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H. B. No. 135 As Introduced
As Introduced
125th General Assembly | Regular Session | 2003-2004 |
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Representative Willamowski
A BILL
To amend sections 317.08, 317.09, 5301.01,
5301.25,
5301.255, 5311.03, 5311.04,
5311.05,
5311.051, 5311.052, 5311.06, 5311.07,
5311.08,
5311.09,
5311.10, 5311.11, 5311.12, 5311.13,
5311.14,
5311.16, 5311.17, 5311.18, 5311.19,
5311.20,
5311.21,
5311.22,
5311.23, 5311.24,
5311.25,
5311.26,
5311.27, and 5721.35,
to enact
new
section
5311.01
and
sections 5311.031,
5311.032,
5311.033,
5311.041, 5311.081, and
5311.091,
and to
repeal
sections 5311.01, 5311.15,
and
5311.241
of
the
Revised Code to revise the
Ohio
Condominium
Law.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF OHIO:
Section 1. That sections 317.08, 317.09, 5301.01,
5301.25,
5301.255, 5311.03, 5311.04, 5311.05, 5311.051, 5311.052,
5311.06,
5311.07, 5311.08, 5311.09, 5311.10, 5311.11, 5311.12,
5311.13,
5311.14, 5311.16, 5311.17, 5311.18, 5311.19, 5311.20,
5311.21,
5311.22,
5311.23,
5311.24, 5311.25, 5311.26, 5311.27, and
5721.35
be
amended and that new
section 5311.01 and sections
5311.031,
5311.032, 5311.033,
5311.041, 5311.081, and 5311.091 of
the
Revised Code be
enacted
to read as follows:
Sec. 317.08. (A) Except as provided in
division (F)
divisions
(C) and (D) of this
section, the county recorder shall keep
six
separate sets
of
records as follows: (A)(1) A record of deeds, in which shall be recorded all
deeds
and other instruments of writing for the absolute and
unconditional sale or conveyance of lands, tenements, and
hereditaments; all notices as provided for in sections 5301.47 to
5301.56 of the Revised Code; all judgments or decrees in actions
brought under section 5303.01 of the Revised Code; all
declarations and bylaws, and all amendments to declarations and
bylaws, as provided for in Chapter 5311. of the
Revised Code;
affidavits as provided
for in section 5301.252 of
the Revised
Code; all certificates as provided
for in section
5311.17 of the
Revised Code; all articles dedicating
archaeological preserves
accepted by the director of the Ohio
historical society under
section 149.52 of the Revised Code; all
articles dedicating nature
preserves accepted by the director of
natural resources under
section 1517.05 of the Revised Code; all
agreements for the
registration of lands as archaeological or
historic landmarks
under section 149.51 or 149.55 of the Revised
Code; all
conveyances of conservation easements and agricultural
easements
under section
5301.68 of the Revised Code; all
instruments
extinguishing agricultural
easements under section
901.21 or
5301.691 of the Revised Code or pursuant to
terms of
such an
easement granted to a charitable organization under
section
5301.68 of the Revised Code; all instruments or orders
described
in division (B)(1)(c)(ii) of section 5301.56 of the
Revised Code;
all no further action letters issued under section
122.654 or
3746.11 of the
Revised Code;
all covenants not to sue
issued under
section
3746.12 of the
Revised Code, including all
covenants
not
to sue issued pursuant to section 122.654 of the
Revised Code;
any
restrictions on the use of property contained in
a no further
action letter issued under section 122.654 of the
Revised Code and
any restrictions on the use of
property
identified
pursuant to
division (C)(3) of section
3746.10 of the
Revised
Code; all
memoranda of trust, as
described in division (A)
of
section
5301.255 of the Revised
Code, that describe specific
real
property; and all agreements
entered into under division (A)
of
section 1521.26 of
the Revised Code;
(B)(2) A record of mortgages, in which shall be recorded all
of
the following:
(1)(a) All mortgages, including amendments, supplements,
modifications, and extensions of mortgages, or other instruments
of writing by which lands, tenements, or hereditaments are or may
be mortgaged or otherwise conditionally sold, conveyed, affected,
or encumbered;
(2)(b) All executory installment contracts for the sale of
land
executed after September 29, 1961, that by their terms are
not
required to be fully performed by one or more of the parties
to
them within one year of the date of the contracts;
(3)(c) All options to purchase real estate, including
supplements, modifications, and amendments of the options, but no
option of that nature shall be recorded if it does not state a
specific day and year of expiration of its validity;
(4)(d) Any tax certificate sold under section 5721.33 of the
Revised Code,
or memorandum
thereof
of it, that is presented for
filing
of record.
(C)(3) A record of powers of attorney, including all
memoranda
of trust, as described in division (A) of section
5301.255 of the
Revised Code, that do not describe specific real
property;
(D)(4) A record of plats, in which shall be recorded all
plats
and maps of town lots, of the subdivision of town lots, and
of
other divisions or surveys of lands, any center line survey of
a
highway located within the county, the plat of which shall be
furnished by the director of transportation or county engineer,
and all drawings
and amendments to drawings, as provided for in
Chapter 5311. of the Revised
Code;
(E)(5) A record of leases, in which shall be recorded all
leases, memoranda of leases, and supplements, modifications, and
amendments of leases and memoranda of leases;
(F)(6) A record of declarations
executed pursuant to section
2133.02 of the
Revised Code
and durable powers of attorney for
health care executed pursuant to section
1337.12 of the Revised
Code.
(B) All instruments or memoranda of instruments entitled to
record shall be recorded in the proper record in the order in
which they are presented for record. The recorder may index,
keep, and record in one volume unemployment compensation liens,
internal revenue tax liens and other liens in favor of the United
States as described in division (A) of section 317.09 of the
Revised Code, personal tax liens, mechanic's liens, agricultural
product liens, notices of liens, certificates of satisfaction or
partial release of estate tax liens, discharges of recognizances,
excise and franchise tax liens on corporations, broker's liens,
and liens
provided for in sections 1513.33, 1513.37, 3752.13,
5111.021, and
5311.18
of the Revised Code. The recording of an option to purchase real estate,
including
any supplement, modification, and amendment of the
option, under
this section shall serve as notice to any purchaser
of an interest
in the real estate covered by the option only
during the period of
the validity of the option as stated in the
option. (G)(C) In lieu of keeping the six separate
sets of records
required in divisions (A)(1) to
(F)(6) of this section and the
records
required in division
(H)(D) of this section, a county
recorder may
record all the instruments required to be recorded by
this
section
in two separate sets of record books. One set shall
be
called the
"official records" and shall contain the instruments
listed in
divisions (A)(1),
(B)(2),
(C)(3),
(E)(5),
(F),
and (6)
and
(H)(D) of this section. The
second set of records shall
contain the instruments listed in
division
(D)(A)(4) of this
section.
(H)(D) Except as provided in division
(G)(C)
of this
section, the
county recorder shall keep a separate set of records
containing
all corrupt activity lien notices filed with the
recorder pursuant
to section 2923.36 of the Revised Code and a
separate set of
records containing all medicaid fraud lien
notices
filed with the
recorder pursuant to section 2933.75 of
the Revised
Code.
Sec. 317.09. (A) Notices of liens for internal revenue
taxes, of liens arising under section 107 of the
"Comprehensive
Environmental Response, Compensation, and Liability Act of 1980,"
94 Stat. 2781, 42 U.S.C.A. 9607, as amended, and of any other
lien
in favor of the United States, as provided in the statutes
of the
United States or in any regulation adopted under those
statutes,
certificates discharging the liens, and certificates of
release of
the liens shall be filed for record, by mail or
otherwise, in the
office of the county recorder of the county in
which the property
subject to the lien is situated. If a
duplicate copy of a notice
of a lien or a certificate of
discharge or release of a lien is
provided, the recorder shall
endorse on the copy the date and hour
that the notice or
certificate was received for filing and
recording, and shall
return the copy, by mail or otherwise, to the
district director
of the internal revenue service of the Ohio
district from which
the notice or certificate originated, the
regional administrator
of the region of the United States
environmental protection
agency from which the notice or
certificate originated, or the
other official of the United States
who originated the notice or
certificate, whichever is applicable. Except as provided in division (B) of this section, when a
notice of a lien in favor of the United States is filed, the
recorder shall enter it in a book known as the
"federal tax and
other federal lien index," in alphabetical order, showing on one
line the name and residence of the person named in the notice,
the
serial number or other identifying number of the notice, and
the
total amount of the lien. The recorder shall file and keep
all
original notices of liens in numerical order. When a
certificate
of discharge or release of any lien in favor of the
United States
is issued by the proper official of the United
States, or
his
the
official's delegate, and is filed for record
in the office of the
recorder in which the original notice of the lien is
filed,
the
recorder shall enter the certificate with the date of filing
in
the federal tax and other federal lien index on the line on
which
the notice of the lien so discharged or released is entered
and
permanently attach the original certificate of discharge or
release to the original notice of the lien. (B) If a county recorder records all instruments in two
sets
of record books pursuant to division
(F)(C) of section
317.08
of
the Revised Code, notices of liens in favor of the United
States
and certificates discharging or releasing those liens that
are
filed with the recorder shall be recorded in the
"official
records" set of books. (C) The county recorder shall receive a fee of five
dollars
for filing and indexing each notice of a lien filed
pursuant to
this section and shall receive a fee of three dollars
for filing
and indexing a certificate of discharge or release of
the lien.
The fees provided for in this division shall be
collected at the
time that the notice or certificate is presented
in the office of
the recorder.
Sec. 5301.01. (A) A deed, mortgage, land contract as referred
to
in division
(B)(A)(2)(b) of section 317.08 of the Revised Code,
or
lease
of any interest in real
property and a memorandum of
trust
as
described in division (A) of section
5301.255 of the
Revised
Code
shall be signed by the grantor, mortgagor,
vendor, or
lessor
in
the case of a deed, mortgage, land contract, or lease or
shall
be
signed by the settlor and trustee in the case of a
memorandum
of
trust.
The signing shall be
acknowledged by the
grantor,
mortgagor, vendor, or
lessor, or by
the settlor and
trustee,
before a judge or clerk of a court of
record in this
state, or a
county auditor, county engineer, notary
public, or
mayor, who
shall certify the acknowledgement and
subscribe
the
official's
name to the
certificate of the
acknowledgement. (B)(1) If a deed, mortgage, land contract as referred to in
division
(B)(A)(2)(b) of section 317.08 of the Revised Code, lease
of
any interest in real property, or a memorandum of trust as
described in division (A) of section 5301.255 of the Revised Code
was executed prior to
the effective date of this amendment
February 1, 2002, and was
not acknowledged in the presence of, or
was not attested by, two
witnesses as required by this section
prior to that
effective
date, both of the following apply: (a) The instrument is deemed properly executed and is
presumed to be valid unless the signature of the grantor,
mortgagor, vendor, or lessor in the case of a deed, mortgage, land
contract, or lease or of the settlor and trustee in the case of a
memorandum of trust was obtained by fraud. (b) The recording of the instrument in the office of the
county recorder of the county in which the subject property is
situated is constructive notice of the instrument to all persons,
including without limitation, a subsequent purchaser in good faith
or any other subsequent holder of an interest in the property,
regardless of whether the instrument was recorded prior to, on, or
after
the effective date of this amendment
February 1, 2002. (2) Division (B)(1) of this section does not affect any
accrued substantive rights or vested rights that came into
existence prior to
the effective date of this amendment
February
1, 2002.
Sec. 5301.25. (A) All deeds, land contracts referred to
in
division
(B)(A)(2)(b) of section 317.08 of the Revised Code, and
instruments of writing properly executed for the conveyance or
encumbrance of lands, tenements, or hereditaments, other than as
provided in division (C) of this section and section 5301.23
of
the Revised Code, shall be
recorded in the office of the county
recorder of the county in
which the premises are situated, and
until. Until so recorded or filed
for record, they are
fraudulent,
so far
insofar as
relates
they relate to a
subsequent
bona fide
purchaser having, at the time of purchase,
no knowledge
of the
existence of
such
that former deed
or, land
contract, or
instrument. (B) Whenever a survey is made of lands
which
that are being
conveyed, the county auditor shall require that the name of the
person who made the survey appear in the deed.
Such
The name shall
either be printed, typewritten, stamped, or signed in a legible
manner. An instrument is in compliance with this
section
division
if it
contains a statement in the following form: "A survey of this property was made by ..............."
This division does not apply to any
court
decree, order,
judgment, or writ,
nor to any instrument executed
or acknowledged
outside of this state, or
to any instrument executed within this
state prior to September 20, 1965. (C) All tax certificates sold pursuant to section 5721.32 or
5721.33 of the Revised Code, or memoranda thereof, may be recorded
in the office of the
county recorder of the county in which the
premises are situated, as provided
in division (B) of section
5721.35 of the Revised Code; provided, however, that the
first and
superior lien of the state and its taxing districts conveyed to
the
holder of the tax certificate, as provided in division (A) of
section
5721.35 of the Revised Code, shall in no way be diminished
or adversely affected if the tax
certificate evidencing the
conveyance of such first and superior lien, or
memorandum thereof,
is not recorded as provided in this section.
