This is a historical version of this section. See bottom of page for effective date.
Superseded.
57-8a-104. Limitation on requirements for amending governing documents -- Limitation on contracts.
(1) As used in this section, "period of administrative
control" means the period during which the person who filed the
association's governing documents or a successor in interest retains authority
to:
(a) appoint or remove members of the association's
board of directors; or
(b) exercise power or authority assigned to the
association under its governing documents.
(2) (a) (i) Governing documents may not require that an
amendment to the governing documents adopted after the period of administrative
control be approved by more than 67% of the voting interests.
(ii) The
vote required to adopt an amendment to governing documents may not be greater
than 67% of the voting interests, notwithstanding a provision of the governing
documents requiring a greater percentage and regardless of whether the governing
documents were adopted before, on, or after May 10, 2011.
(b) Subsection (2)(a) does not apply to an amendment
affecting only:
(i) lot
boundaries; or
(ii)
members' voting rights.
(3) (a) A contract for services such as garbage collection,
maintenance, lawn care, or snow removal executed on behalf of the association
during a period of administrative control is binding beyond the period of
administrative control unless terminated by the board of directors after the
period of administrative control ends.
(b) Subsection (3)(a) does not apply to golf course
and amenity management, utilities, cable services, and other similar services
that require an investment of infrastructure or capital.
(4) Voting interests under Subsections (2) and (3) are
calculated in the manner required by the governing documents.
(5) Nothing in this section affects any other rights
reserved by the person who filed the association's original governing documents
or a successor in interest.
Amended by Chapter 137, 2011 General Session