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| 1 |  |  AN ACT concerning civil law.
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| 2 |  |  Be it enacted by the People of the State of Illinois,
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| 3 |  | represented in the General Assembly:
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| 4 |  |  Section 5. The Common Interest Community Association Act is  | 
| 5 |  | amended by changing Section 1-15 as follows:
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| 6 |  |  (765 ILCS 160/1-15)
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| 7 |  |  Sec. 1-15. Construction, interpretation, and validity of  | 
| 8 |  | community instruments.  | 
| 9 |  |  (a) Except to the extent otherwise provided by the  | 
| 10 |  | declaration or other community instruments, the terms defined  | 
| 11 |  | in Section 1-5 of this Act shall be deemed to have the meaning  | 
| 12 |  | specified therein unless the context otherwise requires. | 
| 13 |  |  (b) (Blank) All provisions of the declaration, bylaws, and  | 
| 14 |  | other community instruments severed by this Act shall be  | 
| 15 |  | revised by the board of directors independent of the membership  | 
| 16 |  | to comply with this Act. | 
| 17 |  |  (c) A provision in the declaration limiting ownership,  | 
| 18 |  | rental, or occupancy of a unit to a person 55 years of age or  | 
| 19 |  | older shall be valid and deemed not to be in violation of  | 
| 20 |  | Article 3 of the Illinois Human Rights Act provided that the  | 
| 21 |  | person or the immediate family of a person owning, renting, or  | 
| 22 |  | lawfully occupying such unit prior to the recording of the  | 
| 23 |  | initial declaration shall not be deemed to be in violation of  | 
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| 1 |  | such age restriction so long as they continue to own or reside  | 
| 2 |  | in such unit. 
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| 3 |  |  (d) Every common interest community association shall  | 
| 4 |  | define a member and its relationship to the units or unit  | 
| 5 |  | owners in its community instruments.  | 
| 6 |  | (Source: P.A. 96-1400, eff. 7-29-10; 97-605, eff. 8-26-11;  | 
| 7 |  | 97-1090, eff. 8-24-12.)
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| 8 |  |  Section 10. The Condominium Property Act is amended by  | 
| 9 |  | changing Sections 18 and 27 as follows:
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| 10 |  |  (765 ILCS 605/18) (from Ch. 30, par. 318)
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| 11 |  |  Sec. 18. Contents of bylaws. The bylaws shall provide for  | 
| 12 |  | at least
the following:
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| 13 |  |  (a)(1) The election from among the unit owners of a board  | 
| 14 |  | of managers,
the number of persons constituting such board, and  | 
| 15 |  | that the terms of at
least one-third of the members of the  | 
| 16 |  | board shall expire annually and that
all members of the board  | 
| 17 |  | shall be elected at large.
If there are multiple owners of a  | 
| 18 |  | single unit, only one of the multiple
owners shall be eligible  | 
| 19 |  | to serve as a member of the board at any one time.
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| 20 |  |  (2) the powers and duties of the board;
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| 21 |  |  (3) the compensation, if any, of the members of the board;
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| 22 |  |  (4) the method of removal from office of members of the  | 
| 23 |  | board;
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| 24 |  |  (5) that the board may engage the services of a manager or  | 
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| 1 |  | managing agent;
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| 2 |  |  (6) that each unit owner shall receive, at least 25 30 days  | 
| 3 |  | prior to the
adoption thereof by the board of managers, a copy  | 
| 4 |  | of the proposed annual
budget together with an indication of  | 
| 5 |  | which portions are intended for
reserves, capital expenditures  | 
| 6 |  | or repairs or payment of real estate taxes;
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| 7 |  |  (7) that the board of managers shall annually supply to
all  | 
| 8 |  | unit owners an itemized accounting of the common expenses
for  | 
| 9 |  | the preceding year actually incurred or paid, together
with an  | 
| 10 |  | indication of which portions were for reserves, capital
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| 11 |  | expenditures or repairs or payment of real estate taxes and
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| 12 |  | with a tabulation of the amounts collected pursuant to the
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| 13 |  | budget or assessment, and showing the net excess or
deficit of  | 
| 14 |  | income over expenditures plus reserves;
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| 15 |  |  (8)(i) that each unit owner shall receive notice, in the  | 
| 16 |  | same manner
as is provided in this Act for membership meetings,  | 
| 17 |  | of any meeting of the
board of managers concerning the adoption  | 
| 18 |  | of the proposed annual budget and
regular assessments pursuant  | 
| 19 |  | thereto or to adopt a separate (special)
assessment, (ii) that  | 
| 20 |  | except as provided in subsection (iv) below, if an
adopted
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| 21 |  | budget or any separate assessment adopted by the board would  | 
| 22 |  | result in the
sum of all regular and separate assessments  | 
| 23 |  | payable in the current fiscal year
exceeding 115% of the sum of  | 
| 24 |  | all regular and separate
assessments payable during the
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| 25 |  | preceding fiscal year, the
board of managers, upon written  | 
| 26 |  | petition by unit owners with 20 percent of
the votes of the  | 