Sec. 5301.255. (A) A memorandum of trust that satisfies
both of the following may be presented for recordation in the
office of the county recorder of any county in which real
property
that is subject to the trust is located: (1) The memorandum shall be executed by the settlor and
trustee of the trust and acknowledged by
the settlor and trustee
of the trust in accordance with section
5301.01 of the Revised
Code. (2) The memorandum shall state all of the following: (a) The names and addresses of the settlor and trustee of
the trust; (b) The date of execution of the trust; (c) The powers specified in the trust relative to the
acquisition, sale, or encumbering of real property by the trustee
or the conveyance of real property by the trustee, and any
restrictions upon those powers. (B) A memorandum of trust that satisfies divisions (A)(1)
and (2) of this section also may set forth the substance or
actual
text of provisions of the trust that are not described in
those
divisions. (C) A memorandum of trust that satisfies divisions (A)(1)
and (2) of this section shall constitute notice only of the
information contained in it. (D) Upon the presentation for recordation of a memorandum
of
trust that satisfies divisions (A)(1) and (2) of this section
and
the payment of the requisite fee prescribed in section 317.32
of
the Revised Code, a county recorder shall record the
memorandum of
trust as follows: (1) Unless division (D)(2) of this section applies, in the
record of deeds described in division (A)(1) of section 317.08 of
the
Revised Code, if the memorandum of trust describes specific
real
property, or in the record of powers of attorney described
in
division
(C)(A)(3) of that section, if the memorandum of trust
does
not
describe specific real property; (2) If the county recorder records instruments in
accordance
with division
(F)(C) of section 317.08 of the Revised
Code, in the
official records described in that division.
Sec. 5311.01. As used in this chapter, except as
otherwise
provided: (A)
"Agent" means any
person who represents a developer or
who acts for or on behalf
of a developer in selling or offering
to sell any ownership interest in a condominium
development.
"Agent" does
not include an attorney whose
representation of a developer
consists solely of rendering legal
services. (B)
"Additional
property" means land, including surface and
air rights, or
improvements to
land
that are described in an
original
declaration and that may
be
added in the future to an
expandable
condominium
property. (C)
"Affiliate of a
developer" means any person who
controls
a developer or is
controlled by a developer. For the purposes of this division: (1) A person
"controls" a developer if any
of the following
applies: (a) The person is a general partner,
officer, member,
manager, director, or
employer of the developer. (b) The person owns, controls, holds with
power to vote, or
holds
proxies representing more than twenty
per cent of the voting
interest in the developer, doing so either directly or indirectly,
acting in concert with one or more
other persons, or through one
or more subsidiaries. (c) The person controls, in any
manner, the election of a
majority of the developer's
directors. (d) The person has contributed more
than twenty per cent of
the developer's capital. (2) A person
"is controlled by" a
developer if any of the
following
applies: (a) The developer is a general
partner, member, manager,
officer, director,
or employer of the person. (b) The developer owns, controls, holds with
power to vote,
or holds
proxies representing more than twenty
per cent of the
voting
interest in the person, doing so either directly or
indirectly, acting in
concert with
one or more other persons,
or
through one or more
subsidiaries. (c) The developer controls, in any manner, the
election of a
majority of the person's directors. (d) The developer has contributed
more than twenty per cent
of the person's capital. (3)
"Control" does not exist if a person or developer holds
any power described in this division solely as
security for
an
obligation and that power is not
exercised. (D)
"Body of water"
means a stream, lake, pond, marsh,
river,
or other body of
natural or artificial surface water. (E)
"Common assessments"
means assessments that are charged
proportionately against all
units for common purposes. (F)
"Common elements" means, unless otherwise
provided in the
declaration,
the following parts of the
condominium property: (1) The land described in the declaration; (2) All other areas, facilities, places, and structures
that
are not part of a unit, including, but not limited to, the
following: (a) Foundations, columns,
girders, beams, supports,
supporting walls, roofs, halls,
corridors, lobbies, stairs,
stairways, fire escapes, entrances,
and exits of buildings; (b) Basements, yards, gardens,
parking areas, garages,
and storage spaces; (c) Premises for the lodging of
janitors or persons in
charge of the property; (d) Installations of central
services, including, but not
limited to, power,
light, gas, hot and cold water, heating,
refrigeration, air
conditioning, and incinerating; (e) Elevators, tanks, pumps,
motors, fans, compressors,
ducts, and, in general, all apparatus
and installations existing
for common use; (f) Community and commercial
facilities not listed
in this division but
provided for in the declaration; (g) All parts of the condominium
property that are not
listed in this division
that are
necessary or convenient to
its existence,
maintenance, and safety,
that are normally in
common use, or
that have been designated as
common elements in the
declaration or drawings. (G)
"Common expenses"
means expenses designated as common
expenses in this chapter or in
the declaration. (H)
"Common losses"
means the amount by which the common
expenses during any period
of time exceeds the common assessments
and common profits during
that period. (I)
"Common profits"
means the amount by which the total
income received from
any of the following exceeds expenses
allocable to the particular income, rental, fee, or charge: (1) Assessments charged for special benefits to specific
units; (2) Rents received from the rental of equipment or space in
common elements; (3) Any other fee, charge, or income other than common
assessments. (J)
"Common surplus"
means the amount by which common
assessments collected during
any period exceed common expenses. (K)
"Condominium" means a form of real property ownership in
which a declaration has been filed submitting the property to the condominium form of ownership pursuant to this chapter and under which each owner has an
individual ownership interest in a unit with the right to
exclusive possession of that unit and an undivided ownership
interest with the other unit owners in the common elements of the condominium property. (L)
"Condominium
development" means a condominium property
in
which two or more
individual residential or water slip
units,
together with their undivided interests in the
common elements of
the property, are offered for
sale
pursuant to a
common
promotional plan. (M)
"Condominium
instruments" means the declaration and
accompanying drawings and
plans, the bylaws of the unit owner's
association, the
condominium development disclosure statement
described in
section 5311.26 of the Revised
Code, any contracts
pertaining
to the management of the condominium property, and any
other
documents, contracts, or instruments establishing ownership
of
or exerting control over a condominium property or unit. (N)
"Condominium
ownership interest" means a fee simple
estate or a ninety-nine-year leasehold estate, renewable forever,
in a unit, together
with an appurtenant undivided interest in the
common elements. (O)
"Condominium
property" means all real and personal
property
submitted to
the provisions of this chapter, including
land, the buildings,
improvements, and
structures on that
land, the land under a
water
slip, the
buildings, improvements,
and structures that form
or
that are
utilized in connection with
that water slip, and all
easements,
rights,
and appurtenances
belonging to the land or to
the land
under a
water slip. (P)
"Conversion
condominium development" means a condominium
development that was operated as a rental
property and
occupied by
tenants immediately
prior to the submission of the
property to
the
provisions of this
chapter. (Q)
"Convertible unit" means a unit that may be converted
into one or more units and common elements, including limited
common elements. (R)
"Declaration" means
the instrument by which property is
submitted to the provisions
of this chapter. Declaration includes all amendments to
that declaration. (S)
"Developer" means
any person who directly or indirectly
sells or offers for sale
condominium ownership interests in a
condominium development.
"Developer" includes the declarant of a
condominium development
and any successor to that declarant who
stands in the same
relation to the condominium development as the
declarant. (T)
"Exclusive use area"
means common elements
that the
declaration
reserves for delegation by
the board of directors to
the use of
a
certain unit or
units, to the exclusion of other
units. (U)
"Expandable
condominium property" means a condominium
property in which the original declaration reserves the right
to
add
additional property. (V)
"Leasehold
condominium development" means a condominium
development in
which each unit owner owns a ninety-nine-year
leasehold estate,
renewable forever, in the owner's unit, in the
land upon which
that unit is situated, or in both,
together with
an
undivided leasehold interest in the
common
elements, with all
leasehold interests due
to expire at the same time. (W)
"Limited common
elements" means the common
elements that
the declaration designates as being
reserved for use by a
certain
unit or units, to the exclusion of
the other
units. (X)
"Offer" includes any
inducement or solicitation to
encourage a person to acquire a
condominium ownership interest in
a condominium
development. (Y)
"Par value" means a
number, expressed in dollars,
points,
or as a percentage or fraction,
attached to a unit by the
declaration. (Z)
"Purchaser" means a
person who purchases a condominium
ownership
interest for consideration pursuant to an
agreement for
the conveyance or transfer
of that interest for consideration. (AA)
"Sale of a
condominium ownership interest" means the
execution by both
parties of an agreement for the conveyance or
transfer for
consideration of a condominium ownership interest.
"Sale of a condominium ownership interest" does not
include a
transfer of one or more units from the developer to
another
developer, a subsidiary of the developer, or a financial
institution for the purpose of facilitating the sale or
development of the remaining or unsold portion of the
condominium
property or additional property. (BB) "Unit" means the part of the condominium property that
is designated as a unit in the declaration, is delineated as a
unit on the drawings prepared pursuant to section 5311.07 of the
Revised Code, and is one of the following: (1) A residential unit, in which the designated
part of the
condominium property is devoted in whole or in part to
use as a
residential dwelling consisting of one or more rooms on
one or
more floors of a building. A "residential unit" may include
exterior portions of the building, spaces in a carport, and
parking spaces as described and designated in the declaration and
drawings. (2) A water slip unit, which consists of the land
that is
under the water in a water slip, the land
that is under the
piers or
wharves that form the water slip, and which is used for
the mooring of watercraft. (3) A commercial unit in which the property is
designated
for separate ownership or occupancy solely for
commercial
purposes, industrial purposes, or other nonresidential
or nonwater
slip use. (CC) "Unit owner" means
a person who owns a condominium
ownership interest in a
unit. (DD) "Unit owners association" means the organization that
administers the condominium property and that consists of all the
owners of units in a condominium property. (EE) "Watercraft" has
the same meaning as in division
(A) of
section 1547.01 of the
Revised Code. (FF)
"Water slip" means
a channel of water between piers or
wharves. Sec. 5311.03. (A) Each unit of a condominium property,
together with the undivided interest in the common
areas and
facilities
elements appurtenant to it, is real property for all
purposes
and is real estate within the meaning of all provisions
of the
Revised Code. (B)
Each
A unit owner is entitled to the exclusive ownership
and possession of
his
the unit and to ownership of an
undivided
interest in the common
areas and facilities in
the
percentage
that
is
elements as expressed in the declaration. (C)(1) Each
unit that is not a water slip
residential and
commercial unit shall have
a
direct exit to a public street or
highway
or, to a common
area
and
facility
element leading to a
public
street or highway,
except that
units
in an expandable
condominium
property may have a direct
exit
or to
a permanent
easement leading
to a public street or
highway
across
additional
property
identified in the declaration. (2) Each water slip unit shall have a direct exit to a
body
of water,
or to a common
area and facility
element leading to a
body
of
water, or to a permanent easement leading to a body of
water.
Each
water slip unit
also shall
also have a direct exit to
a
public
street or highway or to a common
area and facility
element leading to a
public street or highway. (D) Unless otherwise provided in the declaration or
drawings, the: (1) The boundaries of
a
unit that is not a water slip unit
residential and commercial units are the interior surfaces of
its
the perimeter
walls,
floors, and
ceilings.
Windows (2) Windows and doors, sashes, thresholds, frames,
jambs,
and hardware in the perimeter
walls,
floors, or
ceilings of
a
the
unit are part of the unit.
Supporting (3) Supporting
walls,
fixtures, and other parts of the
building that
are within
the
boundaries of
a
the unit but
which
that are
necessary for the
existence,
support, maintenance,
safety, or
comfort of any other
part of the
condominium property
are not part
of the unit. (E)(1) Ownership of a
unit that is not a water slip
residential unit
includes the right to exclusive possession, use,
and enjoyment of
the interior surfaces of
all
its
the perimeter
walls, floors, and
ceilings and of
all
the supporting walls,
fixtures,
and other parts
of the building within its boundaries,
including
the right to
paint, tile, wax, paper, or otherwise
finish,
refinish, or
decorate the unit. (2) Ownership of a water slip unit includes the exclusive
right to moor a watercraft in the portion of water above the
water
slip unit and the right to exclusive possession, use, and
enjoyment of the piers or wharves that are
a part
within the
boundaries of the water
slip unit. (3) Ownership of a commercial unit
includes the right to
exclusive possession, use,
and enjoyment of the unit within
the
unit's
boundaries. (F) Each unit shall be is subject to the right of access for
the purpose of maintenance, repair, or service of any common
area
and facility
element located within its boundaries or of any
portion of
the unit itself by persons authorized by the board of
managers
directors of
the unit owners association. No
maintenance,
repair, or service
of any portion of a unit shall be
authorized,
however, unless it
is necessary in the opinion of the
board of
managers
directors for public
safety or in order to
prevent damage
to or destruction of any
other part of the
condominium property. (G) To the extent provided in a declaration and subject
to
conditions it imposes, a unit in a
condominium property other
than
a condominium development may be
divided into two or more
units,
or all or part of a unit may be
combined with all or part
of one
or more other units. Such a
division or combination shall
require
an amendment to the
declaration accompanied by drawings
showing
all particulars of the
division or combination, as
provided in
section 5311.07 of the
Revised Code. The
amendment
shall specify
the percentage interest
in the common areas and
facilities, the
proportionate
share of common surplus and
common
expenses, and
the voting
power of the unit or units
resulting
from the division
or
combination,
the total of which, in
each
case, shall equal the
interest, share, and
power of the former
unit or units divided
or
combined.
Sec. 5311.031. (A) Except as otherwise provided in the
declaration, the
boundaries between adjoining units and
appurtenant limited common
elements may be relocated and the
undivided interests in the
common elements
appurtenant to those
units may be reallocated by
an amendment to
the declaration
pursuant to the following
procedures: (1)(a) The owners of the adjoining units shall submit to the
board of directors of the unit owners association a written
application for the relocation and reallocation. The application
shall be accompanied by the written consents of the holders of
all
liens on those units, except liens for real estate taxes and
assessments not due
and payable. (b) In the application, the owners of the adjoining units
may request a specific reallocation of their undivided interest in
the common elements allocated to the adjoining units. (2) Unless the board of directors finds any requested
reallocation of the percentage interests in the common elements to
be unreasonable, within thirty days after the board
receives the
application, the association shall prepare, at the
expense of the
owners of the adjoining units, an amendment to the
declaration
that is executed by the owners of the affected units and that
includes all
of the following: (a) Identification of the affected units; (b) Words of conveyance between the owners of the units; (c) A specification of the undivided interests in the common
elements, the
proportionate shares of common surplus and common
expenses, and
the voting powers of each unit resulting from the
relocation and
reallocation, the total of which shall equal the
interests,
shares, and powers of the former adjoining units. (3) At the expense of the owners of the affected
units,
the association shall record the amendment to the
declaration
together with both of the following: (a) Any drawing, plat, or plans
necessary to
show the
altered boundaries of the affected units; (b) The dimensions and
identifying number of each unit
that results
from the
relocation and
reallocation. (B) Existing liens automatically shall attach to each
unit
that results from the relocation and reallocation.
