The merger or consolidation agreement shall provide for the reallocation of the allocated interests among the units of the resultant condominium. The agreement may not change the ratio that exists before the merger or consolidation between the allocated interests of any unit and the allocated interests of any other unit in the same preexisting condominium. The agreement shall state one of the following:
The reallocations or the formulas upon which they are based.
The percentage of the total of allocated interests of the new condominium which are allocated to all of the units comprising each of the preexisting condominiums.
(3) Agreement; other provisions.
The merger or consolidation agreement may contain any provisions consistent with this chapter in addition to those specified in sub. (2)
The merger or consolidation agreement is effective if the agreement is approved by the unit owners of units to which at least 75 percent of the votes in each preexisting association are allocated. If the declaration of a preexisting association specifies that a percentage greater than 75 percent of the votes in that association is required to approve a merger or consolidation agreement, the greater percentage applies to the vote of that association. A declaration of a preexisting association may specify a smaller percentage and the smaller percentage applies to the vote of that association only if all of the units in the preexisting condominium are restricted exclusively to nonresidential uses.
Both a restatement of the declaration of the resultant condominium that includes the merger agreement and an addendum to the condominium plat of the resultant condominium shall be recorded as provided in s. 703.07
. On the plat of the preexisting condominium, the register of deeds shall reference the document number assigned to the plat of the resultant condominium and, if the plat of the resultant condominium is assigned a volume and page number, the volume and page where the plat of the resultant condominium is recorded and shall note that the preexisting condominium has been merged.
NOTE: 2003 Wis. Act 283
, which affected this section, contains extensive explanatory notes.
Removal from provisions of this chapter. 703.28(1)(1)
All of the unit owners may remove all or any part of the property from the provisions of this chapter by a removal instrument, duly recorded, provided that the holders of all liens affecting any of the units consent thereto or agree, in either case by instruments duly recorded, that their liens be transferred to the percentage of the undivided interest of the unit owner in the property.
If the merger of 2 or more condominiums under s. 703.275
would result in the creation of a new plat for the resultant condominium, the property of the preexisting condominiums shall first be removed from the provisions of this chapter by recording a removal instrument.
Before a certified survey map, condominium plat, subdivision plat or other plat may be recorded
and filed for the same property, the condominium shall first be removed from the provisions of this chapter by recording a removal instrument.
Upon removal of any property from this chapter, the property shall be deemed to be owned in common by the unit owners. The undivided interest in the property owned in common which appertains to each unit owner shall be the percentage of undivided interest previously owned by the owner in the common elements.
Removal no bar to subsequent resubmission.
The removal provided for in s. 703.28
shall in no way bar the subsequent resubmission of the property to this chapter.
History: 1977 c. 407
Rules of construction. 703.30(1)(1)
Certain rules of law not applicable.
Neither the rule of law known as the rule against perpetuities nor the rule of law known as the rule restricting unreasonable restraints on alienation may be applied to defeat or invalidate any provision of this chapter or of any condominium instruments, bylaws or other instrument made pursuant to this chapter.
(2) Substantial conformity of condominium instruments and bylaws sufficient.
The provisions of any condominium instruments and bylaws filed under this chapter shall be liberally construed to facilitate the creation and operation of the condominium. So long as the condominium instruments and bylaws substantially conform with the requirements of this chapter, no variance from the requirements shall affect the condominium status of the property in question nor the title of any unit owner to his or her unit, votes and percentage interests in the common elements and in common expenses and common surpluses.
(3) Provisions of condominium instruments and bylaws severable.
All provisions of condominium instruments and bylaws are severable and the invalidity of one provision does not affect the validity of any other provision.
(4) Conflicts in provisions.
If there is any conflict between any provisions of a declaration and provisions of a condominium plat or any provisions of the bylaws, the provisions of the declaration shall control. If there is any conflict between any provisions of any condominium instruments and any provisions of any bylaws, the provisions of the condominium instruments shall control. If there is any conflict between any provisions of any condominium instruments or any provisions of any bylaws and any provisions of this chapter, the provisions of this chapter shall control.
(5) Instruments construed together.
