HB190: HB190 Property; prohibit condominium and property owners' associations from retaliating against property owners for taking certain actions

25 LC 60 0015 House Bill 190 By: Representatives Lim of the 98th, Davis of the 87th, and Lupton of the 83rd A BILL TO BE ENTITLED AN ACT To amend Chapter 3 of Title 44 of the Official Code of Georgia Annotated, relating to1 regulation of specialized land transactions, so as to prohibit condominium associations and2 property owners' associations from retaliating against property owners for taking certain3 actions; to provide for circumstances that are not considered r etaliation; to provide4 definitions; to provide for remedies; to provide for a defense; to provide for related matters;5 to repeal conflicting laws; and for other purposes.6 BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:7 SECTION 1.8 Chapter 3 of Title 44 of the Official Code of Georgia Annotated , relating to regulation of9 specialized land transactions, is amended in Article 3, relating to condominiums, by adding10 a new Code section to read as follows:11 "44-3-118.12 (a) As used in this Code section, the term:13 (1) 'Permissible action' means any of the following actions ta ken by a unit owner in14 relation to his or her association:15 H. B. 190 - 1 - 25 LC 60 0015 (A) In good faith exercising against the association any legal right or remedy granted16 to such unit owner by contract or law;17 (B) In good faith filing a complaint or report or participating in the investigation of a18 complaint or report with a court or governmental entity regarding the association;19 (C) Providing feedback or input on or otherwise communicating about an association20 matter; or21 (D) Establishing, attempting to establish, or participating in an organization or a group,22 however organized, to address problems related to the association.23 (2) 'Retaliatory action' means any of the following actions taken against a unit owner by24 an association, its board, or any person acting on behalf of the association:25 (A) Filing an action to recover sums due, for damages, or for injunctive relief under26 Code Section 44-3-76 or 44-3-106, or for foreclosure on a lien for assessments under27 Code Section 44-3-109; in either case, under circumstances wher e an enforcement28 action could have, but had not, been pursued previously;29 (B) Depriving the unit owner of the use of his or her unit or any common elements,30 except for reasons authorized by contract or law;31 (C) Reducing or suspending services to the unit owner, except as provided in paragraph32 (1) of subsection (c) of this Code section;33 (D) Increasing the unit owner's assessment fees, except as provided in paragraph (1)34 of subsection (c) of this Code section; or35 (E) Materially interfering with the unit owner's rights under any condominium36 instruments or any rules and regulations adopted by the associa tion pursuant to the37 condominium instruments.38 (b) A unit owner establishes a prima-facie case of retaliation by demonstrating that:39 (1) He or she took a permissible action relating to a life, he alth, safety, or habitability40 concern; and41 H. B. 190 - 2 - 25 LC 60 0015 (2) The association took a re taliatory action within three mon ths of such permissible42 action.43 (c) An association shall not be liable under this Code section:44 (1) For lawfully increasing assessment fees or reducing or suspending services:45 (A) Under any written agreement between the association and the unit owner; or46 (B) As part of a pattern of increases in assessment fees or a pattern of service47 reductions or suspensions for the entire condominium; or48 (2) For lawfully taking an action described in subparagraph (a )(2)(A) of this Code49 section under circumstances where an enforcement action could have, but had not, been50 pursued previously.51 (d) In addition to any other remedies provided for by law, if an association engages in52 retaliatory action against a unit owner in accordance with this Code section, such53 retaliatory action shall be a defense for the unit owner to an action for foreclosure on a lien54 for assessments filed by the association or its board. In such cases, the unit owner may55 recover from the association a civil penalty in the amount of one month's assessment fees56 plus $500.00, court costs, and reasonable attorney's fees, less any delinquent assessment57 fees or other sums for which the unit owner is liable to the as sociation, and declaratory58 relief."59 SECTION 2.60 Said chapter is further amended in Article 6, relating to prope rty owners' associations, by61 adding a new Code section to read as follows:62 "44-3-232.2.63 (a) As used in this Code section, the term:64 (1) 'Permissible action' means any of the following actions ta ken by a lot owner in65 relation to his or her association:66 H. B. 190 - 3 - 25 LC 60 0015 (A) In good faith exercising against the association any legal right or remedy granted67 to such lot owner by contract or law;68 (B) In good faith filing a complaint or report or participating in the investigation of a69 complaint or report with a court or governmental entity regarding the association;70 (C) Providing feedback or input on or otherwise communicating about an association71 matter; or72 (D) Establishing, attempting to establish, or participating in an organization or group,73 however organized, to address problems related to the association.74 (2) 'Retaliatory action' means any of the following actions taken against a lot owner by75 an association, its board, or any person acting on behalf of the association:76 (A) Filing an action to recover sums due, for damages, or for injunctive relief under77 Code Section 44-3-223 or 44-3-231, or for foreclosure on a lien for assessments under78 Code Section 44-3-232; in either case, under circumstances wher e an enforcement79 action could have, but had not, been pursued previously;80 (B) Depriving the lot owner of the use of his or her lot or any part thereof, except for81 reasons authorized by contract or law;82 (C) Reducing or suspending services to the lot owner, except as provided in paragraph83 (1) of subsection (c) of this Code section;84 (D) Increasing the lot owner's assessment fees, except as provided in paragraph (1) of85 subsection (c) of this Code section; or86 (E) Materially interfering with the lot owner's rights under a ny property owners'87 association instrument or any rules and regulations adopted by the association pursuant88 to the property owners' association instrument.89 (b) A lot owner establishes a prima-facie case of retaliation by demonstrating that:90 (1) He or she took a permissible action relating to a life, he alth, safety, or habitability91 concern; and92 H. B. 190 - 4 - 25 LC 60 0015 (2) The association took a re taliatory action within three mon ths of such permissible93 action.94 (c) An association shall not be liable under this Code section:95 (1) For lawfully increasing assessment fees or reducing or suspending services:96 (A) Under any written agreement between the association and the lot owner; or97 (B) As part of a pattern of increases in assessment fees or a pattern of service98 reductions or suspensions for the entire development; or99 (2) For lawfully taking an action described in subparagraph (a )(2)(A) of this Code100 section under circumstances where an enforcement action could have, but had not, been101 pursued previously.102 (d) In addition to any other remedies provided for by law, if an association engages in103 retaliatory action against a lot owner in accordance with this Code section, such retaliatory104 action shall be a defense for the lot owner to an action for fo reclosure on a lien for105 assessments filed by the association or its board. In such cases, the lot owner may recover106 from the association a civil penalty in the amount of one month 's assessment fees plus107 $500.00, court costs, and reasonable attorney's fees, less any delinquent assessment fees108 or other sums for which the lot owner is liable to the association, and declaratory relief."109 SECTION 3.110 All laws and parts of laws in conflict with this Act are repealed.111 H. B. 190 - 5 -