CAUTION! Flooring Penetrations May Result in Structural Changes

Many of our multi-story condominium communities are wood framed with wood flooring. Most high-rise communities are concrete structures with concrete flooring. Whether wood or concrete, flooring is an integral part of the structural integrity of the building.
The unfinished floors (i.e., slabs) provide lateral and vertical support, and are intended to be load bearing. A floor may also provide sound attenuation and may even prevent smoke and fumes from entering units.
Over the years, many associations have unwittingly approved penetrations through the structural flooring without requiring an analysis of how such penetrations will affect the structural integrity of the building as a whole. When these issues are subsequently raised at meetings, I often hear comments from boards such as, “we have always allowed owners to…” cut into the floors to install wiring, add ventilation ducts or install plumbing.
I reached out to Professional Structural Engineer, Carl Josephson, on this topic and he offered the following insight:

“When a wood floor or beam is cut improperly, usually a sag will occur, if not immediately, then over time. The sag may be very noticeable or only slightly noticeable. There may be cracking in wall or ceiling finishes to alert someone that there is a problem. However, when a concrete floor slab is improperly cut or notched, there may be some cracking or floor sag, but many times there will not be any noticeable distress. Concrete can fail quickly and abruptly. The best thing to do is to avoid the problem in the first place by checking with a qualified engineer before cutting or notching any concrete slabs, beams, columns, or other component parts.  If you suspect you could have a problem it may be necessary to carefully examine the area in question, review the original drawings and calculations (if they are available), test the concrete using ground-penetrating radar or other non-destructive techniques, in the worst-case scenario, core the concrete and chip out and expose some of the reinforcing steel.”

The tragedy in Surfside, Florida is a grim reminder of the need for constant vigilance over building modifications which may impact the structure. Rumors abound as to the cause of the Champlain Tower failure. It is likely that there were multiple factors that came together to cause the collapse.
While we will allow the courts to weigh in on liability, one issue that has been a source of speculation is whether penetrations in the concrete floors caused by an owner’s improvements was one of the contributing causes to the disaster. We have seen occasions where owners have requested floor penetrations and the retained structural engineer has responded, “no penetrations should be allowed, or the size of the penetrations should be modified.” On occasion, the risk of accidently cutting into the slab and damaging the post tension cables was a risk the board was unwilling to take.

So, what is the take away?

When an architectural application is received or when floor penetrations are noted, the affected area should be evaluated to determine whether any floor penetrations could affect the structural integrity of the building. Spending a few dollars now with licensed engineers may prevent a serious problem down the road.

Acclamation Decisions Have to be Made Early

By David A. Kline, Esq.

When Civil Code section 5103 became effective on January 1, 2022, many community association managers and board members celebrated the new authority for boards to approve nominees by acclamation when there are not enough candidates to hold a contested election. However, there are limitations on a board’s ability to approve nominees by acclamation and a decision needs to be made very early in the election planning process about whether approval by acclamation might be an option – long before the board will know how many nominees will ultimately emerge.

In order to approve candidates by acclamation, section 5103 requires several procedures to take place. First, notice of the nominating process and the possibility of an election by acclamation must be provided to all members by individual notice at least 90 days before the deadline for nominations. This requires the election process to begin at least 60 days earlier than is otherwise required to conduct an election under Civil Code section 5115(a). And, because 5103 requires individual notice of the nomination procedures, whereas 5115(a) only requires general notice, the additional cost of providing individual notice should be considered. Second, section 5103(b)(2) also requires providing a second, similar reminder notice to the members before the deadline for nominations, again by individual notice, that is not required by Civil Code section 5115 if acclamation is not an option.

The requirement to send notices by individual delivery places an added burden on associations. General notice of documents can be satisfied, under Civil Code section 4045, simply by posting a document in a prominent location or on the association’s website, if those locations are described in the Annual Policy Statement. (Though, it should be noted that individual delivery is required for any member who requests it.) And, while delivery by individual notice may be accomplished by email under Civil Code section 4040, most associations deliver individual notice by first class mail, postage prepaid, particularly if the association does not maintain evidence that every member has consented in writing to receive communications by email, as would be required for email delivery. So, in most cases, delivery by individual notice costs more than general notice.

