If you serve on a condominium board, manage an HOA, or own property in a community association, you will benefit by understanding the process for amending governing documents. Amendments keep your Declaration and Bylaws current with developing technology, compliant with State law, and responsive to your community’s needs. Amendments can address outdated provisions, clarify ambiguous language, and incorporate new legal requirements. When you keep the governing documents up to date, you protect your association from potential liability and promote smooth operations. When proceeding down the amendment path, consider the following:
- Start by reviewing your governing documents and identifying areas that need attention. Follow a structured process. After the Board’s review, consult with an attorney about the modifications you think may be necessary. After discussing the potential amendments with an attorney, decide whether to move forward with specific amendments or consider a full document rewrite.
- Choose the right scope for your amendment project. Address a single issue, or multiple single issues separately, such as a leasing restriction or quorum requirement, through a focused amendments; which, could avoid people voting against an entirely new document because they don’t like one of the many changes. Alternatively, you may combine multiple changes into one document through and propose a rewrite of the existing documents. For older documents, consider a document restatement that consolidates prior amendments and improves readability.
- Understand applicable State law before you proceed. State requirements may not only affect the language drafted but also impact the manner in which the amendments are voted on.
- Handle voting procedures carefully. Most amendments require owner approval, but some allow boards or developers to adopt changes. Mortgage holders may need to approve amendments. Delinquent owners often retain voting rights, but state law and governing documents determine the rules. If you use electronic voting, confirm that your documents and State statutes permit it. Ensure that votes are properly authenticated when you work with third-party vendors.
Ultimately, amendments matter because they keep your association’s documents relevant and enforceable. Most of all, amendments can customize the expectations for living in a community, which tends to change over time from what the developer originally imagined. Whether you plan a single change or a comprehensive rewrite, work with an experienced attorney to navigate the process efficiently and avoid costly mistakes.
If your documents are outdated, difficult to interpret, or noncompliant with current law, act now. Contact us to discuss your options and create a plan that protects your community and supports its long-term success. Click the following link: Request for Proposal and type “Amending Governing Documents” in the subject field.