As Introduced

125th General Assembly Regular Session 2003-2004

H. B. No. 135

Representative Willamowski 

---

A BILL

To amend sections 317.08, 317.09, 5301.01, 5301.25,

1

5301.255, 5311.03, 5311.04, 5311.05, 5311.051,

2

5311.052, 5311.06, 5311.07, 5311.08, 5311.09,

3

5311.10, 5311.11, 5311.12, 5311.13, 5311.14,

4

5311.16, 5311.17, 5311.18, 5311.19, 5311.20,

5

5311.21, 5311.22, 5311.23, 5311.24, 5311.25,

6

5311.26, 5311.27, and 5721.35, to enact new

7

section 5311.01 and sections 5311.031, 5311.032,

8

5311.033, 5311.041, 5311.081, and 5311.091, and to

9

repeal sections 5311.01, 5311.15, and 5311.241 of

10

the Revised Code to revise the Ohio Condominium

11

Law.

12

BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF OHIO:

Section 1.  That sections 317.08, 317.09, 5301.01, 5301.25,	13
5301.255, 5311.03, 5311.04, 5311.05, 5311.051, 5311.052, 5311.06,	14
5311.07, 5311.08, 5311.09, 5311.10, 5311.11, 5311.12, 5311.13,	15
5311.14, 5311.16, 5311.17, 5311.18, 5311.19, 5311.20, 5311.21,	16
5311.22, 5311.23, 5311.24, 5311.25, 5311.26, 5311.27, and 5721.35	17
be amended and that new section 5311.01 and sections 5311.031,	18
5311.032, 5311.033, 5311.041, 5311.081, and 5311.091 of the	19
Revised Code be enacted to read as follows:	20

Sec. 317.08. (A) Except as provided in division (F)divisions	21
(C) and (D) of this section, the county recorder shall keep six	22
separate sets of records as follows:	23

(A)(1) A record of deeds, in which shall be recorded all	24
deeds and other instruments of writing for the absolute and	25
unconditional sale or conveyance of lands, tenements, and	26
hereditaments; all notices as provided for in sections 5301.47 to	27
5301.56 of the Revised Code; all judgments or decrees in actions	28
brought under section 5303.01 of the Revised Code; all	29
declarations and bylaws, and all amendments to declarations and	30
bylaws, as provided for in Chapter 5311. of the Revised Code;	31
affidavits as provided for in section 5301.252 of the Revised	32
Code; all certificates as provided for in section 5311.17 of the	33
Revised Code; all articles dedicating archaeological preserves	34
accepted by the director of the Ohio historical society under	35
section 149.52 of the Revised Code; all articles dedicating nature	36
preserves accepted by the director of natural resources under	37
section 1517.05 of the Revised Code; all agreements for the	38
registration of lands as archaeological or historic landmarks	39
under section 149.51 or 149.55 of the Revised Code; all	40
conveyances of conservation easements and agricultural easements	41
under section 5301.68 of the Revised Code; all instruments	42
extinguishing agricultural easements under section 901.21 or	43
5301.691 of the Revised Code or pursuant to terms of such an	44
easement granted to a charitable organization under section	45
5301.68 of the Revised Code; all instruments or orders described	46
in division (B)(1)(c)(ii) of section 5301.56 of the Revised Code;	47
all no further action letters issued under section 122.654 or	48
3746.11 of the Revised Code; all covenants not to sue issued under	49
section 3746.12 of the Revised Code, including all covenants not	50
to sue issued pursuant to section 122.654 of the Revised Code; any	51
restrictions on the use of property contained in a no further	52
action letter issued under section 122.654 of the Revised Code and	53
any restrictions on the use of property identified pursuant to	54
division (C)(3) of section 3746.10 of the Revised Code; all	55
memoranda of trust, as described in division (A) of section	56
5301.255 of the Revised Code, that describe specific real	57
property; and all agreements entered into under division (A) of	58
section 1521.26 of the Revised Code;	59

(B)(2) A record of mortgages, in which shall be recorded all	60
of the following:	61

(1)(a) All mortgages, including amendments, supplements,	62
modifications, and extensions of mortgages, or other instruments	63
of writing by which lands, tenements, or hereditaments are or may	64
be mortgaged or otherwise conditionally sold, conveyed, affected,	65
or encumbered;	66

(2)(b) All executory installment contracts for the sale of	67
land executed after September 29, 1961, that by their terms are	68
not required to be fully performed by one or more of the parties	69
to them within one year of the date of the contracts;	70

(3)(c) All options to purchase real estate, including	71
supplements, modifications, and amendments of the options, but no	72
option of that nature shall be recorded if it does not state a	73
specific day and year of expiration of its validity;	74

(4)(d) Any tax certificate sold under section 5721.33 of the	75
Revised Code, or memorandum thereofof it, that is presented for	76
filing of record.	77

(C)(3) A record of powers of attorney, including all	78
memoranda of trust, as described in division (A) of section	79
5301.255 of the Revised Code, that do not describe specific real	80
property;	81

(D)(4) A record of plats, in which shall be recorded all	82
plats and maps of town lots, of the subdivision of town lots, and	83
of other divisions or surveys of lands, any center line survey of	84
a highway located within the county, the plat of which shall be	85
furnished by the director of transportation or county engineer,	86
and all drawings and amendments to drawings, as provided for in	87
Chapter 5311. of the Revised Code;	88

(E)(5) A record of leases, in which shall be recorded all	89
leases, memoranda of leases, and supplements, modifications, and	90
amendments of leases and memoranda of leases;	91

(F)(6) A record of declarations executed pursuant to section	92
2133.02 of the Revised Code and durable powers of attorney for	93
health care executed pursuant to section 1337.12 of the Revised	94
Code.	95

(B) All instruments or memoranda of instruments entitled to	96
record shall be recorded in the proper record in the order in	97
which they are presented for record. The recorder may index, keep,	98
and record in one volume unemployment compensation liens, internal	99
revenue tax liens and other liens in favor of the United States as	100
described in division (A) of section 317.09 of the Revised Code,	101
personal tax liens, mechanic's liens, agricultural product liens,	102
notices of liens, certificates of satisfaction or partial release	103
of estate tax liens, discharges of recognizances, excise and	104
franchise tax liens on corporations, broker's liens, and liens	105
provided for in sections 1513.33, 1513.37, 3752.13, 5111.021, and	106
5311.18 of the Revised Code.	107

The recording of an option to purchase real estate, including	108
any supplement, modification, and amendment of the option, under	109
this section shall serve as notice to any purchaser of an interest	110
in the real estate covered by the option only during the period of	111
the validity of the option as stated in the option.	112

(G)(C) In lieu of keeping the six separate sets of records	113
required in divisions (A)(1) to (F)(6) of this section and the	114
records required in division (H)(D) of this section, a county	115
recorder may record all the instruments required to be recorded by	116
this section in two separate sets of record books. One set shall	117
be called the "official records" and shall contain the instruments	118
listed in divisions (A)(1), (B)(2), (C)(3), (E)(5), (F),and (6)	119
and (H)(D) of this section. The second set of records shall	120
contain the instruments listed in division (D)(A)(4) of this	121
section.	122

(H)(D) Except as provided in division (G)(C) of this section,	123
the county recorder shall keep a separate set of records	124
containing all corrupt activity lien notices filed with the	125
recorder pursuant to section 2923.36 of the Revised Code and a	126
separate set of records containing all medicaid fraud lien notices	127
filed with the recorder pursuant to section 2933.75 of the Revised	128
Code.	129

Sec. 317.09.  (A) Notices of liens for internal revenue	130
taxes, of liens arising under section 107 of the "Comprehensive	131
Environmental Response, Compensation, and Liability Act of 1980,"	132
94 Stat. 2781, 42 U.S.C.A. 9607, as amended, and of any other lien	133
in favor of the United States, as provided in the statutes of the	134
United States or in any regulation adopted under those statutes,	135
certificates discharging the liens, and certificates of release of	136
the liens shall be filed for record, by mail or otherwise, in the	137
office of the county recorder of the county in which the property	138
subject to the lien is situated. If a duplicate copy of a notice	139
of a lien or a certificate of discharge or release of a lien is	140
provided, the recorder shall endorse on the copy the date and hour	141
that the notice or certificate was received for filing and	142
recording, and shall return the copy, by mail or otherwise, to the	143
district director of the internal revenue service of the Ohio	144
district from which the notice or certificate originated, the	145
regional administrator of the region of the United States	146
environmental protection agency from which the notice or	147
certificate originated, or the other official of the United States	148
who originated the notice or certificate, whichever is applicable.	149

Except as provided in division (B) of this section, when a	150
notice of a lien in favor of the United States is filed, the	151
recorder shall enter it in a book known as the "federal tax and	152
other federal lien index," in alphabetical order, showing on one	153
line the name and residence of the person named in the notice, the	154
serial number or other identifying number of the notice, and the	155
total amount of the lien. The recorder shall file and keep all	156
original notices of liens in numerical order. When a certificate	157
of discharge or release of any lien in favor of the United States	158
is issued by the proper official of the United States, or histhe	159
official's delegate, and is filed for record in the office of the	160
recorder in which the original notice of the lien is filed, the	161
recorder shall enter the certificate with the date of filing in	162
the federal tax and other federal lien index on the line on which	163
the notice of the lien so discharged or released is entered and	164
permanently attach the original certificate of discharge or	165
release to the original notice of the lien.	166

(B) If a county recorder records all instruments in two sets	167
of record books pursuant to division (F)(C) of section 317.08 of	168
the Revised Code, notices of liens in favor of the United States	169
and certificates discharging or releasing those liens that are	170
filed with the recorder shall be recorded in the "official	171
records" set of books.	172

(C) The county recorder shall receive a fee of five dollars	173
for filing and indexing each notice of a lien filed pursuant to	174
this section and shall receive a fee of three dollars for filing	175
and indexing a certificate of discharge or release of the lien.	176
The fees provided for in this division shall be collected at the	177
time that the notice or certificate is presented in the office of	178
the recorder.	179

Sec. 5301.01. (A) A deed, mortgage, land contract as referred	180
to in division (B)(A)(2)(b) of section 317.08 of the Revised Code,	181
or lease of any interest in real property and a memorandum of	182
trust as described in division (A) of section 5301.255 of the	183
Revised Code shall be signed by the grantor, mortgagor, vendor, or	184
lessor in the case of a deed, mortgage, land contract, or lease or	185
shall be signed by the settlor and trustee in the case of a	186
memorandum of trust. The signing shall be acknowledged by the	187
grantor, mortgagor, vendor, or lessor, or by the settlor and	188
trustee, before a judge or clerk of a court of record in this	189
state, or a county auditor, county engineer, notary public, or	190
mayor, who shall certify the acknowledgement and subscribe the	191
official's name to the certificate of the acknowledgement.	192

(B)(1) If a deed, mortgage, land contract as referred to in	193
division (B)(A)(2)(b) of section 317.08 of the Revised Code, lease	194
of any interest in real property, or a memorandum of trust as	195
described in division (A) of section 5301.255 of the Revised Code	196
was executed prior to the effective date of this amendment	197
February 1, 2002, and was not acknowledged in the presence of, or	198
was not attested by, two witnesses as required by this section	199
prior to that effective date, both of the following apply:	200

(a) The instrument is deemed properly executed and is	201
presumed to be valid unless the signature of the grantor,	202
mortgagor, vendor, or lessor in the case of a deed, mortgage, land	203
contract, or lease or of the settlor and trustee in the case of a	204
memorandum of trust was obtained by fraud.	205

(b) The recording of the instrument in the office of the	206
county recorder of the county in which the subject property is	207
situated is constructive notice of the instrument to all persons,	208
including without limitation, a subsequent purchaser in good faith	209
or any other subsequent holder of an interest in the property,	210
regardless of whether the instrument was recorded prior to, on, or	211
after the effective date of this amendmentFebruary 1, 2002.	212

(2) Division (B)(1) of this section does not affect any	213
accrued substantive rights or vested rights that came into	214
existence prior to the effective date of this amendmentFebruary	215
1, 2002.	216

Sec. 5301.25.  (A) All deeds, land contracts referred to in	217
division (B)(A)(2)(b) of section 317.08 of the Revised Code, and	218
instruments of writing properly executed for the conveyance or	219
encumbrance of lands, tenements, or hereditaments, other than as	220
provided in division (C) of this section and section 5301.23 of	221
the Revised Code, shall be recorded in the office of the county	222
recorder of the county in which the premises are situated, and	223
until. Until so recorded or filed for record, they are fraudulent,	224
so farinsofar as relatesthey relate to a subsequent bona fide	225
purchaser having, at the time of purchase, no knowledge of the	226
existence of suchthat former deed or, land contract, or	227
instrument.	228

(B) Whenever a survey is made of lands whichthat are being	229
conveyed, the county auditor shall require that the name of the	230
person who made the survey appear in the deed. SuchThe name shall	231
either be printed, typewritten, stamped, or signed in a legible	232
manner. An instrument is in compliance with this sectiondivision	233
if it contains a statement in the following form:	234

"A survey of this property was made by ..............."