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| 1 |  | association delivered to the board within 14
days of the board  | 
| 2 |  | action,
shall call a meeting of the unit owners within 30 days  | 
| 3 |  | of the date of
delivery of the petition to consider the budget  | 
| 4 |  | or separate
assessment; unless a
majority of
the total votes of  | 
| 5 |  | the unit owners are cast at the meeting to reject the
budget or  | 
| 6 |  | separate assessment,
it is ratified, (iii) that any common  | 
| 7 |  | expense not set forth in the budget or
any increase in  | 
| 8 |  | assessments over the amount adopted in the budget shall be
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| 9 |  | separately assessed against all unit owners, (iv) that separate  | 
| 10 |  | assessments for
expenditures relating to emergencies or  | 
| 11 |  | mandated by law may be adopted by the
board of managers without  | 
| 12 |  | being subject to unit owner approval or the
provisions of item  | 
| 13 |  | (ii) above or item (v) below. As used
herein, "emergency" means  | 
| 14 |  | an immediate danger to the structural integrity of
the
common  | 
| 15 |  | elements or to the life, health, safety or property of the unit  | 
| 16 |  | owners,
(v) that assessments
for additions and alterations to  | 
| 17 |  | the common elements or to association-owned
property not  | 
| 18 |  | included in the adopted annual budget, shall be separately
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| 19 |  | assessed and are subject to approval of two-thirds of the total  | 
| 20 |  | votes of all
unit owners, (vi) that the board of managers may  | 
| 21 |  | adopt separate assessments
payable over more than one fiscal  | 
| 22 |  | year. With respect to multi-year assessments
not governed by  | 
| 23 |  | items (iv) and (v), the entire amount of the multi-year
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| 24 |  | assessment shall be deemed considered and authorized in the  | 
| 25 |  | first fiscal year
in which the assessment is approved;
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| 26 |  |  (9)(A) that every meeting meetings of the board of managers  | 
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| 1 |  | shall be open to any unit
owner, except for the portion of any  | 
| 2 |  | meeting held (i) to discuss or consider information relating  | 
| 3 |  | to: (i) litigation
when an action against or on behalf of the  | 
| 4 |  | particular association has been
filed and is pending in a court  | 
| 5 |  | or administrative tribunal,
or when the board of managers finds  | 
| 6 |  | that such an action is probable
or imminent, (ii) to consider  | 
| 7 |  | information regarding appointment, employment
or dismissal of  | 
| 8 |  | an employee, or (iii) to discuss violations of rules and
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| 9 |  | regulations of the association, or (iv) a unit owner's unpaid  | 
| 10 |  | share of common
expenses; that any vote on these matters  | 
| 11 |  | discussed or considered in closed session shall take place be  | 
| 12 |  | taken at a meeting of the board of managers or
portion thereof  | 
| 13 |  | open to any unit owner; | 
| 14 |  |  (B) that board members may participate in and act at any  | 
| 15 |  | meeting of the board of managers in person, by telephonic  | 
| 16 |  | means, or by use of any acceptable technological means whereby  | 
| 17 |  | all persons participating in the meeting can communicate with  | 
| 18 |  | each other; that participation constitutes attendance and  | 
| 19 |  | presence in person at the meeting; | 
| 20 |  |  (C) that any unit owner may record the
proceedings at  | 
| 21 |  | meetings of the board of managers or portions thereof required  | 
| 22 |  | to be open by this
Act by tape, film or other means, and ; that  | 
| 23 |  | the board may prescribe reasonable
rules and regulations to  | 
| 24 |  | govern the right to make such recordings; , | 
| 25 |  |  (D) that
notice of every meeting of the board of managers  | 
| 26 |  | such meetings shall be given to every board member mailed or  | 
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| 1 |  | delivered at least 48 hours
prior thereto, unless the board  | 
| 2 |  | member waives notice of the meeting pursuant to subsection (a)  | 
| 3 |  | of Section 18.8; a written waiver of such notice is signed by  | 
| 4 |  | the
person or persons entitled to such notice pursuant to the  | 
| 5 |  | declaration,
bylaws, other condominium instrument, or  | 
| 6 |  | provision of law other than this
subsection before the meeting  | 
| 7 |  | is convened, and | 
| 8 |  |  (E) that notice copies of notices of every meeting
meetings  | 
| 9 |  | of the board of managers shall be posted in entranceways,
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| 10 |  | elevators, or other conspicuous places in the condominium at  | 
| 11 |  | least 48 hours
prior to the meeting of the board of managers  | 
| 12 |  | except where there is no
common entranceway for 7 or more  | 
| 13 |  | units, the board of managers may designate
one or more  | 
| 14 |  | locations in the proximity of these units where the notices of
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| 15 |  | meetings shall be posted; that notice of every meeting of the  | 
| 16 |  | board of managers shall also be given at least 48 hours prior  | 
| 17 |  | to the meeting, or such longer notice as this Act may  | 
| 18 |  | separately require, to: (i) each unit owner who has provided  | 
| 19 |  | the association with written authorization to conduct business  | 
| 20 |  | by acceptable technological means, and (ii) to the extent that  | 
| 21 |  | the condominium instruments of an association require, to each  | 
| 22 |  | other unit owner, as required by subsection (f) of Section  | 
| 23 |  | 18.8, by mail or delivery, and that no other notice of a  | 
| 24 |  | meeting of the board of managers need be given to any unit  | 
| 25 |  | owner;
