Echo Journal December 2023

PROTECTING VOLUNTEER DIRECTORS

YES, YOU CAN...

BUT SHOULD YOU?

LEGAL RESOURCE DIRECTORY

The business judgment rule

Email discussions between HOA board members

Find legal experts quickly and easily

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SERVING HOA BOARD MEMBERS & HOMEOWNERS

DECEMBER 2023

At Your Service

Leveraging Artificial Intelligence for Efficient HOA Management

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Echo 5669 Snell Ave., #249 San Jose, CA 95123 408.297.3246 | info@echo-ca.org www.echo-ca.org BOARD OF DIRECTORS & OFFICERS PRESIDENT

DIRECTORS

Adam Haney

Rolf Crocker

VICE PRESIDENT Mark Guithues, Esq.

Sarah Dunia John Gill, Esq.

TREASURER

David Hughes

Karl Lofthouse

David Levy, CPA

SECRETARY

Lisa Triplett

Brian Campisi

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J. Spencer Edgett, Esq.

Kelly Zibell

BENEFACTOR MEMBER

Donald W. Haney, CPA CID Consortium, LLC CHIEF EXECUTIVE OFFICER

David Zepponi | dzepponi@echo-ca.org OPERATIONS MANAGER

Connor Zepponi | connor@echo-ca.org MEMBERSHIP & SALES MANAGER

Jacqueline Price | jprice@echo-ca.org PUBLICATIONS EXPEDITOR

HOA Education On Demand!

Get more from your Echo membership Echo members have exclusive access to our entire library of HOA-focused educational programming including Community Conversations, Educational Seminars, Workshops, Ask the Attorneys and Ask the Experts.

The presentations referenced below are a sampling of what is available to our valuable members. Click a title to watch!

Pam Grove | pgrove@echo-ca.org MEMBER ENGAGEMENT COORDINATOR

Community Crime Prevention: Protecting YOUR Community

Jared Giguere | jared@echo-ca.org

Ask the Experts About Construction Projects and Inspections Ask the Experts About Insurance

The Echo Journal is published quarterly by the Executive Council of Homeowners (Echo). The views of authors expressed in the articles herein do not necessarily reflect the views of Echo. We assume no responsibility for the statements and opinions advanced by the contributors to the magazine. It is released with the understanding that the publisher is not engaged in rendering legal, accounting or other professional service. If legal advice or other expert assistance is required, the services of a competent professional should be sought.

Acceptance of advertising does not constitute any endorsement or recommendation, expressed or implied, of the advertiser or any goods or services offered. We reserve the right to reject any advertising copy or image.

Good Governance: Meetings & Best Practices Community Conversation: Better Meetings & The Open Meeting Act Community Conversation: HOA Elections & Understanding the Role of an Inspector of Elections Community Conversation: Dealing with Homeowner Apathy Community Conversation: HOA Taxes and Other Accounting Conversations

© 2024 Executive Council of Homeowners (Echo) All rights reserved. Reproduction except by written permission of Echo is prohibited.

Echo member information is never released to any outside individual or organization, unless agreed to by the member.

For more information visit www.echo-ca.org ECHO journal | DECEMBER 2023

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Features 8

16

BY DONALD BEIL

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Protecting Volunteer Directors: The Business Judgment Rule

BY NICHOLAS A. ROGERS, ESQ.

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22

Yes, You Can ... But Should You?

BY DANIEL C. HEATON, ESQ.

Happenings 6

LEGAL RESOURCE DIRECTORY

36 4

At Your Service: Leveraging Artificial Intelligence for Efficient HOA Management

DECEMBER 2023 | ECHO journal

CEO’s Message: Season of Thanks

BY DAVID ZEPPONI

14

The Passing of Jerry Bowles

20

Echo Professional Services Panel Meeting

28

Echo In-Person Events

31

Legislation Tracker: December 2023 Update

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Welcome to Our New Professional Service Providers

36

Legal Resource Directory

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ECHO journal | DECEMBER 2023

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CEO’S MESSAGE

Raison d’Etre – The Reason for

What a beautiful phrase, raison d’etre (reason for being). every board member should consider and collectively agre

phrase engenders humanity. The words roll from one’s Season of ThanksThe stark business senses and adds the element of humanity

W

a board: Strategic planning, execution and evaluation; m management. The business realities should be reflective o Echo Volunteer Certificate of Appreciation Recipients common values of individuals in the community.

ith 2023 coming to an end, the 50th anniversary year of Echo Kevin Boland Loran Shlevin also comes to an end, and Communities are imperfect –board because they are made of hum The Kevin Boland Insurance Agency HOA member, Rossmoor Club we begin the next 50 years relating.

Humans using. HumanLeonel living.

Basically, humans Tom Connelly Soto focused on a mission to HOA member, former industry Heritage Bank of Commerce being human, communities sometimes forget that mana foster the quality of life in professional service provider community associations. It is Bridgette Tabor establish norms for a successful community.

In a sense, Jerry Neitlich Kirk Miller Insurance Agency a journey that can succeed HOA Orange County themember, community.

Its purpose is to establish order and elev only with the commitment Wright progress and paceMegan by establishing norms and constraint and support of many who Saarman Construction have invested their time to benefit all. and interest in helping and services. proudleadership of the commitment Echo become the leader in HOA education and It seems apparent thatI am board mustandunderstan engagement of our many Echo supporters. Every networking efforts that it has. owners in order to orchestrate a sense of community and in-person Resource Panel and professional panel As we start our 51st year, I’d like to look back and protect community values.

The purpose meeting involved a commitment by a longof listaofboard, the thank those who have committed to ourand success.

A volunteers.

Thank you to those on the leadership big thank you to the Echo board of directors, buildwho community based on common values for the good o teams, those who moderated and led the Board support the projects and activities of Echo and who Club meetings, and those who welcomed give me the freedom to build our future.It The boardtime Members takes to orchestrate a community.

It takes time to kn or supported the many Echo events in 2023. Without of directors at Echo is comprised of dedicated time to listenthetohelp theand voices and build a vision reflective of support of our volunteers, the new individuals – homeowners and many enthusiastic andunited you will San be Francisco, more effective asOrange a board member and sat South Bay, County, and industry professionals who joined the board San Diego Resource Panels would not exist today. by the Echo mission to build a place for your HOA boards reason for being on the board.

Thank you for stepping up and executing your and homeowners to learn and share.

In November, Lisa Triplett from Bay Area Property ECHO is committed topage helping homeowner boards and resi Continued on 30 Services (BAPS) was welcomed to the Echo board ing and advocacy – this is our “raison d’etre”. to fill a seat left vacant by the departure of Sandra Long. We welcome Lisa and her commitment to the Echo mission.

During our 50th year, Echo turned to volunteers in many ways to help us deliver our programs

Sincerely,

ECHO CHIEF EXECUTIVE OFFICER 6

DECEMBER 2023 | ECHO journal

David Zepponi Executive Director

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Continued on page 10

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DECEMBER 2023 | ECHO journal

NOTE TO READERS: This is an unusual article, as it was written by a computer – although this short section you are reading now was written by a human. The article below was generated by ChatGPT, an artificial intelligence (AI) program from the company OpenAI. Author Donald Beil used the program for the very first time, simply asking it to do the following: Write a publishable paper of roughly 1,000 words on how artificial intelligence (AI) can be used by the board of directors of a homeowners association.

BY D O N A L D B E I L

The program immediately returned the article that follows. The human author has no comments about it other than to mention that it contains approximately 600 words.

