Becker & Poliakoff

Community Association

Category: Community Update

Townhome, Condominium, and New Construction Home Issues in Central Florida: Helping Homeowners Navigate the Legal Process

Posted on by Gracie Kaplan-Stein

Purchasing a new townhome, condominium, or single-family home in Central Florida is an exciting milestone, but construction defects can quickly turn that dream into a nightmare. At Becker, our construction attorneys specialize in representing homeowners and homeowners’ associations facing construction defects, offering expert legal guidance and advocacy.

In this article, we will discuss residential construction defects and provide an overview of the steps necessary for seeking remedies or compensation. We will also highlight how our firm can help navigate the legal process, ensuring homeowners’ rights are protected and their investments are secure.

Unraveling Construction Defects
Construction defects can undermine the quality, safety, and value of your new townhome, condo, or single-family home community. These flaws may include structural issues, stucco issues, water intrusion, roof leaks, electrical and HVAC malfunctions, plumbing leaks, irrigation issues, community pool and amenity defects, and more. With our extensive experience in handling construction defect cases, we understand the complexities of these matters and are well-equipped to identify and address the specific defects affecting your community.

Your Trusted Construction Attorneys
When facing construction defects, it is crucial to have a knowledgeable legal team in your corner. At Becker, our dedicated attorneys specialize in construction defect litigation and are equipped with the skills and expertise needed to navigate the intricate legal landscape. We are committed to providing personalized attention, ensuring that your community’s unique circumstances are thoroughly assessed and addressed.

Building a Strong Case
Building a strong case requires comprehensive documentation and a thorough understanding of the legal framework at play. Our attorneys will guide you through the process, meticulously gathering evidence, such as photographs, videos, communication records, contracts, warranties, and inspection reports. By establishing a solid foundation for your claims, we bolster homeowners’ chances of obtaining the compensation they deserve. Always consult with your attorney prior to initiating any repairs, even if temporary, because of the legal implications that can arise.

Navigating Warranty Coverage and Claim Limitations
In Florida, most homeowners benefit from limited warranties provided by builders. Our legal team has an in-depth understanding of these warranties and the applicable statute of limitations and statute of repose. In 2023, the Florida Legislature passed, and Governor DeSantis signed into law SB 360, which reduces the statute of repose from 10 years to 7 years for latent defects and alters which events cause the repose period to begin to run. We will analyze the terms of your warranty, diligently identify any potential breaches, and ensure your claims are filed within the proper timeframe.

Our Streamlined Construction Defect Claims Process Includes:

  1. Comprehensive Consultation
    At Becker, we offer a complimentary initial consultation to assess the viability of your case. Our attorneys will listen to your concerns, review relevant documentation, and provide a clear explanation of your legal options. We strive to establish a trusting and candid attorney-client relationship from first contact.
  2. Fee Structures Tailored for Your Needs
    Becker offers both hourly and contingency fee arrangements depending on our client’s preference. With a contingency fee arrangement, the client pays nothing up-front, and we simply take a percentage of the final recovery. This means that with a contingency fee arrangement, you only pay if we win a recovery in your favor.
  3. Thorough Notice Preparation
    Our skilled attorneys will prepare a detailed and legally sound notice to the builder or developer, highlighting the specific defects and demanding appropriate remedies or compensation. We ensure compliance with contractual and Florida statutory requirements, guaranteeing your rights are protected throughout the process.
  4. Effective Dispute Resolution
    We recognize that lengthy litigation is not always the ideal solution. Our attorneys will explore alternative dispute resolution methods, such as mediation or arbitration, to facilitate a swift and cost-effective resolution. Through strategic negotiation, we aim to reach a favorable outcome that aligns with homeowners’ best interests.
  5. Aggressive Litigation
    If alternative dispute resolution proves unsuccessful, our firm is prepared to vigorously litigate your case. We will meticulously prepare all necessary legal filings, including a compelling Complaint outlining the defects and the damages sought. Our attorneys will navigate the litigation process with precision, ensuring your rights are vigorously defended and your townhome, condo or new construction home defect issues are presented clearly and convincingly to the Court.
  6. Expert Witness Support
    Our network of expert witnesses, including architects, engineers, contractors, and other professionals, is invaluable in strengthening your case. We collaborate with these experts to provide objective evaluations, present professional opinions, and bolster the strength of your construction defect claims.

