The CC&Rs for many associations prohibit noise nuisances in general and pet nuisances specifically. Excessive animal noise, including excessive dog barking, can frequently be addressed through one or both of these provisions. Additionally, local noise ordinances usually contain an express prohibition on excessive dog barking.
Board Duties and Authority
The activities and affairs of an incorporated association shall be conducted, and all corporate powers exercise by, or under the direction of, the board. (Corp. Code §7210) The specific duties and powers of the board of directors, as well as limitations thereon (such as the specific corporate actions which may require prior member consent) are generally set forth in the bylaws, and occasionally in the CC&Rs.
Board Meetings
See Meetings, Board
Board Recall
Bonds
A bond is a contract between an obligor (e.g., a developer), obligee (e.g., an association) and a surety (i.e., a bonding company). A bond provides security to the obligee that the obligor will deliver on a promise to perform. A bond will, typically, be in an amount sufficient to compensate the obligee for the obligor’s failure to deliver on its promise. If the obligor fails to perform, then the obligee has the right to request that the surety pay the obligee an amount up to the value of the bond.
Books and Records
The association is responsible for keeping, maintaining and updating the books and records of the association. These include, but are not limited to, financial reports, bank statements, membership lists, and ledgers. The association must be ready to produce these books and records upon demand by a member, pursuant to Civil Code section 5200 et seq.
Borrowing Money
California Corporations Code §7210 provides that a corporation shall have a board of directors who shall manage and exercise all corporate powers on behalf of the corporate entity. Additionally, Corporations Code §7140 provides that, subject to any limitations contained in its articles or bylaws, a corporation shall have the power to:
“(i) Assume obligations, enter into contracts, including contracts of guarantee or suretyship, incur liabilities, borrow or lend money or otherwise use its credit, and secure any of its obligations, contracts or liabilities by mortgage, pledge or other encumbrance of all or any part of its property and income.” [Emphasis added.]
However, many association governing documents impose limitations upon a board of director’s ability to borrow money or incur indebtedness without the approval of the membership. Accordingly, an association should review its governing documents prior to executing any loan documents.
Borrowing from Reserves
Reserves are intended to fund the maintenance, repair, restoration and replacement of the major components an association is responsible for under its governing documents. Civil Code section 5515 authorizes an association to borrow money from a reserve account for up to one year to cover a short-term cash-flow deficit provided certain requirements are met.
Budget
One of the most fundamental duties of an association is the preparation and creation of a budget for the association. The pro forma operating budget must be distributed annually, pursuant to Civil Code section 5300, not less than 30 days nor more than 90 days prior to the beginning of the association’s fiscal year.
Building Boundaries
Questions about building boundaries typically arise most often in a condominium context where boundary lines between common area and units, between units and exclusive use areas and between exclusive use areas are relevant to maintenance. In non-condominiums, building boundaries may be relevant to encroachment onto an adjoining owner’s property, onto an easement or onto a setback required by the governing documents or local law. Making such determinations requires an examination of a condominium plan, tract map or parcel map. It may also require some type of inspection in the field using a licensed land surveyor or engineer.