AT YOUR SERVICE LEVERAGING ARTIFICIAL INTELLIGENCE FOR EFFICIENT HOMEOWNERS ASSOCIATION (HOA) MANAGEMENT Abstract This paper explores the potential applications of artificial intelligence (AI) in aiding the board of a homeowners association to streamline its operations and enhance decision-making. HOA management involves various responsibilities, from financial planning and maintenance scheduling to communication with residents. Leveraging AI technologies can revolutionize these processes, leading to improved efficiency, better resource allocation, and increased resident satisfaction. In this paper, we discuss key areas where AI can be applied, potential challenges, and the ethical considerations that arise when implementing AI in a community management setting.

Continued on page 10 ECHO journal | DECEMBER 2023

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At Your Service...

Continued from page 9

Introduction Homeowners associations play a crucial role in maintaining property values, enforcing rules, and managing community resources. The responsibilities of the HOA board range from financial management to maintenance coordination, often requiring considerable time and effort. AI technologies offer promising solutions to help

automate routine tasks, optimize resource allocation, and provide data-driven insights to enhance decision-making.‫‏‬

AI Applications in HOA Management 1. Financial Management: AI can assist in budget planning, expense tracking, and forecasting.

Machine learning algorithms can analyze historical data to predict future expenses accurately, aiding in the creation of realistic

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Challenges and Considerations

At Your Service...

Continued from page 10

satisfaction and identify areas for improvement.

4. Architectural Review: AIpowered image recognition can streamline the architectural review process by automatically categorizing and assessing proposed changes. This ensures consistency in decision-making and accelerates the approval process.

5. Security Surveillance: AIenabled security systems can monitor the community and identify unusual activities, enhancing overall safety. Facial recognition and license plate recognition technologies can help manage access control efficiently.

1. Data Privacy: AI relies on data, often sensitive in nature. It is crucial to ensure resident data is securely handled and complies with privacy regulations.

2. Bias and Fairness: AI algorithms can perpetuate biases present in training data. Careful algorithm design and continuous monitoring are necessary to prevent discrimination.

3. Initial Investment: Implementing AI systems requires financial investment and technical expertise. Boards must carefully assess the cost-benefit analysis before adoption.

4. Resident Acceptance: Residents might be wary of AI’s influence on decision-making.

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Transparent communication about AI’s role and benefits is essential.

Ethical Considerations 1. Transparency: The board should be transparent about the use of AI, how it affects decisions, and what data is being utilized.

2. Accountability: While AI can assist, the ultimate responsibility still lies with the human board members. Clear lines of accountability must be maintained.

3. Equity: AI should be employed to enhance community living for all residents, avoiding preferential treatment.

Conclusion The integration of AI technologies into homeowners association management has the potential to revolutionize how boards operate.

From more accurate financial planning to efficient maintenance scheduling, AI can significantly enhance decision-making processes. However, a thoughtful and ethical approach is necessary to navigate the challenges and ensure that AI benefits all members of the community. As AI continues to evolve, HOAs can harness its power to create more harmonious and well-managed neighborhoods.

Donald Beil served as a board member of his HOA – a high-rise in Oakland, California – for six years and was responsible for its maintenance for a decade. He has 46 years of experience as a university faculty member and administrator, working with deaf and hard-of-hearing students. He loves to write and is published widely. He can be reached through the Echo office.

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DECEMBER 2023 | ECHO journal

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DECEMBER 2023 | ECHO journal

Jerry Bowles, Echo Board Member and Advocate for HOA Mobile Home Communities, Passes Jerry Bowles, a long-time Echo board member, friend, and colleague, passed peacefully on December 30 at his home in Capitola. He was 81. Jerry was a champion of homeowner rights and responsibilities, always selflessly thinking about the greater community good in his home HOA, Brookvale Terrace (BVT). He served this community in many capacities but most notably as president of the BVT board and as a board member of Echo.

Jerry served nearly 25 years as an Echo board director. He had a particular interest in legislation and political affairs – and advocated for more and better education for homeowners and board members. Always a strong supporter of Echo, Jerry believed in the benefits Echo brought to its members, and, in an interview just last year, he stated that his greatest contribution to Echo was evangelizing mobile home park communities about Echo and leading them to membership. For his efforts in this regard, Jerry received the Echo Volunteer of the Year award in 2006.

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BY NICHOLAS A. ROGERS, ESQ.

Protecting Volunteer Dir The Business Judgmen F

reshly minted as an attorney, post-bar exam, corporate law knowledge tucked somewhere in the depths of his brain, this article’s author was asked to volunteer as a director for a nonprofit organization in California. His fellow directors assured him that California law would shield him from personal liability, but the kicker was that they decided to forgo director and officer insurance. That raised his legal antennae. He spent a good chunk of time explaining that even if one is not liable, one is still on the hook for defending oneself against claims. Who will foot the bill if a legal storm does brew? Their response? “You’re overly concerned!” Looking back now after practicing law for nearly two decades and working with homeowner associations and their directors, officers, and agents for more than a decade, he sees that that experience was a good education.

Fast-forward to today, when more than 50,000 community associations now exist in California and comprise more than 4.8 million housing units, or approximately one-quarter of the state’s total

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DECEMBER 2023 | ECHO journal

rectors: nt Rule housing supply. The inescapable conclusion from these figures is that volunteer directors who serve their associations are critical to the legal framework upon which California’s housing market resides. One need only peruse the Davis-Stirling Common Interest Development Act (Davis-Stirling Act), which in Continued on page 18

TIPS FOR DIRECTORS Legal formalities aside, below are some risk management tips for volunteer directors MAKE DECISIONS. From battlefields to boardrooms, paralysis is no substitute for decision-making. Board decisions may not conflict with the CC&Rs or bylaws. On controversial issues, when the threat of litigation is present, decision-making may prove most difficult. But in such instances, rendering a decision provides a director and the association protection. The board doesn’t need to be perfect. In fact, the decision can end up being wrong in hindsight. But as long as it is consistent with the governing documents and based on a reasonable inquiry into the facts, issues, or circumstances, the business judgment rule will likely protect the directors and the association.

INVESTIGATE. Decision-making in the absence of reasonable inquiry is a problem. The board need not engage in a Warren Commission– level examination of issues that arise, but engaging in the interactive process when a member communicates a disability request, ensuring architectural applications are timely reviewed and decisions are not arbitrarily rendered, documenting efforts to investigate claims of housing discrimination or harassment, and memorializing enforcement notices and decisions in accordance with the Davis-Stirling Act and governing documents will strengthen available defenses when decisions are challenged in court.

CONSULT EXPERTS. The Corporations Code codified a volunteer director’s right to rely on experts (such as attorneys, independent accountants, and other people a director reasonably believes to have professional expertise in a particular subject) when rendering a decision. In the context of homeowners associations, this includes design professionals such as architects and engineers on architectural matters and reserve analyists who specialize in reserve studies. It can even include landscapers, electricians, plumbers, or other tradespeople who have specialized training. The concept is that directors are elected and volunteer their time to make decisions based on information provided to them by experts. In exchange for their service, the membership assumes the cost for such experts who can educate a volunteer when making reasoned decisions.

DELEGATE POWER TO PROFESSIONAL MANAGEMENT. This too is part of the deal; members volunteer their time to make decisions, and in exchange the membership assumes the cost for day-to-day management of a project or development. Too many members treat their board as the landlord. And too many directors assume such obligations under the mistaken belief that it is their responsibility to do so or that it is in the association’s best interests because they’re saving everyone money by not hiring management. Neither conclusion is correct, equitable, or in the best interests of the association or the membership as a whole. Volunteer directors are not and should Continued on page 20 ECHO journal | DECEMBER 2023

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Protecting Volunteer Directors...

