Condo-HOA Blog - Declaration Amendments
Just Dues
One of the unavoidable realities of being an owner at a condominium association is the obligation to pay membership dues. Typically, a condominium's board of directors will levy an annual assessment based on a budget that has been ratified by the association's members. The annual expenses will then be assessed to owners and divided according to each unit's percentage of "common expense liability" or "allocated interests." Such dues are usually payable on a monthly basis. read more
Unintended Consequences
One of the main takeaways from the Washington Supreme Court's recent decision in Bilanko v. Barclay Court is that a declaration amendment that is adopted in a manner that does not exceed its legal authority and and does not appear to be borne out of fraud or other wrongdoing cannot be challenged more than one year after it is recorded. This is welcome news to associations, which had been thrown onto unsteady legal ground after the Court's earlier decision in Club Envy v. Ridpath called into question the enforceability of rental cap amendments that were over one-year old, but had not been passed with at least 90% owner consent. read more
Bilanko v. Barclay Court Owners Association
In last week's post "Hot Off the Press," we advised readers that the Washington Supreme Court published on that day Bilanko v. Barclay Court Owners Association,an important decision relating to challenges to declaration amendments involving Washington "New Act" condominiums. The decision can be found here. Over the past week we've had time to analyze the opinion and have come up with a few summary points. read more
Hot Off the Press
Bilanko is the most recent addition to the ongoing saga in Washington law and the enforceability of condominium declaration amendments under the WCA (RCW 64.34). Bilanko involved a homeowner challenge to the enforceability of a declaration amendment that restricted unit rentals. In a unanimous decision, the Washington Supreme Court held the unit owner's challenge untimely and time barred under RCW 64.34.264(2), which requires any challenge to the validity of an amendment to be brought within one year of the amendment's recording. The Washington Supreme Court did not explicitly overturn Fillmore or Club Envy, but certainly limited the application of those decisions to many existing declaration amendments. At first glance, the case may appear to validate amendments recorded at least one year ago absent fraud or wrong doing. Unfortunately, as is often the case (pun intended), the Bilanko decision isn't quite that straight forward. Associations who have recorded statements or included language in resale certificates nullifying or declining to enforce prior amendments as a result of Filmore, however, should definitely revisit the issue in light of this case. read more
Washington Supreme Court Limits Scope of Authority to Amend HOA CC&R's
Exploring the Court's decision in Wilkinson v. Chiwawa Communities Association read more