A common interest development shall be managed by an association that may be incorporated or unincorporated. The association may be referred to as an owners’ association or a community association.
Article 1Association Existence and Powers
Section § 4800
This law states that properties with shared interests, like condos or planned communities, must be managed by an organization. This managing body can be either formally incorporated as a company or informal and unincorporated. The association can be called an owners’ association or a community association.
common interest development association owners' association community association incorporated unincorporated property management shared interests condominiums planned communities
Section § 4805
This law section states that a homeowners association (HOA) can use the same powers as a nonprofit mutual benefit corporation, as described in another part of the law, unless their own rules say otherwise. However, if the HOA is not formally recognized as a corporation, it can't use a corporate seal or hand out membership certificates. Additionally, both types of associations can make use of other powers mentioned in this legal act.
(a)CA Civil Law Code § 4805(a) Unless the governing documents provide otherwise, and regardless of whether the association is incorporated or unincorporated, the association may exercise the powers granted to a nonprofit mutual benefit corporation, as enumerated in Section 7140 of the Corporations Code, except that an unincorporated association may not adopt or use a corporate seal or issue membership certificates in accordance with Section 7313 of the Corporations Code.
(b)CA Civil Law Code § 4805(b) The association, whether incorporated or unincorporated, may exercise the powers granted to an association in this act.
homeowners association nonprofit mutual benefit corporation incorporated association unincorporated association corporate seal membership certificates association powers governing documents
Section § 4820
This law allows members of neighborhood associations that have combined certain functions into a joint group to attend most of the joint group’s meetings, have a fair chance to participate in these meetings, and access the joint group’s records just like they can with their original association’s records.
Whenever two or more associations have consolidated any of their functions under a joint neighborhood association or similar organization, members of each participating association shall be (a) entitled to attend all meetings of the joint association other than executive sessions, (b) given reasonable opportunity for participation in those meetings, and (c) entitled to the same access to the joint association’s records as they are to the participating association’s records.
joint neighborhood association membership rights meeting attendance participation rights access to records executive sessions consolidated functions neighborhood associations joint organization association members record access
