Michigan Condominium Act

Act 59 of 1978

AN ACT relative to condominiums and condominium projects; to prescribe powers and duties of the administrator; to provide certain protections for certain tenants, senior citizens, and persons with disabilities relating to conversion condominium projects; to provide for escrow arrangements; to provide an exemption from certain property tax increases; to impose duties on certain state departments; to prescribe remedies and penalties; and to repeal acts and parts of acts.

Section Name Section Number
Short title. 559.101
Meanings of words and phrases. 559.102
Definitions; A to C. 559.103
Definitions; C. 559.104
Definitions; C. 559.105
Definitions; C to G. 559.106
Definitions; L to M. 559.107
“Master deed” defined. 559.108
Definitions; P. 559.109
Definitions; R to T. 559.11
Offering residential condominium for sale; compliance with occupational code required. 559.111
Construction or interpretation of act. 559.115
Offering condominium unit or project for sale; liabilities and penalties; duties of developer; compliance by association of co-owners. 559.121
Condominium project containing convertible area; contents of master deed. 559.131
Expandable condominium project; contents of master deed. 559.132
Contractable condominium project; contents of master deed. 559.133
Leasehold condominium project; lease terms; required contents of master deed; termination of co-owner's leasehold interest by lessor prohibited. 559.134
Easements; creation; description; contents. 559.135
Addition of undivided interests in land as common elements; tenancy of co-owners; condominium unit on lands prohibited; description in master deed. 559.136
Allocation to condominium unit of undivided interest in common elements proportionate to percentage of value assigned; statement, table, exhibit, or schedule in master deed; formula; basis of reallocation; allocating percentage of value to convertible space; alteration of undivided interest in common elements; partition of common elements. 559.137
Creation of condominium units within convertible or additional lands; allocation of interests in common elements; amended master deed and condominium subdivision plan; revised schedule. 559.138
Assignment and reassignment of limited common elements; application; amendment to master deed. 559.139
Easement for encroachment. 559.14
Conversion of convertible area into condominium units or common elements; amendment; identifying number; allocating portion of undivided interest; description of limited common elements. 559.141
Expansion, contraction, or conversion of land or space; time of occurrence; consolidating master deed. 559.143
Transferable easement as to common elements for purpose of making improvements. 559.144
Offices, model units, and other facilities; maintenance; costs; restoration of facilities. 559.145
Restrictions and covenants. 559.146
Improvements or alterations by co-owners. 559.147
Persons with disabilities; improvements or modifications by co-owner to facilitate access or movement; alleviation of hazardous conditions. 559.147a
Relocation of boundaries between adjoining condominium units. 559.148
Subdivision of condominium units. 559.149
Termination of condominium project or amendment of master deed by developer. 559.15
Termination of condominium project by agreement of developer and unaffiliated co-owners. 559.151
Advisory committee of nondeveloper co-owners; establishment; meeting with condominium project board of directors; cessation; right to elect directors; formula; recording consolidating master deed; copy; “units that may be created” defined; time of sale to nondeveloper co-owner. 559.152
Bylaws governing administration of condominium project; amendments; recording. 559.153
Bylaws; mandatory provisions; allocation of votes; dispute, claim, or grievance; applicability of subsections (8), (9), and (10). 559.154
Voiding service contract and management contract. 559.155
Bylaws; permissible provisions. 559.156
Displaying United States flag on condominium unit; applicability of section. 559.156a
Books, records, contracts, and financial statements; examination; audit or review; opt-out of requirements of subsection (2). 559.157
Acquisition of title by foreclosure of first mortgage; liability for assessments. 559.158
Submission of property with mortgage of record. 559.159
