May 10, 2009

AUTOMATIC FINES

QUESTION: If an owner is fined for a violation one month, then repeats the violation the following month, can we go straight to a fine or does the hearing process start over again?

ANSWER: You cannot levy fines without hearings. Like speeding tickets, getting one ticket does not mean all subsequent citations result in automatic fines. The accused gets an opportunity to contest each citation. The same applies to rules violations; each requires a hearing before fines can be levied.

TELECONFERENCING FOR
MEMBERS

QUESTION: Regarding directors joining meetings via teleconferencing, is the same right available to owners who cannot attend in person?

ANSWER: The Corporations Code provides for teleconference attendance by directors but not members. However, boards can voluntarily provide for remote membership attendance. Some associations broadcast their meetings over a private cable TV channel. Others are exploring internet broadcasts.

AREA CODE OVERLAYS

New area code overlays for telephones continue to be added throughout California. If your association has fire alarm monitoring equipment that alerts a company or the fire department whenever an alarm is activated, you need to make sure the automatic dialer has been upgraded to handle the new ten digit dialing requirement. This may also be true for elevator phones as well. To avoid potential liability, associations should immediately update their automatic dialers. Thank you to Craig Jacob of Management Emporium for pointing this out.

FLOOR NOMINATIONS

QUESTION: At the annual meeting, nominations from floor were requested. One person wanted to volunteer but wondered how anyone could vote for him if they had already voted with a mail-in ballot. What is the purpose of floor nominations if the voting is already complete?

ANSWER: That is one of the unintended consequences of the new election law. To fix this and other problems, we add director qualifications, eliminate floor nominations, get rid of cumulative voting, and drop quorum requirements whenever we amend an association's bylaws. It makes director elections run a LOT smoother.

18-YEAR OLD PRESIDENT

Feedback #1. Regarding your statement "I think 18 is too young to drink or vote," it amazes me that people do not think 18 is too young to go to war! There are some very bright 18-year olds out there. I say let's give them a shot at it. As the o'le saying goes, actions speak louder than words. Judge them on that. -Ingrid K.

Feedback #2. I was first elected to my community's board at age 17. I was the Secretary and Treasurer and was placed in that position as I was the most qualified of those elected or serving on the board. I was able to read and understand the financial statements and had better language skills. I was also the only one on the board that read the governing documents cover to cover and understood them. Age doesn't have much to do with it, maturity and common sense are better factors to judge by. As long as there is no conflict of interest and the person has the maturity and common sense to deal with the issues facing the community, let the person serve without judging them based on their age. Twenty years after first being elected and with a long break in between, I am again serving on the board and own my own management company. Funny how the future writes itself.... Maureen McCormick, Common Interest Community Management LLC, Rancho Cucamonga.

Feedback #3. I’m not a prude by any standard, but the 2nd paragraph in the answer to the 1st question seems wholly inappropriate. “Very close” can be an old friend from school, or a friend of the President’s parents, or any number of things other than painting this picture of promiscuity for the thousands of people who read Davis-Stirling.com. Perhaps it could have been left to suggesting that the President divulge to the association owners who elected her to the board the exact nature of her relationship with the manager, and that the manager should probably recuse himself or herself and have another manager assigned to the project. -Jim A.

RESPONSE: I agree, "very close" might be an old friend from school. When the writer used "extremely close" in quotes, that suggests more than just an old school friend. For that reason, a different manager should be assigned to the account--one who is not "extremely close" to any of the directors.

PRIVATE RECORDING
OF MEETINGS

QUESTION: I understand that it is illegal to record a conversation without the consent of the participants. Am I correct? Wouldn't everyone at the meeting have to give their okay to have the meeting recorded?

ANSWER: The Penal Code makes it a crime to record confidential conversations without the other person’s consent. However, it does not apply to open board meetings or to membership meetings. Such meetings are considered public forums for free speech purposes. As a result, recording an open meeting (as opposed to executive sessions) does not violate the Penal Code. However, the board can adopt rules against private recordings. For a more complete discussion on this subject, see "Private Recordings of Meetings."

Adrian Adams

  Very truly yours,
 
   Adrian Adams, Esq.
   Adams Kessler PLC


800-678-7171
LienCollections.com

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Adams Kessler
Professional Law Corporation

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