Sec. 5311.032. (A) Except as otherwise provided in the
declaration, rights to the use of limited common elements may be
reallocated between or among units by an
amendment to the
declaration pursuant to the following procedures: (1) The owners of the affected units shall prepare and
execute at their
expense an amendment to the declaration that
identifies the
affected units and specifies the reallocated rights
to the
affected limited common elements. (2) The owners of the affected units shall submit to the
board of directors of the unit owners association the
amendment,
accompanied by the written consents of the owners of all affected
units and the holders of all liens on those units except for real
estate taxes and assessments not due and payable. (3) At the expense of the owners of the affected units, the
unit owners association shall record the submitted amendment to
the
declaration. (B)(1) If the declaration reserves any common element as an
exclusive use area, the
board of
directors may
delegate that
common
element
to the use
of a certain
unit or
units, to the
exclusion
of
other units. The
delegation
of a common
element may
be
subject
to
criteria that the
unit owners association
establishes,
including the
payment of an
additional fee that is
part
of each
benefited unit's
common
expenses and that is only to
be used for
the delegated
common
element. (2) Nothing in division
(B)(1) of this section affects
a
unit owner's right to exclusive
use of any common element
that the
declaration designates as a limited
common element
appurtenant to the owner's
unit.
Sec. 5311.033. (A)(1) Except as otherwise provided in the
declaration, all or any portion
of a convertible
unit may be
converted into one or more
units
or common elements, including
limited common elements. (2)(a) To cause the conversion, the owner shall
prepare and
execute
an amendment
to the declaration
that describes the
conversion and record
the
amendment together with the drawings
described in division (E) of
section 5311.07 of the Revised
Code. (b) The
amendment shall specify
the undivided
interests in
the
common elements,
proportionate shares of common
surplus and
common expenses, and
the voting powers of each unit
resulting from
the
conversion, the total of which shall equal the
interest,
share, and power of the
unit that was
converted. The amendment to
the
declaration
shall assign an
identifying number to each unit
formed, allocate
to each unit
a
portion of the undivided interest
in the common
elements appurtenant to the convertible unit,
describe or
delineate the limited common elements
formed out of
the
convertible unit, and show or
designate
each
unit to which
those
limited common elements are
reserved.
(3) The
conversion
of a convertible unit pursuant to this
section is
deemed to
occur at the
time that
all appropriate
instruments are
recorded in
accordance
with
division (A)(2) of
this section
and
division (E)
of section
5311.07 of the Revised
Code. (B) A convertible unit that, in whole or in part, is
not
converted in
accordance with
this
section
shall be treated as a
single unit until it is so
converted. Sec. 5311.04. (A) The common
areas and facilities
elements
of a
condominium property are owned by the unit owners as tenants
in
common, and the ownership shall remain undivided. No action
for
partition of any part of the common
areas and facilities
elements may be
commenced, except as provided in section 5311.14
of the Revised
Code,
nor may any
and no unit owner otherwise
may
waive
or release
any
rights in the common
areas and facilities
elements. (B) The declaration shall set forth the
undivided interest
in the
common
areas and facilities
elements appurtenant to each
unit.
For (1) For units
in condominium properties other than
expandable condominium
properties, the
undivided interest
in the
common elements shall be computed
in the proportion that
the
fair
market value of the unit bears to
the aggregate fair
market
value
of all units on the date
that the
declaration is
originally
filed
for record, or shall be based on
the size or par
value of the
unit,
or shall be computed on an equal basis.
Except (2) Except as provided in division
(C)(D) of this
section,
the interest in the common
areas and facilities
elements
appurtenant to
units in expandable condominium properties may be
computed in any
proportion or on any basis that is the same for
units submitted by
the declaration as originally filed and those
submitted later by
the addition of additional property and that
uniformly reallocates
undivided
interests of units previously
submitted
when
additional property
is submitted.
If (C) If
a par value is
assigned to any unit,
then a par value
shall be assigned to every
unit. Substantially identical units
shall be assigned the same
par value, but units located at
substantially different heights
above the ground, or having
substantially different views,
amenities, or other characteristics
that might result in
differences in fair market value may, but
need not, be considered
substantially identical. If par value is
stated in terms of
dollars, it need not reflect or relate in any
way to the sale
price or fair market value of any unit, and no
opinion,
appraisal, or market transaction at a different figure
affects
the par value of any unit. (C) In the case of an expandable condominium property,
the
(D) The
declaration
for an expandable condominium property
shall
not allocate interest in the common
areas
and
facilities
elements
on
the
basis of par value, unless
it,
the
declaration
as
originally
filed, does either of the following:
(1) Requires that all units created on any additional
property
that is added
to the condominium property be
substantially identical to the
units
created on
the condominium
property previously submitted; (2) Describes the types of units that may be created on
any
additional property and states the par value that will be
assigned
to every unit that is created
or proposed to be created. (D)(E) Except as provided in
section
sections 5311.031 to
5311.033 and 5311.051 of the Revised
Code, the
percentage of
undivided
interest in the common
areas and
facilities
elements of
each unit as
expressed in the original declaration
shall not be
altered except
by an amendment to the declaration
unanimously
approved by all
unit owners affected. The undivided
interest in
the common
areas
and facilities
elements shall not be
separated
from the unit to which it
appertains and shall be is
deemed conveyed
or encumbered with the
unit even though
such
that
interest is not
expressly mentioned or
described in the deed,
mortgage, lease, or
other instrument of
conveyance or
encumbrance.
(E)(F) Each unit owner may use the common
areas and
facilities
elements
in accordance with the purposes for which they
are
intended. No
unit owner may hinder or encroach upon the
lawful
rights of the
other unit owners
in the common elements.
(F) All costs of administration, maintenance, repair, and
replacement of the common areas and facilities shall be common
expenses.
(G) Subject to rules the board of directors adopts
pursuant to division (B)(5) of section 5311.081 of the Revised
Code, the board may authorize the use of limited
common elements, as distinguished from the common elements and
exclusive use areas, for the
construction of open, unenclosed patios, hedges,
decks,
fences, or similar improvements provided that the
improvements are maintained and insured by the owner of the unit
to which the limited common area is appurtenant. The
construction
of an addition
to or an expansion of a unit into
limited common elements or common
elements may
not be authorized without the
consent of all unit
owners. (H)(1) Subject to the bylaws and the declaration,
the
unit
owners association may purchase, hold title to, and sell
real
property
that is not declared to be part of the condominium
property. (2) Any transaction pursuant to division (H)(1) of this
section that takes place prior to the date that the unit owners
other than the developer assume control of the unit owners
association requires the approval of the developer, the unit
owners other than the developer who exercise not less than
seventy-five per cent of the voting power of the unit owners
association, and the authorization of the board of directors.
(3) Any transaction pursuant to division (H)(1) of this
section that takes place after the unit owners assume control of
the unit owners association requires the approval of the unit
owners who exercise not less than seventy-five per cent of the
voting power of the unit owners association and the authorization
of the board of directors. (4)
Expenses incurred in connection with any transaction
pursuant to this division are common expenses.
Sec. 5311.041. (A) All costs of the administration,
operation, maintenance,
repair, and replacement of common elements
are
common expenses. (B)(1) The declaration, either as filed and recorded by the
declarant pursuant to section 5311.06 of the Revised Code or as
amended by a vote of the unit owners exercising not less than
ninety per cent of the voting power of the unit owners
association, may provide that, regardless
of undivided interests,
the following common expenses shall be
computed on an equal per
unit basis: (a) Expenses that arise out of the administration,
operation,
maintenance, repair, and replacement of security,
telecommunications, rubbish removal, roads, entrances, recreation
facilities, landscaping, and grounds care; (b) Legal, accounting, and management expenses. (2) Expenses not included in division (B)(1) of this
section shall be computed on the basis of the undivided interest
in the common elements allocated to each unit.
Sec. 5311.05. (A) A declaration submitting property to
the
provisions of this chapter shall be signed and acknowledged
by the
owner
before a
judge or clerk of a court of record, county
auditor,
county
engineer, notary public,
or mayor,
or county court
judge, who
shall
certify
the acknowledgment and subscribe
the
certificate of
acknowledgment. (B) A declaration shall contain all of the following: (1) A legal description of the land or,
in the case of
for a
water
slip condominium property, of the land and the land under
the
water area,
thereby submitted to the provisions of this
chapter; (2) The name by which of the condominium property
shall be
known, which shall include the word "condominium"; (3) The purpose
or purposes of the condominium property
and,
the units and
recreational and commercial facilities situated
in
the
condominium
property, and
the
any
restrictions, if any, upon
the use
or
uses
of
the condominium property; (4) A general description of
the building or
buildings
thereby submitted to the provisions of this chapter, stating the
principal
construction materials
of which it is or they are
constructed and
the
number of stories, basements, and units
in the
building or
buildings, or. The declaration for a water slip
property shall also contain a general
description of each water
slip and of the
piers and wharves
forming each water slip
thereby
submitted to the
provisions of
this chapter; (5) The unit designation of each unit
thereby submitted to
the provisions of this chapter and a statement of its location,
approximate area,
number of rooms, and the immediate common
area
element
or limited common
area
element to which it has access, and
any other
data
information
necessary for its proper
identification; (6) A description of the common
area and facilities elements and
limited common
areas and facilities thereby
elements submitted to
the
provisions of this chapter, the
percentage or percentages of
undivided
interest
in
the common area and facilities and limited
common
areas and facilities appertaining
those elements
appurtenant to each unit, the basis
upon
which
those appurtenant
percentages of interest
undivided interests are
allocated, and
the
procedures whereby the
percentages
undivided interests
appertaining
to each unit
may
be altered, which percentages,. The
undivided interests, basis, and
procedures shall be
in
accordance
with
section
sections 5311.031 to 5311.033 and 5311.04 of the
Revised Code; (7) A statement that each unit owner
shall
be is a member
of
a
unit owners association
that shall be established for the
administration of the condominium property; (8) The name of a person to receive service of process for
the unit owners association, together with the
person's residence
or place
of business
of the person, which
residence or place of
business
shall
be in
a county in which all or a part of the
condominium
property is situated
located in this state; (9)
A statement of any membership requirement if the unit
owners association or any unit owners are required to be members
of a not-for-profit organization that provides facilities or
recreation, education, or social services to owners of property
other than the condominium property; (10) The method by which the declaration may be amended,
that
which, except as provided in division
(D)(E) of
this section,
division (E) of section 5311.04, division (B) of section 5311.011,
and
section
sections 5311.031 to 5311.033 and 5311.051 of the
Revised Code, shall require requires the
affirmative vote of those unit
owners exercising not less than
seventy-five per cent of the
voting power; (10)(11) Any further provisions deemed desirable.