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| 26 |  |  (10) that the board shall meet at least 4 times annually;
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| 1 |  |  (11) that no member of the board or officer shall be  | 
| 2 |  | elected for a term
of more than 2 years, but that officers and  | 
| 3 |  | board members may succeed
themselves;
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| 4 |  |  (12) the designation of an officer to mail and receive all  | 
| 5 |  | notices and
execute amendments to condominium instruments as  | 
| 6 |  | provided for in this Act
and in the condominium instruments;
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| 7 |  |  (13) the method of filling vacancies on the board
which  | 
| 8 |  | shall include authority for the remaining members of the board  | 
| 9 |  | to
fill the vacancy by two-thirds vote until the next annual  | 
| 10 |  | meeting of unit
owners or for a period terminating no later  | 
| 11 |  | than 30 days following the
filing of a petition signed by unit  | 
| 12 |  | owners holding 20% of the votes of the
association requesting a  | 
| 13 |  | meeting of the unit owners to fill the vacancy for
the balance  | 
| 14 |  | of the term, and that a meeting of the unit owners shall be
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| 15 |  | called for purposes of filling a vacancy on the board no later  | 
| 16 |  | than 30 days
following the filing of a petition signed by unit  | 
| 17 |  | owners holding 20% of the
votes of the association requesting  | 
| 18 |  | such a meeting, and the method of filling
vacancies among the  | 
| 19 |  | officers that shall include the authority for the members
of  | 
| 20 |  | the board to fill the vacancy for the unexpired portion of the  | 
| 21 |  | term;
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| 22 |  |  (14) what percentage of the board of managers, if other  | 
| 23 |  | than a majority,
shall constitute a quorum;
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| 24 |  |  (15) provisions concerning notice of board meetings to  | 
| 25 |  | members of the
board;
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| 26 |  |  (16) the board of managers may not enter into a contract  | 
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| 1 |  | with a
current board member
or with a corporation or  | 
| 2 |  | partnership in which a board
member or a member of the board  | 
| 3 |  | member's immediate family has 25% or
more interest, unless  | 
| 4 |  | notice of intent to enter the
contract is given to unit owners  | 
| 5 |  | within 20 days after a decision is made
to enter into the  | 
| 6 |  | contract and the unit owners are
afforded an opportunity by  | 
| 7 |  | filing a petition, signed by 20% of the unit
owners, for an  | 
| 8 |  | election to approve or disapprove the contract;
such petition  | 
| 9 |  | shall be filed within 20 days after such notice and such
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| 10 |  | election shall be held within 30 days after filing the  | 
| 11 |  | petition; for purposes
of this subsection, a board member's  | 
| 12 |  | immediate family means the board member's
spouse, parents, and  | 
| 13 |  | children;
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| 14 |  |  (17) that the board of managers may disseminate
to unit  | 
| 15 |  | owners biographical and background information about  | 
| 16 |  | candidates for
election to the board if (i) reasonable efforts  | 
| 17 |  | to identify all candidates are
made and all candidates are  | 
| 18 |  | given an opportunity to include biographical and
background  | 
| 19 |  | information in the information to be disseminated; and (ii) the
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| 20 |  | board does not express a preference in favor of any candidate;
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| 21 |  |  (18) any proxy distributed for board elections
by the board  | 
| 22 |  | of managers gives unit owners the
opportunity to designate any  | 
| 23 |  | person as the proxy holder, and gives the unit
owner the  | 
| 24 |  | opportunity to express a preference for any of the known
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| 25 |  | candidates for the board or to write in a name;
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| 26 |  |  (19) that special meetings of the board of managers can be  | 
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| 1 |  | called by
the president or 25% of the members of the board; and
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| 2 |  |  (20) that the board of managers may establish
and maintain  | 
| 3 |  | a system of master metering of public utility services and
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| 4 |  | collect payments in connection therewith, subject to the  | 
| 5 |  | requirements of the
Tenant Utility Payment Disclosure Act; and  | 
| 6 |  | .
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| 7 |  |  (21) that the board may ratify and confirm actions of the
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| 8 |  | members of the board taken in response to an emergency, as that
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| 9 |  | term is defined in subdivision (a)(8)(iv) of this Section; that
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| 10 |  | the board shall give notice to the unit owners of: (i) the
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| 11 |  | occurrence of the emergency event within 7 business days after
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| 12 |  | the emergency event, and (ii) the general description of the
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| 13 |  | actions taken to address the event within 7 days after the
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| 14 |  | emergency event.  | 
| 15 |  |  The intent of the provisions of this amendatory Act of the  | 
| 16 |  | 99th General
Assembly adding this paragraph (21) is to empower  | 
| 17 |  | and support boards to act in
emergencies. 
