House committee substitute makes the following changes to the 1st edition.

Clarifies that new GS 7A-38.3F applies to pre-litigation mediation of both condominium and homeowners association disputes. Provides that parties to a dispute arising under the NC Condominium Act (GS Chapter 47C), the NC Planned Community Act (GS Chapter 47F), or an association's by-laws, rules, and regulations are encouraged to initiate (was, may initiate) mediation under this section.

Clarifies that the partiesmayobtain a mediator through a community mediation center; however, the parties willbe contacted by a mediator from the center and not by the center.

Amends the specifications for the mediation procedure, providing that the mediator may allow a party to participate by telephone or other electronic means if the mediator determines that the partyhas a compelling reason to do so (was, party had to reside more than 50 miles from the center to be allowed to participate in the mediation by phone or other electronic means).Deletes specification that the mediation must reconvene no longer than 15 days after a recess is taken. Provides that evidence offered during mediation is not subject to discovery and is inadmissible in any proceeding in a civil action that arises from the dispute that was the subject of the mediation, with some specified exceptions.

Provides that the time period tolled upon the initiation of mediation under this section is the same as time periods relating to the filing of a civil action. Defines initiation of mediation to mean the date upon which both parties have signed a written request to schedule the mediation.

Makes clarifying changes.

Deletes definition of community mediation center and deletes the provision that a mediator does not make a judgment as to the merits of the dispute.

Clarifies that this act applies to all homeowners and condominium association disputes not specifically exempted by this act that occur on or after the effective date.