33-1242. Powers of unit owners' association;
notice to unit owner of violation


A. Subject to the provisions of the declaration, the association may:


1. Adopt and amend bylaws and rules.


2. Adopt and amend budgets for revenues, expenditures and reserves and collect
assessments for common expenses from unit owners.


3. Hire and discharge managing agents and other employees, agents and independent
contractors.


4. Institute, defend or intervene in litigation or administrative proceedings in
its own name on behalf of itself or two or more unit owners on matters affecting the
condominium.


5. Make contracts and incur liabilities.


6. Regulate the use, maintenance, repair, replacement and modification of common
elements.


7. Cause additional improvements to be made as a part of the common elements.


8. Acquire, hold, encumber and convey in its own name any right, title or interest
to real or personal property, except that common elements may be conveyed or subjected to
a security interest only pursuant to section 33-1252.


9. Grant easements, leases, licenses and concessions through or over the common
elements.


10. Impose and receive any payments, fees or charges for the use, rental or
operation of the common elements other than limited common elements described in section
33-1212, paragraphs 2 and 4 and for services provided to unit owners.


11. Impose charges for late payment of assessments and, after notice and an
opportunity to be heard, impose reasonable monetary penalties upon unit owners for
violations of the declaration, bylaws and rules of the association.


12. Impose reasonable charges for the preparation and recordation of amendments to
the declaration or statements of unpaid assessments.


13. Provide for the indemnification of its officers and executive board of directors
and maintain directors' and officers' liability insurance.


14. Assign its right to future income, including the right to receive common expense
assessments, but only to the extent the declaration expressly provides.


15. Be a member of a master association or other entity owning, maintaining or
governing in any respect any portion of the common elements or other property benefitting
or related to the condominium or the unit owners in any respect.


16. Exercise any other powers conferred by the declaration or bylaws.


17. Exercise all other powers that may be exercised in this state by legal entities
of the same type as the association.


18. Exercise any other powers necessary and proper for the governance and operation
of the association.


B. A unit owner who receives a written notice that the condition of the property
owned by the unit owner is in violation of a requirement of the condominium documents
without regard to whether a monetary penalty is imposed by the notice may provide the
association with a written response by sending the response by certified mail within ten
business days after the date of the notice. The response shall be sent to the address
contained in the notice or in the recorded notice prescribed by section 33-1256,
subsection J.


C. Within ten business days after receipt of the certified mail containing the
response from the unit owner, the association shall respond to the unit owner with a
written explanation regarding the notice that shall provide at least the following
information unless previously provided in the notice of violation:


1. The provision of the condominium documents that has allegedly been violated.


2. The date of the violation or the date the violation was observed.


3. The first and last name of the person or persons who observed the violation.


4. The process the unit owner must follow to contest the notice.


D. Unless the information required in subsection C, paragraph 4 of this section is
provided in the notice of violation, the association shall not proceed with any action to
enforce the condominium documents, including the collection of attorney fees, before or
during the time prescribed by subsection C of this section regarding the exchange of
information between the association and the unit owner. At any time before or after
completion of the exchange of information pursuant to this section, the unit owner may
petition for a hearing pursuant to section 41-2198.01 if the dispute is within the
jurisdiction of the department of fire, building and life safety as prescribed in section
41-2198.01, subsection B.