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Condo board passes controversial new rules

15-Nov-07 – At a special meeting of the Marina Towers Condominium Association board of directors on November 15, all eleven proposed changes to existing rules were passed unanimously. About 75 unit owners attended the meeting.

Among the more controversial rules was a ban on commercial use of association name and building image that appears to be based on the claim that the association holds a “common law copyright” on its name and building image. This claim has been disputed by lawyers and others knowledgeable about copyright law.

After the rule was described to unit owners in an October 26 letter from MTCA president Donna Leonard, the board further clarified this rule to claim that “common law copyright pertains to the commercial use of the image and name.”

Because of the architectural significance of our building, the condominium association holds a common law copyright on the use of the association name and the building image. That means under federal and Illinois law, advertisers, movie-makers, and others cannot use the association name or image in the course of their business, vocation, or occupation without first obtaining express written permission from the association. This applies to individual unit owners. It also means that a unit owner may not publish a newsletter, or other publication or operate a web site that claims to be officially sponsored by Marina Towers Condominium Association.

Although appearing to back away from claims of protection under federal copyright law, MTCA attorney Ellis Levin has recently elaborated on the reference to Illinois law. He points to the Illinois Uniform Deceptive Trade Practices Act that prohibits business practices that cause “likelihood of confusion or of misunderstanding” about goods or services, including false association with another business.

Ellis Levin MTCA attorney and former Illinois state representative Ellis Levin, seen here in an undated photo most likely from the 1980s.

MTCA president Donna Leonard is also general counsel for Illinois Secretary of State Jesse White. She is seen here in a brochure for the Secretary of State’s office. Donna Leonard

Levin appears to suggest this law is the basis for charging film makers to photograph Marina City, a claim that has never been verified. The one example that was given at the September 7 board meeting, that CBS television paid to shoot video of the complex, was refuted on November 6 by WBBM-TV general manager Joe Ahern.

Said board member James Ward, “What it boils down to is, when they want to make a movie here, we get the money! Do you want to give it up?”

Ward started to mention the Allstate television spot, which was filmed on commercial property not owned by the MTCA, but he was cut off by a condo owner explaining, “They’re renting the property.”

When challenged by a unit owner that “you can’t copyright the garage,” Ward responded, “I didn’t say it was a copyright. I’m saying that we now are in a position where we derive some advantage.”

Ward was observed by numerous unit owners during the meeting reading a newspaper and taking a cell phone call.

MTCA wants a disclaimer on web sites that might be perceived as belonging to the condo association. When asked by Marina City Online sponsor Michael Michalak what an acceptable disclaimer would be, Levin said, “One of the problems with your web site was you were trying to pretend to be the association.”

Levin said there are two problems with the Marina City Online disclaimer. “One is the actual wording. The second is also where it’s located. One of the problems with your site was the lack of prominence in terms of anybody who looked at it would have a great deal of difficulty finding it.”

[Our disclaimer was written by an attorney who specializes in intellectual property law. This disclaimer appears in the center of the home page and at the bottom of every other page of this web site.]

Another controversial rule that was adopted would charge owners for costs incurred responding to frivolous requests for books and records. The MTCA wants requests for such documents made in writing, along with a description of the purpose for the request. Unit owners complained the term “frivolous” was too subjective. Also, that according to the official explanation for the rule, it was in response to owners involved in a lawsuit with the MTCA, who the association claims ran up legal fees with frivolous filings.

Commented unit owner Patrick Lister, “Rule nine seems to be a very, very obviously punitive attempt by you to punish whoever sued the board. And it seems to be extraordinarily petty of the board to…put up this rule for everyone else when it’s very clear this is just a punishment rule for certain individuals.”

A brief regular meeting of the board was held before the special meeting. Harold G. Bellamy was voted to fill the board vacancy created when Berry Stevens resigned in October.

Audio recording of MTCA special meeting

  Click here if you do not see the media player above

  October 26 letter to unit owners from MTCA president