57-8a-104.   Limitation on requirements for amending governing documents -- Limitation on contracts.
     (1) As used in this section, "period of administrative control" means the period during which the person who filed the association's governing documents or a successor in interest retains authority to:
     (a) appoint or remove members of the association's board of directors; or
     (b) exercise power or authority assigned to the association under its governing documents.
     (2) (a) When the period of administrative control ends, the governing documents may not require that an amendment to the governing documents be approved by more than 67% of the voting interests.
     (b) Subsection (2)(a) does not apply to an amendment affecting only:
     (i) lot boundaries; or
     (ii) members' voting rights.
     (3) (a) A contract for services such as garbage collection, maintenance, lawn care, or snow removal executed on behalf of the association during a period of administrative control is binding beyond the period of administrative control unless terminated by the board of directors after the period of administrative control ends.
     (b) Subsection (3)(a) does not apply to golf course and amenity management, utilities, cable services, and other similar services that require an investment of infrastructure or capital.
     (4) Voting interests under Subsections (2) and (3) are calculated in the manner required by the governing documents.
     (5) Nothing in this section affects any other rights reserved by the person who filed the association's original governing documents or a successor in interest.

Enacted by Chapter 223, 2007 General Session
Download Code Section Zipped WordPerfect 57_08a010400.ZIP 2,334 Bytes


Sections in this Chapter|Chapters in this Title|All Titles|Legislative Home Page

Last revised: Thursday, May 28, 2009