Section § 5400

Explanation

The Department of Consumer Affairs and the Bureau of Real Estate need to create an online course about the roles, duties, laws, and responsibilities of directors and those who may become directors, as well as how nonjudicial foreclosure works, but only if they have the funds for it.

To the extent existing funds are available, the Department of Consumer Affairs and the Bureau of Real Estate shall develop an online education course for the board regarding the role, duties, laws, and responsibilities of directors and prospective directors, and the nonjudicial foreclosure process.

Section § 5405

Explanation

This law requires homeowners' associations (HOAs) in California to provide specific information to the Secretary of State about the common interest developments they manage, such as the association's name, addresses, and leadership contacts. Incorporated associations must file within 90 days of forming or whenever they report their primary business activity. Unincorporated associations file every two years. Any changes in address must be reported within 60 days, and noncompliance can result in penalties or suspension of corporate privileges. Some information is public, while certain parts are restricted to government agencies. Updated filings replace old ones, and outdated forms can be destroyed.

(a)CA Civil Law Code § 5405(a) To assist with the identification of common interest developments, each association, whether incorporated or unincorporated, shall submit to the Secretary of State, on a form and for a fee not to exceed thirty dollars ($30) that the Secretary of State shall prescribe, the following information concerning the association and the development that it manages:
(1)CA Civil Law Code § 5405(a)(1) A statement that the association is formed to manage a common interest development under the Davis-Stirling Common Interest Development Act.
(2)CA Civil Law Code § 5405(a)(2) The name of the association.
(3)CA Civil Law Code § 5405(a)(3) The street address of the business or corporate office of the association, if any.
(4)CA Civil Law Code § 5405(a)(4) The street address of the association’s onsite office, if different from the street address of the business or corporate office, or if there is no onsite office, the street address of the responsible officer or managing agent of the association.
(5)CA Civil Law Code § 5405(a)(5) The name, address, and either the daytime telephone number or email address of the president of the association, other than the address, telephone number, or email address of the association’s onsite office or managing agent.
(6)CA Civil Law Code § 5405(a)(6) The name, street address, and daytime telephone number of the association’s managing agent, if any.
(7)CA Civil Law Code § 5405(a)(7) The county, and, if in an incorporated area, the city in which the development is physically located. If the boundaries of the development are physically located in more than one county, each of the counties in which it is located.
(8)CA Civil Law Code § 5405(a)(8) If the development is in an unincorporated area, the city closest in proximity to the development.
(9)CA Civil Law Code § 5405(a)(9) The front street and nearest cross street of the physical location of the development.
(10)CA Civil Law Code § 5405(a)(10) The type of common interest development managed by the association.
(11)CA Civil Law Code § 5405(a)(11) The number of separate interests in the development.
(b)CA Civil Law Code § 5405(b) The association shall submit the information required by this section as follows:
(1)CA Civil Law Code § 5405(b)(1) By incorporated associations, within 90 days after the filing of its original articles of incorporation, and thereafter at the time the association files its statement of principal business activity with the Secretary of State pursuant to Section 8210 of the Corporations Code.
(2)CA Civil Law Code § 5405(b)(2) By unincorporated associations, in July 2003, and in that same month biennially thereafter. Upon changing its status to that of a corporation, the association shall comply with the filing deadlines in paragraph (1).
(c)CA Civil Law Code § 5405(c) The association shall notify the Secretary of State of any change in the street address of the association’s onsite office or of the responsible officer or managing agent of the association in the form and for a fee prescribed by the Secretary of State, within 60 days of the change.
(d)CA Civil Law Code § 5405(d) The penalty for an incorporated association’s noncompliance with the initial or biennial filing requirements of this section shall be suspension of the association’s rights, privileges, and powers as a corporation and monetary penalties, to the same extent and in the same manner as suspension and monetary penalties imposed pursuant to Section 8810 of the Corporations Code.
(e)CA Civil Law Code § 5405(e) The statement required by this section may be filed, notwithstanding suspension of the corporate powers, rights, and privileges under this section or under provisions of the Revenue and Taxation Code. Upon the filing of a statement under this section by a corporation that has suffered suspension under this section, the Secretary of State shall certify that fact to the Franchise Tax Board and the corporation may thereupon be relieved from suspension, unless the corporation is held in suspension by the Franchise Tax Board by reason of Section 23301, 23301.5, or 23775 of the Revenue and Taxation Code.
(f)CA Civil Law Code § 5405(f) The Secretary of State shall make the information submitted pursuant to paragraph (5) of subdivision (a) available only for governmental purposes and only to Members of the Legislature and the Business, Consumer Services, and Housing Agency, upon written request. All other information submitted pursuant to this section shall be subject to public inspection pursuant to the California Public Records Act (Division 10 (commencing with Section 7920.000) of Title 1 of the Government Code). The information submitted pursuant to this section shall be made available for governmental or public inspection.
(g)CA Civil Law Code § 5405(g) Whenever any form is filed pursuant to this section, it supersedes any previously filed form.
(h)CA Civil Law Code § 5405(h) The Secretary of State may destroy or otherwise dispose of any form filed pursuant to this section after it has been superseded by the filing of a new form.