Bill Summary for H 165 (2011-2012)

Printer-friendly: Click to view

Summary date: 

May 31 2011

Bill Information:

View NCGA Bill Details2011-2012 Session
House Bill 165 (Public) Filed Wednesday, February 23, 2011
TO AMEND THE PLANNED COMMUNITY ACT AND THE CONDOMINIUM ACT TO ADD OR ENHANCE CONSUMER PROTECTION PROVISIONS, INCLUDING PROVISIONS RELATED TO DISCRETION IN ENFORCEMENT BY HOMEOWNERS ASSOCIATIONS, PROCESSES REQUIRED FOR IMPOSITION OF SPECIAL ASSESSMENTS, OPEN MEETINGS, RECORD KEEPING, USE OF ALTERNATIVE DISPUTE RESOLUTION, ADDITIONAL LIMITATIONS ON FORECLOSURE, DECLARANT CONTROL, AND DISCLOSURE OF INFORMATION ABOUT HOMEOWNERS ASSOCIATIONS TO POTENTIAL PURCHASERS, AS RECOMMENDED BY THE HOUSE SELECT COMMITTEE ON HOMEOWNERS ASSOCIATIONS.
Intro. by McGee, Weiss, Earle, Howard.

View: All Summaries for BillTracking:

Bill summary

House committee substitute makes the following changes to 1st edition. Deletes all provisions of previous edition and replaces it with AN ACT TO AMEND THE PLANNED COMMUNITY ACT AND THE CONDOMINIUM ACT CONCERNING THE TIME PERIOD FOR FORECLOSURE OF A CLAIM OF LIEN FOR UNPAID ASSESSMENTS, TO AMEND THE LAW CONCERNING DISCLOSURE OF INFORMATION ABOUT HOMEOWNERS ASSOCIATIONS TO POTENTIAL PURCHASERS, AND TO REQUIRE THE REAL ESTATE COMMISSION TO PREPARE AND MAKE AVAILABLE INFORMATION ABOUT RESTRICTIVE COVENANTS TO POTENTIAL PURCHASERS. Rewrites GS 47F-3-116(a) to allow an association, acting through its executive board, to foreclose the claim of lien in like manner as a mortgage on real estate under power of sale or under Article 2A of GS Chapter 45, if the assessment remains unpaid for 90 days or more; requires the executive board to vote to commence the foreclosure proceeding against the specific lot. Makes similar change to GS 47C-3-116(a) (concerning the NC Condominium Act).
Amends GS 47E-2(11) to specify that transfers between parties when both parties agree not to complete a residential property disclosure statement or an owners’ association and mandatory covenants disclosure statement are exempt from the provisions of GS Chapter 47E (Residential Property Disclosure Act). Enacts new subsection (b1) to GS 47E-4 to require the owner of real property to furnish to a purchaser an owners’ association and mandatory covenants disclosure statement, as detailed. Directs the North Carolina Real Estate Commission to develop, by December 1, 2011, the disclosure statement. Makes conforming changes to GS 47E-5, GS 47E-6, GS 47E-7, and GS 47E-8. The provisions of the act concerning the owners’ association and mandatory covenants disclosure statement are effective January, 1, 2012, and applicable to real estate transfers or dispositions occurring on or after that date.
The remainder of the act is effective when it becomes law, and applies to foreclosure actions filed on or after October 1, 2011.