Category: Senate Bill 323

SB 323: other director qualifications isn't a funny title because there's nothing funny about any of this

4/4/2022

Senate Bill 323 added new Civil Code section 5105(c), which provides that an association “may disqualify a person from nomination as a candidate pursuant to any of the following,” with “the following” being a list of optional qualifications.

Section 5105(c) does not provide that its list is exclusive or the only set of qualifications which may be imposed, and new Civil Code sections 5105(b) and (d) provide additional mandatory and optional qualifications.

SB 323: unicorns, fairies, and elected inspectors

1/18/2022

Senate Bill 323 revised Civil Code section 5105(a)(3) to provide that election rules must “[s]pecify the qualifications for candidates for the board and any other elected position, subject to [new Civil Code section 5105(b)].”

Civil Code section 5105(a)(5)(B) currently provides that one method of selecting inspectors is via election by the members. For communities which utilize this method, however, SB 323’s above-noted revision may mean that new Civil Code section 5105(b)’s ban on non-member candidates will apply to inspector candidates as well.

SB 323: non-elected qualifications OK?

12/14/2021

As discussed in my other blog posts, Senate Bill 323 permits associations to impose a number of specific qualifications on director-candidates and directors.

SB 323 is silent, however, as to association qualifications in regards to non-elected association positions, such as those imposed on officers and committee members. Most associations require such positions to be filled by members in good standing. Presumably such qualifications remain valid, at least in regards to those officer positions which are not expressly required to be filled by directors.

SB 323: delinqua?

10/11/2021

Senate Bill 323 added new Civil Code section 5105(c)(1), which provides that “[s]ubject to paragraph (2) of [Civil Code § 5105(d)], an association may require a nominee for a board seat, and a director during their board tenure, to be current in the payment of regular and special assessments.”

Paragraph (2) of Civil Code section 5105(d), in turn, provides that this current-in-payment qualification does not apply to director-candidates who have entered into a payment plan pursuant to Civil Code section 5665. So far, so good.

SB 323: election day is every day!

8/9/2021

Senate Bill 323 added new Civil Code section 5105(h), which provides that “[e]lection operating rules adopted pursuant to this section shall not be amended less than 90 days prior to an election.”

It is unclear as to what date is meant by “an election.” Does this mean the date on which the ballots are distributed, the deadline for voting, or the meeting at which ballots are counted? New Civil Code section 5105(g)(4) and common sense suggest “an election” means the deadline for voting, but this interpretation is susceptible to others as well, including, potentially, the first exercise of any of the free speech activities controlled by said rules.

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SB 323: other director qualifications isn't a funny title because there's nothing funny about any of this

SB 323: unicorns, fairies, and elected inspectors

SB 323: non-elected qualifications OK?

SB 323: delinqua?

SB 323: election day is every day!

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