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| 18 |  |  (b)(1) What percentage of the unit owners, if other than  | 
| 19 |  | 20%, shall
constitute a quorum provided that, for condominiums  | 
| 20 |  | with 20 or more units,
the percentage of unit owners  | 
| 21 |  | constituting a quorum shall be 20% unless the
unit owners  | 
| 22 |  | holding a majority of the percentage interest in the
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| 23 |  | association provide for a higher percentage, provided that in  | 
| 24 |  | voting on amendments to the association's bylaws, a unit owner  | 
| 25 |  | who is in arrears on the unit owner's regular or separate  | 
| 26 |  | assessments for 60 days or more, shall not be counted for  | 
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| 1 |  | purposes of determining if a quorum is present, but that unit  | 
| 2 |  | owner retains the right to vote on amendments to the  | 
| 3 |  | association's bylaws;
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| 4 |  |  (2) that the association shall have one class of  | 
| 5 |  | membership;
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| 6 |  |  (3) that the members shall hold an annual meeting, one of  | 
| 7 |  | the purposes
of which shall be to elect members of the board of  | 
| 8 |  | managers;
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| 9 |  |  (4) the method of calling meetings of the unit owners;
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| 10 |  |  (5) that special meetings of the members can be called by  | 
| 11 |  | the president,
board of managers, or by 20% of unit owners;
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| 12 |  |  (6) that written notice of any membership meeting shall be  | 
| 13 |  | mailed
or delivered giving members no less than 10 and no more  | 
| 14 |  | than 30 days
notice of the time, place and purpose of such  | 
| 15 |  | meeting except that notice may be sent, to the extent the  | 
| 16 |  | condominium instruments or rules adopted thereunder expressly  | 
| 17 |  | so provide, by electronic transmission consented to by the unit  | 
| 18 |  | owner to whom the notice is given, provided the director and  | 
| 19 |  | officer or his agent certifies in writing to the delivery by  | 
| 20 |  | electronic transmission;
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| 21 |  |  (7) that voting shall be on a percentage basis, and that  | 
| 22 |  | the percentage
vote to which each unit is entitled is the  | 
| 23 |  | percentage interest of the
undivided ownership of the common  | 
| 24 |  | elements appurtenant thereto, provided
that the bylaws may  | 
| 25 |  | provide for approval by unit owners in connection with
matters  | 
| 26 |  | where the requisite approval on a percentage basis is not  | 
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| 1 |  | specified
in this Act, on the basis of one vote per unit;
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| 2 |  |  (8) that, where there is more than one owner of a unit, if  | 
| 3 |  | only one
of the multiple owners is present at a meeting of the  | 
| 4 |  | association, he is
entitled to cast all the votes allocated to  | 
| 5 |  | that unit, if more than one of
the multiple owners are present,  | 
| 6 |  | the votes allocated to that unit may be
cast only in accordance  | 
| 7 |  | with the agreement of a majority in interest of the
multiple  | 
| 8 |  | owners, unless the declaration expressly provides otherwise,  | 
| 9 |  | that
there is majority agreement if any one of the multiple  | 
| 10 |  | owners cast the
votes allocated to that unit without protest  | 
| 11 |  | being made promptly to the
person presiding over the meeting by  | 
| 12 |  | any of the other owners of the unit;
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| 13 |  |  (9)(A) except as provided in subparagraph (B) of this  | 
| 14 |  | paragraph (9) in
connection with board elections, that
a unit  | 
| 15 |  | owner may vote by proxy executed in writing by the unit
owner  | 
| 16 |  | or by his duly authorized attorney in fact; that the proxy must  | 
| 17 |  | bear the date of
execution
and, unless the condominium  | 
| 18 |  | instruments or the written proxy itself provide
otherwise, is
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| 19 |  | invalid after 11 months from the date of its execution; to the  | 
| 20 |  | extent the condominium instruments or rules adopted thereunder  | 
| 21 |  | expressly so provide, a vote or proxy may be submitted by  | 
| 22 |  | electronic transmission, provided that any such electronic  | 
| 23 |  | transmission shall either set forth or be submitted with  | 
| 24 |  | information from which it can be determined that the electronic  | 
| 25 |  | transmission was authorized by the unit owner or the unit  | 
| 26 |  | owner's proxy;
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| 1 |  |  (B) that if a rule adopted at least 120 days before a board  | 
| 2 |  | election
or the
declaration or bylaws provide for balloting as  | 
| 3 |  | set forth in this subsection,
unit
owners may not vote by proxy  | 
| 4 |  | in board elections, but may vote only (i) by
submitting an  | 
| 5 |  | association-issued ballot in person at the election meeting or
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| 6 |  | (ii) by
submitting an association-issued ballot to the  | 
| 7 |  | association or its designated
agent
by mail or other means of  | 
| 8 |  | delivery specified in the declaration, bylaws, or
rule; that
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| 9 |  | the ballots shall be mailed or otherwise distributed to unit  | 
| 10 |  | owners not less
than 10
and not more than 30 days before the  | 
| 11 |  | election meeting, and the board shall give
unit owners not less  | 
| 12 |  | than 21 days' prior written notice of the deadline for
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| 13 |  | inclusion of a candidate's name on the ballots; that the  | 
| 14 |  | deadline shall be no
more
than 7 days before the ballots are  | 
| 15 |  | mailed or otherwise distributed to unit
owners; that
every such  | 
| 16 |  | ballot must include the names of all candidates who have given  | 
| 17 |  | the
board or its authorized agent timely written notice of  | 
| 18 |  | their candidacy and must
give the person casting the ballot the  | 
| 19 |  | opportunity to cast votes for candidates
whose names do not  | 
| 20 |  | appear on the ballot; that a ballot received by the
association
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| 21 |  | or
its designated agent after the close of voting shall not be  | 
| 22 |  | counted; that a
unit
owner
who submits a ballot by mail or  | 
| 23 |  | other means of delivery specified in the
declaration, bylaws,  | 
| 24 |  | or rule may request and cast a ballot in person at the
election
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| 25 |  | meeting, and thereby void any ballot previously submitted by  | 
| 26 |  | that unit owner; | 
