Full Text of SB0764 94th General Assembly
SB0764enr 94TH GENERAL ASSEMBLY
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| AN ACT concerning property.
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| Be it enacted by the People of the State of Illinois,
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| represented in the General Assembly:
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| Section 5. The Condominium Property Act is amended by | 5 |
| changing Sections 9.2, 18.4, and 18.5 as follows:
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| (765 ILCS 605/9.2) (from Ch. 30, par. 309.2)
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| Sec. 9.2. Other remedies.
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| (a) In the event of any default by any unit owner,
his | 9 |
| tenant, invitee or guest in the performance of his obligations | 10 |
| under this
Act or under the declaration, bylaws, or the rules | 11 |
| and regulations of the board
of managers, the board of managers | 12 |
| or its agents shall have such rights and
remedies as provided | 13 |
| in the Act or condominium instruments including the right
to | 14 |
| maintain an action for possession against such defaulting unit | 15 |
| owner or his
tenant for the benefit of all the other unit | 16 |
| owners in the manner prescribed by
Article IX of the Code of | 17 |
| Civil Procedure.
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| (b) Any attorneys' fees incurred by the Association arising | 19 |
| out of a
default by any unit owner, his tenant, invitee or | 20 |
| guest in the performance of
any of the provisions of the | 21 |
| condominium instruments, rules and regulations or
any | 22 |
| applicable statute or ordinance shall be added to, and deemed a | 23 |
| part of,
his respective share of the common expense.
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| (c) Other than attorney's fees, no fees pertaining to the | 25 |
| collection of a unit owner's financial obligation to the | 26 |
| Association, including fees charged by a manager or managing | 27 |
| agent, shall be added to and deemed a part of an owner's | 28 |
| respective share of the common expenses unless: (i) the | 29 |
| managing agent fees relate to the costs to collect common | 30 |
| expenses for the Association; (ii) the fees are set forth in a | 31 |
| contract between the managing agent and the Association; and | 32 |
| (iii) the authority to add the management fees to an owner's |
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| respective share of the common expenses is specifically stated | 2 |
| in the declaration or bylaws of the Association.
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| (Source: P.A. 88-417.)
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| (765 ILCS 605/18.4) (from Ch. 30, par. 318.4)
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| Sec. 18.4. Powers and Duties of Board of Managers. The | 6 |
| board of
managers shall exercise for the association all | 7 |
| powers, duties and
authority vested in the association by law | 8 |
| or the condominium instruments
except for such powers, duties | 9 |
| and authority reserved by law to the members
of the | 10 |
| association. The powers and duties of the board of managers | 11 |
| shall
include, but shall not be limited to, the following:
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| (a) To provide for the operation, care, upkeep, | 13 |
| maintenance,
replacement and improvement of the common | 14 |
| elements. Nothing
in
this subsection (a) shall be deemed to | 15 |
| invalidate any provision in a
condominium instrument | 16 |
| placing limits on expenditures for the common elements, | 17 |
| provided, that such
limits shall not be applicable to | 18 |
| expenditures for repair, replacement, or
restoration of | 19 |
| existing portions of the common elements. The
term "repair, | 20 |
| replacement or restoration" means expenditures to | 21 |
| deteriorated or
damaged portions of the property related to | 22 |
| the existing decorating,
facilities, or structural or | 23 |
| mechanical components, interior or exterior
surfaces, or | 24 |
| energy systems and equipment with the functional | 25 |
| equivalent of the
original portions of such areas. | 26 |
| Replacement of the common elements may
result in an | 27 |
| improvement over the original quality of such elements or
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| facilities; provided that, unless the improvement is | 29 |
| mandated by law or is an
emergency as defined in item (iv) | 30 |
| of subparagraph (8) of paragraph (a) of
Section 18, if the | 31 |
| improvement results in a proposed expenditure
exceeding 5% | 32 |
| of the annual budget, the board of managers, upon written | 33 |
| petition
by unit owners with 20% of the votes of the | 34 |
| association delivered to the board
within 14 days of the | 35 |
| board action to approve the expenditure, shall call a
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| meeting of the unit owners within 30 days of the date of | 2 |
| delivery of the
petition to consider the expenditure. | 3 |
| Unless a majority of the total votes of
the unit owners are | 4 |
| cast at the meeting to reject the expenditure, it is
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| ratified.
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| (b) To prepare, adopt and distribute the annual budget | 7 |
| for the property.
