New penalties have been introduced for associations that do not comply with certain requirements of the new Davis-Stirling Act, such as board meeting requirements. Under the new law, an association can be liable for a penalty of up to $500 for each violation of the Common Interest Development Open Meeting Act.
For example, if an association’s board of directors meets without giving proper notice (e.g. a quorum of the board emails on any association item of business between board meetings), not only will the board be in violation of the Davis-Stirling Act (and any decisions made by the board outside of a meeting potentially voidable), but the association can now be subject to a court ordered fine as a result of the board’s non-compliance. All boards should comply with the statutory meeting requirements to avoid these penalties.
To learn about other key changes to the Davis-Stirling Act, please visit What You Need To Know: The New Davis-Stirling Act.