Condominium instruments shall be construed together and are determined to incorporate one another to the extent that any requirement of this chapter applying to one instrument is satisfied if the deficiency can be corrected by reference to any of the others.
History: 1977 c. 407
The application of this section is limited to the condominium status of the property and title of the unit owners. It does not apply to a project's status as an expanding condominium under s. 703.26. Rock Lake Estates Unit Owners Association, Inc. v. Town of Lake Mills, 195 Wis. 2d 348
, 536 N.W.2d 415
(Ct. App. 1995), 94-2488
Personal application. 703.31(1)(1)
All unit owners, tenants of the owners, employees of owners and tenants or any other persons that in any manner use property or any part thereof subject to this chapter shall be subject to this chapter and to the declaration and bylaws of the association adopted under this chapter.
All agreements, decisions and determinations lawfully made by an association in accordance with the voting percentages established in this chapter, declaration or bylaws, shall be deemed to be binding on all unit owners.
History: 1977 c. 407
Lease or rental agreements for residential units. 703.315(1)(a)
“Condominium rental agreement" means an agreement, whether oral or written, for the rental or lease of a residential condominium unit by the same tenant for a period of more than one month.
A person occupying or entitled to present or future occupancy of a residential condominium unit under a condominium rental agreement.
A periodic tenant, as defined in s. 704.01 (2)
, of a residential condominium unit that pays rent on a month-to-month or greater recurring interval of time.
“Unit owner" means the owner of a unit that is rented or leased under a condominium rental agreement or by a periodic tenant.
(2) Agreement for compliance.
Entering into a condominium rental agreement constitutes an agreement by the tenant, as a condition of the condominium rental agreement, to comply with this chapter, the rules and bylaws of the association, and the provisions of the declaration. Entitlement to occupancy of a unit as a periodic tenant, as described in sub. (1) (b) 2.
, constitutes an agreement by the periodic tenant, as a condition of the tenancy, to comply with this chapter, the rules and bylaws of the association, and the provisions of the declaration.
(3) Copy of written agreement to association.
Within 5 business days after entering into or renewing a written condominium rental agreement, the unit owner shall provide a copy of the agreement to the association. The association shall keep a copy of any condominium rental agreement on file while the agreement is in effect.
(4) Contact of unit owner and tenant by association.
The association may contact or give notice to the tenant or unit owner by:
Making the contact or giving the notice by the means indicated by the tenant or unit owner in writing to the association.
(5) Copy of condominium documents to tenant.
Before a tenant occupies a unit, the unit owner shall provide a copy of the declaration and the association bylaws and rules to the tenant or place the information in the unit.
(6) Time share not covered.
This section does not apply to a time-share unit governed under ch. 707
History: 2003 a. 283
NOTE: 2003 Wis. Act 283
, which affected this section, contains extensive explanatory notes.
Easements and encroachments. 703.32(1)(1)
Presumption as to existing physical boundaries.
Any existing physical boundaries of any unit or common elements constructed or reconstructed in substantial conformity with the condominium plat shall be conclusively presumed to be its boundaries, regardless of the shifting, settlement or lateral movement of any building and regardless of minor variations between the physical boundaries as described in the declaration or shown on the condominium plat and the existing physical boundaries of any such unit or common element. This presumption applies only to encroachments within the condominium.
(2) Encroachment as result of authorized construction, reconstruction or repair.
If any portion of any common element encroaches on any unit or if any portion of a unit encroaches on any common element, as a result of the duly authorized construction, reconstruction or repair of a building, a valid easement for the encroachment and for the maintenance of the same shall exist so long as the building stands.
(3) Easements included in grant of unit.
A grant or other disposition of a condominium unit shall include and grant and be subject to any easement arising under the provisions of this section without specific or particular reference to the easement.
(4) Association's right of entry to make repairs.
An association shall have an irrevocable right and an easement to enter units to make repairs to common elements when the repairs reasonably appear necessary for public safety or to prevent damage to other portions of the condominium. Except in cases involving manifest danger to public safety or property, an association shall make a reasonable effort to give notice to the owner of any unit to be entered for the purpose of such repairs. No entry by an association for the purposes specified in this subsection may be considered a trespass.