235

(Name)

This division does not apply to any court decree, order,	236
judgment, or writ, nor to any instrument executed or acknowledged	237
outside of this state, or to any instrument executed within this	238
state prior to September 20, 1965.	239

(C) All tax certificates sold pursuant to section 5721.32 or	240
5721.33 of the Revised Code, or memoranda thereof, may be recorded	241
in the office of the county recorder of the county in which the	242
premises are situated, as provided in division (B) of section	243
5721.35 of the Revised Code; provided, however, that the first and	244
superior lien of the state and its taxing districts conveyed to	245
the holder of the tax certificate, as provided in division (A) of	246
section 5721.35 of the Revised Code, shall in no way be diminished	247
or adversely affected if the tax certificate evidencing the	248
conveyance of such first and superior lien, or memorandum thereof,	249
is not recorded as provided in this section.	250

Sec. 5301.255.  (A) A memorandum of trust that satisfies both	251
of the following may be presented for recordation in the office of	252
the county recorder of any county in which real property that is	253
subject to the trust is located:	254

(1) The memorandum shall be executed by the settlor and	255
trustee of the trust and acknowledged by the settlor and trustee	256
of the trust in accordance with section 5301.01 of the Revised	257
Code.	258

(2) The memorandum shall state all of the following:

259

(a) The names and addresses of the settlor and trustee of the	260
trust;	261

(b) The date of execution of the trust;

262

(c) The powers specified in the trust relative to the	263
acquisition, sale, or encumbering of real property by the trustee	264
or the conveyance of real property by the trustee, and any	265
restrictions upon those powers.	266

(B) A memorandum of trust that satisfies divisions (A)(1) and	267
(2) of this section also may set forth the substance or actual	268
text of provisions of the trust that are not described in those	269
divisions.	270

(C) A memorandum of trust that satisfies divisions (A)(1) and	271
(2) of this section shall constitute notice only of the	272
information contained in it.	273

(D) Upon the presentation for recordation of a memorandum of	274
trust that satisfies divisions (A)(1) and (2) of this section and	275
the payment of the requisite fee prescribed in section 317.32 of	276
the Revised Code, a county recorder shall record the memorandum of	277
trust as follows:	278

(1) Unless division (D)(2) of this section applies, in the	279
record of deeds described in division (A)(1) of section 317.08 of	280
the Revised Code, if the memorandum of trust describes specific	281
real property, or in the record of powers of attorney described in	282
division (C)(A)(3) of that section, if the memorandum of trust	283
does not describe specific real property;	284

(2) If the county recorder records instruments in accordance	285
with division (F)(C) of section 317.08 of the Revised Code, in the	286
official records described in that division.	287

Sec. 5311.01. As used in this chapter, except as otherwise	288
provided:	289

(A) "Agent" means any person who represents a developer or	290
who acts for or on behalf of a developer in selling or offering to	291
sell any ownership interest in a condominium development. "Agent"	292
does not include an attorney whose representation of a developer	293
consists solely of rendering legal services.	294

(B) "Additional property" means land, including surface and	295
air rights, or improvements to land that are described in an	296
original declaration and that may be added in the future to an	297
expandable condominium property.	298

(C) "Affiliate of a developer" means any person who controls	299
a developer or is controlled by a developer. For the purposes of	300
this division:	301

(1) A person "controls" a developer if any of the following	302
applies:	303

(a) The person is a general partner, officer, member,	304
manager, director, or employer of the developer.	305

(b) The person owns, controls, holds with power to vote, or	306
holds proxies representing more than twenty per cent of the voting	307
interest in the developer, doing so either directly or indirectly,	308
acting in concert with one or more other persons, or through one	309
or more subsidiaries.	310

(c) The person controls, in any manner, the election of a	311
majority of the developer's directors.	312

(d) The person has contributed more than twenty per cent of	313
the developer's capital.	314

(2) A person "is controlled by" a developer if any of the	315
following applies:	316

(a) The developer is a general partner, member, manager,	317
officer, director, or employer of the person.	318

(b) The developer owns, controls, holds with power to vote,	319
or holds proxies representing more than twenty per cent of the	320
voting interest in the person, doing so either directly or	321
indirectly, acting in concert with one or more other persons, or	322
through one or more subsidiaries.	323

(c) The developer controls, in any manner, the election of a	324
majority of the person's directors.	325

(d) The developer has contributed more than twenty per cent	326
of the person's capital.	327

(3) "Control" does not exist if a person or developer holds	328
any power described in this division solely as security for an	329
obligation and that power is not exercised.	330

(D) "Body of water" means a stream, lake, pond, marsh, river,	331
or other body of natural or artificial surface water.	332

(E) "Common assessments" means assessments that are charged	333
proportionately against all units for common purposes.	334

(F) "Common elements" means, unless otherwise provided in the	335
declaration, the following parts of the condominium property:	336

(1) The land described in the declaration;

337

(2) All other areas, facilities, places, and structures that	338
are not part of a unit, including, but not limited to, the	339
following:	340

(a) Foundations, columns, girders, beams, supports,	341
supporting walls, roofs, halls, corridors, lobbies, stairs,	342
stairways, fire escapes, entrances, and exits of buildings;	343

(b) Basements, yards, gardens, parking areas, garages, and	344
storage spaces;	345

(c) Premises for the lodging of janitors or persons in charge	346
of the property;	347

(d) Installations of central services, including, but not	348
limited to, power, light, gas, hot and cold water, heating,	349
refrigeration, air conditioning, and incinerating;	350

(e) Elevators, tanks, pumps, motors, fans, compressors,	351
ducts, and, in general, all apparatus and installations existing	352
for common use;	353

(f) Community and commercial facilities not listed in this	354
division but provided for in the declaration;	355

(g) All parts of the condominium property that are not listed	356
in this division that are necessary or convenient to its	357
existence, maintenance, and safety, that are normally in common	358
use, or that have been designated as common elements in the	359
declaration or drawings.	360

(G) "Common expenses" means expenses designated as common	361
expenses in this chapter or in the declaration.	362

(H) "Common losses" means the amount by which the common	363
expenses during any period of time exceeds the common assessments	364
and common profits during that period.	365

(I) "Common profits" means the amount by which the total	366
income received from any of the following exceeds expenses	367
allocable to the particular income, rental, fee, or charge:	368

(1) Assessments charged for special benefits to specific	369
units;	370

(2) Rents received from the rental of equipment or space in	371
common elements;	372

(3) Any other fee, charge, or income other than common	373
assessments.	374

(J) "Common surplus" means the amount by which common	375
assessments collected during any period exceed common expenses.	376

(K) "Condominium" means a form of real property ownership in	377
which a declaration has been filed submitting the property to the	378
condominium form of ownership pursuant to this chapter and under	379
which each owner has an individual ownership interest in a unit	380
with the right to exclusive possession of that unit and an	381
undivided ownership interest with the other unit owners in the	382
common elements of the condominium property.	383

(L) "Condominium development" means a condominium property in	384
which two or more individual residential or water slip units,	385
together with their undivided interests in the common elements of	386
the property, are offered for sale pursuant to a common	387
promotional plan.	388

(M) "Condominium instruments" means the declaration and	389
accompanying drawings and plans, the bylaws of the unit owner's	390
association, the condominium development disclosure statement	391
described in section 5311.26 of the Revised Code, any contracts	392
pertaining to the management of the condominium property, and any	393
other documents, contracts, or instruments establishing ownership	394
of or exerting control over a condominium property or unit.	395

(N) "Condominium ownership interest" means a fee simple	396
estate or a ninety-nine-year leasehold estate, renewable forever,	397
in a unit, together with an appurtenant undivided interest in the	398
common elements.	399

(O) "Condominium property" means all real and personal	400
property submitted to the provisions of this chapter, including	401
land, the buildings, improvements, and structures on that land,	402
the land under a water slip, the buildings, improvements, and	403
structures that form or that are utilized in connection with that	404
water slip, and all easements, rights, and appurtenances belonging	405
to the land or to the land under a water slip.	406

(P) "Conversion condominium development" means a condominium	407
development that was operated as a rental property and occupied by	408
tenants immediately prior to the submission of the property to the	409
provisions of this chapter.	410

(Q) "Convertible unit" means a unit that may be converted	411
into one or more units and common elements, including limited	412
common elements.	413

(R) "Declaration" means the instrument by which property is	414
submitted to the provisions of this chapter. Declaration includes	415
all amendments to that declaration.	416

(S) "Developer" means any person who directly or indirectly	417
sells or offers for sale condominium ownership interests in a	418
condominium development. "Developer" includes the declarant of a	419
condominium development and any successor to that declarant who	420
stands in the same relation to the condominium development as the	421
declarant.	422

(T) "Exclusive use area" means common elements that the	423
declaration reserves for delegation by the board of directors to	424
the use of a certain unit or units, to the exclusion of other	425
units.	426

(U) "Expandable condominium property" means a condominium	427
property in which the original declaration reserves the right to	428
add additional property.	429

(V) "Leasehold condominium development" means a condominium	430
development in which each unit owner owns a ninety-nine-year	431
leasehold estate, renewable forever, in the owner's unit, in the	432
land upon which that unit is situated, or in both, together with	433
an undivided leasehold interest in the common elements, with all	434
leasehold interests due to expire at the same time.	435

(W) "Limited common elements" means the common elements that	436
the declaration designates as being reserved for use by a certain	437
unit or units, to the exclusion of the other units.	438

(X) "Offer" includes any inducement or solicitation to	439
encourage a person to acquire a condominium ownership interest in	440
a condominium development.	441

(Y) "Par value" means a number, expressed in dollars, points,	442
or as a percentage or fraction, attached to a unit by the	443
declaration.	444

(Z) "Purchaser" means a person who purchases a condominium	445
ownership interest for consideration pursuant to an agreement for	446
the conveyance or transfer of that interest for consideration.	447

(AA) "Sale of a condominium ownership interest" means the	448
execution by both parties of an agreement for the conveyance or	449
transfer for consideration of a condominium ownership interest.	450
"Sale of a condominium ownership interest" does not include a	451
transfer of one or more units from the developer to another	452
developer, a subsidiary of the developer, or a financial	453
institution for the purpose of facilitating the sale or	454
development of the remaining or unsold portion of the condominium	455
property or additional property.	456

(BB) "Unit" means the part of the condominium property that	457
is designated as a unit in the declaration, is delineated as a	458
unit on the drawings prepared pursuant to section 5311.07 of the	459
Revised Code, and is one of the following:	460

(1) A residential unit, in which the designated part of the	461
condominium property is devoted in whole or in part to use as a	462
residential dwelling consisting of one or more rooms on one or	463
more floors of a building. A "residential unit" may include	464
exterior portions of the building, spaces in a carport, and	465
parking spaces as described and designated in the declaration and	466
drawings.	467

(2) A water slip unit, which consists of the land that is	468
under the water in a water slip, the land that is under the piers	469
or wharves that form the water slip, and which is used for the	470
mooring of watercraft.	471

(3) A commercial unit in which the property is designated for	472
separate ownership or occupancy solely for commercial purposes,	473
industrial purposes, or other nonresidential or nonwater slip use.	474

(CC) "Unit owner" means a person who owns a condominium	475
ownership interest in a unit.	476

(DD) "Unit owners association" means the organization that	477
administers the condominium property and that consists of all the	478
owners of units in a condominium property.	479

(EE) "Watercraft" has the same meaning as in division (A) of	480
section 1547.01 of the Revised Code.	481

(FF) "Water slip" means a channel of water between piers or	482
wharves.	483

Sec. 5311.03.  (A) Each unit of a condominium property,	484
together with the undivided interest in the common areas and	485
facilitieselements appurtenant to it, is real property for all	486
purposes and is real estate within the meaning of all provisions	487
of the Revised Code.	488

(B) EachA unit owner is entitled to the exclusive ownership	489
and possession of histhe unit and to ownership of an undivided	490
interest in the common areas and facilities in the percentage that	491
iselements as expressed in the declaration.	492

(C)(1) Each unit that is not a water slipresidential and	493
commercial unit shall have a direct exit to a public street or	494
highway or, to a common area and facilityelement leading to a	495
public street or highway, except that units in an expandable	496
condominium property may have a direct exitor to a permanent	497
easement leading to a public street or highway across additional	498
property identified in the declaration.	499

(2) Each water slip unit shall have a direct exit to a body	500
of water, or to a common area and facilityelement leading to a	501
body of water, or to a permanent easement leading to a body of	502
water. Each water slip unit also shall also have a direct exit to	503
a public street or highway or to a common area and facility	504
element leading to a public street or highway.	505

(D) Unless otherwise provided in the declaration or drawings,	506
the:	507

(1) The boundaries of a unit that is not a water slip unit	508
residential and commercial units are the interior surfaces of its	509
the perimeter walls, floors, and ceilings. Windows	510

(2) Windows and doors, sashes, thresholds, frames, jambs, and	511
hardware in the perimeter walls, floors, or ceilings of athe unit	512
are part of the unit. Supporting	513

(3) Supporting walls, fixtures, and other parts of the	514
building that are within the boundaries of athe unit but which	515
that are necessary for the existence, support, maintenance,	516
safety, or comfort of any other part of the condominium property	517
are not part of the unit.	518

(E)(1) Ownership of a unit that is not a water slip	519
residential unit includes the right to exclusive possession, use,	520
and enjoyment of the interior surfaces of all itsthe perimeter	521
walls, floors, and ceilings and of allthe supporting walls,	522
fixtures, and other parts of the building within its boundaries,	523
including the right to paint, tile, wax, paper, or otherwise	524
finish, refinish, or decorate the unit.	525

(2) Ownership of a water slip unit includes the exclusive	526
right to moor a watercraft in the portion of water above the water	527
slip unit and the right to exclusive possession, use, and	528
enjoyment of the piers or wharves that are a partwithin the	529
boundaries of the water slip unit.	530

(3) Ownership of a commercial unit includes the right to	531
exclusive possession, use, and enjoyment of the unit within the	532
unit's boundaries.	533

(F) Each unit shall beis subject to the right of access for	534
the purpose of maintenance, repair, or service of any common area	535
and facilityelement located within its boundaries or of any	536
portion of the unit itself by persons authorized by the board of	537
managersdirectors of the unit owners association. No maintenance,	538
repair, or service of any portion of a unit shall be authorized,	539
however, unless it is necessary in the opinion of the board of	540
managersdirectors for public safety or in order to prevent damage	541
to or destruction of any other part of the condominium property.	542

(G) To the extent provided in a declaration and subject to	543
conditions it imposes, a unit in a condominium property other than	544
a condominium development may be divided into two or more units,	545
or all or part of a unit may be combined with all or part of one	546
or more other units. Such a division or combination shall require	547
an amendment to the declaration accompanied by drawings showing	548
all particulars of the division or combination, as provided in	549
section 5311.07 of the Revised Code. The amendment shall specify	550
the percentage interest in the common areas and facilities, the	551
proportionate share of common surplus and common expenses, and the	552
voting power of the unit or units resulting from the division or	553
combination, the total of which, in each case, shall equal the	554
interest, share, and power of the former unit or units divided or	555
combined.	556

Sec. 5311.031. (A) Except as otherwise provided in the	557
declaration, the boundaries between adjoining units and	558
appurtenant limited common elements may be relocated and the	559
undivided interests in the common elements appurtenant to those	560
units may be reallocated by an amendment to the declaration	561
pursuant to the following procedures:	562

(1)(a) The owners of the adjoining units shall submit to the	563
board of directors of the unit owners association a written	564
application for the relocation and reallocation. The application	565
shall be accompanied by the written consents of the holders of all	566
liens on those units, except liens for real estate taxes and	567
assessments not due and payable.	568

(b) In the application, the owners of the adjoining units may	569
request a specific reallocation of their undivided interest in the	570
common elements allocated to the adjoining units.	571

(2) Unless the board of directors finds any requested	572
reallocation of the percentage interests in the common elements to	573
be unreasonable, within thirty days after the board receives the	574
application, the association shall prepare, at the expense of the	575
owners of the adjoining units, an amendment to the declaration	576
that is executed by the owners of the affected units and that	577
includes all of the following:	578

(a) Identification of the affected units;

579

(b) Words of conveyance between the owners of the units;

580

(c) A specification of the undivided interests in the common	581
elements, the proportionate shares of common surplus and common	582
expenses, and the voting powers of each unit resulting from the	583
relocation and reallocation, the total of which shall equal the	584
interests, shares, and powers of the former adjoining units.	585

(3) At the expense of the owners of the affected units, the	586
association shall record the amendment to the declaration together	587
with both of the following:	588

(a) Any drawing, plat, or plans necessary to show the altered	589
boundaries of the affected units;	590