(C)
In the case of
The declaration for an expandable
condominium property, the
declaration also shall contain all of
the following
in addition to the requirements of division (B) of
this section: (1) The explicit reservation of the declarant's option to
expand the condominium property; (2) A statement of any limitations on that option
to expand,
including
a statement as to whether the consent of any unit
owners
owner is
required, and
if so, a statement as to the method
whereby
the
how that
consent is to be ascertained; or a statement
that
there are no
such limitations
on the option to expand; (3)
A time limit, not exceeding seven years from the date
the
declaration is filed for record, renewable for an additional
seven-year period at the option of the developer, exercisable
within six months prior to the expiration of the seven-year
period
and with the consent of the majority of the unit owners
other than
the developer upon which the option to expand the
condominium
property will expire, together with a statement of
any
circumstances that will terminate the option prior to the
expiration of the time limit;
(a) The time at which the option to
expand the condominium development expires, which shall not
exceed
seven years from the date the declaration is filed for
record; (b) A statement that the declarant may, during the six
months prior to the time that the option expires,
extend the
option for an additional seven years with the
consent
of the holders of a majority of the voting power of the unit
owners other than the declarant; (c) A statement of any circumstances that will terminate the
option to expand prior to the time established pursuant to
this
division. (4) A legal description
by metes and bounds of all
additional property that, through exercise of the option, may be
submitted to the provisions of this chapter and
that, thereby,
may
be added to the condominium property; (5) A statement
as to whether all, or a particular
portion,
of the additional property must be added to the
condominium
property, or whether, if any additional property is
added, all or
a particular portion of the additional property
must be added,
and, if not, a statement of any limitations as to
the portions
that may be added or a statement that there are no
such
limitations;
that specifies all of the following: (a) Whether the addition of all or a particular portion of
the additional property is mandatory; (b) If the addition of additional property is not mandatory,
whether all or a particular portion of the additional property
must be added if any other additional property is added; (c) Whether or not there are any limitations on portions of
additional property that may be added. (6) A statement
as to
of whether portions of the additional
property may be added
to the condominium property at different
times, together with
and a statement that sets forth any
limitations
fixing
on the addition of additional property at
different times, including the legal descriptions of
the
boundaries of
those portions
by legal descriptions setting
forth
the metes and
bounds of those portions, or regulating
that may be
added and specifications on the order in which
they
those portions
may be added to the condominium property,
or both
or a statement
that there are no limitations on the addition of additional
property; (7) A statement of any limitations as to on the location of
any
improvements that may be made on any portion of the
additional
property added to the condominium property, or a
statement that
there are no
such limitations
of that kind; (8) A statement of the maximum number of units that may be
created on the additional property. If portions of the
additional
property may be added to the condominium property and
the
boundaries of those portions are fixed in accordance with
division
(C)(6) of this section, the declaration
shall also
shall state
the
maximum number of units that may be created on each portion
added
to the condominium property. If portions of the additional
property may be added to the condominium property and the
boundaries of those portions are not fixed in accordance with
division (C)(6) of this section, the declaration
shall also
shall
state
the maximum number of units per acre that may be created on
any
portion added to the condominium property. (9) Except
in cases where
when the
previously submitted
original
condominium property
contains
contained no units
restricted
exclusively to
residential use, a statement of the
maximum percentage of the
aggregate land
area and
the maximum
percentage of aggregate floor area
of all
that may be devoted to
units not restricted
exclusively to residential use
that may be
created on any
additional property or portions of additional
property
that may
be
added to the condominium property; (10) A statement of the extent to which any structures
erected on any portion of the additional property added to the
condominium property will be compatible with structures on the
submitted property in terms of quality of construction, the
principal materials to be used, and architectural style, or a
statement that the structures need not be compatible in those
terms
respects; (11) With respect to all improvements to any portion of
additional property added to the condominium property, other than
structures, a statement setting forth both of the following: (a) A description of the improvements that must be made or
a
statement that no other improvements must be made; (b) Any restrictions or limitations upon on the improvements
that may be made or a statement that there are no restrictions or
limitations upon on improvements that may be made. (12) With respect to all units created on any portion of
additional property added to the condominium property, a
statement
setting forth both of the following: (a) Whether all
such units
of that kind must be
substantially identical
to units on previously submitted
land
property; (b) Any limitations
as to what
on the types of units
that
may be
created
on the additional property or a statement that
there are
no
limitations
of that kind. (13) A description of
the declarant's
any reserved right, if
any, either
of the declarant to create limited common
areas and
facilities
elements within
any portion of the additional property
added to the condominium
property or to designate common
areas and
facilities
elements within each
portion. The description shall specify the
types,
sizes, and
maximum number of limited common elements in each
portion that
may subsequently be assigned as limited common
areas
and
facilities, in terms of the types, sizes, and maximum number
of
those areas and facilities in each portion
to units; (14)
The drawings
Drawings and plans
that the declarant
considers
appropriate in supplementing the requirements of
divisions
(C)(4),
(5), (6), (7), (10), (11), (12), and (13) of
this
section
this division; (15)
A statement that a successor owner of the
condominium
property or of additional property added to the
condominium
property who is not an affiliate of the developer
and who is a
bona fide purchaser of the property for value, or a purchaser who
acquires the property at a sheriff's sale or by
deed in lieu of a
foreclosure, is not liable in damages
for harm caused by
an action
or omission of the
developer
or a
breach of an
obligation by the
developer. (D)
In the case of
The declaration for a leasehold
condominium development,
the
declaration shall also
contain
all of the following
in addition to the requirements of division
(B) of this section: (1) With respect to any ground lease or other leases, the
expiration or termination of which
will or may
could terminate or
reduce
the amount of the condominium property, a statement
setting
forth
the county in which the lease is recorded and the
volume and
page
of the record; (2) A statement setting forth the date upon which each
lease
referred to in division (D)(1) of this section is due to
expire expires; (3)(a) A statement as to of whether the unit owners own any land or improvements of
the condominium property will be owned by the unit owners in fee
simple, and if so,
either a description of
the
land or
improvements, including and a legal description
by metes and bounds
of
the land, or a; (b) A statement of any rights the unit owners
shall
have
to
remove
those
any improvements within a reasonable time after
the
expiration or termination of
the
any ninety-nine year lease
or
leases
involved, or a statement that they
shall have no
such
rights;
of that nature. (4) A statement of the rights
that the unit owners have to
redeem
the reversion or any of the reversions, or a statement
that
they
have no
such rights
of that nature; (5) A statement that, subsequent to the recording of the
declaration, no lessor who executed it, and no successor in
interest to
the
that lessor, have has any right or power to
terminate any
part of the leasehold interest of any unit owner who
makes timely
payment of
the unit owner's share of the rent to the
person
designated in the
declaration for the receipt of
the
that
rent and who
otherwise
complies with all covenants that, if
violated, would
entitle the
lessor to terminate the lease. (E)(1) Without a vote of
the unit owners, the
board of
directors
may
amend the declaration in any manner
necessary for
any
of
the following purposes: (a)
To meet the requirements of institutional mortgagees,
guarantors and insurers of first mortgage loans, the
federal
national
mortgage association, the federal home loan
mortgage
corporation,
the federal housing administration, the
veterans
administration, and similar institutions; (b) To meet the requirements of
insurance underwriters; (c) To bring the declaration into
compliance with this
chapter; (d) To correct clerical or
typographical errors or obvious
factual errors in the
declaration or an exhibit to the
declaration; (e) To designate a successor to
the person named to receive
service of process for the unit
owners association. If the association is incorporated in this state,
this may be accomplished
by filing with the secretary of state an
appropriate change of
statutory agent designation. (2) Division (E)(1)
of this section applies to condominium
properties submitted to
this chapter prior to, on, or after the
effective date of this
amendment. (3) Any unit owner who is aggrieved by an amendment to
the
declaration that the board of directors
makes
pursuant to
division
(E)(1) of this section may
commence a declaratory
judgment action
to have the amendment declared invalid as
violative of division
(E)(1) of this section. Any action filed
pursuant to this
division shall be filed in the appropriate court
of common pleas
within one year from the date of the recordation
of the amendment.
Sec. 5311.051.
In the case of an expandable condominium
property, land
Land and improvements on the property shall be
of an
expandable condominium property are considered added to the
condominium property and submitted to the
provisions of this
chapter upon execution the declarant and all owners and lessees of the added land executing and filing for record
by
the declarant,
including all of the owners and lessees of the
land
so added,
pursuant to sections 5311.06 and 5311.07 of the
Revised
Code, of
an amendment to the declaration, that contains
the
information,
drawings, and plans with respect to the
additional
property and
improvements required by those sections
and by
divisions (A) and
(B) of section 5311.05 of the Revised
Code. The
amendment,
pursuant to the declaration and section
5311.04 of the
Revised
Code, shall allocate and reallocate
percentages of
interest
undivided interests in the common
areas and facilities
elements of
the
condominium
property appertaining to each unit of
the
condominium
property.
Notwithstanding division
(D) of
section
5311.04 and
division
(B)(9) of section 5311.05 of the
Revised
Code, the
The execution and
filing for record
of an amendment
submitting additional property to an expandable condominium
property is an effective
amendment of the
declaration
without a
vote of the unit owners.
Sec. 5311.052. If a condominium property for which the
declaration was filed
with a county recorder prior to October 1,
1978, has been expanded
prior to
the effective date of this
section or is expanded on or after the effective date of this
section by the addition of units
in accordance with the
declaration, and if the unit owners do not commence an action to contest the change in
the
percentage
undivided interests in the common
areas and facilities of the unit owners
by reason
of the amendment to the
declaration effecting the expansion has not
been or is not
commenced elements in a court of competent jurisdiction within two years
after the date that the amendment was or is filed with the county
recorder,
or
within six months after the effective date of this
section, whichever date is later, each of the
unit owners of the
condominium property as expanded shall be is deemed to have
assented
to and ratified the amendment, and the
percentage
undivided
interests in the
common
areas and facilities
elements of the unit
owners shall is no longer be contestable.
Sec. 5311.06. (A)(1) A declaration of condominium property
shall be filed and recorded in the office of the recorder of the
county or counties in which the land or water slips described in
the declaration are situated. All original declarations when
filed shall
have attached
be accompanied by a set of drawings of
the condominium
property,
provided for in
as required by section
5311.07 of the
Revised
Code,
and a true copy of the bylaws of the
unit owners
association,
provided for in
as required by section
5311.08 of the
Revised Code.
Any (2) Any
amendment to the declaration
by which
that effects any
change
is
effected in
the bylaws or drawings, including an
amendment to add
additional
land or an improvement to the
condominium property,
shall, when
filed,
have attached
be
accompanied by a true copy of the change
in the bylaws
or
and
drawings. (B) A recorder shall not accept any declaration or
amendment
and any
attached bylaws and drawings for recording
until a copy of
the declaration or amendment and the attached
bylaws and
drawings
has
have been filed with the auditor of the
county
who shall
endorse on
and the declaration
or amendment contains the auditor's
certification that
copies
a copy
of the declaration or
amendment
and
attached
any bylaws and
drawings have been filed
with
him
the
auditor. (C) No
interest
in a unit shall be conveyed until the
declaration, bylaws, and
drawings, certified as
provided in
required by this
section, have been filed
for record. Errors or
omissions in the
declaration, bylaws, or
drawings do not affect
the title of a
grantee of a unit. (D)
This section does not prohibit
a developer and a
purchaser from entering into an agreement for the sale of a
condominium
ownership interest prior to filing the documents
that
create that
condominium ownership interest. Sec. 5311.07.
(A)(1) A set of drawings shall be prepared
for
every condominium property
which show
that graphically,
insofar as
is
possible, all the particulars of the land or water
slips,
buildings, and other improvements, including, but not
limited to,
shows
the
layout
boundaries, location, designation,
length,
width,
and
dimensions
height of each
unit,;
the
layout
boundaries,
location,
designation, and
dimensions of the common
areas and
facilities
elements and
the limited common
areas and
facilities,
elements and exclusive use areas; and
the
location
and
dimensions of
all appurtenant easements or
encroachments,
and, if. (2) If
the
condominium property is not contiguous,
the
drawings shall show the distances
between
any
parcels of land or
any water slips.
The (3) The drawings
for commercial units
that do not have wall
surfaces shall show the monumental
perimeter
boundaries of those
units. (4) The drawings need not show
interior
walls or partitions
that are not load-bearing. (B)
Each drawing shall bear
the
both of the
following: (1) The certified statement of a
registered surveyor and
registered architect or registered
surveyor and licensed
professional engineer that the
drawings
drawing accurately
show
the
shows each building
or buildings, or water
slips,
slip as
built or constructed; (2) The
certified
statement of a
registered professional
surveyor that the drawing
accurately
reflects the location of
improvements and recorded easements. (C) If some, but not all, portions of the condominium
property
are to be held by unit owners in a leasehold estate, the
drawings
shall show the
locations
location and dimensions of each
portion
and shall
label the portion as leased land or as leased
property.
If there
is more than one portion of leased land or
leased
property, the
drawings shall label each portion
with one or
more
letters or
numbers, or both,
in a manner that is different
from
those
the labels designating any
other
portions of the
leased land or leased property, and
different
also
from the
identifying number of any unit. In the case of
(D) If the condominium property contains any
improvements
other than units, the
drawings
or amendments shall
indicate which,
if any,
of the improvements have
been begun
but
have
not been
substantially completed by the use of
the phrase
"(NOT YET
COMPLETED)."
(E)(1)
If any owner of a convertible unit
converts all or any
portion of a
convertible unit into one or
more units and common
elements, including limited common elements, the
owner shall
prepare, file, and
record drawings as described in this
division
that pertain to
the portion of the building,
improvement,
or
structure that constituted the former convertible
unit. (2) The
drawings shall show the boundaries,
location,
designation, length, width, and height of each unit
formed out
of
the former convertible unit; the boundaries,
location,
designation, and dimensions of the limited common
elements
appurtenant to each unit; and the
boundaries, location,
designation, and
dimensions
of any common element formed out of
the former
convertible unit. (3) Each drawing shall bear the certified
statement of a
registered architect or
registered
professional
engineer that the
drawing accurately shows
the units, common elements, and
appurtenant limited
common
elements
formed out of the
former
convertible
unit. Sec. 5311.08. (A)(1) Every condominium property shall be
administered by a unit owners association,
which. All power and
authority of the unit owners association shall be exercised by a
board of directors, which the unit owners shall elect from among
the unit owners or the spouses of unit owners. If a unit owner is
not an individual, that unit owner may nominate for the board of
directors any principal, member of a limited liability company,
partner, director, officer, or employee of that unit owner. (2) The board of directors shall elect a president,
secretary,
treasurer, and other officers that the board may
desire. (3) Unless otherwise
provided in the declaration or the
bylaws, all meetings of the unit owners association are open to the unit owners, and those present in
person
or by proxy when action is taken during a meeting of the
unit
owners association constitute a sufficient quorum. (4)(a) A meeting of the board of directors may be held by any
method of communication, including electronic or telephonic
communication provided that each member of the board can hear,
participate, and respond to every other member of the board. (b) In lieu of conducting a meeting, the board of directors
may take action with the unanimous written consent of the members
of the board. Those written consents shall be filed with the
minutes of the meetings of the board. (B) The unit owners association shall be
governed by bylaws.
No modification of or
amendment to
the bylaws is
valid unless it
is set forth in an
amendment to the declaration,
and the amendment
to the declaration
is filed for record.
