55-79.97:1 - Fees for resale certificate.
§ 55-79.97:1. Fees for resale certificate.
A. The unit owners' association may charge fees as authorized by this sectionfor the inspection of the property, the preparation and issuance of theresale certificate required § 55-79.97, and for such other services as areset out in this section.
B. A reasonable fee may be charged by the preparer of the resale certificateas follows for:
1. The inspection of the unit, as authorized in the declaration and asrequired to prepare the resale certificate, a fee not to exceed $100;
2. The preparation and delivery of the resale certificate in (i) paperformat, a fee not to exceed $150 for no more than two hard copies, or (ii)electronic format, a fee not to exceed $125, for no more than two electroniccopies. Only one fee shall be charged for the preparation and delivery of theresale certificate;
3. At the option of the seller or his authorized agent, with the consent ofthe unit owners' association or the common interest community manager,expediting the inspection, preparation, and delivery of the resalecertificate, an additional expedite fee not to exceed $50;
4. At the option of the seller or his authorized agent, an additional hardcopy of the resale certificate, a fee not to exceed $25 per hard copy;
5. At the option of the seller or his authorized agent, a fee not to exceedan amount equal to the actual cost paid to a third-party commercial deliveryservice for hand delivery or overnight delivery of the resale certificate; and
6. A post-closing fee to the purchaser of the unit, collected at settlement,for the purpose of establishing the purchaser as the owner of the unit in therecords of the unit owners' association, a fee not to exceed $50.
Neither the unit owners' association nor its common interest communitymanager shall require cash, check, certified funds, or credit card paymentsat the time the request for the resale certificate is made.
For purposes of this section, an expedite fee shall only be charged if theinspection and preparation of delivery of the resale certificate arecompleted within five business days of the request for a resale certificate.
C. No fees other than those specified in this section, and as limited by thissection, shall be charged by the unit owners' association or its commoninterest community manager for compliance with the duties andresponsibilities of the unit owners' association under this section. The unitowners' association or its common interest community manager shall publishand make available in paper or electronic format, or both, a schedule of theapplicable fees so that the seller or his authorized agent will know suchfees at the time of requesting the resale certificate.
D. Any fees charged pursuant to this section shall be collected at the timesettlement occurs on the sale of the unit and shall be due and payable out ofthe settlement proceeds in accordance with this section. The seller shall beresponsible for all costs associated with the preparation and delivery of theresale certificate, except for the costs of any resale certificate update orfinancial update, which costs shall be the responsibility of the requestor,payable at settlement. Neither the unit owners' association nor its commoninterest community manager shall require cash, check, certified funds, orcredit card payments at the time the request is made for the resalecertificate.
E. If settlement does not occur within 90 days of the delivery of the resalecertificate, or funds are not collected at settlement and disbursed to theunit owners' association or the common interest community manager, all fees,including those costs that would have otherwise been the responsibility ofthe purchaser or settlement agent, shall be assessed against the unit owner,shall be the personal obligation of the unit owner, and shall be anassessment against the unit and collectible as any other assessment inaccordance with the provisions of the declaration and § 55-79.83. The sellermay pay the unit owners' association by cash, check, certified funds, orcredit card, if credit card payment is an option offered by the unit owners'association. The unit owners' association shall pay the common interestcommunity manager the amount due from the unit owner within 30 days afterinvoice.
F. The maximum allowable fees charged in accordance with this section shalladjust every five years, as of January 1 of that year, in an amount equal tothe annual increases for that five-year period in the United States AverageConsumer Price Index for all items, all urban consumers (CPI-U), as publishedby the Bureau of Labor Statistics of the U.S. Department of Labor.
G. If a resale certificate has been issued within the preceding 12-monthperiod, a person specified in the written instructions of the seller or hisauthorized agent, including the seller or his authorized agent or thepurchaser or his authorized agent, may request a resale certificate update.The requestor shall specify whether the resale certificate update shall bedelivered electronically or in hard copy and shall specify the completecontact information of the parties to whom the update shall be delivered. Theresale certificate update shall be delivered within 10 days of the writtenrequest.
H. The settlement agent may request a financial update. The requestor shallspecify whether the financial update shall be delivered electronically or inhard copy and shall specify the complete contact information of the partiesto whom the update shall be delivered. The financial update shall bedelivered within three business days of the written request.
I. A reasonable fee for the resale certificate update or financial update maybe charged by the preparer, not to exceed $50. At the option of the purchaseror his authorized agent, the requestor may request that the unit owners'association or the common interest community manager perform an additionalinspection of the unit, as authorized in the declaration, for a fee not toexceed $100. Any fees charged for the specified update shall be collected atthe time settlement occurs on the sale of the property. Neither the unitowners' association nor its common interest community manager, if any, shallrequire cash, check, certified funds, or credit card payments at the time therequest is made for the resale certificate update. The requestor may requestthat the specified update be provided in hard copy or in electronic form.
J. No unit owners' association or common interest community manager mayrequire the requestor to request the specified update electronically. Theseller or his authorized agent shall continue to have the right to request ahard copy of the specified update in person at the principal place ofbusiness of the unit owners' association. If the requestor asks that thespecified update be provided in electronic format, neither the unit owners'association nor its common interest community manager may require therequester to pay any fees to use the provider's electronic network or system.A copy of the specified update shall be provided to the seller or hisauthorized agent.
K. When a resale certificate has been delivered as required by § 55-79.97,the unit owners' association shall, as to the purchaser, be bound by thestatements set forth therein as to the status of the assessment account andthe status of the unit with respect to any violation of the condominiuminstruments as of the date of the statement unless the purchaser had actualknowledge that the contents of the resale certificate were in error.
L. If the unit owners' association or its common interest community managerhas been requested in writing to furnish the resale certificate required by §55-79.97, failure to provide the resale certificate substantially in the formprovided in this section shall be deemed a waiver of any claim for delinquentassessments or of any violation of the declaration, bylaws, rules andregulations, or architectural guidelines existing as of the date of therequest with respect to the subject unit. The preparer of the resalecertificate shall be liable to the seller in an amount equal to the actualdamages sustained by the seller in an amount not to exceed $1,000. Thepurchaser shall nevertheless be obligated to abide by the condominiuminstruments, rules and regulations, and architectural guidelines of the unitowners' association as to all matters arising after the date of thesettlement of the sale.
(2008, cc. 851, 871.)