NEW HOA LAWS FOR 2025 – Stay Informed!

NEW HOA LAWS FOR 2025 – Stay Informed!

Below is a review from the Davis-Stirling.com Newsletter by ADAMS | STIRLING PLC regarding the new HOA laws for 2025. Let’s Jump In!

Electronic Voting. Beginning January 1, 2025, associations can use electronic voting in their elections. Doing so should significantly reduce election costs and encourage more owner participation.

Before implementing this cost-saving measure, boards must amend their election rules to allow owners to either opt in or opt out of electronic voting.

Because some people will continue to want paper ballots, associations must be prepared to use a combination of electronic and mail-in ballots in their elections. Over time, as dinosaurs become extinct, electronic voting will dominate

E-voting is limited to the election/recalling of directors and the amending of governing documents. It cannot be used to approve regular or special assessments (the reasoning for this restriction eludes me).

The timeline for E-voting is extended due to additional procedures required by the statute. In addition, for practical reasons, nominations from the floor are prohibited when using E-ballots. We will post all the requirements on our website.

Utility Interruptions. Beginning January 1, unless governing documents provide otherwise, associations will be responsible for repairs and replacements necessary to restore interruptions in gas, heat, water, or electrical services that begin in the common area.

Boards must start repairs within 14 days of the interruption of services. The new statute makes it easier for boards to approve emergency repairs and to obtain loans without a membership vote. It also requires the inclusion of common area utility lines as components in reserve studies. The components should already be in your reserve study, but the legislature wants to make sure everyone includes them..

Quorum Reduction. AB 2460 was a clean-up bill dealing with reduced quorums. If governing documents have a quorum requirement of 20% or more for the annual election of directors and the quorum cannot be met, associations can convene another meeting at least 20 days later.

At that point, the quorum requirement is reduced to 20%, even if the governing documents require a higher percentage. If an association’s documents already allow for a quorum of less than 20%, the statute does not override the lower quorum.

Quorum Recommendation: Associations should amend their governing documents to eliminate quorum requirements altogether for the election of directors. When that is done, it completely eliminates the problem and the cost of repeated adjournments to make quorum. Contact us for more information.

Balcony Inspections. As a reminder, condominium associations are required to inspect all elevated elements by January 1, 2025. To help associations meet the deadline, the legislature amended the Balcony Bill to allow civil engineers (along with architects and structural engineers) to inspect an association’s elevated elements.

Workplace Restraining Orders. Beginning January 1, 2025, associations can seek a temporary restraining order (TRO) and an injunction on behalf of any employee (including directors, volunteers, or independent contractors working for an association) who are the target of harassment. Previously, TROs were limited to threats and acts of violence.

Corporate Transparency Act. A reminder that, by January 1, 2025, most associations will be required to report certain required information about their boards of directors. For more information, see “Corporate Transparency Act.”

VIDEO REVIEW. For a thorough review of the new laws, put on by four of our attorneys, you can watch a video of their webinar here.


DISCLAIMER. The Davis-Stirling.com Newsletter by ADAMS | STIRLING PLC provides commentary only, not legal advice. For legal advice, you’ll need to hire legal counsel.  You can hire ADAMS | STIRLING PLC; Keep in mind they are considered corporate counsel to associations only.