MCQ Flashcards

A homeowner files a request for a reasonable accommodation to keep an emotional support animal in a no-pets community. The association must:

Answer: Engage in an interactive process and evaluate the request individually

The Fair Housing Act requires associations to engage in an interactive process to evaluate reasonable accommodation requests on a case-by-case basis.

The 'business judgment rule' protects board members when they:

Answer: Make decisions in good faith and with reasonable care

The business judgment rule shields board members from personal liability when decisions are made in good faith, with due care, and in the association's best interest.

An association wants to amend its declaration of covenants. What approval threshold is typically required?

Answer: A supermajority of the membership, often 67% or 75%

Amending the declaration typically requires a supermajority vote of the membership because it is the foundational governing document.

Which report provides a snapshot of the association's financial position — assets, liabilities, and equity — at a specific point in time?

Answer: Balance sheet

The balance sheet (statement of financial position) shows assets, liabilities, and fund equity at a single date, reflecting the association's net worth.

A quorum fails to appear at an annual meeting. The correct procedure under most bylaws is to:

Answer: Adjourn the meeting to a later date

Without a quorum, most bylaws require the meeting to be adjourned to a future date when a quorum can be achieved.

Under the Americans with Disabilities Act (ADA), community associations that operate as places of public accommodation must:

Answer: Remove architectural barriers where readily achievable

Places of public accommodation must remove architectural barriers when doing so is readily achievable — feasible without much difficulty or expense.

An owner is renting their unit in violation of the association's rental restriction. The most effective enforcement escalation path is:

Answer: Issue a fine, then place a lien if unpaid, and seek injunctive relief

Enforcement typically escalates from notice to fine to lien, and ultimately to court-ordered injunctive relief to compel compliance.