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90_HB2070
765 ILCS 605/19 from Ch. 30, par. 319
Amends the Condominium Property Act. Changes some of the
types of records that the board of managers of an association
must maintain. Provides that the records shall be maintained
at the association's principal office. Provides that the
failure of the board of managers to make certain records
available within 20 business days (instead of 30 days) of
receipt of a member's request shall be deemed a denial.
Provides that in an action to compel examination of these
certain records, the burden of proof is on the member to
establish that the member's request is based on a proper
purpose and adds a limitation to recovering attorney's fees
and costs from the association, allowing recovery only if the
court finds that the board of directors acted in bad faith.
Provides that the actual cost of retrieving and making
requested records available for inspection and examination
shall be charged to the requesting member (instead of just
copying costs). Provides that certain records need not be
made available for inspection, examination, and copying.
Provides that the provisions concerning records of the
association are applicable to all condominium instruments
recorded under the Act. Makes other changes. Effective
immediately.
LRB9005044NTsb
LRB9005044NTsb
1 AN ACT to amend the Condominium Property Act by changing
2 Section 19.
3 Be it enacted by the People of the State of Illinois,
4 represented in the General Assembly:
5 Section 5. The Condominium Property Act is amended by
6 changing Section 19 as follows:
7 (765 ILCS 605/19) (from Ch. 30, par. 319)
8 Sec. 19. Records of the association; availability for
9 examination.
10 (a) The board of managers of every association shall
11 keep and maintain the following records, or true and complete
12 copies of these records, at the association's principal
13 office:
14 (1) the association's declaration, bylaws, and
15 plats of survey, and all amendments of these;
16 (2) the rules and regulations of the association,
17 if any;
18 (3) if the association is incorporated as a
19 corporation, the articles of incorporation of the
20 association and all amendments to the articles of
21 incorporation;
22 (4) minutes of all meetings of the association and
23 its board of managers for the immediately preceding 7
24 years;
25 (5) all current policies of insurance of the
26 association;
27 (6) all contracts, leases, and other agreements
28 then in effect to which the association is a party or
29 under which the association or the unit owners have
30 obligations or liabilities;
31 (7) a current listing of the names, addresses, and
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1 weighted vote of all members entitled to vote;
2 (8) ballots and proxies related to ballots for all
3 matters voted on by the members of the association during
4 the immediately preceding 12 months, including but not
5 limited to the election of members of the board of
6 managers; and
7 (9) the books and records of account for the
8 association's current and 10 immediately preceding fiscal
9 years, including but not limited to itemized and detailed
10 records of all receipts and expenditures. shall maintain
11 the following records of the association available for
12 examination and copying at convenient hours of weekdays
13 by the unit owners or their mortgagees and their duly
14 authorized agents or attorneys.
15 (1) Copies of the recorded Declaration, By-Laws,
16 other condominium instruments and any amendments,
17 Articles of Incorporation of the association, annual
18 reports and any rules and regulations adopted by the
19 association or its Board of Managers shall be available.
20 Prior to the organization of the association, the
21 developer shall maintain and make available the records
22 set forth in this subsection (a) for examination and
23 copying.
24 (2) Detailed accurate records in chronological
25 order of the receipts and expenditures affecting the
26 common elements, specifying and itemizing the maintenance
27 and repair expenses of the common elements and any other
28 expenses incurred, and copies of all contracts, leases,
29 or other agreements entered into by the association shall
30 be maintained.
31 (3) The minutes of all meetings of the association
32 and the Board of Managers shall be maintained. The
33 association shall maintain these minutes for a period of
34 not less than 7 years.
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1 (4) Ballots and proxies related thereto for all
2 elections to the Board of Managers and for any other
3 matters voted on by the unit owners shall be maintained
4 for a period of not less than 1 year; provided that for
5 associations that adopt the secret ballot election
6 process under Section 18 of this Act, unless directed by
7 court order, only the voting ballot excluding a unit
8 number shall be subject to inspection and copying.
9 (5) Such other records of the association as are
10 available for inspection by members of a not-for-profit
11 corporation pursuant to Section 107.75 of the General Not
12 For Profit Corporation Act of 1986 shall be maintained.
13 (6) With respect to units owned by a land trust, if
14 a trustee designates, in writing, a person to cast votes
15 on behalf of the unit owner, that designation shall
16 remain in effect until a subsequent document is filed
17 with the association.
