What scenarios may special assessments be levied for?

The correct answer encompasses all the scenarios where special assessments may be levied. Special assessments are fees that a community may impose to cover costs not included in the regular budget or that arise unexpectedly.

Legal judgments can result in special assessments when a community association is required to pay legal costs or damages awarded in a lawsuit affecting the community. This ensures that the financial burden of legal issues does not disproportionately affect the general budget.

Damage caused by an owner, tenant, or invitee may also justify a special assessment. If an individual in the community causes significant damage to shared property, the community association may choose to recover the repair costs through a special assessment charged to the responsible party or all homeowners, depending on the community's governing documents.

Capital improvements refer to significant upgrades or enhancements to common areas that improve or increase the value of the community. These may not be budgeted for in the general fund, so a special assessment is often necessary to raise the funds needed for these projects.

Since all these scenarios demonstrate valid reasons for levying special assessments, the comprehensive option is the most appropriate response.