Continued from page 16

large part codifies that framework in sections 4000 through 6150 of the Civil Code.

Private property’s vital role in the American legal system, emphasizing individual rights, economic growth, and personal freedom, naturally leads to occasional neighborly disputes.

Many Californians hold dear the “my home is my castle” idea, which can clash with architectural controls and use restrictions often found in CC&Rs governing almost every association in our state. So it should come as even less of a surprise that there has been an uptick in association disputes over the past decade.

The Business Judgment Rule Fortunately, a fundamental principle of corporate law protects volunteer directors and associations. In other words, have no fear, the business judgment rule is here. This powerful defense provides volunteer directors and the association with the quickest path to resolving claims in California if, and only if, its requirements are met. The rule has two components. The first component immunizes directors from personal liability if they exercise prudent judgment, good faith, and reasonable inquiry when making decisions. The second component insulates management decisions from court intervention if they are the product of good faith and what the directors believed was in the best interests of the organization.

This may sound good, but in practice, it’s a bit more complex. The rule establishes a presumption that a director’s 18

DECEMBER 2023 | ECHO journal

decisions are based on sound business judgment. An exception exists when an alleged act or omission was taken without reasonable inquiry, with improper motives, or stemming from a conflict of interest. As a result, when a member sues a director or an association, they must allege specific facts that, if proven, establish fraud, bad faith, gross overreach, or an unreasonable failure to investigate material facts. That is different than most claims in California, as typically a plaintiff need only assert facts that provide reasonable notice of the claim. This is not the case in homeowner association disputes involving a volunteer director.

Although the business judgment rule has been applied to a host of homeowner association disputes over the years, until earlier this year, California did not have a published appellate opinion applying the rule to dismissal of the action early in the case (i.e., at the pleading stage – see Richard Lauckhart v. El Macero Homeowners Association, El Macero, 2023, 92 Cal.App.5th 889, 906-907). In El Macero, members sued their association to prevent it from acquiring real property (Lot A) and levying assessments to maintain Lot A. The trial court sustained the association’s demurrer (i.e., a motion to dismiss), holding that the CC&Rs empowered the association to acquire Lot A. The members appealed, and the appellate court affirmed the trial court’s decision. In doing so, the appellate court held that the plaintiff had not alleged fraud, bad faith, or an unreasonable failure to investigate material facts. Instead, the plaintiff merely

alleged overreach (i.e., the association was not authorized by the governing documents to acquire Lot A). Contrary to the plaintiff’s contentions, the CC&Rs gave the association broad authority to purchase, hold, and use real property, including areas adjacent to the subdivision that could be added in the future.

As such, the trial court correctly ruled that the acquisition of Lot A was presumed to be the product of sound business judgment as a matter of law, and dismissal of the action was warranted.

The El Macero opinion adds to a clear trend over the past two decades in which courts have applied the business judgment rule to a broad scope of discretionary board decisions that include maintenance, architectural, and enforcement decisions. Within this context, it was somewhat surprising that California did not have a published case applying the rule to a homeowners association dispute at the pleading stage.

This issue was identified by the trial court in El Macero when it initially issued a tentative decision overruling the association’s demurrer. Although the case took significant time to resolve, going before the trial court, followed by the appellate court, and back to the trial court to secure prevailing party attorney fees, the decision should help directors and CIDs secure resolution quicker in the future.

At the end of the day, homeowners are members, and members volunteer to serve on the board. The more informed the membership is, the better the association will run. That is one purpose of Echo, which Continued on page 20

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Tinnelly Law Group is devoted entirely to the unique legal landscape that HOAs and their Boards of Directors face.

Virtually all of our efforts are directed toward the representation of HOAs. Our firm prides itself on being sensitive to the interests of HOAs and being able to craft pragmatic, sensible and effective solutions to their problems.

Our firm believes there is no substitute for expertise. We have been representing HOAs exclusively since our founding in 1989. Our firm has developed a special expertise in the areas most important to Boards of Directors in their efforts to manage the affairs of their HOA: general counsel, governing document

interpretation and enforcement, assessment recovery, alternative dispute resolution (ADR) and litigation. We also dedicate a substantial amount of time and resource to publishing educational whitepapers, blog posts and newsletters addressing trends in HOA law and popular issues encountered by our clients and their management.

We are constantly looking for ways to expand upon the value we add for our clients. One of our websites, FindHOALaw.com, is a comprehensive library of HOA law and legal information. Its thousands of pages of content and easy-to-use interface provides our clients and their management with

We understand the importance of responsive and accessible attorneys and staff. Our technology and office policies ensure open and immediate lines of communication with our clients and their management. Our firm understands that cost-efficiency should be a central tenet of every professional services firm. We have made significant investments in cutting edge, cloudbased technology to improve our efficiency and to provide significant cost savings for our clients. This technology drastically improves the efficiency with which we access, manage, store and secure our clients’ files and information, while expanding the ability of our clients to communicate with our attorneys.

The result is more effective handling of client matters at a reduced expense to our clients.

Our firm believes that excellence requires a commitment to continued improvement—both in the way we service our clients’ needs and in our knowledge of the changing laws which relate to the representation of HOAs. We pride ourselves on being sensitive to our clients’ interests and on being able to craft sensible and effective solutions to their problems. The trust we have earned has resulted in client relationships that span decades.

27101 Puerta Real, Suite 250 Mission Viejo, CA 92691 (949) 588-0866 | tinnellylaw.com ECHO journal | DECEMBER 2023

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Protecting Volunteer Directors...

Continued from page 18

has existed for five decades and which continues to build upon its core concepts of connection, advocacy, and education. This article is meant to strengthen that mission and inspire members to become active in their association, contribute in a positive way, discuss association issues in a civil manner, and volunteer their time knowing they can make decisions in the best interests of their membership with confidence and success.

Nicholas Rogers, founding partner of O’Toole Rogers, represents nonprofit homeowner associations and common interest developments, their directors and officers, and their managing agents in litigation, arbitration, mediation, administrative proceedings, and regulatory investigations. He provides advice and counsel on a wide range of corporate and employment matters including best risk-management practices. Nick also represents community associations in actions to enforce their CC&Rs and serves as panel and preferred counsel for several national directors and officers (“D&O”) insurers as assigned defense counsel in state and federal court. He has substantial experience handling community association, quiet title, and related land use disputes in courts across California.

Echo Professional Services Panel (PSP) Echo’s Oldest Running Resource Panel Begins Again!

The panel is open to Echo professional service provider members (non-management) and meets quarterly, inperson for lunch, learning, and industry networking.

Next Meeting Date: MARCH 20, 2024 Under renewed direction, the panel is looking to grow. Echo members who are non-management professional service providers serving the HOA industry are encouraged to join.

Please contact David Zepponi at dzepponi@echo-ca.org for more information about becoming a member of the panel.

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DECEMBER 2023 | ECHO journal

Tips for Directors...

Continued from page 17

not be expected to manage the association. Management is often a full-time or part-time job. It is valued work for which compensation should be paid.

Shifting these obligations to volunteers is a recipe for apathy and errors. Support the volunteers and protect the association by hiring management.

ADOPT WRITTEN POLICIES AND RULES. Hardly a legislative session closes in Sacramento without a new law being signed that requires associations to adopt a new written policy or rule. You don’t need to be an attorney to recognize that more laws often mean more lawsuits.

But the public policies reflected in these statutes are intended to strengthen the legal framework in which decisions are made about people’s most valued asset – their home. Policies prepared by qualified legal counsel (not volunteer directors) create continuity, manage expectations, help document decision-making, and operate to mitigate the threat of lawsuits while strengthening defenses when they occur. Election rules, architectural rules, parking rules, open session board meeting rules, solar energy policies, policies for communicating housing discrimination or harassment claims, rules for using common areas for political gatherings ... it never ends. But associations will be glad to have those policies when disputes arise – or better yet, those rules will never have to be appreciated because they will prevent disputes from ever arising.

