Florida 2022 Regular Session

Florida House Bill H6103 Compare Versions

Only one version of the bill is available at this time.

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3	3	HB 6103 2022
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10	10	F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
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14	14	A bill to be entitled 1
15	15	An act relating to levying of fines by homeowners' 2
16	16	associations; amending s. 720.305, F.S.; removing the 3
17	17	authority of a homeowners' association to levy fines; 4
18	18	removing requirements relating to the levying of 5
19	19	fines; conforming provisions to changes made by the 6
20	20	act; amending ss. 720.306 and 720.311, F.S.; 7
21	21	conforming provisions to changes made by the act; 8
22	22	providing an effective date. 9
23	23	10
24	24	Be It Enacted by the Legis lature of the State of Florida: 11
25	25	12
26	26	Section 1. Subsections (2), (3), and (4) of section 13
27	27	720.305, Florida Statutes, are amended to read: 14
28	28	720.305 Obligations of members; remedies at law or in 15
29	29	equity; levy of fines and suspension of use rights. — 16
30	30	(2) An association may levy reasonable fines. A fine may 17
31	31	not exceed $100 per violation against any member or any member's 18
32	32	tenant, guest, or invitee for the failure of the owner of the 19
33	33	parcel or its occupant, licensee, or invitee to comply with any 20
34	34	provision of the declaration, the association bylaws, or 21
35	35	reasonable rules of the association unless otherwise provided in 22
36	36	the governing documents. A fine may be levied by the board for 23
37	37	each day of a continuing violation, with a single notice and 24
38	38	opportunity for hearing, e xcept that the fine may not exceed 25
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47	47	F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
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51	51	$1,000 in the aggregate unless otherwise provided in the 26
52	52	governing documents. A fine of less than $1,000 may not become a 27
53	53	lien against a parcel. In any action to recover a fine, the 28
54	54	prevailing party is entitled to reasona ble attorney fees and 29
55	55	costs from the nonprevailing party as determined by the court. 30
56	56	(a) An association may suspend, for a reasonable period of 31
57	57	time, the right of a member, or a member's tenant, guest, or 32
58	58	invitee, to use common areas and facilities for t he failure of 33
59	59	the owner of the parcel or its occupant, licensee, or invitee to 34
60	60	comply with any provision of the declaration, the association 35
61	61	bylaws, or reasonable rules of the association. This paragraph 36
62	62	does not apply to that portion of common areas used to provide 37
63	63	access or utility services to the parcel. A suspension may not 38
64	64	prohibit an owner or tenant of a parcel from having vehicular 39
65	65	and pedestrian ingress to and egress from the parcel, including, 40
66	66	but not limited to, the right to park. 41
67	67	(b) A fine or suspension levied by the board of 42
68	68	administration may not be imposed unless the board first 43
69	69	provides at least 14 days' notice to the parcel owner and, if 44
70	70	applicable, any occupant, licensee, or invitee of the parcel 45
71	71	owner, sought to be fined or suspended and an opportunity for a 46
72	72	hearing before a committee of at least three members appointed 47
73	73	by the board who are not officers, directors, or employees of 48
74	74	the association, or the spouse, parent, child, brother, or 49
75	75	sister of an officer, director, or employee. If th e committee, 50
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84	84	F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
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88	88	by majority vote, does not approve a proposed fine or 51
89	89	suspension, the proposed fine or suspension may not be imposed. 52
90	90	The role of the committee is limited to determining whether to 53
91	91	confirm or reject the fine or suspension levied by the board. If 54
92	92	the proposed fine or suspension levied by the board is approved 55
93	93	by the committee, the fine payment is due 5 days after notice of 56
94	94	the approved fine is provided to the parcel owner and, if 57
95	95	applicable, to any occupant, licensee, or invitee of the parcel 58
96	96	owner. The association must provide written notice of such fine 59
97	97	or suspension by mail or hand delivery to the parcel owner and, 60
98	98	if applicable, to any occupant, licensee, or invitee of the 61
99	99	parcel owner. 62
100	100	(3) If a member is more than 90 days delinquent in pay ing 63
101	101	any fee, fine, or other monetary obligation due to the 64
102	102	association, the association may suspend the rights of the 65
103	103	member, or the member's tenant, guest, or invitee, to use common 66
104	104	areas and facilities until the fee , fine, or other monetary 67
105	105	obligation is paid in full. This subsection does not apply to 68
106	106	that portion of common areas used to provide access or utility 69