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| (c) To levy and expend assessments.
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| (d) To collect assessments from unit
owners.
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| (e) To provide for the employment and dismissal of the | 11 |
| personnel
necessary or advisable for the maintenance and | 12 |
| operation of the common
elements.
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| (f) To obtain adequate and appropriate kinds of
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| insurance.
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| (g) To own, convey, encumber, lease, and otherwise deal | 16 |
| with units
conveyed to or purchased by it.
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| (h) To adopt and amend rules and regulations covering | 18 |
| the details of
the operation and use of the property, after | 19 |
| a meeting of the unit owners
called for the specific | 20 |
| purpose of discussing the proposed rules and
regulations. | 21 |
| Notice of the meeting shall contain the full text of the
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| proposed rules and regulations, and the meeting shall | 23 |
| conform to the
requirements of Section 18(b) of this Act, | 24 |
| except that no quorum is
required at the meeting of the | 25 |
| unit owners unless the declaration, bylaws
or other | 26 |
| condominium instrument expressly provides to the contrary.
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| However, no rule or regulation may impair any rights | 28 |
| guaranteed by the
First Amendment to the Constitution of | 29 |
| the United States or Section 4 of
Article I of the Illinois | 30 |
| Constitution, nor may any rules or regulations
conflict | 31 |
| with the provisions of this Act or the condominium | 32 |
| instruments.
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| (i) To keep detailed, accurate records of the receipts | 34 |
| and
expenditures affecting the use and operation of the | 35 |
| property.
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| (j) To have access to each unit from time to time as |
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| may be necessary
for the maintenance, repair or replacement | 2 |
| of any common elements or for
making emergency repairs | 3 |
| necessary to prevent damage to the common elements
or to | 4 |
| other units.
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| (k) To pay real property taxes, special assessments, | 6 |
| and any other
special taxes or charges of the State of | 7 |
| Illinois or of any political
subdivision thereof, or other | 8 |
| lawful taxing or assessing body, which are
authorized by | 9 |
| law to be assessed and levied upon the real property of the
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| condominium.
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| (l) To impose charges for late payment of a unit | 12 |
| owner's proportionate
share of the common expenses, or any | 13 |
| other expenses lawfully agreed upon,
and after notice and | 14 |
| an opportunity to be heard, to levy reasonable fines
for | 15 |
| violation of the declaration, by-laws, and rules and | 16 |
| regulations of
the association.
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| (m) Unless the condominium instruments expressly | 18 |
| provide to the
contrary, by a majority vote of the entire | 19 |
| board of managers, to assign the
right of the association | 20 |
| to future income from common expenses or other
sources, and | 21 |
| to mortgage or pledge substantially all of the remaining
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| assets of the association.
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| (n) To record the dedication of a portion of the common | 24 |
| elements
to a public body for use as, or in connection | 25 |
| with, a street or utility
where authorized by the unit | 26 |
| owners under the provisions of Section 14.2.
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| (o) To record the granting of an easement for the | 28 |
| laying of cable
television cable where authorized by the | 29 |
| unit owners under the provisions
of Section 14.3; to | 30 |
| obtain, if available and determined by the board to be in
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| the best interests of the association, cable television
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| service for all of the units of the condominium on a bulk
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| identical service and equal cost per unit basis; and to | 34 |
| assess and recover the
expense as a common expense and, if | 35 |
| so determined by the board, to assess each
and every unit | 36 |
| on the same equal cost per unit basis.
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| (p) To seek relief on behalf of all unit owners when | 2 |
| authorized
pursuant to subsection (c) of Section 10 from or | 3 |
| in connection with the
assessment or levying of real | 4 |
| property taxes, special assessments, and any
other special | 5 |
| taxes or changes of the State of Illinois or of any | 6 |
| political
subdivision thereof or of any lawful taxing or | 7 |
| assessing body.
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| (q) To reasonably accommodate the needs of a | 9 |
| handicapped unit owner
as required by the federal Civil | 10 |
| Rights Act of 1968, the Human Rights Act
and any applicable | 11 |
| local ordinances in the exercise of its powers with
respect | 12 |
| to the use of common elements or approval of modifications | 13 |
| in an
individual unit.
