CONDOMINIUM RESTRICTIONS/COVENANTS S.B. 1256: COMMITTEE SUMMARY
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Senate Bill 1256 (as introduced 4-13-10)
Sponsor: Senator Jason E. Allen
Committee: Local, Urban and State Affairs


Date Completed: 6-21-10

CONTENT The bill would amend the Condominium Act to allow an association of condominium co-owners to modify restrictions or covenants imposed by a developer who was no longer operative.

Under the Act, the developer or co-owner of a condominium project may impose reasonable restrictions or covenants running with the land upon a unit in the project, in addition to the reasonable restrictions and covenants that may be contained in the condominium documents, as long as they are not otherwise prohibited by law and are consistent with the condominium documents. The restrictions and covenants may include provisions governing the joint or common ownership of units in the project and the basis upon which the use of the unit or units may be shared from time to time by the joint or common owners.


Under the bill, an association of co-owners could modify by majority such restrictions or covenants if they were imposed by a developer who was no longer operative. The bill also provides that a restriction or restrictive covenant that was part of the condominium bylaws could be modified in this way.


MCL 559.146 & 559.153 Legislative Analyst: Julie Cassidy

FISCAL IMPACT
The bill would have no fiscal impact on State or local government.

Fiscal Analyst: Elizabeth Pratt
Maria Tyszkiewicz

Analysis was prepared by nonpartisan Senate staff for use by the Senate in its deliberations and does not constitute an official statement of legislative intent. sb1256/0910