Rules to Prevent Damage
Does your condominium association have numerous part-time residents or vacant units? Are the owners within your community aware of preventative measures to take before they leave their unit for a vacation or extended period of time? Does your association have the documentation in place to address responsibility forpayment of the association’s insurance deductible in the event of damage?
Many condominiumassociations have experienced substantial damage (typically caused by water or fire) that could have been prevented if the owners were aware of measures to take to prepare their unit for a short-termor long-termvacancy. To help prevent and mitigate future damage, condominiumassociations should consider adopting a board resolution including rules such as: requirements for emergency contact information to be provided to the association, for water shut-off, for replacement of water hoses and tubing, and for owners to have unit inspections performed during a long-termvacancy This board resolution should also include rules governing responsibility forpayment of the association’sinsurance deductible, as this requirement is often dependent on the type, extent, location and nature of the damage, as well as provisions in the association’s governing documents. It is importantfor the association to have rules in place regarding payment of its insurance deductible sothat the association is not scrambling after a loss occurs trying to figure out who is responsible for payment.
The language to be included in this board resolution is dependent of the specific association's governing documents. While the board resolution will be different for each association, we are able to provide this service on a flat-fee basis. The flat fee for a review of the association's governing documents and drafting of the board resolution itself is $450. If purchased in conjunciton with our firm's Insurance, Maintenance and Mold Package, the cost of the board resolution is $350. The Insurance, Maintenance and Mold Package provides a comprehensive review and analysis of the maintenance, insurance, repair and financial responsibilities relating to all major components of the condominium, and is available for a flat fee of $970.
If you have any questions relating to the boardresolution or the Insurance, Maintenance and Mold Package, or if you are interested in ordering either or both, please contact attorney Jessica Maceyko at 480-922-9292 or This email address is being protected from spambots. You need JavaScript enabled to view it.
Theinformation contained in thisHomeownersAssociationTip isfor informational purposesonly and isnot specific legaladviceor a substitutefor specificlegalcounsel.Readersshouldnot actupon thisinformation withoutseeking professionalcounsel.
