On March 2, 2025, the United States Department of Treasury issued the following press release:
“The Treasury Department is announcing today that, with respect to the Corporate Transparency Act, not only will it not enforce any penalties or fines associated with the beneficial ownership information reporting rule under the existing regulatory deadlines, but it will further not enforce any penalties or fines against U.S. citizens or domestic reporting companies or their beneficial owners after the forthcoming rule changes take effect either. The Treasury Department will further be issuing a proposed rulemaking that will narrow the scope of the rule to foreign reporting companies only. Treasury takes this step in the interest of supporting hard-working American taxpayers and small businesses and ensuring that the rule is appropriately tailored to advance the public interest.”
As a reminder, this is the law that requires condominium and homeowners’ associations, along with all other domestic corporations, to file a “BOI” (beneficial ownership information form) with the federal government. The intent of the law is to detect terrorism related money laundering operations.
The deadline for compliance was originally set for January 1, 2025, was extended to July 1, 2025, for associations in various hurricane-impacted communities, and extended for other associations due to the plethora of litigation that has been filed challenging the law.
Unless things change again, and they well may, it appears that the statute, while still on the books, is not going to be enforced by the government.
Q: If our condominium documents are silent on the cost of bulk television service, can we opt out of paying for it, or is it a legitimate common expense shared by all? If so, how can the association fairly distribute the cost among owners who will not be using the cable television service? (R.D., via e-mail)
A: Section 718.115(1)(d) of the Florida Condominium Act states that the cost of “communication” services through a bulk contract is a common expense if specified in the declaration of condominium.
If the declaration does not so specify, the statute states that board can enter into a contract, and the cost of the service will be a common expense, though the cost will be allocated on a per-unit basis rather than a percentage basis if the declaration provides for unequal sharing of common or operating expenses. The contract must be for at least two years.
The law further provides that contracts made by the board under the authority granted by the statute can be cancelled by a majority of the voting interests present at the next regularly or special meeting of the association. A member can make a motion to cancel the contract, but if no motion is made or the motion fails to obtain the required majority at the next regular or special meeting, the contract will be deemed ratified for the term specified.
Bulk communication contracts must include or will be deemed to include a provision that allows hearing-impaired or legally blind owners who do not occupy the unit with a non-hearing impaired or sighted person, or owners receiving certain public benefits to discontinue the service without incurring disconnect fees, penalties, or subsequent service charges. There is no provision in the statute for others to “opt out.”
Q: Could you explain how the condominium law defines “airspace” and whether unit owners own the airspace their units occupy or if it belongs to the condominium association? (J.D., via e-mail)
A: The term “land” encompasses the surface of a legally described parcel of real property, including the air space above and the subterranean space below.
The “condominium property” is the land and improvements thereon subjected to condominium ownership. The “unit” is the portion of the condominium property subjected to individual ownership, as described in the declaration of condominium. In many cases, that is a “box of air” and the improvements within that “box.”
All condominium property not included in the units is “common elements,” which is owned by the unit owners in undivided shares, as tenants in common. The association does not own common elements, the owners do.
The unit plus its “appurtenances” are what is called the “condominium parcel,” which is actually what is bought and sold. The unit’s appurtenances include the undivided share of ownership of the common elements and an exclusive easement for the airspace occupied by the unit. So, in most cases, the unit owner owns the air space occupied by their unit.
Joe Adams is an attorney with Becker & Poliakoff, P.A., Fort Myers. Send questions to Joe Adams by e-mail to jadams@beckerlawyers.com. Past editions may be viewed at floridacondohoalawblog.com.