Sec. 47-226. Allocation of interests.
Sec. 47-226. Allocation of interests. (a) The declaration shall allocate to each unit:
(1) In a condominium, a fraction or percentage of undivided interests in the common
elements and in the common expenses of the association, and a portion of the votes in
the association; (2) in a cooperative, an ownership interest in the association, a fraction
or percentage of the common expenses of the association, and a portion of the votes in
the association; and (3) in a planned community, a fraction or percentage of the common
expenses of the association, and a portion of the votes in the association.
(b) The declaration shall state the formulas used to establish allocations of interests.
Those allocations may not discriminate in favor of units owned by the declarant or an
affiliate of the declarant.
(c) If units may be added to or withdrawn from the common interest community,
the declaration shall state the formulas to be used to reallocate the allocated interests
among all units included in the common interest community after the addition or withdrawal.
(d) The declaration may provide: (1) That different allocations of votes shall be
made to the units on particular matters specified in the declaration; (2) for cumulative
voting only for the purpose of electing members of the executive board; and (3) for class
voting on specified issues affecting the class if necessary to protect valid interests of
the class. A declarant may not use cumulative or class voting for the purpose of evading
any limitation imposed on declarants by this chapter nor may units constitute a class
because they are owned by a declarant.
(e) Except for minor variations due to rounding, the sum of the common expense
liabilities and, in a condominium, the sum of the undivided interests in the common
elements allocated at any time to all the units must each equal one if stated as a fraction
or one hundred per cent if stated as a percentage. In the event of discrepancy between
an allocated interest and the result derived from application of the pertinent formula,
the allocated interest prevails.
(f) In a condominium, the common elements are not subject to partition, and any
purported conveyance, encumbrance, judicial sale or other voluntary or involuntary
transfer of an undivided interest in the common elements made without the unit to which
that interest is allocated is void.
(g) In a cooperative, any purported conveyance, encumbrance, judicial sale or other
voluntary or involuntary transfer of an ownership interest in the association made without the possessory interest in the unit to which that interest is related is void.
(P.A. 83-474, S. 27, 96.)