{"formats":[{"name":"JSON","format":"json","url":"\/downloads\/2025\/code-json\/55.1-1827.json"},{"name":"Plain Text","format":"text","url":"\/downloads\/2025\/code-text\/55.1-1827.txt"},{"name":"XML","format":"xml","url":"\/downloads\/2025\/code-xml\/55.1-1827.xml"},{"name":"HTML","format":"html","url":"\/downloads\/2025\/code-html\/55.1-1827.html"}],"law_id":68443,"edition_id":1,"section_id":68443,"structure_id":14602,"section_number":"55.1-1827","catch_line":"Deposit of funds; fidelity bond","history":"2007, cc. 696, 712, \u00a7 55-514.2; 2008, cc. 851, 871; 2019, c. 712.","full_text":"A\n\nAll funds deposited with a managing agent shall be handled in a fiduciary capacity and shall be kept in a fiduciary trust account in a federally insured financial institution separate from other assets of the managing agent. The funds shall be the property of the association and shall be segregated for each account in the managing agent&#8217;s records in a manner that permits the funds to be identified on an individual association basis.B\n\nAny association collecting assessments for common expenses shall obtain and maintain a blanket fidelity bond or employee dishonesty insurance policy insuring the association against losses resulting from theft or dishonesty committed by the officers, directors, or persons employed by the association or committed by any managing agent or employees of the managing agent. Such bond or insurance policy shall provide coverage in an amount equal to the lesser of $1 million or the amount of the reserve balances of the association plus one-fourth of the aggregate annual assessment income of such association. The minimum coverage amount shall be $10,000. The board of directors or managing agent may obtain such bond or insurance on behalf of the association.","order_by":null,"text":{"0":{"id":247833,"text":"All funds deposited with a managing agent shall be handled in a fiduciary capacity and shall be kept in a fiduciary trust account in a federally insured financial institution separate from other assets of the managing agent. The funds shall be the property of the association and shall be segregated for each account in the managing agent&#8217;s records in a manner that permits the funds to be identified on an individual association basis.","type":"section","prefixes":["A"],"prefix":"A","entire_prefix":"A","prefix_anchor":"A","level":1,"next_prefix":"B"},"1":{"id":247834,"text":"Any association collecting assessments for common expenses shall obtain and maintain a blanket fidelity bond or employee dishonesty insurance policy insuring the association against losses resulting from theft or dishonesty committed by the officers, directors, or persons employed by the association or committed by any managing agent or employees of the managing agent. Such bond or insurance policy shall provide coverage in an amount equal to the lesser of $1 million or the amount of the reserve balances of the association plus one-fourth of the aggregate annual assessment income of such association. The minimum coverage amount shall be $10,000. The board of directors or managing agent may obtain such bond or insurance on behalf of the association.","type":"section","prefixes":["B"],"prefix":"B","entire_prefix":"B","prefix_anchor":"B","level":1,"prior_prefix":"A"}},"ancestry":[{"id":14602,"edition_id":1,"name":"Operation and Management of Association","identifier":"3","label":"article","depth":4,"order_by":1,"parent_id":13840,"metadata":{},"date_created":"2026-06-26 03:48:50","date_modified":"2026-06-26 03:48:50","permalink":{"id":246517,"object_type":"structure","relational_id":14602,"identifier":"3","token":"55.1\/IV\/18\/3","url":"\/55.1\/IV\/18\/3\/","edition_id":1,"permalink":0,"preferred":1}},{"id":13840,"edition_id":1,"name":"Property Owners' Association Act","identifier":"18","label":"chapter","depth":3,"order_by":1,"parent_id":12914,"metadata":{},"date_created":"2026-06-26 03:46:02","date_modified":"2026-06-26 