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| 1 |  |  (B-5) that if a rule adopted at least 120 days before a  | 
| 2 |  | board election or the declaration or bylaws provide for  | 
| 3 |  | balloting as set forth in this subparagraph, unit owners may  | 
| 4 |  | not vote by proxy in board elections, but may vote only (i) by  | 
| 5 |  | submitting an association-issued ballot in person at the  | 
| 6 |  | election meeting; or (ii) by any acceptable technological means  | 
| 7 |  | as defined in Section 2 of this Act; instructions regarding the  | 
| 8 |  | use of electronic means for voting shall be distributed to all  | 
| 9 |  | unit owners not less than 10 and not more than 30 days before  | 
| 10 |  | the election meeting, and the board shall give unit owners not  | 
| 11 |  | less than 21 days' prior written notice of the deadline for  | 
| 12 |  | inclusion of a candidate's name on the ballots; the deadline  | 
| 13 |  | shall be no more than 7 days before the instructions for voting  | 
| 14 |  | using electronic or acceptable technological means is  | 
| 15 |  | distributed to unit owners; every instruction notice must  | 
| 16 |  | include the names of all candidates who have given the board or  | 
| 17 |  | its authorized agent timely written notice of their candidacy  | 
| 18 |  | and must give the person voting through electronic or  | 
| 19 |  | acceptable technological means the opportunity to cast votes  | 
| 20 |  | for candidates whose names do not appear on the ballot; a unit  | 
| 21 |  | owner who submits a vote using electronic or acceptable  | 
| 22 |  | technological means may request and cast a ballot in person at  | 
| 23 |  | the election meeting, thereby voiding any vote previously  | 
| 24 |  | submitted by that unit owner; 
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| 25 |  |  (C) that if a written petition by unit owners with at least  | 
| 26 |  | 20% of the
votes of
the association is delivered to the board  | 
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| 1 |  | within 14 days after the board's
approval
of a rule adopted  | 
| 2 |  | pursuant to subparagraph (B) or subparagraph (B-5) of this  | 
| 3 |  | paragraph (9), the board
shall call a meeting of the unit  | 
| 4 |  | owners within 30 days after the date of
delivery of
the  | 
| 5 |  | petition; that unless a majority of the total votes of the unit  | 
| 6 |  | owners are
cast
at the
meeting to reject the rule, the rule is  | 
| 7 |  | ratified;
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| 8 |  |  (D) that votes cast by ballot under subparagraph (B) or  | 
| 9 |  | electronic or acceptable technological means under  | 
| 10 |  | subparagraph (B-5) of this paragraph (9) are valid for the  | 
| 11 |  | purpose of establishing a quorum; 
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| 12 |  |  (10) that the association may, upon adoption of the  | 
| 13 |  | appropriate rules by
the board of managers, conduct elections  | 
| 14 |  | by secret ballot whereby the voting
ballot is marked only with  | 
| 15 |  | the percentage interest for the unit and the vote
itself,  | 
| 16 |  | provided that the board further adopt rules to verify the  | 
| 17 |  | status of the
unit owner issuing a proxy or casting a ballot;  | 
| 18 |  | and further, that a candidate
for election to the board of  | 
| 19 |  | managers or such
candidate's representative shall have the  | 
| 20 |  | right to be present at the
counting of ballots at such  | 
| 21 |  | election;
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| 22 |  |  (11) that in the event of a resale of a condominium unit  | 
| 23 |  | the purchaser
of a unit from a seller other than the developer  | 
| 24 |  | pursuant to an installment
contract for purchase shall during  | 
| 25 |  | such times as he or she resides in the
unit be counted toward a  | 
| 26 |  | quorum for purposes of election of members of the
board of  | 
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| 1 |  | managers at any meeting of the unit owners called for purposes  | 
| 2 |  | of
electing members of the board, shall have the right to vote  | 
| 3 |  | for the
election of members of the board of managers and to be  | 
| 4 |  | elected to and serve
on the board of managers unless the seller  | 
| 5 |  | expressly retains in writing any
or all of such rights. In no  | 
| 6 |  | event may the seller and purchaser both be
counted toward a  | 
| 7 |  | quorum, be permitted to vote for a particular office or be
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| 8 |  | elected and serve on the board. Satisfactory evidence of the  | 
| 9 |  | installment
contact shall be made available to the association  | 
| 10 |  | or its agents. For
purposes of this subsection, "installment  | 
| 11 |  | contact" shall have the same
meaning as set forth in Section 1  | 
| 12 |  | (e) of "An Act relating to installment
contracts to sell  | 
| 13 |  | dwelling structures", approved August 11, 1967, as amended;
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| 14 |  |  (12) the method by which matters subject to the approval of  | 
| 15 |  | unit owners
set forth in this Act, or in the condominium  | 
| 16 |  | instruments, will be
submitted to the unit owners at special  | 
| 17 |  | membership meetings called for such
purposes; and
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| 18 |  |  (13) that matters subject to the affirmative vote of not  | 
| 19 |  | less than 2/3
of the votes of unit owners at a meeting duly  | 
| 20 |  | called for that purpose,
shall include, but not be limited to:
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| 21 |  |   (i) merger or consolidation of the association;
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| 22 |  |   (ii) sale, lease, exchange, or other disposition  | 
| 23 |  |  (excluding the mortgage
or pledge) of all, or substantially  | 
| 24 |  |  all of the property and assets of the
association; and
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| 25 |  |   (iii) the purchase or sale of land or of units on  | 
| 26 |  |  behalf of all unit owners.
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| 1 |  |  (c) Election of a president from among the board of  | 
| 2 |  | managers, who shall
preside over the meetings of the board of  | 
| 3 |  | managers and of the unit owners.
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| 4 |  |  (d) Election of a secretary from among the board of  | 
| 5 |  | managers, who shall
keep the minutes of all meetings
of the  | 
| 6 |  | board of managers and of the unit owners and who shall, in  | 
| 7 |  | general,
perform all the duties incident to the office of  | 
| 8 |  | secretary.
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| 9 |  |  (e) Election of a treasurer from among the board of  | 
| 10 |  | managers, who shall
keep the financial records and
books of  | 
| 11 |  | account.
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| 12 |  |  (f) Maintenance, repair and replacement of the common  | 
| 13 |  | elements and
payments therefor, including the method of  | 
| 14 |  | approving payment vouchers.
