§ 47F-3-107. Upkeep of planned community; responsibility and assessments for damages. - North Carolina Statutes

§ 47F‑3‑107. Upkeep of planned community; responsibility and assessments for damages.

(a)        Except as otherwiseprovided in the declaration, G.S. 47F‑3‑113(h) or subsection (b) ofthis section, the association is responsible for causing the common elements tobe maintained, repaired, and replaced when necessary and to assess the lotowners as necessary to recover the costs of such maintenance, repair, orreplacement except that the costs of maintenance, repair, or replacement of alimited common element shall be assessed as provided in G.S. 47F‑3‑115(c)(1).Except as otherwise provided in the declaration, each lot owner is responsiblefor the maintenance and repair of his lot and any improvements thereon. Eachlot owner shall afford to the association and when necessary to another lotowner access through the lot owner's lot reasonably necessary for any suchmaintenance, repair, or replacement activity.

(b)        If a lot owner islegally responsible for damage inflicted on any common element, the associationmay direct such lot owner to repair such damage, or the association may itselfcause the repairs to be made and recover damages from the responsible lotowner.

(c)        If damage isinflicted on any lot by an agent of the association in the scope of the agent'sactivities as such agent, the association is liable to repair such damage or toreimburse the lot owner for the cost of repairing such damages. The associationshall also be liable for any losses to the lot owner.

(d)        When the claimunder subsection (b) or (c) of this section is less than or equal to thejurisdictional amount established for small claims by G.S. 7A‑210, anyaggrieved party may request that a hearing be held before an adjudicatory panelappointed by the executive board to determine if a lot owner is responsible fordamages to any common element or the association is responsible for damages toany lot. If the executive board fails to appoint an adjudicatory panel to hearsuch matters, hearings under this section shall be held before the executive board.Such panel shall accord to the party charged with causing damages notice of thecharge, opportunity to be heard and to present evidence, and notice of thedecision. This panel may assess liability for each damage incident against eachlot owner charged or against the association not in excess of thejurisdictional amount established for small claims by G.S. 7A‑210. Whenthe claim under subsection (b) or (c) of this section exceeds thejurisdictional amount established for small claims by G.S. 7A‑210, liabilityof any lot owner charged or the association shall be determined as otherwiseprovided by law. Liabilities of lot owners determined by adjudicatory hearingor as otherwise provided by law shall be assessments secured by lien under G.S.47F‑3‑116. Liabilities of the association determined byadjudicatory hearing or as otherwise provided by law may be offset by the lotowner against sums owing to the association and if so offset, shall reduce theamount of any lien of the association against the lot at issue.

(e)        The associationshall not be liable for maintenance, repair, and all other expenses inconnection with any real estate which has not been incorporated into theplanned community. (1998‑199, s. 1.)