18 (b) Any member of an association shall have the right to
19 inspect, examine, and make copies of the records described in
20 subdivisions (1), (2), (3), (4), and (5) of subsection (a) of
21 this Section, in person or by agent, at any reasonable time
22 or times, at the association's principal office. In order to
23 exercise this right, a member must submit a written request
24 to the association's board of managers or its authorized
25 agent, stating with particularity the records sought to be
26 examined. Failure of an association's board of managers to
27 make available all records so requested within 30 days of
28 receipt of the member's written request shall be deemed a
29 denial.
30 Any member who prevails in an enforcement action to
31 compel examination of records described in subdivisions (1),
32 (2), (3), (4), and (5) of subsection (a) of this Section
33 shall be entitled to recover reasonable attorney's fees and
34 costs from the association. Where a request for records under
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1 this Section is made in writing to the board of managers or
2 its agent, failure to provide the requested record or to
3 respond within 30 days shall be deemed a denial by the board
4 of managers.
5 (c) (Blank). A reasonable fee may be charged by the
6 association or its Board of Managers for the actual cost of
7 copying.
8 (d) (Blank). If the board of managers fails to provide
9 records properly requested under subsection (a) within the
10 time period provided in subsection (b), the unit owner may
11 seek the appropriate relief including an award of attorney's
12 fees and costs.
13 (e) Except as otherwise provided in subsection (f) of
14 this Section, any member of an association shall have the
15 right to inspect, examine, and make copies of the records
16 described in subdivisions (6), (7), (8), and (9) of
17 subsection (a) of this Section, in person or by agent, at any
18 reasonable time or times but only for a proper purpose, at
19 the association's principal office. In order to exercise
20 this right, a member must submit a written request, to the
21 association's board of managers or its authorized agent,
22 stating with particularity the records sought to be examined
23 and a proper purpose for the request. Subject to the
24 provisions of subsection (f) of this Section, failure of an
25 association's board of managers to make available all records
26 so requested within 20 business days of receipt of the
27 member's written request shall be deemed a denial; provided,
28 however, that the board of managers of an association that
29 has adopted a secret ballot election process as provided in
30 Section 18 of this Act shall not be deemed to have denied a
31 member's request for records described in subdivision (8) of
32 subsection (a) of this Section if voting ballots, without
33 identifying unit numbers, are made available to the
34 requesting member within 30 days of receipt of the member's
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1 written request.
2 In an action to compel examination of records described
3 in subdivisions (6), (7), (8), and (9) of subsection (a) of
4 this Section, the burden of proof is upon the member to
5 establish that the member's request is based on a proper
6 purpose. Any member who prevails in an enforcement action to
7 compel examination of records described in subdivisions (6),
8 (7), (8), and (9) of subsection (a) of this Section shall be
9 entitled to recover reasonable attorney's fees and costs from
10 the association only if the court finds that the board of
11 directors acted in bad faith in denying the member's request.
12 (f) The actual cost to the association of retrieving and
13 making requested records available for inspection and
14 examination under this Section shall be charged by the
15 association to the requesting member. If a member requests
16 copies of records requested under this Section, the actual
17 costs to the association of reproducing the records shall
18 also be charged by the association to the requesting member.
19 (g) Notwithstanding the provisions of subsection (e) of
20 this Section, unless otherwise directed by court order, an
21 association need not make the following records available for
22 inspection, examination, or copying by its members:
23 (1) documents relating to appointment, employment,
24 discipline, or dismissal of association employees;
25 (2) documents relating to actions pending against
26 or on behalf of the association or its board of managers
27 in a court or administrative tribunal;
28 (3) documents relating to actions threatened
29 against, or probable of assertion on behalf of, the
30 association or its board of mangers in a court or
31 administrative tribunal;
32 (4) documents relating to common expenses or other
33 charges owed by a member other than the requesting
34 member; and
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1 (5) documents provided to an association in
2 connection with the lease, sale, or other transfer of a
3 unit by a member other than the requesting member.
4 (h) The provisions of this Section are applicable to all
5 condominium instruments recorded under this Act. Any portion
6 of a condominium instrument that contains provisions contrary
7 to these provisions shall be void as against public policy
8 and ineffective. Any condominium instrument that fails to
9 contain the provisions required by this Section shall be
10 deemed to incorporate the provisions by operation of law.
11 (Source: P.A. 87-746; 88-135.)
12 Section 99. Effective date. This Act takes effect upon
13 becoming law.