The board of directors has approved an April referendum to determine whether the community should add an amendment to its bylaws to eliminate the possibility of residents suing for slips and falls.
By: Chris Karmiol
EAST WINDSOR In an effort to curb general liability costs in Twin Rivers, the Twin Rivers Community Trust hopes to pass a referendum to enact a partial tort immunity clause next year.
The clause, an amendment to the trust’s bylaws and indenture, would eliminate or minimize potential lawsuits from Twin Rivers residents as a result of slipping or falling.
"A majority of suits on general liability are by our owners," said Jennifer Ward, administrator of the Twin Rivers Trust. "This would limit the amount they could sue for."
A resolution was approved by the Twin Rivers Homeowners Association board of directors in November to hold a special referendum on this issue April 17.
According to Ms. Ward, tort immunity is necessary in order to retain any insurance coverage at all. In the past two years, general liability premiums for the trust have gone up over 3,000 percent, Ms. Ward said.
In the year 2000 the trust paid $4,700 in insurance premiums. In 2001 that premium increased to $47,000, due to 12 slip-and-fall claims filed against the trust in a three-year period ending in 2000. Another eight claims were filed in 2001, bringing the trust’s premium up to $154,000 for 2002.
"Insurance carriers were asking if we had the clause," Ms. Ward said. "If not they wouldn’t even consider covering us."
To pass the tort immunity clause referendum, Ms. Ward said that two-thirds of Twin Rivers unit owners must vote in favor of it. The two-thirds vote, required by state legislation, is more than would normally be required to change the trust’s bylaws and indentures, she said.
"Most people are very positive," said Ms. Ward. "I think they realize the benefit of the clause."
Some residents argue that passing the clause will give the trust carte blanche to avoid sidewalk and other repairs that cause injuries. Ms. Ward disagreed, claiming the trust has been proactive in preventing injuries.
The trust has an "aggressive curb and sidewalk replacement program in place," she said. "We do extensive sanding and snow removal. Snow thaw and melt situations are where a majority of falls take place."
Mark Shane, the trust’s attorney, likened the situation of having the clause to what it would be like to fall in your own home. In other words, you wouldn’t sue.
"There are many associations who are having a horrendous time getting insurance," he said.
"It didn’t take rocket scientists to see why the (insurance) carriers are upset with us," Ms. Ward said.
Although the clause would limit lawsuit costs, the trust could still be held liable for real medical expenses incurred as a result of injuries suffered in a fall, according to the Twin Rivers Today, the community’s official newspaper.