Chapter 4- Association Documents

Which of the following takes precedence over all of the others?

• Community association documents
• State swimming pool statues
• Local swimming pool ordinances
• Federal safety standards

What are local ordinances?

• Law of the land
• Laws of the local government
• Corporate law
• Real state law

The association’s formal documents include the phrase “as may be amended from time to time.”. To what does this most likely refer?

• Modifications of law by legislature
• Amendments approved by the members
• Congressional actions
• Rules and regulations passed by the board

What are the articles of incorporation governed by?

• Constitutional law
• Corporate law
• Real state law
• Common law

What is an association’s declaration primarily governed by?

• Constitutional law
• Corporate law
• Real state law
• Common law

Which statement is Not true about the Frequently Asked Question and Answer Sheet (FAQ&A)

• It is required of condominium and cooperatives but not of homeowners associations
• It includes information regarding restrictions on the right to use the unit
• It must be prepared by a CAM at the time of creation of the association
• It must be updated annually

Which statement is NOT true about the declaration?

• It establishes the format regulations for an association
• It defines certain rights and imposes certain restrictions on the members and the community association
• It creates an agreement between the owner and the association, where both parties are legally bound by the conditions and requirements in the declaration
• It applies to the commonly owned property of the association, not to individually owned units or parcels

What does the term “running with the land” refer to?

• The right and covenants in a real estate deed that remain with the land, regardless of ownership for the duration of the community association
• Track and field facilities of a community association
• The obligations of the association to its members with respect to the upkeep of common property and units
• The obligation of the association to maintain a nature preserve located on its property in perpetuity

Which statement is NOT true about a propietary lease as it relates to community associations?

• It is a lease between a shareholder of a cooperative association as the owner of the property
• It establishes the conditions for the use of a unit and the common elements
• It grants the shareholder exclusive use of a specific unit or property
• It is lease between the cooperative association and a shareholder for the temporary, exclusive use of an amenity

Which statement is NOT true about an escrow agreement?

• t defines the arrangement by which one party deposits an asset with a third party, who will in turn make the delivery to another party if, and when, the specified conditions of the contract have been met.
• It is a statement of the amount that is placed as a down payment and the conditions under which the funds will be maintained and, after the transaction is concluded, transferred, or refunded
• The screw funds may typically be used by the escrow agent at its discretion as long as they are available at the conclusion of the transaction.
• Escrow agreements are based in Real Estate law