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| 15 |  |  (g) An association with 30 or more units shall obtain and  | 
| 16 |  | maintain
fidelity insurance covering persons who control or  | 
| 17 |  | disburse funds of the
association for the maximum amount of  | 
| 18 |  | coverage available to protect funds
in the custody or control  | 
| 19 |  | of the association plus the association reserve
fund. All  | 
| 20 |  | management companies which are responsible for the funds held  | 
| 21 |  | or
administered by the association shall maintain and furnish  | 
| 22 |  | to the
association a fidelity bond for the maximum amount of  | 
| 23 |  | coverage available to
protect funds in the custody of the  | 
| 24 |  | management company at any time. The
association shall bear the  | 
| 25 |  | cost of the fidelity insurance and fidelity
bond, unless  | 
| 26 |  | otherwise provided by contract between the association and a
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| 1 |  | management company. The association shall be the direct obligee  | 
| 2 |  | of any
such fidelity bond. A management company holding reserve  | 
| 3 |  | funds of an
association shall at all times maintain a separate  | 
| 4 |  | account for each
association, provided, however, that for  | 
| 5 |  | investment purposes, the Board of
Managers of an association  | 
| 6 |  | may authorize a management company to maintain
the  | 
| 7 |  | association's reserve funds in a single interest bearing  | 
| 8 |  | account with
similar funds of other associations. The  | 
| 9 |  | management company shall at all
times maintain records  | 
| 10 |  | identifying all moneys of each association in such
investment  | 
| 11 |  | account. The management company may hold all operating funds of
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| 12 |  | associations which it manages in a single operating account but  | 
| 13 |  | shall at
all times maintain records identifying all moneys of  | 
| 14 |  | each association in
such operating account. Such operating and  | 
| 15 |  | reserve funds held by the
management company for the  | 
| 16 |  | association shall not be subject to attachment
by any creditor  | 
| 17 |  | of the management company.
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| 18 |  |  For the purpose of this subsection a management company  | 
| 19 |  | shall be
defined as a person, partnership, corporation, or  | 
| 20 |  | other legal entity
entitled to transact business on behalf of  | 
| 21 |  | others, acting on behalf of or
as an agent for a unit owner,  | 
| 22 |  | unit owners or association of unit owners for
the purpose of  | 
| 23 |  | carrying out the duties, responsibilities, and other
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| 24 |  | obligations necessary for the day to day operation and  | 
| 25 |  | management of any
property subject to this Act. For purposes of  | 
| 26 |  | this subsection, the term
"fiduciary insurance coverage" shall  | 
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| 1 |  | be defined as both a fidelity bond and
directors and officers  | 
| 2 |  | liability coverage, the fidelity bond in the full
amount of  | 
| 3 |  | association funds and association reserves that will be in the
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| 4 |  | custody of the association, and the directors and officers  | 
| 5 |  | liability
coverage at a level as shall be determined to be  | 
| 6 |  | reasonable by the board of
managers, if not otherwise  | 
| 7 |  | established by the declaration or by laws.
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| 8 |  |  Until one year after the effective date of this amendatory  | 
| 9 |  | Act of 1985,
if a condominium association has reserves plus  | 
| 10 |  | assessments in excess of
$250,000 and cannot reasonably obtain  | 
| 11 |  | 100% fidelity bond coverage for such
amount, then it must  | 
| 12 |  | obtain a fidelity bond coverage of $250,000.
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| 13 |  |  (h) Method of estimating the amount of the annual budget,  | 
| 14 |  | and the manner
of assessing and collecting from the unit owners  | 
| 15 |  | their respective shares of
such estimated expenses, and of any  | 
| 16 |  | other expenses lawfully agreed upon.
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| 17 |  |  (i) That upon 10 days notice to the manager or board of  | 
| 18 |  | managers and
payment of a reasonable fee, any unit owner shall  | 
| 19 |  | be furnished a statement
of his account setting forth the  | 
| 20 |  | amount of any unpaid assessments or other
charges due and owing  | 
| 21 |  | from such owner.
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| 22 |  |  (j) Designation and removal of personnel necessary for the  | 
| 23 |  | maintenance,
repair and replacement of the common elements.
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| 24 |  |  (k) Such restrictions on and requirements respecting the  | 
| 25 |  | use and
maintenance of the units and the use of the common  | 
| 26 |  | elements, not set forth
in the declaration, as are designed to  | 
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| 1 |  | prevent unreasonable interference
with the use of their  | 
| 2 |  | respective units and of the common elements by the
several unit  | 
| 3 |  | owners.
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| 4 |  |  (l) Method of adopting and of amending administrative rules  | 
| 5 |  | and
regulations governing the operation and use of the common  | 
| 6 |  | elements.
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| 7 |  |  (m) The percentage of votes required to modify or amend the  | 
| 8 |  | bylaws, but
each one of the particulars set forth in this  | 
| 9 |  | section shall always be
embodied in the bylaws.
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| 10 |  |  (n)(i) The provisions of this Act, the declaration, bylaws,  | 
| 11 |  | other
condominium instruments, and rules and regulations that  | 
| 12 |  | relate to the use
of the individual unit or the common elements  | 
| 13 |  | shall be applicable to
any person leasing a unit and shall be  | 
| 14 |  | deemed to be incorporated in any
lease executed or renewed on  | 
| 15 |  | or after the effective date of this amendatory
Act of 1984.  | 
| 16 |  | (ii) With regard to any lease entered into subsequent to the
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| 17 |  | effective date of this amendatory Act of 1989, the unit owner  | 
| 18 |  | leasing the
unit shall deliver a copy of the signed lease to  | 
| 19 |  | the board or if the
lease is oral, a memorandum of the lease,  | 
| 20 |  | not later than the date of
occupancy or 10 days after the lease  | 
| 21 |  | is signed, whichever occurs first. In
addition to any other  | 
| 22 |  | remedies, by filing an action jointly against the
tenant and  | 
| 23 |  | the unit owner, an association may seek to enjoin a tenant from
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| 24 |  | occupying a unit or seek to evict a tenant under the provisions  | 
| 25 |  | of Article
IX of the Code of Civil Procedure for failure of the  | 
| 26 |  | lessor-owner to
comply with the leasing requirements  | 
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| 1 |  | prescribed by
this Section or by the declaration, bylaws, and
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| 2 |  | rules and regulations. The board of managers may proceed  | 
| 3 |  | directly against a
tenant, at law or in equity, or under the  | 
| 4 |  | provisions of Article IX of the
Code of Civil Procedure, for  | 
| 5 |  | any other breach by tenant of any
covenants, rules, regulations  | 
| 6 |  | or bylaws.
