Jan. 13, 2006 - The 100% Rule

There was a meeting last night at The Des Plaines City Hall to discuss the 100% rule.

The 100% rule concerns a section of the Declaration and Bylaws, the governing documents of Condominium Associations, which is drafted by the Developer of the Condominium. Various developers have recently began adding a "rule" to the section of the bylaws concerning the right to lease units in the development. The "rule" states that in order to amend that section of the declaration and bylaws, in other words, prevent the leasing of units in a particular Condominium, you need a 100% vote of the unit owners.

Enter Section 607/27 of the Illinois Condominium Property Act. That section states in part that "no condominium instrument shall require more than a three-quarter vote of unit owners to amend the bylaws". I have linked the entire Act here. You can read it if you wish.

The meeting was co-sponsored by 1st Ward Alderman Pat Beauvais and The Des Plaines Condominium Alliance. State Senator Susan Garrett (D) 29th District and State Representative Elaine Nekritz (D) 57th District were in attendence, as was Des Plaines Mayor Tony Arredia. They were all in agreement that if any association should want to challange the 100% rule they should proceed to call a vote to amend their bylaws. The general opinion is that State Law (The Illinois Condominium Property Act) would take president in the event the amendment should be litigated.

Now on a personal note. The Des Plaines Condominium Alliance, if it existed in more than name, would and could be a dynamic force for good in the world of community associations. The project is spear headed by Rich Grosse of Library Court, with much help from Alderman Beauvais. There seems to be a small loyal following. It is my humble opinion that every association in the City of Des Plaines should be represented and that this organization should have a governing document and an organizational structure, such as a Board of Directors. The next time a call for action goes out, we should all take heed. It is in that spirit that I would offer space in this blog and put the resources of  Gene's Board at their disposal.