(b) The dimensions and identifying number of each unit that	591
results from the relocation and reallocation.	592

(B) Existing liens automatically shall attach to each unit	593
that results from the relocation and reallocation.	594

Sec. 5311.032. (A) Except as otherwise provided in the	595
declaration, rights to the use of limited common elements may be	596
reallocated between or among units by an amendment to the	597
declaration pursuant to the following procedures:	598

(1) The owners of the affected units shall prepare and	599
execute at their expense an amendment to the declaration that	600
identifies the affected units and specifies the reallocated rights	601
to the affected limited common elements.	602

(2) The owners of the affected units shall submit to the	603
board of directors of the unit owners association the amendment,	604
accompanied by the written consents of the owners of all affected	605
units and the holders of all liens on those units except for real	606
estate taxes and assessments not due and payable.	607

(3) At the expense of the owners of the affected units, the	608
unit owners association shall record the submitted amendment to	609
the declaration.	610

(B)(1) If the declaration reserves any common element as an	611
exclusive use area, the board of directors may delegate that	612
common element to the use of a certain unit or units, to the	613
exclusion of other units. The delegation of a common element may	614
be subject to criteria that the unit owners association	615
establishes, including the payment of an additional fee that is	616
part of each benefited unit's common expenses and that is only to	617
be used for the delegated common element.	618

(2) Nothing in division (B)(1) of this section affects a unit	619
owner's right to exclusive use of any common element that the	620
declaration designates as a limited common element appurtenant to	621
the owner's unit.	622

Sec. 5311.033. (A)(1) Except as otherwise provided in the	623
declaration, all or any portion of a convertible unit may be	624
converted into one or more units or common elements, including	625
limited common elements.	626

(2)(a) To cause the conversion, the owner shall prepare and	627
execute an amendment to the declaration that describes the	628
conversion and record the amendment together with the drawings	629
described in division (E) of section 5311.07 of the Revised Code.	630

(b) The amendment shall specify the undivided interests in	631
the common elements, proportionate shares of common surplus and	632
common expenses, and the voting powers of each unit resulting from	633
the conversion, the total of which shall equal the interest,	634
share, and power of the unit that was converted. The amendment to	635
the declaration shall assign an identifying number to each unit	636
formed, allocate to each unit a portion of the undivided interest	637
in the common elements appurtenant to the convertible unit,	638
describe or delineate the limited common elements formed out of	639
the convertible unit, and show or designate each unit to which	640
those limited common elements are reserved.	641

(3) The conversion of a convertible unit pursuant to this	642
section is deemed to occur at the time that all appropriate	643
instruments are recorded in accordance with division (A)(2) of	644
this section and division (E) of section 5311.07 of the Revised	645
Code.	646

(B) A convertible unit that, in whole or in part, is not	647
converted in accordance with this section shall be treated as a	648
single unit until it is so converted.	649

Sec. 5311.04.  (A) The common areas and facilitieselements	650
of a condominium property are owned by the unit owners as tenants	651
in common, and the ownership shall remain undivided. No action for	652
partition of any part of the common areas and facilitieselements	653
may be commenced, except as provided in section 5311.14 of the	654
Revised Code, nor may anyand no unit owner otherwise may waive or	655
release any rights in the common areas and facilitieselements.	656

(B) The declaration shall set forth the undivided interest in	657
the common areas and facilitieselements appurtenant to each unit.	658
For	659

(1) For units in condominium properties other than expandable	660
condominium properties, the undivided interest in the common	661
elements shall be computed in the proportion that the fair market	662
value of the unit bears to the aggregate fair market value of all	663
units on the date that the declaration is originally filed for	664
record, or shall be based on the size or par value of the unit, or	665
shall be computed on an equal basis. Except	666

(2) Except as provided in division (C)(D) of this section,	667
the interest in the common areas and facilitieselements	668
appurtenant to units in expandable condominium properties may be	669
computed in any proportion or on any basis that is the same for	670
units submitted by the declaration as originally filed and those	671
submitted later by the addition of additional property and that	672
uniformly reallocates undivided interests of units previously	673
submitted when additional property is submitted. If	674

(C) If a par value is assigned to any unit, then a par value	675
shall be assigned to every unit. Substantially identical units	676
shall be assigned the same par value, but units located at	677
substantially different heights above the ground, or having	678
substantially different views, amenities, or other characteristics	679
that might result in differences in fair market value may, but	680
need not, be considered substantially identical. If par value is	681
stated in terms of dollars, it need not reflect or relate in any	682
way to the sale price or fair market value of any unit, and no	683
opinion, appraisal, or market transaction at a different figure	684
affects the par value of any unit.	685

(C) In the case of an expandable condominium property, the	686
(D) The declaration for an expandable condominium property shall	687
not allocate interest in the common areas and facilitieselements	688
on the basis of par value, unless it,the declaration as	689
originally filed, does either of the following:	690

(1) Requires that all units created on any additional	691
property that is added to the condominium property be	692
substantially identical to the units created on the condominium	693
property previously submitted;	694

(2) Describes the types of units that may be created on any	695
additional property and states the par value that will be assigned	696
to every unit that is created or proposed to be created.	697

(D)(E) Except as provided in sectionsections 5311.031 to	698
5311.033 and 5311.051 of the Revised Code, the percentage of	699
undivided interest in the common areas and facilitieselements of	700
each unit as expressed in the original declaration shall not be	701
altered except by an amendment to the declaration unanimously	702
approved by all unit owners affected. The undivided interest in	703
the common areas and facilitieselements shall not be separated	704
from the unit to which it appertains and shall beis deemed	705
conveyed or encumbered with the unit even though suchthat	706
interest is not expressly mentioned or described in the deed,	707
mortgage, lease, or other instrument of conveyance or encumbrance.	708

(E)(F) Each unit owner may use the common areas and	709
facilitieselements in accordance with the purposes for which they	710
are intended. No unit owner may hinder or encroach upon the lawful	711
rights of the other unit owners in the common elements.	712

(F) All costs of administration, maintenance, repair, and	713
replacement of the common areas and facilities shall be common	714
expenses.	715

(G) Subject to rules the board of directors adopts pursuant	716
to division (B)(5) of section 5311.081 of the Revised Code, the	717
board may authorize the use of limited common elements, as	718
distinguished from the common elements and exclusive use areas,	719
for the construction of open, unenclosed patios, hedges, decks,	720
fences, or similar improvements provided that the improvements are	721
maintained and insured by the owner of the unit to which the	722
limited common area is appurtenant. The construction of an	723
addition to or an expansion of a unit into limited common elements	724
or common elements may not be authorized without the consent of	725
all unit owners.	726

(H)(1) Subject to the bylaws and the declaration, the unit	727
owners association may purchase, hold title to, and sell real	728
property that is not declared to be part of the condominium	729
property.	730

(2) Any transaction pursuant to division (H)(1) of this	731
section that takes place prior to the date that the unit owners	732
other than the developer assume control of the unit owners	733
association requires the approval of the developer, the unit	734
owners other than the developer who exercise not less than	735
seventy-five per cent of the voting power of the unit owners	736
association, and the authorization of the board of directors.	737

(3) Any transaction pursuant to division (H)(1) of this	738
section that takes place after the unit owners assume control of	739
the unit owners association requires the approval of the unit	740
owners who exercise not less than seventy-five per cent of the	741
voting power of the unit owners association and the authorization	742
of the board of directors.	743

(4) Expenses incurred in connection with any transaction	744
pursuant to this division are common expenses.	745

Sec. 5311.041. (A) All costs of the administration,	746
operation, maintenance, repair, and replacement of common elements	747
are common expenses.	748

(B)(1) The declaration, either as filed and recorded by the	749
declarant pursuant to section 5311.06 of the Revised Code or as	750
amended by a vote of the unit owners exercising not less than	751
ninety per cent of the voting power of the unit owners	752
association, may provide that, regardless of undivided interests,	753
the following common expenses shall be computed on an equal per	754
unit basis:	755

(a) Expenses that arise out of the administration, operation,	756
maintenance, repair, and replacement of security,	757
telecommunications, rubbish removal, roads, entrances, recreation	758
facilities, landscaping, and grounds care;	759

(b) Legal, accounting, and management expenses.

760

(2) Expenses not included in division (B)(1) of this section	761
shall be computed on the basis of the undivided interest in the	762
common elements allocated to each unit.	763

Sec. 5311.05.  (A) A declaration submitting property to the	764
provisions of this chapter shall be signed and acknowledged by the	765
owner before a judge or clerk of a court of record, county	766
auditor, county engineer, notary public, or mayor, or county court	767
judge, who shall certify the acknowledgment and subscribe the	768
certificate of acknowledgment.	769

(B) A declaration shall contain all of the following:

770

(1) A legal description of the land or, in the case offor a	771
water slip condominium property, of the land and the land under	772
the water area, thereby submitted to the provisions of this	773
chapter;	774

(2) The name by whichof the condominium property shall be	775
known, which shall include the word "condominium";	776

(3) The purpose or purposes of the condominium property and,	777
the units and recreational and commercial facilities situated in	778
the condominium property, and theany restrictions, if any, upon	779
the use or uses of the condominium property;	780

(4) A general description of the building or buildings	781
thereby submitted to the provisions of this chapter, stating the	782
principal construction materials of which it is or they are	783
constructed and the number of stories, basements, and units in the	784
building or buildings, or. The declaration for a water slip	785
property shall also contain a general description of each water	786
slip and of the piers and wharves forming each water slip thereby	787
submitted to the provisions of this chapter;	788

(5) The unit designation of each unit thereby submitted to	789
the provisions of this chapter and a statement of its location,	790
approximate area, number of rooms, and the immediate common area	791
element or limited common areaelement to which it has access, and	792
any other datainformation necessary for its proper	793
identification;	794

(6) A description of the common area and facilitieselements	795
and limited common areas and facilities therebyelements submitted	796
to the provisions of this chapter, the percentage or percentages	797
ofundivided interest in the common area and facilities and	798
limited common areas and facilities appertainingthose elements	799
appurtenant to each unit, the basis upon which those appurtenant	800
percentages of interestundivided interests are allocated, and the	801
procedures whereby the percentagesundivided interests	802
appertaining to each unit may be altered, which percentages,. The	803
undivided interests, basis, and procedures shall be in accordance	804
with sectionsections 5311.031 to 5311.033 and 5311.04 of the	805
Revised Code;	806

(7) A statement that each unit owner shall beis a member of	807
a unit owners association that shall be established for the	808
administration of the condominium property;	809

(8) The name of a person to receive service of process for	810
the unit owners association, together with the person's residence	811
or place of business of the person, which residence or place of	812
business shall be in a county in which all or a part of the	813
condominium property is situatedlocated in this state;	814

(9) A statement of any membership requirement if the unit	815
owners association or any unit owners are required to be members	816
of a not-for-profit organization that provides facilities or	817
recreation, education, or social services to owners of property	818
other than the condominium property;	819

(10) The method by which the declaration may be amended, that	820
which, except as provided in division (D)(E) of this section,	821
division (E) of section 5311.04, division (B) of section 5311.011,	822
and sectionsections 5311.031 to 5311.033 and 5311.051 of the	823
Revised Code, shall requirerequires the affirmative vote of those	824
unit owners exercising not less than seventy-five per cent of the	825
voting power;	826

(10)(11) Any further provisions deemed desirable.

827

(C) In the case ofThe declaration for an expandable	828
condominium property, the declaration also shall contain all of	829
the following in addition to the requirements of division (B) of	830
this section:	831

(1) The explicit reservation of the declarant's option to	832
expand the condominium property;	833

(2) A statement of any limitations on that option to expand,	834
including a statement as to whether the consent of any unit owners	835
owner is required, and if so, a statement as to the method whereby	836
thehow that consent is to be ascertained; or a statement that	837
there are no such limitations on the option to expand;	838

(3) A time limit, not exceeding seven years from the date the	839
declaration is filed for record, renewable for an additional	840
seven-year period at the option of the developer, exercisable	841
within six months prior to the expiration of the seven-year period	842
and with the consent of the majority of the unit owners other than	843
the developer upon which the option to expand the condominium	844
property will expire, together with a statement of any	845
circumstances that will terminate the option prior to the	846
expiration of the time limit;(a) The time at which the option to	847
expand the condominium development expires, which shall not exceed	848
seven years from the date the declaration is filed for record;	849

(b) A statement that the declarant may, during the six months	850
prior to the time that the option expires, extend the option for	851
an additional seven years with the consent of the holders of a	852
majority of the voting power of the unit owners other than the	853
declarant;	854

(c) A statement of any circumstances that will terminate the	855
option to expand prior to the time established pursuant to this	856
division.	857

(4) A legal description by metes and bounds of all additional	858
property that, through exercise of the option, may be submitted to	859
the provisions of this chapter and that, thereby, may be added to	860
the condominium property;	861

(5) A statement as to whether all, or a particular portion,	862
of the additional property must be added to the condominium	863
property, or whether, if any additional property is added, all or	864
a particular portion of the additional property must be added,	865
and, if not, a statement of any limitations as to the portions	866
that may be added or a statement that there are no such	867
limitations;that specifies all of the following:	868

(a) Whether the addition of all or a particular portion of	869
the additional property is mandatory;	870

(b) If the addition of additional property is not mandatory,	871
whether all or a particular portion of the additional property	872
must be added if any other additional property is added;	873

(c) Whether or not there are any limitations on portions of	874
additional property that may be added.	875

(6) A statement as toof whether portions of the additional	876
property may be added to the condominium property at different	877
times, together withand a statement that sets forth any	878
limitations fixingon the addition of additional property at	879
different times, including the legal descriptions of the	880
boundaries of those portions by legal descriptions setting forth	881
the metes and bounds of those portions, or regulatingthat may be	882
added and specifications on the order in which theythose portions	883
may be added to the condominium property, or bothor a statement	884
that there are no limitations on the addition of additional	885
property;	886

(7) A statement of any limitations as toon the location of	887
any improvements that may be made on any portion of the additional	888
property added to the condominium property, or a statement that	889
there are no such limitations of that kind;	890

(8) A statement of the maximum number of units that may be	891
created on the additional property. If portions of the additional	892
property may be added to the condominium property and the	893
boundaries of those portions are fixed in accordance with division	894
(C)(6) of this section, the declaration shall also shall state the	895
maximum number of units that may be created on each portion added	896
to the condominium property. If portions of the additional	897
property may be added to the condominium property and the	898
boundaries of those portions are not fixed in accordance with	899
division (C)(6) of this section, the declaration shall also shall	900
state the maximum number of units per acre that may be created on	901
any portion added to the condominium property.	902

(9) Except in cases wherewhen the previously submitted	903
original condominium property containscontained no units	904
restricted exclusively to residential use, a statement of the	905
maximum percentage of the aggregate land area and the maximum	906
percentage of aggregate floor area of allthat may be devoted to	907
units not restricted exclusively to residential use that may be	908
created on any additional property or portions of additional	909
property that may be added to the condominium property;	910

