Chapter 703

703.25(1) (1) An action for tort alleging a wrong done by any agent or employee of a declarant or of an association, or in connection with the condition of any portion of a condominium which a declarant or an association has the responsibility to maintain, shall be brought against the declarant or the association, as the case may be. No unit owner shall be precluded from bringing such an action by virtue of its ownership of an undivided interest in the common elements or by reason of its membership in the association or its status as an officer.

703.25(2) (2) An action arising from a contract made by or on behalf of an association shall be brought against the association, or against the declarant if the cause of action arose during the exercise by the declarant of control reserved under the declaration. No unit owner shall be precluded from bringing such an action by reason of its membership in the association or its status as an officer.

703.25(3) (3) A judgment for money against an association shall be a lien against any property owned by the association, and against each of the condominium units in proportion to the liability of each unit owner for common expenses as established under the declaration in an amount not exceeding the market value of the unit, but not against any other property of any unit owner.

703.25 History History: 1977 c. 407.

703.25 Annotation Sub. (3) and s. 840.10 (1) permit the filing of a lis pendens in an action for a money judgment against a condominium association as a judgment will be a lien against each condominium unit although their owners are not defendants in the action. Interlaken Service Corp. v. Interlaken Condominium Ass’n, 222 Wis. 2d 299, 588 N.W.2d 262 (Ct. App. 1998), 97-1107.

703.26 703.26 Expanding condominiums.

703.26(1) (1) Declarant may reserve right to expand. A declarant may reserve the right to expand a condominium by subjecting additional property to the condominium declaration in such a manner that as each additional property is subjected to the condominium declaration, the percentage of undivided interests in the common elements of the preceding and new property shall be reallocated between the unit owners on the basis of the aggregate undivided interest in the common elements appertaining to the property.

703.26(2) (2) Conditions to which reservation subject. A reservation of the right to expand a condominium is subject to all of the following conditions:

703.26(2)(a) (a) The declaration establishing the condominium describes each parcel of property that may be added to the condominium.

703.26(2)(b) (b)

703.26(2)(b)1. 1. The declaration establishing the condominium shows all of the following:

703.26(2)(b)1.a. a. The maximum number of units that may be added to the condominium.

703.26(2)(b)1.b. b. The percentage interests in the common elements, the liabilities for common expenses, and the rights to common surpluses appurtenant to each unit following the addition of property to the condominium.

703.26(2)(b)1.c. c. The number of votes appurtenant to each unit following the addition of property to the condominium, if added.

703.26(2)(b)2. 2. The information under subd. 1. b. and c. may be shown by reference to a formula or other appropriate method of determining them following each expansion of the condominium.

703.26(2)(c) (c) The plat for the original condominium includes the outlines of the land and, in general terms, the location of the buildings and common elements of new property that may be added to the condominium.

703.26(2)(d) (d) The right to expand the condominium is reserved in the declaration for a period not exceeding 10 years from the date of recording of the declaration.

703.26(3) (3) Recording amendments and addenda.

703.26(3)(a) (a) If the conditions of sub. (2) are met, property may be added to a condominium if the declarant records all of the following:

703.26(3)(a)1. 1. An amendment that shows the new percentage interests of the unit owners and the votes that each unit owner may cast in the condominium as expanded.

703.26(3)(a)2. 2. An addendum that includes the detail and information concerning the new property that is required for a plat under s. 703.11 (2), (3), and (4).

703.26(3)(b) (b) On recording of an amendment and an addendum under par. (a), each unit owner, by operation of law, has all of the following:

703.26(3)(b)1. 1. The percentage interests in the common elements, liabilities in the common expenses, and rights to common surpluses, as set forth in the amendment.

703.26(3)(b)2. 2. The number of votes appurtenant to the unit owner’s unit, as set forth in the amendment.

703.26(3)(c) (c) Following any expansion, the interest of any mortgagee shall attach, by operation of law, to the new percentage interests in the common elements appurtenant to the unit on which it is a lien.

703.26(3)(d) (d) Property included in a reservation of the right to expand is not subject to the condominium declaration and is not part of the condominium until an amendment and addendum adding the property to the condominium are recorded.

703.26 History History: 1977 c. 407; 1997 a. 333; 2021 a. 168.

703.26 Annotation Substantial compliance with formal requirements as permitted by s. 703.30 (2) is limited to the condominium status of the property and title of the unit owners. It does not apply to a project’s status as an expanding condominium under this section. Rock Lake Estates Unit Owners Ass’n v. Town of Lake Mills, 195 Wis. 2d 348, 536 N.W.2d 415 (Ct. App. 1995), 94-2488.

703.265 703.265 Addendum to plat to reflect changes in building codes or zoning ordinances.

703.265(1) (1) If the revision or adoption of a building code or zoning ordinance prevents or substantially affects the construction of a unit or common elements as platted, the declarant may reasonably modify the condominium plat, by addendum, to the extent necessary to comply with the code or ordinance in order to construct the unit or common elements.

