Condo Association Disputes in New Jersey FAQs

A condominium, or “condo,” is a form of housing where individual units within a larger building or complex are separately owned, while common areas are jointly owned by all unit owners. In New Jersey, condominiums are primarily governed by the New Jersey Condominium Act (N.J.S.A. 46:8B-1 et seq.), which sets forth the legal framework for creating and managing condominium associations.

To qualify as a condominium in New Jersey, the following criteria must be met: creation, units, common elements, governing documents, and a condominium association.

In New Jersey, common types of disputes that arise in condominium associations often involve issues related to maintenance and repair, rule enforcement, noise and nuisance complaints, assessments, and board member or management disputes.

In New Jersey, a condominium association is responsible for managing the common elements, enforcing rules and regulations, addressing disputes, and maintaining the financial health of the condominium. The association’s specific responsibilities are typically outlined in the governing documents, which include the master deed, bylaws, and rules and regulations. Some of the key responsibilities of a condominium association in New Jersey include: maintenance and repair of common elements, enforcement of rules and regulations, financial management, insurance, dispute resolution, and a board of directors.

In New Jersey, condo owners typically have to pay various fees and assessments to cover their share of the expenses related to the management, maintenance, and operation of the condominium community. These fees and assessments can vary depending on the specific condominium and its governing documents. However, common types of fees and assessments that condo owners in New Jersey may have to pay include monthly maintenance fees, special assessments, reserve fund contributions, utility fees, fines and penalties, and insurance premiums.

In New Jersey, when a dispute arises involving a condominium association, the board of directors plays a key role in resolving the conflict. The process of resolving disputes may differ depending on the specific issue and the association’s governing documents, but there are several general steps that board members can follow to address and resolve disputes such as, communication, reviewing governing documents, internal resolution, mediation, arbitration, and as a last resort, litigation.

If a condo owner has a complaint or concern, they would like to bring to the attention of their condo association, they can follow these general steps: before raising a complaint, the owner should first review governing documents, then they should gather evidence or documentation related to the complaint and submit a written formal complaint to the association’s board of directors or property management company. If allowed by the association’s meeting procedures, the owner should start attending board meetings to raise the complaint in person. The owner should continue to follow up with the board and if the complaint is noy resolved to the owner’s satisfaction, they may need to consider exploring alternative dispute resolution methods like mediation or litigation.

Architectural review committees (ARCs) are important for condominium communities in New Jersey, as they help to maintain aesthetic standards, property values, and overall harmony within the community. Although not required by law, many condominium associations establish ARCs to review and approve proposed changes to individual units or common areas.

In New Jersey, there are several methods for resolving disputes involving condominium associations and unit owners. These methods range from informal resolution to formal legal proceedings. Some of the most common dispute resolution methods include:

Communication and Negotiation: Open and clear communication between the disputing parties is often the first step in resolving a conflict. In many cases, misunderstandings or miscommunications can be resolved through direct discussions and negotiations between the parties involved.

Internal Resolution: Condominium associations may have internal procedures for addressing and resolving disputes outlined in their governing documents. This can involve discussing the issue at a board meeting, organizing a meeting between the disputing parties, or having the board decide based on the governing documents and the facts of the situation.

Mediation: Mediation is a voluntary process that involves a neutral third party who helps facilitate discussions between disputing parties to reach a mutually agreeable solution. Mediation can be less adversarial, less expensive, and more efficient than litigation. In New Jersey, the Community Associations Institute (CAI) offers a mediation program designed to assist in resolving disputes between associations and unit owners.

Arbitration: In some cases, arbitration may be an option for resolving disputes, either as stipulated in the governing documents or by mutual agreement of the parties. Arbitration involves a neutral third party who listens to both sides and makes a binding decision. While arbitration is like litigation, it is generally less formal, less expensive, and more expeditious.

Litigation: If all other dispute resolution methods have been exhausted or are not feasible, litigation may be the last resort. This involves taking the dispute to court, where a judge will decide based on the facts and the applicable laws. Litigation can be time-consuming, costly, and adversarial, but may be necessary in certain situations.

New Jersey Department of Community Affairs (DCA): In some cases, disputes involving condominium associations may fall under the jurisdiction of the New Jersey Department of Community Affairs, which is responsible for enforcing the New Jersey Condominium Act and other relevant laws. The DCA can provide guidance on applicable regulations and may be able to intervene in certain situations.