New Jersey Condo Association Rules

New Jersey condominium associations are governed in large part by the tenets of the New Jersey Condominium Act, which is found in Title 46 of the New Jersey Statutes Annotated (NJSA). In this section, the law covers a wide array of regulations pertaining to condominium associations concerning issues such as common elements, board governance, master deeds and more. In addition to the NJSA, condominium association law is also derived from case holdings and judicial opinions, which are emerging from state courts across New Jersey on a regular basis.

In light of the expansive doctrine governing condominium associations in the Garden State, it is essential to work closely with knowledgeable and experienced condominium association attorneys who not only understand current New Jersey condominium law, but are dedicated to keeping abreast of statutory and common law changes.

Transition & Bylaws

The hallmark of a condominium association is the governing board, which must be organized in accordance with proper New Jersey laws. Under NJSA Section 46:8B-12, developers may begin to transition ownership and authority of the association to unit owners provided at least 25 percent of the property units are owned by residents other than the developer. From there, a transition process begins wherein the developer must hand over key components of board governance, including control of association funds, master deeds and documents, minutes, bylaws and accounting books.

Also, pivotal components to proper board governance and regulations concerning bylaws are covered by NJSA Section 468B-13. According to the NJSA, bylaws must be recorded along with the master deed in order to ensure all subsequent property owners are aware of ongoing property rules. Under New Jersey law, the following matters must be addressed in the bylaws:

• Form and title of officers responsible for leading the board
• Method and format for calling meetings
• Method of collecting dues from residents for their share of common expenses
• Protocol for amending the bylaws

Associations are also encouraged to include any additional lawful provisions necessary to properly govern the board and resident owners – and Griffin Alexander, P.C. can help!

Association Responsibilities & Authority

Perhaps the greatest source of contention between a condominium association and its residents is the former’s scope of duty and authority, which is outlined in Section 46:8B-14 and in countless New Jersey state court opinions. The relevant NJSA sections provide a great deal of guidance with regard to the extent to which an association may exercise authority, including:

• Maintenance and upkeep of common areas
• Collection of dues
• Maintenance of rules, regulations, insurance policies and bylaws
• Engaging in proper accounting practices on behalf of the association as a whole
• Accessing units as necessary
• Making purchases on behalf of the unit owners
• Entering into agreements (g., leaseholds, contracts, etc.)
• Imposing fines for violations of association rules

Within the New Jersey judicial system, several cases have emerged concerning the scope of a board’s authority, including a recent 2014 case limiting a board’s authority to restrict owners’ free speech rights – a case which began when a condominium association attempted to restrict political signage in owners’ front yards.

Contact an Experienced New Jersey Condominium Association Attorney Today!

Whether your team needs assistance with transition, governing documents, resident disputes or litigation, we are here to help. To reach our Randolph, New Jersey office, please call (973) 366-1188; or contact us in East Brunswick by dialing (732) 630-7441.