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| (r) To accept service of a notice of claim for purposes | 15 |
| of the Mechanics Lien Act on behalf of each respective | 16 |
| member of the Unit Owners' Association with respect to | 17 |
| improvements performed pursuant to any contract entered | 18 |
| into by the Board of Managers or any contract entered into | 19 |
| prior to the recording of the condominium declaration | 20 |
| pursuant to this Act, for a property containing more than 8 | 21 |
| units, and to distribute the notice to the unit owners | 22 |
| within 7 days of the acceptance of the service by the Board | 23 |
| of Managers. The service shall be effective as if each | 24 |
| individual unit owner had been served individually with | 25 |
| notice.
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| In the performance of their duties, the officers and | 27 |
| members of the board,
whether appointed by the developer or | 28 |
| elected by the unit owners, shall
exercise the care required of | 29 |
| a fiduciary of the unit owners.
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| The collection of assessments from unit owners by an | 31 |
| association, board
of managers or their duly authorized agents | 32 |
| shall not be considered acts
constituting a collection agency | 33 |
| for purposes of the Collection Agency Act.
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| The provisions of this Section are
applicable to all | 35 |
| condominium instruments recorded under this Act. Any
portion of | 36 |
| a condominium instrument which contains provisions contrary to
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| these provisions shall be void as against public policy and | 2 |
| ineffective.
Any such instrument that fails to contain the | 3 |
| provisions required by this
Section shall be deemed to | 4 |
| incorporate such provisions by operation of law.
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| (Source: P.A. 91-195, eff. 7-20-99.)
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| (765 ILCS 605/18.5) (from Ch. 30, par. 318.5)
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| Sec. 18.5. Master Associations.
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| (a) If the declaration, other condominium instrument, or | 9 |
| other duly
recorded covenants provide that any of the powers of | 10 |
| the unit owners
associations are to be exercised by or may be | 11 |
| delegated to a nonprofit
corporation or unincorporated | 12 |
| association that exercises
those or other powers on behalf of | 13 |
| one or more condominiums, or for the
benefit of the unit owners | 14 |
| of one or more condominiums, such
corporation or association | 15 |
| shall be a master association.
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| (b) There shall be included in the declaration, other
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| condominium instruments, or other duly recorded covenants | 18 |
| establishing
the powers and duties of the master association | 19 |
| the provisions set forth in
subsections (c) through (h).
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| In interpreting subsections (c) through (h), the courts | 21 |
| should
interpret these provisions so that they are interpreted | 22 |
| consistently with
the similar parallel provisions found in | 23 |
| other parts of this Act.
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| (c) Meetings and finances.
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| (1) Each unit owner of a condominium subject to the | 26 |
| authority of
the board of the master association shall | 27 |
| receive, at least 30 days prior
to the adoption thereof by | 28 |
| the board of the master association, a copy of
the proposed | 29 |
| annual budget.
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| (2) The board of the master association shall annually | 31 |
| supply to
all unit owners of condominiums subject to the | 32 |
| authority of the board
of the master association an | 33 |
| itemized accounting of the common
expenses for the | 34 |
| preceding year actually incurred or paid, together with a
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| tabulation of the amounts collected pursuant to the budget |
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| or assessment,
and showing the net excess or deficit of | 2 |
| income over expenditures plus
reserves.
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| (3) Each unit owner of a condominium subject to the | 4 |
| authority of
the board of the master association shall | 5 |
| receive written notice mailed
or delivered no less than 10 | 6 |
| and no more than 30 days prior to any meeting
of the board | 7 |
| of the master association concerning the adoption of the | 8 |
| proposed
annual budget or any increase in the budget, or | 9 |
| establishment of an
assessment.
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| (4) Meetings of the board of the master association | 11 |
| shall be open
to any unit owner in a condominium subject to | 12 |
| the authority of the board
of the master association, | 13 |
| except for the portion of any meeting held:
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| (A) to discuss litigation when an action against or | 15 |
| on behalf of the
particular master association has been | 16 |
| filed and is pending in a court or
administrative | 17 |
| tribunal, or when the board of the master association | 18 |
| finds
that such an action is probable or imminent,
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| (B) to consider information regarding appointment, | 20 |
| employment or
dismissal of an employee, or
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| (C) to discuss violations of rules and regulations | 22 |
| of the master
association or unpaid common expenses | 23 |
| owed to the master association.
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| Any vote on these matters shall be taken at a meeting or | 25 |
| portion thereof
open to any unit owner of a condominium | 26 |
| subject to the authority of the
master association.
