Couple of issues

Started by CarolH2 • 5 replies • 1340 views

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CarolH2 (Georgia)
Posts: 33

Posted:

I hope someone will give me their opinion on some issues.

1. My neighborhood is suffering from severe erosion issues and we have had to spend more that $25,000.00 in repairs. We have had an erosion company come out and review the problem. Their conclusion was that some areas in the neighborhood should never have been built on because of the 1 to 1 grade issue. We went to a lawyer to see if we had any recourse and they said we could probably sue the city. I feel this will be costly and uncertain but we do not have the monies to keep fixing these problems. Your thoughts please?

2. We have a resident of 5 years who suddenly decided our HOA fees of $62.00 a month is to costly and she wants to sue the board. $62.00 a month is what the dues have been for 8 years now. She is currently $400.00 delinquent. Should we be concerned?

Just some info, I am the current president and also a past president. Our HOA does not have a management company.

MelissaP1 (Alabama)
Posts: 13,836

Posted:

I'll address the 2nd one first. She can sue but lose. Suing your HOA is suing yourself and your neighbors. Plus the board should have insurance policy in place so individuals can't be sued individually. Dues are considered like Rent. Can't pay in cash and the amount is contractual. The HOA can instead place a lien on her for the amount owed plus legal fees if you use a lawyer to do it. Plus it's cheaper to counter-sue if anything, but a lawyer is needed to represent the HOA in court.

Your second issue, is just skip the whole lawsuit thing against the city. Just going drag out and cost more money. There may be no need for a lawsuit anyways. Have you attended a City meeting? Talk to the City's Public works? The code/zoning department? You and the residents effected by the erosion issue are also city residents. I'd suggest going to a meeting or discussing with a representative of you county/city.

Hope you got atleast 3 bids and the contractors are INSURED and LICENSED. We had a rule of minium of 3 bids before approval. Plus they had to be insured/licensed. Anyone in the community could recommend someone. However, avoid the whole "I live here and will do it if you excuse my dues or amount owed". That's a no-no. Pay them like any other contractor.

You didn't provide enough details on the erosion issue to know who may be responsible. Erosion issues can be caused by a variety of reasons. Acts of God is the most difficult to deal with. However, if there is a man-made structure causing the issue, that is a different story. We had an erosion issue in 1 person's backyard causing them issues with their central air unit. Truthfully, all they had to do is rais it with some bricks. However, they forced the HOA to put in a retaining wall instead. So know what the cause is to know where to begin.

The HOA may have to look into having a special assessment to cover the costs of the repairs or hiring an attorney. ALL of this information is in your CC&R's or By-laws on how to handle a special assessment. Like anything else on how to run a HOA, it's in the documentation...

Former HOA President

CarolH2 (Georgia)
Posts: 33

Posted:

Melissa,

Thank you so much for your input. You addressed my main issues. Just wanted an unbiased second opinion on the erosion issue. I do indeed have a meeting with the city on Tuesday. Suing is the last thing we wanted to do.

I figured as much on the resident who wants to sue. Just wanted other thoughts on it as well.

DonnaS (Tennessee)
Posts: 5,671

Posted:

Carol,

Let her threaten to sue the Association as much as she wants. It seems that she has paid it all along without much argeument so she is rather late in voicing her displeasure with $62.00 monthly. I sure wish that my HOA dues were 62 bucks. When the word "sue" comes out of anyones mouth, I automatically stop reacting with them. She would never stand a chance in a case against the HOA unless the dues were fraudently used .n

Erosion is going to be difficult to handle and extremely expensive to fight City Hall. Tell us what is eroding? Who owns that area? Will further erosion endanger a structure?

WillR (Michigan)
Posts: 68

Posted:

Carol, going to the city first is a good idea. If more of your neighbors are having the same problem then go in a group, but let who ever you are to meet with know ahead of time that several will be coming. As for the past fees, I as president and legal committee member recovered over $7000.00 in back dues in one year. We sent out a very polite letter to the member and informed them that we would work with them and take a payment plan agreeable to both parties, if not we explained that we would take them to small claims court, what the court cost would be and that we would be adding a $50 fee to pay whoever had to go to the court house to do the job. All together that would come to around $190.00 extra added to their bill. Almost all chose to work out a plan or pay in full. This way is a lot cheaper then hiring an attorney to collect. On the cases that went to court, we always won, to collect there are two ways if they still refuse to pay. 1. Garnishment of wages,tax refunds or 2. (this is the most effective on those who are stubborn) File a writ of attachment. The sheriff goes to their home and can take whatever necessary to satisfy the judgement. Its a bold move, but once the word got out that we where serious about back dues more members paid up. Thankfully we never had to resort too taking anything but we did use that tactic once and the member hurried up and came up with the funds.

JanetB2 (Colorado)
Posts: 4,219

Posted:

Hi Carol:

Question 1:

When you meet with the City get copies of all documents the developer had to get approved for your subdivision. You may also after the meeting need to review planning committee or city meeting minutes for time periods that any of the documents were approved.

You might also check your state statutes and see if there is anything supposed to be followed with regards to erosion control, flooding, etc. and which local city or county is to follow. Also, read your local city ordinances regarding new subdivisions and approval procedures. After reviewing and finding out various aspects then request to be added to the City Council meeting agenda. Have a large group of homeowners attend the meeting, present information and ask the City how they intend to potentially rectify the situation. See what happens ….

If you do not want to hire an attorney initially then it will fall on all the homeowners to read, learn, and learn some more regarding all ordinances and approvals. If you do consider hiring an attorney then I recommend calling around to those who deal with construction law, see if they will offer “free” consultation, take info you have gathered, and see what they recommend and potential cost. You may even find one depending on your circumstances who would consider taking on a contingency basis if you have a good solid case, which is why it will be good to dig and do your homework first.

Question 2:

I agree with Donna … it appears from your statements she has no valid reason for filing a lawsuit and is potentially blowing smoke to see if she can scare the board.

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