AB647,31,1915
703.19
(3) (c) In the event no reconstruction is undertaken, any award for the
16taking of common elements shall be allocated to all unit owners in proportion to their
17respective percentage interests in the common elements
as established under s.
18703.13 (1) or, if the declaration so provides, in an allocation that differs from the
19percentage interests in the common elements.
AB647, s. 88
20Section
88. 703.20 (1) of the statutes is amended to read:
AB647,32,221
703.20
(1) Record keeping; availability for examination. An association shall
22keep detailed, accurate records using standard bookkeeping procedures of the
23receipts and expenditures affecting the common elements, specifying and itemizing
24the maintenance and repair expenses of the common elements and any other
25expenses incurred.
The records, wherever maintained, are the property of the
1association. The records and the vouchers authorizing the payments shall be
2available for examination by the unit owners at convenient hours.
AB647, s. 89
3Section
89. 703.22 (title) of the statutes is amended to read:
AB647,32,4
4703.22 (title)
Mechanics'
Construction and suppliers' liens.
AB647, s. 90
5Section
90. 703.22 (2) of the statutes is amended to read:
AB647,32,86
703.22
(2) Any
mechanics' construction lien or suppliers' lien under subch. I
7of ch. 779 arising as a result of repairs to or improvements of a unit by a unit owner
8shall be a lien only against the unit.
AB647, s. 91
9Section
91. 703.22 (3) of the statutes is amended to read:
AB647,32,1810
703.22
(3) Any
mechanics' construction or suppliers' lien under subch. I of ch.
11779 arising as a result of repairs to or improvements of the common elements, if
12authorized in writing by the association, shall be paid by the association as a common
13expense and until paid shall be a lien against each unit in proportion to its percentage
14interest in the common elements. On payment of the proportionate amount by any
15unit owner to the lienor or on the filing of a written undertaking in the manner
16specified by s. 779.08, the unit owner shall be entitled to a release of his or her unit
17from the lien and the association shall not be entitled to assess his or her unit for
18payment of the remaining amount due for the repairs or improvements.
AB647, s. 92
19Section
92. 703.24 (2) of the statutes is amended to read:
AB647,32,2320
703.24
(2) Liability for unit owner violation. A unit owner who commits a
21violation is liable for any charges, fines, or assessments imposed by the association
22pursuant to the
declaration or the association's bylaws or
association rules as a result
23of the violation and may be subject to a temporary or permanent injunction.
AB647, s. 93
24Section
93. 703.25 (3) of the statutes is renumbered 703.25 (3) (a) and
25amended to read:
AB647,33,6
1703.25
(3) (a) A judgment for money
or a blanket lien under s. 703.22 against
2an association shall be a lien against any property owned by the association, and
3against each of the condominium units in proportion to the liability of each unit
4owner for common expenses as established under the declaration in an amount not
5exceeding the market value of the unit, but not against any other property of any unit
6owner.
AB647, s. 94
7Section
94. 703.25 (3) (b) of the statutes is created to read:
AB647,33,98
703.25
(3) (b) An action for a money judgment against an association shall not
9be the basis for filing a lis pendens against the units of the condominium.
AB647, s. 95
10Section
95. 703.26 (1) of the statutes is amended to read:
AB647,33,1911
703.26
(1) Declarant
Declaration may reserve
include right to expand. A
12declarant may reserve
in the
original declaration of a condominium a right to expand
13 a the condominium by
subjecting additional property to the condominium
14declaration adding land, one or more units, or both, in such a manner that
as each
15additional property any added land or unit is subjected to the condominium
16declaration
and, if any unit or units are added, the percentage of undivided interests
17in the common elements
of the preceding and new property shall be are reallocated
18between the unit owners on the basis of the aggregate undivided interest in the
19common elements appertaining to the property among all units.
AB647, s. 96
20Section
96. 703.26 (2) (a) of the statutes is amended to read:
AB647,33,2321
703.26
(2) (a) A declaration establishing a condominium shall describe each
22parcel of property
which, along with its square footage, that may be added to the
23condominium.