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| Any unit owner may record the proceedings at meetings | 28 |
| required
to be open by this Act by tape, film or other | 29 |
| means; the board may
prescribe reasonable rules and | 30 |
| regulations to govern the right to make such
recordings. | 31 |
| Notice of meetings shall be mailed or delivered at least 48
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| hours prior thereto, unless a written waiver of such notice | 33 |
| is signed by
the persons entitled to notice before the | 34 |
| meeting is convened. Copies of
notices of meetings of the | 35 |
| board of the master association shall be posted
in | 36 |
| entranceways, elevators, or other conspicuous places in |
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| the condominium
at least 48 hours prior to the meeting of | 2 |
| the board of the master
association. Where there is no | 3 |
| common entranceway for 7 or more units, the
board of the | 4 |
| master association may designate one or more locations in | 5 |
| the
proximity of these units where the notices of meetings | 6 |
| shall be posted.
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| (5) If the declaration provides for election by unit | 8 |
| owners of members
of the board of directors in the event of | 9 |
| a resale of a unit in the master
association, the purchaser | 10 |
| of a unit from a seller other than the developer
pursuant | 11 |
| to an installment contract for purchase shall, during such
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| times as he or she resides in the unit, be counted toward a | 13 |
| quorum for
purposes of election of members of the board of | 14 |
| directors at any
meeting of the unit owners called for | 15 |
| purposes of electing members of the
board, and shall have | 16 |
| the right to vote for the election of members of
the board | 17 |
| of directors and to be elected to and serve on the board of
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| directors unless the seller expressly retains in writing
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| any or all of those rights. In no event may the seller and
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| purchaser both be counted toward a quorum, be permitted to | 21 |
| vote for a
particular office, or be elected and serve on | 22 |
| the board. Satisfactory
evidence of the installment | 23 |
| contract shall be made available to the
association or its | 24 |
| agents. For purposes of this subsection, "installment
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| contract" shall have the same meaning as set forth in | 26 |
| subsection (e) of
Section 1 of the Dwelling Unit | 27 |
| Installment Contract Act.
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| (6) The board of the master association shall have the | 29 |
| authority to
establish and maintain a system of master | 30 |
| metering of public utility
services and to collect payments | 31 |
| in connection therewith, subject to the
requirements of the | 32 |
| Tenant Utility Payment Disclosure Act.
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| (7) The board of the master association or a common | 34 |
| interest community
association shall have the power, after | 35 |
| notice and an opportunity to be heard,
to levy and collect | 36 |
| reasonable fines from members for violations of the
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| declaration, bylaws, and rules and regulations of the | 2 |
| master association or
the common interest community | 3 |
| association. Nothing contained in this
subdivision (7) | 4 |
| shall give rise to a statutory lien for unpaid fines.
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| (8) Other than attorney's fees, no fees pertaining to | 6 |
| the collection of a unit owner's financial obligation to | 7 |
| the Association, including fees charged by a manager or | 8 |
| managing agent, shall be added to and deemed a part of an | 9 |
| owner's respective share of the common expenses unless: (i) | 10 |
| the managing agent fees relate to the costs to collect | 11 |
| common expenses for the Association; (ii) the fees are set | 12 |
| forth in a contract between the managing agent and the | 13 |
| Association; and (iii) the authority to add the management | 14 |
| fees to an owner's respective share of the common expenses | 15 |
| is specifically stated in the declaration or bylaws of the | 16 |
| Association. | 17 |
| (d) Records.
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| (1) The board of the master association shall maintain | 19 |
| the following
records of the association and make them | 20 |
| available for examination and
copying at convenient hours | 21 |
| of weekdays by any unit owners in a condominium
subject to | 22 |
| the authority of the board or their mortgagees and their | 23 |
| duly
authorized agents or attorneys:
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| (i) Copies of the recorded declaration, other | 25 |
| condominium instruments,
other duly recorded covenants | 26 |
| and bylaws and any amendments, articles of
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| incorporation of the master association, annual | 28 |
| reports and any rules and
regulations adopted by the | 29 |
| master association or its board shall
be available. | 30 |
| Prior to the organization of the master association, | 31 |
| the
developer shall maintain and make available the | 32 |
| records set forth in this
subdivision (d)(1) for | 33 |
| examination and copying.
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| (ii) Detailed and accurate records in | 35 |
| chronological order of the
receipts and expenditures | 36 |
| affecting the common areas, specifying and
itemizing |
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| the maintenance and repair expenses of the common areas | 2 |
| and any
other expenses incurred, and copies of all | 3 |
| contracts, leases, or other
agreements entered into by | 4 |
| the master association, shall be maintained.
