Condo Associations


Creating, Changing, and Dissolving Condo Associations

There are many statutory provisions and acts relating to real estate associations that one must be aware of in creating, altering or terminating a real estate association; in properly operating a real estate association; and in disputing a real estate association.  Central among these statutory provisions is the Maine Condominium Act and the Maine Nonprofit Corporation Act.  Other laws and regulations that might come into play in a condominium, home owners’ or road association issue include the Federal Interstate Land Sales Act, the Americans with Disabilities Act, the Fair Housing Act, as well as various zoning, subdivision, and land use ordinances and statutes.

In disputing a condominium association, for example, one must be familiar with unique tort and contract liability provisions within Maine statutes.  Likewise, in operating a condominium association, the condominium Board must understand unit lien laws, assessment laws and the laws relating to declarants. 

For help navigating legal issues involving any real estate association, consult an attorney

Related Legal Terms and Definitions

Allocated Interests - the undivided interests in the common elements, the common expense liability and votes in the association allocated to each unit

Common Elements - all portions of a condominium other than the units

Common Expenses - expenditures made by or financial liabilities of the association, together with any allocations to reserves

Condominium - real estate, portions of which are designated for separate ownership and the remainder of which is designated for common ownership solely by the owners of those portions under a declaration, or an amendment to a declaration, duly recorded pursuant to this Act. Real estate is not a condominium unless the undivided interests in the common elements are vested in the unit owners. Any real estate development consisting exclusively of clustered, detached, single family residences is not a condominium, unless so designated in the declaration.

Declarant - any person or group of persons acting in concert who: 1) As part of a common promotional plan, offers to dispose of his or its interest in a unit not previously disposed of; or 2) reserves or succeeds to any special declarant right

Executive Board - the body, regardless of name, designated in the declaration to act on behalf of the association

Articles of Incorporation - the original or restated articles of incorporation and all amendments thereto.  It includes the certificate of incorporation, articles of merger, articles of consolidation and, in the case of a corporation created by special Act of the Legislature, the special Act and any amendments thereto.

Board of Directors - means the group of persons vested with the management of the affairs of the corporation irrespective of the various names, such as board of trustees or board of managers, by which such group is designated

Bylaws - the code or codes of rules adopted for the regulation or management of the affairs of the corporation irrespective of the name or names by which such rules are designated and includes the corporation's constitution unless the constitution is filed as the articles of incorporation or enacted by the Legislature in a special Act

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This is for general information only. It is not intended as legal advice.