hand delivery.
1162     Section 9.  Section 718.703, Florida Statutes, is amended
1163to read:
1164     718.703  Definitions.-As used in this part, the term:
1165     (1)  "Bulk assignee" means a person who is not a bulk buyer
1166and who:
1167     (a)  Acquires more than seven condominium parcels in a
1168single condominium as set forth in s. 718.707; and
1169     (b)  Receives an assignment of any of the developer rights,
1170other than or in addition to those rights described in
1171subsection (2), some or all of the rights of the developer as
1172set forth in the declaration of condominium or this chapter: by
1173     1.  By a written instrument recorded as part of or as an
1174exhibit to the deed; or as
1175     2.  By a separate instrument recorded in the public records
1176of the county in which the condominium is located; or
1177     3.  Pursuant to a final judgment or certificate of title
1178issued in favor of a purchaser at a foreclosure sale.
1179
1180A mortgagee or its assignee may not be deemed a bulk assignee or
1181a developer by reason of the acquisition of condominium units
1182and receipt of an assignment of some or all of a developer
1183rights unless the mortgagee or its assignee exercises any of the
1184developer rights other than those described in subsection (2).
1185     (2)  "Bulk buyer" means a person who acquires more than
1186seven condominium parcels in a single condominium as set forth
1187in s. 718.707, but who does not receive an assignment of any
1188developer rights, or receives only some or all of the following
1189rights: other than
1190     (a)  The right to conduct sales, leasing, and marketing
1191activities within the condominium;
1192     (b)  The right to be exempt from the payment of working
1193capital contributions to the condominium association arising out
1194of, or in connection with, the bulk buyer's acquisition of the a
1195bulk number of units; and
1196     (c)  The right to be exempt from any rights of first
1197refusal which may be held by the condominium association and
1198would otherwise be applicable to subsequent transfers of title
1199from the bulk buyer to a third party purchaser concerning one or
1200more units.
1201     Section 10.  Section 718.704, Florida Statutes, is amended
1202to read:
1203     718.704  Assignment and assumption of developer rights by
1204bulk assignee; bulk buyer.-
1205     (1)  A bulk assignee is deemed to have assumed assumes and
1206is liable for all duties and responsibilities of the developer
1207under the declaration and this chapter upon its acquisition of
1208title to units and continuously thereafter, except that it is
1209not liable for:
1210     (a)  Warranties of the developer under s. 718.203(1) or s.
1211718.618, except as expressly provided by the bulk assignee in a
1212prospectus or offering circular, or the contract for purchase
1213and sale executed with a purchaser, or for design, construction,
1214development, or repair work performed by or on behalf of the
1215such bulk assignee.;
1216     (b)  The obligation to:
1217     1.  Fund converter reserves under s. 718.618 for a unit
1218that was not acquired by the bulk assignee; or
1219     2.  Provide implied converter warranties on any portion of
1220the condominium property except as expressly provided by the
1221bulk assignee in a prospectus or offering circular, or the
1222contract for purchase and sale executed with a purchaser, or for
1223and pertaining to any design, construction, development, or
1224repair work performed by or on behalf of the bulk assignee.;
1225     (c)  The requirement to provide the association with a
1226cumulative audit of the association's finances from the date of
1227formation of the condominium association as required by s.
1228718.301(4)(c). However, the bulk assignee must provide an audit
1229for the period during which the bulk assignee elects or appoints
1230a majority of the members of the board of administration.;
1231     (d)  Any liability arising out of or in connection with
1232actions taken by the board of administration or the developer-
1233appointed directors before the bulk assignee elects or appoints
1234a majority of the members of the board of administration.; and
1235     (e)  Any liability for or arising out of the developer's
1236failure to fund previous assessments or to resolve budgetary
1237deficits in relation to a developer's right to guarantee
1238assessments, except as otherwise provided in subsection (2).
1239
1240The bulk assignee is also responsible only for delivering
1241documents and materials in accordance with s. 718.705(3). A bulk
1242assignee may expressly assume some or all of the developer
1243obligations of the developer described in paragraphs (a)-(e).
1244     (2)  A bulk assignee assigned the developer right receiving
1245the assignment of the rights of the developer to guarantee the
1246level of assessments and fund budgetary deficits pursuant to s.
1247718.116 assumes and is liable for all obligations of the
1248developer with respect to such guarantee upon its acquisition of
1249title to the units and continuously thereafter, including any
1250applicable funding of reserves to the extent required by law,
1251for as long as the guarantee remains in effect. A bulk assignee
1252not receiving such assignment, or a bulk buyer, does not assume
1253and is not liable for the obligations of the developer with
1254respect to such guarantee, but is responsible for payment of
1255assessments due on or after acquisition of the units in the same
1256manner as all other owners of condominium parcels or as
1257otherwise provided in s. 718.116.
1258     (3)  A bulk buyer is liable for the duties and
1259responsibilities of a the developer under the declaration and
1260this chapter only to the extent that such provided in this part,
1261together with any other duties or responsibilities are of the
1262developer expressly assumed in writing by the bulk buyer.
1263     (4)  An acquirer of condominium parcels is not a bulk
1264assignee or a bulk buyer if the transfer to such acquirer was
1265made:
1266     (a)  Before the effective date of this part;
1267     (b)  With the intent to hinder, delay, or defraud any
1268purchaser, unit owner, or the association;, or if the acquirer
1269is
1270     (c)  By a person who would be considered an insider under
1271s. 726.102(7).
