The Orange County Chapter of the Community Associations Institute (CAI) will be holding a luncheon on January 11, 2011 at the Irvine Mariott, entitled "Professional Behavior Affects Everyone". CAI encourages you to "come hear the leading professionals in our industry discuss ethical and professional issues relevant to our industry. Our panel will address ethics and professionalism beyond the office and into social settings. In addition, the speakers will present the current trends in ethics complaints as well as the legal issues that arise with ethical violations, and provide insight on dealing with difficult ethical situations." SwedelsonGottlieb senior partner Sandra Gottlieb, Esq. will be a speaker at this important program. Follow this link to download the registration flyer.
Mark your calendars, because just around the corner from the holidays is the California Association of Community Managers' (CACM) Southern California Law Seminar on January 21, 2011, from 8 am to 5 pm at the Disneyland Hotel in Anaheim. CACM's annual event is tailored to "community management professionals to have an in-depth understanding of case law and other applicable legal issues, as best practices are driven by the extensive laws associations face." Follow this link for more information and to register for the Southern California Law Seminar. Be sure to say hello to our attorneys, including our senior partner, Sandra Gottlieb, Esq., who will be presenting. Our senior partner, David C. Swedelson, Esq., is also presenting on the top 10 cases impacting community associations.
CACM will also hold a law seminar and trade show in Northern California at the Oakland Marriott City Center from February 3-4, 2011. Follow this link for more information and to register for the Northern California Law Seminar, at which Sandra Gottlieb will also be a panelist.
By Mark Petrie, Legal Assistant at SwedelsonGottlieb
Shakespeare’s Hamlet complains about the “law’s delay” as part of the reason he considers suicide. If he had lived today and tried to revive a California corporation’s suspended status with the Secretary of State, his decision would have been easy. Extended delays are placing California corporations (including homeowner associations) at serious risk of litigation exposure and may make them ineligible for disaster relief such as SBA funds, as well as causing them to suffer the extended suspension of other benefits of incorporation. Arguably, the greatest risk of suspended status is exposure to litigation, as the association may not prosecute nor defend a legal action without active status.
Prepared By David C. Swedelson.
We are amazed by the number of board members and managers that do not know that there is a Vehicle Code Section (§22658) that addresses how and when California condominium and planned development community associations can tow vehicles that are not legally parked. Compliance with the Vehicle Code is required, and non-compliance could subject the Association to potential fines, legal liability and damages.
On January 1, 2007, changes and amendments to the provisions to California Vehicle Code §22658, relating to towing from private property, including common interest developments, went into effect. No longer can an association instruct security services or a towing service to tow vehicles that may not be authorized. Rather, the association must comply with the new stringent laws.
What happens when owners do not pay their assessments, default and then allow their property to be lost through foreclosure? The answer is clear; their former association does not have enough money to pay the bills and/or the other owners must cover the deficit. This was the subject of an LA Times article that many of you might find interesting.
End Of The 2010 Year Assessment Collection Report: We Still Recommend Foreclosure, as Judgments Remain Uncollectable
By David Swedelson, Esq., Sandra Gottlieb, Esq., and Tracy Neal, Esq.
As we near the end of 2010, we thought it timely and appropriate to provide you with a report as to the status of the assessment collection problems that continue to plague many California community associations as a result of the recession. The following information and opinions come from our perspective as experts in the field and as the operators of one of the leading assessment collection services in California.
We had hoped that we would have better news to report by now. We don't! All of the reports we have seen indicate that our nation’s economy, while improving, is still a mess, and community associations (condominiums, planned developments and stock co-ops) are unfortunately suffering as a result. Unemployment remains high, creating an ongoing and significant problem. Recent government reports indicate that nationally, unemployment is now at 9.4% (increasing rather than decreasing).