05-10-25 Status:

Currently stalled in Senate Committee: Government Affairs

HB 2865: Latest update 05-10-25

This bill is still stalled in the Senate Committee. The Legislature is in recess until 05-19 for the House and 05-28 for the Senate. At that time the Legislature will come back to finalize the Budget. We will still monitor this bill, but it is highly unlikely that at this point, it will be heard and it is not on the Senate calendar.

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Overview

Precludes an association from charging or assessing their attorney fees and costs onto a homeowner.

Provisions

1.   Prohibits an association from charging or otherwise assessing the association's attorney fees and related costs onto one or more homeowners or former owners. (Sec. 1, 2)

2.   Allows a homeowner who prevails to recover attorney fees and related costs against the association. (Sec. 1, 2)

3.   Specifies that the provisions relating to charging and recovery of attorney fees do not apply to:

a)   claims by the association against third-party vendors, declarants, developers or any individual or entity other than the homeowners who are not declarants; or

b)   an action brought pursuant to statute relating to an action involving development of real property. (Sec. 1, 2)

Passed House  3/3/25        42-Y              15-N              3-NV

Assigned to Senate Government Affairs Committee

(This legislation is not supported by the SCOV Board of Directors, SCOV Management and the Community Associations Institute CAI)