1272     (5)  An assignment of developer rights to a bulk assignee
1273may be made by a the developer, a previous bulk assignee, a
1274mortgagee or assignee who has acquired title to the units and
1275received an assignment of rights, or a court acting on behalf of
1276the developer or the previous bulk assignee if such developer
1277rights are held by the predecessor in title to the bulk
1278assignee. At any particular time, there may not be no more than
1279one bulk assignee within a condominium; however, but there may
1280be more than one bulk buyer. If more than one acquirer of
1281condominium parcels in the same condominium receives an
1282assignment of developer rights in addition to those rights
1283described in s. 718.703(2) from the same person, the bulk
1284assignee is the acquirer whose instrument of assignment is
1285recorded first in the public records of the county in which the
1286condominium is located, and any subsequent purported bulk
1287assignee may still qualify as a bulk buyer.
1288     Section 11.  Subsections (1) and (3) of section 718.705,
1289Florida Statutes, are amended to read:
1290     718.705  Board of administration; transfer of control.-
1291     (1)  If, at the time the bulk assignee acquires title to
1292the units and receives an assignment of developer rights, the
1293developer has not relinquished control of the board of
1294administration, for purposes of determining the timing for
1295transfer of control of the board of administration of the
1296association to unit owners other than the developer under s.
1297718.301(1)(a) and (b), if a bulk assignee is entitled to elect a
1298majority of the members of the board, a condominium parcel
1299acquired by the bulk assignee is not deemed to be conveyed to a
1300purchaser, or owned by an owner other than the developer, until
1301the condominium parcel is conveyed to an owner who is not a bulk
1302assignee.
1303     (3)  If a bulk assignee relinquishes control of the board
1304of administration as set forth in s. 718.301, the bulk assignee
1305must deliver all of those items required by s. 718.301(4).
1306However, the bulk assignee is not required to deliver items and
1307documents not in the possession of the bulk assignee if some
1308items were or should have been in existence before the bulk
1309assignee's acquisition of the units during the period during
1310which the bulk assignee was entitled to elect at least a
1311majority of the members of the board of administration. In
1312conjunction with the acquisition of units condominium parcels, a
1313bulk assignee shall undertake a good faith effort to obtain the
1314documents and materials that must be provided to the association
1315pursuant to s. 718.301(4). If the bulk assignee is not able to
1316obtain all of such documents and materials, the bulk assignee
1317must certify in writing to the association the names or
1318descriptions of the documents and materials that were not
1319obtainable by the bulk assignee. Delivery of the certificate
1320relieves the bulk assignee of responsibility for delivering the
1321documents and materials referenced in the certificate as
1322otherwise required under ss. 718.112 and 718.301 and this part.
1323The responsibility of the bulk assignee for the audit required
1324by s. 718.301(4) commences as of the date on which the bulk
1325assignee elected or appointed a majority of the members of the
1326board of administration.
1327     Section 12.  Section 718.706, Florida Statutes, is amended
1328to read:
1329     718.706  Specific provisions pertaining to offering of
1330units by a bulk assignee or bulk buyer.-
1331     (1)  Before offering more than seven any units in a single
1332condominium for sale or for lease for a term exceeding 5 years,
1333a bulk assignee or a bulk buyer must file the following
1334documents with the division and provide such documents to a
1335prospective purchaser or tenant:
1336     (a)  An updated prospectus or offering circular, or a
1337supplement to the prospectus or offering circular, filed by the
1338original developer prepared in accordance with s. 718.504, which
1339must include the form of contract for sale and for lease in
1340compliance with s. 718.503(2);
1341     (b)  An updated Frequently Asked Questions and Answers
1342sheet;
1343     (c)  The executed escrow agreement if required under s.
1344718.202; and
1345     (d)  The financial information required by s. 718.111(13).
1346However, if a financial information report did does not exist
1347for the fiscal year before the acquisition of title by the bulk
1348assignee or bulk buyer, and if or accounting records that cannot
1349be obtained in good faith by the bulk assignee or the bulk buyer
1350which would permit preparation of the required financial
1351information report for that period cannot be obtained despite
1352good faith efforts by the bulk assignee or the bulk buyer, the
1353bulk assignee or bulk buyer is excused from the requirement of
1354this paragraph. However, the bulk assignee or bulk buyer must
1355include in the purchase contract the following statement in
1356conspicuous type:
1357
1358ALL OR A PORTION OF THE FINANCIAL INFORMATION REPORT
1359REQUIRED UNDER S. 718.111(13) FOR THE TIME PERIOD
1360BEFORE THE SELLER'S ACQUISITION OF THE UNIT
1361IMMEDIATELY PRECEDING FISCAL YEAR OF THE ASSOCIATION
1362IS NOT AVAILABLE OR CANNOT BE OBTAINED DESPITE THE
1363GOOD FAITH EFFORTS OF CREATED BY THE SELLER DUE TO THE
1364INSUFFICIENT ACCOUNTING RECORDS OF THE ASSOCIATION.
1365
1366     (2)  Before offering more than seven any units in a single
1367condominium for sale or for lease for a term exceeding 5 years,
1368a bulk assignee or a bulk buyer must file with the division and
1369provide to a prospective purchaser or tenant under a lease for a
1370term exceeding 5 years a disclosure statement that includes, but
1371is not limited to:
1372     (a)  A description of any rights of the developer rights
1373that developer which have been assigned to the bulk assignee or
1374bulk buyer;
1375     (b)  The following statement in conspicuous type:
1376
1377THE SELLER IS NOT OBLIGATED FOR ANY WARRANTIES OF THE
1378DEVELOPER UNDER S. 718.203(1) OR S. 718.618, AS
1379APPLICABLE, EXCEPT FOR DESIGN, CONSTRUCTION,
1380DEVELOPMENT, OR REPAIR WORK PERFORMED BY OR ON BEHALF
1381OF THE SELLER; and
1382
1383     (c)  If the condominium is a conversion subject to part VI,
1384the following statement in conspicuous type:
1385
1386THE SELLER HAS NO OBLIGATION TO FUND CONVERTER
1387RESERVES OR TO PROVIDE CONVERTER WARRANTIES UNDER S.
