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In a building of 4 condos (with ownership of 25%, 25%, 32%

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and 18%) what percentage of...
In a building of 4 condos (with ownership of 25%, 25%, 32% and 18%) what percentage of votes is needed and by who (board only or all owners) to get approval of building rules and regs in the city of Chicago?
Submitted: 1 year ago.Category: Real Estate Law
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9/18/2016
Real Estate Lawyer: Attyadvisor, Attorney replied 1 year ago
Attyadvisor
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Customer reply replied 1 year ago
Ok. When should I expect a reply?
Real Estate Lawyer: Attyadvisor, Attorney replied 1 year ago

I am putting together the information.

"Unlike the declaration and bylaws, an association’s rules and regulations are not required to include any particular provisions. As stated in the introduction, there is no requirement that an association, be it condominium, townhome or other, adopt rules and regulations at all. But there are a number of day-to-day concerns of individual owners, and the community as a whole, that are not typically included in declarations and/or bylaws and must therefore be addressed and codified in a separate document. That document is a set of rules and regulations.

III. What types of provisions are appropriate for inclusion in a set of rules and regulations?

The specific needs and concerns of a community truly dictate what provisions would be appropriately included in a set of rules and regulations. For illustrative purposes, the following areas of concern are routinely addressed by way of rule:

A. parking;
B. storage of personal items;
C. exterior appearance of units/homes (architectural controls);
D. disposal of refuse;
E. use and enjoyment of common areas;
F. appearance and use of limited common areas;
G. landscaping on individual lots;
H. use and storage of play equipment;
I. pets, and;
J. satellite dishes/over-the-air reception devices.

IV. Procedures and considerations for creating, adopting and enforcing rules and regulations.

A. Creation.

One of the first questions a community should ask, and answer, prior to adopting certain rules is whether or not the proposed rule is necessary. If the item of concern is already addressed in either the association’s declaration or bylaws, the additional rule may be superfluous. Further, if the declaration and/or bylaws specifically address the issue at hand, the association may not change the language contained in the declaration and/or bylaws by adopting a rule. Any rule that is contrary or in conflict with a similar provision in the declaration and/or bylaws will be invalid and unenforceable. The only way to modify, alter or overturn a provision in the declaration and/or bylaws is to amend that specific document. The declaration and/or bylaws may not be amended, modified or rescinded by passage of a rule. If, however, the declaration and/or bylaws contain no provisions addressing the association’s specific concern, adopting a rule to govern the desired conduct is appropriate. Lastly, the rule adopted by the community may not conflict with statutory law.

Other than determining whether a proposed rule conflicts with the law or the association’s declaration and/or bylaws, the most important consideration when drafting a rule is to avoid vagueness. If an owner does not know what he or she is permitted or prohibited from doing, the association will have a difficult time enforcing the rule. Therefore, all rules should be drafted as narrowly as possible to avoid any “gray areas” or confusion.

B. Adoption.

For common interest communities, there are no specific statutory procedures to be followed for adopting rules and regulations. For those communities, the declaration and bylaws must be consulted to determine the appropriate process. Should the governing documents be silent, the discussion below with respect to condominium associations and the procedures to be employed would be appropriate for all such communities. The procedures for adoption are significant as if an owner challenges a rule, a court will be called upon to determine: 1) whether the rule is enforceable and 2) whether the owner violated the rule. The association must follow its own procedures established by its governing documents or, for condominium associations, those procedures established by the ICPA. Should those procedures not be followed, then the rule is not likely to be enforceable. Attention to procedure is of critical importance to assure the enforceability of an association’s rules.

For a condominium association, section 18.4 of the ICPA governs the procedures condominium associations must employ when seeking to adopt or amend rules and regulations. First, once the board has developed the rule or rules it seeks to adopt, the same should be prepared in written form, suitable for distribution to the owners. Section 18.4(h) of the ICPA requires that all owners be given the full text of the proposed rules along with the notice of the meeting at which discussion of the rules will take place. Notice of such a meeting, which must include a copy of the full text of the proposed rule or rules, is to be delivered to the owners not more than 30 and not less than 10 days prior to its scheduled date. Voting on whether to adopt or amend rules and regulations is within the specific purview of the board. Once the meeting to discuss the rules has been held, the board, by majority vote, will determine whether the rules are adopted." http://www.keaycostello.com/covenant-enforcement/rules-regulations-2/

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Real Estate Lawyer: Attyadvisor, Attorney replied 1 year ago

(765 ILCS 605/18.4) (from Ch. 30, par. 318.4)
Sec. 18.4. Powers and duties of board of managers. The board of managers shall exercise for the association all powers, duties and authority vested in the association by law or the condominium instruments except for such powers, duties and authority reserved by law to the members of the association. The powers and duties of the board of managers shall include, but shall not be limited to, the following:

(h) To adopt and amend rules and regulations covering

the details of the operation and use of the property, after a meeting of the unit owners called for the specific purpose of discussing the proposed rules and regulations. Notice of the meeting shall contain the full text of the proposed rules and regulations, and the meeting shall conform to the requirements of Section 18(b) of this Act, except that no quorum is required at the meeting of the unit owners unless the declaration, bylaws or other condominium instrument expressly provides to the contrary. However, no rule or regulation may impair any rights guaranteed by the First Amendment to the Constitution of the United States or Section 4 of Article I of the Illinois Constitution including, but not limited to, the free exercise of religion, nor may any rules or regulations conflict with the provisions of this Act or the condominium instruments. No rule or regulation shall prohibit any reasonable accommodation for religious practices, including the attachment of religiously mandated objects to the front-door area of a condominium unit.

(l) Method of adopting and of amending administrative rules and regulations governing the operation and use of the common elements.
(m) The percentage of votes required to modify or amend the bylaws, but each one of the particulars set forth in this section shall always be embodied in the bylaws.

http://www.ilga.gov/legislation/ilcs/ilcs3.asp?ActID=2200&ChapAct

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Real Estate Lawyer: Attyadvisor, Attorney replied 1 year ago

If the declaration and bylaws of the master association authorize this power, the directors may adopt rules and regulations without a vote of the ownership. Although the owners should receive a copy of the rules before adoption, the ultimate decision on new regulations by a board with rule-making authority will be made by the directors.

Rules are legal documents because the authority of the board to adopt the rule is contained in the applicable statute as well as the declaration and bylaws. Rules derive from the authority of the board and the recorded document.A board of a master association has the power to levy and collect fines for rules violations.”

http://articles.chicagotribune.com/2012-09-13/classified/ct-mre-0916-condo-adviser-20120913_1_declaration-and-bylaws-master-board-master-association

Your bylaws should set the percentage of board votes needed to pass a rule or regulation of amend one. The owners have the right to voice their opinions on the vote, however, the vote is in the exclusive control of the board. Is there a percentage set out in your bylaws/declaration?

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Real Estate Lawyer: Attyadvisor, Attorney replied 1 year ago

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