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Public Act 102-0921 |
HB4158 Enrolled | LRB102 20110 LNS 28960 b |
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AN ACT concerning civil law.
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Be it enacted by the People of the State of Illinois,
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represented in the General Assembly:
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Section 5. The Common Interest Community Association Act |
is amended by changing Sections 1-30 and 1-90 as follows: |
(765 ILCS 160/1-30)
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Sec. 1-30. Board duties and obligations; records. |
(a) The board shall meet at least 4 times annually. |
(b) A common interest community association may not enter |
into a contract with a current board member, or with a |
corporation, limited liability company, or partnership in |
which a board member or a member of his or her immediate family |
has 25% or more interest, unless notice of intent to enter into |
the contract is given to members within 20 days after a |
decision is made to enter into the contract and the members are |
afforded an opportunity by filing a petition, signed by 20% of |
the membership, for an election to approve or disapprove the |
contract; such petition shall be filed within 20 days after |
such notice and such election shall be held within 30 days |
after filing the petition. For purposes of this subsection, a |
board member's immediate family means the board member's |
spouse, parents, siblings, and children. |
(c) The bylaws or operating agreement shall provide for |
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the maintenance, repair, and replacement of the common areas |
and payments therefor, including the method of approving |
payment vouchers. |
(d) (Blank). |
(e) The association may engage the services of a manager |
or management company. |
(f) The association shall have one class of membership |
unless the declaration, bylaws, or operating agreement provide |
otherwise; however, this subsection (f) shall not be construed |
to limit the operation of subsection (c) of Section 1-20 of |
this Act. |
(g) The board shall have the power, after notice and an |
opportunity to be heard, to levy and collect reasonable fines |
from members or unit owners for violations of the declaration, |
bylaws, operating agreement, and rules and regulations of the |
common interest community association. |
(h) Other than attorney's fees and court or arbitration |
costs, no fees pertaining to the collection of a member's or |
unit owner's financial obligation to the association, |
including fees charged by a manager or managing agent, shall |
be added to and deemed a part of a member's or unit owner's |
respective share of the common expenses unless: (i) the |
managing agent fees relate to the costs to collect common |
expenses for the association; (ii) the fees are set forth in a |
contract between the managing agent and the association; and |
(iii) the authority to add the management fees to a member's or |
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unit owner's respective share of the common expenses is |
specifically stated in the declaration, bylaws, or operating |
agreement of the association. |
(i) Board records. |
(1) The board shall maintain the following records of |
the association and make them available for examination |
and copying at convenient hours of weekdays by any member |
or unit owner in a common interest community subject to |
the authority of the board, their mortgagees, and their |
duly authorized agents or attorneys: |
(i) Copies of the recorded declaration, other |
community instruments, other duly recorded covenants |
and bylaws and any amendments, articles of |
incorporation, articles of organization, annual |
reports, and any rules and regulations adopted by the |
board shall be available. Prior to the organization of |
the board, the developer shall maintain and make |
available the records set forth in this paragraph (i) |
for examination and copying. |
(ii) Detailed and accurate records in |
chronological order of the receipts and expenditures |
affecting the common areas, specifying and itemizing |
the maintenance and repair expenses of the common |
areas and any other expenses incurred, and copies of |
all contracts, leases, or other agreements entered |
into by the board shall be maintained. |
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(iii) The minutes of all meetings of the board |
which shall be maintained for not less than 7 years. |
(iv) With a written statement of a proper purpose, |
ballots and proxies related thereto, if any, for any |
election held for the board and for any other matters |
voted on by the members, which shall be maintained for |
not less than one year. |
(v) With a written statement of a proper purpose, |
such other records of the board as are available for |
inspection by members of a not-for-profit corporation |
pursuant to Section 107.75 of the General Not For |
Profit Corporation Act of 1986 shall be maintained. |
(vi) With respect to units owned by a land trust, a |
living trust, or other legal entity, the trustee, |
officer, or manager of the entity may designate, in |
writing, a person to cast votes on behalf of the member |
or unit owner and a designation shall remain in effect |
until a subsequent document is filed with the |
association. |
(vii) Any reserve study. |
(2) Where a request for records under this subsection |
is made in writing to the board or its agent, failure to |
provide the requested record or to respond within 30 days |
shall be deemed a denial by the board. |
(3) A reasonable fee may be charged by the board for |
the cost of retrieving and copying records properly |
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requested. |
(4) If the board fails to provide records properly |
requested under paragraph (1) of this subsection (i) |
within the time period provided in that paragraph (1), the |
member may seek appropriate relief and shall be entitled |
to an award of reasonable attorney's fees and costs if the |
member prevails and the court finds that such failure is |
due to the acts or omissions of the board of managers or |
the board of directors. |
(j) The board shall have standing and capacity to act in a |
representative capacity in relation to matters involving the |
common areas or more than one unit, on behalf of the members or |
unit owners as their interests may appear.