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It provides access to various information and request forms to expedite the resolution of matters and avoid delays.

Our skilled team is supported by advanced systems and expert HOA lawyers to deliver results.

Trust us with your collection needs; we’ll get the job done, done right, and as quickly and efficiently as possible.

27101 Puerta Real, Suite 250 Mission Viejo, CA 92691 (888) 818-5949 | alterracollections.com ECHO journal | DECEMBER 2023

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Ye But S

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DECEMBER 2023 | ECHO journal

BY DANIEL C. HEATON, ESQ.

es, You Can… Should You? Cautioning Directors Against Unfettered Email Discussions After LNSU #1 LLC

T

he California Fourth District Court of Appeal in LNSU #1, LLC, et al. v. Alta Del Mar Coastal Collection Community Association, 94 Cal.App.5th 1050 (Aug. 25, 2023) recently decided that board members can engage in email discussions about association business outside of regular noticed meetings, as long as the board does not take action on the items discussed.

The case involved a small common interest development of 10 homes in San Diego County.

Two homeowners sued the association, claiming the board engaged in multiple violations of the Open Meeting Act (“OMA”) (Civil Code §§ 4090 et seq.), including that directors had exchanged emails discussing landscaping plans and other association business without giving members notice or an opportunity to participate.

Historically, board members have been cautioned to avoid discussing association business through emails, as that could be deemed a “virtual assembly” of the board.

However, the court examined the definition of “board meeting” in Civil Code § 4090(a) as a

“congregation, at the same time and place, of a sufficient number of directors to establish a quorum of the board, to hear, discuss, or deliberate upon any item of business that is within the authority of the board.” The court reasoned that by specifying that the congregation be “at the same time and place,” the legislature intended this provision to only reflect “an in-person gathering of a quorum of the directors.” The court further reasoned that emails are often sent “hours or days apart and from different homes and offices.” As such, the court held that email exchanges in which no action is taken do not constitute a “board meeting” within the OMA. Some board members have rejoiced in learning of this decision, suggesting that email discussions between board meetings are necessary for them to be able to fully prepare to vote on those items during the meeting itself.

This may be due to the amount of business that the board is required to handle, or because the board does not meet as regularly as it should.

Continued on page 24 ECHO journal | DECEMBER 2023

23

Yes, You Can...But Should You? Continued from page 23

However, while the law currently permits directors to engage in email discussions outside of noticed meetings, board members should still exercise caution and discuss each of the issues mentioned below with legal counsel to determine whether they should engage in this practice and, if so, whether any practical limitations can be implemented to help protect the association.

The Finality of the Decision A Request for Depublication was filed with the California Supreme Court on September 26, 2023, followed by a full Petition for Review on October 4, 2023. On December 13, 2023, the Supreme Court formally denied both requests. This means that the Supreme Court elected not to entertain any further challenge to the decision, which now stands as binding precedent.

Even though the Supreme Court elected not to consider the issue now, this is the first time that any appellate court has interpreted the meaning of “board meetings” as found in this portion of the Civil Code. Other appellate 24

DECEMBER 2023 | ECHO journal

districts are not required to follow this decision and may adopt a different interpretation.

This could potentially create a conflict that would leave board members guessing as to how they should act until the matter is finally resolved by the California Supreme Court.

The Intent of the Open Meeting Act Favors Transparency in Association Governance The OMA was enacted to encourage transparency in board decision-making by permitting members the opportunity to witness the board conducting business. If the board discusses a matter only through emails, then a subsequent vote during the open meeting becomes a mere formality. Members are removed from the deliberations and the substance and reason for the board’s decisions. In some circumstances, individual directors may even be excluded from the process if the emails do not include the full board.

The problems of minimal transparency are compounded by the fact that board member communications are not included in the categories of association

records that homeowners are entitled to review under Civil Code § 5200. This means that the only way members can require review of email deliberations is if they file a lawsuit. Despite the ruling in this case, members may still argue that decisions were made during email deliberations instead of at noticed board meetings. This case is a prime example of how costly litigation over such issues may become.

The association incurred more than $400,000 in legal fees over the course of at least five years, and the court ultimately decided that this was not the type of matter where the prevailing party was entitled to fee recovery.

Instead, board members should be as transparent as possible in their decision-making activities so that members have no cause to believe that any impropriety exists. Boards should consider using emails only to relay information and should save discussions for board meetings where members have an opportunity to observe. To the extent that email deliberations occur, all directors and managers should be included in the discussions.

Remember That Email Deliberations Are Still Discoverable Boards should also keep in mind that emails and other forms of written discussions, unlike oral remarks made during board meetings, can be archived and retrieved and therefore should be considered a permanent record of what someone says. While members are not able to ask for copies of email conversations under Civil Code § 5200, they Continued on page 26

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25

Yes, You Can...But Should You? Continued from page 24

can be forced to be produced in response to a subpoena or as part of a litigation discovery demand.

Board member emails are not privileged unless legal counsel is involved, and even then, a communication is only privileged if its primary purpose is to further

wrote how he would “like to get [plaintiff] out of everyone’s hair.”

(Id. at 1061.) Another part of the decision quoted a director as stating, “We need to get rid of [plaintiff]. He is not part of our community.” (Id.) One method to try to limit the potential negative impacts of director email deliberations is for

...Keep in mind the practical implications that email discussions might have on how the membership perceives the board, issues of transparency, and how the association is governed. the objectives of the attorneyclient relationship (2022 Ranch LLC v. Superior Court (2003) 113 Cal.App.4th 1377, 1390), which would not include most topics that are commonly discussed by a board in transacting association business. As a result, these emails could easily become evidence in a lawsuit, where they would be projected onto screens or read to the judge and juries in open court.

It is easy to forget to be restrained when communicating through informal emails, where discussion threads can morph from one topic to another and become long and convoluted.

Statements can be taken out of context. Or even worse, directors will simply respond in the moment without carefully considering the potential implications of their statements, should they be used as evidence later on. This is what happened in the LNSU #1 LLC case; the decision itself included various comments made by certain board members and quoted them by name. For example, one director 26

DECEMBER 2023 | ECHO journal

associations to set up dedicated email accounts for their board members. Board members should be discouraged from using their personal accounts for association business regardless of whether they choose to participate in email deliberations outside of noticed board meetings. This prevents their personal emails from becoming the subject of any discovery request or subpoena.

And if directors know that their email accounts are retained by the association, it should encourage them to be more cautious in the communications they send.

While the LNSU #1 LLC decision appears to benefit associations by potentially reducing restrictions imposed on director communications, boards are urged to consult legal counsel regarding the current status of the case, as well as keep in mind the practical implications that email discussions might have on how the membership perceives the board, issues of transparency, and how the association is

governed. The question should not be whether board members can hold email discussions about association business, but whether they should.

Daniel C. Heaton, Esq., is a senior associate with Nordberg | DeNichilo LLP and exclusively represents community associations throughout California as corporate and litigation counsel. His past law experience in appellate advocacy; general and commercial liability; personal injury; and product liability, discrimination, wrongful termination, and wage/hour disputes makes him uniquely suited for his current role as a community association attorney. Mr. Heaton developed the annual two-day board ethics workshop as part of the Echo HOA University, and he serves as faculty for several board education and community leadership courses in the industry.