Unless (B) Unless otherwise
provided by the declaration, the
bylaws
shall provide for the
following:
(1)(a) The election
from among the unit owners
of
a
the
board of
managers
directors of the unit
owners
association
which
shall
exercise,
unless otherwise
provided
in this chapter, the
declaration, or
the
bylaws, all
power and
authority of the unit
owners
association;
the; (b) The number of persons constituting the board
and
that
the;
(c) The terms
of
the directors, with not less
than
one-third
of
the members
of the
board
one-fifth to expire
annually;
the (d) The powers and duties of the board;
the (e) The
compensation of
its members and
the
directors; (f) The method of
their
removal
of directors from
office;
and
whether (g) The election of officers of the board; (h) Whether or not the services of a manager or managing
agent may be
engaged;. (2) The time and place for holding
meetings; the manner
of
and
authority for calling, giving notice of, and conducting
meetings; and the
requirement, in terms of
percentage of
interest
undivided interests
in the common
areas and facilities
elements,
of a quorum for
meetings of the unit owners
association;. (3)
The election by the board of
managers
of a
president,
one
or more vice presidents, secretary, treasurer, and
such other
officers
as
the board
of managers may desire; (4) By whom and the procedure by which maintenance,
repair,
and replacement of the common
areas and facilities
elements may be
authorized;
(5)(4) The common expenses for which assessments may be made
and the manner of collecting from the unit owners their
respective
shares of the common expenses;
(6)(5) The method of distributing the common profits;
(7)(6) By whom and the procedure by which administrative
rules
governing the operation and use of the condominium property
or any
portion of the property may be adopted and amended. These
rules may govern any aspect of the condominium property that is
not required to be governed by bylaws and may include standards
governing the type and nature of
information and documents that
are subject to examination and
copying by unit owners pursuant to
section 5311.091 of the Revised
Code, including the times and
location at which items may be
examined or copied and any required
fee for copying the
information or documents.
(C)
In a condominium development, the
(1) The unit owners
association shall be established not later than the date
that the
deed
or other evidence of ownership is filed for record following
the
first sale of a condominium ownership interest in
the
a
condominium development. Membership in the unit owners
association shall be
limited to unit owners, and all unit owners
shall be members.
Until the unit owners association is
established, the developer
shall act in all instances
where
in
which action of the unit
owners
association or its officers is
authorized or required by
law or
the declaration. (2)(a) Not later than
sixty days after the
time that developer has sold and conveyed
condominium
ownership
interests
appertaining to
which twenty-five
per cent of
the undivided
interests in the common
areas and
facilities
appertain
have been
sold and conveyed by the
developer elements in
a
condominium development,
the unit owners
association shall meet,
and the unit owners,
other
than the
developer, shall elect not
less than
twenty-five per
cent
one-third of the members of the
board of
managers.
Not later than
the
time that
condominium
ownership interests to which fifty per
cent
of
the
undivided
interests appertain have been
sold and
conveyed,
such
unit owners
shall elect not less than
thirty-three
and
one-third
per cent of
the members of the board of
managers
directors.
When (b) When
computing
percentages of interest
undivided
interests in expandable
condominium
properties
for purposes of
divisions (C) and (D) of this
division
section, the
percentage of
interest
undivided interests in
common
areas and facilities
elements shall be
computed by
comparing the number of units sold
and conveyed to the
maximum
number of units that may be created,
as stated in the
declaration
pursuant to division (C)(8) of
section 5311.05 of the
Revised
Code. (D)(1) Except as
stated
provided in division (C) of this
section, the
declaration
or bylaws of a condominium development
may authorize
the
developer or persons designated by
him
the
developer designates to
appoint
and remove
members of the board of
managers
and other
officers
directors of
the unit
owners association and to
exercise
the powers
and
responsibilities otherwise assigned by law
or, the
declaration, or the bylaws to
the unit owners association,
or to the
board of
managers, or other
officers. Such an
directors. The
authorization for developer control may
extend from
the date of the
establishment
of the
unit owners association is established until
the earlier of: (1) Five years, in the case of a condominium development
the declaration of which includes
expandable condominium
property,
or three years
in the case of other condominium
developments;
(2) Thirty
sixty
days after the sale and
conveyance
to
purchasers in good faith for value of
condominium
ownership
interests to which appertain seventy-five
per cent of
the
undivided interests in the common
areas and
facilities
to
purchasers in good faith for value
elements appertain, except that in no case may authorization extend for more than five years after the unit owners association is established if the declaration includes expandable condominium property or more than three years after the unit owners association is established if the declaration does not include expandable condominium property.
(2) If there is a unit owner other than the developer, the
declaration of a condominium development shall not be amended to
increase the scope or the period of the developer's control by the developer. (3) Within
thirty
sixty days
of
after the expiration of
any the
period during
which the developer exercises powers under
this has control pursuant to
division
(D)(1)
of this section, the
unit owners association shall
meet and elect all members of the
board of
managers
and all other
officers
directors of the
unit owners
association. The persons
so
elected
shall take office
upon
election
at the end of the meeting
during which they are elected and shall, as soon as reasonably
possible, appoint officers.
(E) The board of directors, or the developer while in control
of the association, may take any measures necessary to incorporate
the unit owners association as a not-for-profit corporation.
Sec. 5311.081. (A) Unless otherwise
provided in the
declaration or bylaws, the unit
owners association,
through the
board of
directors, shall do both of the following: (1) Adopt and amend budgets for revenues, expenditures, and
reserves in an amount adequate to repair and replace major capital
items in the normal course of operations without the necessity of
special assessments, provided that the amount set aside annually
for reserves shall not be less than ten per cent of the budget for
that year unless the reserve requirement is waived annually by the
unit owners exercising not less than a majority of the voting
power of the unit owners association; (2) Collect assessments from common expenses from unit
owners. (B) Unless otherwise provided in the declaration, the unit
owners association, through the board of directors, may exercise
all powers of the association, including
the power to do the
following: (1) Hire and fire managing agents, attorneys, accountants,
and other independent
contractors and employees that the board
determines are necessary or desirable in the management of the
condominium property and the association; (2) Commence, defend, intervene in, settle, or
compromise
any civil, criminal, or administrative action or
proceeding that
is in the name of, or threatened against, the unit owners
association,
the board of
directors, or the condominium property,
or that
involves two or more
unit owners and relates to matters
affecting the condominium
property; (3) Enter into contracts and incur liabilities relating to
the
operation of the condominium property; (4) Regulate the use, maintenance, repair,
replacement,
modification, and appearance of the condominium
property; (5) Adopt rules that regulate the use
or
occupancy
of units,
the maintenance,
repair, replacement,
modification, and
appearance
of units,
common elements, and limited common elements when the
actions regulated
by those rules affect
common elements or
other units; (6) Cause additional improvements to be made as part
of the
common elements;
(7) Purchase, encumber, and convey units, and, subject to
any restrictions in the declaration or bylaws
and with the
approvals required by divisions (H)(1) and (2) of
section 5311.04
of the Revised Code, acquire an interest in other real
property
and
encumber
or convey
that interest. All expenses
incurred in
connection with
the
acquisition, encumbrance, use, and
operation
of that interest
are common expenses.
(8) Acquire, encumber, and convey or otherwise
transfer
personal property; (9) Hold in the name of the unit owners association
the
real
property and personal property acquired pursuant to
divisions
(B)(7) and (8) of this
section; (10) Grant easements, leases, licenses, and
concessions
through or over the common elements; (11) Impose and collect fees or other charges for the
use,
rental, or operation of the common elements or
for
services
provided to unit owners; (12) Impose interest and late charges for the late
payment
of
assessments, impose returned check
charges, and, pursuant to
division (C) of this section,
impose
reasonable
enforcement
assessments for
violations of the
declaration,
the
bylaws, and
the rules of the
unit owners association,
and impose
reasonable
charges
for
damage to the common elements
or other
property; (13) Adopt and amend rules that regulate the
collection of
delinquent assessments and the application of
payments of
delinquent assessments; (14) Subject to applicable laws, adopt and amend rules that
regulate the
termination of
utility or other service to a
commercial unit if the
unit owner is
delinquent in the
payment of
an assessment that pays,
in whole or in part,
the cost
of that
service; (15) Impose reasonable charges for preparing,
recording, or
copying amendments to the declaration, resale
certificates, or
statements of unpaid assessments; (16) Enter a unit for bona fide purposes when
conditions
exist that involve an imminent risk of damage
or harm to
common
elements, another unit, or to the health or safety of the
occupants of that
unit or another unit; (17) To the extent provided in the declaration or bylaws,
assign
the
unit owners association's rights to common
assessments,
or other
future income, to a lender as security for a loan to the
unit owners association; (18) Suspend the voting privileges and use of
recreational
facilities of a unit
owner who is
delinquent in the payment of
assessments for more than
thirty
days; (19) Purchase insurance and fidelity bonds the directors consider
appropriate or necessary; (20) Invest excess funds in investments that meet standards
for fiduciary investments under Ohio law;
(21) Exercise powers that are: (a) Conferred by the
declaration or the bylaws of the
unit owners association or the
board of directors; (b) Necessary to incorporate the unit owners
association as a
not-for-profit corporation; (c) Permitted to be exercised
in this state by a
not-for-profit
corporation; (d) Necessary and
proper for the government
and operation of the unit owners association. (C)(1) Prior to imposing a charge for damages or an
enforcement assessment pursuant to
division (B)(12) of this section,
the board
of
directors shall give the unit owner a written notice
that
includes
all of the following: (a) A description of the property damage or violation; (b) The amount of the proposed charge or assessment;
(c) A statement that the owner has a right to a hearing
before the board of directors to contest the proposed charge or assessment; (d) A statement setting forth the procedures to request a hearing pursuant to
division (C)(2) of this section; (e) A reasonable date by which the unit owner must cure the
violation to avoid the proposed charge or assessment. (2)(a) To request a hearing, the owner shall
deliver a
written notice to the board of directors not later than the tenth
day
after
receiving the notice required by division (C)(1) of
this section.
If the owner fails to make a timely request for a
hearing,
the
right to that hearing is waived and the board may
immediately
impose enforcement assessments pursuant to this
section. (b) If a unit owner requests a hearing, at least seven days
prior to the hearing the board of directors shall provide the unit
owner with a
written notice that includes the date, time, and
location of the
hearing. (3) The board of directors shall not levy a charge or
assessment before holding any hearing requested pursuant to
this
division. (4) The unit owners, through the board of directors, may
allow
a reasonable time to cure a violation described in division
(B) of
this section before imposing a charge or assessment. (5)
Within thirty days following a hearing at which the
board
of directors imposes a
charge or assessment, the unit
owners
association
shall
deliver a written notice of the charge
or
assessment
to the unit owner. (6) Any written notice this section requires shall be
delivered to the unit owner or any occupant of the unit by
personal delivery, by certified mail, return receipt requested, or
by regular mail. Sec. 5311.09. (A)
Each
(1) The unit owners association
shall
keep
correct all of the following: (a) Correct and
complete
books and records of account,
specifying
that
specify the
receipts and expenditures
relating
to
the common
areas
and facilities
elements and other common receipts
and
expenses,
together
with records; (b) Records showing the allocation,
distribution, and
collection
of
the common profits, losses, and
expenses among and
from the
unit owners;
minutes (c) Minutes of the
proceedings
meetings of the
unit
owners
association and
the board
of
managers
directors; and
records (d) Records of
the
names and addresses of
the unit owners and their respective
percentages of
undivided
interest in the common
areas and facilities
elements.
(2) Within thirty days after a unit owner obtains a
condominium ownership interest, the unit owner shall provide the
following information in writing to the unit owners association
through the board of directors: (a) The home address, home and business mailing addresses,
and
the home and business telephone numbers of the unit owner and
all
occupants of the unit; (b) The name, business address, and business telephone
number of any person who manages the owner's unit as an agent of
that owner. (3) Within thirty days after a change in any information that this division requires, a unit owner shall notify the
association, through the board of
directors, in writing of the
change. When the board
of directors requests, a unit owner
shall verify or update the information. (B)
Whenever
(1) When elected members of a board of
managers
directors of a
unit
owners
association take control of the
association, the
declarant or developer shall
deliver to
such
officers correct and
complete books and records of account,
as
required in division (A)
of this section, and any
the board correct and
complete copies of all
of the following: (a) The books, records, and minutes referred to
in division
(A) of this
section; (b) The declaration, the
bylaws, the drawings prepared
pursuant to
section 5311.07 of the
Revised
Code, as recorded, and
any articles
of
incorporation of the unit owners
association, as
recorded; (c) Except in the case of a conversion condominium,
documents, information, and sources of information concerning the
location of underground utility lines, and plans and
specifications that are not proprietary or copyrighted, of the
buildings, other improvements,
and structures of the condominium
property that are reasonably available to the developer, but only
in
connection with condominium
developments
declared on or after
the
effective date of this
amendment and
condominium developments
that
are declared prior
to that date but
originally built or
constructed on or after
that date. (2)
The board of directors may commence a civil action
on
behalf of the unit owners association in the court of common
pleas
of the county in which the condominium property is located
to
obtain injunctive relief or recover
damages
for
harm resulting
from
the
declarant's or developer's failure to
do
so may be
recovered in a civil
action
comply with this division.
Sec. 5311.091. (A) Except as otherwise prohibited by this
section, any member of a unit owners association may examine and
copy the books, records, and minutes described in division (A) of
section 5311.09 of the Revised Code pursuant to reasonable
standards set
forth in the declaration, bylaws, or rules the board
promulgates, which may
include, but are not limited to, standards
governing the type of
documents that are subject to examination
and copying, the times
and locations at which those documents may
be examined or copied,
and the specification of a reasonable fee
for copying the
documents. (B) The unit owners association is not required to permit
the examination and copying of any of the following from books,
records, and minutes: (1) Information that pertains to condominium
property-related personnel matters; (2) Communications with legal counsel or attorney
work
product pertaining to pending litigation or other
condominium
property-related matters; (3) Information that pertains to contracts or
transactions
currently under negotiation, or information that is
contained in a
contract or other agreement containing
confidentiality
requirements and that is subject to those
requirements; (4) Information that relates to the enforcement of the
declaration, bylaws, or rules of the unit owners
association
against unit owners; (5) Information the disclosure of which is prohibited
by
state or federal law. Sec. 5311.10. In any deed, mortgage, lease, or other
instrument of conveyance
or encumbrance of, or by which a lien is
created upon, any interest or estate
in
a
any unit
or units of
condominium property, it is sufficient to
describe
such
the
unit
or units by setting forth the name of the condominium property,
the
number
or other designation of the unit
or units, and the
numbers of the volumes and
initial pages of the records of the
declaration and drawings of the
condominium
property.