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(Source: P.A. 98-232, eff. 1-1-14; 98-241, eff. 8-9-13; |
98-756, eff. 7-16-14; 99-41, eff. 7-14-15.) |
(765 ILCS 160/1-90) |
(Section scheduled to be repealed on July 1, 2022) |
Sec. 1-90. Compliance with the Condominium and Common |
Interest Community Ombudsperson Act. Every common interest |
community association, except for those exempt from this Act |
under Section 1-75, must comply with the Condominium and |
Common Interest Community Ombudsperson Act and is subject to |
all provisions of the Condominium and Common Interest |
Community Ombudsperson Act. This Section is repealed January |
1, 2024 July 1, 2022 .
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(Source: P.A. 99-776, eff. 8-12-16; 100-201, eff. 8-18-17.) |
Section 10. The Condominium Property Act is amended by |
changing Sections 19 and 35 as follows:
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(765 ILCS 605/19) (from Ch. 30, par. 319)
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Sec. 19. Records of the association; availability for |
examination.
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(a) The board of managers of every association shall keep |
and maintain the
following records, or true and complete |
copies of these records, at the
association's principal |
office:
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(1) the association's declaration, bylaws, and plats |
of survey, and all
amendments of these;
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(2) the rules and regulations of the association, if |
any;
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(3) if the association is incorporated as a |
corporation, the articles
of incorporation of the |
association and all amendments to the articles of
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incorporation;
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(4) minutes of all meetings of the association and its |
board of managers
for the immediately preceding 7 years;
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(5) all current policies of insurance of the |
association;
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(6) all contracts, leases, and other agreements then |
in effect to which
the association is a party or under |
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which the association or the unit owners
have obligations |
or liabilities;
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(7) a current listing of the names, addresses, email |
addresses, telephone numbers, and weighted vote of all
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members entitled to vote;
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(8) ballots and proxies related to ballots for all |
matters voted on by
the members of the association during |
the immediately preceding 12 months,
including, but not |
limited to, the election of members of the board of |
managers;
and
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(9) the books and records for the association's |
current and 10
immediately preceding fiscal years, |
including, but not limited to, itemized and
detailed |
records of all receipts, expenditures, and accounts ; and |
(10) any reserve study .
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(b) Any member of an association shall have the right to |
inspect, examine,
and make copies of the records described in |
subdivisions (1), (2), (3), (4),
(5), (6), and (9) , and (10) of |
subsection (a) of this Section, in person or by agent, at any
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reasonable time or times, at the association's principal |
office. In order
to exercise this right, a member must submit a |
written request to the
association's board of managers or its |
authorized agent, stating with
particularity the records |
sought to be examined. Failure of an association's
board of |
managers to make available all records so requested within 10 |
business days of
receipt of the member's written request shall |
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be deemed a denial.
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Any member who prevails in an enforcement action to compel |
examination of
records described in subdivisions (1), (2), |
(3), (4), (5), (6), and (9) , and (10) of subsection (a)
of this |
Section shall be entitled to recover reasonable attorney's |
fees and
costs from the association.
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(c) (Blank).
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(d) (Blank).
