CMCA Governance and Legal Issues Exam
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Articles of Incorporation - (ANSWERS)This brings the corporation into existence, defines its
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basic purposes and powers, indicates whether stock will be issued, and indicate whether there
will be a board of directors.
Bylaws - (ANSWERS)Formally adopted governing regulations for the administration and
management of a community association.
CC&Rs (Covenants, Conditions and Restrictions - (ANSWERS)The governing documents that
dictate how the homeowners association operates and what rules the owners - and their
tenants and guests - must obey. These legal documents might also be called the by-laws, the
master deed, the houses rules or another name. These documents and rules are legally
enforceable by the association, unless a specific provision conflicts with federal, state or local
laws.
Community Association - (ANSWERS)A group of owners who wish to provide a communal basis
for preserving, maintaining, and enhancing their homes and properties.
Condominium - (ANSWERS)A living unit fully owned by an individual with an undivided interest
in the common elements of the community. The community association itself owns no real
estate as an association.
Cooperative - (ANSWERS)Wherein an individual owns stock or membership and holds a
proprietary lease or occupancy agreement for his/her living unit.
Declaration - (ANSWERS)This is used interchangeably with the CC&Rs.
Governing Documents - (ANSWERS)These provide for the legal structure and operation of the
community.
Indemnification - (ANSWERS)This means to exempt an individual or entity from responsibility
for claims made against the organization and to reimburse the individual or entity for damages
or expenses incurred as a result of such claims.
Master Association - (ANSWERS)An organization of homeowners in a large condominium or
planned unit development which includes representatives for other, smaller homeowner
organizations.
Mixed Use Development - (ANSWERS)A development which is designed to mix two or more
uses of land together (ie: shopping center which offers office space for dentists)
Planned Community - (ANSWERS)This is the most common type of community association,
where an owner owns his/her lot and/or living unit and the community owns any common areas,
such as tennis courts and roads for the use and benefit of the lot owners.
!@#$%%%%%
Articles of Incorporation - (ANSWERS)This brings the corporation into existence, defines its
%%%%%%
basic purposes and powers, indicates whether stock will be issued, and indicate whether there
will be a board of directors.
Bylaws - (ANSWERS)Formally adopted governing regulations for the administration and
management of a community association.
CC&Rs (Covenants, Conditions and Restrictions - (ANSWERS)The governing documents that
dictate how the homeowners association operates and what rules the owners - and their
tenants and guests - must obey. These legal documents might also be called the by-laws, the
master deed, the houses rules or another name. These documents and rules are legally
enforceable by the association, unless a specific provision conflicts with federal, state or local
laws.
Community Association - (ANSWERS)A group of owners who wish to provide a communal basis
for preserving, maintaining, and enhancing their homes and properties.
Condominium - (ANSWERS)A living unit fully owned by an individual with an undivided interest
in the common elements of the community. The community association itself owns no real
estate as an association.
Cooperative - (ANSWERS)Wherein an individual owns stock or membership and holds a
proprietary lease or occupancy agreement for his/her living unit.
Declaration - (ANSWERS)This is used interchangeably with the CC&Rs.
Governing Documents - (ANSWERS)These provide for the legal structure and operation of the
community.
Indemnification - (ANSWERS)This means to exempt an individual or entity from responsibility
for claims made against the organization and to reimburse the individual or entity for damages
or expenses incurred as a result of such claims.
Master Association - (ANSWERS)An organization of homeowners in a large condominium or
planned unit development which includes representatives for other, smaller homeowner
organizations.
Mixed Use Development - (ANSWERS)A development which is designed to mix two or more
uses of land together (ie: shopping center which offers office space for dentists)
Planned Community - (ANSWERS)This is the most common type of community association,
where an owner owns his/her lot and/or living unit and the community owns any common areas,
such as tennis courts and roads for the use and benefit of the lot owners.