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provides full collections services, from intent to lien letters through judicial and nonjudicial foreclosures, providing and enforcing payment plans, as well as prosecuting court actions to obtain and enforce money judgments. All of our work is in strict compliance with the Davis Stirling Act, the Fair Debt Collection Practices Act, the Rosenthal Act, and other applicable laws. Our attorneys are certified bankruptcy filers with substantial experience advising our board members throughout a delinquent owner’s bankruptcy case.

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Our Mission is to Preserve and Protect Your Community’s Values At WKC Community Counsel we never lose sight of the fact that our goals are the same as the Board’s goals: to preserve, protect and enhance values in your community – both financial and aesthetic. We know that success comes from long-term relationships with our HOA clients, bearing this in mind, we bill conscientiously, efficiently, and ethically for our work.

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27

SOUTHERN CALIFORNIA

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Attend an Echo In-Person Event!

Don’t miss an opportunity to get the education you need – and the networking and connection you want. Register today!

Educational Seminars Learn from an acclaimed faculty delivering essential knowledge for HOA boards and homeowners.

• Ask your questions of on-site attorneys • Visit with industry experts at exhibit tables • Meet and connect with board members from neighboring communities

Resource Panel Meetings Come and reconnect with your peers and attend an upcoming Resource Panel in your region. These events are held in a casual atmosphere to enable homeowners, board members, managers, and other professionals to hear about important topics presented by experts in the HOA industry. Click a Resource Panel meeting location below to sign up to receive information.

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Individual members will receive a one-time discounted annual membership rate of $75 ($95 without discount) if they are invited by another Echo member!

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DECEMBER 2023 | ECHO journal

bit.ly/southbayRP

Wine Country Resource Panel Santa Rosa Sacramento Resource Panel North Bay Resource Panel Novato The Echo Club at Rossmoor (TECAR) Walnut Creek East Bay Resource Panel San Ramon

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Register Today for a Local Resource Panel Meeting!

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San Diego Resource Panel San Diego ECHO journal | DECEMBER 2023

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Message from the CEO Continued from page 6

charter agreements with Echo. With every new regional Resource Panel, we find greater member engagement and more effective learning.

There were a few volunteers who deserved special recognition this year (see box above). It was with great honor that Echo recognized those volunteers with an Award of Appreciation selected by the Echo CEO with contributions from our team.

The recipients were particularly helpful with many aspects of Echo programs and services, including participating in the Board Members Club (BMC), restarting Resource Panels, establishing an Echo club, making written contributions, and providing leadership.

It is noteworthy that many of our key contributors are Echo Professional Service Provider members (PSPs). It is from this expert group of professionals that we found the faculty for our nearly 75 educational programs and events in 2023.

Their commitment to contributing to the industry knowledge base is as essential in our industry as in any other. This august group of leaders and experts helps us inform and educate HOA homeowners with expert knowledge specific to the management of an HOA from the board member’s or the homeowner’s perspective. The commitment of service providers, and especially HOA attorneys, is the backbone of the greatest Echo deliverable: education. We gratefully appreciate and thank our faculty.

Where education is the goal, then clear, expert, and unbiased written content is essential to achieving the goal. In addition to the commitment of faculty to conduct webinars and in-person meetings, we have the immense contributions of many, many authors and written word contributors.

Thank you so much to this group for doing what so many prefer not to do. You preserve in writing important industry-specific articles and blogs, and by doing this, you selflessly create a repository of knowledge and a living history of the evolution of common interest developments.

I realize that often our collaborations may seem stressful due to pressing deadlines, the rigidity of editorial policies, and the enforcement of standards in our guidelines. But I believe your commitment to editorial consistency and high-quality writing has made a difference and added to what is ultimately the stock-in-trade of Echo: member trust in the articles we publish.

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DECEMBER 2023 | ECHO journal

To the writers – thank you for your collaboration and commitment to the written words published by Echo. You are the fount of expertise serving in the hallowed role of knowledge scribe for the annals of HOA community education. It is a noble endeavor and much appreciated.

We pause here to recognize a very special contribution – the first of its kind – from a financial Benefactor Member of Echo. Don Haney, founder of CID Consortium LLC, decided to endow Echo with a generous contribution. It will be used to help support and build the Echo educational programs and activities. Thank you, Don, for supporting our mission and seeing the vision!

As the season of thanks comes to its 50th close, a special thank-you to the Echo team: Connor, Jacqueline, Pam, Jared, and Heather – and our marketing and publishing teammates, Kristine and Marilyn. Your contributions are meaningful. The work you do helps keep the gears moving and maintains our forward progress.

In the end, though, the biggest thank-you and sincere appreciation goes to the many HOA community members and homeowners who have supported us through thick and thin, the trials of COVID and the challenges of inflation. Thank you for believing in us and the Echo mission. We exist for you and the promise that our work will foster a better quality of life in HOA communities.

Support the Professionals That Support Echo!

Check out the Professional Service Provider Online Directory. We have a new look that is easy to navigate and user friendly.

This Professional Directory is a one-stop shop that provides access to 250+ HOA industry experts!

www.echo-ca.org

The Echo Legislation Tracker: December 2023 Update Editor’s Note: Current status of legislation has likely changed since the writing of the article and circulation of the Journal.

AB-648: ENTIRELY VIRTUAL (REMOTE) MEETINGS Before COVID, the legislature allowed associations to have (somewhat) virtual meetings – if they identified a location where members and directors (presumably without computers) could gather to attend a board meeting. During COVID, that requirement made no sense because the gathering itself violated the health restrictions and spread the disease. Nonetheless, more communities held their meetings remotely, and more (a lot more) members attended and participated. In response, the legislature now allows for another sort of virtual meeting – one that is entirely remote.

New Civil Code § 4926 allows for board or member meetings to be held entirely virtually (without a physical location) if all the following apply: 1) The notice (in addition to the typical notice and agenda items) includes the following: a. Clear technical instructions for how to participate remotely (presumably this entails little more than providing the link to Zoom or other online meeting platform); b. A telephone number and email address of someone who can provide technical assistance to a participant before and during the pendency of the meeting; c. A reminder that a member can request individual delivery of meeting notices, with instructions for how to do so; 2) Each director and member has the same ability to participate in the meeting as they would if they attended in person; and 3) Every vote of the directors is conducted by roll-call vote.

Note: Entirely virtual meetings cannot be used when tabulating ballots (see more below).

However, some communities desire to continue to hold their elections remotely. Others eschew the formality of using roll-call votes. Some wish to stay clear of providing IT service to owners. Still others

are reticent to routinely remind owners of their ability to demand individual delivery of meeting notices. For those, Civil Code § 4090(b) still exists and allows partially remote meetings if the following apply: 1) The notice of the teleconference meeting identifies a physical location.

2) At least one director or a person designated by the board is present at that location.

3) All directors participating are able to hear one another, as well as members of the association, speaking on matters before the board.

It is important to recognize that we now have two different protocols (in addition to the emergency protocol) that can be selected from depending on the client board’s needs or desires and the availability of a staffed conference room. Regardless, when using a remote inspector of election to count ballots, an association must hold its meeting entirely in person or implement the requirements of the older § 4090(b).

AB-1458: REDUCED STEP-DOWN QUORUM FOR ELECTIONS Quorum is the minimum number of members’ attendance required for meetings or votes. Generally, it’s around 50%; some communities have a very high (67% or even 100%) “supermajority” quorum, while others have no quorum whatsoever for election purposes (much like the state of California, where those who vote decide the election).

When failing to meet a required quorum, the majority of the attending membership may vote to continue the noticed meeting forward to a new date. Typical bylaws allow this continuance to a period between 5 and 30 days without notice to the membership. When meetings are continued, some community bylaws provide automatic “step-down” quorums, where a lower (e.g., 30% or 15%) quorum might apply.