1388718.618 ON ANY PORTION OF THE CONDOMINIUM PROPERTY
1389EXCEPT AS MAY BE EXPRESSLY REQUIRED OF THE SELLER IN
1390THE CONTRACT FOR PURCHASE AND SALE EXECUTED BY THE
1391SELLER AND THE PREVIOUS DEVELOPER AND PERTAINING TO
1392ANY DESIGN, CONSTRUCTION, DEVELOPMENT, OR REPAIR WORK
1393PERFORMED BY OR ON BEHALF OF THE SELLER.
1394
1395     (3)  A bulk assignee, while it is in control of the board
1396of administration of the association, may not authorize, on
1397behalf of the association:
1398     (a)  The waiver of reserves or the reduction of funding of
1399the reserves pursuant to s. 718.112(2)(f)2., unless approved by
1400a majority of the voting interests not controlled by the
1401developer, bulk assignee, and bulk buyer; or
1402     (b)  The use of reserve expenditures for other purposes
1403pursuant to s. 718.112(2)(f)3., unless approved by a majority of
1404the voting interests not controlled by the developer, bulk
1405assignee, and bulk buyer.
1406     (4)  A bulk assignee or a bulk buyer must comply with all
1407the requirements of s. 718.302 regarding any contracts entered
1408into by the association during the period the bulk assignee or
1409bulk buyer maintains control of the board of administration.
1410Unit owners shall be provided afforded all of the rights and the
1411protections contained in s. 718.302 regarding agreements entered
1412into by the association which are under the control of before
1413unit owners other than the developer, bulk assignee, or bulk
1414buyer elected a majority of the board of administration.
1415     (5)  Notwithstanding any other provision of this part, a
1416bulk assignee or a bulk buyer is not required to comply with the
1417filing or disclosure requirements of subsections (1) and (2) if
1418all of the units owned by the bulk assignee or bulk buyer are
1419offered and conveyed to a single purchaser in a single
1420transaction. A bulk buyer must comply with the requirements
1421contained in the declaration regarding any transfer of a unit,
1422including sales, leases, and subleases. A bulk buyer is not
1423entitled to any exemptions afforded a developer or successor
1424developer under this chapter regarding the transfer of a unit,
1425including sales, leases, or subleases.
1426     Section 13.  Section 718.707, Florida Statutes, is amended
1427to read:
1428     718.707  Time limitation for classification as bulk
1429assignee or bulk buyer.-A person acquiring condominium parcels
1430may not be classified as a bulk assignee or bulk buyer unless
1431the condominium parcels were acquired on or after July 1, 2010,
1432but before July 1, 2012. The date of such acquisition shall be
1433determined by the date of recording of a deed or other
1434instrument of conveyance for such parcels in the public records
1435of the county in which the condominium is located, or by the
1436date of issuing issuance of a certificate of title in a
1437foreclosure proceeding with respect to such condominium parcels.
1438     Section 14.  Subsections (3), (4), and (10) of section
1439719.108, Florida Statutes, are amended to read:
1440     719.108  Rents and assessments; liability; lien and
1441priority; interest; collection; cooperative ownership.-
1442     (3)  Rents and assessments, and installments on them, not
1443paid when due bear interest at the rate provided in the
1444cooperative documents from the date due until paid. This rate
1445may not exceed the rate allowed by law, and, if a rate is not
1446provided in the cooperative documents, interest accrues at 18
1447percent per annum. If the cooperative documents or bylaws so
1448provide, the association may charge an administrative late fee
1449in addition to such interest, in an amount not to exceed the
1450greater of $25 or 5 percent of each installment of the
1451assessment for each delinquent installment that the payment is
1452late. Any payment received by an association must be applied
1453first to any interest accrued by the association, then to any
1454administrative late fee, then to any costs and reasonable
1455attorney's fees incurred in collection, and then to the
1456delinquent assessment. The foregoing applies notwithstanding any
1457restrictive endorsement, designation, or instruction placed on
1458or accompanying a payment. A late fee is not subject to chapter
1459687 or s. 719.303(4)(3).
1460     (4)  The association has a lien on each cooperative parcel
1461for any unpaid rents and assessments, plus interest, and any
1462authorized administrative late fees, and any reasonable costs
1463for collection services for which the association has contracted
1464against the unit owner of the cooperative parcel. If authorized
1465by the cooperative documents, the lien also secures reasonable
1466attorney's fees incurred by the association incident to the
1467collection of the rents and assessments or enforcement of such
1468lien. The lien is effective from and after recording a claim of
1469lien in the public records in the county in which the
1470cooperative parcel is located which states the description of
1471the cooperative parcel, the name of the unit owner, the amount
1472due, and the due dates. The lien expires if a claim of lien is
1473not filed within 1 year after the date the assessment was due,
1474and the lien does not continue for longer than 1 year after the
1475claim of lien has been recorded unless, within that time, an
1476action to enforce the lien is commenced. Except as otherwise
1477provided in this chapter, a lien may not be filed by the
1478association against a cooperative parcel until 30 days after the
1479date on which a notice of intent to file a lien has been
1480delivered to the owner.
1481     (a)  The notice must be sent to the unit owner at the
1482address of the unit by first-class United States mail and:
1483     1.  If the most recent address of the unit owner on the
1484records of the association is the address of the unit, the
1485notice must be sent by registered or certified mail, return
1486receipt requested, to the unit owner at the address of the unit.
1487     2.  If the most recent address of the unit owner on the
1488records of the association is in the United States, but is not
1489the address of the unit, the notice must be sent by registered
1490or certified mail, return receipt requested, to the unit owner
1491at his or her most recent address.