(10) A statement of the extent to which any structures	911
erected on any portion of the additional property added to the	912
condominium property will be compatible with structures on the	913
submitted property in terms of quality of construction, the	914
principal materials to be used, and architectural style, or a	915
statement that the structures need not be compatible in those	916
termsrespects;	917

(11) With respect to all improvements to any portion of	918
additional property added to the condominium property, other than	919
structures, a statement setting forth both of the following:	920

(a) A description of the improvements that must be made or a	921
statement that no other improvements must be made;	922

(b) Any restrictions or limitations uponon the improvements	923
that may be made or a statement that there are no restrictions or	924
limitations uponon improvements that may be made.	925

(12) With respect to all units created on any portion of	926
additional property added to the condominium property, a statement	927
setting forth both of the following:	928

(a) Whether all such units of that kind must be substantially	929
identical to units on previously submitted landproperty;	930

(b) Any limitations as to whaton the types of units that may	931
be created on the additional property or a statement that there	932
are no limitations of that kind.	933

(13) A description of the declarant'sany reserved right, if	934
any, eitherof the declarant to create limited common areas and	935
facilitieselements within any portion of the additional property	936
added to the condominium property or to designate common areas and	937
facilitieselements within each portion. The description shall	938
specify the types, sizes, and maximum number of limited common	939
elements in each portion that may subsequently be assigned as	940
limited common areas and facilities, in terms of the types, sizes,	941
and maximum number of those areas and facilities in each portion	942
to units;	943

(14) The drawingsDrawings and plans that the declarant	944
considers appropriate in supplementing the requirements of	945
divisions (C)(4), (5), (6), (7), (10), (11), (12), and (13) of	946
this sectionthis division;	947

(15) A statement that a successor owner of the condominium	948
property or of additional property added to the condominium	949
property who is not an affiliate of the developer and who is a	950
bona fide purchaser of the property for value, or a purchaser who	951
acquires the property at a sheriff's sale or by deed in lieu of a	952
foreclosure, is not liable in damages for harm caused by an action	953
or omission of the developer or a breach of an obligation by the	954
developer.	955

(D) In the case ofThe declaration for a leasehold	956
condominium development, the declaration shall also contain all of	957
the following in addition to the requirements of division (B) of	958
this section:	959

(1) With respect to any ground lease or other leases, the	960
expiration or termination of which will or maycould terminate or	961
reduce the amount of the condominium property, a statement setting	962
forth the county in which the lease is recorded and the volume and	963
page of the record;	964

(2) A statement setting forth the date upon which each lease	965
referred to in division (D)(1) of this section is due to expire	966
expires;	967

(3)(a) A statement as toof whether the unit owners own any	968
land or improvements of the condominium property will be owned by	969
the unit owners in fee simple, and if so, either a description of	970
the land or improvements, includingand a legal description by	971
metes and bounds of the land, or a;	972

(b) A statement of any rights the unit owners shall have to	973
remove thoseany improvements within a reasonable time after the	974
expiration or termination of theany ninety-nine year lease or	975
leases involved, or a statement that they shall have no such	976
rights;of that nature.	977

(4) A statement of the rights that the unit owners have to	978
redeem the reversion or any of the reversions, or a statement that	979
they have no such rights of that nature;	980

(5) A statement that, subsequent to the recording of the	981
declaration, no lessor who executed it, and no successor in	982
interest to thethat lessor, havehas any right or power to	983
terminate any part of the leasehold interest of any unit owner who	984
makes timely payment of the unit owner's share of the rent to the	985
person designated in the declaration for the receipt of thethat	986
rent and who otherwise complies with all covenants that, if	987
violated, would entitle the lessor to terminate the lease.	988

(E)(1) Without a vote of the unit owners, the board of	989
directors may amend the declaration in any manner necessary for	990
any of the following purposes:	991

(a) To meet the requirements of institutional mortgagees,	992
guarantors and insurers of first mortgage loans, the federal	993
national mortgage association, the federal home loan mortgage	994
corporation, the federal housing administration, the veterans	995
administration, and similar institutions;	996

(b) To meet the requirements of insurance underwriters;

997

(c) To bring the declaration into compliance with this	998
chapter;	999

(d) To correct clerical or typographical errors or obvious	1000
factual errors in the declaration or an exhibit to the	1001
declaration;	1002

(e) To designate a successor to the person named to receive	1003
service of process for the unit owners association. If the	1004
association is incorporated in this state, this may be	1005
accomplished by filing with the secretary of state an appropriate	1006
change of statutory agent designation.	1007

(2) Division (E)(1) of this section applies to condominium	1008
properties submitted to this chapter prior to, on, or after the	1009
effective date of this amendment.	1010

(3) Any unit owner who is aggrieved by an amendment to the	1011
declaration that the board of directors makes pursuant to division	1012
(E)(1) of this section may commence a declaratory judgment action	1013
to have the amendment declared invalid as violative of division	1014
(E)(1) of this section. Any action filed pursuant to this division	1015
shall be filed in the appropriate court of common pleas within one	1016
year from the date of the recordation of the amendment.	1017

Sec. 5311.051. In the case of an expandable condominium	1018
property, landLand and improvements on the property shall beof	1019
an expandable condominium property are considered added to the	1020
condominium property and submitted to the provisions of this	1021
chapter upon executionthe declarant and all owners and lessees of	1022
the added land executing and filing for record by the declarant,	1023
including all of the owners and lessees of the land so added,	1024
pursuant to sections 5311.06 and 5311.07 of the Revised Code, of	1025
an amendment to the declaration, that contains the information,	1026
drawings, and plans with respect to the additional property and	1027
improvements required by those sections and by divisions (A) and	1028
(B) of section 5311.05 of the Revised Code. The amendment,	1029
pursuant to the declaration and section 5311.04 of the Revised	1030
Code, shall allocate and reallocate percentages of interest	1031
undivided interests in the common areas and facilitieselements of	1032
the condominium property appertaining to each unit of the	1033
condominium property. Notwithstanding division (D) of section	1034
5311.04 and division (B)(9) of section 5311.05 of the Revised	1035
Code, theThe execution and filing for record of an amendment	1036
submitting additional property to an expandable condominium	1037
property is an effective amendment of the declaration without a	1038
vote of the unit owners.	1039

Sec. 5311.052.  If a condominium property for which the	1040
declaration was filed with a county recorder prior to October 1,	1041
1978, has been expanded prior to the effective date of this	1042
section or is expanded on or after the effective date of this	1043
section by the addition of units in accordance with the	1044
declaration, and if the unit owners do not commence an action to	1045
contest the change in the percentageundivided interests in the	1046
common areas and facilities of the unit owners by reason of the	1047
amendment to the declaration effecting the expansion has not been	1048
or is not commencedelements in a court of competent jurisdiction	1049
within two years after the date that the amendment was or is filed	1050
with the county recorder, or within six months after the effective	1051
date of this section, whichever date is later, each of the unit	1052
owners of the condominium property as expanded shall beis deemed	1053
to have assented to and ratified the amendment, and the percentage	1054
undivided interests in the common areas and facilitieselements of	1055
the unit owners shallis no longer be contestable.	1056

Sec. 5311.06.  (A)(1) A declaration of condominium property	1057
shall be filed and recorded in the office of the recorder of the	1058
county or counties in which the land or water slips described in	1059
the declaration are situated. All original declarations when filed	1060
shall have attachedbe accompanied by a set of drawings of the	1061
condominium property, provided for inas required by section	1062
5311.07 of the Revised Code, and a true copy of the bylaws of the	1063
unit owners association, provided for inas required by section	1064
5311.08 of the Revised Code. Any	1065

(2) Any amendment to the declaration by whichthat effects	1066
any change is effected in the bylaws or drawings, including an	1067
amendment to add additional land or an improvement to the	1068
condominium property, shall, when filed, have attachedbe	1069
accompanied by a true copy of the change in the bylaws orand	1070
drawings.	1071

(B) A recorder shall not accept any declaration or amendment	1072
and any attached bylaws and drawings for recording until a copy of	1073
the declaration or amendment and the attached bylaws and drawings	1074
hashave been filed with the auditor of the county who shall	1075
endorse onand the declaration or amendment contains the auditor's	1076
certification that copiesa copy of the declaration or amendment	1077
and attachedany bylaws and drawings have been filed with himthe	1078
auditor.	1079

(C) No interest in a unit shall be conveyed until the	1080
declaration, bylaws, and drawings, certified as provided in	1081
required by this section, have been filed for record. Errors or	1082
omissions in the declaration, bylaws, or drawings do not affect	1083
the title of a grantee of a unit.	1084

(D)This section does not prohibit a developer and a	1085
purchaser from entering into an agreement for the sale of a	1086
condominium ownership interest prior to filing the documents that	1087
create that condominium ownership interest.	1088

Sec. 5311.07. (A)(1) A set of drawings shall be prepared for	1089
every condominium property which showthat graphically, insofar as	1090
is possible, all the particulars of the land or water slips,	1091
buildings, and other improvements, including, but not limited to,	1092
shows the layoutboundaries, location, designation, length, width,	1093
and dimensionsheight of each unit,; the layoutboundaries,	1094
location, designation, and dimensions of the common areas and	1095
facilitieselements and the limited common areas and facilities,	1096
elements and exclusive use areas; and the location and dimensions	1097
of all appurtenant easements or encroachments, and, if.	1098

(2) If the condominium property is not contiguous, the	1099
drawings shall show the distances between any parcels of land or	1100
any water slips. The	1101

(3) The drawings for commercial units that do not have wall	1102
surfaces shall show the monumental perimeter boundaries of those	1103
units.	1104

(4) The drawings need not show interior walls or partitions	1105
that are not load-bearing.	1106

(B) Each drawing shall bear theboth of the following:

1107

(1) The certified statement of a registered surveyor and	1108
registered architect or registered surveyor and licensed	1109
professional engineer that the drawingsdrawing accurately show	1110
theshows each building or buildings, or water slips,slip as	1111
built or constructed;	1112

(2) The certified statement of a registered professional	1113
surveyor that the drawing accurately reflects the location of	1114
improvements and recorded easements.	1115

(C) If some, but not all, portions of the condominium	1116
property are to be held by unit owners in a leasehold estate, the	1117
drawings shall show the locationslocation and dimensions of each	1118
portion and shall label the portion as leased land or as leased	1119
property. If there is more than one portion of leased land or	1120
leased property, the drawings shall label each portion with one or	1121
more letters or numbers, or both,in a manner that is different	1122
from thosethe labels designating any other portions of the leased	1123
land or leased property, and different also from the identifying	1124
number of any unit.	1125

In the case of(D) If the condominium property contains any	1126
improvements other than units, the drawings or amendments shall	1127
indicate which, if any, of the improvements have been begun but	1128
have not been substantially completed by the use of the phrase	1129
"(NOT YET COMPLETED)."	1130

(E)(1)If any owner of a convertible unit converts all or any	1131
portion of a convertible unit into one or more units and common	1132
elements, including limited common elements, the owner shall	1133
prepare, file, and record drawings as described in this division	1134
that pertain to the portion of the building, improvement, or	1135
structure that constituted the former convertible unit.	1136

(2) The drawings shall show the boundaries, location,	1137
designation, length, width, and height of each unit formed out of	1138
the former convertible unit; the boundaries, location,	1139
designation, and dimensions of the limited common elements	1140
appurtenant to each unit; and the boundaries, location,	1141
designation, and dimensions of any common element formed out of	1142
the former convertible unit.	1143

(3) Each drawing shall bear the certified statement of a	1144
registered architect or registered professional engineer that the	1145
drawing accurately shows the units, common elements, and	1146
appurtenant limited common elements formed out of the former	1147
convertible unit.	1148

Sec. 5311.08.  (A)(1) Every condominium property shall be	1149
administered by a unit owners association, which. All power and	1150
authority of the unit owners association shall be exercised by a	1151
board of directors, which the unit owners shall elect from among	1152
the unit owners or the spouses of unit owners. If a unit owner is	1153
not an individual, that unit owner may nominate for the board of	1154
directors any principal, member of a limited liability company,	1155
partner, director, officer, or employee of that unit owner.	1156

(2) The board of directors shall elect a president,	1157
secretary, treasurer, and other officers that the board may	1158
desire.	1159

(3) Unless otherwise provided in the declaration or the	1160
bylaws, all meetings of the unit owners association are open to	1161
the unit owners, and those present in person or by proxy when	1162
action is taken during a meeting of the unit owners association	1163
constitute a sufficient quorum.	1164

(4)(a) A meeting of the board of directors may be held by any	1165
method of communication, including electronic or telephonic	1166
communication provided that each member of the board can hear,	1167
participate, and respond to every other member of the board.	1168

(b) In lieu of conducting a meeting, the board of directors	1169
may take action with the unanimous written consent of the members	1170
of the board. Those written consents shall be filed with the	1171
minutes of the meetings of the board.	1172

(B) The unit owners association shall be governed by bylaws.	1173
No modification of or amendment to the bylaws is valid unless it	1174
is set forth in an amendment to the declaration, and the amendment	1175
to the declaration is filed for record. Unless	1176

(B) Unless otherwise provided by the declaration, the bylaws	1177
shall provide for the following:	1178

(1)(a) The election from among the unit owners of athe board	1179
of managersdirectors of the unit owners association which shall	1180
exercise, unless otherwise provided in this chapter, the	1181
declaration, or the bylaws, all power and authority of the unit	1182
owners association; the;	1183

(b) The number of persons constituting the board and that	1184
the;	1185

(c) The terms of the directors, with not less than one-third	1186
of the members of the boardone-fifth to expire annually; the	1187

(d) The powers and duties of the board; the

1188

(e) The compensation of its members and the directors;

1189

(f) The method of their removal of directors from office; and	1190
whether	1191

(g) The election of officers of the board;

1192

(h) Whether or not the services of a manager or managing	1193
agent may be engaged;.	1194

(2) The time and place for holding meetings; the manner of	1195
and authority for calling, giving notice of, and conducting	1196
meetings; and the requirement, in terms of percentage of interest	1197
undivided interests in the common areas and facilitieselements,	1198
of a quorum for meetings of the unit owners association;.	1199

(3) The election by the board of managers of a president, one	1200
or more vice presidents, secretary, treasurer, and such other	1201
officers as the board of managers may desire;	1202

(4) By whom and the procedure by which maintenance, repair,	1203
and replacement of the common areas and facilitieselements may be	1204
authorized;	1205

(5)(4) The common expenses for which assessments may be made	1206
and the manner of collecting from the unit owners their respective	1207
shares of the common expenses;	1208

(6)(5) The method of distributing the common profits;