03:46:02","permalink":{"id":246475,"object_type":"structure","relational_id":13840,"identifier":"18","token":"55.1\/IV\/18","url":"\/55.1\/IV\/18\/","edition_id":1,"permalink":0,"preferred":1}},{"id":12914,"edition_id":1,"name":"Common Interest Communities","identifier":"IV","label":"subtitle","depth":2,"order_by":1,"parent_id":12707,"metadata":{},"date_created":"2026-06-26 03:44:01","date_modified":"2026-06-26 03:44:01","permalink":{"id":246473,"object_type":"structure","relational_id":12914,"identifier":"IV","token":"55.1\/IV","url":"\/55.1\/IV\/","edition_id":1,"permalink":0,"preferred":1}},{"id":12707,"edition_id":1,"name":"Property and Conveyances","identifier":"55.1","label":"title","depth":1,"order_by":1,"parent_id":null,"metadata":{},"date_created":"2026-06-26 03:43:49","date_modified":"2026-06-26 03:43:49","permalink":{"id":244769,"object_type":"structure","relational_id":12707,"identifier":"55.1","token":"55.1","url":"\/55.1\/","edition_id":1,"permalink":0,"preferred":1}}],"structure_contents":[{"id":82116,"structure_id":14602,"section_number":"55.1-1815","catch_line":"Access to association records; association meetings; notice","url":"\/55.1-1815\/","token":"55.1\/IV\/18\/3\/55.1-1815","metadata":false},{"id":58953,"structure_id":14602,"section_number":"55.1-1816","catch_line":"Meetings of the board of directors","url":"\/55.1-1816\/","token":"55.1\/IV\/18\/3\/55.1-1816","metadata":false},{"id":71423,"structure_id":14602,"section_number":"55.1-1817","catch_line":"Distribution of information by members","url":"\/55.1-1817\/","token":"55.1\/IV\/18\/3\/55.1-1817","metadata":false},{"id":74786,"structure_id":14602,"section_number":"55.1-1818","catch_line":"Common areas; notice of pesticide application","url":"\/55.1-1818\/","token":"55.1\/IV\/18\/3\/55.1-1818","metadata":false},{"id":77313,"structure_id":14602,"section_number":"55.1-1819","catch_line":"Adoption and enforcement of rules","url":"\/55.1-1819\/","token":"55.1\/IV\/18\/3\/55.1-1819","metadata":false},{"id":62295,"structure_id":14602,"section_number":"55.1-1819.1","catch_line":"Limitation of smoking in development","url":"\/55.1-1819.1\/","token":"55.1\/IV\/18\/3\/55.1-1819.1","metadata":false},{"id":77241,"structure_id":14602,"section_number":"55.1-1820","catch_line":"Display of the flag of the United States; necessary supporting structures; affirmative defense","url":"\/55.1-1820\/","token":"55.1\/IV\/18\/3\/55.1-1820","metadata":false},{"id":84984,"structure_id":14602,"section_number":"55.1-1820.1","catch_line":"Installation of solar energy collection devices","url":"\/55.1-1820.1\/","token":"55.1\/IV\/18\/3\/55.1-1820.1","metadata":false},{"id":56111,"structure_id":14602,"section_number":"55.1-1821","catch_line":"Home-based businesses permitted; compliance with local ordinances","url":"\/55.1-1821\/","token":"55.1\/IV\/18\/3\/55.1-1821","metadata":false},{"id":80736,"structure_id":14602,"section_number":"55.1-1822","catch_line":"Use of for sale signs in connection with sale","url":"\/55.1-1822\/","token":"55.1\/IV\/18\/3\/55.1-1822","metadata":false},{"id":81871,"structure_id":14602,"section_number":"55.1-1823","catch_line":"Designation of authorized representative","url":"\/55.1-1823\/","token":"55.1\/IV\/18\/3\/55.1-1823","metadata":false},{"id":67080,"structure_id":14602,"section_number":"55.1-1823.1","catch_line":"Electric vehicle charging stations permitted","url":"\/55.1-1823.1\/","token":"55.1\/IV\/18\/3\/55.1-1823.1","metadata":false},{"id":83860,"structure_id":14602,"section_number":"55.1-1824","catch_line":"Assessments; late fees","url":"\/55.1-1824\/","token":"55.1\/IV\/18\/3\/55.1-1824","metadata":false},{"id":69838,"structure_id":14602,"section_number":"55.1-1825","catch_line":"Authority to levy additional assessments; authority to borrow","url":"\/55.1-1825\/","token":"55.1\/IV\/18\/3\/55.1-1825","metadata":false},{"id":63899,"structure_id":14602,"section_number":"55.1-1826","catch_line":"Annual budget; reserve study; reserves for