1492     3.  If the most recent address of the unit owner on the
1493records of the association is not in the United States, the
1494notice must be sent by first-class United States mail to the
1495unit owner at his or her most recent address.
1496     (b)  A notice that is sent pursuant to this subsection is
1497deemed delivered upon mailing.
1498     (10)(a)  If the unit is occupied by a tenant and the unit
1499owner is delinquent in paying any monetary obligation due to the
1500association, the association may make a written demand that the
1501tenant pay to the association the subsequent rental payments
1502future monetary obligations related to the cooperative share to
1503the association and continue to the tenant must make such
1504payments until all monetary obligations of the unit owner
1505related to the unit have been paid in full to the association
1506payment. The demand is continuing in nature, and upon demand,
1507The tenant must pay the monetary obligations to the association
1508until the association releases the tenant or the tenant
1509discontinues tenancy in the unit.
1510     1.  The association must provide the tenant a notice, by
1511hand delivery or United States mail, in substantially the
1512following form:
1513
1514     Pursuant to section 719.108(10), Florida
1515Statutes, we demand that you make your rent payments
1516directly to the cooperative association and continue
1517doing so until the association notifies you otherwise.
1518     Payment due the cooperative association may be in
1519the same form as you paid your landlord and must be
1520sent by United States mail or hand delivery to
1521...(full address)..., payable to ...(name)....
1522     Your obligation to pay your rent to the
1523association begins immediately, unless you have
1524already paid rent to your landlord for the current
1525period before receiving this notice. In that case, you
1526must provide the association written proof of your
1527payment within 14 days after receiving this notice and
1528your obligation to pay rent to the association would
1529then begin with the next rental period.
1530     Pursuant to section 719.108(10), Florida
1531Statutes, your payment of rent to the association
1532gives you complete immunity from any claim for the
1533rent by your landlord.
1534
1535     2.  The association must mail written notice to the unit
1536owner of the association's demand that the tenant make payments
1537to the association.
1538     3.  The association shall, upon request, provide the tenant
1539with written receipts for payments made.
1540     4.  A tenant who acts in good faith in response to a
1541written demand from an association is immune from any claim by
1542from the landlord or unit owner related to the rent timely paid
1543to the association after the association has made written
1544demand.
1545     (b)(a)  If the tenant paid prepaid rent to the landlord or
1546unit owner for a given rental period before receiving the demand
1547from the association and provides written evidence to the
1548association of having paid paying the rent to the association
1549within 14 days after receiving the demand, the tenant shall
1550begin making rental payments to the association for the
1551following rental period and shall continue making receive credit
1552for the prepaid rent for the applicable period and must make any
1553subsequent rental payments to the association to be credited
1554against the monetary obligations of the unit owner until the
1555association releases the tenant or the tenant discontinues
1556tenancy in the unit to the association.
1557     (c)(b)  The tenant is not liable for increases in the
1558amount of the regular monetary obligations due unless the tenant
1559was notified in writing of the increase at least 10 days before
1560the date on which the rent is due. The liability of the tenant
1561may not exceed the amount due from the tenant to the tenant's
1562landlord. The tenant's landlord shall provide the tenant a
1563credit against rents due to the landlord unit owner in the
1564amount of moneys paid to the association under this section.
1565     (d)(c)  The association may issue notice notices under s.
156683.56 and may sue for eviction under ss. 83.59-83.625 as if the
1567association were a landlord under part II of chapter 83 if the
1568tenant fails to pay a required payment to the association after
1569written demand has been made to the tenant. However, the
1570association is not otherwise considered a landlord under chapter
157183 and specifically has no obligations duties under s. 83.51.
1572     (e)(d)  The tenant does not, by virtue of payment of
1573monetary obligations to the association, have any of the rights
1574of a unit owner to vote in any election or to examine the books
1575and records of the association.
1576     (f)(e)  A court may supersede the effect of this subsection
1577by appointing a receiver.
1578     Section 15.  Subsection (3) of section 719.303, Florida
1579Statutes, is amended, and subsections (4), (5), and (6) are
1580added to that section, to read:
1581     719.303  Obligations of owners.-
1582     (3)  If the cooperative documents so provide, The
1583association may levy reasonable fines against a unit owner for
1584failure of the unit owner or the unit's occupant, his or her
1585licensee, or invitee or the unit's occupant to comply with any
1586provision of the cooperative documents or reasonable rules of
1587the association. A fine may not No fine shall become a lien
1588against a unit. No fine shall exceed $100 per violation.
1589However, A fine may be levied on the basis of each day of a
1590continuing violation, with a single notice and opportunity for
1591hearing. However, the fine may not exceed $100 per violation, or
1592$1,000 provided that no such fine shall in the aggregate exceed
1593$1,000.
1594     (a)  An association may suspend, for a reasonable period of
1595time, the right of a unit owner, or a unit owner's tenant,
1596guest, or invitee, to use the common elements, common
1597facilities, or any other association property for failure to
1598comply with any provision of the cooperative documents or
1599reasonable rules of the association.
1600     (b)  A No fine or suspension may not be imposed levied
1601except after giving reasonable notice and opportunity for a
1602hearing to the unit owner and, if applicable, the unit's his or
1603her licensee or invitee. The hearing must shall be held before a
1604committee of other unit owners. If the committee does not agree
1605with the fine or suspension, it may shall not be imposed levied.
1606This subsection does not apply to unoccupied units.
1607     (4)  If a unit owner is more than 90 days delinquent in
1608paying a monetary obligation due to the association, the
1609association may suspend the right of the unit owner or the
1610unit's occupant, licensee, or invitee to use common elements,
1611common facilities, or any other association property until the
1612monetary obligation is paid in full. This subsection does not
1613apply to limited common elements intended to be used only by
1614that unit, common elements needed to access the unit, utility
1615services provided to the unit, parking spaces, or elevators. The
1616notice and hearing requirements under subsection (3) do not
1617apply to suspensions imposed under this subsection.