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(d-5) As used in this Section, "commercial purpose" means |
the use of any part of a record or records described in |
subdivisions (7) and (8) of subsection (a) of this Section, or |
information derived from such records, in any form for sale, |
resale, or solicitation or advertisement for sales or |
services. |
(e) Except as otherwise provided in subsection (g) of this
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Section, any member of an association shall have the right to |
inspect, examine,
and make copies of the records described in |
subdivisions (7) and (8) of subsection (a) of this Section, in |
person or by agent, at any reasonable
time or times but only |
for a purpose that relates to the association, at the |
association's principal
office. In order to exercise this |
right, a member must submit a written
request, to the |
association's board of managers or its authorized agent,
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stating with particularity the records sought to be examined. |
As a condition for exercising this right, the board of |
managers or authorized agent of the association may require |
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the member to certify in writing that the information |
contained in the records obtained by the member will not be |
used by the member for any commercial purpose or for any |
purpose that does not relate to the association. The board of |
managers of the association may impose a fine in accordance |
with item (l) of Section 18.4 upon any person who makes a false |
certification. Subject to the provisions of subsection (g) of |
this Section, failure of an association's board of managers to |
make
available all records so requested within 10 business |
days of receipt of the
member's written request shall be |
deemed a denial; provided, however, that the
board of managers |
of an association that has adopted a secret ballot election
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process as provided in Section 18 of this Act shall not be |
deemed to have
denied a member's request for records described |
in subdivision (8) of
subsection (a) of this Section if voting |
ballots, without identifying unit
numbers, are made available |
to the requesting member within 10 business days of receipt
of |
the member's written request.
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Any member who prevails in an enforcement action to compel
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examination of records described in subdivision (7) or (8) of
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subsection (a) of this Section shall be entitled to recover |
reasonable
attorney's fees and costs from the association only |
if the court finds that
the board of directors acted in bad |
faith in denying the member's request.
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(f) The actual cost to the association of retrieving and |
making requested
records available for inspection and |
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examination under this Section may be
charged by the |
association to the requesting member. If a member requests
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copies of records requested under this Section, the actual |
costs to the
association of reproducing the records may also |
be charged by the association
to the requesting member.
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(g) Notwithstanding the provisions of subsection (e) of |
this Section, unless
otherwise directed by court order, an |
association need not make the following
records available for |
inspection, examination, or copying by its members:
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(1) documents relating to appointment, employment, |
discipline, or
dismissal of association employees;
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(2) documents relating to actions pending against or |
on behalf of the
association or its board of managers in a |
court or administrative tribunal;
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(3) documents relating to actions threatened against, |
or likely to be
asserted on behalf of, the association or |
its board of managers in a court or
administrative |
tribunal;
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(4) documents relating to common expenses or other |
charges owed by a
member other than the requesting member; |
and
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(5) documents provided to an association in connection |
with the lease,
sale, or other transfer of a unit by a |
member other than the requesting member.
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(h) The provisions of this Section are applicable to all |
condominium
instruments recorded under this Act. Any portion |
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of a condominium instrument
that contains provisions contrary |
to these provisions shall be void as against
public policy and |
ineffective. Any condominium instrument that fails to
contain |
the provisions required by this Section shall be deemed to |
incorporate
the provisions by operation of law.
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(Source: P.A. 100-292, eff. 1-1-18; 100-863, eff. 8-14-18.)
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(765 ILCS 605/35) |
(Section scheduled to be repealed on July 1, 2022) |
Sec. 35. Compliance with the Condominium and Common |
Interest Community Ombudsperson Act. Every unit owners' |
association must comply with the Condominium and Common |
Interest Community Ombudsperson Act and is subject to all |
provisions of the Condominium and Common Interest Community |
Ombudsperson Act. This Section is repealed January 1, 2024 |
July 1, 2022 .
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(Source: P.A. 98-1135, eff. 1-1-17 (See Section 20 of P.A. |
99-776 for effective date of P.A. 98-1135); 99-776, eff. |
8-12-16 .)
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Section 15. The Condominium and Common Interest Community |
Ombudsperson Act is amended by changing Section 70 as follows: |
(765 ILCS 615/70)
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(Section scheduled to be repealed on July 1, 2022) |
Sec. 70. Repeal. This Act is repealed on January 1, 2024 |