capital components","url":"\/55.1-1826\/","token":"55.1\/IV\/18\/3\/55.1-1826","metadata":false},{"id":68443,"structure_id":14602,"section_number":"55.1-1827","catch_line":"Deposit of funds; fidelity bond","url":"\/55.1-1827\/","token":"55.1\/IV\/18\/3\/55.1-1827","metadata":false},{"id":72141,"structure_id":14602,"section_number":"55.1-1828","catch_line":"Compliance with declaration","url":"\/55.1-1828\/","token":"55.1\/IV\/18\/3\/55.1-1828","metadata":false},{"id":58609,"structure_id":14602,"section_number":"55.1-1829","catch_line":"Amendment to declaration and bylaws; consent of mortgagee","url":"\/55.1-1829\/","token":"55.1\/IV\/18\/3\/55.1-1829","metadata":false},{"id":65977,"structure_id":14602,"section_number":"55.1-1830","catch_line":"Validity of declaration; corrective amendments","url":"\/55.1-1830\/","token":"55.1\/IV\/18\/3\/55.1-1830","metadata":false},{"id":62302,"structure_id":14602,"section_number":"55.1-1831","catch_line":"Reformation of declaration; judicial procedure","url":"\/55.1-1831\/","token":"55.1\/IV\/18\/3\/55.1-1831","metadata":false},{"id":66064,"structure_id":14602,"section_number":"55.1-1832","catch_line":"Use of technology","url":"\/55.1-1832\/","token":"55.1\/IV\/18\/3\/55.1-1832","metadata":false},{"id":74192,"structure_id":14602,"section_number":"55.1-1833","catch_line":"Lien for assessments; foreclosure","url":"\/55.1-1833\/","token":"55.1\/IV\/18\/3\/55.1-1833","metadata":false},{"id":74729,"structure_id":14602,"section_number":"55.1-1834","catch_line":"Notice of sale under deed of trust","url":"\/55.1-1834\/","token":"55.1\/IV\/18\/3\/55.1-1834","metadata":false},{"id":78030,"structure_id":14602,"section_number":"55.1-1835","catch_line":"Annual report by association","url":"\/55.1-1835\/","token":"55.1\/IV\/18\/3\/55.1-1835","metadata":false},{"id":63125,"structure_id":14602,"section_number":"55.1-1836","catch_line":"Condemnation of common area; procedure","url":"\/55.1-1836\/","token":"55.1\/IV\/18\/3\/55.1-1836","metadata":false},{"id":64074,"structure_id":14602,"section_number":"55.1-1837","catch_line":"Termination and duration of certain management contracts","url":"\/55.1-1837\/","token":"55.1\/IV\/18\/3\/55.1-1837","metadata":false}],"previous_section":{"id":63899,"structure_id":14602,"section_number":"55.1-1826","catch_line":"Annual budget; reserve study; reserves for capital components","url":"\/55.1-1826\/","token":"55.1\/IV\/18\/3\/55.1-1826","metadata":false},"next_section":{"id":72141,"structure_id":14602,"section_number":"55.1-1828","catch_line":"Compliance with declaration","url":"\/55.1-1828\/","token":"55.1\/IV\/18\/3\/55.1-1828","metadata":false},"metadata":false,"official_url":"https:\/\/law.lis.virginia.gov\/vacode\/55.1-1827\/","history_text":"<p>This law was first created in 2007. The record of its establishment is cataloged in chapters <a href=\"https:\/\/legacylis.virginia.gov\/cgi-bin\/legp604.exe?071+ful+CHAP0696\">696<\/a> and <a href=\"https:\/\/legacylis.virginia.gov\/cgi-bin\/legp604.exe?071+ful+CHAP0712\">712<\/a> of that year\u2019s edition of \u201cActs of Assembly,\u201d the annual state publication listing all changes made to the Code of Virginia in that year. It has been modified 2 times. Those modifications are cataloged by \u201cThe Acts of Assembly,\u201d a state publication, by year and chapter. Those modifications that can be read on the General Assembly\u2019s website will be linked accordingly. Those modifications are as follows: in 2008, chapters <a href=\"https:\/\/legacylis.virginia.gov\/cgi-bin\/legp604.exe?081+ful+CHAP0851\">851<\/a> and <a href=\"https:\/\/legacylis.virginia.gov\/cgi-bin\/legp604.exe?081+ful+CHAP0871\">871<\/a>; in 2019, chapter <a href=\"https:\/\/legacylis.virginia.gov\/cgi-bin\/legp604.exe?191+ful+CHAP0712\">712<\/a>.