TITLE XXXI
TRADE AND COMMERCE

CHAPTER 356-B
CONDOMINIUM ACT

III. Unit Owners' Associations

Section 356-B:36

    356-B:36 Control by the Declarant. –
I. The condominium instruments may authorize the declarant, or a managing agent or some other person or persons selected or to be selected by the declarant, to appoint and remove some or all of the officers of the unit owners' association or its board of directors, or both, or to exercise powers and responsibilities otherwise assigned by the condominium instruments and by this chapter to the unit owners' association, the officers, or the board of directors. But no amendment to the condominium instruments shall increase the scope of such authorization if there is any unit owner other than the declarant, and no such authorization shall be valid after the time limit set by the condominium instruments or after units to which 3/4 of the undivided interests in the common areas appertain have been conveyed, whichever occurs first. The time limit initially set by the condominium instruments shall not exceed 5 years in the case of an expandable condominium, 3 years in the case of a condominium containing any convertible land, or 2 years in the case of any other condominium.
II. If entered into during the period of control contemplated by paragraph I, no management contract, lease of recreational areas or facilities, or any other contract or lease executed by or on behalf of the unit owners' association, its board of directors, or the unit owners as a group, shall be binding after such period of control unless then renewed or ratified with the consent of unit owners of units to which a majority of the votes in the unit owners' association appertain.
III. If the unit owners' association is not in existence or does not have officers at the time of the creation of the condominium, the declarant shall, until there is such an association with such officers, have the power and the responsibility to act in all instances where this chapter requires action by the unit owners' association, its board of directors, or any officer or officers.
IV. This section shall be strictly construed to protect the rights of the unit owners.

Source. 1977, 468:1, eff. Sept. 10, 1977.