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Can association prevent re-enactment of a Chevy Chase movie scene?

Editor’s note: This column has been updated to correct the answer to the third question about insurance and clubhouse rental.

Q. We are an association of high-end single-family detached homes in the Northwest suburbs. The covenants in the association’s declaration are crystal clear that no campers may be parked in a driveway. Nonetheless, one of the homeowners has a relative who visits, and parks (and lives in) their camper in the homeowner’s driveway, on numerous occasions for multiple days at a time throughout the year. Folding chairs and all, it looks like a scene in a Chevy Chase movie! What can the association do about this violation?

A. The board can levy a fine against the homeowner, after giving the owner written notice of the violation and an opportunity for a hearing. A fine, which must be “reasonable,” should be high enough to deter this conduct. Otherwise, it may still be cheaper to pay a fine than for this relative to stay at a hotel!

If the owner continues to violate the covenant, the board could consider seeking a court order to prohibit the owner from violating this covenant. Language in most declarations would allow the association to recover attorney’s fees from the defaulting owner.

Q. Units in our condominium association have always been owned by actual people. The prospective purchaser of one of the units is a limited liability company. Is this permitted?

A. The typical definition of “person” in a condominium declaration (like found in the Condominium Property Act) is “a natural individual, corporation, partnership, trustee or other legal entity capable of holding title to real property.” Therefore, the owner of a condominium unit does not have to be a living, breathing, human, and title to a unit can be held by another type of legal entity. It is not uncommon for a unit to be owned by a trust, corporation or limited liability company.

Q. The clubhouse in our association is available for residents to rent out for private events. Alcoholic beverages are frequently served at these events. Should the resident who rents the clubhouse be required to procure any special type of insurance when alcoholic beverages are served at the clubhouse?

A. The person renting the clubhouse, and potentially the association, may face liability for injuries caused by intoxicated guests at a social event, under social host theories of recovery. The association should speak with its insurance agent about the types and amounts of coverage should be required of hosts of social events at a clubhouse where alcoholic beverages will be served, and what coverage the association should have as well. The association should require that, prior to the event, the resident delivers evidence to the association that they have procured such insurance. Any requirements related to this issue, and the use of the clubhouse generally, need to be included in the association’s rules.

Q. I reported a repeat rules violator to our town home management team and board members. They disclosed my name to the owner. Then the owner came to my property to argue and yell. Must the board reveal names of persons reporting violations? This seems to discourage reporting any violations for fear of retribution.

A. It is important to note that any person reporting a violation of an association’s governing documents needs to be willing to participate in the enforcement process. This may include participating in a violation hearing conducted by the board or testifying in a courtroom if the matter comes to that.

Further, the Illinois appellate court has held that if an accused owner makes a request, the board must provide the accused owner with the evidence against them in connection with the violation. This would include any complaints received by the association, and who made them.

• David M. Bendoff is an attorney with Kovitz Shifrin Nesbit in the Chicago suburbs. Send questions for the column to him at CondoTalk@ksnlaw.com. The firm provides legal service to condominium, townhouse, homeowner associations and housing cooperatives. This column is not a substitute for consultation with legal counsel.

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