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NYC Condo Board Forcing Rule Changes on Unit Owners

M.T. from New York City writes:

Dear Mister Condo,

We live in NYC in a 22-unit condominium building. We recently received an e-mail from our management company (on direction by our board) that certain “rules” would be changed, including language that limits what the building insurance would cover and how many pets are allowed per unit. We don’t really care about the change in pet policy though it does strike us as funny that one of the condo board members has more than the two dogs currently allowed. The change to the insurance language however does seem odd since it’s contrary to our by-laws. In the same message that contained the new “rules,” we were also informed that we needed to sign the attached document within 2 weeks and return it to them. Failure to sign would result in escalating monthly fines. I don’t see anything in our by-laws that specifically authorizes this – except that the condo board of course can enforce rules and fine for non-compliance. Do I have to sign? Or in other words, can they fine me for not signing this? The rules at this point look more like an amendment of the by-laws and it’s our understanding that we need to vote on that in order to make a change.

Mister Condo replies:

M.T, I can see where you would find it odd that these rules are being changed almost arbitrarily, especially by a Board of such a small condo. If there are 5 Board members and only 22 units, almost 25% of the units are represented by Board members. You are correct to challenge the process of changing rules or by-laws and you should look at both your governing documents and any local laws that may offer you protection from a Board that oversteps their authority to make changes that require a full vote of unit owners. As for signing a document provided by the Board that states they have informed you of the rule changes, I don’t see where that is a foul. Fining you for not acknowledging these rule changes seems a bit extreme. Typically, the Board only needs to notify unit owners in writing of rule changes for the rules to be considered in place and due process to have been followed. Forcing unit owners to sign this acknowledgement and then fining them for not doing so sounds like an unnecessary step to me but your governing documents may call for such a measure. You might want to attend the next Board meeting and observe what is going on. If they offer an opportunity for unit owners to voice concern, you could ask what these changes are about. It could be that the insurer has given the Board reason to make these changes. One instance I can think of is creating maintenance standards for things such as water supply lines inside of units. If left unmanaged, broken water supply lines can cause a fortune in damage. Many insurance companies now require that these lines, even if working properly, be replaced at regularly scheduled intervals. All the best!

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