107	107	services to the parcel. A suspension may not prohibit an owner 70
108	108	or tenant of a parcel from having vehicular and pedestrian 71
109	109	ingress to and egress from the parcel, including, but not 72
110	110	limited to, the right to park. The notice and hearing 73
111	111	requirements under subsection (2) do not apply to a suspension 74
112	112	imposed under this subsection. 75
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121	121	F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
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125	125	(4) An association may suspend the voting rights of a 76
126	126	parcel or member for the nonpayment of any fee , fine, or other 77
127	127	monetary obligation due to the association that is more than 90 78
128	128	days delinquent. A voting interest or consent right allocated to 79
129	129	a parcel or member which has been suspended by the association 80
130	130	shall be subtracted from the total number of voting interests in 81
131	131	the association, which shall be reduced by the number of 82
132	132	suspended voting interests when calculating the total percentage 83
133	133	or number of all voting interests available to take or approve 84
134	134	any action, and the sus pended voting interests shall not be 85
135	135	considered for any purpose, including, but not limited to, the 86
136	136	percentage or number of voting interests necessary to constitute 87
137	137	a quorum, the percentage or number of voting interests required 88
138	138	to conduct an election, or the percentage or number of voting 89
139	139	interests required to approve an action under this chapter or 90
140	140	pursuant to the governing documents. The notice and hearing 91
141	141	requirements under subsection (2) do not apply to a suspension 92
142	142	imposed under this subsection. The s uspension ends upon full 93
143	143	payment of all obligations currently due or overdue to the 94
144	144	association. 95
145	145	Section 2. Paragraph (b) of subsection (9) of section 96
146	146	720.306, Florida Statutes, is amended to read: 97
147	147	720.306 Meetings of members; voting and election 98
148	148	procedures; amendments. — 99
149	149	(9) ELECTIONS AND BOARD VACANCIES. — 100
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158	158	F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
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162	162	(b) A person who is delinquent in the payment of any fee , 101
163	163	fine, or other monetary obligation to the association on the day 102
164	164	that he or she could last nominate himself or herself or be 103
165	165	nominated for the board may not seek election to the board, and 104
166	166	his or her name shall not be listed on the ballot. A person 105
167	167	serving as a board member who becomes more than 90 days 106
168	168	delinquent in the payment of any fee , fine, or other monetary 107
169	169	obligation to the associa tion shall be deemed to have abandoned 108
170	170	his or her seat on the board, creating a vacancy on the board to 109
171	171	be filled according to law. For purposes of this paragraph, the 110
172	172	term "any fee, fine, or other monetary obligation" means any 111
173	173	delinquency to the associat ion with respect to any parcel. A 112
174	174	person who has been convicted of any felony in this state or in 113
175	175	a United States District or Territorial Court, or has been 114
176	176	convicted of any offense in another jurisdiction which would be 115
177	177	considered a felony if committed in this state, may not seek 116
178	178	election to the board and is not eligible for board membership 117
179	179	unless such felon's civil rights have been restored for at least 118
180	180	5 years as of the date on which such person seeks election to 119
181	181	the board. The validity of any action by the board is not 120
182	182	affected if it is later determined that a person was ineligible 121
183	183	to seek election to the board or that a member of the board is 122
184	184	ineligible for board membership. 123
185	185	Section 3. Paragraph (a) of subsection (2) of section 124
186	186	720.311, Florida Sta tutes, is amended to read: 125
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195	195	F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
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199	199	720.311 Dispute resolution. — 126
200	200	(2)(a) Disputes between an association and a parcel owner 127
201	201	regarding use of or changes to the parcel or the common areas 128
202	202	and other covenant enforcement disputes, disputes regarding 129
203	203	amendments to the association documents, disputes regarding 130
204	204	meetings of the board and committees appointed by the board, 131
205	205	membership meetings not including election meetings, and access 132
206	206	to the official records of the association shall be the subject 133
207	207	of a demand for presu it mediation served by an aggrieved party 134
208	208	before the dispute is filed in court. Presuit mediation 135
209	209	proceedings must be conducted in accordance with the applicable 136
210	210	Florida Rules of Civil Procedure, and these proceedings are 137
