1.1 	A bill for an act
1.2 	relating to real estate; enhancing remedies for residents of common interest 
1.3 	communities when the community association or its board of directors violates 
1.4 	state law or the association's own governing documents;amending Minnesota 
1.5 	Statutes 2008, sections 515B.1-114; 515B.4-116.
1.6 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.7 	Section 1. Minnesota Statutes 2008, section 515B.1-114, is amended to read:
1.8 	515B.1-114 REMEDIES TO BE LIBERALLY ADMINISTERED.
1.9 	(a) The remedies provided by this chapter, including those provided in section 
1.10 	515B.4-116, paragraph (d), shall be liberally administered to the end that the aggrieved 
1.11 	party is put in as good a position as if the other party had fully performed. However, 
1.12 	consequential, special, or punitive damages may not be awarded except as specifically 
1.13 	provided in this chapter or by other rule of law.
1.14 	(b) Any right or obligation declared by this chapter is enforceable by judicial 
1.15 	proceeding, unless the provision declaring it provides otherwise.

1.16 	Sec. 2. Minnesota Statutes 2008, section 515B.4-116, is amended to read:
1.17 	515B.4-116 RIGHTS OF ACTION; ATTORNEY'S FEES.
1.18 	(a) In addition to any other rights to recover damages, attorney's fees, costs or 
1.19 	expenses, whether authorized by this chapter or otherwise, if a declarant or any other 
1.20 	person violates any provision of this chapter, or any provision of the declaration, bylaws, 
1.21 	or rules and regulations any person or class of persons adversely affected by the failure to 
1.22 	comply has a claim for appropriate relief. The association shall have standing to pursue 
1.23 	claims on behalf of the unit owners of two or more units.
2.1 	(b) The court may award reasonable attorney's fees and costs of litigation to the 
2.2 	prevailing party. Punitive damages may be awarded for a willful failure to comply.
2.3 	(c) The remedies provided for under this chapter are not exclusive and do not 
2.4 	abrogate any remedies under other statutes or the common law, notwithstanding whether 
2.5 	those remedies are referred to in this chapter.
2.6 	(d) In addition to other rights and remedies provided under section 515B.1-114 and 
2.7 	under this section, a unit owner may submit to the board of directors a written objection to 
2.8 	an action taken or not taken by the association or by the board of directors that the unit 
2.9 	owner believes violates this chapter or the articles of incorporation, declaration, or bylaws 
2.10 	of the common interest community. The written objection may state what action or other 
2.11 	response the unit owner requests from the board of directors.
2.12 	The board of directors shall, within 90 days after receiving the objection:
2.13 	(1) take remedial action to bring the common interest community into compliance 
2.14 	and eliminate or compensate for any harm caused by the action taken or not taken; or
2.15 	(2) explain in writing to the unit owner why the board of directors did not do so.
2.16 	If the board of directors takes neither of those actions, or if the unit owner is not 
2.17 	satisfied with the board of directors' response, the unit owner has a cause of action under 
2.18 	this paragraph against the association. The unit owner need not have been adversely 
2.19 	affected by the action or nonaction complained about. If the court determines that the 
2.20 	action taken or not taken by the association or by the board of directors did violate this 
2.21 	chapter or the association's articles of incorporation, declaration, or bylaws, the court may 
2.22 	award the unit owner appropriate injunctive relief and damages for any adverse effect upon 
2.23 	the unit owner, the unit owner's costs and disbursements, and reasonable attorney's fees.

2.24 	EFFECTIVE DATE. This section is effective August 1, 2010, and applies to action 
2.25 	taken or not taken by the association on or after that date.