Recent Blog Posts

• New York City's Cooperatives React To The Current Economy & Real Estate Market
  Typically, cooperatives have the right to scrutinize and ultimately admit or reject potential buyers.  This right is furthered via the adoption and use of admissions policies, set and amended from time to time by the Board of Directors.  During the challenging time, Boards are maintaining their strict and tough admissions standards, and often making them stricter.  Ensuring that only those financially secure buyers are admitted helps to minimize the risk to the cooperative of shareholders in foreclosure, its own foreclosures, collection-related legal fees and delinquencies that lead to deficits in the monthly and annual budget. Some cooperatives have amended admissions rules to require buyers to post as much as a 50% down payment.  Some have mandated that buyers deposit funds into an escrow fund to cover upcoming maintenance fees.  Cooperatives are frowning upon buyers with interest-only mortgages or adjustable rate mortgages.  Buyers with fixed-rate ....
• Stark & Stark Shareholder Named President-Elect of Community Associations Institute of New Jersey
  A. Christopher Florio, Shareholder and member of Stark & Stark's Community Associations group, was appointed to serve on the Community Association Institute of New Jersey's 2009 Board of Directors, and was named as President-Elect for 2010.  CAI-NJ is the New Jersey Chapter of the Community Associations Institute (CAI), a national non-profit organization dedicated to fostering vibrant, responsive, competent community associations and helping them promote harmony, community and responsible leadership.  CAI-NJ is the second largest chapter (of 56 chapters) in the United States and provides continuous education and resources to help our nearly 2,000 members, including 1,200 community association volunteer leaders, stay abreast of current community association issues and events in the State of New Jersey.   Mr. Florio has extensive experience in the negotiation of loan transactions, work-outs, and real estate law including foreclosures. Mr. Florio also has ....
• President of Corporation Personally Liable under NJCFA
  The New Jersey Appellate Division recently found that a claim under the New Jersey Consumer Fraud Act can go forward against the President and Chief Executive officer of a landscaping company.  In Lanza v. Secret Gardens Landscaping, Inc. (A-2613-07), the Plaintiff, Noreen Lanza, obtained a proposal from Secret Gardens for remodeling and landscaping work on her property. The total price of this work quoted to Lanza was $35,000. She signed the proposal, and Secret Gardens performed the work.  After completion of performance, Lanza filed suit against Secret Gardens and its President, Brent Stephens. She asserted claims for breach of contract and negligence as well as various claims under the New Jersey Consumer Fraud Act.  The fraud claim arose from a representation on Secret Gardens' website that it was "EP Henry Certified," which was untrue.  It had also, in violation of the home improvement section of the Consumer Fraud Act, failed to submit a contract ....
• Mandatory Mediation in New Jersey Foreclosure Cases
  With a 46% increase in residential foreclosure filings over the last 12 months, the New Jersey Court system unveiled a new mandatory mediation program in all foreclosure matters.  The Chief Justice of the New Jersey Supreme Court, Stuart Rabner, announced the roll-out of a statewide Judiciary program to assist homeowners in foreclosure actions. The program will provide mediators to help homeowners and lenders negotiate with one another and try to work out agreements to avoid foreclosures. Under the program, the courts will require mediation in all cases in which homeowners contest owner-occupied foreclosure actions. Volunteer mediators will meet with eligible homeowners and their lenders in an effort to resolve the foreclosure action and renegotiate the terms of mortgage agreements. In uncontested actions, where the homeowner has failed to respond to a foreclosure complaint, the courts will notify the homeowner of the mediation program and encourage participation. If the homeowner ....
• Stark & Stark Shareholder Presents Seminar Regarding Board Elections to Community Associations Institute - New Jersey Chapter
  David J. Byrne, Shareholder in Stark & Stark’s Community Association group, presented materials related to Community Associations and having successful Board elections at the New Jersey Chapter’s 2008 Conference and Expo seminar, held at the New Jersey Convention and Exposition Center, in Edison, New Jersey, on Saturday, October 18, 2008. Mr. Byrne focused his presentation on the legal issues surrounding the election of Board members and how to have a successful election.  Mr. Byrne also discussed the provisions of New Jersey’s Non-Profit Corporate Act and New Jersey’s Planned Real Estate Development Full Disclosure Act in relation to those elections.  Mr. Byrne discussed legal standards and issues related to campaigning, eligibility and the casting and counting of ballots. You can view a copy of the written materials from this seminar here.   ....