Continued on page 32

ECHO journal | DECEMBER 2023

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The Echo Legislation Tracker Continued from page 31

AB 1458 amends Civil Code § 5115 and Corporations Code § 7512 to provide a statutory step-down to 20% quorum. To take advantage of AB 1458, an association must do the following: •Add the following language to the existing 30day notice of the annual meeting: “The board of directors may call a subsequent meeting at least 20 days after a scheduled election if the required quorum is not reached, at which time the quorum of the membership to elect directors will be 20% of the association’s members voting in person, by proxy, or by secret ballot.”

•If quorum is not reached at the subsequent scheduled meeting, the association may then vote to adjourn/reconvene that annual meeting to a date at least 20 days after the date of the originally noticed meeting.

•Then, no less than 15 days prior to the reconvened (now 20% quorum) meeting date, the association should send out another notice that includes the following: (A) The date, time, and location of the reconvened meeting; (B) The list of all candidates; (C) Another statement that says “20% of the association members present or voting by proxy or secret ballot will satisfy the quorum requirements for the election of directors, and ballots will be counted if a quorum is reached, if the association’s governing documents require a quorum.”

(D) The reconvened meeting will be held if the quorum reaches 20%.

If the association’s governing documents already establish a regular or step-down quorum of less than 20% of the voting members, the association should use that lower number. This bill applies to both regular and recall elections but does not change the quorum necessary to make a recall happen.

AB-1764: CANDIDATE QUALIFICATIONS This is an omnibus provision that makes a lot of very minor changes to a multitude of laws. AB 1748 clarified Civil Codes § 5103 and § 5105(f) 32

DECEMBER 2023 | ECHO journal

regarding disqualification of candidates. Now, if a nominee is disqualified pursuant to restrictions in the association’s election rules, the association must require all directors to comply with the same requirements. AB 1764 also recodifies at § 5105(b) that term limits can be a basis to disqualify a board candidate or sitting director.

SB-71: NEW SMALL CLAIMS LIMITS Formerly, when owners sued their (corporate) association in small claims court, the limit was $10,000. Now it is $12,500. When associations sued an (individual) owner in small claims court, the limit was $5,000. Now that limit is $6,250.

AB-1033 AND AB-976: ADUS SEPARATELY CONVEY This bill amends Government Codes § 65852.2 and § 65852.26 to authorize a local agency (city or county), whether using ordinance or ministerial approval, to allow the separate conveyance of the primary dwelling unit and accessory dwelling unit or units as condominiums. There are certain requirements for lender and association approval, which means that associations need not allow it or can condition same upon successful amendment of their governing documents to allow for equitable cost-sharing protocols. Note that these sections apply only to existing lots (PUDs, not condominiums) and that the statute is unclear whether association approval is by board or member vote.

COMING ATTRACTIONS – Legislation with Future Implementation Dates AB-572: LIMIT ON ASSESSMENT RAISES ON AFFORDABLE HOUSING UNITS Note that this bill applies only to communities whose CC&Rs are first recorded after January 1, 2025. An “affordable housing unit” means “a unit occupied by, or available at affordable housing cost to, lower income and moderate-income households, as defined by Sections 50079.5 and 50052.5, respectively, of the Health and Safety Code.” This is a specific, defined thing based on a resident’s income at the time of occupancy. A “deed restricted” property is one sold to a person with lower income (at the time of sale), which contains limitations on

how the property can be occupied and/or resold.

This bill restricts an association from raising its regular assessment (AB 572 does not identify special assessments) more than 5% (+ CPI for the region = not to exceed 10%) against these homes.

2021 CORPORATE TRANSPARENCY ACT The federal government hopes to crack down on the utilization of corporations to avoid financial misdealing. Accordingly, they have passed a reporting law that requires a form to be submitted by January 1, 2025, that identifies the following: (1) The name of the association and the legal names, birthdates, home addresses, and copies of an identifying number from a driver’s license, state ID, or passport for each director.

(2) The identity of the individual with “substantial control” over financial reporting for the community association corporation. Because it is currently unclear whether a community manager and/or management company qualifies as an individual with substantial control, associations are advised to identify their treasurer.

(3) NOTE: Changes, corrections, and additions to the filing must occur “within 30 days of when you become aware of the change” (e.g., a board member moves, is replaced, etc.).

(4) Finally, and of great concern, is that noncompliance of a timely filing could result in civil penalties of $500 per day and criminal penalties of up to $10,000, as well as up to 24 months in prison.

Note: Although the 2021 Corporate Transparency Act does not appear to be intended to apply to community associations, the language of the act does not exempt nonprofit mutual benefit corporations, so it (inadvertently?) includes most HOAs. California’s Community Associations Institute is feverishly working with federal agencies to get homeowner associations exempted from the law but has been unsuccessful thus far.

AB-1572: PROHIBITING POTABLE WATER FOR NONFUNCTIONAL TURF This bill, effective January 1, 2029, amends Water Codes § 10608.12 and § 10608.14 to empower

local water districts to ban potable irrigation of “nonfunctional turf” in common areas. Nonfunctional turf means grass areas that are not actively being used for recreational purposes, such as golf courses, dog parks, sports fields, or, strangely, anything with trees. Watch for (1) the opportunity to connect your community to “purple” recycled water, and (2) future defining regulations from your local water district.

Mark T. Guithues, Esq., is the founding attorney of Community Legal Advisors Inc. Community Legal is a law firm providing assessment collection and general counsel services to its community association clients, subdivision services to its developer declarant clients, and mediation and arbitration services to its homeowner clients.

Update Your HOA Board Information Today!

HOA board members change all the time. Take a moment and check your community’s profile and make sure we have the most current and correct information for your board.

Echo needs this information to continue to deliver your membership benefits to the right people.

Reach out to membership@echo-ca.org

www.echo-ca.org

ECHO journal | DECEMBER 2023

33

WELCOME TO ECHO’S

New Professional Service Providers

At Arbor MD Tree Care, Inc., our mission is to support our employees so they can provide our clients with the best service possible.

We specialize in homeowners associations and their unique needs, and we understand their processes and invest in their education. We provide: • • • • •

Tree pruning and removals Plant health care Tree mapping and inventories Arborist reports 24/7 emergency services

We offer free consultations so call us to make an appointment today!

Sarah Dunia Regional Sales Manager – North Bay (707) 730-8632 sarah.dunia@arbormd.com arbormd.com

Innovative | Timely | Effective Nordberg | DeNichilo, LLP specializes in community association law, business, and transactional matters, acting as general and corporate counsel for our corporate clients, as well as providing representation in civil litigation, real property disputes, alternative dispute resolution, contract matters, and appellate issues.

The attorneys of Nordberg | DeNichilo, LLP are devoted to providing insightful, high quality and timely assistance to all our clients, with consistency in representation. The combined depth and breadth of our collective experience enables us to provide innovative legal representation and counsel which reflects the unique goals, objectives, and circumstances of each of our valued clients.

• • • • • • • •

Contract Review & Drafting Corporate Counsel CC&Rs & Rule Enforcement IDR/ADR Litigation Fair Housing Disputes Elections Governing Document Amendments & Restatements • Creation of Maintenance Matrix Daniel C. Heaton, Esq. Senior Associate (949) 994-8204 daniel@ndhoalaw.com ndhoalaw.com

34

DECEMBER 2023 | ECHO journal

Coast-to-coast reach. Local expertise.

