Title 1350
Headings 1350.5
Documents Delivery 1350.7
Definitions used in the Act 1351
When this Article Applies 1352
Deletion of Prohibited Language 1352.5
Airport Influence Area 1353
Display of Flag 1353.5
Signs and Banners 1353.6
Roofs 1353.7
Enforcement of CC&Rs and Rules 1354
Amendment of CC&Rs 1355
Deletion of Developer Language 1355.5
Amendment of CC&Rs 1356
Term of CC&Rs 1357
Definitions. Operating Rules 1357.100
Enforceability of Operating Rules 1357.110
Which Rules must comply 1357.120
Notice of Rule Chanages 1357.130
Members’ Request of Special Meeting 1357.140
When Rules Restriction apply 1357.150
Severance of Membership. Partition 1358
Partition of Common Area. Partition Sale 1359
Modifications to Common Area 1360
Pets 1360.5
Easements 1361
Access to Lot or Unit 1361.5
Tenancy in Common 1362
Elections and Meetings 1363.03
Election Campaign Funds 1363.04
Management of the Common Interest Development 1363
Possible Eduction 1363.001
Management Disclosure/Information 1363.1
Management Funds 1363.2
Articles of Incorporation Statements 1363.5
Identification of CIDs 1363.6
Open Meetings 1363.05
Association Transfer of Title or Easements 1363.07
Civil Action for Elections/Meetings Violations 1363.09
Internal Dispute Resolution 1363.810
Reasonable Procedures 1363.820
Procedure Requirements 1363.830
Failure to Provide Resolution Procedures 1363.840
Notice of Dispute Procedures 1363.850
Repair, Maintenance and Replacement Responsibility 1364
Financial Information and Disclosure 1365
Assessment Collection Disclosures 1365.1
Inspection of Association's Documents and Records 1365.2
Assessment and Reserve Funding Disclosure Summary 1365.2.5
Community Service Organizations 1365.3
Review of Financial Documents by the Board. Reserves 1365.5
Limited Liablity for Volunteers 1365.7
Limited Liability for Owners if Insured 1365.9
Regular and Special Assessments 1366
No Excess Assessments 1366.1
Recorded Statement To Facilitate Collection of Assessments 1366.2
Liens for Delinquent Assessments. Enforcement of Liens 1367
Assessment Collection Procedures. Notice of Lien 1367.1
Limits on Collection of Assessments 1367.4
Assessment Lien Error 1367.5
Documents to Purchaser 1368
Restrictions on Marketability 1368.1
Standing of an Association 1368.3
Recovery of Damages 1368.4
Civil Action against Developer 1368.5
Mechanic’s Lien 1369
Definitions. Alternative Dispute Resolution 1369.510
Alternative Dispute Resolution before filing Suit 1369.520
Service of Request for Resolution 1369.530
Time Limit for Request for Resolution 1369.540
Tolling of Statute of Limitations 1369.550
Certificate of Compliance with Statute 1369.560
Alternative Dispute Resolution after Suit is Filed 1369.570
Award of Attorney Fees and Costs 1369.580
Annual Summary of Alternative Dispute Resolution 1369.590
Liberal Construction of CC&Rs 1370
Boundaries of Condominium Units 1371
Local Zoning 1372
Provisions not applying to Commercial and Industrial developments 1373
Act does not Apply if there is no Common Area 1374
Construction Defect Litigation 1375
Construction Defect—Civil Action 1375.05
. Construction Defect, Settlement with Developer 1375.1
Satellite Antennas 1376
Architectural Rules 1378

The Davis-Stirling Act
1363.2 . Management Funds

(a) A managing agent of a common interest development who accepts or receives funds belonging to the association shall deposit all such funds that are not placed into an escrow account with a bank, savings association, or credit union or into an account under the control of the association, into a trust fund account maintained by the managing agent in a bank, savings association, or credit union in this state. All funds deposited by the managing agent in the trust fund account shall be kept in this state in a financial institution, as defined in Section 31041 of the Financial Code, which is insured by the federal government, and shall be maintained there until disbursed in accordance with written instructions from the association entitled to the funds.
(b) At the written request of the board of directors of the association, the funds the managing agent accepts or receives on behalf of the association shall be deposited into an interest-bearing account in a bank, savings association, or credit union in this state, provided all of the following requirements are met:
(1) The account is in the name of the managing agent as trustee for the association or in the name of the association.
(2) All of the funds in the account are covered by insurance provided by an agency of the federal government.
(3) The funds in the account are kept separate, distinct, and apart from the funds belonging to the managing agent or to any other person or entity for whom the managing agent holds funds in trust except that the funds of various associations may be commingled as permitted pursuant to subdivision (d).
(4) The managing agent discloses to the board of directors of the association the nature of the account, how interest will be calculated and paid, whether service charges will be paid to the depository and by whom, and any notice requirements or penalties for withdrawal of funds from the account.
(5) No interest earned on funds in the account shall inure directly or indirectly to the benefit of the managing agent or his or her employees.
(c) The managing agent shall maintain a separate record of the receipt and disposition of all funds described in this section, including any interest earned on the funds.
(d) The managing agent shall not commingle the funds of the association with his or her own money or with the money of others that he or she receives or accepts, unless all of the following requirements are met:
(1) The managing agent commingled the funds of various associations on or before February 26, 1990, and has obtained a written agreement with the board of directors of each association that he or she will maintain a fidelity and surety bond in an amount that provides adequate protection to the associations as agreed upon by the managing agent and the board of directors of each association.
(2) The managing agent discloses in the written agreement whether he or she is deriving benefits from the commingled account or the bank, credit union, or savings institution where the moneys will be on deposit.
(3) The written agreement provided pursuant to this subdivision includes, but is not limited to, the name and address of the bonding companies, the amount of the bonds, and the expiration dates of the bonds.
(4) If there are any changes in the bond coverage or the companies providing the coverage, the managing agent discloses that fact to the board of directors of each affected association as soon as practical, but in no event more than 10 days after the change.
(5) The bonds assure the protection of the association and provide
the association at least 10 days' notice prior to cancellation.
(6) Completed payments on the behalf of the association are deposited within 24 hours or the next business day and do not remain commingled for more than 10 calendar days.
(e) The prevailing party in an action to enforce this section shall be entitled to recover reasonable legal fees and court costs.
(f) As used in this section, a "managing agent" is a person or entity, who for compensation or, in expectation of compensation, exercises control over the assets of the association. However, a "managing agent" does not include a full-time employee of the association or a regulated financial institution operating within the normal course of business, or an attorney at law acting within the scope of his or her license.
(g) As used in this section, "completed payment" means funds received which clearly identify the account to which the funds are to be credited.
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