• There is a Time and PLACE for Everything
  If the Governing Documents of a Condominium Association provide that the powers and duties of such Association are to be exercised through a Board of Directors/Trustees, elected by the Association’s membership, then all meetings of that Board (except conferences or work sessions where no votes are taken), shall be open to the Association’s membership. However, Boards may restrict attendance of the membership at meetings, at which certain topics are discussed. Indeed, an open meeting is not the “PLACE” to discuss the following topics:   P- Privacy: any matter that, if disclosed, would constitute an unwarranted invasion of individual privacy; L-Litigation and Contract Negotiations: any pending or anticipated litigation, or contract negotiation; A-C- Attorney Client Privilege: any topic that falls under an attorney client privilege, to the extent that confidentiality is required in order for an attorney to exercise his duties as a lawyer to the Association; ....
• Stark & Stark Shareholder Presents Seminar to Community Associations Institute - Pennsylvania & Delaware Valley Chapters
  David J. Byrne, Shareholder in Stark & Stark's Community Association group, presented materials related to Community Associations "going green" at the CAI Pennsylvania and Delaware Valley Chapter's Urban Issues seminar, held at the Comcast Building in Philadelphia, Pennsylvania on Friday, October 10, 2008.   Mr. Byrne focused his presentation on the legal issues surrounding the concept of "going green", including the fiduciary duties of board member when facing owner green-related modifications, and when Associations themselves consider green-related changes. Mr. Byrne also discussed the flexibility Associations and managers have when trying to minimize the amount of paper used. Mr. Byrne also discussed the law in Pennsylvania and other states, to illustrate the legislative trend toward "going green" and ensuring Associations do not stand in the way.   You can view a copy of the power point presentation from this seminar here. ....
• Collection of Condominium Common Charges in New York Revisited
  Condominium boards and managers are often frustrated by unpaid common charges. Once a unit owner falls more than sixty days behind in his or her common charge payments, it is recommended that this problem be turned over to the condominium association's attorneys to resolve. A variety of legal methods can be used by a condominium association's attorneys to attempt to collect common charge arrears. Which method or combination of methods will be best for a particular situation will vary. Regardless of which method or methods are used, the first step in the process is sending a Thirty Day Notice of Debt Collection to the unit owner. One benefit of sending a Notice of Debt Collection prepared by an attorney is that it conveys the seriousness of the common charge arrears to the unit owner. In addition, it provides the unit owner with an opportunity to examine the breakdown of the amount he or she owes. This may expedite an amicable resolution to the matter, as sometimes owners do not read ....
• New York City Pet Laws Affect Boards And Dog Owners In Cooperatives And Condominiums
  Many New York City cooperative and condominium owners consider their pets to be members of their families.  At the other end of the spectrum are people who may have violent allergic reactions when they come into contact with dogs, or who just prefer not to share their common living space with someone else's four-legged friend.  The boards of directors of cooperatives, and the boards of managers of condominiums, weigh these competing interests and try to enact and enforce pet policies and rules that best serve the residents of their buildings while also taking into account applicable laws. The focus of most pet policies and rules enacted by cooperative and condominium boards is dogs.  Some of the more common rules require dogs to be kept on leashes while in common areas, prohibit dogs in elevators, limit the number of dogs per apartment and limit the size of permitted dogs.  In most cases, a majority vote by a board is sufficient to amend these rules and policies, ....
• New Jersey Will Not Require Older High-Rise Condominiums and Cooperatives to be Retrofitted with Fire Suppression Systems
  As previously reported by the Community Association Group, automatic fire suppression systems have been required by state law in residential buildings of six stories or higher since 1989, older condominium and co-op buildings have been exempt from these requirements. Last year, the DCA proposed amendments to the New Jersey’s State Fire Prevention Code, specifically, N.J.A.C. 5:70-4.17, which would require older high-rises – both residential and commercial – to be retrofitted to include fire suppression systems. The DCA indicated that the change was prompted as a result of the special hazard and life-safety issues that high-rises represent in rescue and firefighting operations. Condominium and co-ops throughout New Jersey would incur significant expenses in order to retrofit these older building to comply with the new law. The issue affects over 450 high-rise buildings statewide. The DCA has received numerous letters from the public on this issue regarding the ....