1209

(7)(6) By whom and the procedure by which administrative	1210
rules governing the operation and use of the condominium property	1211
or any portion of the property may be adopted and amended. These	1212
rules may govern any aspect of the condominium property that is	1213
not required to be governed by bylaws and may include standards	1214
governing the type and nature of information and documents that	1215
are subject to examination and copying by unit owners pursuant to	1216
section 5311.091 of the Revised Code, including the times and	1217
location at which items may be examined or copied and any required	1218
fee for copying the information or documents.	1219

(C) In a condominium development, the(1) The unit owners	1220
association shall be established not later than the date that the	1221
deed or other evidence of ownership is filed for record following	1222
the first sale of a condominium ownership interest in thea	1223
condominium development. Membership in the unit owners association	1224
shall be limited to unit owners, and all unit owners shall be	1225
members. Until the unit owners association is established, the	1226
developer shall act in all instances wherein which action of the	1227
unit owners association or its officers is authorized or required	1228
by law or the declaration.	1229

(2)(a) Not later than sixty days after the time that	1230
developer has sold and conveyed condominium ownership interests	1231
appertaining to which twenty-five per cent of the undivided	1232
interests in the common areas and facilities appertain have been	1233
sold and conveyed by the developerelements in a condominium	1234
development, the unit owners association shall meet, and the unit	1235
owners, other than the developer, shall elect not less than	1236
twenty-five per centone-third of the members of the board of	1237
managers. Not later than the time that condominium ownership	1238
interests to which fifty per cent of the undivided interests	1239
appertain have been sold and conveyed, such unit owners shall	1240
elect not less than thirty-three and one-third per cent of the	1241
members of the board of managersdirectors. When	1242

(b) When computing percentages of interestundivided	1243
interests in expandable condominium properties for purposes of	1244
divisions (C) and (D) of this divisionsection, the percentage of	1245
interestundivided interests in common areas and facilities	1246
elements shall be computed by comparing the number of units sold	1247
and conveyed to the maximum number of units that may be created,	1248
as stated in the declaration pursuant to division (C)(8) of	1249
section 5311.05 of the Revised Code.	1250

(D)(1) Except as statedprovided in division (C) of this	1251
section, the declaration or bylaws of a condominium development	1252
may authorize the developer or persons designated by himthe	1253
developer designates to appoint and remove members of the board of	1254
managers and other officersdirectors of the unit owners	1255
association and to exercise the powers and responsibilities	1256
otherwise assigned by law or, the declaration, or the bylaws to	1257
the unit owners association,or to the board of managers, or other	1258
officers. Such andirectors. The authorization for developer	1259
control may extend from the date of the establishment of the unit	1260
owners association is established until the earlier of:	1261

(1) Five years, in the case of a condominium development the	1262
declaration of which includes expandable condominium property, or	1263
three years in the case of other condominium developments;	1264

(2) Thirtysixty days after the sale and conveyance to	1265
purchasers in good faith for value of condominium ownership	1266
interests to which appertain seventy-five per cent of the	1267
undivided interests in the common areas and facilities to	1268
purchasers in good faith for valueelements appertain, except that	1269
in no case may authorization extend for more than five years after	1270
the unit owners association is established if the declaration	1271
includes expandable condominium property or more than three years	1272
after the unit owners association is established if the	1273
declaration does not include expandable condominium property.	1274

(2) If there is a unit owner other than the developer, the	1275
declaration of a condominium development shall not be amended to	1276
increase the scope or the period of the developer's control by the	1277
developer.	1278

(3) Within thirtysixty days ofafter the expiration of any	1279
the period during which the developer exercises powers under this	1280
has control pursuant to division (D)(1)of this section, the unit	1281
owners association shall meet and elect all members of the board	1282
of managers and all other officersdirectors of the unit owners	1283
association. The persons so elected shall take office upon	1284
electionat the end of the meeting during which they are elected	1285
and shall, as soon as reasonably possible, appoint officers.	1286

(E) The board of directors, or the developer while in control	1287
of the association, may take any measures necessary to incorporate	1288
the unit owners association as a not-for-profit corporation.	1289

Sec. 5311.081. (A) Unless otherwise provided in the	1290
declaration or bylaws, the unit owners association, through the	1291
board of directors, shall do both of the following:	1292

(1) Adopt and amend budgets for revenues, expenditures, and	1293
reserves in an amount adequate to repair and replace major capital	1294
items in the normal course of operations without the necessity of	1295
special assessments, provided that the amount set aside annually	1296
for reserves shall not be less than ten per cent of the budget for	1297
that year unless the reserve requirement is waived annually by the	1298
unit owners exercising not less than a majority of the voting	1299
power of the unit owners association;	1300

(2) Collect assessments from common expenses from unit	1301
owners.	1302

(B) Unless otherwise provided in the declaration, the unit	1303
owners association, through the board of directors, may exercise	1304
all powers of the association, including the power to do the	1305
following:	1306

(1) Hire and fire managing agents, attorneys, accountants,	1307
and other independent contractors and employees that the board	1308
determines are necessary or desirable in the management of the	1309
condominium property and the association;	1310

(2) Commence, defend, intervene in, settle, or compromise any	1311
civil, criminal, or administrative action or proceeding that is in	1312
the name of, or threatened against, the unit owners association,	1313
the board of directors, or the condominium property, or that	1314
involves two or more unit owners and relates to matters affecting	1315
the condominium property;	1316

(3) Enter into contracts and incur liabilities relating to	1317
the operation of the condominium property;	1318

(4) Regulate the use, maintenance, repair, replacement,	1319
modification, and appearance of the condominium property;	1320

(5) Adopt rules that regulate the use or occupancy of units,	1321
the maintenance, repair, replacement, modification, and appearance	1322
of units, common elements, and limited common elements when the	1323
actions regulated by those rules affect common elements or other	1324
units;	1325

(6) Cause additional improvements to be made as part of the	1326
common elements;	1327

(7) Purchase, encumber, and convey units, and, subject to any	1328
restrictions in the declaration or bylaws and with the approvals	1329
required by divisions (H)(1) and (2) of section 5311.04 of the	1330
Revised Code, acquire an interest in other real property and	1331
encumber or convey that interest. All expenses incurred in	1332
connection with the acquisition, encumbrance, use, and operation	1333
of that interest are common expenses.	1334

(8) Acquire, encumber, and convey or otherwise transfer	1335
personal property;	1336

(9) Hold in the name of the unit owners association the real	1337
property and personal property acquired pursuant to divisions	1338
(B)(7) and (8) of this section;	1339

(10) Grant easements, leases, licenses, and concessions	1340
through or over the common elements;	1341

(11) Impose and collect fees or other charges for the use,	1342
rental, or operation of the common elements or for services	1343
provided to unit owners;	1344

(12) Impose interest and late charges for the late payment of	1345
assessments, impose returned check charges, and, pursuant to	1346
division (C) of this section, impose reasonable enforcement	1347
assessments for violations of the declaration, the bylaws, and the	1348
rules of the unit owners association, and impose reasonable	1349
charges for damage to the common elements or other property;	1350

(13) Adopt and amend rules that regulate the collection of	1351
delinquent assessments and the application of payments of	1352
delinquent assessments;	1353

(14) Subject to applicable laws, adopt and amend rules that	1354
regulate the termination of utility or other service to a	1355
commercial unit if the unit owner is delinquent in the payment of	1356
an assessment that pays, in whole or in part, the cost of that	1357
service;	1358

(15) Impose reasonable charges for preparing, recording, or	1359
copying amendments to the declaration, resale certificates, or	1360
statements of unpaid assessments;	1361

(16) Enter a unit for bona fide purposes when conditions	1362
exist that involve an imminent risk of damage or harm to common	1363
elements, another unit, or to the health or safety of the	1364
occupants of that unit or another unit;	1365

(17) To the extent provided in the declaration or bylaws,	1366
assign the unit owners association's rights to common assessments,	1367
or other future income, to a lender as security for a loan to the	1368
unit owners association;	1369

(18) Suspend the voting privileges and use of recreational	1370
facilities of a unit owner who is delinquent in the payment of	1371
assessments for more than thirty days;	1372

(19) Purchase insurance and fidelity bonds the directors	1373
consider appropriate or necessary;	1374

(20) Invest excess funds in investments that meet standards	1375
for fiduciary investments under Ohio law;	1376

(21) Exercise powers that are:

1377

(a) Conferred by the declaration or the bylaws of the unit	1378
owners association or the board of directors;	1379

(b) Necessary to incorporate the unit owners association as a	1380
not-for-profit corporation;	1381

(c) Permitted to be exercised in this state by a	1382
not-for-profit corporation;	1383

(d) Necessary and proper for the government and operation of	1384
the unit owners association.	1385

(C)(1) Prior to imposing a charge for damages or an	1386
enforcement assessment pursuant to division (B)(12) of this	1387
section, the board of directors shall give the unit owner a	1388
written notice that includes all of the following:	1389

(a) A description of the property damage or violation;

1390

(b) The amount of the proposed charge or assessment;

1391

(c) A statement that the owner has a right to a hearing	1392
before the board of directors to contest the proposed charge or	1393
assessment;	1394

(d) A statement setting forth the procedures to request a	1395
hearing pursuant to division (C)(2) of this section;	1396

(e) A reasonable date by which the unit owner must cure the	1397
violation to avoid the proposed charge or assessment.	1398

(2)(a) To request a hearing, the owner shall deliver a	1399
written notice to the board of directors not later than the tenth	1400
day after receiving the notice required by division (C)(1) of this	1401
section. If the owner fails to make a timely request for a	1402
hearing, the right to that hearing is waived and the board may	1403
immediately impose enforcement assessments pursuant to this	1404
section.	1405

(b) If a unit owner requests a hearing, at least seven days	1406
prior to the hearing the board of directors shall provide the unit	1407
owner with a written notice that includes the date, time, and	1408
location of the hearing.	1409

(3) The board of directors shall not levy a charge or	1410
assessment before holding any hearing requested pursuant to this	1411
division.	1412

(4) The unit owners, through the board of directors, may	1413
allow a reasonable time to cure a violation described in division	1414
(B) of this section before imposing a charge or assessment.	1415

(5) Within thirty days following a hearing at which the board	1416
of directors imposes a charge or assessment, the unit owners	1417
association shall deliver a written notice of the charge or	1418
assessment to the unit owner.	1419

(6) Any written notice this section requires shall be	1420
delivered to the unit owner or any occupant of the unit by	1421
personal delivery, by certified mail, return receipt requested, or	1422
by regular mail.	1423

Sec. 5311.09.  (A) Each(1) The unit owners association shall	1424
keep correctall of the following:	1425

(a) Correct and complete books and records of account,	1426
specifyingthat specify the receipts and expenditures relating to	1427
the common areas and facilitieselements and other common receipts	1428
and expenses, together with records;	1429

(b) Records showing the allocation, distribution, and	1430
collection of the common profits, losses, and expenses among and	1431
from the unit owners; minutes	1432

(c) Minutes of the proceedingsmeetings of the unit owners	1433
association and the board of managersdirectors; and records	1434

(d) Records of the names and addresses of the unit owners and	1435
their respective percentages ofundivided interest in the common	1436
areas and facilitieselements.	1437

(2) Within thirty days after a unit owner obtains a	1438
condominium ownership interest, the unit owner shall provide the	1439
following information in writing to the unit owners association	1440
through the board of directors:	1441

(a) The home address, home and business mailing addresses,	1442
and the home and business telephone numbers of the unit owner and	1443
all occupants of the unit;	1444

(b) The name, business address, and business telephone number	1445
of any person who manages the owner's unit as an agent of that	1446
owner.	1447

(3) Within thirty days after a change in any information that	1448
this division requires, a unit owner shall notify the association,	1449
through the board of directors, in writing of the change. When the	1450
board of directors requests, a unit owner shall verify or update	1451
the information.	1452

(B) Whenever(1) When elected members of a board of managers	1453
directors of a unit owners association take control of the	1454
association, the declarant or developer shall deliver to such	1455
officers correct and complete books and records of account, as	1456
required in division (A) of this section, and anythe board	1457
correct and complete copies of all of the following:	1458

(a) The books, records, and minutes referred to in division	1459
(A) of this section;	1460

(b) The declaration, the bylaws, the drawings prepared	1461
pursuant to section 5311.07 of the Revised Code, as recorded, and	1462
any articles of incorporation of the unit owners association, as	1463
recorded;	1464

(c) Except in the case of a conversion condominium,	1465
documents, information, and sources of information concerning the	1466
location of underground utility lines, and plans and	1467
specifications that are not proprietary or copyrighted, of the	1468
buildings, other improvements, and structures of the condominium	1469
property that are reasonably available to the developer, but only	1470
in connection with condominium developments declared on or after	1471
the effective date of this amendment and condominium developments	1472
that are declared prior to that date but originally built or	1473
constructed on or after that date.	1474

(2) The board of directors may commence a civil action on	1475
behalf of the unit owners association in the court of common pleas	1476
of the county in which the condominium property is located to	1477
obtain injunctive relief or recover damages for harm resulting	1478
from the declarant's or developer's failure to do so may be	1479
recovered in a civil actioncomply with this division.	1480

Sec. 5311.091. (A) Except as otherwise prohibited by this	1481
section, any member of a unit owners association may examine and	1482
copy the books, records, and minutes described in division (A) of	1483
section 5311.09 of the Revised Code pursuant to reasonable	1484
standards set forth in the declaration, bylaws, or rules the board	1485
promulgates, which may include, but are not limited to, standards	1486
governing the type of documents that are subject to examination	1487
and copying, the times and locations at which those documents may	1488
be examined or copied, and the specification of a reasonable fee	1489
for copying the documents.	1490

(B) The unit owners association is not required to permit the	1491
examination and copying of any of the following from books,	1492
records, and minutes:	1493

(1) Information that pertains to condominium property-related	1494
personnel matters;	1495

(2) Communications with legal counsel or attorney work	1496
product pertaining to pending litigation or other condominium	1497
property-related matters;	1498

(3) Information that pertains to contracts or transactions	1499
currently under negotiation, or information that is contained in a	1500
contract or other agreement containing confidentiality	1501
requirements and that is subject to those requirements;	1502

(4) Information that relates to the enforcement of the	1503
declaration, bylaws, or rules of the unit owners association	1504
against unit owners;	1505

(5) Information the disclosure of which is prohibited by	1506
state or federal law.	1507

Sec. 5311.10.  In any deed, mortgage, lease, or other	1508
instrument of conveyance or encumbrance of, or by which a lien is	1509
created upon, any interest or estate in aany unit or units of	1510
condominium property, it is sufficient to describe suchthe unit	1511
or units by setting forth the name of the condominium property,	1512
the number or other designation of the unit or units, and the	1513
numbers of the volumes and initial pages of the records of the	1514
declaration and drawings of the condominium property. This section	1515
does not require reference by volume and page to amendments to the	1516
declaration or the drawings of the condominium property that	1517
accompany an amendment, and the omission of any reference to	1518
amendments does not affect the validity of any deed, mortgage,	1519
lease, or other instrument referred to in this section.	1520

