DEVELOPERS BEWARE: YOU MIGHT NOT BE A "BULK BUYER" AFTER ALL
After the financial crisis of 2007 and 2008, The Florida Legislature passed the “bulk buyer” statute. The purpose of the law was to get large companies to purchase a bulk of units in a condominium without being labeled as a “developer”. If you are a developer you may owe lots of responsibilities to the owners. It worked. Companies started to buy huge bulks of units in a condominium. They thought they would certainly get control of the Board of Directors. Well….our firm just won an arbitration...
By Eric M. Glazer
· 1 min read
After the financial crisis of 2007 and 2008, The Florida Legislature passed the “bulk buyer” statute. The purpose of the law was to get large companies to purchase a bulk of units in a condominium without being labeled as a “developer”. If you are a developer you may owe lots of responsibilities to the owners. It worked. Companies started to buy huge bulks of units in a condominium. They thought they would certainly get control of the Board of Directors. Well….our firm just won an arbitration case that held that if the condo docs were recorded before the “bulk buyer” statute was created and there is no Kaufman language or as amended from time to time language, the bulk buyer in that condominium is not a “bulk buyer” at all, but instead is a “”developer”.
To read the case, click here;