211	211	privileged and confidential to the same extent as court -ordered 138
212	212	mediation. Disputes subject to presuit mediation under this 139
213	213	section shall not include the collection of any assessment , 140
214	214	fine, or other financial obligation, including attorney's fees 141
215	215	and costs, claimed to be due or any action to enforce a prior 142
216	216	mediation settlement agreement between the parties. Also, in any 143
217	217	dispute subject to presuit mediation under this section where 144
218	218	emergency relief is required, a motion for temporary injunctive 145
219	219	relief may be filed with the court without fir st complying with 146
220	220	the presuit mediation requirements of this section. After any 147
221	221	issues regarding emergency or temporary relief are resolved, the 148
222	222	court may either refer the parties to a mediation program 149
223	223	administered by the courts or require mediation under this 150
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232	232	F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
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236	236	section. An arbitrator or judge may not consider any information 151
237	237	or evidence arising from the presuit mediation proceeding except 152
238	238	in a proceeding to impose sanctions for failure to attend a 153
239	239	presuit mediation session or to enforce a mediated settlemen t 154
240	240	agreement. Persons who are not parties to the dispute may not 155
241	241	attend the presuit mediation conference without the consent of 156
242	242	all parties, except for counsel for the parties and a corporate 157
243	243	representative designated by the association. When mediation is 158
244	244	attended by a quorum of the board, such mediation is not a board 159
245	245	meeting for purposes of notice and participation set forth in s. 160
246	246	720.303. An aggrieved party shall serve on the responding party 161
247	247	a written demand to participate in presuit mediation in 162
248	248	substantially the following form: 163
249	249	STATUTORY OFFER TO PARTICIPATE 164
250	250	IN PRESUIT MEDIATION 165
251	251	The alleged aggrieved party, ................, hereby demands 166
252	252	that ................, as the responding party, engage in 167
253	253	mandatory presuit mediation in connection with the follow ing 168
254	254	disputes, which by statute are of a type that are subject to 169
255	255	presuit mediation: 170
256	256	(List specific nature of the dispute or disputes to be mediated 171
257	257	and the authority supporting a finding of a violation as to each 172
258	258	dispute.) 173
259	259	Pursuant to section 720.311, Flor ida Statutes, this demand to 174
260	260	resolve the dispute through presuit mediation is required before 175
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269	269	F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
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273	273	a lawsuit can be filed concerning the dispute. Pursuant to the 176
274	274	statute, the parties are required to engage in presuit mediation 177
275	275	with a neutral third -party mediator in order to attempt to 178
276	276	resolve this dispute without court action, and the aggrieved 179
277	277	party demands that you likewise agree to this process. If you 180
278	278	fail to participate in the mediation process, suit may be 181
279	279	brought against you without further warning. 182
280	280	The process of mediation involves a supervised negotiation 183
281	281	process in which a trained, neutral third -party mediator meets 184
282	282	with both parties and assists them in exploring possible 185
283	283	opportunities for resolving part or all of the dispute. By 186
284	284	agreeing to participate in presuit mediation, you are not bound 187
285	285	in any way to change your position. Furthermore, the mediator 188
286	286	has no authority to make any decisions in this matter or to 189
287	287	determine who is right or wrong and merely acts as a facilitator 190
288	288	to ensure that each party un derstands the position of the other 191
289	289	party and that all options for reasonable settlement are fully 192
290	290	explored. 193
291	291	If an agreement is reached, it shall be reduced to writing and 194
292	292	becomes a binding and enforceable commitment of the parties. A 195
293	293	resolution of one or more disputes in this fashion avoids the 196
294	294	need to litigate these issues in court. The failure to reach an 197
295	295	agreement, or the failure of a party to participate in the 198
296	296	process, results in the mediator declaring an impasse in the 199
297	297	mediation, after which the aggr ieved party may proceed to court 200
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306	306	F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
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310	310	on all outstanding, unsettled disputes. If you have failed or 201
311	311	refused to participate in the entire mediation process, you will 202
312	312	not be entitled to recover attorney's fees, even if you prevail. 203
313	313	The aggrieved party has selecte d and hereby lists five certified 204
