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TamaraG1 (California)
Posts: 3
Posted:
We have 15 homeowners (out of 40)didn't pay special assesments for rehabilation project of our building. There rights to vote were revoked by Board. Now special meeting made a decesion that all homeowners should pay their portion ($48,000) for rehab project by January 29, 2008. The election of the new board will take place on January 23, 2008. My quiestion is: can these homeowners whoes rights were revoked for not paing the assesments vote for the new Board? If the dead line is January 29, 2008 for payment and the election is on January 23, maybe they will pay in full after January 23 but before January 29? Thank you for any comments.
GeraldT4
Posts: 1,022
Posted:
TamaraG1 - First do you mean $48,000 assessment per owner or a total of $48,000 assessment or $1,200 per owner.

California Davis Sterling Act http://www.davis-stirling.com/ provides as follows:

1) Boards are allowed to special assess the membership up to 5% of the current year's budgeted gross expenses without membership approval regardless of any limitations that might be found in the governing documents.

2) Membership Approval. Special assessments over 5% require the approval of a majority of a quorum of owners. Civil Code §1366(b)

3) Quorum Defined. For purposes of a special assessment, the statute defines "quorum" to mean more than 50 percent of the owners of an association. The governing documents of an association cannot increase or decrease the approval requirements for membership approval. Any such changes are voided by Civil Code §1366(b)

4) Emergency Assessments. Boards may special assess over 5% without membership approval for qualifying emergencies.

5) Associations must provide members with notice by first-class mail of any increase in the regular or special assessments, not less than 30 nor more than 60 days prior to the increased assessment becoming due. Civil Code §1366(d)

6) A "member in good standing" is sometimes defined in the bylaws or the CC&Rs but frequently is not. It is generally understood to mean members who are current in the payment of their assessments and who are not in violation of the governing documents.

7) Members can be deemed "not in good standing" and have their voting rights and privileges suspended, provided due process is followed.

My questions pertain to due process - 1) Was the assessment imposed less than 5% of that year's budget? 2) was no less than 30 days nor more than 60 days notice provided of the assessment becoming due?

In answer to your question, see 7) above - because the owner(s) that fail to pay the assessment would be disqualified providing due process was followed. Additionally if any owner fails to pay prior to a meeting that requires their vote and their rights have been officially suspended with written notification than they are out of luck.

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