HOUSE ENROLLED ACT No. 1074
AN ACT to amend the Indiana Code concerning property.
Be it enacted by the General Assembly of the State of Indiana:
SECTION 1. IC 32-25.5-1-1, AS AMENDED BY P.L.164-2016,
SECTION 4, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
UPON PASSAGE]: Sec. 1. (a) Subject to subsection (b), this article
applies to the following:
(1) A homeowners association established after June 30, 2009,
that is authorized to impose mandatory dues on the homeowners
association's members.
(2) A homeowners association established before July 1, 2009:
(A) if a majority of the members of the homeowners
association elect to be governed by this article; or
(B) if the number of members required by the homeowners
association's governing documents elect to be governed by this
article if a different number of members other than the number
established in clause (A) is required by the governing
documents.
(b) The following apply to all homeowners associations, including
a homeowners association described in subsection (a)(2), regardless of
whether the members of the homeowners association have elected
under subsection (a)(2)(A) or (a)(2)(B) to be governed by this article:
(1) IC 32-25.5-3-3(g) through IC 32-25.5-3-3(m).
(2) IC 32-25.5-3-9.
(3) IC 32-25.5-3-10.
(4) IC 32-25.5-3-11.
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(4)
(5)
IC 32-25.5-4.
(5)
(6)
IC 32-25.5-5.
SECTION 2. IC 32-25.5-3-10, AS ADDED BY P.L.141-2015,
SECTION 12, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
UPON PASSAGE]: Sec. 10. (a) This section applies to a proxy given
by a member of a homeowners association.
(b) A proxy that does not comply with this subsection is void. A
proxy must include all the following:
(1) The name and address of the member giving the proxy.
(2) The name of the individual empowered to exercise the
member's proxy.
(3) The date on which the proxy is given.
(4) The date of the meeting for which the proxy is given.
(5) The member's signature,
whether executed by hand or as an
electronic signature.
(6) An affirmation under the penalties for perjury that the
individual signing the proxy has the authority to grant the proxy
to the individual named in the proxy to exercise the member's
proxy.
(c) A member may state in a proxy that the proxy is limited in its use
to specific matters described in the proxy.
(d) A member may give a proxy for the meeting referred to in
subsection (b)(4) and any continuation of that meeting, if the proxy
states that it expires on a stated date that may not be more than one
hundred eighty (180) days after the date on which the proxy is given.
(e) A member may create and use a proxy form designed by the
member if the form complies with the requirements of subsection (b).
(f) A proxy, or a copy of the proxy,
regardless of whether the copy
is a paper copy or an electronic copy,
that is exercised for any
purpose at a meeting must be kept with the records of the meeting.
(g) Notwithstanding subsection (b)(6), a member may submit a
proxy that complies with this section by:
(1) hand delivery;
(2) United States mail;
(3) facsimile; or
(4) electronic mail or other electronic means.
SECTION 3. IC 32-25.5-3-11 IS ADDED TO THE INDIANA
CODE AS A
NEW
SECTION TO READ AS FOLLOWS
[EFFECTIVE UPON PASSAGE]:
Sec. 11. (a) If:
(1) a meeting of a homeowners association is called in
accordance with the requirements of the homeowners
association's governing documents, regardless of whether the
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meeting is:
(A) an annual meeting;
(B) a special meeting; or
(C) any other meeting called by the board or the members;
(2) a purpose of the meeting is the election or appointment of
members of the board of directors of the homeowners
association; and
(3) the number of members of the homeowners association in
attendance at the meeting does not constitute a quorum as
defined in the governing documents of the homeowners
association;
the members of the board of directors at the time of the meeting
may continue to serve until their successors are selected and
qualified, regardless of the length of any member's term or the
number of terms the member has served.
(b) The failure of a homeowners association to achieve a
quorum at a meeting described in subsection (a) does not exempt
any member from, or create an affirmative defense for any
member with respect to:
(1) the member's obligations under the homeowners
association's governing documents; or
(2) the member's obligations to otherwise abide by covenants
regulating:
(A) the use of real estate; or
(B) the payment of assessments.
(c) If a homeowners association's governing documents permit
both the homeowners association and members of the homeowners
association to enforce provisions of the governing documents, the
homeowners association has authority both:
(1) as a corporation or an entity; and
(2) as derived from the members of the homeowners
association's board;
to enforce the governing documents of the homeowners association.
SECTION 4.
An emergency is declared for this act.New Paragraph