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Special Edition • June 2009

SPECIAL ECHO ANNUAL SEMINAR EDITION

Take Our Quiz!
Win a 28" Widescreen LCD Monitor!

The attorneys at Berding|Weil have proudly supported ECHO for many years. We'll have a booth at this year's annual seminar, staffed by our attorneys ready to address whatever homeowner association legal issues you have (we've probably seen them all!).

ECHO Annual Seminar 2009

Race to Win!

The ECHO Annual Seminar is simply the best educational opportunity designed for HOA members. And in 2009, ECHO continues its 37-year tradition of providing the most up-to-date information on the most pressing issues for California HOAs. Whether you are a first time board member, a brand new condominium owner, or an HOA veteran, the Annual Seminar will give you the training and information you need.

Saturday the 13th of June 2009

Santa Clara Convention Center, Santa Clara, CA

Reserve Your Spot and Register Here!

Tyler is speaking from 10:50-12:00 with David Levy on "Association Financial Survival in Tough Times" and Steve speaks with Jeffrey Barnett from 3:20-4:30 on "Ask the Attorneys". Registration begins at 7:30 and the first breakout session starts at 9:00. Friday night is the managers cocktail reception.

To "tune you up" for ECHO's wonderful program this year (for directors, members and managers alike), we've put together a "Condo Quiz". Bring your completed quiz to the seminar — we'll have the answers at our booth. All winning entries will be put in the raffle for a new 28" computer monitor!

Take Our Condo Quiz Below!

Select your answers, print out the quiz, and bring the completed quiz to our booth. Good luck!

THE BERDING|WEIL CONDO QUIZ

California Election Law

1.	Who decides whether a meeting should be adjourned if a quorum has not been reached?
	a.	The board
	b.	The election inspector
	c.	The members at the meeting
2.	Is the right to vote limited to "members in good standing"?
	a.	Depends on what the election rules say
	b.	Depends on what the bylaws say
	c.	Depends on whether there has been a hearing to suspend voting rights
	d.	All of the above
3.	Can directors be "elected" at a board meeting?
	a.	Yes
	b.	No
4.	The "secret ballot" election law does not apply to:
	a.	A vote to remove directors
	b.	A vote to "give away" exclusive use common area
	c.	A vote to repeal a rule adopted by the board
	d.	A vote to approve a large special assessment
5.	The manager can be the election inspector
	a.	If authorized by the bylaws
	b.	If authorized in the election rules
	c.	If authorized in the management contract
	d.	Yes, unless objected to by a simple majority of members

Association Operations

6.	A member has the right to inspect and copy the membership list:
	a.	Unless the board provides a "reasonable alternative"
	b.	Only if the purpose is "reasonably related" to the Association
	c.	Only if the member is in "good standing"
	d.	Only if the member plans to write other members based on the list
7.	To be valid, minutes of board meetings must be:
	a.	Approved by an absolute majority of the board
	b.	Signed by the secretary
	c.	Approved by a quorum of the board
	d.	b. and c.
8.	To be valid, minutes of membership meetings must be:
	a.	Approved by the membership
	b.	Signed by the secretary
	c.	Approved by a quorum of the board
	d.	b. and c.
9.	Board meeting agendas are established by:
	a.	The manager
	b.	The president
	c.	The board
	d.	Homeowners from the floor
10.	Must the Association accept an owner's request to mediate or arbitrate disputes?
	a.	Yes, if the request is to "mediate" in a meet and confer program
	b.	Yes, if the dispute concerns CC&R enforcement
	c.	Yes, if the dispute concerns the validity of a vote
	d.	Yes, if the statute of limitations is about to expire

Leaks, Repairs and Claims

11.	The "statute of limitations" for bringing a construction defect lawsuit is always:
	a.	10 years from recording of the Notice of Completion
	b.	3 years from discovery of the defect
	c.	Depends on the kind of claim
	d.	1 year based on the warranty
12.	The Association is responsible for interior damage caused by a roof leak:
	a.	Depends on the CC&Rs
	b.	Depends on whether the Association was "negligent"
	c.	Never
	d.	a. and b.
13.	If damage to an owner's unit results from a "construction defect," the Association isn't liable:
	a.	Ever
	b.	Unless the defect is a violation of the Uniform Building Code
	c.	Unless the Association ignored the problem
	d.	Depends on whether an owner purchased their unit "as is"
14.	Must the Association indemnify the manager from an owner's claim if the insurance company refuses to do so?
	a.	No, the duty to protect the manager only applies if there is insurance
	b.	Yes, so long as the management contract required indemnification
	c.	Only if it involves CC&R enforcement or an assessment dispute
	d.	Depends on the wording of the insurance policy
15.	Does the "ADA" apply to all homeowner associations?
	a.	Yes because the ADA is a federal law applicable to housing
	b.	Usually not because most associations are "private"
	c.	Yes, if an owner requests a modification based on a disability
	d.	Yes, but only with regard to "paths of travel"

Bring this sheet with your answers checked and your business card to our booth at the ECHO Seminar. All entries with at least 12 correct answers will be put into our raffle for a 28" LCD computer monitor. Good luck!

TOP ISSUES

HANG TOGETHER OR HANG SEPARATELY?
Selling a Distressed Common Interest Development as a Single Parcel: Is Partition an Alternative to losing it to Individual Foreclosures?
By Tyler Berding

UNDERSTANDING BOARD DECISIONS AND JUDICIAL DEFERENCE:
Two Recent Appellate Cases Illustrate When a Court Will Defer to the "Business Judgment" of a Board of Directors
By Matt Malone and Andrew Baugh

THE POLITICS AND PSYCHOLOGY OF AMENDING GOVERNING DOCUMENTS
By Steven Weil

QUESTION OF THE WEEK

Question:

"What is a Co-op?"

Answer:

A Co-op, also known as a Stock Cooperative, is a housing community in which a corporation owns the entire real property, both the common area and the dwelling units. The shareholders or members own a share or shares of stock, or a membership. Ownership of a share or membership entitles that person to lease and live in an apartment or other dwelling unit in the community for as long as he/she owns the share or membership.

The Latest From Our
Condo Issues Blog:

Negligent Conversion?
Is the converter liable for failing to properly assemble the parts of a new community?

"Negligent conversion" is another way of saying that mistakes were made when joining all of the required pieces of a conversion project together.

The converter of an apartment building into condominiums basically has three choices under the existing law in California…»

The Board's Dilemma

Every board faces this dilemma sooner or later: how to raise revenue without raising assessments?

Since the only revenue the average association can obtain is from owner assessments, that's usually impossible.

Owners want the board to maintain and repair the association's property, but they don't want to pay more each month, especially in these difficult economic times…»

What You See
is (Not Necessarily)
What You Get!

"Visual and Accessible" is not enough: Let's amend the Davis-Stirling Act to delete Limitations on Reserve Study Inspections

It's the responsibility of every California community association to commission a reserve study every three years…»

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