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| (iii) The minutes of all meetings of the master | 6 |
| association and the
board of the master association | 7 |
| shall be maintained for not less than 7 years.
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| (iv) Ballots and proxies related thereto, if any, | 9 |
| for any election
held for the board of the master | 10 |
| association and for any other matters
voted on by the | 11 |
| unit owners shall be maintained for
not less than one | 12 |
| year.
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| (v) Such other records of the master association as | 14 |
| are available
for inspection by members of a | 15 |
| not-for-profit corporation pursuant to
Section 107.75 | 16 |
| of the General Not For Profit Corporation Act of 1986 | 17 |
| shall
be maintained.
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| (vi) With respect to units owned by a land trust, | 19 |
| if a trustee
designates in writing a person to cast | 20 |
| votes on behalf of the unit
owner, the designation | 21 |
| shall remain in effect until a subsequent document
is | 22 |
| filed with the association.
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| (2) Where a request for records under this subsection | 24 |
| is made in writing
to the board of managers or its agent, | 25 |
| failure to provide the requested
record or to respond | 26 |
| within 30 days shall be deemed a denial by the board
of | 27 |
| directors.
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| (3) A reasonable fee may be charged by the master | 29 |
| association or its
board for the cost of copying.
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| (4) If the board of directors fails to provide records | 31 |
| properly
requested under subdivision (d)(1) within the
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| time period provided in subdivision (d)(2), the
unit owner | 33 |
| may seek appropriate relief, including an award of
| 34 |
| attorney's fees and costs.
| 35 |
| (e) The board of directors shall have standing and capacity | 36 |
| to act in
a representative capacity in relation to matters |
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| involving the common areas
of the master association or more | 2 |
| than one unit, on behalf of the unit
owners as their interests | 3 |
| may appear.
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| (f) Administration of property prior to election of the | 5 |
| initial board
of directors.
| 6 |
| (1) Until the election, by the unit owners or the | 7 |
| boards of
managers of the underlying condominium | 8 |
| associations, of the initial board
of directors of a master | 9 |
| association whose declaration is recorded on
or after | 10 |
| August 10, 1990, the same rights, titles, powers, | 11 |
| privileges,
trusts, duties and obligations that are vested | 12 |
| in or imposed upon the board
of directors by this Act or in | 13 |
| the declaration or other duly recorded
covenant shall be | 14 |
| held and performed by the developer.
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| (2) The election of the initial board of directors of a | 16 |
| master
association whose declaration is recorded on or | 17 |
| after August 10, 1990, by
the unit owners or the boards of | 18 |
| managers of the underlying condominium
associations, shall | 19 |
| be held not later than 60 days after the conveyance by
the | 20 |
| developer of 75% of the units, or 3 years after the | 21 |
| recording of the
declaration, whichever is earlier. The | 22 |
| developer shall give at least 21
days notice of the meeting | 23 |
| to elect the initial board of directors and
shall upon | 24 |
| request provide to any unit owner, within 3 working days of | 25 |
| the
request, the names, addresses, and weighted vote of | 26 |
| each unit owner entitled to vote at the
meeting. Any unit | 27 |
| owner shall upon receipt of the request be provided with
| 28 |
| the same
information, within 10 days of the request, with | 29 |
| respect to
each
subsequent meeting to elect members of the | 30 |
| board of directors.
| 31 |
| (3) If the initial board of directors of a master | 32 |
| association
whose declaration is recorded on or after | 33 |
| August 10, 1990 is not elected by
the unit owners or the | 34 |
| members of the underlying condominium association
board of | 35 |
| managers at the time established in subdivision (f)(2), the
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| developer shall continue in office for a period of 30 days, |
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| whereupon
written notice of his resignation shall be sent | 2 |
| to all of the unit owners
or members of the underlying | 3 |
| condominium board of managers entitled to vote
at an | 4 |
| election for members of the board of directors.
| 5 |
| (4) Within 60 days following the election of a majority | 6 |
| of the board
of directors, other than the developer, by | 7 |
| unit owners, the developer shall
deliver to the board of | 8 |
| directors:
| 9 |
| (i) All original documents as recorded or filed | 10 |
| pertaining to the
property, its administration, and | 11 |
| the association, such as the declaration,
articles of | 12 |
| incorporation, other instruments, annual reports, | 13 |
| minutes,
rules and regulations, and contracts, leases, | 14 |
| or other
agreements entered into by the association. If | 15 |
| any original documents are
unavailable, a copy may be | 16 |
| provided if certified by affidavit of the
developer, or | 17 |
| an officer or agent of the developer, as being a | 18 |
| complete
copy of the actual document recorded or filed.
