GOV SIGNS AB 899 ON ASSOCIATION RECORDS: DEVIL’S IN THE DETAILS
CCHAL NewsBrief
November 16, 2009
"GOV SIGNS AB 899 ON ASSOCIATION RECORDS: DEVIL’S IN THE DETAILS" read the subject line in an email I received today. It seems timely as residents were talking about how to have better communication with the Association and even presented a petition of their concerns with over 200 signatures. This new law may help but only if you understand your rights and what it is you are 'opting' in or out of in terms of notifications and other rights.
There is a tremdeous learning curve happening right now by homeowners, Board of Directors and staff members. When new laws, such as AB 899 are effective January 2010, it leaves little study time. Here is the email:
GOV SIGNS AB 899 ON ASSOCIATION RECORDS: DEVIL’S IN THE DETAILS
Okay: let’s pay attention to this bill and read all the fine print. And
let’s be VERY CAREFUL when poking around this new law.
Yes, it lets associations deliver SOME association records electronically.
(Actually: did we really need a new law to let associations email us the
records?)
No: that’s not really the issue.What is REALLY needed, under the new law, is the CONSENT of each and every homeowner to RECEIVE the records via email. THE HOA CANNOT OBTAIN YOUR > “CONSENT” BY ADOPTING A RULE.
So, when you get the FORM from the association asking you for your CONSENT
to receive records electronically, be sure and read every word of it.
(Remember: the form might come by email too.)Keep in mind that the HOA form might do something creative like saying you have to OPT-IN or OPT-OUT, that is: unless you say, “I don’t want records emailed to me,” then your consent is assumed and put in a file drawer > somewhere.
If you’re asked to sign a paper document, make sure YOU ARE NOT WAIVING ANY RIGHTS by signing the form, e.g. your RIGHTS TO INSPECT AND COPY RECORDS > under Civil Code 1365.2 et seq. The HOA can’t tell you that, because it emailed you a report, you’re right to inspect and copy the records that WENT INTO THE REPORT is now voided.
Also make sure you are NOT WAIVING YOUR RIGHT TO SUE IN SMALL CLAIMS COURT > should the HOA deny you access to association records. Keep in mind that some of the records to be emailed are ONLY SUMMARIES of records, e.g. “The Assessment and Reserve Funding Disclosure” and the > “Alternative Dispute Resolution.” Summaries, remember, DON’T tell the whole > story. A summary is just that: a SUMMARY, not the details.
And here’s what ELSE doesn’t tell the whole story…even if you get the
financial reports, that doesn’t mean you know what documents were used to construct them. You may need the details, that is: to examine ENHANCED > ASSOCIATION RECORDS LIKE RECEIPTS, PURCHASE ORDERS, CANCELED CHECKS, > INVOICES in order to find out how your money is being spent.Remember too: if you don’t own a computer or if you just can’t stand getting any more emails or if you’d just rather hold in your hands a paper annual budget, then let the HOA know that you don’t want records emailed to you – > but snailmailed instead.
Begin to understand this new law by reading AB 899:
http://www.leginfo.ca.gov/pub/09-10/bill/asm/ab_0851-0900/ab_899_bill_20091011_chaptered.pdf
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