Action on behalf of and against co-owners. 559.16
Condominium unit as sole property. 559.161
Ownership of condominium unit. 559.162
Rights of co-owner. 559.163
Conveyance and other instruments affecting title to condominium unit; description of unit; recordation. 559.164
Compliance with master deed, bylaws, rules, and regulations. 559.165
Condominium subdivision plan; preparation; signature and seal; contents; recording; structures and improvements to be completed by developer. 559.166
Change in condominium project; amendment; replat of condominium subdivision plan; right of withdrawal; reversion of undeveloped land to general common elements; election, notice, and recording requirements; applicability of subsections (3) and (4); "undeveloped land" defined. 559.167
Availability of condominium documents. 559.168
Assessment of common expenses; contribution of co-owner. 559.169
Repealed. 1982, Act 538, Imd. Eff. Jan. 17, 1983. 559.17
Notice of proposed action. 559.171
Rules applicable to condominium project not served by public water and public sewers; submission of plan to department of public health; approval or rejection. 559.171a
Establishment of condominium project; sale of condominium unit before master deed recorded prohibited; exception; substantial failure of master deed to comply with act; marketability of title. 559.172
Recordation of master deed; creation of time-share unit; amendment of documents as material alteration. 559.172a
Air space over fee. 559.172b
Recordation of master deed and amendment; certification by treasurer; filing copy of master deed with local supervisor or assessing officer; filing architectural plans and specifications or affidavit with local unit of government. 559.173
Delivery and retention of condominium subdivision plan; recordation of consolidating master deed. 559.174
Service of process. 559.181
Promotional material; labeling structure or improvement “need not be built.” 559.181a
Repealed. 1982, Act 538, Imd. Eff. Jan. 17, 1983. 559.182
Preliminary reservation agreement; use; condominium buyer's handbook; placing payment in escrow; cancellation of agreement; refund; treating payment as if made under purchase agreement. 559.183
Section inapplicable to business condominium unit; withdrawal from signed purchase agreement; depositing and retaining funds in escrow; contents of purchase agreement; waiver of right of withdrawal; form. 559.184
Providing copies of listed documents to prospective purchaser of condominium unit; amendment to purchase agreement and condominium documents; signature on form as evidence; providing prospective purchaser of business condominium unit copy of recorded master deed; misleading statements; violation. 559.184a
Liquidated damages in case of default; actual damages; receipt of escrowed funds. 559.185
Repealed. 1982, Act 538, Imd. Eff. Jan. 17, 1983. 559.186, 559.187
Offering for sale and entering into purchase agreement with respect to condominium unit proposed to be included within additional land of expandable condominium or within convertible land without recording amended master deed. 559.188
Repealed. 1982, Act 538, Imd. Eff. Jan. 17, 1983. 559.189
Amendment of condominium documents; consent; void provision superseded by subsection (2); reservation of right to amend; notice of proposed amendments; costs and expenses; master deed amendment; affirmative vote. 559.19
Voting procedures. 559.190a
Recording of amendment to recorded condominium document required; copy to co-owner. 559.191
Repealed. 1982, Act 538, Imd. Eff. Jan. 17, 1983. 559.192, 559.193
Title insurance policy. 559.194
Revision of condominium subdivision plan; altering percentage of value; revisions in percentage of value per condominium unit. 559.195
Repealed. 1982, Act 538, Imd. Eff. Jan. 17, 1983. 559.201-559.203
Repealed. 1983, Act 113, Imd. Eff. July 12, 1983. 559.203a
Section inapplicable to business condominium unit; release of deposits or amounts retained in escrow; conditions; substantial completion; furnishing escrow agent with evidence of adequate security in place of retaining funds; certificate; notice to developer; release of interest paid on amounts escrowed; escrow agent deemed independent party; liability; certification by licensed professional architect or engineer; “licensed professional engineer or architect” defined. 559.203b
Conversion condominium project; notice; termination of tenancy. 559.204