AB647, s. 97
24Section
97. 703.26 (3) (a) of the statutes is amended to read:
AB647,34,7
1703.26
(3) (a) If the conditions of sub. (2) are complied with, property may be
2added to a condominium if the declarant records an amendment to the declaration,
3showing
the designation of the units being added, the new percentage interests of the
4unit owners, and the votes
which that each unit owner may cast in the condominium
5as expanded, and records an addendum to the condominium plat that includes the
6detail and information concerning the new property as required in the original
7condominium plat.
AB647, s. 98
8Section
98. 703.275 (4m) of the statutes is created to read:
AB647,34,159
703.275
(4m) Plat. The plat of the resultant condominium shall be titled as
10an addendum to the plat of that condominium, shall identify the plat of every
11condominium that is merged into the resultant condominium by name and recording
12data, and shall identify units both by their designations in the resultant
13condominium and by their designations in the merged condominiums. Any changes
14in the common elements, including the reservation of parts of them as limited
15common elements, shall be identified on the plat of the resultant condominium.
AB647, s. 99
16Section
99. 703.28 (1) of the statutes is amended to read:
AB647,34,2317
703.28
(1) All
of the unit owners may remove all or any part of the property
may
18be removed from the provisions of this chapter by a removal instrument, duly
19recorded
, provided that the holders of all liens affecting any of the units consent
20thereto or agree, in either case by instruments duly recorded, that their liens be
21transferred to the percentage of the undivided interest of the unit owner in the
22property as an amendment to the declaration, as provided in this section, and as an
23addendum to the plat.
AB647, s. 100
24Section
100. 703.28 (1m) of the statutes is repealed.
AB647, s. 101
25Section
101. 703.28 (2) of the statutes is repealed.
AB647, s. 102
1Section
102. 703.28 (2m) of the statutes is created to read:
AB647,35,102
703.28
(2m) If all of the property is being removed, the removal instrument
3must be approved by all of the unit owners and consented to by the holders of all liens
4affecting the condominium or any unit. The removal instrument shall provide that
5any lien against a unit is transferred to the percentage interest of the owner of the
6unit that is encumbered by the lien and that any lien against the condominium as
7a whole is allocated among the units in accordance with s. 703.25 (3). Upon removal
8of the property from the provisions of this chapter, the property shall be owned in
9common by the unit owners. The percentage interest of each unit owner shall be
10determined as specified in the declaration.
AB647, s. 103
11Section
103. 703.28 (3) of the statutes is created to read:
AB647,35,1312
703.28
(3) If less than all of the property is being removed, all of the following
13apply:
AB647,35,1514
(a) If the removal results from the exercise of the power of eminent domain, s.
15703.195 applies.
AB647,35,1716
(b) 1. Except as provided in par. (c), the removal instrument must specify all
17of the following:
AB647,35,1818
a. The part of the property that is being removed.
AB647,35,2519
b. Who will own the part of the property that is being removed after its removal.
20If the property is to be owned differently from the manner in which it was owned
21immediately before removal, the removal instrument shall contain language of
22conveyance to the party or parties that will own the property after removal. The
23conveyance language shall be effective to vest ownership in the party or parties even
24if fewer than all of the unit owners of the condominium have joined in the removal
25instrument.
AB647,36,2
1c. The consideration, if any, that is being given to the association for the
2removal.
AB647,36,73
2. A removal instrument under this paragraph must be signed by the unit
4owners holding at least 80 percent of the aggregate of the votes established under s.
5703.09 (1) (f), or a greater percentage if so provided in the declaration, including all
6of the owners of units that are being removed, and consented to by the holders of all
7liens affecting the condominium or any unit.
AB647,36,108
3. Removal of less than all of the property is permitted only if, following
9removal, the condominium and the property removed are in compliance with the
10laws and ordinances regulating zoning and land division.
AB647,36,1411
4. At the time a removal instrument under this paragraph is recorded, the
12party recording the instrument shall also record an addendum to the condominium
13plat containing the same details and information concerning the remaining
14condominium property as was required in the original condominium plat.