703.265(2) (2) If the revision or adoption of a building code or zoning ordinance prevents or substantially affects the reconstruction of a unit or common element as platted, the declarant, unit owner, or association, as appropriate, may reasonably modify the condominium plat, by addendum, to the extent necessary to comply with the code or ordinance in order to reconstruct the unit or common elements.

703.265(3) (3) An addendum made under this section shall be recorded as provided under s. 703.095 (2).

703.265 History History: 2003 a. 283; 2021 a. 168.

703.265 Note NOTE: 2003 Wis. Act 283, which affected this section, contains extensive explanatory notes.

703.27 703.27 Zoning and building regulations.

703.27(1) (1) A zoning or other land use ordinance or regulations may not prohibit the condominium form of ownership or impose any requirements upon a condominium that it would not impose if the development were under a different form of ownership. No provision of a state or local building code may be applied differently to a building in a condominium than it would be applied if the building were under a different form of ownership unless the different application is expressly permitted in that provision and the different application is reasonably related to the nature of condominium ownership. No subdivision ordinance may apply to any condominium unless the ordinance is, by its express terms, applicable to condominiums and the application is reasonably related to the nature of condominium ownership.

703.27(2) (2) No county, city, or other jurisdiction may enact any law, ordinance, or regulation that would impose a greater burden or restriction on a condominium or provide a lower level of services to a condominium than would be imposed or provided if the condominium were under a different form of ownership.

703.27 History History: 1977 c. 407; 2003 a. 283.

703.27 Note NOTE: 2003 Wis. Act 283, which affected this section, contains extensive explanatory notes.

703.275 703.275 Merger or consolidation of condominiums.

703.275(1c) (1c) Definitions. In this section:

703.275(1c)(a) (a) “Preexisting condominium” means a condominium that existed before a merger or consolidation under this section.

703.275(1c)(b) (b) “Restatement of the declaration of a resultant condominium” means an amendment to the declaration of the preexisting condominium that bears the same name as the resultant condominium that complies with s. 703.09.

703.275(1c)(c) (c) “Resultant condominium” means a condominium that results from a merger or consolidation under this section.

703.275(1c)(d) (d) “Resultant condominium plat” means an addendum to the plat of the preexisting condominium that bears the same name as the resultant condominium that complies with s. 703.11.

703.275(1m) (1m) Agreement; legal effect.

703.275(1m)(a) (a) Any 2 or more condominiums, including 2 or more small condominiums or any combination of small condominiums and other condominiums, by agreement of the unit owners as provided in this section, may be merged or consolidated into a single condominium. Unless the agreement otherwise provides, the resultant condominium is, for all purposes, the legal successor of all of the preexisting condominiums and the operations and activities of all associations of the preexisting condominiums shall be merged or consolidated into a single association which shall hold all powers, rights, obligations, assets and liabilities of the preexisting associations. The resultant condominium shall bear the name of one of the preexisting condominiums.

703.275(1m)(b) (b)

703.275(1m)(b)1. 1. Except as otherwise provided in this section, a resultant condominium may be created only by recording all of the following, as provided under s. 703.07:

703.275(1m)(b)1.a. a. A restatement of the declaration of the resultant condominium that includes the merger or consolidation agreement.

703.275(1m)(b)1.b. b. A resultant condominium plat.

703.275(1m)(b)2. 2.

703.275(1m)(b)2.a. a. The documents under subd. 1. shall be presented together to the register of deeds for recording.

703.275(1m)(b)2.b. b. The register of deeds may not record a resultant condominium plat without the restatement of the declaration of the resultant condominium and the merger or consolidation agreement.

703.275(1m)(b)2.c. c. On the plat of each preexisting condominium that is merged or consolidated to create a resultant condominium, the register of deeds shall reference the document number of the resultant condominium plat and, if the plat of the resultant condominium is assigned a volume and page number, the volume and page where the resultant condominium plat is recorded and shall note that the preexisting condominium was merged or consolidated. In a county that maintains a tract index pursuant to s. 59.43 (12m), the register of deeds shall make references to document numbers in the tract index.

703.275(2) (2) Reallocation of interests.

703.275(2)(ac) (ac) In this subsection, “allocated interests” means the undivided percentage interest in the common elements, the liability for common expenses, and the number of votes at meetings of the association appurtenant to each unit.

703.275(2)(bc) (bc) The merger or consolidation agreement shall provide for the reallocation of the allocated interests among the units of the resultant condominium. The agreement may not change the ratio that exists before the merger or consolidation between the allocated interests of any unit and the allocated interests of any other unit in the same preexisting condominium. The agreement shall state one of the following:

703.275(2)(bc)1. 1. The reallocations or the formulas upon which they are based.

703.275(2)(bc)2. 2. The percentage of the total of allocated interests of the new condominium which are allocated to all of the units comprising each of the preexisting condominiums.

703.275(3) (3) Agreement; other provisions. The merger or consolidation agreement may contain any provisions consistent with this chapter in addition to those specified in sub. (2).