This
section
does not require reference by volume and
page to
amendments to
the declaration or the drawings of the
condominium
property
that
accompany an amendment, and the omission of any reference to
amendments does not
affect the validity of any deed,
mortgage,
lease, or other
instrument referred to in this
section.
Sec. 5311.11. Each unit of a condominium property and the
percentage of
undivided
interest in the common
areas and
facilities
elements appurtenant to it shall be is deemed
to be a
separate parcel for all purposes of taxation and assessment of
real
property, and no other unit or other part of the condominium
property shall be
charged with the payment of
such
those taxes and
assessments.
Sec. 5311.12.
The
No owner
or owners of property submitted
to
the provisions of
Chapter 5311. of the Revised Code
this
chapter
shall
not
thereafter convey
fee title to any unit
thereof
of the
condominium
property
until
all
liens and encumbrances,
except
taxes and
assessments
of political
subdivisions
not then
due and
payable, affecting both
such
the
unit
and
any other
part of the condominium
property
have been are
paid and
satisfied or,
the unit
being
conveyed has
been is
released from
the operation
thereof
of those
liens and
encumbrances, or the purchaser of the unit assumes the lien. Sec. 5311.13. (A) Liens and encumbrances shall arise with
respect to and shall affect a unit of a condominium property and
the
percentage of
undivided interest in the common
areas and
facilities
elements
appurtenant to it in the same manner and under
the same
conditions
in every respect as
the same may
liens and
encumbrances arise with
respect to
and affect any other real
estate, except as provided in
this
section. (B) Any person who does work or labor upon or furnishes
machinery, material, or fuel for the alteration or repair of any
unit without the consent or authorization of
the
any owner,
part-owner or lessee of any interest in the unit, or
his
the
owner's or lessee's authorized agent, is
nevertheless
is entitled
to a lien to secure
payment
therefor
for
the work, labor,
machinery, material, or
fuel on the estate or
interest in the unit
of the
owner, pursuant to sections 1311.01 to
1311.38 of the
Revised
Code, if the
work, labor, alteration, or
repair
has
been
was duly authorized or
directed by the board of
managers
directors
of the unit owners association
and
has been
necessary
in the
opinion of the board of
managers
directors
for
public safety or in
order to prevent damage to or destruction
of
any other part of the
condominium property. (C) Any person who does work or labor upon or furnishes
machinery, material, or fuel for the construction, alteration,
repair, improvement, enhancement, or embellishment of any part of
the common
areas and facilities
elements of any condominium
property is
entitled to a lien to secure payment
therefor
for the
work, labor,
machinery, material, or fuel on the estates or
interests of all
owners in all units and their respective
percentages of interest
undivided interests
in the common
areas
and facilities
elements,
pursuant to sections 1311.01
to 1311.38
of the Revised Code, if
the
work, labor, construction,
alteration,
repair, improvement,
enhancement,
or embellishment
has
been
was
duly authorized or directed by the
board of
managers
directors of
the unit owners association. (D)
Whenever any
If a lien or encumbrance arises with
respect
to and affects any estate or interest in two or more
units, the
proportionate amount of the obligation secured or
evidenced by
the
lien or encumbrance that is attributable to the
estate or
interest
in any
such unit shall be in the
ratio
that the
percentage of interest
undivided interests in the common
areas and
facilities
elements
appurtenant to that unit bears to the total
percentages
of
interest
undivided interests in the common
areas
and facilities
elements appurtenant to all
such units. An estate or interest in a unit may
be
released and
discharged from the operation of the lien or
encumbrance, in the
same manner and to the same extent that a lien
or encumbrance
could be is released and discharged with respect to
any separate
parcel of real estate, by payment to the
person or
persons
entitled thereto
lienholder or encumbrancer of the
proportionate
amount of the obligation
secured or evidenced by the
lien or
encumbrance that is
attributable to the estate or
interest. (E)(1) When a lien exists under Chapter 1311. of the Revised
Code to secure payment for work or labor done or machinery,
material, or fuel furnished for property, which thereafter
that
subsequently
becomes condominium property through the filing
and
recording of a
declaration
under section 5311.06 of the Revised
Code, regardless of the
condominium property to which the lien
originally attached, after
the declaration is filed for record,
the lien is enforceable as
to condominium property only against
units and their appurtenant
interests in the common
areas and
facilities owned by
elements that the
declarant
developer owned or conveyed
by
him,
other than as
described in division
(F) of
this section.
Foreclosure (2) Foreclosure of
such a lien
described in division (E)(1)
of this section
does not of
itself
terminate the condominium
property.
This (3) This division does not
limit
the right to enforce a lien
arising under Chapter 1311. of the
Revised Code against property
that does not become condominium
property through the filing
and
recording of a declaration under
section
5311.06 of the Revised
Code. (F) No lien acquired under Chapter 1311. of the Revised
Code
is enforceable against any purchaser in good faith for
value
of a
unit and its appurtenant interest in the common
areas
and
facilities
elements from the
declarant
developer unless the
affidavit required by
section 1311.06 of the Revised Code is filed
for record before
the
deed or other instrument of conveyance of
the unit is filed
for
record. Sec. 5311.14. (A) Unless provided otherwise in the
declaration, damage to or
destruction of all or any part of the
common
areas and facilities
elements of a
condominium property
shall be
promptly repaired and restored by the
manager
or
board of
managers
directors
of the unit owners association. The cost of
such
the repairs and
restoration shall be paid
from
the proceeds
of insurance, if any,
payable because of
such
the
damage or
destruction, and the balance
of
such
that cost shall be is a
common
expense. (B)(1) Unless provided otherwise in the declaration, in the
event of damage to
or
destruction of all or any part of the common
areas and facilities
elements of a
condominium property, the unit
owners,
by the affirmative vote of those
entitled
to exercise not
less
than seventy-five per cent of the voting power or
such
a
greater
per cent
as may be if provided in the declaration, may elect
not
to
repair
or restore the
same
damaged or destroyed common
elements.
Upon such (2) Upon an election
not to repair or restore,
all of the
condominium property is
subject to an action for sale as upon
partition at the suit of
any unit
owner.
In the event of any
such
sale or a sale of the
condominium property after
such
election by
agreement of all unit owners exercising a majority of the voting power of unit owners. If the condominium
property is sold
pursuant to division (B)(2) of this section,
the
any
net
proceeds of the sale,
together with the net proceeds of
insurance,
if any, and
or any other
indemnity
arising because of
such
the
damage or destruction, shall
be are considered as one fund
and
shall
be distributed for distribution to all unit owners in proportion to
their
respective percentages of interest
the undivided interests in the
common
areas and
facilities
elements appurtenant to
their units.
No No unit owner is
entitled
to receive any portion of
his share of
such
those
proceeds until all liens
and
encumbrances on
his
the
unit have been, except taxes and assessments of
political subdivisions not then due and payable, are paid,
released, or
discharged.
Sec. 5311.16. Unless otherwise provided by the declaration
or bylaws, the
board of
managers
directors shall insure all unit
owners, their tenants, and all persons
lawfully in possession or
control of any part of the condominium property for
such
the
amount as that it determines against liability for personal injury or
property
damage arising from or relating to the common
areas and
facilities
elements and shall
also obtain for the benefit of all
unit owners, fire and extended coverage
insurance on all buildings
and structures of the condominium property in an
amount not less
than eighty per cent of the fair market value thereof. The cost of
such the
insurance shall be is a common expense.
Sec. 5311.17. (A) Unless otherwise provided by the
declaration
or division (B) of section 5311.14 of
the Revised Code, the unit
owners, by the affirmative vote of all
unit
owners, may elect to remove
condominium property from the
provisions of
Chapter 5311.
of the Revised Code
this chapter. In
the event of
such
that
election, all liens and
encumbrances,
except taxes and
assessments
of political subdivisions not then
due and
payable, upon all or
any part of the condominium
property,
shall
be paid, released,
modified, or discharged,
and a.
A
certificate
setting
forth that
such
the election was made shall be
filed with
the
recorder of the
county or counties in which the
condominium
property is situated
and
by
him
recorded
by each
recorder.
Such
The
certificate shall
be
signed
by
as follows: (1) By the president or
other chief
officer of the
board of
managers of the unit owners
association, who shall
certify
therein
in the certificate under
oath that all liens and
encumbrances,
except taxes and
assessments
of political subdivisions
not then
due and payable, upon all or
any part of the common
areas
and
facilities
elements have been
paid,
released,
modified, or
discharged,
and shall also be
signed
by; (2) By the unit owners, each of whom
shall certify
therein
in the
certificate under oath that
all
such
liens and encumbrances
on
his
the owner's unit or
units
have been paid, released,
modified, or discharged, except taxes and assessments of political
subdivisions not then due
and payable. (B) A recorder shall not accept for recording any
certificate pursuant to
this section until a copy
thereof
has been is
filed with the
auditor of the same
county
who shall
endorse on the
certificate that, and the certificate contains the
auditor's
endorsement that a copy
thereof
has been is
filed
with
him
the
auditor. (C) A condominium property shall be is deemed removed from the
provisions of
Chapter 5311. of the Revised Code
this chapter upon
the
filing of the certificate with the
recorder or recorders, and
upon
such
that removal, the property
shall be is owned in
common by
the unit owners. The undivided interest in the property owned by
each unit owner shall be is the
percentage of
undivided interest in
the common
areas and
facilities
elements appurtenant to the units
in the condominium
property
previously owned by
such
each owner. Sec. 5311.18. (A)(1) Unless otherwise provided by the
declaration or
the bylaws, the unit owners association shall have has
a
lien upon the estate or interest of the owner in any unit and
the
appurtenant
percentage of
undivided interest in the common
areas and
facilities
elements for the payment of
any of the
portion of the common following expenses
that are
chargeable against the
unit
and
that
remains
remain
unpaid for ten
days
after
the
any portion
has
become
due and
payable.: (a) The portion of the common
expenses chargeable against
the unit; (b) Interest,
administrative late fees, enforcement
assessments,
and
collection
costs, attorney's fees, and paralegal
fees
the
association incurs if authorized by the
declaration,
the bylaws, or the
rules of the unit owners
association and if
chargeable against the
unit. (2) Unless otherwise provided by the declaration, the
bylaws, or the rules of the unit owners
association, the
association shall credit payments
made by a unit owner for the
expenses
described in
divisions
(A)(1)(a)
and (b) of
this section
in the
following order of priority: (a)
First, to interest owed to the
association; (b)
Second, to administrative late
fees owed to the
association; (c)
Third, to collection costs,
attorney's fees, and
paralegal fees incurred by the
association; (d)
Fourth, to the principal
amounts the unit owner owes
to the association for the common
expenses or penalty assessments
chargeable against the
unit. (3) The lien
described in division (A)(1) of this
section is
effective on the date
that a certificate of lien
in the form
described in this division is filed for record
in the office of
the recorder of the county or counties in which
the condominium
property is situated pursuant to
an authorization
given by the
board of
managers
directors of the unit owners association. The
certificate
shall contain a
description of the unit, the name of
the record
owner
of the unit, and
the
amount of the unpaid portion
of the
common expenses and, subject to subsequent adjustments, any
unpaid interest,
administrative
late fees,
enforcement
assessments, collection costs,
attorney's
fees, and
paralegal
fees. The certificate
shall be
subscribed by the
president or
other
chief officer of the
unit
owners
designated representative
of the association.
The (4)
The lien
described in division (A)(1) of this
section is
valid for a period of five years
from the date of filing, unless
it is sooner released or satisfied in
the same manner provided by
law for the release and satisfaction
of mortgages on real property
or
unless it is discharged by the final
judgment
or order of a
court in an
action brought to discharge the lien as
provided in
division (C)
of this section. (B)(1) The lien
provided for by
described in division
(A)(1)
of this section
is prior to any lien or encumbrance subsequently
arising or
created, except liens for real estate taxes and
assessments
of political subdivisions and
liens of first mortgages
that have been filed for
record, and may
be foreclosed in the same
manner as a mortgage on
real property
in an action brought on
behalf of the unit owners
association by
its
the president or
other chief officer
of the
association pursuant to authority given
to
him
that
individual by
the board of
managers
directors.
In the (2)
In a
foreclosure action
a unit owners
association commences pursuant to
division (B)(1) of this section
or a
foreclosure action the holder of
a first mortgage or
other lien on
a unit commences, the
owner of the unit
affected, as the
defendant in the action, shall be required to pay a
reasonable
rental for the unit
during the pendency of the action,
and the
plaintiff in the action.
The unit owners
association or
the holder
of the lien is entitled to the
appointment of a
receiver to
collect the rental.
In the
Each
rental payment a
receiver collects
during
the pendency of the
foreclosure
action shall be applied
first to
the payment of the
portion of the
common expenses
chargeable to
the unit during the
foreclosure
action. (3) In a foreclosure action the holder of
a
lien on a unit commences, the holder of that lien shall
name
the unit owners
association as a
defendant in the action. (4)
Unless prohibited by the declaration or the
bylaws,
following a foreclosure action a unit
owners
association commences pursuant to division
(B)(1) of this section or
a
foreclosure action
the holder of a lien on
a unit commences,
the
unit owners association, or its agent, duly authorized
by
action
of
its
the board of
managers
directors, is entitled, unless
prohibited by the
declaration or bylaws, to become a purchaser at
the foreclosure
sale. (5)
A mortgage
on a unit may contain a provision that
secures the mortgagee's advances for the payment of
the portion of the
common expenses chargeable against the
unit
upon which the mortgagee holds the mortgage. (6) In any foreclosure action, it is not a defense,
set off, counterclaim, or crossclaim that the unit owners
association has
failed to provide the unit owner with any service,
goods, work, or
material, or failed in any other duty. (C) A unit owner who believes that the portion of the
common
expenses chargeable to
his
the unit, for which a
certificate
of
lien has been filed by the unit owners association files a certificate of lien
pursuant to
division (A) of
this section, has been improperly
charged
against
him or his unit
may commence an action for the
discharge of the
lien in the court
of common pleas of the county
in which all or a
part of the
condominium property is situated.