1618     (5)  An association may suspend the voting rights of a unit
1619or member due to nonpayment of any monetary obligation due to
1620the association which is more than 90 days delinquent. A voting
1621interest or consent right allocated to a unit or member which
1622has been suspended by the association may not be counted towards
1623the total number of voting interests for any purpose, including,
1624but not limited to, the number of voting interests necessary to
1625constitute a quorum, the number of voting interests required to
1626conduct an election, or the number of voting interests required
1627to approve an action under this chapter or pursuant to the
1628cooperative documents, articles of incorporation, or bylaws. The
1629suspension ends upon full payment of all obligations currently
1630due or overdue the association. The notice and hearing
1631requirements under subsection (3) do not apply to a suspension
1632imposed under this subsection.
1633     (6)  All suspensions imposed pursuant to subsection (4) or
1634subsection (5) must be approved at a properly noticed board
1635meeting. Upon approval, the association must notify the unit
1636owner and, if applicable, the unit's occupant, licensee, or
1637invitee by mail or hand delivery.
1638     Section 16.  Subsection (4) of section 720.301, Florida
1639Statutes, is amended to read:
1640     720.301  Definitions.-As used in this chapter, the term:
1641     (4)  "Declaration of covenants," or "declaration," means a
1642recorded written instrument or instruments in the nature of
1643covenants running with the land which subject subjects the land
1644comprising the community to the jurisdiction and control of an
1645association or associations in which the owners of the parcels,
1646or their association representatives, must be members.
1647     Section 17.  Paragraph (b) of subsection (2) and paragraph
1648(c) of subsection (5) of section 720.303, Florida Statutes, are
1649amended to read:
1650     720.303  Association powers and duties; meetings of board;
1651official records; budgets; financial reporting; association
1652funds; recalls.-
1653     (2)  BOARD MEETINGS.-
1654     (b)  Members have the right to attend all meetings of the
1655board and to speak on any matter placed on the agenda by
1656petition of the voting interests for at least 3 minutes. The
1657right to attend such meetings includes the right to speak at
1658such meetings with reference to all designated items. The
1659association may adopt written reasonable rules expanding the
1660right of members to speak and governing the frequency, duration,
1661and other manner of member statements, which rules must be
1662consistent with this paragraph and may include a sign-up sheet
1663for members wishing to speak. Notwithstanding any other law,
1664meetings between the board or a committee and the association's
1665attorney to discuss proposed or pending litigation or meetings
1666of the board held for the purpose of discussing personnel
1667matters are not required to be open to the members other than
1668directors.
1669     (5)  INSPECTION AND COPYING OF RECORDS.-The official
1670records shall be maintained within the state and must be open to
1671inspection and available for photocopying by members or their
1672authorized agents at reasonable times and places within 10
1673business days after receipt of a written request for access.
1674This subsection may be complied with by having a copy of the
1675official records available for inspection or copying in the
1676community. If the association has a photocopy machine available
1677where the records are maintained, it must provide parcel owners
1678with copies on request during the inspection if the entire
1679request is limited to no more than 25 pages.
1680     (c)  The association may adopt reasonable written rules
1681governing the frequency, time, location, notice, records to be
1682inspected, and manner of inspections, but may not require a
1683parcel owner to demonstrate any proper purpose for the
1684inspection, state any reason for the inspection, or limit a
1685parcel owner's right to inspect records to less than one 8-hour
1686business day per month. The association may impose fees to cover
1687the costs of providing copies of the official records,
1688including, without limitation, the costs of copying. The
1689association may charge up to 50 cents per page for copies made
1690on the association's photocopier. If the association does not
1691have a photocopy machine available where the records are kept,
1692or if the records requested to be copied exceed 25 pages in
1693length, the association may have copies made by an outside
1694vendor or association management company personnel and may
1695charge the actual cost of copying, including any reasonable
1696costs involving personnel fees and charges at an hourly rate for
1697vendor or employee time to cover administrative costs to the
1698vendor or association. The association shall maintain an
1699adequate number of copies of the recorded governing documents,
1700to ensure their availability to members and prospective members.
1701Notwithstanding this paragraph, the following records are not
1702accessible to members or parcel owners:
1703     1.  Any record protected by the lawyer-client privilege as
1704described in s. 90.502 and any record protected by the work-
1705product privilege, including, but not limited to, a any record
1706prepared by an association attorney or prepared at the
1707attorney's express direction which reflects a mental impression,
1708conclusion, litigation strategy, or legal theory of the attorney
1709or the association and which was prepared exclusively for civil
1710or criminal litigation or for adversarial administrative
1711proceedings or which was prepared in anticipation of such
1712imminent civil or criminal litigation or imminent adversarial
1713administrative proceedings until the conclusion of the
1714litigation or administrative proceedings.
1715     2.  Information obtained by an association in connection
1716with the approval of the lease, sale, or other transfer of a
1717parcel.
1718     3.  Personnel records of the association's employees,
1719including, but not limited to, disciplinary, payroll, health,
1720and insurance records. For purposes of this subparagraph, the
1721term "personnel records" does not include written employment
1722agreements with an association employee or budgetary or
1723financial records that indicate the compensation paid to an
1724association employee.
1725     4.  Medical records of parcel owners or community
1726residents.
