Commercial Signage
Defined. A commercial sign is one that displays a message on behalf of a company or individual for the intent of making a profit. It is economic in nature and usually has the intent of convincing the audience to purchase a specific product or service. Associations cannot prohibit noncommercial signage which implies they can prohibit commercial signs and flags from being posted (i) in the common areas and (ii) in separate interests. (Civ. Code § 4710.)
Real Estate Signs. "For Sale" and "For Lease" signs are deemed commercial signs. While associations may not ban signs and banners entirely (Civ. Code § 4710, Civ. Code § 4700), they may impose reasonable restrictions for aesthetic purposes. Associations may limit signs to one per unit and require that signs be removed within a reasonable time period following a lease or sale. Finally, associations may prohibit owners and Realtors from putting real estate signs, flags, and banners in the common areas. (Fourth La Costa v. Seith.)
Condominiums. Because condominium owners do not have a yard for posting signs, a sign may be placed in the window of the condominium. Owners can be limited to one sign. (Fourth La Costa v. Seith.) Some associations provide a bulletin board in the mail room or other common area locations for posting sales and rentals.
Planned Developments. Owners may post real estate signs on their separate interest, subject to reasonable restrictions adopted by the association. (Civ. Code § 712(a).) The location must be reasonable and in plain view of the public. A sign that conforms to the provisions of Civil Code § 713 shall be deemed to be of reasonable dimension and design.
No Common Area Signs. Associations can prohibit all signs in common areas.
Real Estate Marketing Restrictions
"Market" and "marketing" mean listing, advertising, or obtaining or providing access to show the owner's interest in the development.
As provided for in Civil Code § 4730, any rule or regulation of an association that arbitrarily or unreasonably restricts an owner's ability to market his or her interest in a common interest development is void. Boards may not do any of the following:
1. Impose an assessment or fee in connection with the marketing of an owner's interest in an amount that exceeds the association's actual or direct costs.
2. Establish an exclusive relationship with a real estate broker through which the sale or marketing of interests in the development is required to occur (except for separate interests owned by the association).
ASSISTANCE: Associations needing legal assistance can contact us. To stay current with community association issues, subscribe to the Davis-Stirling Newsletter.