In
the action, if it
is
finally determined that the portion of the
common expenses has
been was improperly charged to the
unit owner or
his
the
unit, the
court
shall
make such
enter an order
as is
that
it determines to
be just, which may provide for a discharge of
record of all or a
portion of the lien. Sec. 5311.19.
(A)
All unit owners, their tenants,
and all
persons lawfully in
possession and control of any part of
the
a
condominium property, and the unit owners association of a
condominium property shall comply
with all covenants, conditions,
and restrictions set forth in a deed to which
they are subject or
in the declaration,
the bylaws
of the unit
owners association,
or
administrative
the rules
and regulations adopted pursuant
to
of
the
provisions
thereof
unit owners association, as any of
the same may be lawfully amended from time to time, and
violations thereof.
Violations of those covenants, conditions,
or
restrictions shall be grounds for
actions brought by the unit
owners association,
by a unit owner
or
unit owners, or
by both the
unit owners association or any unit owner to commence a
civil
action for damages
or,
injunctive
relief, or both,
and an
award of
court costs and
reasonable attorney's fees
in both types
of
action.
(B)(1) Except as otherwise provided in the
declaration or the
bylaws, a unit owners association may initiate
eviction
proceedings, pursuant to Chapters 5321. and 1923. of the
Revised
Code, to evict a tenant for a violation of division (A) of this section. The action shall be
brought
by the unit owners association, as the unit owner's agent, in the
name
of the
unit owner. (2) In addition to any procedures required by Chapters 5321.
and 1923. of the Revised Code, the unit owners association shall
give the unit
owner at least ten days written notice of the
intended eviction
action. (3) The costs of any eviction action brought pursuant to this
division, including reasonable attorney's fees, shall be charged
to
the unit owner and shall be the subject of a special assessment
against the offending unit and made a lien against that unit.
Sec. 5311.20. In any action relating to the common
areas and
facilities
elements or to
any right, duty, or obligation possessed
or
imposed upon the unit owners
association, by statute or
otherwise,
the
unit owners association may
sue or
be
sued as a
separate legal
entity. In any
such action
of that
nature, service
of summons or
other process may be made upon the unit owners
association by
serving the
same
process
personally upon the
president or other
chief officer
thereof or upon
the
person
designated representative of the unit owners association
named in
the declaration
as the person to receive service of
process
therefor, or the person named as
statutory
agent
of the association if it is an incorporated
entity,
or by
leaving the
same
process at the residence or place
of
business of
such
a person
set
forth
named in the declaration
or
named as
statutory
agent. Any
such
action
brought by or on
behalf of the unit
owners association
shall be
pursuant to
authority granted by
its
the board of
managers
directors.
Sec. 5311.21.
The
Unless retained by the board of directors
as reserves, the common profits of a condominium property
shall be
distributed among, and, except as provided in division
(B) of
section 5311.041 of the Revised Code, the
common
expenses shall be
charged to the unit owners
according to
the
percentages of
interest
undivided interests in the common
areas and facilities
elements
appurtenant to their respective units. Sec. 5311.22. (A) Unless otherwise provided in the
declaration
or bylaws, each unit owner
of a condominium property
may
exercise that percentage of the total voting power of all unit
owners on any question for which the vote of unit owners is
permitted or required that is equivalent to the
percentage of
undivided
interest in the common
areas and facilities
elements
appurtenant to
his
the
owner's unit. (B) Fiduciaries
and minors who are owners of record of a
unit or units may vote their respective interests as unit owners.
If
Unless otherwise provided in the declaration or bylaws, if
two
or more persons, whether fiduciaries, tenants in common,
or
otherwise, own undivided interests in a unit, each
person may
exercise the proportion of the voting power of all
of the owners
of
his
the unit that is equivalent to
his
the
person's
proportionate
undivided interest in the
unit. (C) A fiduciary for a unit owner or of the estate of a
unit
owner may vote as though
he
the fiduciary were the unit
owner when
he
the fiduciary has
furnished to the unit owners association
proof, satisfactory to
it, of
his
the fiduciary's appointment and
qualification
as: an
executor under
the last will of a deceased
unit owner;, an administrator of the
estate of a deceased unit
owner;, a guardian, committee, or
conservator of the estate of a
ward
minor or incompetent who is
a unit
owner;, a trustee in
bankruptcy of a unit owner;,
a statutory or
judicial receiver or
liquidator of the estate or affairs of a
unit owner;, or an
assignee for the benefit of creditors of a
unit
owner. (D) When any
other fiduciary or representative of a unit
owner
who is not described in division (C) of this section has
furnished
to the unit owners association
with satisfactory proof,
satisfactory to
it, of
his
authority,
he
that person may
vote as
though
he were the
a unit owner. Sec. 5311.23. (A) A declarant, developer, agent,
or unit
owner,
or any person entitled to occupy a unit
of a condominium
property
is liable in
damages in a civil action for
damages
harm
caused to
any person
or to the unit owners association by
his
that
individual's failure to comply with any lawful
provision of the
condominium instruments.
Any (B) Any interested person,
including a unit
owners
association, may commence an
action for a declaratory
judgment to
determine
his
that person's
legal
relations under the
condominium
instruments or to obtain an
injunction against a
declarant,
developer, agent, unit owner, or
person entitled to
occupy a unit
who refuses to comply, or
threatens to refuse to
comply, with a
provision of the
condominium
instruments.
One
(C) In
connection with either type of action described
in
this section,
one or more unit owners may bring a class action on
behalf of all
unit owners. The lawful provisions of the
condominium instruments
may, if necessary to carry out their
purposes,
may be enforced
in
either type of action against the
condominium property or any
person who owns or
has previously
has
owned any
estate or
interest
in the
condominium property. (D) An action by the unit owners association under this
section
may be commenced by the association in its own name,
or in
the
name of
its
the board of
managers
directors, or in the name of
its
the
association's managing
agent. Sec. 5311.24. (A) Sections
5311.25
to 5311.27 of the
Revised
Code do not apply to any of the following, unless the
method of
disposing of the condominium property is adopted for the
purpose
of evading their provisions: (A)(1) The sale of a condominium ownership interest solely
for
commercial or industrial purposes or uses;
(B)(2) The sale of real estate under or pursuant to court
order;
(C)(3) The sale of real estate by the United States
or any
of
its agencies or instrumentalities,
or by this state or any
political subdivision of this state, or
by any of their agencies
or
instrumentalities;
(D)(4) The sale of condominium ownership interests in
individual dwelling units or individual water slip units, and
in
their appurtenant common
areas and facilities
elements for
his own
the
account
by
of a person other than a declarant, developer, or
agent
when
the
sale is not conducted pursuant to the common
promotional
plan of
the developer for sales in a condominium
development.
(B) A sale or offer to sell a condominium ownership interest
does not exist when a reservation agreement is entered into that
does not legally require a prospective purchaser to purchase a
condominium ownership interest and under which the prospective
purchaser may relinquish all rights and receive a full refund of
all deposits, without penalty, at any time prior to entering into
a contract to purchase a condominium ownership interest. Sec. 5311.25.
No
developer or agent, directly or
indirectly,
shall sell or offer to sell a condominium ownership
interest in a
condominium development unless the condominium
instruments
pertaining to the
development provide
that: (A)
Any
(1)
Except as provided in division
(A)(2) of this
section, any deposit or down payment
made in connection with
the
sale
will of a condominium ownership interest shall
be held in trust or
escrow until delivered
at
settlement
or,
returned to or
otherwise credited to
the
purchaser,
or forfeited to the
developer, and that if.
If a
deposit or
down
payment of
more than
two thousand dollars
or more
is held for
more than
ninety days
and is not withdrawn pursuant to division (A)(2) of this section,
interest at
the
a rate
of at
least four per
cent per
annum
equal
to the prevailing rate payable by federally
insured financial
institutions in the county of the condominium
property on daily
interest accounts for any period exceeding
ninety
days
shall be
credited to
the purchaser at settlement or
upon
return or
other
credit made
to the purchaser, or
added to
any
forfeiture
to the
developer;.
Interest is
payable
only
on the
amount of the deposit or down payment that
exceeds two
thousand
dollars. (2)(a) If a contract for the sale of a
condominium ownership
interest contains the legend described in
division
(A)(2)(b) of
this section,
a
developer may, in accordance with the contractual
provisions, withdraw a deposit or down payment
from trust or
escrow upon the commencement
of construction of the structure of
the condominium
property in
which the purchaser's unit will be
located and use the moneys
in the actual construction and development of the
condominium property. The developer shall not use the moneys for
advertising purposes or for the salaries,
commissions, or expenses
of agents. (b) A contract that permits
withdrawals of a deposit or
down
payment for the
purposes described in division
(A)(2)(a) of this
section shall
include the following legend conspicuously printed
or stamped in boldface type on the contract's first page and
immediately above the signature of the purchaser:
"Purchaser
acknowledges that, pursuant to this
contract, the developer may
withdraw and then
use for construction and development of the
condominium property any deposit or down payment that the
purchaser makes prior to closing." (3) Deposits and down payments held in trust or escrow
in
accordance with division
(A)(1) of this section are not
subject to
attachment, garnishment, or other legal process by creditors
of the developer, agents, or
the purchaser of the
condominium
ownership interest. (B) Except in
his
the capacity as a unit owner of unsold
condominium ownership interests, the developer or agent
will
shall
not
retain a property interest in any of the common
areas and
facilities
elements after
unit owners other than the developer
assume control of
the condominium development is
assumed
by
the unit owners association except
that, in the case
of
as
follows:
(1) In a leasehold condominium development,
he
the
developer or
agent may retain the same
interest in the common
areas and facilities
elements as
he
the developer or
agent retains
in the
entire condominium development
and except that he may
retain a
property interest in
recreational facilities
furnished to
unit
owners or to unit owners
and others under a
contract entered
into
or renewed by the unit
owners association
after unit owners
other
than the developer have
assumed control of
the association
and
except that in. (2) In an expandable condominium property, the developer
may
retain an interest consistent with the declaration and
required
necessary
to
insure ingress
ensure both of the
following,
whether or
not the condominium property is expanded to
include the
additional
property: (a) Ingress and egress, from and to
over the
common
areas
and facilities
by the prospective unit owners in
elements for the
benefit
of the
additional property; (b)
The availability of utilities
from and to the common
elements for the benefit of
the additional property. (3) The developer may retain the right to enter upon the
condominium property to fulfill any warranty obligations to the
unit owners association or to unit owners. (C) The owners of condominium ownership interests that
have
been sold by the developer or
his
an agent
will
shall
assume
control
of
the common
areas and facilities
elements and of the
unit owners
association
as prescribed in
division
divisions (C)
and (D) of section
5311.08 of
the Revised
Code;. (D)
Neither
Unless a contract or other agreement is renewed by a vote of the unit owners exercising a
majority of the voting power of the unit owners association,
neither the unit owners association
nor the unit
owners
will
shall
be subject
to either of the following: (1) For more than ninety
days subsequent to the date that
the unit owners other than the
developer assume control of the
unit owners association, any
management contract
or agreement
executed
prior to
the
that
assumption of control
required by
division
(C) of
this section for; (2) For more
than
one year
subsequent to
that an
assumption
of control
unless
such a contract or agreement is
renewed by a vote of the unit
owners
pursuant to the bylaws
required by section 5311.08 of the
Revised
Code;, any other
contract executed prior to that
assumption of control, except for
contracts for necessary utility
services. (E)(1) Except as provided in division (E)(4) of
this
section,
the developer
has furnished, as a
shall furnish both of
the following: (a) A minimum,
of a two-year
warranty
covering the full cost
of labor and materials for any
repair or
replacement of roof and
structural components, and
mechanical,
electrical, plumbing, and
common service elements
serving the
condominium property or
additional property as a
whole,
occasioned or necessitated by a
defect in material or
workmanship
and a; (b) A one-year warranty covering the full cost of
labor and
materials for any repair or replacement of structural,
mechanical,
and other elements pertaining to each unit,
occasioned
or
necessitated by a defect in material or workmanship
commencing. (2) The two-year warranty shall commence
as follows: (1) In the case of
(a) For a condominium development other
than
an
expandable condominium development,
the two-year warranty
shall
commence on the date the deed or other evidence of
ownership
is
filed for record following the sale of the first
condominium
ownership interest in the development to a purchaser
in good
faith
for value.