The board must also consider whether there is sufficient time to provide a 90-day nomination period. For example, suppose the association’s bylaws require the annual meeting to be held in the first week of September. If, by the second week of April, the board has not instructed management or the inspector of elections to provide individual notice of a 90-day nomination period and possibility of election by acclamation, there would not be enough time to comply with the legal requirements of section 5103 to potentially allow the board to approve the nominees by acclamation.

So, as a practical matter, before nominees are sought, it would be prudent for the board to decide whether the additional time and expense of providing two notices by individual delivery is worth the benefit of potentially approving nominees by acclamation and saving the cost of mailing ballots and any other costs that might be incurred in an election.

On that note, a board that is inclined to hire a professional inspector of elections, rather than to rely on one or more homeowner volunteers, might not always save money by deciding to approve nominees by acclamation. Under Civil Code section 5115(b)(1), associations must provide notice to members of “the date and time by which, and the physical address where, ballots are to be returned by mail or handed to the inspector or inspectors of elections” at least 30 days before the ballots are distributed. Civil Code section 5115(c)(2) requires that the physical address where ballots are to be returned either be the inspector of elections’ address or an address specified by the inspector of elections. This means that the inspector of elections must be selected at least 60 days before the election date so that address will be included on the 5115(b)(1) notice. Since the board won’t know if balloting will be necessary until just before a 5115(b)(1) notice would need to be sent, it might not be practical to wait that long before hiring a professional inspector of elections. A possible option might be determining whether any prospective inspector consents to ballots being sent to the management company or some other location instead of directly to the prospective inspector.

Another issue to consider is whether the board may have any difficulty in achieving quorum on short notice at the latest opportunity to select an inspector of elections or may need to postpone the annual meeting. In addition, if the board waits that long before selecting an inspector of elections, it might be difficult to find an inspector of elections who is still available on the date of the association’s annual meeting. On the other hand, if the board signs a contract with a professional inspector of elections earlier in the process and the contract does not allow termination within 60 days of the election, the association may have an obligation to pay the inspector of elections, even if the election will be held by acclamation.

It’s also worth keeping in mind that the election of directors may be only one issue for the members to decide at the annual meeting. Ballots may still be needed for other items to be voted upon at the annual meeting, such as approval of the minutes of the prior annual meeting or an election under IRS Revenue Ruling 70-604.

Board members who are aware of this new ability to conduct elections by acclamation may be very enthusiastic to save money on unnecessary elections and might assume that management and/or the inspectors of elections will comply with all requirements to enable the board to approve nominees by acclamation. Likewise, management might assume that the board would prefer to save money on the cost of mailing notices by individual delivery – costs that may turn out to have been unnecessary if more candidates than open board positions emerge.

It’s important for the board and management to communicate their expectations long before the next annual meeting (ideally at least six months before the next annual meeting) to avoid any misunderstandings. Be prepared to discuss the association’s cost and method of providing individual notices and general notices to the members, the cost of printing and mailing ballots, the availability of various professional inspectors of elections on the date of the annual meeting, the termination provisions in the contracts proposed by those inspectors of elections, the fees charged by management to attend board meetings and annual meetings, and the likelihood of finding more nominees than seats available on the board.

The following table may provide a helpful guide for those discussions:

Procedure Acclamation Election by Ballot Comparison
Notice of Nomination Procedures and possibility of election by acclamation – 90-days before deadline for nominations.