LandCare has been in business since 1999 and is a leading national provider of commercial landscaping services. LandCare offers a comprehensive suite of services to its customers, including turf care, irrigation maintenance, color and ground cover, lawn and shrub pest control, mulch, specialty projects, and hardscaping. Our team of seasoned and licensed professionals is sharply focused on quality, sustainability, communication, and safety. The company employs over 4000 people and operates 65 branches serving across 23 states. LandCare excels on properties with complex operational and service needs. Visit us today!

Jose Hernandez Branch Manager (707) 829-8064 jose.hernandez@landcare.com landcare.com

Payne Pest Management Is a family owned and operated pest and termite control company. We opened our doors in May of 2006 and by year-end 2009, we were named a “Top 100 Pest Control Firm in the United States” By the PCT (Pest Control Technology Association) and have maintained that significant standing to this day.

We offer a wide range of services including: • General Pest Control • Rat/Mouse Control • Termite Control • Fumigation • Live Bee Removal/Relocation • Bed Bugs • Deceased Animal Removal • Gopher/Ground Squirrel Control • Bird Control and Live Wild-Animal Trapping/ Relocation We currently service the following counties: Ventura, Los Angeles, Orange, Riverside, San Diego, and Imperial.

ADDRESS CORRECTION!

Marcus Payne Marketing Manager (858) 277-2228 mpayne@paynepestmgmt.com paynepestmgmt.com

Condominium Financial Management, Inc., ACMC

60 Mayhew Way Walnut Creek, CA 94597 Stacie Donnelly, PCAM, CCAM, CFO (925) 566-6672 stacied@condofinancial.com condofinancial.com ECHO journal | DECEMBER 2023

35

LEGAL RESOURCE DIRECTORY

ARBITRATION AND MEDIATION

ATTORNEYS

Cayton Cavallaro, PC

Adams Stirling, PLC

2601 Main St., Penthouse Suite Irvine, CA 92614-6220 US (949) 287-8735 www.hoaombuds.com

Robert Aune Mediation & Arbitration Services

Four Embarcadero Ctr., Ste. 1400 San Francisco, CA 94111 (415) 433-6400 www.auneassociates.com

ASSESSMENT COLLECTION SERVICES

5250 Claremont Ave., Ste. 141 Stockton, CA 95207 (800) 464-2817 www.adamsstirling.com

Angius & Terry, LLP

1990 North Carolina Blvd., Ste. 950 Walnut Creek, CA 94596 (800) 680-4001 www.angius-terry.com

Berding | Weil LLP

2175 N. California Blvd., Ste. 500 Walnut Creek, CA 94596 (925) 838-2090 www.berding-weil.com

Jerod Marsalli, Esq. 215 California St. El Segundo, CA 90245 jerod@garciamarsalli.com (323) 375-5999 www.garciamarsalli.com See our Advertorial on page 15

Hanna & Van Atta

John Paul Hanna, Esq. 525 Middlefield Road, Suite 210 Menlo Park, CA 94025 (650) 321-5700 jhanna@hanvan.com www.hanvan.com

Alterra Assessment Recovery Ramona Acosta, PCAM 27101 Puerta Real, Ste. 250 Mission Viejo, CA 92691 (888) 818-5949 contact@alterracollections.com www.alterracollections.com See our Advertorial on page 21

Briscoe Ivester & Bazel

A.S.A.P. Collection Services

Chapman & Intrieri, LLP

331 Piercy Rd. San Jose, CA 95138 (408) 365-9600 www.asapcollect.com

Maria C. Kao 235 Montgomery St., Ste. 935 San Francisco, CA 94104 (415) 402-2712 mkao@briscoelaw.net www.briscoelaw.net 2236 Mariner Square Dr., Ste. 300 Alameda, CA 94501 (510) 864-3600 www.cnilawfirm.com

Community Legal Advisors Inc.

Community Legal Advisors Inc.

Community Legal Advisors, Inc.

Community Legal Advisors, Inc.

COMMUNITY ASSOCIATION ATTORNEYS

Mark T. Guithues, Esq. 509 N. Coast Highway Oceanside, CA 90254 (760) 529-5211 mark@attorneyforhoa.com www.attorneyforhoa.com See our Advertorial on page 11

Richardson | Ober LLP

234 E. Colorado Blvd., Ste. 800 Pasadena, CA 91101 (626) 449-5577 www.roattorneys.com

COMMUNITY ASSOCIATION ATTORNEYS

Mark T. Guithues, Esq. 509 N. Coast Highway Oceanside, CA 90254 (760) 529-5211 mark@attorneyforhoa.com www.attorneyforhoa.com See our Advertorial on page 11

Epsten, APC

10200 Willow Creek Rd., Ste. 100 San Diego, CA 92131 858.527.0111 www.epsten.com

Flanagan Law, APC

6050 Santo Rd Ste 220 San Diego, CA 92124-6102 (619) 489-3100 www.flanaganhoalaw.com

36

Garcia | Marsalli, LLP

DECEMBER 2023 | ECHO journal

Hughes Gill Cochrane Tinetti, PC Amy K. Tinetti, Esq., CCAL 2820 Shadelands Dr., Ste. 160 Walnut Creek, CA 94598 (925) 926-1200 atinetti@hughes-gill.com www.hughes-gill.com See our Advertorial on page 13

Kasdan Turner Thomson Booth LLP 18100 Von Karman Ave., Ste. 750 Irvine, CA 92612 (866) 578-3328, ext. 317 www.kasdancdlaw.com

Law Offices of Deon R. Stein Deon Stein, Esq. 885 University Ave. Sacramento, CA 95825 (916) 640-0102 dstein@deonstein.com www.deonstein.com

Law Offices of Tom Fier

675 Mariners Island Blvd., Ste. 106 San Mateo, CA 94404 (650) 572-1900 www.tomfier.com

Law Offices of Wanden P. Treanor PO Box 998 Larkspur, CA 94977 (415) 891-8200

2819 W. March Ln., Ste. B6 PMB 322 Stockton, CA 95219 (209) 425-6260 www.ms2.law

The Miller Law Firm

Rachel M. Miller, Esq. 235 Montgomery St., Ste. 930 San Francisco, CA 94104 (415) 437-1800 rachel@constructiondefects.com www.constructiondefects.com See our Advertorial on page 7

Richardson | Ober LLP

234 E. Colorado Blvd., Ste. 800 Pasadena, CA 91101 (626) 449-5577 www.roattorneys.com

Scherer Smith & Kenny, LLP 140 Geary St., 7th Floor San Francisco, CA 94108 (415) 433-1099 www.sfcounsel.com

Nordberg | DeNichilo

999 Corporate Dr., Ste. 100 Ladera Ranch, CA 92964 (949) 654-1510 www.ndhoalaw.com

Noland Law, PC

100 Pine St., Ste. 1250 San Francisco, CA 94111 (415) 481-0825 www.noland-law.com

O’Toole Rogers LLP

3650 Mt. Diablo Blvd., Ste. 180 Lafayette, CA 94549 (925) 284-4693 www.otoolerogers.com

Pratt & Associates, APC

634 N. Santa Cruz Ave., Ste. 204 Los Gatos, CA 95030 (408) 369-0800 www.prattattorneys.com

Ragghianti Freitas, LLP 1101 5th Ave., Ste. 100 San Rafael, CA 94901 (415) 453-9433 www.rflawllp.com

1530 The Alameda, Ste. 215 San Jose, CA 95126 info@whitelginc.com (408) 345-4000 www.whitelginc.com

BYLAW & CC&R REVISIONS SwedelsonGottlieb

Sandra Gottlieb, Esq. 350 Sansome St., Ste. 300 San Francisco, CA 94104 (415) 762-1889 slg@alslien.com www.lawforhoas.com

Nixon Peabody, LLP

Jeanne Grove, Esq. 1 Embarcadero Ctr., Fl 32 San Francisco, CA 94111 (415) 984-8389 jgrove@nixonpeabody.com www.nixonpeabody.com See our Advertorial on page 25

White Law Group, Inc.

