- Community Associations, Legal Updates
- Indiana
An Illinois community association may function as a landlord. This scenario can occur by:
- Leasing association-owned units
- Renting common areas or commercial spaces
- Operating gatehouses or offices with residential components (ex. living quarters for association staff, security personnel, etc.)
- Temporarily taking possession of units through foreclosure, receivership, or assessment enforcement
When an association steps into the role of a landlord, it becomes subject to state and local landlord-tenant laws just like any other property owner. As a result, legal updates affecting evictions, tenant protections, and law enforcement authority can directly impact association operations. Board members and property managers must understand these changes to avoid costly missteps, litigation exposure, and compliance violations when managing association-owned or controlled rental property.
Legal Update #1: Criminal Trespass and “Squatter” Removal
Effective January 1, 2026, Senate Bill 1563 (Public Act 104-0029 amends 735 ILCS 5/9-102) clarifies that Illinois eviction laws do not prevent law enforcement from enforcing criminal trespass statutes. Under this law, nothing in the Eviction Article may be interpreted to prohibit police from removing individuals who are unlawfully occupying property when criminal trespass is established.
For associations acting as landlords, this is particularly relevant when dealing with unauthorized occupants, abandoned units, or non-tenant individuals occupying association-owned property. Once the association can provide proof of ownership, law enforcement may immediately remove a trespasser without requiring the association to initiate a formal eviction proceeding. Boards and property managers should still proceed carefully, ensuring the situation truly involves trespass, not a tenancy, to avoid improper removal and liability.
Legal Update #2: Prohibition on Naming Minors in Evictions
Effective January 1, 2026, House Bill 3566 (Public Act 104-0317 amends 735 ILCS 5/9-106 and 735 ILCS 5/9-106-121) significantly changes eviction procedure by prohibiting minors from being named as defendants in eviction cases. If a minor is included in the case caption, even unintentionally, the entire eviction action must be dismissed and immediately sealed.
The consequences for associations are substantial. If an association deliberately names a minor, the child may be entitled to attorney’s fees, actual damages, and $1,000 in liquidated damages. Boards and property managers must ensure that eviction filings name only legally responsible adult tenants. This update reinforces the need for careful coordination with legal counsel before filing eviction actions involving association-owned or leased units.
Legal Update #3: Violence Against Women Act (VAWA) Lease Notice Requirements
Beginning January 1, 2026, Illinois law will require Violence Against Women Act (VAWA) summaries to be included with all residential leases, including those used by community associations acting as landlords. These requirements apply regardless of whether the association owns a single unit or manages multiple rental properties.
For boards and property managers, this means lease templates must be reviewed and updated to ensure proper VAWA disclosures and tenant rights summaries are included.
Failure to comply can expose associations to enforcement actions and tenant claims. Associations leasing units (ex. long-term, temporary, due to foreclosure or receivership) should work with experienced legal counsel to ensure all lease documents meet the new statutory requirements.
Best Practices for Boards and Property Managers
When an Illinois community association acts as a landlord, it is fully subject to evolving landlord-tenant laws. From distinguishing criminal trespass from eviction to properly structuring eviction filings, to ensuring lease compliance with federal and state tenant protections, boards and property managers must approach association-owned or controlled rental property with heightened care. Proactive review of policies, lease documents, and enforcement procedures in coordination with legal counsel will be critical to managing risk and maintaining compliance with these legal updates.
Legal Resource
Do not hesitate to contact KSN if you are an Illinois board member, property manager, or community association leader with questions about these recent legislative updates.
Please contact our law firm by calling 855-537-0500 or visit www.ksnlaw.com.
Since 1983, KSN has been a legal resource for condominium, homeowner, and townhome associations. Additionally, we represent clients in real estate transactions, collections, landlord/tenant issues, and property tax appeals. We represent thousands of clients and community associations throughout the US with offices in several states including Florida, Illinois, Indiana, and Wisconsin.
Please note the material contained in this article is for educational and informational purposes only and does not constitute legal advice. No attorney-client relationship is established by your review or receipt of the information contained in this article. You should not act on the information discussed in this article without first obtaining legal advice from an attorney duly licensed to practice law in your State. While KSN has made every effort to include up-to-date information in this article, the law can change quickly. Accordingly, please understand that information discussed in this article may not yet reflect the most recent legal developments. Material is not guaranteed to be correct, complete, or up to date. KSN reserves the right to revise or update the information and statements of law discussed in the article at any time, without notice, and disclaims any liability for your use of information or statements of law discussed in the article, or the accessibility of the article generally. This article may be considered advertising in some jurisdictions under applicable law/s and/or ethical rules/regulations. © 2026 Kovitz Shifrin Nesbit, A Professional Corporation.
