2007 Minnesota Statutes

515B.3-111 TORT AND CONTRACT LIABILITY.
(a) Neither the association nor any unit owner except the declarant is liable for that
declarant's torts in connection with any part of the common interest community. An action
alleging a tort or contract violation by the association shall not be brought against a unit owner
solely by reason of ownership. If the tort or contract violation occurred during any period of
declarant control and the association or a unit owner gives the declarant reasonable notice of and
an opportunity to defend against the action, the declarant who then controlled the association is
liable to the association or to any unit owner for (i) all losses not covered by insurance suffered by
the association or that unit owner, and (ii) all costs that the association would not have incurred
but for the tort or contract violation.
(b) Whenever the declarant is liable to the association or a unit owner under this section, the
declarant is also liable for all expenses of litigation, including reasonable attorney's fees, incurred
by the association or unit owner. Any statute of limitation affecting a right of action under this
section is tolled until the period of declarant control terminates. A unit owner is not precluded
from maintaining an action contemplated by this section because of being a unit owner or an
officer or director of the association.
(c) Except as provided in subsections (a) and (b) with respect to a declarant, no unit owner
shall have tort liability arising out of ownership of the common elements if the association has
liability insurance coverage on the occurrence in an amount not less than $1,000,000.
History: 1993 c 222 art 3 s 11