• 2009 New Jersey Court Rule Changes Affecting Foreclosure Practice
  With the growing rate of foreclosures, a number of changes were made to the Court Rules affecting foreclosure practice with the intent to streamline the procedures for foreclosure filings. The set of Rule changes, effective September 2008, were intended to expedite the foreclosure process, while affording Defendants additional protections. The set of Rule changes include the following:   R.1:34-6: Office of Foreclosure: This Rule was amended to increase the scope of Orders that the Office of Foreclosure may enter in uncontested foreclosure actions. While contested foreclosures are referred to the Court, administrative tasks related to uncontested foreclosure actions can be addressed by the Office of Foreclosure. R.4:4-5(c): Service by Publication: This Rule was amended in order to provide the absent Defendant with additional information in the Notice of Publication. The Notice of Publication, in addition to being in the form of a Summons without a caption, providing the ....
• Richard Linderman attends Unity Day 2008 in Newark, New Jersey
  Stark & Stark was a proud sponsor of the Community Hills Condominium Association’s 1st Annual Unity Day held on Saturday, August 9, 2008. Unity Day was an opportunity for the members of the Association to join together with others in the community and elected officers to strengthen bonds and form relationships. Newark Mayor Cory Booker attended the event along with members of his staff and Newark’s Central Ward’s governing council.   Richard Linderman, Esquire, attended the event which included a community barbeque, catered food, a DJ, and games for the local children. In addition, the Newark Fire Department stopped by to let the children see and tour a working fire engine. The Community Hills Condominium Association is a long time client of Stark & Stark. ....
• Stark & Stark Opens an Office in Westchester County and Expands its New York City Operation, Adding a New Lawyer to its Manhattan Office
  Stark & Stark’s Community Association Group recently opened an office in Tarrytown, Westchester County, New York. We are excited to serve our Orange, Rockland and Westchester County clients via a local office. The group also recently added Stephen M. Lasser, Esquire, as a shareholder, to its Manhattan office. Along with adding Mr. Lasser, the group also expanded its existing Manhattan office at 5 Penn Plaza. Previously, Mr. Lasser was an associate with Schechter & Brucker, a Manhattan law firm, where he concentrated his practice on the representation of condominiums and cooperatives. Prior to that, Mr. Lasser managed cooperatives and condominiums in both New York and New Jersey. Adding Mr. Lasser to the group’s New York practice, and expanding our office, will enhance the quality and efficiency of the service we provide to our clients in New York City’s all five boroughs. ....
• Save some paper, save some trees
  We all know that each one of us can make a difference in our country's need to free itself of its dependence on foreign oil, and to slow the effects of carbon emissions.  Stark & Stark’s community association group is beginning to do its part. Did you know that...... Every ton of paper that is recycled saves 17 trees and 7,000 gallons of water One fifth of all wood harvested in the world ends up in paper It takes 2 to 3.5 tons of trees to make one ton of paper In the United States, paper accounts for nearly 40 percent of all municipal solid waste Making paper uses more water per ton than any other product in the world To reduce the amount of paper we use, we are experimenting with filing legal briefs and other legal paper using both sides of a sheet of paper.  We are revising and altering the forms of various legal documents to lower the amount of paper used.   Large documents will be scanned and emailed, instead of mailed and/or faxed.  The firm ....
• Existing and Pending State Laws concerning Community Associations and "Going Green"
  It is important for associations, their members, their boards, their management team and their service providers to constantly review and consider the nation's continual push to end the country's dependence on foreign oil, and to minimize the adverse effects of energy use. States all across the country have enacted, or are considering, laws and/or regulations concerning community associations and cooperatives that may help the country achieve both of those goals. In July, 2008 Pennsylvania created a state fund totaling $650 million to aid private parties in the development and/or use of alternative and renewable energy. A large part of that amount is available to homeowners and community associations for the installation of solar energy technology. In 2007, New Jersey amended its Planned Real Estate Development Full Disclosure Act by adding a provision that makes it unlawful, in some circumstances, for a community association to prohibit an owner from installing solar panels on his or ....