History: 1977 c. 407
Disclosure requirements. 703.33(1)(1)
Material to be furnished by seller to purchaser before closing.
Not later than 15 days prior to the closing of the sale of a unit to a member of the public, the seller shall furnish to the purchaser the following:
Copies of the proposed or existing declaration, the bylaws, and any rules or regulations.
A copy of the proposed or existing articles of incorporation of the association, if it is or is to be incorporated.
A copy of any proposed or existing management contract, employment contract or other contract affecting the use, maintenance or access of all or part of the condominium to which it is anticipated the unit owners or the association will be a party following closing.
A copy of the projected annual operating budget for the condominium including reasonable details concerning the estimated monthly payments by the purchaser for assessments, and monthly charges for the use, rental or lease of any facilities not part of the condominium.
A copy of any lease to which it is anticipated the unit owners or the association will be a party following closing.
A description of any contemplated expansion of the condominium with a general description of each stage of expansion and the maximum number of units that can be added to the condominium.
A copy of the floor plan of the unit together with the information that is necessary to show the location of the common elements and other facilities to be used by the unit owners and indicating which facilities will be part of the condominium and which facilities will be owned by others.
An executive summary setting forth in clear plain language the following information, or the location within the disclosure materials described in pars. (a)
where the information may be found, and the date on which the executive summary is prepared or revised:
1. `Condominium identification.'
The name of the condominium.
2. `Expansion plans.'
A description of the declarant's expansion plan for the condominium and deadline for implementation and the identity of the condominium management during the expansion period.
The name and address of the condominium association; whether the association is self-managed or has hired or retained management; and the name, address, and telephone number of the individual or individuals who may be contacted regarding the condominium in general.
4. `Special amenities.'
A description of any special amenities, such as an athletic club or golf course, and a statement of the obligation of a unit owner to join or support the amenity.
5. `Maintenance and repair of units.'
A description of an owner's responsibilities for the repair and maintenance of the unit.
6. `Maintenance, repair, and replacement of common elements.'
The identity of the person responsible for the maintenance, repair, and replacement of common elements and limited common elements and whether repairs or replacements will be funded from unit owner assessments, reserve funds, or both.
7. `Rental of units.'
Whether unit owners may rent their units and any restrictions on rentals.
8. `Unit alterations.'
A description of any rules, restrictions, or procedures governing a unit owner's authority to alter the unit or use or enclose limited common elements.
A description of the availability, restrictions, and costs of parking.
A description of rules relating to unit owners' pets.
Whether the association maintains reserves for repairs and replacement of common elements beyond routine maintenance and, if so, whether a statutory reserve account under s. 703.163
is maintained and the amount of the reserve balance.
11m. `Fees on new units.'
A description of any provisions exempting the declarant or modifying the declarant's obligation to pay assessments on the declarant's unsold units during the period of the declarant's control, and any other provisions in the declaration, bylaws, or budget addressing the levying and payment of assessments on units during the period of the declarant's control.
An indication that a unit purchaser's rights and responsibilities may be altered by an amendment of the declaration or bylaws, and a description of the amendment process and requirements.
12. `Other restrictions or features.'
At the option of the declarant or association a description of other restrictions or features of the condominium.
13. `First right of purchase.'
Whether the association has a first right to purchase the unit.
14. `Transfer fee.'
Whether the association charges a fee in connection with a transfer of ownership of the unit and, if a fee is charged, the amount of the fee.
15. `Disclosure material fee.'
Whether the association charges a fee for providing the disclosure materials described in this section and, if a fee is charged, the amount of the fee.
16. `Payoff statement fee.'
Whether the association charges a fee for providing a payoff statement under s. 703.335
and, if a fee is charged, the amount of the fee.
(1m) Preparation of executive summary.
The executive summary under sub. (1) (h)
shall be prepared, and subsequently revised whenever a change is made in the disclosure materials described in sub. (1) (a)
that requires a revision of a statement in the summary, by the declarant or the association, whichever is in control of the condominium when the executive summary is prepared or revised.