Sec. 5311.11.  Each unit of a condominium property and the	1521
percentage ofundivided interest in the common areas and	1522
facilitieselements appurtenant to it shall beis deemed to be a	1523
separate parcel for all purposes of taxation and assessment of	1524
real property, and no other unit or other part of the condominium	1525
property shall be charged with the payment of suchthose taxes and	1526
assessments.	1527

Sec. 5311.12. TheNo owner or owners of property submitted	1528
to the provisions of Chapter 5311. of the Revised Codethis	1529
chapter shall not thereafter convey fee title to any unit thereof	1530
of the condominium property until all liens and encumbrances,	1531
except taxes and assessments of political subdivisions not then	1532
due and payable, affecting both suchthe unit and any other part	1533
of the condominium property have beenare paid and satisfied or,	1534
the unit being conveyed has beenis released from the operation	1535
thereofof those liens and encumbrances, or the purchaser of the	1536
unit assumes the lien.	1537

Sec. 5311.13.  (A) Liens and encumbrances shall arise with	1538
respect to and shall affect a unit of a condominium property and	1539
the percentage ofundivided interest in the common areas and	1540
facilitieselements appurtenant to it in the same manner and under	1541
the same conditions in every respect as the same mayliens and	1542
encumbrances arise with respect to and affect any other real	1543
estate, except as provided in this section.	1544

(B) Any person who does work or labor upon or furnishes	1545
machinery, material, or fuel for the alteration or repair of any	1546
unit without the consent or authorization of theany owner,	1547
part-owner or lessee of any interest in the unit, or histhe	1548
owner's or lessee's authorized agent, is nevertheless is entitled	1549
to a lien to secure payment thereforfor the work, labor,	1550
machinery, material, or fuel on the estate or interest in the unit	1551
of the owner, pursuant to sections 1311.01 to 1311.38 of the	1552
Revised Code, if the work, labor, alteration, or repair has been	1553
was duly authorized or directed by the board of managersdirectors	1554
of the unit owners association and has been necessary in the	1555
opinion of the board of managersdirectors for public safety or in	1556
order to prevent damage to or destruction of any other part of the	1557
condominium property.	1558

(C) Any person who does work or labor upon or furnishes	1559
machinery, material, or fuel for the construction, alteration,	1560
repair, improvement, enhancement, or embellishment of any part of	1561
the common areas and facilitieselements of any condominium	1562
property is entitled to a lien to secure payment thereforfor the	1563
work, labor, machinery, material, or fuel on the estates or	1564
interests of all owners in all units and their respective	1565
percentages of interestundivided interests in the common areas	1566
and facilitieselements, pursuant to sections 1311.01 to 1311.38	1567
of the Revised Code, if the work, labor, construction, alteration,	1568
repair, improvement, enhancement, or embellishment has beenwas	1569
duly authorized or directed by the board of managersdirectors of	1570
the unit owners association.	1571

(D) Whenever anyIf a lien or encumbrance arises with respect	1572
to and affects any estate or interest in two or more units, the	1573
proportionate amount of the obligation secured or evidenced by the	1574
lien or encumbrance that is attributable to the estate or interest	1575
in any such unit shall be in the ratio that the percentage of	1576
interestundivided interests in the common areas and facilities	1577
elements appurtenant to that unit bears to the total percentages	1578
of interestundivided interests in the common areas and facilities	1579
elements appurtenant to all such units. An estate or interest in a	1580
unit may be released and discharged from the operation of the lien	1581
or encumbrance, in the same manner and to the same extent that a	1582
lien or encumbrance could beis released and discharged with	1583
respect to any separate parcel of real estate, by payment to the	1584
person or persons entitled theretolienholder or encumbrancer of	1585
the proportionate amount of the obligation secured or evidenced by	1586
the lien or encumbrance that is attributable to the estate or	1587
interest.	1588

(E)(1) When a lien exists under Chapter 1311. of the Revised	1589
Code to secure payment for work or labor done or machinery,	1590
material, or fuel furnished for property, which thereafterthat	1591
subsequently becomes condominium property through the filing and	1592
recording of a declaration under section 5311.06 of the Revised	1593
Code, regardless of the condominium property to which the lien	1594
originally attached, after the declaration is filed for record,	1595
the lien is enforceable as to condominium property only against	1596
units and their appurtenant interests in the common areas and	1597
facilities owned byelements that the declarantdeveloper owned or	1598
conveyed by him, other than as described in division (F) of this	1599
section. Foreclosure	1600

(2) Foreclosure of such a lien described in division (E)(1)	1601
of this section does not of itself terminate the condominium	1602
property. This	1603

(3) This division does not limit the right to enforce a lien	1604
arising under Chapter 1311. of the Revised Code against property	1605
that does not become condominium property through the filing and	1606
recording of a declaration under section 5311.06 of the Revised	1607
Code.	1608

(F) No lien acquired under Chapter 1311. of the Revised Code	1609
is enforceable against any purchaser in good faith for value of a	1610
unit and its appurtenant interest in the common areas and	1611
facilitieselements from the declarantdeveloper unless the	1612
affidavit required by section 1311.06 of the Revised Code is filed	1613
for record before the deed or other instrument of conveyance of	1614
the unit is filed for record.	1615

Sec. 5311.14.  (A) Unless provided otherwise in the	1616
declaration, damage to or destruction of all or any part of the	1617
common areas and facilitieselements of a condominium property	1618
shall be promptly repaired and restored by the manager or board of	1619
managersdirectorsof the unit owners association. The cost of	1620
suchthe repairs and restoration shall be paid from the proceeds	1621
of insurance, if any, payable because of suchthe damage or	1622
destruction, and the balance of suchthat cost shall beis a	1623
common expense.	1624

(B)(1) Unless provided otherwise in the declaration, in the	1625
event of damage to or destruction of all or any part of the common	1626
areas and facilitieselements of a condominium property, the unit	1627
owners, by the affirmative vote of those entitled to exercise not	1628
less than seventy-five per cent of the voting power or sucha	1629
greater per cent as may beif provided in the declaration, may	1630
elect not to repair or restore the samedamaged or destroyed	1631
common elements. Upon such	1632

(2) Upon an election not to repair or restore, all of the	1633
condominium property is subject to an action for sale as upon	1634
partition at the suit of any unit owner. In the event of any such	1635
sale or a sale of the condominium property after such election by	1636
agreement of all unit owners exercising a majority of the voting	1637
power of unit owners. If the condominium property is sold pursuant	1638
to division (B)(2) of this section, theany net proceeds of the	1639
sale, together with the net proceeds of insurance, if any, andor	1640
any other indemnity arising because of suchthe damage or	1641
destruction, shall beare considered as one fund and shall be	1642
distributedfor distribution to all unit owners in proportion to	1643
their respective percentages of interestthe undivided interests	1644
in the common areas and facilitieselements appurtenant to their	1645
units. No	1646

No unit owner is entitled to receive any portion of his share	1647
of suchthose proceeds until all liens and encumbrances on histhe	1648
unit have been, except taxes and assessments of political	1649
subdivisions not then due and payable, are paid, released, or	1650
discharged.	1651

Sec. 5311.16.  Unless otherwise provided by the declaration	1652
or bylaws, the board of managersdirectors shall insure all unit	1653
owners, their tenants, and all persons lawfully in possession or	1654
control of any part of the condominium property for suchthe	1655
amount asthat it determines against liability for personal injury	1656
or property damage arising from or relating to the common areas	1657
and facilitieselements and shall also obtain for the benefit of	1658
all unit owners, fire and extended coverage insurance on all	1659
buildings and structures of the condominium property in an amount	1660
not less than eighty per cent of the fair market value thereof.	1661
The cost of suchthe insurance shall beis a common expense.	1662

Sec. 5311.17.  (A) Unless otherwise provided by the	1663
declaration or division (B) of section 5311.14 of the Revised	1664
Code, the unit owners, by the affirmative vote of all unit owners,	1665
may elect to remove condominium property from the provisions of	1666
Chapter 5311. of the Revised Codethis chapter. In the event of	1667
suchthat election, all liens and encumbrances, except taxes and	1668
assessments of political subdivisions not then due and payable,	1669
upon all or any part of the condominium property, shall be paid,	1670
released, modified, or discharged, and a.A certificate setting	1671
forth that suchthe election was made shall be filed with the	1672
recorder of the county or counties in which the condominium	1673
property is situated and by him recorded by each recorder. Such	1674
The certificate shall be signed byas follows:	1675

(1) By the president or other chief officer of the board of	1676
managers of the unit owners association, who shall certify therein	1677
in the certificate under oath that all liens and encumbrances,	1678
except taxes and assessments of political subdivisions not then	1679
due and payable, upon all or any part of the common areas and	1680
facilitieselements have been paid, released, modified, or	1681
discharged, and shall also be signed by;	1682

(2) By the unit owners, each of whom shall certify thereinin	1683
the certificate under oath that all such liens and encumbrances on	1684
histhe owner's unit or units have been paid, released, modified,	1685
or discharged, except taxes and assessments of political	1686
subdivisions not then due and payable.	1687

(B) A recorder shall not accept for recording any certificate	1688
pursuant to this section until a copy thereof has beenis filed	1689
with the auditor of the same county who shall endorse on the	1690
certificate that, and the certificate contains the auditor's	1691
endorsement that a copy thereof has beenis filed with himthe	1692
auditor.	1693

(C) A condominium property shall beis deemed removed from	1694
the provisions of Chapter 5311. of the Revised Codethis chapter	1695
upon the filing of the certificate with the recorder or recorders,	1696
and upon suchthat removal, the property shall beis owned in	1697
common by the unit owners. The undivided interest in the property	1698
owned by each unit owner shall beis the percentage ofundivided	1699
interest in the common areas and facilitieselements appurtenant	1700
to the units in the condominium property previously owned by such	1701
each owner.	1702

Sec. 5311.18.  (A)(1) Unless otherwise provided by the	1703
declaration or the bylaws, the unit owners association shall have	1704
has a lien upon the estate or interest of the owner in any unit	1705
and the appurtenant percentage ofundivided interest in the common	1706
areas and facilitieselements for the payment of any of the	1707
portion of the commonfollowing expenses that are chargeable	1708
against the unit and that remainsremain unpaid for ten days after	1709
theany portion has become due and payable.:	1710

(a) The portion of the common expenses chargeable against the	1711
unit;	1712

(b) Interest, administrative late fees, enforcement	1713
assessments, and collection costs, attorney's fees, and paralegal	1714
fees the association incurs if authorized by the declaration, the	1715
bylaws, or the rules of the unit owners association and if	1716
chargeable against the unit.	1717

(2) Unless otherwise provided by the declaration, the bylaws,	1718
or the rules of the unit owners association, the association shall	1719
credit payments made by a unit owner for the expenses described in	1720
divisions (A)(1)(a) and (b) of this section in the following order	1721
of priority:	1722

(a) First, to interest owed to the association;

1723

(b) Second, to administrative late fees owed to the	1724
association;	1725

(c) Third, to collection costs, attorney's fees, and	1726
paralegal fees incurred by the association;	1727

(d) Fourth, to the principal amounts the unit owner owes to	1728
the association for the common expenses or penalty assessments	1729
chargeable against the unit.	1730

(3) The lien described in division (A)(1) of this section is	1731
effective on the date that a certificate of lien in the form	1732
described in this division is filed for record in the office of	1733
the recorder of the county or counties in which the condominium	1734
property is situated pursuant to an authorization given by the	1735
board of managersdirectors of the unit owners association. The	1736
certificate shall contain a description of the unit, the name of	1737
the record owner of the unit, and the amount of the unpaid portion	1738
of the common expenses and, subject to subsequent adjustments, any	1739
unpaid interest, administrative late fees, enforcement	1740
assessments, collection costs, attorney's fees, and paralegal	1741
fees. The certificate shall be subscribed by the president or	1742
other chief officer of the unit ownersdesignated representative	1743
of the association. The	1744

(4) The lien described in division (A)(1) of this section is	1745
valid for a period of five years from the date of filing, unless	1746
it is sooner released or satisfied in the same manner provided by	1747
law for the release and satisfaction of mortgages on real property	1748
or unless it is discharged by the final judgment or order of a	1749
court in an action brought to discharge the lien as provided in	1750
division (C) of this section.	1751

(B)(1) The lien provided for bydescribed in division (A)(1)	1752
of this section is prior to any lien or encumbrance subsequently	1753
arising or created, except liens for real estate taxes and	1754
assessments of political subdivisions and liens of first mortgages	1755
that have been filed for record, and may be foreclosed in the same	1756
manner as a mortgage on real property in an action brought on	1757
behalf of the unit owners association by itsthe president or	1758
other chief officer of the association pursuant to authority given	1759
to himthat individual by the board of managersdirectors. In the	1760

(2) In a foreclosure action a unit owners association	1761
commences pursuant to division (B)(1) of this section or a	1762
foreclosure action the holder of a first mortgage or other lien on	1763
a unit commences, the owner of the unit affected, as the defendant	1764
in the action, shall be required to pay a reasonable rental for	1765
the unit during the pendency of the action, and the plaintiff in	1766
the action.The unit owners association or the holder of the lien	1767
is entitled to the appointment of a receiver to collect the	1768
rental. In theEach rental payment a receiver collects during the	1769
pendency of the foreclosure action shall be applied first to the	1770
payment of the portion of the common expenses chargeable to the	1771
unit during the foreclosure action.	1772

(3) In a foreclosure action the holder of a lien on a unit	1773
commences, the holder of that lien shall name the unit owners	1774
association as a defendant in the action.	1775

(4) Unless prohibited by the declaration or the bylaws,	1776
following a foreclosure action a unit owners association commences	1777
pursuant to division (B)(1) of this section or a foreclosure	1778
action the holder of a lien on a unit commences, the unit owners	1779
association, or its agent, duly authorized by action of itsthe	1780
board of managersdirectors, is entitled, unless prohibited by the	1781
declaration or bylaws, to become a purchaser at the foreclosure	1782
sale.	1783

(5) A mortgage on a unit may contain a provision that secures	1784
the mortgagee's advances for the payment of the portion of the	1785
common expenses chargeable against the unit upon which the	1786
mortgagee holds the mortgage.	1787

(6) In any foreclosure action, it is not a defense, set off,	1788
counterclaim, or crossclaim that the unit owners association has	1789
failed to provide the unit owner with any service, goods, work, or	1790
material, or failed in any other duty.	1791

(C) A unit owner who believes that the portion of the common	1792
expenses chargeable to histhe unit, for which a certificate of	1793
lien has been filed by the unit owners association files a	1794
certificate of lien pursuant to division (A) of this section, has	1795
been improperly charged against him or his unit may commence an	1796
action for the discharge of the lien in the court of common pleas	1797
of the county in which all or a part of the condominium property	1798
is situated. In the action, if it is finally determined that the	1799
portion of the common expenses has beenwas improperly charged to	1800
the unit owner or histhe unit, the court shall make suchenter an	1801
order as isthat it determines to be just, which may provide for a	1802
discharge of record of all or a portion of the lien.	1803

