How do we convince a Board that a new law or new procedure that is required by law exists?

Condoguru: You don't always need to pay an attorney to convince a board that they should be doing something the right way. If you belong to any of the industry organizations like ECHO, CAI, CACM (visit Resources Page), then you are probably receiving valuable publications that are written by lawyers, insurance brokers, vendors, contractors, and other professionals, about specific problems that HOAs face, and that propose remedies and ways to resolve those problems, or deal with the legal ramifications. For example, I write publications for all three industry groups, and distribute my own publications. Many others, like me, explain the new laws each year and give boards of directors direction as to how to comply in these articles. If you present this type of information to the board of directors, you may accomplish your goal. Taking matters a step further and making these articles part of the management report package that you present to the board creates a paper trail showing that you brought the information to the board. It is likely that if the article is helpful, conveys the message you are trying to convey, and is written by a professional, that the board might be more inclined to pay serious attention to it. You can also get on the CLAC mailing list (Community Associations Institute - California Legislative Action Committee) by supporting CLAC (visit Resources Page). For more information, search the articles, publications, FYIs, legal briefs and form pages.

Do we have to be registered or certified to manage homeowner associations?

Condoguru: It certainly is wise to obtain the education needed to get certain designations, and both CAI and CACM (visit Resources Page) provide very good training and education. Both organizations have certification programs for managers. Each of these groups have varying designations that can be achieved through course work and/or case studies.There is a requirement in California now (since 2003) that if a person is going to call themselves a "Certified Common Interest Development Manager" or a like title that would lead people to believe that the person is qualified to manage CIDs (common interest developments which include condos, townhomes and planned developments), they need to have certain qualifications (educational requirements). You can see what these are byclicking here. Because of these requirements, and the lack of available educationn for managers in this state, I have developed a course that provides 8 hours of credit, qualified by the DRE, that covers a myriad of legal subjects, and the entire Davis Stirling Act. For informaion on my classes, click here. Since the California Civil Code provides some manager regulations and disclosure requirements, I would suggest that it is to any manager's benefit to have some credentials behind their name to be competitive, and to assure associations that some level of education and professionalism has been achieved. The management of homeowner associations is unique and considerably different than property management of apartments, commercial buildings, and residential property. There is an entire body of law that regulates homeowner associations and requires certain disclosures, and anyone who intends to manage homeowner associations should certainly be well educated in this area. For more information, search the articles, publications, FYIs, legal briefs and form pages.

Should we have a contract with the association and if so, what should be in it?

Condoguru:You certainly should have a written contract with an association, and there are a number of things that should be included. Once again, if you are members and participate in any of the organizations ECHO, CAI, CACM, you will probably have the opportunity to review articles or attend classes or seminars that speak specifically to management contracts and what provisions should be made in them. If you want more information on this topic, search the manager, classes, articles, publications, legal briefs and form pages. You will find discussions on various contractual provisions, both from the homeowner associations' perspective and the managers' perspective.

Which industry group gives the best training for community association managers?

Condoguru: CACM and CAI both have fine designation programs, ranging from designations with minimal requirements to more elite designations. The main difference between CACM and CAI is that CACM is a group for managers (visit Resources Page). CAI serves other industry people besides managers such as homeowners, board members, developers, professionals and homeowners. In my opinion, both have equally good programs and both designations are widely recognized in the State of California. Both groups have good training programs and do very good things for managers. They have considerable offerings. And I believe that the courses I offer are very good, too. They offer Plain Engllish, interactive and 'hands on' learning. For more information, search the creative learning opportunities, articles, publications, FYIs, legal briefs and form pages.

How do I avoid being "caught in the middle" between the board and homeowners?

Condoguru:The most important thing, I believe, is to remain business-like and professional in all aspects of your job. I believe it best to avoid "making friends" with the board members or getting emotionally upset by owners' complaints or emotionally involved with board members. If you are friends with either, you will need to respect that friendship my taint your views and you will be called upon to deal with issues that may be affected adversely or positively with either group because of that affiliation or friendship. The friendships or rivalries based on emotions tend to lead to claims of unfair bias or conflicts. And it is crucial to keep up with the ever changing requirements for HOAs (homeowner associations) in California. The legislators are prolific and they seem to love pasing technical, complicated and labor-intensive legislation. In a way, it is justified, for more than half of the Associations in the state are "self-managed" and make mistakes. But it penalizes everyone who tries to keep up with the new laws, and also serve the Associations in a cost effective manner. For more information, search the creative learning opportunities, articles, publications, FYIs, legal briefs and form pages.

What do I do when the board wants me to give legal advice?

Condoguru: Just say "no". If a board asks you wants to give legal advice, and you do it, you will be asked again and again, because the board will naturally expect you to answer. Boards love to avoid paying legal fees or having to talk to an attorney (who wouldn't?), if they can get away with it. Certainly, you can offer the board of directors the articles that have been written by professionals, and that may accomplish the same thing as if you were to tell the boards about the updates in the law or something that you know has changed or should be done. If the articles don't help, don't be afraid to tell your board they need legal advice and direct them to a good attorney. If the questions they are facing relate to insurance issues, don't be afraid to recommend an insurance expert. For construction issues, recommend that they consult with the right kind of contractor. You can help them locate those resources through the industry groups ECHO, CAI, CACM (visit Resources Page)

Do we have to fill out all those disclosure forms sent by the realtors when the title company makes an escrow demand?

Condoguru: You may be able to help (with assistance of the board and an attorney) adopt a responsive disclosure form that could be used in place of those coming in from different directions, that the association could offer. This is an area of much distress for managers. There is a balance between what information the association is required to give, and what is demanded by lenders, buyers, and realtors. A manager is often faced with a myriad of forms coming from different directions, asking for different information. A manager commonly finds that each of the disclosures ask for specific information about the association and many of the questions are simply hard to answer. Answers to many of the questions could trigger legal liability, so it isn't necessarily wise for a manager to try and be accommodating and answer the questions "to the best of their ability" and assume that that will be ok. It may multiply problems. You could get assistance from an attorney to help prepare a "generic" disclosure for your association to be used in all cases where disclosures are requested. You may need to know how to respond when demands or threats are made upon you about completion of these forms. One deterrent to demands for unnecessary forms is to tell the entity or agent making the demand that the Association will complee the form, but it will require attorney assistance and there will be a charge for one hour of attorney time. Ten, if the form is not really critical, the request will proably be withdrawn. For more information, search the creative learning opportunities, articles, publications, FYIs, legal briefs and form pages.

How much time do we have to answer the demand of an escrow officer or seller to provide the information required by Civil Code Section 1368?

Condoguru: You have 10 days from the date the escrow or other demand was given to you in writing, according to Civil Code Section 1368(b). See the FAQs for realtors for more information and if they call - point them there (to realtors FAQs), and maybe together we can help find some common ground!.