Gambling in HOA

We live in a Fl HOA. A few homeowners want to have a Texas Hold-um game and charge $25. per person. The BOD spoke with the Attorney and he said it was illegal. They then lied about not collecting money and said they will use chips. We found out that they are soliciting for the money from their homes. We sent a certified letter to the homeowner who's name was on the flyer saying the BOD will not approve of an illegal game taking place in the clubhouse. He said he will sue the BOD for discrimination because there are others involved. His was the only name to call on the flyer. What more can be done to stop this game besides barring the doors. Other homeowners use the club for legal penny-anty games that night.

Nancy, I think your BOD has done their job by advising this person that the clubhouse may not be used for any illegal purposes. I would ignore his threat. BTW, does your HOA have Rules about using the Club House? This is the only other item I would make sure is in place and provided to all members.

I would hope that the rules for clubhouse use prohibit "illegal activities". If not, this should be added ASAP.

The BOD can inform the person or people planning this gambling that the police will be called if illegal activity is observed. Then, put a couple of observers there and follow through.

We have decided to announce at our Annual meeting next week what these individuals are trying to do. We will use keep names out of it but tell the homeowners that we have learned from our attorney that this game is illegal and that if they continue and the police come in we have a chance of loosing our 501C status. I don't think that we will ever hear about this matter now or in the future. It will go on the record and that should be the end of it.

I don't understand the situation.

Is the $25 an admission charge to watch the game?
Who gets the $25?
Is the game playing for money?

What part of this is the attorney saying is illegal?

One reason I don't understand this is that you allow games playing for money, albeit a penny ante game, but you don't allow an admission fee for a game (which you don't describe as to whethere or not the players are playing for money.

Gambling is gambling no matter how much the stakes are. A penny ante game, which you allow, is gambling.

I think it's very important to be strictly legal as a board member or as the BOD. You don't want to be responsible for getting your HOA in legal trouble. You are doing the right thing in my opinion.

Nancy

I read this thread with interest because a few years ago our local sheriff's office, at the direction of the state attorney, raided a for profit, hold-em game that was held in a newly built, but yet unoccupied store. They covered the windows with brown paper. The participants. one of which was a sheriff from a neighboring jurisdiction had their names in the paper and were presumably fined or reprimanded. This immediately raised concerns among our residents about the small stakes games being held in our clubhouse. A review of our State law wasn't helpful because except for stated exceptions such as horse racing it held that all gambling is illegal.

In checking with local police authorities we were assured that the state attorney's only concern from an enforcement standpoint are games run for a profit. However, I also believe that our HOA would intervene to preclude high stakes games that were not-for-profit.

In addition to an afternoon and evening low stakes game we also have an every other week hold-em game where the buy-in is $10. All of the money collected is distributed to the winners at the end. Everyone has a lot of fun for little more than the cost of a movie.

The game that you describe would not be tolerated. But it seems that your real problem is not so much the game as the fact that you do not have control of what happens in your clubhouse. All of our activities have to be approved by a Programs Committee and Life Style Director. We have Clubhouse rules and the ability to impose sanctions if they are not followed. These rules work for the benefit of everyone and help to ensure that all residents get time for their favorite activities.

Dave