O.C.G.A.

O.C.G.A. § 44-3-101 (2019)

Control of association by declarant; surrender of control to unit owners; liability for books and records; cancellation of leases and contracts

✓ O.C.G.A. — 2019 edition (Public.Resource.Org Release 73)
Code text and O.C.G.A. statutory annotations on this page reflect the 2019 Official Code of Georgia Annotated (Public.Resource.Org Release 73, 2019-08-21; public domain per Georgia v. Public.Resource.Org, 2020). The Syfert case-law annotations in Notes of Decisions, below, are current.
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(a) If provided for in the condominium instruments and subject to any limitations contained in the condominium instruments, the association’s articles of incorporation, the association’s bylaws, or this article with respect thereto, the declarant shall be authorized to appoint and remove any member or members of the board of directors and any officer or officers of the association. The declarant’s authority to appoint and remove members of the board of directors and officers of the association shall in no event extend beyond and shall in all cases expire immediately upon the occurrence of any of the following: (1) The expiration of any time limit specified for such purpose in the condominium instruments, which time limit may not be enlarged or extended after the conveyance by the declarant of a condominium unit without the express consent of all unit owners; (2) Unless the declarant at that time has an unexpired option to add additional property, the date as of which units to which four-fifths of the undivided interests in the common elements pertain shall have been conveyed by the declarant to unit owners other than a person or persons constituting the declarant;

(3) The expiration of seven years after the recording of the declaration in the case of an expandable condominium or the expiration of three years after the recording of the declaration in the case of any other type of condominium; or (4) The surrender by the declarant of the authority to appoint and remove members of the board of directors and officers of the association by an express amendment to the declaration which is executed and recorded by the declarant. No formal or written proxy or power of attorney need be required of the unit owners to vest such authority to appoint and remove members of the board of directors and officers of the association in the declarant, the acceptance of a conveyance of a condominium unit being wholly sufficient for such purpose. (b) Upon the expiration of the period of the declarant’s right to control the association pursuant to subsection (a) of this Code section, the right to control shall automatically pass to the unit owners, including the declarant if the declarant then owns one or more condominium units. The declarant shall be jointly responsible and liable with the members of the board of directors and the officers of the association to the unit owners for ensuring that the books, records, and accounts of the association are in proper order, that the association is in good standing under the laws of this state, and that the affairs of the association have been conducted in a prudent and businesslike manner, all as of the date upon which the declarant’s right to control the association expires. The declarant shall not be insulated against liability to the unit owners because any act, omission, or matter complained of during such period of control may have been done, omitted, or permitted by or on behalf of the association as a corporate entity. Nothing contained in this Code section shall make any successor to the declarant responsible or subject to liability by operation of law or through the purchase of the declarant’s interest in the property or any part thereof at foreclosure for any act, omission, or matter occurring or arising from any act, omission, or matter occurring prior to the time the successor succeeded to the interest of the declarant. (c) In addition to any right of termination set forth therein, any management contract, any lease of recreational area or facilities, or any other contract or lease executed by or on behalf of the association during the period of the declarant’s right to control the association pursuant to subsection (a) of this Code section shall be subject to cancellation and termination at any time during the 12 months following the expiration of such control period by the affirmative vote of the unit owners of units to which a majority of the votes in the association pertain, unless the unit owners by a like majority shall have theretofore, following the expiration of such control period, expressly ratified and approved the same.

History

(Ga. L. 1975, p. 609, § 33; Ga. L. 1990, p. 227, § 9.)

Annotations

JUDICIAL DECISIONS Rooftop terrace declared common element versus limited common element. - Trial court properly granted a condominium association and the association’s board summary judgment and properly declared a tenth-floor rooftop terrace a common element for all unit owners in a suit involving a dispute over the terrace because the express terms of the original declaration designated the terrace as a common element. Further, an amendment stating otherwise that was

signed by a former managing member, and not the association, no longer controlled since the former managing member’s control ended by the time the declarant sought to amend the declaration to assign the entire fenced area of the tenth-floor rooftop terrace as a limited common element benefitting only the penthouse unit. Walker v. 90 Fairlie Condo. Ass’n, 290 Ga. App. 171, 659 S.E.2d 412 (2008).

RESEARCH REFERENCES Am. Jur. 2d. - 15A Am. Jur. 2d, Condominiums and Cooperative Apartments, § 5 et seq.

C.J.S. - 51C C.J.S., Landlord and Tenant, § 232.

Notes of Decisions
Cited in 2 cases (1 in the last 5 years), 2010–2025 · leading case: Capitol Infrastructure, LLC v. Plaza Midtown Residential Condo. Ass'n, 702 S.E.2d 910 (Ga. Ct. App. 2010).
Capitol Infrastructure, LLC v. Plaza Midtown Residential Condo. Ass'n, 702 S.E.2d 910 (Ga. Ct. App. 2010). · cites it 50× “petitioned the superior court for a declaratory judgment against Capitol Infrastructure, LLC, on the issue of whether the Association could terminate, pursuant to OCGA § 44-3-101 (c), certain telecommunications contracts.”
John Darden v. Pt Hills Condo, Lp (Ga. Ct. App. 2025). · cites it 6× “5 therefore, the statute of limitation does not begin to run until PT Hills Condo’s rights under OCGA § 44-3-101 have terminated.4 OCGA § 44-3-111 (i) (4).”
Annotations are extracted automatically from the opinions in the Syfert caselaw corpus and ranked by authority, recency, and treatment. Dots show Syfertize treatment of the citing case itself.