When construction defects threaten the value and livability of your new townhome, condo or single-family home in Central Florida, you need a trusted legal partner by your side. At Becker, our skilled attorneys specialize in construction defect litigation, offering personalized attention, expert guidance, and aggressive advocacy to protect your rights and secure the compensation you deserve to make your home feel like home.

 

Florida Further Restricts Community Association’s Ability to Bring Design and Construction Defect Lawsuits

Posted on by Gracie Kaplan-Stein

Several laws have been passed during Florida’s recent legislative session, and one in particular will have a significant impact for community associations. On April 13, 2023, Florida Governor Ron DeSantis signed Senate Bill 360 (“SB 360”) into law. This new law shortens the time period for bringing lawsuits based on design and construction defect claims and creates new legal hurdles for multi-building communities.

Shortened Time Periods for Bringing Construction Defect Claims

The time periods for initiating lawsuits based on design and construction defect claims are established by §95.11(3)(c), Florida Statutes. Prior to the passage of SB 360, the time periods laid out in §95.11(3)(c) began to run upon the later of various triggering events. SB 360 has modified those time periods by changing the applicable triggering events and by requiring that the time periods begin running upon the earliest occurrence of any of the new triggering events.

As amended by SB 360, §95.11(3)(c)’s repose and limitation periods are triggered by the earliest of the following events: 1) issuance of a temporary certificate of occupancy, 2) issuance of a certificate of occupancy, 3) issuance of a certificate of completion, or 4) the date of abandonment of construction if not completed. SB 360 does not alter §95.11(3)(c)’s four-year statute of limitations for design and construction defect claims but it does shorten the statute of repose for latent (hidden) construction defects from ten years to seven years.

Unique Issues for Multi-Building Communities

Before the enactment of SB 360, Florida courts tended to apply §95.11(3)(c)’s repose and limitation periods to each community or project as a whole. In other words, the same repose and limitation periods would be applied to every building within a community. Under SB 360, repose and limitation periods must be applied in multi-building communities on a building-by-building basis. This means that the repose and limitation periods for one building in a community can be triggered years prior to those applied to other buildings in the same community.

What SB 360 Means for Community Associations

SB 360 has significantly shortened the time when an owner, including a community association, must take legal action against contractors for latent construction defects. These changes compromise the protections afforded to homeowners, because typically, latent defects, including foundation issues or leaks behind siding and under roofs, are ones that cannot be seen. SB 360 has created challenging obstacles for community association claimants that will, in some cases, eliminate the opportunity to address legitimate defect issues. This is why, more so now than ever, it is important to explore your legal options and consult an attorney as soon as you begin to suspect your community may have construction defect issues.

Client Alert: New Statute Requires Rental Unit Owners to Maintain Liability Insurance

Posted on by Ariel Feldman

Does your community association own rental units? If so, then you need to know about the new law that went into effect in New Jersey on November 3, 2022.

Under the new law (N.J.S.A., 40A:10A-1-2), the owner of a rental unit or units or the owner of a business is required to maintain certain liability insurance. The coverage must be for negligent acts and omissions in a minimum amount of $500,000 for combined property damage and bodily injury to or death of one or more persons in any one accident or occurrence.

The law also requires owners of multi-family homes with four or fewer units, one of which is owner-occupied, to have similar insurance in the minimum amount of $300,000. This portion of the law goes into effect on February 1, 2023.

In addition, owners must annually register a certificate of insurance showing proof of this coverage with the town where the business or rental unit is located. The town may charge a reasonable administrative fee for the certificate, as the law authorizes municipalities to do so by enacting an ordinance. Owners who do not comply with the law can be fined $500-$5,000 by the town.