AB647,36,1815
(c) If the part being removed does not include all of a unit, all of a limited
16common element, or a part of the common elements that is essential to the use and
17enjoyment of or access to any unit, the removal instrument must specify all of the
18following:
AB647,36,1919
1. The part of the property that is being removed.
AB647,36,2020
2. Who will own the part of the property that is being removed after its removal.
AB647,36,2221
3. The consideration received for the property being removed and how the
22consideration will be used.
AB647,37,223
(d) If the property that is being removed is owned by the association and is not
24any part of a unit or the common elements, its transfer shall be as provided in the
1declaration or association bylaws and shall not affect the percentage interests in the
2common elements.
AB647, s. 104
3Section
104. 703.28 (4) of the statutes is created to read:
AB647,37,84
703.28
(4) A removal instrument under sub. (3) (b) or (c) must meet the
5requirements for an amendment to the declaration. An amendment to the
6declaration and an addendum to the condominium plat must be recorded to reflect
7the removal. The part that is removed must result in a legal parcel for its intended
8use.
AB647, s. 106
10Section
106. 703.33 (1) (intro.) of the statutes is amended to read:
AB647,37,1311
703.33
(1) Material to be furnished by seller to purchaser before closing. 12(intro.) Not later than 15 days prior to the closing of the sale of a
residential unit to
13a member of the public, the seller shall furnish to the purchaser the following:
AB647, s. 107
14Section
107. 703.33 (9) of the statutes is created to read:
AB647,37,1715
703.33
(9) Electronic disclosure. The information required under subs. (1)
16and (2) may be disclosed electronically if the purchaser, in the manner prescribed by
17law, agrees to that method of transmission.
AB647, s. 108
18Section
108. 703.34 (title) of the statutes is amended to read:
AB647,37,20
19703.34 (title)
Blanket mortgages and other blanket liens affecting a
20unit at time of first conveyance; mortgagee approvals.
AB647, s. 109
21Section
109. 703.34 (intro.) (except 703.34 (title)) of the statutes is
22renumbered 703.34 (1m) (intro.) and amended to read:
AB647,37,2423
703.34
(1m) (intro.) As a condition to the first transfer of title to each unit
, one
24of the following must be met:
AB647, s. 110
1Section
110. 703.34 (1) of the statutes is renumbered 703.34 (1m) (a) and
2amended to read:
AB647,38,53
703.34
(1m) (a) Every mortgage and other lien affecting
such the unit,
4including the undivided interest in the common areas and facilities appurtenant to
5such the unit, shall be paid and satisfied of record
;.
AB647, s. 111
6Section
111. 703.34 (2) of the statutes is renumbered 703.34 (1m) (b) and
7amended to read:
AB647,38,108
703.34
(1m) (b)
A The unit
being transferred and an undivided interest in the
9common areas and facilities appurtenant
thereto to the unit shall be released by
10partial release duly recorded
; or.
AB647, s. 112
11Section
112. 703.34 (2m) of the statutes is created to read:
AB647,38,1912
703.34
(2m) If a mortgagee whose consent or approval is required for an action
13under this chapter cannot be contacted with the use of reasonable diligence, the
14association may seek the right to proceed with the proposed action under ch. 841,
15notwithstanding the missing consent or approval. In determining whether to permit
16the action for which mortgagee consent or approval has not been obtained, the court
17shall consider whether the action is needed to permit the effective management and
18operation of the condominium and any impact the action would have on the value of
19the units in the condominium as security for mortgages on the units.
AB647, s. 113
20Section
113. 703.34 (3) of the statutes is renumbered 703.34 (1m) (c) and
21amended to read:
AB647,38,2522
703.34
(1m) (c) A mortgage or other lien shall provide for or be amended to
23provide for a release of the unit and the undivided interest in the common areas and
24facilities appurtenant
thereto to the unit from the lien of a mortgage or other lien
25upon the payment of a sum certain.
AB647, s. 114
1Section
114. 703.365 (1) (b) of the statutes is amended to read:
AB647,39,62
703.365
(1) (b) If a declaration under par. (a) provides that any or all of subs.
3(2) to (8) or any parts of those subsections apply, then, except as provided in those
4subsections or parts of those subsections,
and except as provided in sub. (9), this
5chapter applies to the small condominium in the same manner and to the same
6extent as to other condominiums.