<\/p>","references":false,"refers_to":false,"permalink":{"id":246579,"object_type":"law","relational_id":68443,"identifier":"55.1-1827","token":"55.1\/IV\/18\/3\/55.1-1827","url":"\/55.1-1827\/","edition_id":1,"permalink":0,"preferred":1},"url":"\/55.1-1827\/","token":"55.1\/IV\/18\/3\/55.1-1827","dublin_core":{"Title":"Deposit of funds; fidelity bond","Type":"Text","Format":"text\/html","Identifier":"\u00a7 55.1-1827","Relation":"Code of Virginia"},"html":"\n\t\t\t\t\t\t<section id=\"A\"><p><span class=\"prefix-number\">A.<\/span> All funds deposited with a managing agent shall be handled in a fiduciary capacity and shall be kept in a fiduciary trust account in a federally insured financial institution separate from other <span class=\"dictionary\">assets<\/span> of the managing agent. The funds shall be the property of the <span class=\"dictionary\">association<\/span> and shall be segregated for each account in the managing agent&#8217;s records in a manner that permits the funds to be identified on an individual <span class=\"dictionary\">association<\/span> basis. <a id=\"paragraph-247833\" class=\"section-permalink\" href=\"https:\/\/vacode.org\/55.1-1827\/#A\"><i class=\"fa fa-link\"><\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t<section id=\"B\"><p><span class=\"prefix-number\">B.<\/span> Any <span class=\"dictionary\">association<\/span> collecting assessments for common expenses shall obtain and maintain a blanket fidelity <span class=\"dictionary\">bond<\/span> or employee dishonesty insurance policy insuring the <span class=\"dictionary\">association<\/span> against losses resulting from theft or dishonesty committed by the officers, directors, or persons employed by the <span class=\"dictionary\">association<\/span> or committed by any managing agent or employees of the managing agent. Such <span class=\"dictionary\">bond<\/span> or insurance policy shall provide coverage in an amount equal to the lesser of $1 million or the amount of the reserve balances of the <span class=\"dictionary\">association<\/span> plus one-fourth of the aggregate annual assessment income of such <span class=\"dictionary\">association<\/span>. The minimum coverage amount shall be $10,000. The <span class=\"dictionary\">board of directors<\/span> or managing agent may obtain such <span class=\"dictionary\">bond<\/span> or insurance on behalf of the <span class=\"dictionary\">association<\/span>. <a id=\"paragraph-247834\" class=\"section-permalink\" href=\"https:\/\/vacode.org\/55.1-1827\/#B\"><i class=\"fa fa-link\"><\/i><\/a><\/p><\/section>","plain_text":"                                 CODE OF VIRGINIA\n\nDEPOSIT OF FUNDS; FIDELITY BOND (\u00a7 55.1-1827)\n\nA. All funds deposited with a managing agent shall be handled in a fiduciary\ncapacity and shall be kept in a fiduciary trust account in a federally insured\nfinancial institution separate from other assets of the managing agent. The\nfunds shall be the property of the association and shall be segregated for each\naccount in the managing agent&#8217;s records in a manner that permits the funds\nto be identified on an individual association basis.\n\nB. Any association collecting assessments for common expenses shall obtain and\nmaintain a blanket fidelity bond or employee dishonesty insurance policy\ninsuring the association against losses resulting from theft or dishonesty\ncommitted by the officers, directors, or persons employed by the association or\ncommitted by any managing agent or employees of the managing agent. Such bond or\ninsurance policy shall provide coverage in an amount equal to the lesser of $1\nmillion or the amount of the reserve balances of the association plus one-fourth\nof the aggregate annual assessment income of such association. The minimum\ncoverage amount shall be $10,000. The board of directors or managing agent may\nobtain such bond or insurance on behalf of the association.\n\nHISTORY: 2007, cc. 696, 712, \u00a7 55-514.2; 2008, cc. 851, 871; 2019, c. 712.","edition":{"id":1,"name":"2025","slug":"2025","date_created":"2026-06-21 22:39:22","date_modified":"2026-06-21 22:39:22","current":1,"order_by":1,"last_import":null}}