Illinois Section 22.1 Disclosures: A Board Guide

Section 22.1 of the Illinois Condominium Property Act is the provision that governs what a condominium association must disclose when a unit owner is selling a unit. In plain terms: when a selling owner (or the owner's agent) makes a proper request, the association is expected to furnish specified information about the association's finances, governing documents, insurance, and known obligations affecting the unit. The board's job is not to interpret the sale. The board's job is to produce accurate, current records on request, within the timeframe and on the terms the Act and the association's governing documents establish.

The single most useful thing a board can do about 22.1 is treat it as an operational process rather than a legal emergency. Most 22.1 problems in Illinois associations are not legal disputes. They are records problems: nobody can find the current declaration with all recorded amendments, the insurance certificate expired two months ago, the reserve balance in the packet does not match the balance sheet, or the request sat in a personal inbox for nine days. Every one of those is fixable with a standing file and an owner of the process.

Section 22.1 applies to condominiums, not to every Illinois association

This distinction matters and boards get it wrong constantly. Section 22.1 lives in the Illinois Condominium Property Act, which governs condominium associations. Many Illinois homeowners associations and townhome associations are instead governed by the Common Interest Community Association Act (CICAA), which is a separate statute with its own disclosure and records provisions. A non-condominium association should not assume that "22.1" language applies to it verbatim, and a condominium association should not assume that CICAA guidance applies to it verbatim.

In practice, that means two boards in the same neighborhood can owe different things at resale. Your association's counsel should confirm which statute governs your association and how your declaration, bylaws, and any recorded amendments interact with it. If your association was created under one structure and later amended, the answer is not always obvious from the name on the sign.

Why the distinction shows up at the closing table

Lenders, title companies, and buyer attorneys all work from checklists. When a request comes in labeled "22.1 disclosure" to a townhome association governed by CICAA, the association still needs to respond -- it simply needs to respond with what its governing statute and documents actually require, not with a form copied from a condominium. Sending the wrong form is how associations end up making representations they cannot support.

What boards should have ready before the request arrives

Assume a resale request can land any week. The associations that handle 22.1 well keep a permanent, continuously updated packet source rather than assembling from scratch each time. At minimum, keep these current and in one place:

• The recorded declaration and bylaws, plus every recorded amendment, in a single consolidated set.
• Current rules and regulations as adopted, with adoption dates.
• The most recent annual budget as adopted by the board.
• Current financial statements, including the balance sheet showing operating and reserve balances.
• Any adopted special assessment, including amount, purpose, and payment schedule.
• Current certificates of insurance from the association's agent.
• The account ledger for the specific unit, showing assessments, credits, and any unpaid balance.
• Any known pending litigation or claims involving the association, as confirmed with counsel.
• Capital expenditure information the board has actually approved, not informally discussed.

Notice what is not on that list: speculation. A 22.1 response is a records disclosure, not a forecast. If the board has discussed a possible roof project but has not adopted anything, the honest disclosure is what has been adopted. Describing a maybe as a plan creates exposure; hiding an adopted assessment creates worse exposure.

Build the workflow around a single accountable owner

The most common failure mode is diffusion. A request goes to a shared association email, three board members each assume another is handling it, and the clock runs. Assign one accountable party -- typically the managing agent, with a named board backup -- and route every resale request to that channel. Our board support and financial management teams handle this intake for the associations we serve precisely because it is a deadline-driven records function that should never depend on who happened to check email.

Board checklist: 22.1 readiness

1. Confirm with counsel which Illinois statute governs your association.
2. Name one accountable responder and one backup, in writing, in the minutes.
3. Publish a single intake address for resale requests and put it in your owner communications.
4. Rebuild the master document set once, completely, including all recorded amendments.
5. Set a recurring quarterly review to refresh financials, insurance certificates, and rules.
6. Adopt a written fee policy for disclosure preparation consistent with your governing documents and applicable law, confirmed with counsel.
7. Reconcile unit ledgers monthly so the balance you report is the balance you can prove.
8. Log every request, the date received, and the date responded, and keep the log permanently.
9. Never let a board member issue a verbal payoff figure outside the process.

When to involve counsel

Involve association counsel when the request touches litigation status, when a unit's balance is disputed, when the association is considering a fee that is not clearly authorized, and any time you are unsure whether a document is a governing document or merely a board practice. Counsel should also review your standing 22.1 response template once, so that the recurring work is safe and the exceptions are the only thing that requires a call.

This article is general education for Illinois association boards and is not legal advice. Your association's governing documents control, and your association's attorney should interpret them and confirm current statutory requirements before you rely on any process described here.

If your board wants a resale disclosure process that runs on a calendar instead of on adrenaline, our condominium management team can build one with you. Schedule a consultation and we will review your current packet against your governing documents.