– Individual delivery required

– 30 days before deadline for nominations

– General delivery is acceptable

Acclamation requires a longer nomination period and may require more postage
Nomination and possibility of election by acclamation reminder notice – 7-30 days before deadline for nominations

– Individual delivery

Not required


Acclamation requires an additional notice, which may require more postage
Board meeting to approve by acclamation Open board meeting required No board meeting required. An additional board meeting may be required to approve nominees by acclamation.
Inspector of Elections Not needed since no ballots will be counted Must be selected at least 60 days before election. It’s prudent to select an inspector of elections before the deadline for nominations.  But, if the association cannot terminate its contract with a professional inspector of elections, it may have to pay for services that are unnecessary.
Ballot delivery Not necessarily required Must be mailed or delivered to all members Acclamation could save the cost of printing and mailing ballots



CACM Law Seminar & Expo – Cheers to 30 Years!

“A Toast to…”

Thank you to everyone who stopped by our booth at the 2022 CACM Law Seminar & Expo.  We loved seeing you in-person after two long years and “toasting” with you to celebrate!

We hope you enjoy all of the toasts from our fellow colleagues… Cheers!

“Never cross-pollenating legal opinions” – Marybeth O. Green, Seabreeze Management Company  **WINNER**

“Here’s to you, here’s to me, here’s to Epsten for keeping HOA free (of lawsuits)” – Therese McLaughlin, Phonc Professional HOA Consultants, Inc. **WINNER**

“CACM” – Lisa C. Terry, TOTAL Property Management, Inc.

“Educated Managers & Management Companies” – Loni Peterson, Solera Oak Valley Greens Association

“Jon Epsten” – Mindy Dent, The Management Trust

“Kindness” – Karina Reta, Powerstone Property Management

“Everything good” – Amanda Nevarez, Powerstone Property Management

“A happy life” – Maxwell G. Cawthon, Weldon L. Brown Company, Inc.

“Covid because it brought out the best in people and it tested our strength” – Laura Hurtado, Meissner Commercial Real Estate Services

“End of the pandemic” – Shahla Agha, Powerstone Property Management

“To all the hard working managers” – Claudia Sitta, Professional Community Management

“Epsten, wishing you all the best” – Therese Chrzan, Castle Breckenridge

“Drinking!” – Megan Daniel, Powerstone Property Management

“My village” – Brianna Miers, Powerstone Property Management

“Being able to pivot!” – Devon Nichols, Powerstone Property Management

“Living in the moment” –  Aly Lopez, First Service Residential

“Good things to come in 2022” – Samantha Lacy, Powerstone Property Management

“Seeing everyone in person” – Steven M. Cammarata, Cammarata Management, Inc.

“Cheers to an amazing year” – Wendy Mullens, Balboa Management Group

“Happy Friday” – Marlena Martinez, The Management Trust

“Freedom” – Megan Daniel, Powerstone Property Management

“Lets continue to keep an open and honest outlook with everyone we meet” – Cheryl Weepie-Garcia, Huntington West Properties, Inc.

“All Managers” – Michelle Mata, The Management Trust

“Cheers! The pandemic is over!” – Joann Pucello, Phonc Professional HOA Consultants, Inc.

“May the road of happiness lead you to beautiful things!” – Linda Sanchez, Ross Morgan & Company, Inc.

“Another 30 years!” – Gerard K. O’Donnell, Interpacific Asset Management

“CACM may the next 30 years be as great as the last 30 years!” – Antoinette Stratton, Balboa Management Group

“Good riddens Covid-19” – Valerie Vanhorn, Walters Management

“New friends, starting all over, and all that attended today” – Cynthia Solis, Jenkins Real Estate and Property Management

“Boards, managers, and vendors all working together to achieve quality in the communities” – Laurel Dial, Consensys Property Management

“Emily and her amazing fam” – Meredith Leatherman, Albert Management, Inc.

“To CACM’s 30 years and to the next 30 years of great services and education” – Robert Muratalla, Professional Community Management

“Getting together after Covid” – Cari Burleigh, Seabreeze Management Company

“The resilience and courage of the American people” – Marina C. Masar, Dynamic Property Group

“Gathering again, mask free” – Roseanne Zemming, Cannon Management

“Friends, family & Jenkins” – Charla Duncan, Jenkins Real Estate & Property Management

“Happy 30th!” – Kaylynn Hudson, The Management Trust

“Life! It is too short, live it today before it is gone & smile” – Stephanie Schumann, The Management Trust

“Epsten!” – Brian C. Blackwell, West Coast HOA Management Firm, Inc.

