ISBA Statehouse Review for the week of July 16, 2015
ISBA Director of Legislative Affairs Jim Covington reviews legislation in Springfield of interest to ISBA members. This week he covers Condominium Property Act (House Bill 2640), Amends the Common Interest Community Association Act (House Bill 2640), Mortgage Foreclosure (Public Act 99-24), Common-Interest Community Association Act (Public Act 99-41) and Mental Health and Developmental Disabilities Confidentiality Act (Public Act 99-28). More information on each bill is available below the video.
Condominium Property Act. House Bill 2640 (Cassidy, D-Chicago; Steans, D-Chicago) makes the following changes to the Condominium Property Act. (1) Bylaws must require that each unit owner receive a copy of the proposed annual budget at least 25 (instead of 30) days before adoption by the board of managers.
(2) Authorizes a board to ratify and confirm actions taken in response to an emergency. Bylaws must require that the board of managers give notice to the unit owners of the emergency and general description of the actions taken because of the emergency within seven business days after the emergency.
(3) Provides that the condominium instruments may be amended with the approval of, or notice to, any mortgagee or other lienholder of record if required under the provisions of the instruments. Current law is only “with the approval of any mortgagees required under the provisions of the condominium instruments.”
(4) If there is an error in an instrument so that the instrument does not conform to the Act or other law, the association may correct the instrument by an amendment adopted by two-thirds of the board of managers without a unit-owner vote. If there is a provision in a condominium instrument requiring or allowing unit owners, mortgagees, or other lienholders of record to vote to approve an amendment to a condominium instrument, or for the mortgagees or other lienholders of record to be given notice of an amendment to a condominium instrument, that provision is not applicable to an amendment to the extent that the amendment corrects an omission, error, or inconsistency to conform the condominium instrument to the law.
(5) Expands what a board may discuss in a closed session to include “information relating to” litigation, employment, and a unit owner’s unpaid share of common expenses.
(6) Authorizes board members to participate in and act at any meeting of the board of managers in person, by telephonic means, or by use of any acceptable technological means in which all persons participating in the meeting can communicate with each other. This kind of participation constitutes attendance and presence in person at the meeting.
Amends the Common Interest Community Association Act. House Bill 2640 also deletes language providing that all provisions of the declaration, bylaws, and other community instruments severed by the Act shall be revised by the board of directors independent of the membership to comply with the Act.
Mortgage Foreclosure. Public Act 99-24 (Mulroe, D-Chicago; Lang, D-Skokie) provides that a court is not required to appoint a special representative for a deceased mortgagor to defend the action if there is a (1) beneficiary under a transfer on death instrument; (2) person or entity that was conveyed title to the property by the deceased mortgagor prior to death; (3) person or entity that was conveyed title to the property under the administration of the deceased’s estate; or (4) trust that was conveyed title to the property. Effective January 1, 2016.
Common-Interest Community Association Act. Public Act 99-41 (Hastings, D-Matteson; Kelly Burke, D-Oak Lawn) makes associations organized as limited liability companies subject to the Act. Effective July 14, 2015.
Mental Health and Developmental Disabilities Confidentiality Act. Public Act 99-28 (Nybo, R-Lombard; Guzzardi, D-Chicago) provides that records and communications made or created in the course of providing mental health or developmental disabilities services are protected from disclosure regardless of whether the records and communications are made or created in the course of a “therapeutic relationship.” Provides that “record” does not include a reference to the receipt of mental health or developmental disabilities services noted during a patient history and physical or other summary of care. Provides that “therapeutic relationship” means: (1) the receipt by a recipient of mental health or developmental disabilities services from a therapist; and (2) does not include independent evaluations for a purpose other than the provision of mental health or developmental disabilities services. Effective January 1, 2016.