27 Apr Senate Bill 1196/1222
The Florida legislature is considering several bills which, if passed, would have a significant affect on condominium associations. For example, Senate Bill 1196/1222 (if passed and approved) would require first mortgagees which foreclose a mortgage and take title to the condominium unit to pay the lesser of 1% of the original mortgage debt or the last 12 months of unpaid assessments. This would double the current obligations of first mortgagees; i.e., 6 months, and would provide significant financial relief for delinquent assessment accounts which are also affected by pending mortgage foreclosure. Additionally, Senate Bill 1196/1222 proposes to provide other forms of financial relief due to owner delinquency by granting the condominium association the authority to suspend a unit owner’s right to use the common elements if more than 90 days delinquent in payment of any monetary obligation to the condominium association. Senate Bill 1196/1222 also contains a proposed amendment to Fla. Stat. 718.116 which would authorize the condominium association to demand and collect rents directly from a delinquent owner’s tenant. Coastal Association Law Group will continue to provide updates with regard to the progress of this and other bills which may have a significant impact on community associations.
Senate Bill 1196 (2010) – Full text