Trustees of the Cambridge Point Condominium Tr. v. Cambridge Point, LLC
Facts
The condominium bylaws authorized the trustees to conduct litigation involving common areas and facilities, but required them, before suing any non-unit owner, to circulate the proposed complaint, state a monetary cap on legal fees and costs, inform owners that consenting owners would be immediately specially assessed, and obtain written consent from at least eighty percent of all unit owners within sixty days. The trust later discovered widespread water leaks, mold, and numerous design and construction defects in the condominium's common areas and facilities, with repairs estimated to exceed $2 million. The trustees filed suit against the developers without obtaining the required eighty percent written consent. They alleged that the developers and their affiliates retained enough units to block the supermajority needed to authorize suit.
Issue
Whether the condominium bylaw requiring written consent of at least eighty percent of all unit owners before trustees may initiate litigation against non-unit owners is void. More specifically, the court considered whether such a provision is barred by the Condominium Act or, even if not per se barred, is void because it contravenes public policy.
Rule
The Condominium Act does not per se invalidate every bylaw requiring unit-owner consent before trustees initiate litigation concerning common areas and facilities. But a bylaw is void as contrary to public policy when, viewed in light of the totality of the circumstances, it functions as developer overreaching by making it extraordinarily difficult or effectively impossible for trustees to bring claims against developers for defects affecting the common areas and facilities, thereby impeding redress for unwaivable rights tied to home safety and habitability.
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If trustees argue that any owner-consent requirement for litigation concerning common areas is automatically invalid because the condominium statute gives trustees the exclusive power to litigate such claims, what is the strongest response?