Sec. 5311.19. (A) All unit owners, their tenants, and all	1804
persons lawfully in possession and control of any part of thea	1805
condominium property, and the unit owners association of a	1806
condominium property shall comply with all covenants, conditions,	1807
and restrictions set forth in a deed to which they are subject or	1808
in the declaration, the bylaws of the unit owners association, or	1809
administrativethe rules and regulations adopted pursuant toof	1810
the provisions thereofunit owners association, as any of the same	1811
may be lawfully amended from time to time, and violations thereof.	1812
Violations of those covenants, conditions, or restrictions shall	1813
be grounds for actions brought by the unit owners association, by	1814
a unit owner or unit owners, or by both the unit owners	1815
association or any unit owner to commence a civil action for	1816
damages or, injunctive relief, or both, and an award of court	1817
costs and reasonable attorney's fees in both types of action.	1818

(B)(1) Except as otherwise provided in the declaration or the	1819
bylaws, a unit owners association may initiate eviction	1820
proceedings, pursuant to Chapters 5321. and 1923. of the Revised	1821
Code, to evict a tenant for a violation of division (A) of this	1822
section. The action shall be brought by the unit owners	1823
association, as the unit owner's agent, in the name of the unit	1824
owner.	1825

(2) In addition to any procedures required by Chapters 5321.	1826
and 1923. of the Revised Code, the unit owners association shall	1827
give the unit owner at least ten days written notice of the	1828
intended eviction action.	1829

(3) The costs of any eviction action brought pursuant to this	1830
division, including reasonable attorney's fees, shall be charged	1831
to the unit owner and shall be the subject of a special assessment	1832
against the offending unit and made a lien against that unit.	1833

Sec. 5311.20.  In any action relating to the common areas and	1834
facilitieselements or to any right, duty, or obligation possessed	1835
or imposed upon the unit owners association, by statute or	1836
otherwise, the unit owners association may sue or be sued as a	1837
separate legal entity. In any such action of that nature, service	1838
of summons or other process may be made upon the unit owners	1839
association by serving the sameprocess personally upon the	1840
president or other chief officer thereof or upon the person	1841
designated representative of the unit owners association named in	1842
the declaration as the person to receive service of process	1843
therefor, or the person named as statutory agent of the	1844
association if it is an incorporated entity, or by leaving the	1845
sameprocess at the residence or place of business of sucha	1846
person set forthnamed in the declaration or named as statutory	1847
agent. Any such action brought by or on behalf of the unit owners	1848
association shall be pursuant to authority granted by itsthe	1849
board of managersdirectors.	1850

Sec. 5311.21. TheUnless retained by the board of directors	1851
as reserves, the common profits of a condominium property shall be	1852
distributed among, and, except as provided in division (B) of	1853
section 5311.041 of the Revised Code, the common expenses shall be	1854
charged to the unit owners according to the percentages of	1855
interestundivided interests in the common areas and facilities	1856
elements appurtenant to their respective units.	1857

Sec. 5311.22.  (A) Unless otherwise provided in the	1858
declaration or bylaws, each unit owner of a condominium property	1859
may exercise that percentage of the total voting power of all unit	1860
owners on any question for which the vote of unit owners is	1861
permitted or required that is equivalent to the percentage of	1862
undivided interest in the common areas and facilitieselements	1863
appurtenant to histhe owner's unit.	1864

(B) Fiduciaries and minors who are owners of record of a unit	1865
or units may vote their respective interests as unit owners. If	1866
Unless otherwise provided in the declaration or bylaws, if two or	1867
more persons, whether fiduciaries, tenants in common, or	1868
otherwise, own undivided interests in a unit, each person may	1869
exercise the proportion of the voting power of all of the owners	1870
of histhe unit that is equivalent to histhe person's	1871
proportionate undivided interest in the unit.	1872

(C) A fiduciary for a unit owner or of the estate of a unit	1873
owner may vote as though hethe fiduciary were the unit owner when	1874
hethe fiduciary has furnished to the unit owners association	1875
proof, satisfactory to it, of histhe fiduciary's appointment and	1876
qualification as: an executor under the last will of a deceased	1877
unit owner;, an administrator of the estate of a deceased unit	1878
owner;, a guardian, committee, or conservator of the estate of a	1879
wardminor or incompetent who is a unit owner;, a trustee in	1880
bankruptcy of a unit owner;, a statutory or judicial receiver or	1881
liquidator of the estate or affairs of a unit owner;, or an	1882
assignee for the benefit of creditors of a unit owner.	1883

(D) When any other fiduciary or representative of a unit	1884
owner who is not described in division (C) of this section has	1885
furnished to the unit owners association with satisfactory proof,	1886
satisfactory to it, of his authority, hethat person may vote as	1887
though he were thea unit owner.	1888

Sec. 5311.23. (A) A declarant, developer, agent, or unit	1889
owner, or any person entitled to occupy a unit of a condominium	1890
property is liable in damages in a civil action for damagesharm	1891
caused to any person or to the unit owners association by histhat	1892
individual's failure to comply with any lawful provision of the	1893
condominium instruments. Any	1894

(B) Any interested person,including a unit owners	1895
association, may commence an action for a declaratory judgment to	1896
determine histhat person's legal relations under the condominium	1897
instruments or to obtain an injunction against a declarant,	1898
developer, agent, unit owner, or person entitled to occupy a unit	1899
who refuses to comply, or threatens to refuse to comply, with a	1900
provision of the condominium instruments. One	1901

(C) In connection with either type of action described in	1902
this section, one or more unit owners may bring a class action on	1903
behalf of all unit owners. The lawful provisions of the	1904
condominium instruments may, if necessary to carry out their	1905
purposes, may be enforced in either type of action against the	1906
condominium property or any person who owns or has previously has	1907
owned any estate or interest in the condominium property.	1908

(D) An action by the unit owners association under this	1909
section may be commenced by the association in its own name, or in	1910
the name of itsthe board of managersdirectors, or in the name of	1911
itsthe association's managing agent.	1912

Sec. 5311.24. (A) Sections 5311.25 to 5311.27 of the Revised	1913
Code do not apply to any of the following, unless the method of	1914
disposing of the condominium property is adopted for the purpose	1915
of evading their provisions:	1916

(A)(1) The sale of a condominium ownership interest solely	1917
for commercial or industrial purposes or uses;	1918

(B)(2) The sale of real estate under or pursuant to court	1919
order;	1920

(C)(3) The sale of real estate by the United States or any of	1921
its agencies or instrumentalities, or by this state or any	1922
political subdivision of this state, or by any of their agencies	1923
or instrumentalities;	1924

(D)(4) The sale of condominium ownership interests in	1925
individual dwelling units or individual water slip units, and in	1926
their appurtenant common areas and facilitieselements for his own	1927
the account byof a person other than a declarant, developer, or	1928
agent when the sale is not conducted pursuant to the common	1929
promotional plan of the developer for sales in a condominium	1930
development.	1931

(B) A sale or offer to sell a condominium ownership interest	1932
does not exist when a reservation agreement is entered into that	1933
does not legally require a prospective purchaser to purchase a	1934
condominium ownership interest and under which the prospective	1935
purchaser may relinquish all rights and receive a full refund of	1936
all deposits, without penalty, at any time prior to entering into	1937
a contract to purchase a condominium ownership interest.	1938

Sec. 5311.25. No developer or agent, directly or indirectly,	1939
shall sell or offer to sell a condominium ownership interest in a	1940
condominium development unless the condominium instruments	1941
pertaining to the development provide that:	1942

(A) Any(1)Except as provided in division (A)(2) of this	1943
section, any deposit or down payment made in connection with the	1944
sale willof a condominium ownership interest shall be held in	1945
trust or escrow until delivered at settlement or, returned to or	1946
otherwise credited to the purchaser, or forfeited to the	1947
developer, and that if.If a deposit or down payment of more than	1948
two thousand dollars or more is held for more than ninety days and	1949
is not withdrawn pursuant to division (A)(2) of this section,	1950
interest at thea rate of at least four per cent per annumequal	1951
to the prevailing rate payable by federally insured financial	1952
institutions in the county of the condominium property on daily	1953
interest accounts for any period exceeding ninety days shall be	1954
credited to the purchaser at settlement or upon return or other	1955
credit made to the purchaser, or added to any forfeiture to the	1956
developer;.Interest is payable only on the amount of the deposit	1957
or down payment that exceeds two thousand dollars.	1958

(2)(a) If a contract for the sale of a condominium ownership	1959
interest contains the legend described in division (A)(2)(b) of	1960
this section, a developer may, in accordance with the contractual	1961
provisions, withdraw a deposit or down payment from trust or	1962
escrow upon the commencement of construction of the structure of	1963
the condominium property in which the purchaser's unit will be	1964
located and use the moneys in the actual construction and	1965
development of the condominium property. The developer shall not	1966
use the moneys for advertising purposes or for the salaries,	1967
commissions, or expenses of agents.	1968

(b) A contract that permits withdrawals of a deposit or down	1969
payment for the purposes described in division (A)(2)(a) of this	1970
section shall include the following legend conspicuously printed	1971
or stamped in boldface type on the contract's first page and	1972
immediately above the signature of the purchaser: "Purchaser	1973
acknowledges that, pursuant to this contract, the developer may	1974
withdraw and then use for construction and development of the	1975
condominium property any deposit or down payment that the	1976
purchaser makes prior to closing."	1977

(3) Deposits and down payments held in trust or escrow in	1978
accordance with division (A)(1) of this section are not subject to	1979
attachment, garnishment, or other legal process by creditors of	1980
the developer, agents, or the purchaser of the condominium	1981
ownership interest.	1982

(B) Except in histhe capacity as a unit owner of unsold	1983
condominium ownership interests, the developer or agent willshall	1984
not retain a property interest in any of the common areas and	1985
facilitieselements after unit owners other than the developer	1986
assume control of the condominium development is assumed by the	1987
unit owners association except that, in the case ofas follows:	1988

(1) In a leasehold condominium development, hethe developer	1989
or agent may retain the same interest in the common areas and	1990
facilitieselements as hethe developer or agent retains in the	1991
entire condominium development and except that he may retain a	1992
property interest in recreational facilities furnished to unit	1993
owners or to unit owners and others under a contract entered into	1994
or renewed by the unit owners association after unit owners other	1995
than the developer have assumed control of the association and	1996
except that in.	1997

(2) In an expandable condominium property, the developer may	1998
retain an interest consistent with the declaration and required	1999
necessary to insure ingressensure both of the following, whether	2000
or not the condominium property is expanded to include the	2001
additional property:	2002

(a) Ingress and egress, from and toover the common areas and	2003
facilities by the prospective unit owners inelements for the	2004
benefit of the additional property;	2005

(b)The availability of utilities from and to the common	2006
elements for the benefit of the additional property.	2007

(3) The developer may retain the right to enter upon the	2008
condominium property to fulfill any warranty obligations to the	2009
unit owners association or to unit owners.	2010

(C) The owners of condominium ownership interests that have	2011
been sold by the developer or hisan agent willshall assume	2012
control of the common areas and facilitieselements and of the	2013
unit owners association as prescribed in divisiondivisions (C)	2014
and (D) of section 5311.08 of the Revised Code;.	2015

(D) NeitherUnless a contract or other agreement is renewed	2016
by a vote of the unit owners exercising a majority of the voting	2017
power of the unit owners association, neither the unit owners	2018
association nor the unit owners willshall be subject to either of	2019
the following:	2020

(1) For more than ninety days subsequent to the date that the	2021
unit owners other than the developer assume control of the unit	2022
owners association, any management contract or agreement executed	2023
prior to thethat assumption of control required by division (C)	2024
of this section for;	2025

(2) For more than one year subsequent to thatan assumption	2026
of control unless such a contract or agreement is renewed by a	2027
vote of the unit owners pursuant to the bylaws required by section	2028
5311.08 of the Revised Code;, any other contract executed prior to	2029
that assumption of control, except for contracts for necessary	2030
utility services.	2031

(E)(1) Except as provided in division (E)(4) of this section,	2032
the developer has furnished, as ashall furnish both of the	2033
following:	2034

(a) A minimum,of a two-year warranty covering the full cost	2035
of labor and materials for any repair or replacement of roof and	2036
structural components, and mechanical, electrical, plumbing, and	2037
common service elements serving the condominium property or	2038
additional property as a whole, occasioned or necessitated by a	2039
defect in material or workmanship and a;	2040

(b) A one-year warranty covering the full cost of labor and	2041
materials for any repair or replacement of structural, mechanical,	2042
and other elements pertaining to each unit, occasioned or	2043
necessitated by a defect in material or workmanship commencing.	2044

(2) The two-year warranty shall commence as follows:

2045

(1) In the case of(a) For a condominium development other	2046
than an expandable condominium development, the two-year warranty	2047
shall commence on the date the deed or other evidence of ownership	2048
is filed for record following the sale of the first condominium	2049
ownership interest in the development to a purchaser in good faith	2050
for value.	2051

(2) In the case of(b)(i) For an expandable condominium	2052
development, the two-year warranty shall commence for property	2053
submitted by the original declaration, on the date the deed or	2054
other evidence of ownership is filed for record following the sale	2055
of the first condominium ownership interest in the property, and	2056
forto a purchaser in good faith for value;	2057

(ii) For an expandable condominium development, for any	2058
additional property submitted by amendment to the declaration, on	2059
the date the deed or other evidence of ownership is filed for	2060
record following the sale of the first condominium ownership	2061
interest in the additional property; in either case to a purchaser	2062
in good faith for value.	2063

(3) The one-year warranty for each unit shall commence on the	2064
date the deed or other evidence of ownership is filed for record	2065
following the firstdeveloper's sale and conveyance of athe	2066
condominium ownership interest in the unit to a purchaser in good	2067
faith for value.	2068

(4) In the case ofThe valid assignment by the developer of	2069
the express and implied warranty of the manufacturer satisfies the	2070
developer's obligation under this section with respect to ranges,	2071
refrigerators, washing machines, clothes dryers, hot water	2072
heaters, and other similar appliances installed and furnished as	2073
part of the unit by the developer, the valid assignment by the	2074
developer of the express and implied warranty of the manufacturer	2075
satisfies the developer's obligation under this division with	2076
respect to such appliances, and the. The developer's warranty	2077
under this division (E)(1)of this section is limited to the	2078
installation of the appliances.	2079

(5) All warranties made to the developer that exceed time	2080
periods specified in this division (E)(1)of this section with	2081
respect to any part of the units ora unit shall be assigned to	2082
the purchaser of that unit and warranties with respect to any part	2083
of the common areas and facilitieselements shall be assigned to	2084
the purchaserunit owners association.	2085