“Finally being all together again” – Heather Panek, Cannon Management

“To old friends” – George Gallanes, Weldon L. Brown Company, Inc.

“It’s all going to be ok!” – Jessica Williams, The Prescott Companies

“Happy dirty 30!” – Paola Scrimsher, The Prescott Companies

“Health, love & happiness” – Dawn Livingston, GRG Management, Inc.

“To get rid of the Covid pandemic!” – Michelle Espinoza, Powerstone Property Management

“Positive happy today, tomorrow & always!” – Maria Miller, Niguel Shores Community Association

“49ers winning the Super Bowl” – Kelly Thompson, Action Property Management, Inc.

“Blessing of children” – Brenda P. Wesley, Weldon L. Brown Company, Inc.

“Erin GoBragh! May the luck of o’ the Irish be with us for another 30 years!” – Janine Weston, Hammer Real Estate

“Live music” – Rebecca McDonald, Walters Management

“Live life like there is no tomorrow. Never know what tomorrow will bring” – Christina Mercer, Powerstone Property Management

“Family’ – Salle Yerumyan, LBPM Properly Managed

“Covid almost over!” – Hugo Herrera, LBPM Properly Managed

“Continuing zoom meetings” – Catie Contreras, Action Property Management, Inc.

“Ukraine” – Jenny Mucha, Lake Forest II Master Homeowners Association

“Life is beautiful and so are you!” – Julie Gould, Pernicano Realty & Management, Inc.

“Our friend of many years, we miss you Brenda!” – Nancy Blasco, Stone Kastle Community Management, Inc.

“For the next 30 years. Meow!” – Grace Babcock, The Management Trust

“Life!” – Christie Alviso, Stone Kastle Community Management, Inc.

“Cheers to waking up to another day” – Dee Rowe, Walters Management

“Happiness, health, love & life” – Deena Arvizu, Walters Management

“Unity & equality” – Leeann Polarek, Baldwin Real Estate Management

“Professionalism and growth in an amazingly important industry” – Kelly McGalliard, PGA West Residential Association, Inc.

“Peace and health for everyone!” – Angelica Chacana, LBPM Properly Managed

“Health & happiness for a better 2022!” – Carol Calhoun, Associa Desert Resort Management

“Being able to see all our colleagues again” – Jamie Kim, Walters Management

“The dog poop that will still be on the lawn on Monday” – Debbie Graffam, Next Step Community Management

“The house always wins!” – Alysia Dale, Powerstone Property Management

“Sun City Lincoln Hills!” – Staci Erksine, Sun City Lincoln Hills Community Association

“Cheers to learning zoom!” – Tiffani Santiago

“A great dress!” – Kara Wright, Powerstone Property Management

“Waking up!” – Robert E. Sides, Regatta Seaside HOA

“A successful and healthy year to all of our friends, family & business partners!” – Ashley Herrera, Powerstone Property Management

“Living life” – Kimberly Harrigan, Camco Condominium Association Management Company

“Getting together!” – Maria Grant, The Management Trust

“More business account money!” – Marinel Castillo, LBPM Properly Managed

“Good times to come in future years” – Marilyn Smith, Powerstone Property Management

“Love each other” – Nicole Villegas, GRG Management, Inc.

“Covid is behind us!” – Jerry C. Storage, Desert Princess

“The amazing people that work in this industry. You are the reason I am able to do my job…seriously” – Vanessa Silva, The Management Trust

“Good health” – Miguel Torres, Powerstone Property Management

“Continual Growth” – Linda Sok, CondoServices

“30 more years” – Pam Cooper, Accell Property Management

“Life. Life is precious. Cherish every moment” – Amethyst Schy, The Management Trust

“God bless Ukraine” – Jerry McDonald, Coronado Shores Landscape & Recreation

“Life” – Amy Yankauskas, The Management Trust

“MLB coming back. Go Angels” – Mallory Whalen, Associa Equity Mangement & Realty Services

“Civility & restraint” – Devon Nichols, Powerstone Property Management

“Cheers to 30 years” – Kari Martin, The Management Trust

“30 years to CACM” – Brenda Baker, Condominium Management Services

“Pivot through 2022 – soar for the sky! The Sky’s the limit” – Amelia Marques, Huntington West Properties, Inc.