• Current Economic Climate Encourages Homeowners and Associations to "Go Green"
  Many things have been written lately on the topic of going green. Car manufacturers are promoting their new “hybrid” models, companies are conducting “energy audits” of their buildings to assess whether they can help reduce their overall carbon footprint and individual homeowners are altering their lifestyles in order to reduce their energy consumption. Following are some tips on how homeowners and Associations can begin to make a difference, even on a small scale.   TIPS FOR HOMEOWNERS: Boost your home ventilation by installing ceiling fans Install Compact Fluorescent Lightbulbs (CFL’s) where ever you have standard incandescent lightbulbs A CFL uses 75% less energy than a regular light bulb and can last up to four years Turn off your lights when they are not in use Install double panel windows and make sure they are sealed properly A crack as small as 1/16th of an inch around a window frame can let in as much cold air as leaving the window open 3 ....
• The "Green" Association
  Whether or not it is an issue near and dear to your heart, one cannot deny that this “Green Revolution” has taken its hold of every aspect of our daily life, modifying the behavior and attitudes of the many, including community association members. As a forward thinking, proactive property manager you may be thinking of ways that you can reduce the carbon footprint of the Association you manage while considering the legal implications of your actions.   The attitude of your members and your association’s own governing documents will impact how proactive you can be. However, it is important to note that both the Pennsylvania Condominium Act (“PCA”) and the Uniform Planned Community Act (“UPCA”) (collectively, the “Acts”) can reasonably be interpreted to allow for the type of change the Green Revolution demands.   For instance, diminishing the amount of paper is something even the most modest reformer can accomplish. ....
• Balancing the Ongoing 'Green Revolution' & Fiduciary Duty, Restrictive Covenants, Rules and Regulations
  The country and her citizens continue to seek ways - both large and small - to lessen our dependence on foreign oil, and help stem the tide of global climate change. In turn, community association members, and management professionals, will continue to seek modifications to homes and changes to owner conduct that may implicate or violate covenants and/or rules. In considering these modification requests and owner conduct, community association boards and management must balance many competing interests, all the while remaining mindful of each's fiduciary duty.   In any community association or cooperative there are two (2) classes of restrictions: (1) restrictive covenants that are set forth in the initial governing documents created at inception, which are fixed forever absent an amendment typically authorized by the members or shareholders; and (2) rules and regulations that are adopted by the board, which are subject to change with ease, upon majority vote of that same board. ....
• Governor Signs Community Age Restriction Legislation Into Law
  Senate Bill 88/Assembly Bill 305, which is intended to prevent the improper sale or transfer of property to those who do not meet the age requirements of a senior community, was signed into law yesterday by Governor Jon Corzine.   The Bill, initially introduced by Senator Christopher J. Connors, Assemblyman Brian E. Rumpf and Assemblyman Daniel M. Van Pelt in January of this year, requires the purchaser of a property in an age-restricted community to certify that the person occupying the residence meets the age requirements of the community. This would assist adult communities in complying with quotas established for the "housing for older persons" exception from the federal "Fair Housing Amendments Act of 1988." Currently, federal law states that 100% of the resident in a community built for occupants 62-years of age or older must be 62-years of age or older. Whereas, communities intended for residents 55-years of age or older, only need to have 80 % of the ....
• Capital Reserve Studies & Projects for Communities
  Mary W. Barrett, Counsel and member of Stark & Stark's Community Associations group, will present a seminar entitled Capital Reserve Studies & Projects for Communities for the New Jersey chapter of the Community Associations Institute.   The seminar will offer different viewpoints on the topics of Capital Reserve Studies and community projects. Several engineers will discuss the logistics of Capital Reserve Studies, while Ms. Barrett and several other attorneys will discuss the procedural and legal aspects of these projects. ....