703.275(4) (4) Votes. The merger or consolidation agreement is effective if the agreement is approved by the unit owners of units to which at least 75 percent of the votes in each preexisting association are allocated. If the declaration of a preexisting association specifies that a percentage greater than 75 percent of the votes in that association is required to approve a merger or consolidation agreement, the greater percentage applies to the vote of that association. A declaration of a preexisting association may specify a smaller percentage and the smaller percentage applies to the vote of that association only if all of the units in the preexisting condominium are restricted exclusively to nonresidential uses.

703.275 History History: 1985 a. 188; 1997 a. 333; 2003 a. 283; 2017 a. 102; 2021 a. 168.

703.275 Note NOTE: 2003 Wis. Act 283, which affected this section, contains extensive explanatory notes.

703.28 703.28 Removal from provisions of this chapter.

703.28(1) (1) All of the unit owners may remove all or any part of the property from the provisions of this chapter by a removal instrument, duly recorded, provided that the holders of all liens affecting any of the units consent thereto or agree, in either case by instruments duly recorded, that their liens be transferred to the percentage of the undivided interest of the unit owner in the property.

703.28(1m) (1m) Before a certified survey map, condominium plat, subdivision plat or other plat may be recorded and filed for property that is subject to a condominium declaration, the condominium shall first be removed from the provisions of this chapter by recording a removal instrument. This subsection does not apply to a merger or consolidation under s. 703.275.

703.28(2) (2) Upon removal of any property from this chapter, the property shall be deemed to be owned in common by the unit owners. The undivided interest in the property owned in common which appertains to each unit owner shall be the percentage of undivided interest previously owned by the owner in the common elements.

703.28 History History: 1977 c. 407; 1997 a. 333; 1999 a. 96; 2021 a. 168; s. 35.17 correction in (1m).

703.29 703.29 Removal no bar to subsequent resubmission. The removal provided for in s. 703.28 shall in no way bar the subsequent resubmission of the property to this chapter.

703.29 History History: 1977 c. 407.

703.30 703.30 Rules of construction.

703.30(1) (1) Certain rules of law not applicable. Neither the rule of law known as the rule against perpetuities nor the rule of law known as the rule restricting unreasonable restraints on alienation may be applied to defeat or invalidate any provision of this chapter or of any condominium instruments, bylaws or other instrument made pursuant to this chapter.

703.30(2) (2) Substantial conformity of condominium instruments and bylaws sufficient. The provisions of any condominium instruments recorded and any bylaws required under this chapter shall be liberally construed to facilitate the creation and operation of the condominium. So long as the condominium instruments and bylaws substantially conform with the requirements of this chapter, no variance from the requirements shall affect the condominium status of the property in question nor the title of any unit owner to his or her unit, votes and percentage interests in the common elements and in common expenses and common surpluses.

703.30(3) (3) Provisions of condominium instruments and bylaws severable. All provisions of condominium instruments and bylaws are severable and the invalidity of one provision does not affect the validity of any other provision.

703.30(4) (4) Conflicts in provisions. If there is any conflict between any provisions of a declaration and provisions of a condominium plat or any provisions of the bylaws, the provisions of the declaration shall control. If there is any conflict between any provisions of any condominium instruments and any provisions of any bylaws, the provisions of the condominium instruments shall control. If there is any conflict between any provisions of any condominium instruments or any provisions of any bylaws and any provisions of this chapter, the provisions of this chapter shall control.

703.30(5) (5) Instruments construed together. Condominium instruments shall be construed together and are determined to incorporate one another to the extent that any requirement of this chapter applying to one instrument is satisfied if the deficiency can be corrected by reference to any of the others.

703.30 History History: 1977 c. 407; 2021 a. 168.

703.30 Annotation The application of this section is limited to the condominium status of the property and title of the unit owners. It does not apply to a project’s status as an expanding condominium under s. 703.26. Rock Lake Estates Unit Owners Ass’n v. Town of Lake Mills, 195 Wis. 2d 348, 536 N.W.2d 415 (Ct. App. 1995), 94-2488.

703.31 703.31 Personal application.

703.31(1) (1) All unit owners, tenants of the owners, employees of owners and tenants or any other persons that in any manner use property or any part thereof subject to this chapter shall be subject to this chapter and to the declaration and bylaws of the association adopted under this chapter.

703.31(2) (2) All agreements, decisions and determinations lawfully made by an association in accordance with the voting percentages established in this chapter, declaration or bylaws, shall be deemed to be binding on all unit owners.

703.31 History History: 1977 c. 407.

703.315 703.315 Lease or rental agreements for residential units.

703.315(1) (1) Definitions. In this section:

703.315(1)(a) (a) “Condominium rental agreement” means an agreement, whether oral or written, for the rental or lease of a residential condominium unit by the same tenant for a period of more than one month.

703.315(1)(b) (b) “Tenant” means any of the following:

703.315(1)(b)1. 1. A person occupying or entitled to present or future occupancy of a residential condominium unit under a condominium rental agreement.

703.315(1)(b)2. 2. A periodic tenant, as defined in s. 704.01 (2), of a residential condominium unit that pays rent on a month-to-month or greater recurring interval of time.