Terminating tenancy of certain persons without cause prohibited; criteria; notice. 559.204a
Definitions; applicability of section; notice of right to elect extended lease arrangement; election; extended lease arrangement provisions; number of years lease renewable; notice by developer entering into restricted lease arrangement; assignment, device, sublease, or transfer of lease by qualified senior citizen or person with disabilities prohibited; automatic termination of lease; liability of lessor violating rental restrictions; recovery of possession of restricted unit; transfer of restricted unit. 559.204b
Repealed. 1985, Act 183, Imd. Eff. Dec. 18, 1985. 559.204c
Developer not required to offer extended lease arrangement; conditions; compliance. 559.204d
Legislative intent; examination of relevant information; recommendation. 559.204e
Reserve fund. 559.205
Default by co-owner; relief. 559.206
Action to enforce terms and provisions of condominium documents; action for injunctive relief or damages. 559.207
Assessment lien; priority; foreclosure; bid; actions; receiver. 559.208
Liability for torts. 559.209
Repealed. 1982, Act 538, Imd. Eff. Jan. 17, 1983. 559.21
Sale or conveyance of condominium unit; payment and statement of unpaid assessments; liability for unpaid assessments. 559.211
Renting or leasing condominium unit; disclosure; review of lease form; notice; compliance required; action by association upon noncompliance; notice of arrearage; deduction of arrearage and future assessments from rental payments. 559.212
Financing. 559.213
Homestead exemption. 559.214
Action by person or association adversely affected by violation of or failure to comply with act, rules, agreement, or master deed; costs; violation of MCL 559.121 or 559.184a; liability. 559.215
Mobile home condominium project; establishment, operation, and regulation; compliance. 559.221
Mobile home condominium project; disclosure. 559.222
Mobile home conversion condominium project; notification of tenants; termination of tenancy. 559.222a
Extended lease arrangement. 559.222b
Mobile home condominium project; leasing agreements. 559.223
Title to mobile home condominium site; undivided interest in common elements; removal of mobile home; sale of site. 559.224
Repealed. 1982, Act 538, Imd. Eff. Jan. 17, 1983. 559.225, 559.226
Compliance by developer of mobile home condominium; prohibited requirements. 559.227
Special assessments and property taxes. 559.231
Construction lien; limitations. 559.232
Eminent domain. 559.233
Recreational facilities and other amenities; compliance. 559.234
Successor developer. 559.235
Repealed. 1982, Act 538, Imd. Eff. Jan. 17, 1983. 559.236
Obligations of developer not affected by transfer of interest. 559.237
Repealed. 1982, Act 538, Imd. Eff. Jan. 17, 1983. 559.238
Complaint for nonpayment of assessments; answer; set off. 559.239
Reproduction of document; certified reproduction or certification as evidence. 559.24
Law, ordinance, or regulation of local unit of government; limitations. 559.241
Promulgation of rules, forms, and orders; definition of terms. 559.242
Contract to settle by arbitration; execution; option; period of limitations; allocation of costs; conduct; appointment of arbitrator; procedures; rules; arbitration award as binding. 559.244
Complaint copy to developer; notice of available remedies. 559.245
Discretionary powers of administrator; exercise. 559.25
Repealed. 1982, Act 538, Eff. Jan. 18, 1986;—1988, Act 109, Imd. Eff. Apr. 11, 1988. 559.251-559.255
Prohibited representations. 559.256
Repealed. 1982, Act 538, Eff. Jan. 18, 1986;—1988, Act 109, Imd. Eff. Apr. 11, 1988. 559.257
Prohibited conduct as misdemeanor; penalty; violation as separate offense; consecutive terms of imprisonment; aggregate fines; action by prosecuting attorney or department of attorney general. 559.258
Injunction. 559.259
Repealed. 1982, Act 538, Imd. Eff. Jan. 17, 1983. 559.26
Effect of act and 1982 amendatory act; consummation of proceedings; continuation or institution of proceedings. 559.27
Repeal of MCL 559.1 to 559.31. 559.271
Effective date; requirements for disclosure statement. 559.272
Applicability of amendatory act; applicability of certain subsections. 559.273
Repealed. 2002, Act 283, Imd. Eff. May 9, 2002. 559.274
Powers of administrator. 559.275
Statute of limitations. 559.276