“Where would I be without you!” – Sheryl Kaonis-Rochon, EBMC

“Taking life to the next level. Surpassing all my wildest dreams” – Claire Hosking, Summit Property Management, Inc.

“Me & you” – Ana Ryustem, Interpacific Asset Management

“To those I loved & lost. Till we meet again” – Kathleen Wright, North Coast Village HOA

“Being in person again!” – Alyssa Carle, Powerstone Property Management

Use of Association Technology by Members

By Rhonda R. Adato, Esq.


  • Does your community have a media room?
  • Does your community offer computers for use by residents?

If so, this article is for you! Stay safe and ensure your community has a record of who is using association technology and how.

Logging into Association-Owned Devices

Some community associations allow residents to access the internet on association-owned devices, such as tablets or computers located in a community clubhouse or business center. However, it is important for such associations to consider implementing safeguards to keep residents accountable for their online activity and restricting accessing to certain websites and content, or in some unusual cases completely restricting access to the internet.

One method of monitoring and restricting access is requiring each resident to log in to association-owned devices using a unique, association-assigned username and password. This will make it easier for the association to track the activity of each resident, if needed. The association may also want to consider blocking specific residents from using its devices at all. For example, certain residents may be barred from accessing the internet as a result of prior criminal activities.

Our firm is not an expert in cybersecurity or information technology (“IT”). Therefore, we recommend consulting with a qualified expert regarding securing an association’s devices, implementing resident log-in requirements, restricting access to undesirable websites, etc. We also recommend consulting with association counsel regarding the type of digital safeguards each community is authorized to implement.

Finally, associations may want to consult with their insurance broker and legal counsel to ensure they’re adequately protected from potential liability in connection with a homeowner’s misuse of an association-owned device.

Here’s to (safely) surfing the Web!

Use of Timers to Stay on Schedule During Board Meetings

By Tiffany L. Christian, CDMP, PCM

One of the key components to running an efficient board meeting is to start on time and end on time. Easy enough, right? Well, we know that is not always the case.

Although most of us are meeting experts, the one challenge many of us face is when discussion goes on too long. Whether it’s discussion on an agenda item, homeowner forum or otherwise – it is difficult to interrupt someone when they are passionate about their topic and wont allow you or anyone else to get a word in edgewise.

So, here is an age-old pro-tip, with a techy twist… Use a (web) TIMER!

Meeting virtually? Even better! Open your web browser, search “Google Timer,” (or any other web browser you like), enter your time limit for the discussion at hand, click on the full-screen icon and share your screen via the virtual meeting platform.

As long as you notify your participants in advance that timers will be used to stay on schedule, you are golden. When the timer goes off their time is up.

If the meeting is virtual and they continue to speak, give them a courtesy 5 seconds and then take advantage of the “mute” audio feature.

You’re welcome. We are always here to help!
– Epsten, APC


Back to Attorneys



Attorney at Law

Practice Areas

Community Association Counsel

Legal Assistant: Olivia Castro


University of California, Riverside, 2014
University of California, Irvine School of Law, 2018

Affiliations and Memberships

State Bar of California
State Bar of Oregon
Community Associations Institute (CAI)
California Association of Community Managers (CACM)
San Diego County Bar Association


Lindsay J. Anderson joined Epsten, APC in January 2022 and is a member of the California and Oregon State Bars. Before joining Epsten, APC, Lindsay spent three years representing lenders and brokers in real estate related transactions. Lindsay has extensive experience with contract drafting and negotiation.