(F) The developer willshall assume the rights and	2086
obligations of a unit owner in histhe developer's capacity as	2087
owner of condominium ownership interests not yet sold, including,	2088
without limitation, the obligation to pay common expenses	2089
attaching to suchthose interests, from the date the declaration	2090
is filed for record even if the construction of the units and the	2091
appurtenant common elements subject to the condominium ownership	2092
interests has not started or is not complete.	2093

(G) In the case of a conversion condominium development, all	2094
tenants were offeredthe developer shall offer each tenant an	2095
option, exercisable within not less than ninety days after notice,	2096
to purchase a condominium ownership interest in the development,	2097
and such tenants were giventhat the tenant occupies and at a	2098
price that is not greater than the price at which the unit will be	2099
offered to the general public for the subsequent one hundred	2100
eighty-day period. The developer shall give each tenant written	2101
notice of not less than one hundred twenty days prior to being	2102
required to vacate the premises to facilitate the conversion or	2103
intended conversion, during which time the tenant may not be	2104
evicted to accommodate or facilitate the sale of any unit if the	2105
tenant is not in default under the tenant's terms of tenancy. The	2106
ninety-day and one hundred twenty-day notice periods may run	2107
concurrently and may be waived in writing by a tenant. If two or	2108
more tenants occupy a unit in a conversion condominium	2109
development, the option to purchase shall be given jointly to	2110
those tenants.	2111

Deposits and down payments held in trust or escrow pursuant	2112
to division (A) of this section shall not be subject to attachment	2113
by creditors of the developer or a purchaser.	2114

(H) Except as provided in section 5311.24 of the Revised	2115
Code, no developer or agent, directly or indirectly, shall sell or	2116
offer to sell a condominium ownership interest in a condominium	2117
development unless the condominium instruments include a statement	2118
that sets forth the requirements of this section, section 5311.26,	2119
and section 5311.27 of the Revised Code.	2120

Sec. 5311.26. NoExcept as provided in section 5311.24 of	2121
the Revised Code, no developer or agent, directly or indirectly,	2122
shall sell or offer to sell a condominium ownership interest in a	2123
residential or water slip condominium development unless hethe	2124
developer or agent provides the prospective purchaser a	2125
condominium development disclosure statement that discloses fully	2126
and accurately to each prospective purchaser of the interest all	2127
material circumstances or features affecting the development, by	2128
preparing and providing to each prospective purchaserin a	2129
readable and understandable written statement of such	2130
circumstances or features. The statement shall not intentionally	2131
omit any material fact or contain any untrue statement of a	2132
material fact and shall contain all of the following:	2133

(A) The name and address of the condominium development, and	2134
the name, address, and telephone number of the developer and of	2135
the development manager if other than the developer, or histhat	2136
manager's agent;	2137

(B) A general narrative description of the development	2138
stating the total number of units, a description of the types of	2139
units and price of each type of unit, the total number of units	2140
that may be included in the development by reason of future	2141
expansion or merger of the development, and a precise statement of	2142
the nature of the condominium ownership interest that is being	2143
offered;	2144

(C) A general disclosure of the following:

2145

(1) The status of construction, zoning, site plan, or other	2146
governmental approvals, and compliance;	2147

(2) Compliance or notice of failure to comply with any other	2148
federal, state, or local statutes or regulations affecting the	2149
development, and the;	2150

(3) The actual or scheduled dates of completion of any	2151
buildings, recreation facilities, and other common areas and	2152
facilitieselements;	2153

(4) Whether the developer is required to construct	2154
recreational facilities or other common elements;	2155

(D) The significant terms of any financing offered by or	2156
through the developer to purchasers of the condominium ownership	2157
interests in the development, including the name of any bank or	2158
other institution involved in the financing, the minimum down	2159
payment, a statement that the prospective purchaser may obtain	2160
financing from another bank or institution, and the annual	2161
interest rate;	2162

(E) A description of warranties for structural elements and	2163
mechanical and other systems, stated separately for units and for	2164
common areas and facilitieselements;	2165

(F) A two-year projection, revised and updated at least every	2166
six monthswithin the past year if changed, unless the developer	2167
no longer controls the association, of annual expenditures	2168
necessary to operate and maintain the common areas and facilities	2169
elements of the condominium development,and the cost of any	2170
mandatory dues and membership in a not-for-profit organization	2171
described in division (B)(9) of section 5311.05 of the Revised	2172
Code. The projection shall be prepared by the developer and,	2173
specifically statingstate the assumptions and bases of the	2174
projection, and include a complete statement of the estimated	2175
monthly cost per unit for suchthe two-year period, including all	2176
of the following:	2177

(1) The formula for determining each unit's share of common	2178
expenses;	2179

(2) The amount of taxes and insurance and a description of	2180
the basis or formula used in arriving at these amountsthat	2181
amount;	2182

(3) The dollar amount of operating and maintenance expenses;

2183

(4) The monthly cost of utilities;

2184

(5) Any other costs, fees, and assessments reasonably	2185
ascertainable by the developer.	2186

(G) In the case ofFor a conversion condominium development,	2187
the offering price of each unsold unit or type of unsold unit and	2188
a report by the developer stating the age, the condition, and the	2189
developer's opinion of the remaining useful life of structural	2190
elements and mechanical and supporting systems, together with the	2191
developer's estimate of repair and replacement costs projected for	2192
five years from the date the property is submitted to the	2193
provisions of this chapter; the.The report shall be based on	2194
facts reasonably ascertainable by the developer through inspection	2195
of relevant drawings and records and, to the extent permitted by	2196
the physical limits of the site, by personal inspection of the	2197
elements and systems; any.Any limits on the inspection shall be	2198
stated in the report;.	2199

(H) A statement of significant provisions for management of	2200
the condominium development, including all of the following:	2201

(1) Conditions for the formation of a unit owners	2202
association;	2203

(2) The apportionment of voting rights among the members of	2204
the unit owners association;	2205

(3) The contractual rights and responsibilities of the unit	2206
owners association;	2207

(4) A statement advising the purchaser that the condominium	2208
instruments are binding legal documents and describing how such	2209
those instruments may be altered or amended by the unit owners	2210
association.	2211

(I) A facsimile of any management contract or other agreement	2212
affecting the operation, use, or maintenance of or access to all	2213
or any part of the condominium development, with a brief narrative	2214
statement of the effect of each agreement upon a purchaser,	2215
including a specification of the services to be rendered and the	2216
charges to be made thereunderunder it, and a statement of the	2217
relationship, if any, between the developer and the managing	2218
agent;	2219

(J) A statement in twenty-point,conspicuous boldface type of	2220
the purchaser's right to review the condominium instruments, the	2221
purchaser's right to void the contract, any conditions for the	2222
return of a deposit, and a statement of the rights of purchasers	2223
under section 5311.27 of the Revised Code;	2224

(K) The existence or requirement for the establishment of a	2225
reserve fund to finance the cost of repair or replacement of the	2226
components of the common areas and facilitieselements;	2227

(L) The significant terms of any encumberancesencumbrances,	2228
easements, liens, and matters of title affecting the condominium	2229
development;	2230

(M) A statement of the requirement for escrow of deposits and	2231
the right of the developer to use all or any part of these;	2232

(N) A statement of any restraints on the free alienability of	2233
all or any part of the condominium development;	2234

(O) A statement describing any present litigation concerning	2235
the condominium development.	2236

Sec. 5311.27.  (A)(1) In addition to any other remedy	2237
available, a contract or agreement for the sale of a condominium	2238
ownership interest that is executed in violation of section	2239
5311.25 or 5311.26 of the Revised Code shall be voidable by the	2240
purchaser for a perioduntil the later of fifteen days after the	2241
date ofcontract is entered into for sale of the condominium	2242
ownership interest or fifteen days after the date upon which the	2243
purchaser executes a document evidencing receipt of the	2244
information required by section 5311.26 of the Revised Code,	2245
whichever occurs later. Uponexcept that in no case is the	2246
contract or agreement voidable after the title to the condominium	2247
ownership interest is conveyed to the purchaser.	2248

(2) Upon the exercise of thisthe right to void the contract	2249
or agreement, the developer or hisan agent shall refund fully and	2250
promptly to the purchaser any deposit or other prepaid fee or item	2251
and any amount paid on the purchase price, and shall pay all	2252
closing costs paid by the purchaser or for which hethe purchaser	2253
is liable in connection with the void sale.	2254

(B)(1) Any developer or agent who sells a condominium	2255
ownership interest in violation of section 5311.25 or 5311.26 of	2256
the Revised Code shall be liable to the purchaser in an amount	2257
equal to the difference between the amount paid for the interest	2258
and the least of the following amounts:	2259

(1)(a) The fair market value of the interest as of the time	2260
the suit is brought;	2261

(2)(b) The price at which the interest is disposed of in a	2262
bona fide market transaction before suit is brought;	2263

(3)(c) The price at which the unit is disposed of after suit	2264
in a bona fide market transaction,after suit is brought but	2265
before judgment is entered. In	2266

(2)(a)In no case shall the amount recoverable under this	2267
divisionsection be less than the sum of five hundred dollars for	2268
each violation against each purchaser bringing an action under	2269
this divisionsection, together with court costs and reasonable	2270
attorneys'attorney's fees. If	2271

(b) If the purchaser complaining of the violation of section	2272
5311.25 or 5311.26 of the Revised Code has broughtbrings or	2273
maintainedmaintains an action he knewthat the purchaser knows to	2274
be groundless or in bad faith and if the developer or agent	2275
prevails, the court shall award reasonable attorneys'attorney's	2276
fees to the developer or agent.	2277

(C)(1) If hethe attorney general has reason to believe that	2278
substantial numbers of persons are affected and substantial harm	2279
is occurring or is about to occur to suchthose persons, or that	2280
the case is otherwise of substantial public interest, the attorney	2281
general may do either of the following:	2282

(1)(a) Bring an action to obtain a declaratory judgment that	2283
an act or practice of a developer violates section 5311.25 or	2284
5311.26 of the Revised Code or the condominium instruments, or to	2285
enjoin a developer who is violating or threatening to violate such	2286
those sections or instruments;	2287

(2)(b) Bring a class action for damages on behalf of persons	2288
injured by a developer's violation of section 5311.25 or 5311.26	2289
of the Revised Code or of the condominium instruments.	2290

(2)(a) On motion of the attorney general and without bond, in	2291
an attorney general's action under this section, the court may	2292
make appropriate orders, including,but not limited to, orders for	2293
appointment of a master or a receiver, for sequestration of	2294
assets, to reimburse persons found to have been damaged, or to	2295
grant other appropriate relief. The court may assess the expenses	2296
of a master or receiver against the developer.	2297

(b) Any moneys or property recovered by the attorney general	2298
in an action under this section that cannot, with due diligence	2299
within five years,cannot be restored to persons entitled to them	2300
shall be unclaimed funds reportable under Chapter 169. of the	2301
Revised Code.	2302

(c) No action may be brought by the attorney general under	2303
this section to recover for a transaction more than two years	2304
after the occurrence of a violation.	2305

(d) If a court determines that provision has been made for	2306
reimbursement or other appropriate corrective action, insofar as	2307
practicable, with respect to all persons damaged by a violation,	2308
or in any other appropriate case, the attorney general, with court	2309
approval, may terminate enforcement proceedings brought by himthe	2310
attorney general upon acceptance of an assurance from the	2311
developer of voluntary compliance with sections 5311.25 and	2312
5311.26 of the Revised Code or with the condominium instruments,	2313
with respect to the alleged violation. The assurance shall be	2314
filed with the court and entered as a consent judgment. A consent	2315
judgment is not evidence of prior violation of suchthose	2316
sections. Disregard of the terms of a consent judgment entered	2317
upon an assurance shall be treated as a violation of an injunction	2318
issued under this section.	2319

(D) Nonmaterial errors and omissions in the disclosure	2320
statements required by sections 5311.25 and 5311.26 of the Revised	2321
Code shall not be actionable in a civil action otherwise	2322
authorized by this section if the developer or agent has attempted	2323
in good faith to comply with the disclosure requirements and if	2324
the developer or agent has substantially complied with those	2325
requirements.	2326

Sec. 5721.35.  (A) Upon the sale and delivery of a tax	2327
certificate, suchthe tax certificate vests in the certificate	2328
holder the first lien previously held by the state and its taxing	2329
districts under section 5721.10 of the Revised Code for the amount	2330
of taxes, assessments, interest, and penalty charged against a	2331
certificate parcel, superior to all other liens and encumbrances	2332
upon the parcel described in the tax certificate, in the amount of	2333
the certificate redemption price, except liens for delinquent	2334
taxes, assessments, penalties, interest, charges, and costs that	2335
attached to the certificate parcel prior to the attachment of the	2336
lien being conveyed by the sale of such tax certificate. With	2337
respect to the priority as among such first liens of the state and	2338
its taxing districts for different years, the priority shall be	2339
determined by the date such first liens of the state and its	2340
taxing districts attached pursuant to section 323.11 of the	2341
Revised Code, with first priority to the earliest attached lien	2342
and each immediately subsequent priority based upon the next	2343
earliest attached lien.	2344

(B)(1) A certificate holder may record the tax certificate or	2345
memorandum thereof in the office of the county recorder of the	2346
county in which the certificate parcel is situated, as a mortgage	2347
of land under division (B)(A)(2) of section 317.08 of the Revised	2348
Code.. The county recorder shall index the certificate in the	2349
indexes provided for under section 317.18 of the Revised Code. If	2350
the lien is subsequently canceled, the cancellation also shall be	2351
recorded by the county recorder.	2352

(2) Notwithstanding Chapter 1309., Title LIII, or any other	2353
provision of the Revised Code, a secured party holding a security	2354
interest in a tax certificate or memorandum thereof may perfect	2355
that security interest only by one of the following methods:	2356

(a) Possession;

2357

(b) Registering the tax certificate with the county treasurer	2358
in the name of the secured party, or its agent or custodian, as	2359
certificate holder;	2360

(c) Recording the name of the secured party in the	2361
certificate register in the office of the county treasurer of the	2362
county in which the certificate parcel is situated.	2363

Section 2.  That existing sections 317.08, 317.09, 5301.01,	2364
5301.25, 5301.255, 5311.03, 5311.04, 5311.05, 5311.051, 5311.052,	2365
5311.06, 5311.07, 5311.08, 5311.09, 5311.10, 5311.11, 5311.12,	2366
5311.13, 5311.14, 5311.16, 5311.17, 5311.18, 5311.19, 5311.20,	2367
5311.21, 5311.22, 5311.23, 5311.24, 5311.25, 5311.26, 5311.27, and	2368
5721.35 and sections        Sec. 5311.01. ,        Sec. 5311.15. , and        Sec. 5311.241.  of the Revised	2369
Code are hereby repealed.	2370