| 19 |
| (ii) A detailed accounting by the developer, | 20 |
| setting forth the
source and nature of receipts and | 21 |
| expenditures in connection with the
management, | 22 |
| maintenance and operation of the property, copies
of | 23 |
| all insurance policies, and a list of any loans or | 24 |
| advances to the
association which are outstanding.
| 25 |
| (iii) Association funds, which shall have been at | 26 |
| all times
segregated from any other moneys of the | 27 |
| developer.
| 28 |
| (iv) A schedule of all real or personal property, | 29 |
| equipment and
fixtures belonging to the association, | 30 |
| including documents transferring the
property, | 31 |
| warranties, if any, for all real and personal property | 32 |
| and
equipment, deeds, title insurance policies, and | 33 |
| all tax bills.
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| (v) A list of all litigation, administrative | 35 |
| action and arbitrations
involving the association, any | 36 |
| notices of governmental bodies involving
actions taken |
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| or which may be taken concerning the association, | 2 |
| engineering and
architectural drawings and | 3 |
| specifications as approved by any governmental
| 4 |
| authority, all other documents filed with any other | 5 |
| governmental authority,
all governmental certificates, | 6 |
| correspondence involving enforcement of any
| 7 |
| association requirements, copies of any documents | 8 |
| relating to disputes
involving unit owners, and | 9 |
| originals of all documents relating to
everything | 10 |
| listed in this subparagraph.
| 11 |
| (vi) If the developer fails to fully comply with | 12 |
| this paragraph (4)
within
the 60 days
provided and | 13 |
| fails to fully comply within 10 days of written demand | 14 |
| mailed by
registered
or certified mail to his or her | 15 |
| last known address, the board may bring an
action to
| 16 |
| compel compliance with this paragraph (4).
If the court | 17 |
| finds that any of the
required
deliveries were not made | 18 |
| within the required period, the board shall be
entitled | 19 |
| to recover
its reasonable attorneys' fees and costs | 20 |
| incurred from and after the date of
expiration of
the | 21 |
| 10 day demand.
| 22 |
| (5) With respect to any master association whose | 23 |
| declaration is
recorded on or after August 10, 1990, any | 24 |
| contract, lease, or other
agreement made prior to the | 25 |
| election of a majority of the board of
directors other than | 26 |
| the developer by or on behalf of unit owners or
underlying | 27 |
| condominium associations, the association or the board of
| 28 |
| directors, which extends for a period of more than 2 years | 29 |
| from the
recording of the declaration, shall be subject to | 30 |
| cancellation by more than
1/2 of the votes of the unit | 31 |
| owners, other than the developer, cast at a
special meeting | 32 |
| of members called for that purpose during a period of 90
| 33 |
| days prior to the expiration of the 2 year period if the | 34 |
| board of managers
is elected by the unit owners, otherwise | 35 |
| by more than 1/2 of the underlying
condominium board of | 36 |
| managers. At least 60 days prior to the expiration of
the 2 |
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| year period, the board of directors, or, if the board is | 2 |
| still under
developer control, then the board of managers | 3 |
| or the developer shall send
notice to every unit owner or | 4 |
| underlying condominium board of managers,
notifying them | 5 |
| of this provision, of what contracts, leases and other
| 6 |
| agreements are affected, and of the procedure for calling a | 7 |
| meeting of the
unit owners or for action by the underlying | 8 |
| condominium board of managers
for the purpose of acting to | 9 |
| terminate such contracts, leases or other
agreements. | 10 |
| During the 90 day period the other party to the contract,
| 11 |
| lease, or other agreement shall also have the right of | 12 |
| cancellation.
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| (6) The statute of limitations for any actions in law | 14 |
| or equity which
the master association may bring shall not | 15 |
| begin to run until the unit
owners or underlying | 16 |
| condominium board of managers have elected a majority
of | 17 |
| the members of the board of directors.
| 18 |
| (g) In the event of any resale of a unit in a master | 19 |
| association by a unit
owner other than the developer, the owner | 20 |
| shall obtain from
the board of directors and shall make | 21 |
| available for inspection to the
prospective purchaser, upon | 22 |
| demand, the following:
| 23 |
| (1) A copy of the declaration, other instruments and | 24 |
| any rules and
regulations.
| 25 |
| (2) A statement of any liens, including a statement of | 26 |
| the account of
the unit setting forth the amounts of unpaid | 27 |
| assessments and other charges
due and owing.
