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Breach of Contract

Claims for When Developers Have TOO Much Control of Association

Wisconsin /

Facts Montana Developer of three condominium-hotels at Big Sky Ski Resort sold units subject to Declarations that required “all unit owners to use [Developer], or an agent designated by [Developer], as their exclusive rental agents,” when renting out their condominiums.  The Declarations also provided that “Unit owners may decline to renew the rental management contract […]

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Self-Dealing by Director is a Breach of Fiduciary Duty (Case 1)

Wisconsin /

Facts Plaintiff, Coley, owns a home in an HOA, the Eskaton Village (“Association”).  Two other Eskaton named entities (“Eskaton”) develop and support HOAs.  A five-member board runs the Association, subject to the Declaration.  Eskaton has always controlled three of the five directors on the Association Board because it owns 137 of the 267 units.  The

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Investigate for Hidden Defects at Turnover or Pay the Price

Wisconsin /

Summary A single warranty date applies to each condominium building in a development.  Meaning that each unit does not have its own warranty date, and units in different buildings will likely have different warranty dates, unless they happen to be completed on the same date.  The Facts Village Lofts Condominium Association consisted of two buildings:

Investigate for Hidden Defects at Turnover or Pay the Price Read More »

Owners are Liable for Assessments, Even When Corporate Formalities Not Perfectly Followed

Wisconsin /

Summary Declarant owned nine of 10 units, controlled the board and association, failed to have an association bank account, intermingled the assessments that were paid into his business account, never held elections or annual meetings and kept no separate corporate records.  Yet, the Court held that these failures could not be used as an excuse

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Think You Will Get Your Attorneys’ Fees Paid in a Successful Collection Action? That May Depend on Your Attorney…

Wisconsin /

The Condominium Statutes are written such that associations can collect their actual attorneys’ fees if they proceed in a lien enforcement action for unpaid assessments. But, as in many things law-related, there are traps for the unwary, and if your attorney is not savvy, you may miss out on collecting everything you are owed… Facts.

Think You Will Get Your Attorneys’ Fees Paid in a Successful Collection Action? That May Depend on Your Attorney… Read More »

Doing Things Wrong can be VERY Costly, Which is Why Using an Experienced Association Attorney Matters

Wisconsin /

Summary Each owner of a lot in a planned community with multiple subdivisions was required to be a member of the master association – Holly Lake Ranch Association (HLRA).  Some of the owners voted to amend their particular subdivision’s respective deed restrictions.  The effect of which was to add a voting requirement for assessments, mandatory

Doing Things Wrong can be VERY Costly, Which is Why Using an Experienced Association Attorney Matters Read More »

Language in Declaration Makes Association Strictly Liable

Wisconsin /

Facts Defendant, Castletown Corner Owner’s Association, Inc. (“Association”), had a duty to maintain a lift station.  Specifically, the declaration imposed an obligation on the Association to pay “all Maintenance Costs in connection with” improvements constructed at the Association.  Maintenance costs are then defined as “all of the costs necessary to maintain the … sewers, utility

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Self-Dealing by Director is a Breach of Fiduciary Duty (Case 2)

Wisconsin /

Facts Plaintiff, Ms. Carmichael, is on the board of directors of Commerce Towers Condominium (“Association”).  On the board with her is Mr. Frese and Mr. Vickers.  Mr. Vickers, Mr. Frese and Mr. Tarantino are the officers of the Association. (collectively “Officers”).  All three are also the officers of Tarantino Properties, Inc. (the “Management Company”). Carmichael

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