Chapter 720 of Florida's Statutes state the laws that HOAs, the Board, and its delegates must follow. It additionally outlines the rights of Owners under Florida Law. All HOA policies are overruled by Florida's Statutes governing the HOA.
Minutes of all meetings must be maintained in writing with votes on each matter recorded
Elections & Officers
Elections
All members (without fee/fine delinquencies) are eligible for the board.
Felons cannot seek election unless 5 years removed from restoration of civil rights.
HOA is not required to allow nominations at the meeting.
Challenge to election must commence within 60 days of results.
If Director is 90 days delinquent in payments, they have abandoned their seat.
Electronic Voting
HOA may conduct elections through internet based voting systems if a member consents in writing.
HOA must provide a method to authenticate ID, method to confirm device connection, method is consistent with bylaws.
Consent is valid until member opts out.
Election Disputes
Election & Recall disputes are not eligible for mediation.
Such disputes must be arbitrated by The Division of Florida Condominiums, Timeshares, and Mobile Homes of the Department of Business and Professional Regulation.
All election disputes must be handled on an expedited basis.
The decision of an arbitrator is final, however does not prevent parties proceeding to trial.
Officers & Directors
Within 90 days of election, each director shall certify reading all governing docs or completing educational curriculum.
Directors may not solicit or accept anything of value from vendors.
If a director is charged with forgery of ballots, embezzling of funds, destruction of records, or obstruction shall be removed from office.
Compensation is Prohibited for Directors, Officers, and Committees.
If Board fails to fill vacancies, any owner can request appointment of receiver.
Director Recall
Board Members may recalled by a majority of total voting interest (271 votes) with/without a meeting
If only a certain class of voters can elect board members, only they can recall.
Board must be served by certified mail.
Meeting must be held within 5 business day to decide certification. Failure deems recall effective.
Recalled members can challenge validity in court.
Records & Reporting
Records
Board must maintain all applicable records (see statute)
Records will be maintained for 7 years.
Records must be made available within 10 days upon request.
Members can make copies/take photos of records.
Failure to comply entitles members $50/day up to 10 days in damages.
There are limitations on which records are available (See Statute)
Finances & Financial Reporting
HOA must prepare an annual budget.
Financial Report must be provided by 90 days after fiscal year end.
An HOA with total annual revenue of $500,000+, audited financial statements are required.
If the HOA collects a deposit from an owner for any reason, those funds must be maintained separately from HOA funds. Funds must be returned within 30 days of completing agreement.
Legal
Fees & Fines
Prevailing Party is entitled to attorney fees.
HOA may levy reasonable fines or suspend rights to Common Areas (See Compliance)
HOA may suspend voting rights due to nonpayment
The association has a lien on each parcel to secure the payment of assessments and other amounts
Contracts
All contracts must be in writing.
If a contract exceeds 10% of total budget, HOA must obtain bids.
Bid not necessary if vendor is sole supplier within county.
Agreements by HOA
HOA may enter into bulk contract for internet services and deem operating expense.
Bulk contract may be canceled by majority member vote at a meeting.
Hearing/sight impaired owner living alone may discontinue service without penalty
Resident cannot be denied access cable/video providers if paying provider directly.
Governing Docs
All documents may be amended with 2/3 vote of owners unless documents specify differently.
HOA must provide copy of amendment within 30 days of approval.
Amendments may not impact voting interest or % of expenses of a parcel
HOA can use public records to identify outstanding mortgages.
Proposed amendments must contain full text.
Prohibited Clauses
Developer cannot unilaterally change HOA docs after transition.
HOA cannot be prohibited from filing lawsuit against developer
Developer is not entitled to more than 1 vote per lot after transition.
HOA cannot prohibit display of two flags.
HOA cannot prohibit Florida-friendly landscaping
Misc
Owners are protected against SLAPP lawsuits.
HOA can regulate rentals. Regulation applies to acquired parcels after effective date.
If a receiver is appointed, all owners will receive written notice of appointment.
Dispute Resolution
Non-financial disputes between an owner & HOA shall be subject to presuit mediation before filing in court.
Court may refer parties to mediation program.
When mediation is attended by board quorum, it is not considered a board meeting.
If mediation is unsuccessful, parties can file in court or enter into arbitration.
Misleading Info
Any person who is mislead by the developer has a cause to rescind the contract or collect damages.
The owner has a cause of action for damages from closing until 1 year after closing, issuances of certificate of occupancy, or completion of common areas,
Assessments & Financial Obligations
Assessments (General)
An owner is liable for all assessments due while he/she is the owner.
An owner is jointly liable with previous owner for all unpaid assessments due up to time of title transfer.
HOA can charge late fees & interest.
Payments are applied in this order: interest, fees, attorney fees, assessment.
HOA may not require payment of attorney fees without delivering written notice of late assessment.
Liens require written notice of unpaid assessment + 45 days.
Assessments (Renters)
HOA can demand renters pay rent to HOA when owner is delinquent
Renter is immune from claims from owner regarding missed/late rent.
Liability of renter cannot exceed rent owed.
HOA can evict tenant for non-payment.
Renter has no rights of a parcel owner by virtue of payment.
Qualifying Offers
After service of intent to foreclose, owner can server court with a qualifying offer to pay off lien.
Only one qualifying offer can be made.
Owner may not add legal fees within period of stay (with some exception)
If qualifying offer is breached, stay shall be vacated.
Foreclosure
If the parcel owner remains in possession after a foreclosure, the court may require owner to pay rent.
The HOA may purchase the parcel at foreclosure and hold, lease, mortgage, or convey the parcel. The HOA would not be liable for unpaid assessments.
Estoppel Certificates
Estoppel Certificate must be issued within 10 days of request.
HOA cannot charge for estoppel cert if not delivered within 10 days.
Electronic & Hand Delivered certificates have 30 day effective period.
HOA waives right to collect any money in excess of specified amount on estoppel cert.
HOA can charge a fee that does not exceed $250.
HOA can charge additional $100 for expedited 3-day delivery.
Architectural Control/Rules
General
If guidelines provide options for materials, size, location, or design the HOA cannot restrict owner from using that option.
HOA cannot enforce setback limitations inconsistent with county.
If HOA unreasonably impairs rights set in the declaration, owner is entitled to damages.
HOA cannot enforce restrictions incompatible with the declaration.
HOA cannot prohibit law enforcement vehicle from parking vehicle where they have right to.
Flags & Flagpoles
Owners cannot be unreasonably restricted from peacefully assembling or inviting candidates to appear in common areas.
Owners may display flags no larger than 4.5x6ft regardless of HOA rules. See statute for flags.
Owners may erect a flagpole up to 20ft high regardless of HOA rules.
Misc
Owners may construct an access ramp for medical necessity & HOA may modify reasonably.
Owners can display a sign for security services 10ft from home entrance.
Regardless of rules, owners cannot be restricted from installing or storing items not visible from front or adjacent parcel.