Page 9 - New England Condominium April 2020
P. 9

NEWENGLANDCONDO.COM  NEW ENGLAND CONDOMINIUM   -APRIL 2020     9  185 Devonshire Street, Suite 401, Boston, MA 02110  Quality Representation at Reasonable Rates.  (617) 988-0633  Contact Attorney Frank Flynn:  FRANK@FLYNNLAW-NE.COM  Flynn_E4C.qxp:Layout 1  12/8/14  2:30 PM  Page 1  Quality Since 1974  • AGED DARK   • AGED BLACK • MIX   • HEMLOCK   • WOOD CHIPS  1431 Bedford St.   Abington, MA02351  Bus: 781-878-3351  r.a.piercetrucking@gmail.com  www.rapiercetrucking.com  a third possibility: when owners or share-  holders read this article.”  Experts agree that the two main factors   that compel boards to review and possi-  bly update their association’s or corpora-  tion’s governing documents are changes   in federal or state laws, and obsolete or   problematic language  in the documents   that at best make it difficult for the board   to make governance decisions, and at   worst open the board to liability. Shap-  iro points out an important, if extreme,   example of the latter: older associations   may still have covenants on their books   that would be considered discrimina-  tory today. Obviously, and for an array of   reasons, those can’t be left in place. Hav-  ing discriminatory rules, regulations, or   policies of any kind in your documents   — even if they’re not enforced — is con-  sidered discriminatory, and not only can   lead  to  liability  and  possible  financial   penalties, but also can have a corrosive   effect on a community as a whole.  Additionally, says Weinstein, as con-  dos and HOAs have proliferated and   outnumber co-ops by larger and larger   margins, their more lenient  provisions   make them more appealing places to live   for many — particularly younger buyers   — and may put co-ops at a disadvantage   when it comes to attracting new purchas-  ers. “Co-ops may be restrained by old-  fashioned regulations that may make at-  tracting new shareholders difficult, such   as no subletting, no pets, et cetera,” she   says. “Buyers may be turned off. Co-ops   may want to examine their documents to   make them more ‘condo-like’ to attract   potential buyers.”    Additionally, adds Reich, these same   provisions may contain outdated lan-  guage — or omit language necessary to   deal with modern-day realities and mo-  res. “Omission is even more problematic   than obsolete language,” he says.  “Ad-  ditionally, legal  decisions taken since   the documents were written may re-  quire changes or amendments to reflect   them.  Many  current  issues  didn’t  exist   when these leases \[and other documents\]   were written.” A good example of that is   smoking  — both  in  common  areas  and   private units. Today, smoking policies   UPDATING...  continued from page 1  or Crisis Text Line by texting “start” to   741-741.  Wendy King is the Director of Health   and Performance for insurance brokerage   HUB International and a leader in the fi eld   of healthcare communications and cor-  porate wellness strategy, managing HUB’s   team of health and performance experts.   You can fi nd her blog at https://www.hu-  binternational.com/blog/2020/03/reduc-  ing-stress-during-social-distancing/.   n  must be codified and made public. Ban-  ning  smoking entirely usually  requires   an amendment, which would require a   building-wide shareholder vote.  Hot Topics  As Reich observes, many issues fac-  ing today’s co-ops and HOAs didn’t ex-  ist  when  their leases  and  other  founda-  tional documents were written as much   as 40 or even 50 years ago. Consider the   requirement  that  boards  meet monthly   to make decisions about the operation   of the building, for one example. Tele-  meetings didn’t exist at that time — so   contemporary options for meetings need   to be incorporated into governing docu-  ments. (The caveat here being that votes   on some issues may be required by law   to be made in person — so consultation   with legal counsel is crucial to make sure   that any alterations to documents are   compliant in this regard.)  Another major consideration today   is the rewriting of documents to reflect   changes in attitude toward gender. For   example, Weinstein  explains how old   leases and bylaws refer to shareholders   and owners almost uniformly as male —   and often incorporate such language as   “the shareholder and his wife.” In writing   a new lease today, she says, she adjusts   the language in it to be gender neutral   and applicable to everyone in the com-  munity.  Other major considerations that   should be taken into account when mak-  ing governing documents more con-  temporaneous are clauses dealing with   occupancy  —  including  who  may  live   in an apartment, when, and under what   circumstances, as well as repair respon-  sibilities, smoking, flip taxes, and sublet-  ting policies. Weinstein explains that the   use provision in co-op proprietary leases,   which governs who can live in the unit,   may permit a child or parent of a share-  holder to live in the unit with them, but   not if the primary unit owner or share-  holder is not themselves occupying the   unit. So, if a shareholder in Boston wants   to move to Florida, but wants to let their   adult child — and perhaps that adult   child’s family — live in the apartment,   that  may  well  be prohibited.  The  exist-  ing language may be too vague or too   restrictive, and might require some re-  definition. The same is true of subletting   provisions, says Weinstein; the language   in these is often vague, and needs to be   made crystal-clear. Additionally, some   condos  —  which  traditionally  are  ex-  tremely liberal with lease provisions for   non-owner tenants — are taking a page   from co-op buildings and requiring more   scrutiny and supervision of tenants.  Provisions dealing with repairs often   need clarification as well. Too often, a   board and an owner may end up in con-  continued on page 10 


































































































   7   8   9   10   11