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ElbyJ
Posts: 29
Posted:
I have looked at a lot of HOA ByLaws on-line and so many of them look alike with just word changes and HOA-specific statements. Are HOA ByLaws unique to a state? If so, where can we locate an outline of what needs to go in the ByLaws so our legal office won't bleed all over the document? Reason being -- we are a 13 year HOA and still relying on the original ByLaws written by the subdivision builders, of which most of the words don't apply to us today. Using a HOA board approved ByLaws from one of our sister HOA's, we updated them so they would be applicable to us, ran them through our legal department with only a few changes, got my board to approve them, and Wednesday night we discussed them at our Town Hall meeting for a possible vote. Boy was I wrong! It turned out to be a "blood bath". We never made it past Article II in over two hours of discussion. As the President, I decided to table the ByLaws and send them to a committee for resolution. The committee is wanting a document to show what has to be in the ByLaws when they meet next week to begin my tasking. So if someone has a website out there in the cloud that will define Bylaw composition, it would be greatly appreciated.

MelissaP1 (Alabama)
Posts: 13,836
Posted:
Oh honey, God bless your soul for trying...Your best bet was to modify the ones you already had. It's a mess for sure but in the end the best option. We had to update our CC&R's, By-laws, and Incorporation documents. It took over 2 years over $2k. I was sooooooo glad I was able to finish it. It just had about 5 changes in it too.

What we had to do is according to the documentation, was to have a special meeting to make any changes. It was a 75% vote of the membership to change the By-laws and Incorporation. It was 90% to change the CC&R's. Wish that requirement had been part of the changes! What we had to do to get out of the special meeting requirement was to have 2 documents. 1 stating the member forgo their rights to gather at a special meeting and the 2nd to accept the changes. This way we could go door to door gathering signatures.

Our changes included: Removing ALL references to the Developer and replacing our name. We had a single water meter and if you didn't pay your dues we could shut the water off. We changed to SEPARATE water meters where EACH person was responsible for their own water. We also reduced the number of Board members from 9 to 5. There were just a few other minor changes. (I'd recommend checking for any technology changes such as satellite dishes or solar energy)

Our lawyer made us two copies. The original and the one with changes. Plus the two petition sheets to submit. Technically, you only have to file the CC&R's at the Local Courthouse and the Incorporation at State level. The by-laws aren't necessary to be filed but are a good idea to do so. They are the outline of rules but it's the CC&R's that really have the teeth.

Former HOA President
JeanneK3 (Maryland)
Posts: 562
Posted:
ElbyJ:

First make sure your bylaws have to be changed. There are attorneys in Maryland that are telling boards that they should amend bylaws to conform to Maryland law and that is not correct. In fact, an attorney I recently spoke to said bylaws should be "general, broad and permissive" and that details should be in the rules and regulations so they can be easily changed. He specifically recommended against putting laws in bylaws since then the bylaws would then need to be amended every year.
Also, a community manager I spoke to said he has bylaws from 1965 that are still fine. As the person to enforce bylaws and rules, he recommended putting as much as possible in rules and regulations.
Jeanne
ElbyJ
Posts: 29
Posted:
Believe it or not -- the first tasking to the ByLaw committee is to determine if they want to keep the outdated Bylaws as they are written or update them. Their second tasking is to determine the level of updating. Do they just want to change the names from the site developers to the current HOA, as a minimum, or proceed with a complete workover. Getting approval for the updated Bylaws will not be a difficult tasking. All we need is a quorum (11 homeowners) at the designated meeting and then have approval by a majority vote. My personal opinion is the updated Bylaws we presented at this week's meeting was a very good product. I am hoping the committee will keep the majority of information in their draft. Several of the homeowners after the meeting indicated sending the Bylaws to a committee was a fantastic idea, since the changes would no longer have my name all over them and the committee would have to defend their words.
LynetteB (Texas)
Posts: 141
Posted:
Elby,
Not sure how detailed your bylaws will be, but some good information is in Vernon's Texas Civil Statutes Art 1396-2.09, Texas Residential Property Owners Protection Act (which is Chapter 209 of the Property Code), and the Business Organizations Code Chapter 22 Nonprofit Corporations (sec 22.102).
While you won't find a bylaw writing template in any of these, you will find that if certain items are not in your bylaws or other documents, then these documents will have default info.
I know there is a lot of reading, but if you don't already refer to these you will at some point.

Good Luck. (and happy reading)
MilesT (Texas)
Posts: 34
Posted:
In Texas the State HOA laws and protection rule in the absence of Bylaws. In other words, you need to make sure you do not have gaps in your Bylaws that will default to the Texas laws. This is a legal change that requires a community vote. You need to hire a Real Estate lawyer that specialized in community law. We did this and they were swift and helpful of what we needed and what we could remove.

MelissaP1 (Alabama)
Posts: 13,836
Posted:
A HOA deals with CONTRACTUAL law. It's best to hire a lawyer familiar with Contracts or Business law. Other lawyers familiar with Real Estate might help you in some areas but in the end you are dealing with CONTACTS. Your Convenants and Restrictions are considered your CONTRACT with the HOA.

Former HOA President

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