(2) Disclosure form.
The materials required in sub. (1)
shall be delivered to a prospective purchaser with cover sheet, index, and tables of contents as prescribed in this section. A cover sheet and index shall precede all other materials required in sub. (1)
. The executive summary required under sub. (1) (h)
shall appear immediately following the index. A table of contents shall precede the section to which it applies.
A cover sheet shall be of the same approximate size and shape as the majority of the disclosure materials required in sub. (1)
and shall bear the title “Disclosure Materials" and shall contain the name and location of the condominium, the name and business address of the declarant, and the name and business address of the declarant's agent or, if the seller is not the declarant, the name and address of the seller. Following this information, but separate from it, there shall appear on the front of the cover sheet 3 statements in boldface type, or capital letters no smaller than the largest type on the page, in the following wording:
THESE ARE THE LEGAL DOCUMENTS COVERING YOUR RIGHTS AND RESPONSIBILITIES AS A CONDOMINIUM OWNER. IF YOU DO NOT UNDERSTAND ANY PROVISIONS CONTAINED IN THEM, YOU SHOULD OBTAIN PROFESSIONAL ADVICE.
THESE DISCLOSURE MATERIALS GIVEN TO YOU AS REQUIRED BY LAW MAY, WITH THE EXCEPTION OF THE EXECUTIVE SUMMARY, BE RELIED UPON AS CORRECT AND BINDING. FOR A COMPLETE UNDERSTANDING OF THE EXECUTIVE SUMMARY, CONSULT THE DISCLOSURE DOCUMENTS TO WHICH A PARTICULAR EXECUTIVE SUMMARY STATEMENT PERTAINS. ORAL STATEMENTS MAY NOT BE LEGALLY BINDING.
YOU MAY AT ANY TIME WITHIN 5 BUSINESS DAYS FOLLOWING RECEIPT OF THESE DOCUMENTS, OR FOLLOWING NOTICE OF ANY MATERIAL CHANGES IN THESE DOCUMENTS, CANCEL IN WRITING THE CONTRACT OF SALE AND RECEIVE A FULL REFUND OF ANY DEPOSITS MADE. IF THE SELLER DELIVERS LESS THAN ALL OF THE DOCUMENTS REQUIRED, YOU HAVE 5 BUSINESS DAYS FOLLOWING RECEIPT OF THE DOCUMENTS TO CANCEL IN WRITING THE CONTRACT OF SALE OR, IF THE SELLER DELIVERS A COVER SHEET AND INDEX, TO DELIVER A WRITTEN REQUEST FOR ANY MISSING DOCUMENTS. SEE THE INDEX, IF ANY, FOLLOWING THIS INFORMATION TO DETERMINE IF DOCUMENTS ARE MISSING. IF YOU TIMELY DELIVER A WRITTEN REQUEST FOR MISSING DOCUMENTS, YOU MAY, AT ANY TIME WITHIN 5 BUSINESS DAYS FOLLOWING THE EARLIER OF EITHER THE RECEIPT OF THE REQUESTED DOCUMENTS OR THE SELLER'S DEADLINE TO DELIVER THE REQUESTED DOCUMENTS, CANCEL IN WRITING THE CONTRACT OF SALE AND RECEIVE A FULL REFUND OF ANY DEPOSITS MADE. YOU HAVE NO FURTHER RIGHT TO CANCEL THE CONTRACT OF SALE BASED ON THE DOCUMENTS UNLESS THE DOCUMENTS ARE MATERIALLY CHANGED.
Following the material required in par. (a)
, there shall appear an index of the disclosure materials. An index may begin on the cover sheet, if space permits, and be continued on the first and subsequent pages immediately following the cover sheet or may begin on the first page immediately following the cover sheet and continue on subsequent pages. An index shall be in substantially the following form:
The disclosure materials the seller is required by law to provide to each prospective condominium purchaser contains the following documents and exhibits:
1c. `Executive summary.'
The executive summary highlights for a buyer of a condominium unit essential information regarding the condominium. The executive summary begins on page ......
The declaration establishes and describes the condominium, the units and the common areas. The declaration begins on page ......