The law applies to all new policies issued after November 3, 2022. It goes into effect on February 1, 2023, for all policies that were in force on August 5, 2022, that are renewed on or after February 1, 2023.

Please feel free to contact our firm If you have questions about this new law or any other legal issues at your association.

Client Alert: Special Civil Part Jurisdictional Limit Increased to $20K Effective July 1

Posted on by John Eischeid

Board Members and managers should be pleased to know that the New Jersey Court Rules have been updated which will make litigation against delinquent owners easier and less expensive. On May 11, 2022, the New Jersey Supreme Court approved an increase in the jurisdictional limit for the Superior Court of New Jersey, Law Division, Special Civil Part from $15,000 to $20,000, and for Small Claims from $3,000 to $5,000, effective July 1, 2022.

Typically, we prefer to file lawsuits against delinquent owners in the Special Civil Part due to its lower filing fees, expedited discovery and trial date assignments, and quicker judgment executions, such as bank levies and wage garnishments, which are uniquely executed by Special Civil Part officers. Indeed, a suit filed in the Special Civil Part can proceed to a trial date within approximately 4-6 months versus the Law Division which has more expensive filing fees, a longer discovery track, and trial dates scheduled out a year or more, particularly in light of the COVID pandemic.

However, lately with the rise of inflation and usual increases in maintenance fees among community associations, the jurisdictional limit of $15,000 for Special Civil Part cases was easily exceeded when adding up monthly maintenance, special assessments, fines, late fees, attorneys’ fees, and accelerated fees through the end of the fiscal year. More and more cases were required to be filed in the Law Division which adds to the time and expense to achieve a money judgment for outstanding fees. The increase of the jurisdictional limit to $20,000 is a welcomed update to the court rules and will greatly assist community associations in keeping costs down and in obtaining judgments in a quicker and easier manner.

Becker has a team of well-seasoned collection attorneys and litigators that can help your community association maximize recovery of delinquent association assessments. For additional information on this subject, please contact any of our attorneys in the Becker Community Association Practice Group.

What’s Up with All This Traffic? The Impact of Neighboring Development on Community Association Roads

Posted on by Anna Cherubin

Whether you know it or not, the roads traveling through your subdivision are likely easements created for the purpose of providing ingress/egress access to public streets. And whether you know it or not, those easements may also benefit neighboring properties, giving them access through your subdivision to a point of entry on a public road.

Solar Panels & HOAs: Can They Be Restricted?

Posted on by Elizabeth "Beth" A. Lanham-Patrie

While solar panels are often considered unsightly, they are a renewable energy device. For an individual home, they must be permitted by a homeowners association. However, they can be regulated. The relevant statute regarding solar panels is Section 163.04, Florida Statutes, which provides that no ordinances or laws can prohibit “the installation of solar collectors, clotheslines, or other energy devices based on renewable resources.” The Statute is not limited in it

Directors Voting – Dispelling Myths

Posted on by David G. Muller

Every director who sits on the board of a homeowners association gets a voice in the operations of the association.  The questions I receive are more about how that voice is exercised through a vote.  For instance, some directors travel quite a bit, whether for work or play is irrelevant.  The directors however are entitled to notice of the board meetings and can participate by telephone, casting their vote via phone at the time of the meeting.  But what about voting by proxy in an HOA, is that allowed? No, the Homeowners’ Association Act specifically prohibits a director from voting via proxy on matters that come before the board.  Similar prohibitions exist in the Florida Condominium Act and the Florida Cooperative Act, so it is important to keep this in mind.

Special Assessments in Condo

Posted on by Jay Roberts

Special assessments happen.  The unfortunate reality is that during the life of a condominium building some unexpected expenses are going to arise and the association must take steps to fulfill its obligations to the membership.  If the operating budget cannot handle these expenses, and there is not a funded reserve account which can dray the cost, then it is likely that a special assessment will need to be levied.