1727     5.  Social security numbers, driver's license numbers,
1728credit card numbers, electronic mailing addresses, telephone
1729numbers, facsimile numbers, emergency contact information, any
1730addresses for a parcel owner other than as provided for
1731association notice requirements, and other personal identifying
1732information of any person, excluding the person's name, parcel
1733designation, mailing address, and property address. However, an
1734owner may consent in writing to the disclosure of protected
1735information described in this subparagraph. The association is
1736not liable for the disclosure of information that is protected
1737under this subparagraph if the information is included in an
1738official record of the association and is voluntarily provided
1739by an owner and not requested by the association.
1740     6.  Any electronic security measure that is used by the
1741association to safeguard data, including passwords.
1742     7.  The software and operating system used by the
1743association which allows the manipulation of data, even if the
1744owner owns a copy of the same software used by the association.
1745The data is part of the official records of the association.
1746     Section 18.  Section 720.305, Florida Statutes, is amended
1747to read:
1748     720.305  Obligations of members; remedies at law or in
1749equity; levy of fines and suspension of use rights.-
1750     (1)  Each member and the member's tenants, guests, and
1751invitees, and each association, are governed by, and must comply
1752with, this chapter, the governing documents of the community,
1753and the rules of the association. Actions at law or in equity,
1754or both, to redress alleged failure or refusal to comply with
1755these provisions may be brought by the association or by any
1756member against:
1757     (a)  The association;
1758     (b)  A member;
1759     (c)  Any director or officer of an association who
1760willfully and knowingly fails to comply with these provisions;
1761and
1762     (d)  Any tenants, guests, or invitees occupying a parcel or
1763using the common areas.
1764
1765The prevailing party in any such litigation is entitled to
1766recover reasonable attorney's fees and costs. A member
1767prevailing in an action between the association and the member
1768under this section, in addition to recovering his or her
1769reasonable attorney's fees, may recover additional amounts as
1770determined by the court to be necessary to reimburse the member
1771for his or her share of assessments levied by the association to
1772fund its expenses of the litigation. This relief does not
1773exclude other remedies provided by law. This section does not
1774deprive any person of any other available right or remedy.
1775     (2)  The association If a member is delinquent for more
1776than 90 days in paying a monetary obligation due the
1777association, an association may suspend, until such monetary
1778obligation is paid, the rights of a member or a member's
1779tenants, guests, or invitees, or both, to use common areas and
1780facilities and may levy reasonable fines of up to $100 per
1781violation, against any member or any member's tenant, guest, or
1782invitee for the failure of the owner of the parcel or its
1783occupant, licensee, or invitee to comply with any provision of
1784the declaration, the association bylaws, or reasonable rules of
1785the association. A fine may be levied for each day of a
1786continuing violation, with a single notice and opportunity for
1787hearing, except that the a fine may not exceed $1,000 in the
1788aggregate unless otherwise provided in the governing documents.
1789A fine of less than $1,000 may not become a lien against a
1790parcel. In any action to recover a fine, the prevailing party is
1791entitled to collect its reasonable attorney's fees and costs
1792from the nonprevailing party as determined by the court.
1793     (a)  An association may suspend, for a reasonable period of
1794time, the right of a member, or a member's tenant, guest, or
1795invitee, to use common areas and facilities for the failure of
1796the owner of the parcel or its occupant, licensee, or invitee to
1797comply with any provision of the declaration, the association
1798bylaws, or reasonable rules of the association. The provisions
1799regarding the suspension-of-use rights do not apply to the
1800portion of common areas that must be used to provide access to
1801the parcel or utility services provided to the parcel.
1802     (b)(a)  A fine or suspension may not be imposed without at
1803least 14 days' notice to the person sought to be fined or
1804suspended and an opportunity for a hearing before a committee of
1805at least three members appointed by the board who are not
1806officers, directors, or employees of the association, or the
1807spouse, parent, child, brother, or sister of an officer,
1808director, or employee. If the committee, by majority vote, does
1809not approve a proposed fine or suspension, it may not be
1810imposed. If the association imposes a fine or suspension, the
1811association must provide written notice of such fine or
1812suspension by mail or hand delivery to the parcel owner and, if
1813applicable, to any tenant, licensee, or invitee of the parcel
1814owner.
1815     (3)  If a member is more than 90 days delinquent in paying
1816a monetary obligation due to the association, the association
1817may suspend the rights of the member, or the member's tenant,
1818guest, or invitee, to use common areas and facilities until the
1819monetary obligation is paid in full. This subsection does not
1820apply to that portion of common areas used to provide access or
1821utility services to the parcel.
1822     (b)  Suspension does of common-area-use rights do not
1823impair the right of an owner or tenant of a parcel to have
1824vehicular and pedestrian ingress to and egress from the parcel,
1825including, but not limited to, the right to park. The notice and
1826hearing requirements under subsection (2) do not apply to a
1827suspension imposed under this subsection.
1828     (4)(3)  If the governing documents so provide, An
1829association may suspend the voting rights of a parcel or member
1830for the nonpayment of any monetary obligation due to the
1831association that is more than regular annual assessments that
1832are delinquent in excess of 90 days delinquent. A voting
1833interest or consent right allocated to a parcel or member which
1834has been suspended by the association may not be counted towards
1835the total number of voting interests for any purpose, including,
1836but not limited to, the number of voting interests necessary to
1837constitute a quorum, the number of voting interests required to
1838conduct an election, or the number of voting interests required
1839to approve an action under this chapter or pursuant to the
1840governing documents. The notice and hearing requirements under
1841subsection (2) do not apply to a suspension imposed under this
1842subsection. The suspension ends upon full payment of all
1843obligations currently due or overdue to the association.
1844     (5)  All suspensions imposed pursuant to subsection (3) or
1845subsection (4) must be approved at a properly noticed board
1846meeting. Upon approval, the association must notify the parcel
1847owner and, if applicable, the parcel's occupant, licensee, or
1848invitee by mail or hand delivery.