314	314	mediators who we believe to be neutral and qualified to mediate 205
315	315	the dispute. You have the right to select any one of these 206
316	316	mediators. The fact that one party may be familiar with one or 207
317	317	more of the listed mediators does no t mean that the mediator 208
318	318	cannot act as a neutral and impartial facilitator. Any mediator 209
319	319	who cannot act in this capacity is required ethically to decline 210
320	320	to accept engagement. The mediators that we suggest, and their 211
321	321	current hourly rates, are as follows: 212
322	322	(List the names, addresses, telephone numbers, and hourly rates 213
323	323	of the mediators. Other pertinent information about the 214
324	324	background of the mediators may be included as an attachment.) 215
325	325	You may contact the offices of these mediators to confirm that 216
326	326	the listed mediators will be neutral and will not show any 217
327	327	favoritism toward either party. The Florida Supreme Court can 218
328	328	provide you a list of certified mediators. 219
329	329	Unless otherwise agreed by the parties, section 720.311(2)(b), 220
330	330	Florida Statutes, requires that the part ies share the costs of 221
331	331	presuit mediation equally, including the fee charged by the 222
332	332	mediator. An average mediation may require three to four hours 223
333	333	of the mediator's time, including some preparation time, and the 224
334	334	parties would need to share equally the media tor's fees as well 225
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343	343	F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
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347	347	as their own attorney's fees if they choose to employ an 226
348	348	attorney in connection with the mediation. However, use of an 227
349	349	attorney is not required and is at the option of each party. The 228
350	350	mediators may require the advance payment of some or all of the 229
351	351	anticipated fees. The aggrieved party hereby agrees to pay or 230
352	352	prepay one-half of the mediator's estimated fees and to forward 231
353	353	this amount or such other reasonable advance deposits as the 232
354	354	mediator requires for this purpose. Any funds deposited wi ll be 233
355	355	returned to you if these are in excess of your share of the fees 234
356	356	incurred. 235
357	357	To begin your participation in presuit mediation to try to 236
358	358	resolve the dispute and avoid further legal action, please sign 237
359	359	below and clearly indicate which mediator is accepta ble to you. 238
360	360	We will then ask the mediator to schedule a mutually convenient 239
361	361	time and place for the mediation conference to be held. The 240
362	362	mediation conference must be held within ninety (90) days of 241
363	363	this date, unless extended by mutual written agreement. In the 242
364	364	event that you fail to respond within 20 days from the date of 243
365	365	this letter, or if you fail to agree to at least one of the 244
366	366	mediators that we have suggested or to pay or prepay to the 245
367	367	mediator one-half of the costs involved, the aggrieved party 246
368	368	will be authorized to proceed with the filing of a lawsuit 247
369	369	against you without further notice and may seek an award of 248
370	370	attorney's fees or costs incurred in attempting to obtain 249
371	371	mediation. 250
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380	380	F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
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384	384	Therefore, please give this matter your immediate attention. By 251
385	385	law, your response must be mailed by certified mail, return 252
386	386	receipt requested, and by first -class mail to the address shown 253
387	387	on this demand. 254
388	388	........................ 255
389	389	........................ 256
390	390	RESPONDING PARTY: YOUR SIGNATURE INDICATES YOUR AGREEMENT TO 257
391	391	THAT CHOICE. 258
392	392	AGREEMENT TO MEDIATE 259
393	393	The undersigned hereby agrees to participate in presuit 260
394	394	mediation and agrees to attend a mediation conducted by the 261
395	395	following mediator or mediators who are listed above as someone 262
396	396	who would be acceptable to mediate this dispute: 263
397	397	(List acceptable mediator or mediators.) 264
398	398	I/we further agree to pay or prepay one -half of the mediator's 265
399	399	fees and to forward such advance deposits as the mediator may 266
400	400	require for this purpose. 267
401	401	........................ 268
402	402	Signature of responding party #1 269
403	403	........................ 270
404	404	Telephone contact information 271
405	405	........................ 272
406	406	Signature and telephone contact information of responding party 273
407	407	#2 (if applicable)(if property is owned by more than one person, 274
408	408	all owners must sign) 275
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417	417	F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
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421	421	Section 4. This act shall take effect July 1, 2022. 276