SO JUST WHAT
IS A “MASTER ASSOCIATION?”
By
Eric Glazer, Esq.
Published October 8, 2018
Many of you live in
condominiums that have a “Master Association.” But what is a
Master Association? Is it a condominium association? Is it a
homeowner’s association? Is it neither? This question was
recently addressed by the Third District Court of Appeal in
Dimitri
v. Commercial Center of Miami Master Association, Inc.
Commercial Center of Miami Master Association
was formed in 1982 under the recorded “Declaration of Covenants,
Restrictions and Easements for The Commercial Center of Miami.”
Its articles of incorporation state it was created as a
“corporation not for profit under Chapter 617.” Commercial
Center operates as a master association for a group of
buildings, each with its own sub-association. Benedetto Dimitri
owns six commercial condominium units located in one of the
sub-associations. On March 30, 2015, Dimitri sent
the master association a letter requesting the inspection and
production of specific documents pursuant to section
718.111(12). Months later, Dimitri filed a complaint seeking
declaratory and injunctive relief and damages. Dimitri alleged
that the master association violated section 718.111(12) when it
refused to respond to his request for association documents. He
requested the trial court enter an order determining that the
master association was subject to chapter 718 – the state's
condominium association statute – and requiring it to “cease and
desist from further acts of violation of Section 718.111(12).”
In response, the master association asserted that it was not a
condominium association subject to the disclosure requirements
of chapter 718.
The court first
held that the definition of “condominium association” as it
existed in 1982 should be applied as that was when the property
was built. That definition says: a condominium “association”
was “the corporate entity responsible for the operation of a
condominium. In 1991, the legislature amended the definition
of condominium “association” to mean, in addition to any entity
responsible for the operation of common elements owned in
undivided shares by unit owners, any entity which operates or
maintains other real property in which unit owners have use
rights, where membership in the entity is composed exclusively
of unit owners or their elected or appointed representatives and
is a required condition of unit ownership. However, the court
held this new statute was never intended to apply to
condominiums already in existence and since the declaration did
not contain language incorporating new statutes, the 1991
version does not apply. The court then stated that since the
Master Association was not responsible for operation of the
condominium, as that was the responsibility of the sub
association, the Master Association was not a condominium
association.
So is a Master
Association a homeowner’s association? Maybe? Florida Statute
720.301 states: a
“Homeowners’
association” or “association” means a Florida corporation
responsible for the operation of a community or a mobile home
subdivision in which the voting membership is made up of parcel
owners or their agents, or a combination thereof, and in which
membership is a mandatory condition of parcel ownership, and
which is authorized to impose assessments that, if unpaid, may
become a lien on the parcel.
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About
HOA & Condo Blog
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Eric Glazer graduated from
the University of Miami School of Law in 1992 after
receiving a B.A. from NYU. He has practiced community
association law for more than 2
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decades and is the owner of Glazer
and Associates, P.A. a seven attorney law firm with offices in
Fort Lauderdale and Orlando and satellite offices in Naples,
Fort Myers and Tampa.
Since 2009, Eric has been the host
of Condo Craze and HOAs, a weekly one hour radio show that airs
at noon each Sunday on 850 WFTL.
See:
www.condocrazeandhoas.com.
He is the first attorney in the
State of Florida that designed a course that certifies
condominium residents as eligible to serve on a condominium
Board of Directors and has now certified more than 10,000
Floridians all across the state. He is certified as a Circuit
Court Mediator by The Florida Supreme Court and has mediated
dozens of disputes between associations and unit owners. Eric
also devotes significant time to advancing legislation in the
best interest of Florida community association members.
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