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| (3) A statement of any capital expenditures | 29 |
| anticipated by the
association within the current or | 30 |
| succeeding 2 fiscal years.
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| (4) A statement of the status and amount of any reserve | 32 |
| for
replacement fund and any portion of such fund earmarked | 33 |
| for any specified
project by the board of directors.
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| (5) A copy of the statement of financial condition of | 35 |
| the association
for the last fiscal year for which such a | 36 |
| statement is available.
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| (6) A statement of the status of any pending suits or | 2 |
| judgments in which
the association is a party.
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| (7) A statement setting forth what insurance coverage | 4 |
| is provided for
all unit owners by the association.
| 5 |
| (8) A statement that any improvements or alterations | 6 |
| made to the unit,
or any part of the common areas assigned | 7 |
| thereto, by the prior unit owner
are in good faith believed | 8 |
| to be in compliance with the declaration of the
master | 9 |
| association.
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| The principal officer of the unit owner's association or | 11 |
| such
other officer as is specifically designated shall furnish | 12 |
| the above
information when requested to do so in writing, | 13 |
| within
30 days of receiving the request.
| 14 |
| A reasonable fee covering the direct out-of-pocket cost of | 15 |
| copying
and providing such information may be charged
by the | 16 |
| association or its board of directors to the unit
seller for | 17 |
| providing the information.
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| (h) Errors and omissions.
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| (1) If there is an omission or error in the declaration | 20 |
| or other
instrument of the master association, the master | 21 |
| association may correct
the error or omission by an | 22 |
| amendment to the declaration or other
instrument, as may be | 23 |
| required to conform it to this Act, to any other
applicable | 24 |
| statute, or to the declaration. The amendment shall be | 25 |
| adopted
by vote of two-thirds of the members of the board | 26 |
| of directors or by a
majority vote of the unit owners at a | 27 |
| meeting called for that purpose,
unless the Act or the | 28 |
| declaration of the master association specifically
| 29 |
| provides for greater percentages or different procedures.
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| (2) If, through a scrivener's error, a unit has not | 31 |
| been
designated as owning an appropriate undivided share of | 32 |
| the common areas
or does not bear an appropriate share of | 33 |
| the common expenses, or if
all of the common expenses or | 34 |
| all of the common elements in
the condominium have not been | 35 |
| distributed in the declaration, so that the
sum total of | 36 |
| the shares of common areas which have been distributed or |
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| the
sum total of the shares of the common expenses fail to | 2 |
| equal 100%, or if it
appears that more than 100% of the | 3 |
| common elements or common expenses have
been distributed, | 4 |
| the error may be corrected by operation of law by filing
an | 5 |
| amendment to the declaration, approved by vote of | 6 |
| two-thirds of the
members of the board of directors or a | 7 |
| majority vote of the unit owners at
a meeting called for | 8 |
| that purpose, which proportionately
adjusts all percentage | 9 |
| interests so that the total is equal to 100%,
unless the | 10 |
| declaration specifically provides for a different | 11 |
| procedure or
different percentage vote by the owners of the | 12 |
| units and the owners of
mortgages thereon affected by | 13 |
| modification being made in the undivided
interest in the | 14 |
| common areas, the number of votes in the unit owners
| 15 |
| association or the liability for common expenses | 16 |
| appertaining to the unit.
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| (3) If an omission or error or a scrivener's error in | 18 |
| the
declaration or other instrument is corrected by vote of | 19 |
| two-thirds of
the members of the board of directors | 20 |
| pursuant to the authority established
in subdivisions | 21 |
| (h)(1) or (h)(2) of this Section, the board, upon
written | 22 |
| petition by unit owners with 20% of the votes of the | 23 |
| association or
resolutions adopted by the board of managers | 24 |
| or board of directors of the
condominium and common | 25 |
| interest community associations which select 20% of
the | 26 |
| members of the board of directors of the master | 27 |
| association, whichever
is applicable, received within 30 | 28 |
| days of the board action, shall call a
meeting of the unit | 29 |
| owners or the boards of the condominium and common
interest | 30 |
| community associations which select members of the board of
| 31 |
| directors of the master association within 30 days of the | 32 |
| filing of the
petition or receipt of the condominium and | 33 |
| common interest community
association resolution to | 34 |
| consider the board action. Unless a majority of
the votes | 35 |
| of the unit owners of the association are cast at the | 36 |
| meeting to
reject the action, or board of managers or board |
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| of directors of
condominium and common interest community | 2 |
| associations which select over
50% of the members of the | 3 |
| board of the master association adopt resolutions
prior to | 4 |
| the meeting rejecting the action of the board of directors | 5 |
| of the
master association, it is ratified whether or not a | 6 |
| quorum is present.
