One of the largest line items in any condominium association’s budget is its insurance premium. Condominium associations are required, pursuant to their governing documents, to carry adequate property insurance to address common elements (and in many cases, unit owners’ improvements), liability insurance, and director’s and officer’s insurance coverage. Further, condominium associations budget for any insurance claims that may trigger the need to meet an insurance deductible. That deductible may be $10K per claim.…

As of July, 2014, a change was made to an existing statute, NJSA 46:10B-51, that requires all creditors initiating a mortgage foreclosure proceeding against residential property to provide the municipality information related to that action. Creditors must provide the following information: The name and contact information for the representative of the creditor responsible for receiving complaints of violations of code or property maintenance; Street address, block and lot number of the residential property; Name and…

Community associations continue to suffer from very high delinquency rates which is a reflection of the national trends of consumer debt.  However, because community associations need to be vigilant in keeping its delinquency rates manageable (as these monies are needed to provide promised services to its members), debt collection is a very big part of an association’s day-to-day activities.   It is not very difficult to obtain a judgment against a member for failure to…

The New Jersey Supreme Court has recently decided that an outright prohibition of political signs in a community association is unconstitutional.  While the ruling will most likely result in future rulings with different facts, it does provide a concise rebuttal to political sign prohibitions dealing with free speech.   In Mazdabrook Association v. Wasim Kahn, the Association prohibited any type of sign other than a “For Sale” sign.  Kahn, who was running for Township Council,…

A recent Appellate Division case, approved for publication (which means it will have Statewide application and authority) was recently decided regarding the ability of a homeowner association to restrict the leasing of a home.  The case, Cape May Harbor Village And Yacht Club Association, Inc. v. Sbraga, et al., while a case of first impression in New Jersey, will probably be limited in scope and applicability throughout the State of New Jersey.          Cape…

On November 4, 2011, I was a panelist at the New Jersey Institute for Continuing Legal Education’s seminar located in North Brunswick, New Jersey. The topic was “Community Association Law Summit: Top Ten Topics for 2011“. The topic I presented in the afternoon session was centered around association financial problems, particularly collecting monies from members in order to keep the corporation solvent. The attendees were advised the underlying authority by which an association must and…

On October 22, 2011, I was a panelist at the New Jersey Chapter of Community Associations Institute Annual Expo. The seminar focused on Rules and Regulations for community associations. Particularly, the seminar focused how best to reconcile rules and regulations in light of New Jersey and Federal statutes that may be in opposition to the association-implemented rule.   For example, some discussion was centered around service animals in light of an association rule that prohibits…