(2) In the case of
(b)(i) For an expandable condominium
development,
the two-year warranty shall commence for property
submitted by
the
original declaration, on the date the deed
or other evidence
of ownership is filed for record following the
sale of the first
condominium ownership interest in the property,
and for
to a purchaser in
good faith for value;
(ii) For an expandable condominium development, for any
additional
property submitted by
amendment to the declaration, on
the date the deed or other
evidence of ownership is filed for
record
following the sale of
the first condominium ownership
interest in
the additional
property; in either case to a
purchaser
in good
faith for value. (3) The one-year warranty
for each unit shall
commence on
the date the
deed or other evidence of ownership is filed for
record following
the
first
developer's sale
and conveyance of
a
the condominium ownership interest
in the unit to a purchaser
in
good faith for value. (4)
In the case of
The valid assignment by the developer of
the express and implied warranty of the manufacturer satisfies the
developer's obligation under this section with respect to ranges,
refrigerators, washing
machines, clothes dryers, hot water
heaters, and other similar
appliances installed and furnished as
part of the unit by the
developer, the valid assignment by the
developer of the express
and implied warranty of the manufacturer
satisfies the
developer's
obligation under this division with
respect
to
such
appliances, and the. The developer's warranty
under
this
division
(E)(1)
of this section is
limited to the
installation of
the appliances. (5) All warranties made to the developer that exceed time
periods specified in
this division
(E)(1)
of this
section with
respect to any part of
the units or
a unit shall be assigned to
the purchaser of that unit and warranties with respect to any part
of the
common
areas and facilities
elements
shall be assigned to
the
purchaser
unit owners association. (F) The developer
will
shall assume the rights and
obligations
of a unit owner in
his
the developer's capacity as
owner of
condominium ownership
interests not yet sold, including,
without limitation, the
obligation to pay
common expenses
attaching to
such
those
interests,
from the date
the declaration
is filed for record
even if the construction of
the units and the
appurtenant common elements subject to the
condominium ownership
interests has not started or is not complete. (G) In
the case of a conversion condominium development,
all
tenants were offered
the developer shall offer each tenant an
option,
exercisable
within not less
than ninety days after notice,
to
purchase a
condominium
ownership interest in the development,
and
such tenants
were given
that
the tenant
occupies and at a
price that is not greater than the
price at which the unit will be
offered to the general public for
the subsequent one hundred
eighty-day period. The developer shall give each tenant
written
notice of not less than one
hundred twenty days
prior to
being
required to vacate the premises
to facilitate the
conversion
or
intended
conversion, during which time the tenant
may not be
evicted to
accommodate or facilitate the sale of any
unit if the
tenant is not in default under the tenant's terms of
tenancy.
The
ninety-day and one hundred twenty-day notice
periods
may run
concurrently and may be waived in writing by a tenant. If
two or
more
tenants occupy a
unit
in a conversion condominium
development,
the option to
purchase shall be
given jointly to
those tenants. Deposits and down payments held in trust or escrow pursuant
to division (A) of this section shall not be subject to
attachment
by creditors of the developer or a purchaser.
(H) Except as provided in section 5311.24 of the Revised
Code, no developer or agent, directly or indirectly, shall sell or
offer to sell a condominium ownership interest in a condominium
development unless the condominium instruments include a statement
that sets forth the requirements of this section, section 5311.26,
and section 5311.27 of the Revised Code. Sec. 5311.26.
No
Except as provided in section 5311.24 of
the Revised Code, no developer or agent, directly or
indirectly,
shall sell or offer to sell a condominium ownership
interest in a
residential or water slip
condominium development unless
he
the
developer or
agent provides the prospective purchaser a
condominium development disclosure statement that discloses
fully
and accurately
to each
prospective purchaser of the interest
all
material circumstances
or features affecting the development,
by
preparing and providing
to each prospective purchaser
in a
readable
and understandable
written statement
of
such
circumstances
or
features. The
statement shall not intentionally
omit any
material fact or
contain any untrue statement of a
material fact
and shall contain
all of the following: (A) The name and address of the condominium development,
and
the name, address, and telephone number of the developer and
of
the development manager
if other than the developer, or
his
that
manager's agent; (B) A general narrative description of the development
stating the total number of units, a description of the types of
units
and price of each type of unit, the total number of units
that may be included in the development by reason of future
expansion or merger of the development, and a precise statement
of
the nature of the condominium ownership interest that is being
offered; (C) A general disclosure of the
following: (1) The status of construction,
zoning, site plan, or other
governmental
approvals,
and compliance; (2) Compliance or
notice
of failure to comply with any
other
federal, state, or local
statutes or regulations affecting the
development, and the; (3) The
actual
or scheduled dates of completion of
any
buildings, recreation
facilities, and other common
areas and
facilities
elements; (4) Whether
the developer is
required to
construct
recreational facilities or
other common elements; (D) The significant terms of any financing offered by or
through the developer to purchasers of the condominium ownership
interests in the development, including the name of any bank or
other institution involved in the financing, the minimum down
payment, a statement that the prospective purchaser may obtain
financing from another bank or institution, and the annual
interest rate; (E) A description of warranties for structural elements
and
mechanical and other systems, stated separately for units and
for
common
areas and facilities
elements; (F) A two-year projection, revised and updated
at least
every six months
within the past year if changed, unless the
developer no
longer controls the association, of annual
expenditures necessary
to operate and
maintain the common
areas
and facilities
elements
of the condominium
development,
and the
cost of any mandatory dues and
membership in a not-for-profit
organization described
in division (B)(9) of section 5311.05 of
the Revised Code. The projection shall be
prepared by the
developer
and, specifically
stating
state the assumptions
and
bases of the projection, and
include a complete
statement of
the
estimated
monthly cost per unit for
such
the two-year
period,
including
all
of the following: (1) The formula for determining each unit's share of
common
expenses; (2) The amount of
taxes and insurance and a description of
the basis or formula used in arriving at
these amounts
that
amount; (3) The dollar amount of operating and maintenance
expenses; (4) The monthly cost of utilities; (5) Any other costs, fees, and assessments reasonably
ascertainable by the developer. (G)
In the case of
For a conversion condominium development,
the
offering price
of each unsold unit or type of unsold unit and
a
report by the developer stating the
age,
the condition, and the
developer's opinion of the remaining
useful
life of structural
elements and mechanical and supporting
systems,
together with the
developer's estimate of repair and
replacement
costs projected
for
five years from the date the
property is
submitted to the
provisions of this chapter; the.
The
report
shall be
based on
facts
reasonably ascertainable by the
developer
through inspection
of
relevant drawings and records and,
to the
extent permitted by
the
physical limits of the site, by
personal
inspection of the
elements and systems; any.
Any limits
on the
inspection
shall be
stated in the report;. (H) A statement of significant provisions for management
of
the condominium development, including
all of the following: (1) Conditions for the formation of a unit owners
association; (2) The apportionment of voting rights among the members
of
the
unit owners association; (3) The contractual rights and responsibilities of the
unit
owners association; (4) A statement advising the purchaser that the
condominium
instruments are binding legal documents and
describing how
such
those instruments may be altered or amended
by the
unit owners
association. (I) A facsimile of any management contract or other
agreement affecting the operation, use, or maintenance of or
access to all or any part of the condominium development, with a
brief narrative statement of the effect of each agreement upon a
purchaser, including a specification of the services to be
rendered and the charges to be made
thereunder
under it, and a
statement
of the relationship, if any, between the developer and
the
managing agent; (J) A statement in
twenty-point,
conspicuous boldface type
of
the
purchaser's right to review the condominium instruments,
the purchaser's
right to void
the contract, any conditions
for the
return of
a deposit, and
a
statement of the rights of
purchasers
under section 5311.27 of
the Revised Code; (K) The existence or requirement for the establishment of
a
reserve fund to finance the cost of repair or replacement of
the
components of the common
areas and facilities
elements; (L) The significant terms of any
encumberances
encumbrances,
easements, liens, and matters of title affecting
the condominium
development; (M) A statement of the requirement for escrow of deposits
and the right of the developer to use all or any part of these; (N) A statement of any restraints on the free alienability
of all or any part of the condominium development; (O) A statement describing any present litigation
concerning
the condominium development. Sec. 5311.27. (A)(1) In addition to any other remedy
available, a contract or agreement for the sale of a condominium
ownership interest that is executed in violation of section
5311.25 or 5311.26 of the Revised Code shall be voidable by the
purchaser
for a period
until the later of fifteen days after the
date
of
contract is
entered into for sale of
the
condominium ownership interest or
fifteen days
after
the date
upon
which the purchaser executes a
document
evidencing receipt
of the
information required by section
5311.26
of the Revised
Code,
whichever occurs later.
Upon except that in no case is the contract or agreement voidable after the title to the condominium ownership interest is conveyed to the purchaser. (2)
Upon the exercise of
this
the right to
void the contract
or agreement, the
developer or
his
an agent
shall
refund fully and
promptly to the
purchaser any deposit or other
prepaid fee or item
and any amount
paid on the purchase price,
and shall pay all
closing costs paid
by the purchaser or for
which
he
the purchaser
is liable in
connection with the void
sale. (B)(1) Any developer or agent who sells a condominium
ownership interest in violation of section 5311.25 or 5311.26 of
the Revised Code shall be liable to the purchaser in an amount
equal to the difference between the amount paid for the interest
and the least of the following amounts: (1)(a) The fair market value of the interest as of the time
the suit is brought;
(2)(b) The price at which the interest is disposed of in a
bona fide market transaction before suit
is brought;
(3)(c) The price at which the unit is disposed of
after
suit
in a bona fide market transaction,
after suit is brought but
before judgment
is entered.
In
(2)(a)
In no
case shall the amount recoverable under this
division
section be less
than the sum of five
hundred dollars for
each violation against
each purchaser bringing
an action under
this
division
section,
together
with court costs and
reasonable
attorneys'
attorney's fees.
If (b) If
the
purchaser
complaining of the violation of section
5311.25 or
5311.26 of the
Revised Code has brought brings or maintained maintains
an action
he knew
that the
purchaser knows to be groundless or in bad
faith and
if the
developer or
agent prevails, the court shall
award reasonable
attorneys'
attorney's fees
to the developer or
agent. (C)(1) If
he
the attorney general has reason to
believe
that
substantial numbers of
persons are affected and substantial harm
is occurring or is
about to occur to
such
those persons, or that
the case is
otherwise of
substantial public interest, the attorney
general may
do either of the
following: (1)(a) Bring an action to obtain a declaratory judgment that
an act or practice of a developer violates section 5311.25 or
5311.26 of the Revised Code or
the condominium instruments, or to
enjoin a developer who is violating or threatening to violate
such
those sections or instruments;
(2)(b) Bring a class action for damages on behalf of persons
injured by a developer's violation of section 5311.25 or 5311.26
of the Revised Code or of
the condominium instruments.
(2)(a) On motion of the attorney general and without bond,
in
an
attorney general's action under this
section, the court may
make
appropriate orders, including,
but not
limited to, orders for
appointment of a master or a
receiver, for
sequestration of
assets, to reimburse persons found
to have been
damaged, or to
grant other appropriate relief. The
court may
assess the expenses
of a master or receiver against the
developer. (b) Any moneys or property recovered by the attorney general
in
an action under this section that
cannot, with
due diligence
within five years,
cannot be restored to persons
entitled to
them
shall
be unclaimed funds reportable under Chapter
169. of the
Revised
Code. (c) No action may be brought by the attorney general under
this
section to recover for a transaction more
than two years
after
the occurrence of a violation. (d) If a court determines that provision has been made for
reimbursement or other appropriate corrective action, insofar as
practicable, with respect to all persons damaged by a violation,
or in any other appropriate case, the attorney general, with
court
approval, may terminate enforcement proceedings brought by
him
the
attorney general upon acceptance of an assurance from
the
developer of
voluntary compliance with sections 5311.25 and
5311.26 of the
Revised Code or with
the condominium instruments,
with respect to the
alleged violation. The assurance shall be
filed with the court
and entered as a consent judgment. A consent
judgment is not
evidence of prior violation of
such
those
sections. Disregard
of the
terms of a consent judgment entered
upon an assurance shall be
treated as a violation of an injunction
issued under this
section. (D) Nonmaterial errors and omissions in the disclosure
statements required by sections 5311.25 and 5311.26 of the Revised
Code shall not be actionable in a civil action otherwise
authorized by this section if the developer or agent has attempted
in good faith to comply with the disclosure requirements and if
the developer or agent has substantially complied with those
requirements.
Sec. 5721.35. (A) Upon the sale and delivery of a tax
certificate, such the tax certificate vests in the
certificate holder
the first lien previously held by the state and its taxing
districts under section 5721.10 of the Revised Code for the amount
of taxes,
assessments,
interest,
and penalty charged against a
certificate parcel,
superior to all other liens
and encumbrances
upon the parcel described in the tax certificate, in the
amount of
the certificate redemption price, except
liens for delinquent
taxes, assessments, penalties, interest, charges,
and costs that
attached to the certificate parcel prior to the attachment of
the
lien being conveyed by the sale of such tax certificate. With
respect to
the priority as among such first liens of the state and
its taxing districts
for different years, the priority shall be
determined by the date such first
liens of the state and its
taxing districts attached pursuant to section
323.11 of the
Revised Code, with first priority to the earliest attached lien
and each
immediately subsequent priority based upon the next
earliest attached lien. (B)(1) A certificate holder may record the tax certificate
or
memorandum thereof in the office of the county recorder of the
county in which
the certificate parcel is situated, as a mortgage
of land under division
(B)(A)(2) of section 317.08 of the Revised
Code.. The county recorder shall
index
the
certificate in the
indexes provided for under section 317.18 of the Revised
Code. If
the
lien is subsequently canceled, the cancellation also shall be
recorded by the
county recorder. (2) Notwithstanding Chapter 1309., Title
LIII, or any other
provision of
the Revised Code, a secured party holding a
security
interest in a tax certificate or memorandum thereof may
perfect
that security interest only by one of the following
methods: (b) Registering the tax certificate with the
county
treasurer in the name of the secured party, or its agent
or
custodian, as certificate holder; (c) Recording the name of the secured party in
the
certificate register in the office of the county treasurer
of the
county in which the certificate parcel is situated. Section 2. That existing sections 317.08, 317.09, 5301.01,
5301.25, 5301.255, 5311.03, 5311.04, 5311.05,
5311.051,
5311.052,
5311.06, 5311.07, 5311.08, 5311.09, 5311.10, 5311.11,
5311.12,
5311.13,
5311.14, 5311.16, 5311.17, 5311.18, 5311.19,
5311.20,
5311.21,
5311.22,
5311.23, 5311.24, 5311.25, 5311.26,
5311.27, and
5721.35
and sections
Sec. 5311.01. , Sec. 5311.15. , and Sec. 5311.241.
of
the
Revised Code are
hereby
repealed.
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