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| 7 |  |  (o) The association shall have no authority to forbear the  | 
| 8 |  | payment
of assessments by any unit owner.
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| 9 |  |  (p) That when 30% or fewer of the units, by number,
possess  | 
| 10 |  | over 50% in the aggregate of the votes in the association,
any  | 
| 11 |  | percentage vote of members specified herein or in the  | 
| 12 |  | condominium
instruments shall require the specified percentage  | 
| 13 |  | by number of units
rather than by percentage of interest in the  | 
| 14 |  | common elements allocated
to units that would otherwise be  | 
| 15 |  | applicable and garage units or storage units, or both, shall  | 
| 16 |  | have, in total, no more votes than their aggregate percentage  | 
| 17 |  | of ownership in the common elements; this shall mean that if  | 
| 18 |  | garage units or storage units, or both, are to be given a vote,  | 
| 19 |  | or portion of a vote, that the association must add the total  | 
| 20 |  | number of votes cast of garage units, storage units, or both,  | 
| 21 |  | and divide the total by the number of garage units, storage  | 
| 22 |  | units, or both, and multiply by the aggregate percentage of  | 
| 23 |  | ownership of garage units and storage units to determine the  | 
| 24 |  | vote, or portion of a vote, that garage units or storage units,  | 
| 25 |  | or both, have. For purposes of this subsection (p), when making  | 
| 26 |  | a determination of whether 30% or fewer of the units, by  | 
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| 1 |  | number, possess over 50% in the aggregate of the votes in the  | 
| 2 |  | association, a unit shall not include a garage unit or a  | 
| 3 |  | storage unit.
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| 4 |  |  (q) That a unit owner may not assign, delegate, transfer,  | 
| 5 |  | surrender, or
avoid the duties, responsibilities, and  | 
| 6 |  | liabilities of a unit owner under this
Act, the condominium  | 
| 7 |  | instruments, or the rules and regulations of the
Association;  | 
| 8 |  | and that such an attempted assignment, delegation, transfer,
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| 9 |  | surrender, or avoidance shall be deemed void.
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| 10 |  |  The provisions of this Section are applicable to all  | 
| 11 |  | condominium
instruments recorded under this Act. Any portion of  | 
| 12 |  | a condominium
instrument which contains provisions contrary to  | 
| 13 |  | these provisions shall be
void as against public policy and  | 
| 14 |  | ineffective. Any such instrument which
fails to contain the  | 
| 15 |  | provisions required by this Section shall be deemed to
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| 16 |  | incorporate such provisions by operation of law.
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| 17 |  | (Source: P.A. 98-1042, eff. 1-1-15.)
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| 18 |  |  (765 ILCS 605/27) (from Ch. 30, par. 327)
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| 19 |  |  Sec. 27. Amendments.  | 
| 20 |  |  (a) If there is any unit owner other than the developer,  | 
| 21 |  | and unless otherwise provided in this Act,
the condominium  | 
| 22 |  | instruments shall be amended only as follows: | 
| 23 |  |   (i) upon the
affirmative vote of 2/3 of those voting or  | 
| 24 |  |  upon the majority
specified by the condominium  | 
| 25 |  |  instruments, provided that in no event shall the  | 
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| 1 |  |  condominium instruments require more than a three-quarters  | 
| 2 |  |  vote of all unit owners; and
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| 3 |  |   (ii) with the
approval of, or notice to, any mortgagees  | 
| 4 |  |  or other lienholders of record, if required under the  | 
| 5 |  |  provisions of
the condominium instruments.
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| 6 |  |  (b)(1) If there is an omission, error, or inconsistency in  | 
| 7 |  | a condominium instrument, such that a provision of a  | 
| 8 |  | condominium instrument does not conform to this Act or to  | 
| 9 |  | another applicable statute, the association may correct the  | 
| 10 |  | omission, error, or inconsistency to conform the condominium  | 
| 11 |  | instrument to this Act or to another applicable statute by an  | 
| 12 |  | amendment adopted by vote of two-thirds of the Board of  | 
| 13 |  | Managers, without a unit owner vote. A provision in a  | 
| 14 |  | condominium instrument requiring or allowing unit owners,  | 
| 15 |  | mortgagees, or other lienholders of record to vote to approve  | 
| 16 |  | an amendment to a condominium instrument, or for the mortgagees  | 
| 17 |  | or other lienholders of record to be given notice of an  | 
| 18 |  | amendment to a condominium instrument, is not applicable to an  | 
| 19 |  | amendment to the extent that the amendment corrects an  | 
| 20 |  | omission, error, or inconsistency to conform the condominium  | 
| 21 |  | instrument to this Act or to another applicable statute or  | 
| 22 |  | error in the declaration, bylaws
or other condominium  | 
| 23 |  | instrument, the association may correct the error or
omission  | 
| 24 |  | by an amendment to the declaration, bylaws, or other  | 
| 25 |  | condominium
instrument in such respects as may be required to  | 
| 26 |  | conform to this Act, and
any other applicable statute or to the  | 
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| 1 |  | declaration by vote of two-thirds
of the members of the Board  | 
| 2 |  | of Managers or by a majority vote of the unit
owners at a  | 
| 3 |  | meeting called for this purpose, unless the Act or the
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| 4 |  | condominium instruments specifically provide for greater  | 
| 5 |  | percentages or
different procedures.
