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Illinois Court Rules Condo Parking Space Not a Limited Common Element

Illinois Court Rules Condo Parking Space Not a Limited Common Element

 

Parking disputes can be an issue for community associations. Unit owners may believe that long-standing practices, informal arrangements, or even representations made at the time of purchase give them certain parking rights. In 334 Barry In Town Homes, Inc. v. Farago, 205 Ill. App. 3d 846, 563 N.E.2d 856 (1st Dist. 1990), the Illinois Appellate Court held that condominium declarations determine parking rights. This blog article will discuss the court’s decision in 334 Barry In Town Homes and will provide takeaways for community associations to address parking rights in their associations.

 

Background of the Illinois Condominium Parking Dispute

 

The dispute arose in a small Chicago condominium consisting of six units with an underground garage. Each unit was assigned one parking space. Beneath the building, the garage consisted of individual parking bays, accessed via a shared driveway.

The unit owners at issue had been using an area behind and adjacent to their designated parking space, technically part of the garage driveway, as additional parking or storage. This use continued for approximately 12 years. Other unit owners complained that this practice interfered with access to the garage and parking bays.

The condominium association demanded that the unit owners stop using the additional space, asserting that the area was a common element under the declaration. When the unit owners refused, the association filed suit seeking declaratory and injunctive relief, as well as attorney’s fees under the declaration.

The trial court granted summary judgment in favor of the association, permanently enjoining the unit owners from using the adjacent area and awarding attorney’s fees. The unit owners appealed.

 

Illinois Appellate Court’s Analysis of Condominium Parking Rights

 

The appellate court focused solely on the language of the condominium declaration. Because the material facts were undisputed, the court’s task was limited to interpreting the governing documents.

The condominium declaration defined:

  • Common elements to include driveways and common parking areas;
  • Limited common elements as portions of the common elements designated for the exclusive use of one or more units; and
  • Parking spaces as part of the unit itself, limited to parking a single automobile.

Critically, the condominium declaration did not designate any portion of the driveway or garage access area as a limited common element.

The unit owners argued that the adjacent space should be treated as a limited common element because it was contiguous to and functionally served their unit. The court rejected this argument, explaining that allowing exclusive use of driveway areas would defeat the purpose of shared access. Given that the garage had a single point of entry and exit, granting exclusive rights over portions of the driveway would make it impossible for other owners to access their parking spaces without encroaching on those rights.

The court also dismissed two additional arguments:

  1. Longstanding Use
    The unit owners’ claim that they had used the space for 12 years carried no legal weight. The court noted that the unit owners did not assert adverse possession, and in any event, use alone does not alter the condominium declaration.
  2. Sales Contract Representations
    Although the real estate contract referenced two parking spaces, the agreement was expressly subject to the condominium declaration. Accordingly, the condominium declaration controlled.

Finally, the court upheld the award of attorney’s fees, finding that the condominium’s declaration’s fee-shifting provision applied to actions brought to enforce compliance, even where declaratory relief was necessary to determine rights under the documents.

 

Key Takeaways for Illinois Community Associations

 

This decision offers several important lessons for Illinois community associations.

  • Declarations will control parking rights

The court’s decision emphasizes that a community association’s declaration determines unit owners’ parking rights. The court rejected the defendant’s argument that their use of the area as a parking space for numerous years granted them the right to continual use.  When determining parking rights, community associations must look to their declaration.

  • Limited common elements must be expressly defined in the declaration

For an area to be a limited common element, it must be explicitly designated as such in the declaration. The defendant attempted to argue that the area adjacent to the driveway was a limited common element. However, the court rejected this argument because the declaration did not explicitly provide that this area was a limited common element.

  • Real estate contracts do not trump condominium documents

Purchase contracts and marketing statements are subordinate to recorded condominium documents. The defendants argued that the real estate sales contract they received at closing indicated that two parking spaces were included with the purchase. However, the court noted that the real estate contract was made subject to the declaration’s terms and conditions. As such, the declaration was the controlling document that set forth parking rights.

  • Attorney’s fees are recoverable when authorized by the declaration

In 334 Barry In Town, the declaration provided that the association could recover attorney’s fees in connection with actions to enforce the governing documents in the event of a breach. The court found this to be an enforceable provision which clearly contemplates the recovery of attorney’s fees. Community associations should confirm that their governing documents permit the recovery of attorney’s fees for enforcement actions against a unit owner who breaches them.

 

Conclusion

 

The court’s decision in 334 Barry In Town Homes, Inc. v. Farago emphasizes that a community association’s declaration will determine parking rights. Community associations should review their declarations with legal counsel to confirm how parking rights are established. If the declaration contains any ambiguities, associations should consult with counsel to determine how best to amend their declaration. Lastly, community associations should avoid permitting owners to use areas informally for parking, storage, or other reasons. Doing so could establish an unbreakable precedent and could even lead to claims of adverse possession. Associations should follow the language set forth in their declarations and should proactively consult legal counsel if any issues arise.

If your community association is facing a parking rights issue, please contact the attorneys at Hirzel Law, PLC. Our attorneys have experience counseling community associations on how to address and resolve parking rights issues.

Written by

jfernando@hirzellaw.com

Jeremy Fernando is a dedicated and accomplished associate attorney specializing in community association law and litigation. He earned his Juris Doctor from Marquette University Law School, graduating with honors and ranking in the top 15% of his class. During his time at Marquette, Mr. Fernando distinguished himself as an Associate Editor of the Marquette Law Review and was an active member of the Pro Bono Society, contributing significantly to the Marquette Volunteer Legal Clinic. Mr. Fernando’s legal expertise is grounded in his diverse experiences during his internships, clerkships, and professional practice. He was a member of the Corporate Practice in Greenberg Traurig’s Chicago office, where he represented insurance companies and other institutional investors in U.S. and cross-border private placements of securities. Mr. Fernando focused his practice on private placement financings, project financings, credit tenant lease financings, and other types of secured and unsecured lending transactions. His international experience includes transactions in the Netherlands, England, Ireland, Australia, and Germany. Additionally, Mr. Fernando served as a Summer Associate at Greenberg Traurig, LLP, gaining hands-on experience in high-stakes legal matters. His internships with The Honorable Lynn Adelman at the United States District Court for the Eastern District of Wisconsin and The Honorable Rebecca Dallet at the Wisconsin Supreme Court provided him with invaluable insights into judicial processes and the intricacies of legal research and writing. Before law school, Mr. Fernando graduated cum laude from Texas A&M University with a Bachelor of Arts in History, where he also honed his advocacy skills as a member of the Moot Court Team. Mr. Fernando’s background includes a strong focus on community association law, where he has worked on a wide range of issues from foreclosure of assessment liens to the defense of lawsuits. His experience at Riddle & Williams, P.C., where he conducted extensive legal research and drafted numerous legal documents, has made him well-versed in the nuances of community association management and property law. Mr. Fernando is committed to providing his clients with thorough, effective legal representation and is passionate about helping communities navigate complex legal challenges. His academic achievements, combined with his practical experience and dedication to pro bono work, make him a valuable asset to our legal team.

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