1849     Section 19.  Subsection (9) of section 720.306, Florida
1850Statutes, is amended to read:
1851     720.306  Meetings of members; voting and election
1852procedures; amendments.-
1853     (9)(a)  ELECTIONS AND BOARD VACANCIES.- Elections of
1854directors must be conducted in accordance with the procedures
1855set forth in the governing documents of the association. All
1856members of the association are eligible to serve on the board of
1857directors, and a member may nominate himself or herself as a
1858candidate for the board at a meeting where the election is to be
1859held or, if the election process allows voting by absentee
1860ballot, in advance of the balloting. Except as otherwise
1861provided in the governing documents, boards of directors must be
1862elected by a plurality of the votes cast by eligible voters.
1863     (b)  A person who is delinquent in the payment of any fee,
1864fine, or other monetary obligation to the association for more
1865than 90 days is not eligible for board membership. A person who
1866has been convicted of any felony in this state or in a United
1867States District or Territorial Court, or has been convicted of
1868any offense in another jurisdiction which would be considered a
1869felony if committed in this state, is not eligible for board
1870membership unless such felon's civil rights have been restored
1871for at least 5 years as of the date on which such person seeks
1872election to the board. The validity of any action by the board
1873is not affected if it is later determined that a member of the
1874board is ineligible for board membership.
1875     (c)  Any election dispute between a member and an
1876association must be submitted to mandatory binding arbitration
1877with the division. Such proceedings must be conducted in the
1878manner provided by s. 718.1255 and the procedural rules adopted
1879by the division. Unless otherwise provided in the bylaws, any
1880vacancy occurring on the board before the expiration of a term
1881may be filled by an affirmative vote of the majority of the
1882remaining directors, even if the remaining directors constitute
1883less than a quorum, or by the sole remaining director. In the
1884alternative, a board may hold an election to fill the vacancy,
1885in which case the election procedures must conform to the
1886requirements of the governing documents. Unless otherwise
1887provided in the bylaws, a board member appointed or elected
1888under this section is appointed for the unexpired term of the
1889seat being filled. Filling vacancies created by recall is
1890governed by s. 720.303(10) and rules adopted by the division.
1891     Section 20.  Paragraph (d) is added to subsection (2) of
1892section 720.3085, Florida Statutes, and paragraph (a) of
1893subsection (1) and subsections (3) and (8) of that section are
1894amended, to read:
1895     720.3085  Payment for assessments; lien claims.-
1896     (1)  When authorized by the governing documents, the
1897association has a lien on each parcel to secure the payment of
1898assessments and other amounts provided for by this section.
1899Except as otherwise set forth in this section, the lien is
1900effective from and shall relate back to the date on which the
1901original declaration of the community was recorded. However, as
1902to first mortgages of record, the lien is effective from and
1903after recording of a claim of lien in the public records of the
1904county in which the parcel is located. This subsection does not
1905bestow upon any lien, mortgage, or certified judgment of record
1906on July 1, 2008, including the lien for unpaid assessments
1907created in this section, a priority that, by law, the lien,
1908mortgage, or judgment did not have before July 1, 2008.
1909     (a)  To be valid, a claim of lien must state the
1910description of the parcel, the name of the record owner, the
1911name and address of the association, the assessment amount due,
1912and the due date. The claim of lien secures shall secure all
1913unpaid assessments that are due and that may accrue subsequent
1914to the recording of the claim of lien and before entry of a
1915certificate of title, as well as interest, late charges, and
1916reasonable costs and attorney's fees incurred by the association
1917incident to the collection process. The person making the
1918payment is entitled to a satisfaction of the lien upon payment
1919in full.
1920     (2)
1921     (d)  An association, or its successor or assignee, that
1922acquires title to a parcel through the foreclosure of its lien
1923for assessments is not liable for any unpaid assessments, late
1924fees, interest, or reasonable attorney's fees and costs that
1925came due before the association's acquisition of title in favor
1926of any other association, as defined in s. 718.103(2) or s.
1927720.301(9), which holds a superior lien interest on the parcel.
1928This paragraph is intended to clarify existing law.
1929     (3)  Assessments and installments on assessments that are
1930not paid when due bear interest from the due date until paid at
1931the rate provided in the declaration of covenants or the bylaws
1932of the association, which rate may not exceed the rate allowed
1933by law. If no rate is provided in the declaration or bylaws,
1934interest accrues at the rate of 18 percent per year.
1935     (a)  If the declaration or bylaws so provide, the
1936association may also charge an administrative late fee in an
1937amount not to exceed the greater of $25 or 5 percent of the
1938amount of each installment that is paid past the due date.
1939     (b)  Any payment received by an association and accepted
1940shall be applied first to any interest accrued, then to any
1941administrative late fee, then to any costs and reasonable
1942attorney's fees incurred in collection, and then to the
1943delinquent assessment. This paragraph applies notwithstanding
1944any restrictive endorsement, designation, or instruction placed
1945on or accompanying a payment. A late fee is not subject to the
1946provisions of chapter 687 and is not a fine.
1947     (8)(a)  If the parcel is occupied by a tenant and the
1948parcel owner is delinquent in paying any monetary obligation due
1949to the association, the association may demand that the tenant
1950pay to the association the subsequent rental payments and
1951continue to make such payments until all the monetary
1952obligations of the parcel owner related to the parcel have been
1953paid in full to the association and the future monetary
1954obligations related to the parcel. The demand is continuing in
1955nature, and upon demand, the tenant must continue to pay the
1956monetary obligations until the association releases the tenant
1957or until the tenant discontinues tenancy in the parcel.
