Category Archives: Developers

Michigan Court of Appeals dismisses condominium bylaw enforcement case after lawsuit approval deemed improper

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As previously discussed in HB 4446 allows Michigan Condominium Associations to enforce restrictions and defend lawsuits, it is not uncommon for developers to insert anti-lawsuit provisions into condominium documents that later have drastic consequences for Michigan condominium associations. In Sawgrass Ridge Condominium Association v Louis J Alarie, et. al., unpublished opinion of the Court of Appeals, issued January 9, 2018

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Court rules that tax foreclosure does not extinguish obligations in the master deed and that newly amended MCL 559.167 is not retroactive

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The Michigan Court of Appeals decided several important issues in favor of Michigan condominium associations on December 14, 2017 in Ferry Beaubien LLC v Centurion Place on Ferry Street Condominium Association, unpublished opinion of the Court of Appeals, issued December 14, 2017 (Docket No. 335571).  Specifically, the court of appeals made the following rulings: The master deed and condominium bylaws

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Case Law Update: Nottingham Village Condo Ass’n v. Pensom: Litigation Evaluation Meetings

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In some condominium governing documents, there are provisions that require a co-owner vote before the association can file a lawsuit.  These provisions range from the rather mundane to extremely onerous. In Nottingham Village Condominium Association v. Pensom, unpublished per curiam opinion of the Michigan Court of Appeals, No. 333311, Dated December 12, 2017, the Michigan Court of Appeals just upheld

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Michigan Court of Appeals rules that modular home violates restrictive covenants

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In Thiel v Goyings, unpublished opinion of the Court of Appeals, issued August 8, 2017 (Docket No. 333000), the Michigan Court of Appeals held that the construction of a partially prefabricated home violated the restrictive covenants in the Timber Ridge Bay Subdivision.  Specifically at issue were restrictive covenants that provided as follows: COVENANTS, RESTRICTIONS AND CONDITIONS Section 1. Establishment of

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What is a Disclosure Statement and what is Required?

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In Michigan, condominium developers are required to provide several documents to prospective purchasers of a condominium. Pursuant to MCL 559.106, “Developer” is defined as “a person engaged in the business of developing a condominium project as provided in this act”. In addition to original developers, the Condominium Act imposes similar requirements upon “Successor Developers”. MCL 559.235 states in part “As

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HB 4446 allows Michigan Condominium Associations to enforce restrictions and defend lawsuits

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On March 30, 2017, Representative Klint Kesto introduced House Bill 4446, which would modify the Michigan Condominium Act, MCL 559.101, et. seq. House Bill 4446 (2017) would amend MCL 559.160, MCL 559.207 and MCL 559.215 as follows: Sec. 60. (1) Actions on behalf of and against the co-owners shall be brought in the name of the association of co-owners. The association

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Paris Meadows, LLC v City of Kentwood: Objecting to the Taxation of Common Elements

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Introduction In Michigan the question of whether the common elements of a condominium are taxable appears to be well-settled.  In Paris Meadows, LLC v City of Kentwood, 287 Mich App 136; 783 NW2d 133 (2010), the Michigan Court of Appeals held that pursuant to Section 131 of the Michigan Condominium Act, MCL 559.231, property taxes may only be assessed against

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