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| (4) The procedures for amendments set forth in this | 8 |
| subsection (h)
cannot be used if such an amendment would | 9 |
| materially or adversely affect
property rights of the unit | 10 |
| owners unless the affected unit owners consent
in writing. | 11 |
| This Section does not restrict the powers of the | 12 |
| association
to otherwise amend the declaration, bylaws, or | 13 |
| other condominium
instruments, but authorizes a simple | 14 |
| process of amendment requiring a
lesser vote for the | 15 |
| purpose of correcting defects, errors, or omissions
when | 16 |
| the property rights of the unit owners are not materially | 17 |
| or adversely
affected.
| 18 |
| (5) If there is an omission or error in the declaration | 19 |
| or other
instruments that may not be corrected by an | 20 |
| amendment procedure
set forth in subdivision (h)(1) or | 21 |
| (h)(2) of this Section, then
the circuit court in the | 22 |
| county in which the master
association is located shall | 23 |
| have jurisdiction to hear a petition of one or
more of the | 24 |
| unit owners thereon or of the association, to correct the | 25 |
| error
or omission, and the action may be a class action. | 26 |
| The court may require
that one or more methods of | 27 |
| correcting the error or omission be submitted
to the unit | 28 |
| owners to determine the most acceptable correction. All | 29 |
| unit
owners in the association must be joined as parties to | 30 |
| the action. Service
of process on owners may be by | 31 |
| publication, but the plaintiff shall furnish
all unit | 32 |
| owners not personally served with process with copies of | 33 |
| the
petition and final judgment of the court by certified | 34 |
| mail, return receipt
requested, at their last known | 35 |
| address.
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| (6) Nothing contained in this Section shall be |
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| construed to invalidate
any provision of a declaration | 2 |
| authorizing the developer to amend
an instrument prior to | 3 |
| the latest date on which the initial
membership meeting of | 4 |
| the unit owners must be held, whether or not it has
| 5 |
| actually been held, to bring the instrument into compliance | 6 |
| with the legal
requirements of the Federal National | 7 |
| Mortgage Association, the Federal Home
Loan Mortgage | 8 |
| Corporation, the Federal Housing Administration, the | 9 |
| United
States Veterans Administration or their respective | 10 |
| successors and assigns.
| 11 |
| (i) The provisions of subsections (c) through (h) are | 12 |
| applicable
to all declarations, other condominium instruments, | 13 |
| and other
duly recorded covenants establishing the powers and | 14 |
| duties of the master
association recorded under this Act. Any | 15 |
| portion of a declaration,
other condominium instrument, or | 16 |
| other duly recorded covenant establishing
the powers and duties | 17 |
| of a master association which contains provisions
contrary to | 18 |
| the provisions of subsection (c) through (h) shall be void as
| 19 |
| against public policy and ineffective. Any declaration, other | 20 |
| condominium
instrument, or other duly recorded covenant | 21 |
| establishing the powers and
duties of the master association | 22 |
| which fails to contain the provisions
required by subsections | 23 |
| (c) through (h) shall be deemed to incorporate such
provisions | 24 |
| by operation of law.
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| (j) The provisions of subsections (c) through (h) are | 26 |
| applicable to
all common interest community associations and | 27 |
| their unit owners for common
interest community associations | 28 |
| which are subject to the provisions of Section
9-102(a)(8) of | 29 |
| the Code of Civil Procedure. For purposes of this
subsection, | 30 |
| the terms "common interest community" and "unit owners"
shall | 31 |
| have the same meaning as set forth in Section 9-102(c) of the | 32 |
| Code of
Civil Procedure.
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| (Source: P.A. 90-229, eff. 7-25-97; 91-616, eff. 8-19-99.)
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