1958     1.  The association must provide the tenant a notice, by
1959hand delivery or United States mail, in substantially the
1960following form:
1961
1962     Pursuant to section 720.3085(8), Florida
1963Statutes, we demand that you make your rent payments
1964directly to the homeowners' association and continue
1965doing so until the association notifies you otherwise.
1966     Payment due the homeowners' association may be in
1967the same form as you paid your landlord and must be
1968sent by United States mail or hand delivery to
1969...(full address)..., payable to ...(name)....
1970     Your obligation to pay your rent to the
1971association begins immediately, unless you have
1972already paid rent to your landlord for the current
1973period before receiving this notice. In that case, you
1974must provide the association written proof of your
1975payment within 14 days after receiving this notice and
1976your obligation to pay rent to the association would
1977then begin with the next rental period.
1978     Pursuant to section 720.3085(8), Florida
1979Statutes, your payment of rent to the association
1980gives you complete immunity from any claim for the
1981rent by your landlord.
1982
1983     2.  A tenant who acts in good faith in response to a
1984written demand from an association is immune from any claim by
1985from the parcel owner related to the rent timely paid to the
1986association after the association has made written demand.
1987     (b)(a)  If the tenant paid prepaid rent to the landlord or
1988parcel owner for a given rental period before receiving the
1989demand from the association and provides written evidence to the
1990association of having paid paying the rent to the association
1991within 14 days after receiving the demand, the tenant shall
1992begin making rental payments to the association for the
1993following rental period and shall continue making receive credit
1994for the prepaid rent for the applicable period and must make any
1995subsequent rental payments to the association to be credited
1996against the monetary obligations of the parcel owner until the
1997association releases the tenant or the tenant discontinues
1998tenancy in the unit to the association. The association shall,
1999upon request, provide the tenant with written receipts for
2000payments made. The association shall mail written notice to the
2001parcel owner of the association's demand that the tenant pay
2002monetary obligations to the association.
2003     (c)(b)  The liability of the tenant may not exceed the
2004amount due from the tenant to the tenant's landlord. The tenant
2005is not liable for increases in the amount of the monetary
2006obligations due unless the tenant was notified in writing of the
2007increase at least 10 days before the date on which the rent is
2008due. The tenant shall be given a credit against rents due to the
2009landlord parcel owner in the amount of assessments paid to the
2010association.
2011     (d)(c)  The association may issue notice notices under s.
201283.56 and may sue for eviction under ss. 83.59-83.625 as if the
2013association were a landlord under part II of chapter 83 if the
2014tenant fails to pay a monetary obligation. However, the
2015association is not otherwise considered a landlord under chapter
201683 and specifically has no obligations duties under s. 83.51.
2017     (e)(d)  The tenant does not, by virtue of payment of
2018monetary obligations, have any of the rights of a parcel owner
2019to vote in any election or to examine the books and records of
2020the association.
2021     (f)(e)  A court may supersede the effect of this subsection
2022by appointing a receiver.
2023     Section 21.  Section 720.309, Florida Statutes, is amended
2024to read:
2025     720.309  Agreements entered into by the association.-
2026     (1)  Any grant or reservation made by any document, and any
2027contract that has with a term greater than in excess of 10
2028years, that is made by an association before control of the
2029association is turned over to the members other than the
2030developer, and that provides which provide for the operation,
2031maintenance, or management of the association or common areas,
2032must be fair and reasonable.
2033     (2)  If the governing documents provide for the cost of
2034communications services as defined in s. 202.11, information
2035services or Internet services obtained pursuant to a bulk
2036contract shall be deemed an operating expense of the
2037association. If the governing documents do not provide for such
2038services, the board may contract for the services, and the cost
2039shall be deemed an operating expense of the association but must
2040be allocated on a per-parcel basis rather than a percentage
2041basis, notwithstanding that the governing documents provide for
2042other than an equal sharing of operating expenses. Any contract
2043entered into before July 1, 2011, in which the cost of the
2044service is not equally divided among all parcel owners may be
2045changed by a majority of the voting interests present at a
2046regular or special meeting of the association in order to
2047allocate the cost equally among all parcels.
2048     (a)  Any contract entered into by the board may be canceled
2049by a majority of the voting interests present at the next
2050regular or special meeting of the association, whichever occurs
2051first. Any member may make a motion to cancel such contract, but
2052if no motion is made or if such motion fails to obtain the
2053required vote, the contract shall be deemed ratified for the
2054term expressed therein.
2055     (b)  Any contract entered into by the board must provide,
2056and shall be deemed to provide if not expressly set forth
2057therein, that a hearing-impaired or legally blind parcel owner
2058who does not occupy the parcel with a non-hearing-impaired or
2059sighted person, or a parcel owner who receives supplemental
2060security income under Title XVI of the Social Security Act or
2061food assistance as administered by the Department of Children
2062and Family Services pursuant to s. 414.31, may discontinue the
2063service without incurring disconnect fees, penalties, or
2064subsequent service charges, and may not be required to pay any
2065operating expenses charge related to such service for those
2066parcels. If fewer than all parcel owners share the expenses of
2067the communications services, information services, or Internet
2068services, the expense must be shared by all participating parcel
2069owners. The association may use the provisions of s. 720.3085 to
2070enforce payment by the parcel owners receiving such services.
2071     (c)  A resident of any parcel, whether a tenant or parcel
2072owner, may not be denied access to available franchised,
2073licensed, or certificated cable or video service providers if
2074the resident pays the provider directly for services. A resident
2075or a cable or video service provider may not be required to pay
2076anything of value in order to obtain or provide such service
2077except for the charges normally paid for like services by
2078residents of single-family homes located outside the community
2079but within the same franchised, licensed, or certificated area,
2080and except for installation charges agreed to between the
2081resident and the service provider.
2082     Section 22.  This act shall take effect July 1, 2011.


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