AB647, s. 115
7Section
115. 703.365 (4) (b) of the statutes is amended to read:
AB647,39,138
703.365
(4) (b) The floor plans under s. 703.11 (2) (c) need only show the location
9and designation of each unit in the building and the limited common elements
10appurtenant to each unit of a small condominium. These plans may be
11supplemented by an agreement among all unit owners and
their first mortgagees
,
12if any, regarding the allocation of use and enjoyment of common elements, which
13agreement, in both its original and any amended form, shall be recorded.
AB647, s. 116
14Section
116. 703.365 (6) of the statutes is repealed and recreated to read:
AB647,39,1915
703.365
(6) Association operations; arbitration. (a) With respect to
16operational decisions in a small condominium, including decisions concerning
17repairs, maintenance, the exterior appearance, and expenditures, the association
18may submit a proposed action to arbitration under ch. 788 if any of the following
19applies:
AB647,39,2120
1. The required majority under the declaration or bylaws for the proposed
21action cannot be achieved.
AB647,39,2322
2. The proposed action would involve unbudgeted expenditures per unit in
23excess of $2,500 in any one year or $5,000 overall.
AB647,40,224
(b) 1. A unit owner in a small condominium may propose in writing an action
25or expenditure by the association that the unit owner believes is necessary for the
1proper operation of the condominium. The association shall act on any unit owner
2proposal in a timely manner.
AB647,40,73
2. If the association does not adopt the unit owner's proposal, cannot achieve
4the majority required to take an action, or levies assessments for unbudgeted
5expenditures in excess of the amounts specified in par. (a) 2., a unit owner may
6request reconsideration of the decision and, if unsatisfied with the result, submit the
7issue to arbitration under ch. 788.
AB647,40,108
(c) Notice of arbitration under par. (a) or (b) shall be given to the first mortgagee
9of any unit subject to a mortgage. The results of the arbitration shall be final as to
10the matter under consideration.
AB647,40,1211
(d) 1. Costs of the arbitration under par. (a) shall be the responsibility of the
12association.
AB647,40,1313
2. Costs of the arbitration under par. (b) shall be paid as follows:
AB647,40,1514
a. If the challenge is wholly denied, costs of the arbitration shall be borne by
15the unit owner submitting the issue to arbitration.
AB647,40,1616
b. If the challenge is wholly upheld, costs shall be borne by the association.
AB647,40,1817
c. In all other cases, the costs shall be shared equally by the unit owner and the
18association.
AB647,40,2119
(d) The association may adopt rules establishing arbitration procedures.
20Acceptance of a deed to a unit in a small condominium constitutes agreement to the
21resolution of disputes over operational decisions by arbitration.
AB647, s. 117
22Section
117. 703.365 (7) of the statutes is renumbered 703.365 (9) and
23amended to read:
AB647,41,3
1703.365
(9) Expanding condominiums. Section 703.26 does not apply to a small
2condominium
, and the declaration for a small condominium may not provide that s.
3703.26 applies to the small condominium.
AB647, s. 118
4Section
118. 703.365 (10) of the statutes is created to read:
AB647,41,95
703.365
(10) Resident agent; taxes. In the declaration for a small
6condominium, the declarant shall designate one of the unit owners as the resident
7agent of the condominium and shall specify how real estate taxes for the year the
8condominium is created will be divided among the units if different from the
9percentage interests in the common elements.
AB647, s. 119
10Section
119. 703.365 (11) of the statutes is created to read:
AB647,41,1311
703.365
(11) Utility easements. The units and common elements of a small
12condominium are subject to cross easements for any utility services to other units in
13the condominium.
AB647, s. 120
14Section
120. 703.365 (12) of the statutes is created to read:
AB647,41,1615
703.365
(12) Two-unit condominiums. (a) Unless the declaration provides
16otherwise, units in a 2-unit small condominium shall be insured by the same insurer.
AB647,41,2117
(b) Any improvement, decoration, or repair to the exterior of either unit of a
182-unit small condominium must be agreed to by the owners of both units. In the
19event of a dispute, the matter may be submitted to the board of directors, and the
20decision of the board of directors may be challenged in an arbitration proceeding in
21the manner provided in sub. (6) (b) and (c).