Lindsay attended the University of California, Irvine School of Law, where she earned her Juris Doctor degree in 2018. While attending law school, Lindsay participated in the Community and Economic Development Clinic representing community organizations and advising on company formation and corporate governance. Lindsay assisted a homeowners association made up of mobile home park residents apply for financing, prepare for ownership, and purchase their mobile home park so that they could ensure their housing will remain affordable in the years to come.

Prior to law school, Lindsay obtained her Bachelor of Arts in History/Law and Society from the University of California, Riverside in 2014. She was inducted into Phi Beta Kappa Honor Society as a junior in 2013. In 2014, Lindsay was given the Dean Loda Mae Davis Commencement Award which recognizes a graduating woman for her outstanding participation in campus activities, leadership in campus organizations, and academic achievement. Lindsay was also privileged to serve as President of the UC Riverside chapter of Golden Key International Honour Society.

Honors & Awards

  • Phi Beta Kappa Honor Society
  • Golden Key International Honour Society
  • Upcoming Events & Speaking Engagements

    Free 1st Fridays – Attorney Q & A @ Virtual via Zoom
    Oct 7 @ 12:00 pm – 1:00 pm

    Complimentary Q&A Style Zoom Webinars
    with Epsten, APC Attorneys for local Southern California Community Managers on the
    1st Friday of most months – 12:00 noon to 1:00 p.m.


    When Lindsay is not at the office, she enjoys reading for pleasure, exploring new places, and trying unique foods.

    She loves going to drive in movies and seeing live music. She also loves spending time with her husband and two cats.

    Contact Attorney


      Reservation of Rights Letters: What are They and What Should You Do if Your Association Receives One?

      By Jack S. Fischer, Esq. & Lindsay J. Anderson, Esq.

      Your Association gets sued by a homeowner. You reach out to your insurance company to let them know about the lawsuit then you sit back and relax because insurance is going to cover everything, right? Do not get too comfortable!

      Insurance companies may not cover everything, or anything, that you believe they should. How do you know what the carrier is going to cover during the course of this particular lawsuit? Look no further than the reservation of rights (“ROR”) letter. Your insurance company is required by law to provide you, as its insured, with a reservation of rights letter detailing all possible limitations on coverage that the insurer may rely on in connection with adjusting the claim or suit.

      Basic Definitions

      Before we can understand what the insurance company is saying in its ROR letter, we need to understand the jargon that’s typically included in the letter. The following definitions provide the basics.

      • Duty to Defend: Used to describe an insurer’s obligation to provide you with a defense to claims made under an insurance policy. As a general rule, an insurer’s duty to defend you arises when there is potential for coverage under a policy.
      • Duty to Indemnify: Used to describe an insurer’s obligation to pay the claim, by funding a settlement or paying a judgment against the insured. Unlike the duty to defend, which is typically determined at the outset of the litigation, the duty to indemnify arises when the facts establish that there is a covered loss under the policy.
      • Tender: Under the terms of your insurance policy, you must give your insurance carrier notice of any claim or suit being made against the Association. Such notice includes a demand for defense (i.e., duty to defend) and indemnity (i.e., duty to indemnify) under the policy.
      • Trigger or Coverage Trigger: Refers to the event that must occur before a liability policy applies to a given loss.

      What is a Reservation of Rights Letter?

      The ROR letter will be a letter from your insurance company which notifies you of the carrier’s coverage position, including any limitations on coverage that may act as a complete or partial bar to coverage. The ROR letter also affords the insurer an opportunity to undertake a more thorough factual investigation into the claim without waiving its rights to deny or limit coverage at a later date.

      ROR letters vary in form depending upon the insurance company but, in general, include a summary of the factual background surrounding the current claim, a detailed analysis of the applicable insuring agreement and applicable exclusions (i.e., intentional acts, breach of contract, no monetary damages being sought) and endorsements which may impact coverage, a reservation of rights, and, in some instances, a denial of coverage for some or all of the claims. Since ROR letters may be long and winding with insurance terms and phrases peppered throughout, they are difficult to understand.