Tinnelly Law Group

Ramona Acosta, PCAM 27101 Puerta Real, Ste. 250 Mission Viejo, CA 92691 (949) 588-0866 ramona@tinnellylaw.com www.tinnellylaw.com See our Advertorial on page 19

Tinnelly Law Group

Ramona Acosta, PCAM 27101 Puerta Real, Ste. 250 Mission Viejo, CA 92691 (949) 588-0866 ramona@tinnellylaw.com www.tinnellylaw.com See our Advertorial on page 19

LEGAL RESOURCE DIRECTORY

McGuire Schubert Sohal LLP

CONSTRUCTION DEFECT LITIGATION Berding | Weil LLP

2175 N. California Blvd., Ste. 500 Walnut Creek, CA 94596 (925) 838-2090 www.berding-weil.com

Chapman & Intrieri, LLP WKC Community Counsel

Craig Combs, Managing Partner 7955 Raytheon Rd., Ste. A San Diego, CA 92111 (858) 505-9500 info@wk4law.com www.wkc4law.com See our Advertorial on page 27

Youngling Law Firm 1108 Irwin St. San Rafael, CA 94901 (415) 454-1090 www.younglinglaw.com

Zimmerman Pavone, LLP 6010 Commerce Blvd., #148 Rohnert Park, CA 94928 (707) 578-7555 www.zp-law.net

2236 Mariner Square Dr., Ste. 300 Alameda, CA 94501 (510) 864-3600 www.cnilawfirm.com

Hughes Gill Cochrane Tinetti, PC Amy K. Tinetti, Esq., CCAL 2820 Shadelands Dr., Ste. 160 Walnut Creek, CA 94598 (925) 926-1200 atinetti@hughes-gill.com www.hughes-gill.com See our Advertorial on page 13

Kasdan Turner Thomson Booth LLP Richie Lipson, Esq. Director of Client Relations 18100 Von Karman Ave., Ste. 750 Irvine, CA 92612 (866) 578-3328, ext. 317 www.kasdancdlaw.com

ECHO journal | DECEMBER 2023

37

LEGAL RESOURCE DIRECTORY

CONSTRUCTION DEFECT LITIGATION CONT’D.

The Miller Law Firm

Rachel M. Miller, Esq. 235 Montgomery St., Ste. 930 San Francisco, CA 94104 (415) 437-1800 rachel@constructiondefects.com www.constructiondefects.com See our Advertorial on page 7

INSPECTOR OF ELECTIONS Liberty HOA Election Services, Inc. 1175 Branham Lane, #18787 San Jose, CA 95118 (408) 482-3525 www.hoaelection.com

Professional Association Services, Inc. 42612 Christy St. Fremont, CA 94538 (707) 539-5810, ext. 352 www.pas-inc.com

Pro Elections LLC

GENERAL COUNSEL

PO Box 659 Murphys, CA 95247 (209) 559-1448 www.pro-ei.com

Community Legal Advisors Inc. COMMUNITY ASSOCIATION ATTORNEYS

Community Legal Advisors, Inc. Mark T. Guithues, Esq. 509 N. Coast Highway Oceanside, CA 90254 (760) 529-5211 mark@attorneyforhoa.com www.attorneyforhoa.com See our Advertorial on page 11

Pratt & Associates, APC

634 N. Santa Cruz Ave., Ste. 204 Los Gatos, CA 95030 (408) 369-0800 www.prattattorneys.com

LAND USE

Briscoe Ivester & Bazel

Maria C. Kao 235 Montgomery St., Ste. 935 San Francisco, CA 94104 (415) 402-2712 mkao@briscoelaw.net www.briscoelaw.net

RESERVE STUDIES Applied Reserve Analysis Tinnelly Law Group

Ramona Acosta, PCAM 27101 Puerta Real, Ste. 250 Mission Viejo, CA 92691 (949) 588-0866 ramona@tinnellylaw.com www.tinnellylaw.com See our Advertorial on page 19

4040 Civic Center Dr., Ste. 200 San Rafael, CA 94903 (800) 500-8505 www.appliedreserveanalysis.com

Association Reserves, Inc. 1278 Indiana St., Ste. 400 San Francisco, CA 94107 (415) 694-8931 www.reservestudy.com

The Helsing Group

4000 Executive Pkwy., Ste. 100 San Ramon, CA 94583 (925) 355-2100 www.helsing.com

38 DECEMBER 2023 | ECHO journal

Many Echo Professional Service Providers offer products and services across large service areas.

Be sure to visit their website to see if service is offered in your area!

1 100% 2 Almost of our clients are homeowners associations, planned unit developments, condominiums, condominium conversions, COOPs, tenancies in common and timeshare projects ...

8 REASONS TO CHOOSE LEVY, ERLANGER & COMPANY LLP 3 CPAs

150

Working with approximately management companies in Northern California out of a total of 300 serving community associations ...

5

12

Which enables our professional staff of including 6 CPAs and 6 CPA candidates (growing to almost 20 professionals during “tax season” from January to April) to ...

6

Since 1977 — more than

40 years’ experience ...

4

2,500

Serving more than community associations (3 to 6,700 units) in Northern California out of a total of approximately 17,000 ...

wide range of services

Provide a to community associations including …

• Financial statements • Annual budget reports (pro • Inspector of election and income tax returns forma budget + assessment/ services — audits, reviews and reserve funding summary) • Board and member compilations • Pro forma operating budgets meeting presentations • Comparative 2-year and PUPM assessment • Litigation support financial statements— computations services (developer more meaningful to readers • Assessment and reserve budget adequacy, • Reserve funding plans, funding disclosure summaries fraud investigation, or updates owner complaints, etc.)

7 unique publications & services 8 Including some

• 2020 Condominium Greenbook™, the 290-page financial reference book for Association treasurers • 2020 Community Association Financial Survey of over 1,500 associations

• A Management Fee Survey of more than 1,900 associations • ...and numerous other surveys of reserve study practices, percent funded, etc.

As well as more than 40 years of important business contacts to help associations connect with the

BEST.

290 King Street, Suite 12, San Francisco, CA 94107 (415) 981-9350 bill@hoa-cpa.com

PRSRT STD US POSTAGE PAID PERMIT NO. 271 85719 5669 Snell Ave., #249 San Jose, CA 95123-3328

ONLINE EDUCATIONAL OFFERINGS – Visit www.echo-ca.org to register Echo Workshop

Community Conversations

Good Governance – Elections, Voting, and Candidacy

ADUs and JADUs in California HOAs

February 1, 2024 | 1:00 pm – 3:00 pm

January 18, 2024 | 1:00 pm - 2:30 pm

Echo HOA University Core Requirement

R E G I ST E R H E R E

R E G I ST E R H E R E

Community Conversations

Echo Ask the Attorney

Good News, Bad News –

Davis-Stirling Overview

February 15, 2024 | 1:00 pm - 2:30 pm

Echo HOA University Core Requirement

March 9, 2024 | 9:00 am - Noon

HOA Board Communication Strategies

R E G I ST E R H E R E

R E G I ST E R H E R E

Echo Workshop

Board Ethics – Part One

March 27, 2024 | 1:00 pm - 3:00 pm

Board Ethics – Part Two

March 28, 2024 | 1:00 pm - 3:00 pm

Echo HOA University Core Requirement

R E G I ST E R H E R E