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| 6 |  |  (2) If through a scrivener's error, a unit has not been
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| 7 |  | designated as owning an appropriate undivided share of the  | 
| 8 |  | common elements
or does not bear an appropriate share of the  | 
| 9 |  | common expenses or that all
the common expenses or all of the  | 
| 10 |  | common elements in the condominium have
not been distributed in  | 
| 11 |  | the declaration, so that the sum total of the shares
of common  | 
| 12 |  | elements which have been distributed or the sum total of the  | 
| 13 |  | shares
of the common expenses fail to equal 100%, or if it  | 
| 14 |  | appears that more than
100% of the common elements or common  | 
| 15 |  | expenses have been distributed, the
error may be corrected by  | 
| 16 |  | operation of law by filing an amendment to the
declaration  | 
| 17 |  | approved by vote of two-thirds of the members of the Board
of  | 
| 18 |  | Managers or a majority vote of the unit owners at a meeting  | 
| 19 |  | called for
this purpose which proportionately adjusts all  | 
| 20 |  | percentage interests so that
the total is equal to 100% unless  | 
| 21 |  | the condominium instruments specifically
provide for a  | 
| 22 |  | different procedure or different percentage vote by the owners
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| 23 |  | of the units and the owners of mortgages thereon affected by  | 
| 24 |  | modification
being made in the undivided interest in the common  | 
| 25 |  | elements, the number
of votes in the unit owners association or  | 
| 26 |  | the liability for common expenses
appertaining to the unit.
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| 1 |  |  (3) If an omission or error or a scrivener's error in the  | 
| 2 |  | declaration,
bylaws or other condominium instrument is  | 
| 3 |  | corrected by vote of
two-thirds of the members of the
Board of  | 
| 4 |  | Managers pursuant to the authority established in subsections  | 
| 5 |  | (b)(1)
or (b)(2) of Section 27 of this Act, the Board upon  | 
| 6 |  | written petition by
unit owners with 20 percent of the votes of  | 
| 7 |  | the association filed within
30 days of the Board action shall  | 
| 8 |  | call a meeting of the unit owners within
30 days of the filing  | 
| 9 |  | of the petition to consider the Board action. Unless
a majority  | 
| 10 |  | of the votes of the unit owners of the association are cast at  | 
| 11 |  | the
meeting to reject the action, it is ratified whether or not  | 
| 12 |  | a quorum is present.
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| 13 |  |  (4) The procedures for amendments set forth in this  | 
| 14 |  | subsection (b) cannot be
used if such an amendment would  | 
| 15 |  | materially or adversely affect property
rights of the unit  | 
| 16 |  | owners unless the affected unit owners consent in writing.
This  | 
| 17 |  | Section does not restrict the powers of the association to  | 
| 18 |  | otherwise
amend the declaration, bylaws, or other condominium  | 
| 19 |  | instruments, but authorizes
a simple process of amendment  | 
| 20 |  | requiring a lesser vote for the purpose of
correcting defects,  | 
| 21 |  | errors, or omissions when the property rights of the
unit  | 
| 22 |  | owners are not materially or adversely affected.
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| 23 |  |  (5) If there is an omission or error in the declaration,  | 
| 24 |  | bylaws, or other
condominium instruments, which may not be  | 
| 25 |  | corrected by an amendment procedure
set forth in paragraphs (1)  | 
| 26 |  | and (2) of subsection (b) of Section 27 in the
declaration then  | 
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| 1 |  | the Circuit Court in the County in which the condominium
is  | 
| 2 |  | located shall have jurisdiction to hear a petition of one or  | 
| 3 |  | more of the
unit owners thereon or of the association, to  | 
| 4 |  | correct the error or omission,
and the action may be a class  | 
| 5 |  | action. The court may require that one or
more methods of  | 
| 6 |  | correcting the error or omission be submitted to the unit
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| 7 |  | owners to determine the most acceptable correction. All unit  | 
| 8 |  | owners in the
association must be joined as parties to the  | 
| 9 |  | action. Service of process on
owners may be by publication, but  | 
| 10 |  | the plaintiff shall furnish all unit
owners not personally  | 
| 11 |  | served with process with copies of the petition and
final  | 
| 12 |  | judgment of the court by certified mail return receipt  | 
| 13 |  | requested, at
their last known address.
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| 14 |  |  (6) Nothing contained in this Section shall be construed to  | 
| 15 |  | invalidate
any provision of a condominium instrument  | 
| 16 |  | authorizing the developer to amend
a condominium instrument  | 
| 17 |  | prior to the latest date on which the initial
membership  | 
| 18 |  | meeting of the unit owners must be held, whether or nor it has
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| 19 |  | actually been held, to bring the instrument into compliance  | 
| 20 |  | with the legal
requirements of the Federal National Mortgage  | 
| 21 |  | Association, the Federal Home
Loan Mortgage Corporation, the  | 
| 22 |  | Federal Housing Administration, the United
States Veterans  | 
| 23 |  | Administration or their respective successors and assigns.
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| 24 |  | (Source: P.A. 98-282, eff. 1-1-14.)
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