      What are the Insurance Company’s Duties (Refer to Definitions Above)?

      The duties of an insurance company are set forth in the Insuring Agreement section of the policy. Typically, an insurer has two distinct duties – the “duty to defend” and the “duty to indemnify.” In California, the duty to defend is “triggered” when there is any possibility, no matter how remote, that the claim would be covered under the policy. Where your carrier defends an entire action where only a portion of the claims are covered, the carrier may seek reimbursement from you for any defense fees and costs incurred in defending the non-covered claims.

      Under the typical scenario where an insured is faced with a third-party claim for monetary damages, the carrier is obligated to defend the action if, under the facts known, there is a possibility of coverage under the policy. Once a carrier’s defense obligations have been “triggered”, the carrier is obligated to hire counsel, retain experts, investigate the claim, pay defense costs, and defend the case through disposition.

      The duty to indemnify is the insurance company’s duty to pay any monetary judgment (i.e., damages) rendered against an insured for a covered loss. A carrier’s indemnity obligations are limited by the terms of the insurance contract and should be detailed in the ROR letter.

      Why is an ROR Letter Important?

      California’s insurance regulations require an insurance company to provide you with a written response to a request for defense and/or indemnity. That response typically comes in the form of the ROR letter which puts you on notice of any limitations or exclusions to coverage. Knowing what is, and more importantly what is not, covered under the policy is crucial to making strategic decisions regarding the handling of the claim. By way of example, the ROR letter can assist the Association and its defense counsel in evaluating a settlement demand and determining whether or not it is in the Association’s best interests to settle a claim. However, it is worth noting that the decision to settle typically rests entirely with the insurance company.

      The ROR letter is also how an insurance company reserves its rights to either deny or limit coverage under the policy and to recover defense fees and costs expended in connection with the defense or settlement of uncovered claims. Under California law, the carrier’s coverage defenses may be waived where the insured relies upon the carrier’s failure to specifically reserve its rights under the policy.

      What Should You Do if Your Association Receives an ROR Letter?

      Receiving an ROR letter from an insurance company may feel intimidating. However, knowing what to do and what to look for when you receive an ROR letter are crucial in getting a handle on the carrier’s coverage determination.

      1. Your first step when you receive an ROR letter should be to share it with your attorney.
      2. The next step is to carefully review the policy exclusions and endorsements and discuss them with your insurance professional so that you can work within your budget to buy the broadest coverage available.

      Fannie Mae & Freddie Mac Lending Questionnaires Webinar

      How to Handle Fannie and Freddie Lending Questionnaires

      New Webinar
      Tuesday, March 1, 2022 at 12:00 p.m.

      Join leading attorneys and a loan funding expert from around the state in an unusual, candid discussion about implementation of the new condo/co-op lending certification requirements imposed by Fannie Mae and Freddie Mac.

      This 75-minute Zoom presentation will be moderated and include a Q&A session. Don’t miss this lively discussion about the most up to date information on the following hot topics:

      • New lending requirements
      • How managers are reacting to them
      • The risks Associations, managers and directors face if they do (or don’t) respond to lender certification requests
      • Ways to minimize those risks
      • Financing alternatives

      Register for free to save your spot. One (1) hour of CAM-ICB credit is pending approval to help managers meet continuing education requirements.

      Suspended Status with Secretary of State

      All businesses, including common interest developments must register via the Secretary of State (SOS), file tax returns and pay their taxes, and submit a Statement of Information every two years. Failure to properly comply with these requirements will result in a “suspended status” with the State.

      When a corporation is suspended, the corporation can take very few actions other than becoming reinstated. Once suspended, legal counsel is unable to assist the association with any legal needs other than reinstating the corporate status to active. Generally speaking, a suspended association cannot prosecute or defend litigation matters in its own name until reinstated.

      It is critical to the Association’s operations that the corporation remain in good standing. Check your association’s status here. If you need assistance in getting reinstated, we can help.