21/05/2022

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Driving design quality

Condo Q&A: Is It Legal for HOAs to Have 50/50 Raffles?

Also: A rental proprietor lives in a 125-unit group, and was explained to they need to have a site and ought to write-up selected formal data. Ought to they? And: An independent contractor/handyman doesn’t legally have to have workman’s comp insurance. Is it alright to use him?

NAPLES, Fla. – Concern: My homeowner’s affiliation is thinking about web hosting a social occasion in which there will be a 50/50 raffle. Basically, anyone who will come to the occasion will be requested to donate a certain quantity and a drawing is held for a winner. 50 percent of the gathered money go to the winner and the other fifty percent goes to the association to fund potential social activities. Is this lawful? – S.R., Delray Seashore

Answer: Except if your homeowner’s association qualifies as an “organization” below the relevant Florida regulation, it is unlawful for your homeowner’s association to conduct a 50/50 raffle. The relevant Florida regulation can be located in Section 849.0935, Florida Statutes.

This regulation will allow specific organizations to perform raffles these kinds of as 50/50 raffles. Having said that, the phrase “organization” is especially outlined as an corporation which is exempt from federal earnings taxation these as a 501(c)(3), (4), (7), (8), (10), and (19) firm and which has a present resolve letter from the IRS.

For companies that qualify, any brochures, ads, notices, tickets or entry blanks employed in connection with the raffle have to conspicuously disclose:

  1. The rules for the drawing
  2. The entire identify of the charitable organization and its principal spot of company
  3. The resource of the money applied to award the cash prize
  4. The day, hour, and position where by the winner will be chosen, and the prize awarded
  5. That no invest in or contribution is vital

Merchandise e. earlier mentioned can be tricky. Even though you cannot mandate that to enter the raffle you “must” shell out an entry price, you may well “suggest” a minimum amount donation. Having said that, legally, if an individual preferred to enter for totally free or for less than the proposed least donation you ought to allow for it.

I do not consider that your homeowner’s affiliation would qualify less than the definition of “organization” underneath Area 849.0935, Florida Statutes. Having said that, in get to make positive, you should really consult your lawful counsel or accounting experienced. If it does not qualify, your homeowner’s association are not able to legally perform a 50/50 raffle.

Question: Our homeowner’s affiliation has an Architectural Evaluation Board, ARB. The ARB’s obligations include things like reviewing and approving or disapproving proposed architectural variations in our local community. The ARB does not provide see to the neighborhood when they fulfill and they do not continue to keep any minutes of their assembly. Is this right? – J.K., Hollywood

Answer: Chapter 720 is the Florida regulation that governs homeowner’s associations. Section 720.303, Florida Statutes involves board of directors’ conferences to be seen at minimum 48 hours prior to the meeting, open to all customers, other than for restricted circumstances, and that minutes must be kept of all the board actions at the conference.

These exact requirements implement to any committee or other identical body vested with the electric power to approve or disapprove architectural selections with regard to a distinct great deal in a neighborhood. This suggests that your community’s ARB is expected to notice its meetings, maintain it open to all associates of the group and to hold minutes of its decisions.

Question: Our condominium has 125 models. We are currently being told that we should have an association web site and are necessary to post certain official information on it. Is this correct? – S.S, Plantation

Reply: No that is not correct. Florida Statute 718.111(12)(g) provides that an affiliation handling a condominium with 150 or a lot more models have to have a internet site and post particular documents on it.

Given that your condominium is fewer that 150 units you are not essential by legislation to manage a site. Be aware that there is no web site necessity for cooperatives of home owners associations.

Concern: Our affiliation has a handyman that we regularly use as an impartial contractor. It is only him and occasionally a helper. He does not have personnel payment insurance policy as he is lawfully exempt from becoming expected to carry it.

Our management enterprise is telling us we really should not use this particular person if he is not insured. Our association has its have workers compensation insurance coverage and common liability so I am not confident I realize the problem. What is your view on this matter? – A.C., Fort Lauderdale

Response: Workers’ compensation is a sort of coverage supplying wage alternative and healthcare added benefits to workers hurt in the program of work in trade for obligatory relinquishment of the employee’s proper to sue his or her employer for the tort of carelessness. So, workers compensations secure the employer not the affiliation specifically.

If an incident takes place you have standard liability insurance to include the affiliation, and if the human being someway could demonstrate he was an worker of the affiliation, that is what the association’s employees compensation is for.

The draw back of the employer not obtaining worker’s payment is that if the employee receives damage and the employer is not very well financed, the hurt particular person will only have one particular entity to sue, the association.

If the employer has workers compensation, then some of the legal responsibility can be laid off on the employer and presumably much less on the association. But an additional true dilemma is that if the handyman causes damage to the association property or injures another person, he has no common liability coverage to pay out for it.

For individuals good reasons, we do not suggest the association retain the services of individuals devoid of worker’s comp., even if not lawfully needed, and unquestionably not without standard liability protection.

The data presented herein is for informational applications only and really should not be construed as legal assistance. The publication of this posting does not build an lawyer-client romantic relationship involving the reader and Goede, Adamczyk, DeBoest & Cross, or any of our lawyers. Visitors need to not act or refrain from acting primarily based on the info contained in this write-up without the need of initially getting in touch with an lawyer, if you have queries about any of the issues raised herein. The hiring of an attorney is a selection that really should not be based entirely on adverts or this column.

© 2021 Journal Media Group. John C. Goede, Esq., is husband or wife of the legislation firm Goede, Adamczyk, DeBoest & Cross.