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RudyH (Florida)
Posts: 3
Posted:
I've research the forum but did not see anything that related to my questions? So here goes...

I live in an gated community in FL, and in the Articles of Incorportation the developer and his associates were appointed the initial board. Can the developer amend the Declarations before transition to HOA without a vote of the existing membership?

When we purchased our home the Declarations stated that only 30 homesites could opt-out of the mandatory lawn maintenance. The developer was having trouble selling homes because of the mandatory lawn maintenance, so when he sold homes in the mandatory lawn maintenance area he would let them opt-out of the requirment to have their lawns mowed and the monthly assessment to pay for this required service, which was clearly going against the recorded Declarations. This has divided our community because he kept one street mandatory, which is where my home is located. Because we questioned the developer regarding this concern, he quickly had the documents amended before the initial board transitioned to the HOA. We have questioned the board and the MC, but the answer we get is..."he is the developer and could do what he wanted, and there is nothing we can do about what was done in the past." We feel there is a statement in the Declarations that gives the board the right to eliminate providing this service because of word "may." It states that the board "may" provide pest control, fertilization, and lawn maintenance. The board was going to raise our monthly lawn maintenance assessment to $90; however, they did not because the homeowners were outraged. So the board voted to eliminate pest control and fertilization and will allow us to contract our own. I asked the CM why can't they eliminate the lawn maintenace, too. She stated that the original documents did not include pest control and fertilization; therefore, they could vote to eliminate these provided services. Well...she certainly doesn't know what the documents say, because it was in the original docs. Help!!! Do we have any recourse.

Sorry this is so long, but I needed to explain the details.

RH
BrianB (California)
Posts: 2,820
Posted:
I am unsure of the legality of this answer, but here goes:

Yes, the developer can likely change the covenants "at will", to a certain point. In general, the developer owns a ton of "votes", and as long as they follow the by-laws for holding the proper meetings, they can likely cast all their votes to change something, and a small group of owners can never outvote them.

What i suggest you do is study your original documents, and see what the by-laws have to say about how the declarations and codes can be changed. It is very likely that the developer forgot to follow them correctly: they didn't have a meeting, forgot to notify owners, didn't set the agenda properly, etc.. If that is true, then you can potentially sue to get what you wish, a reversal of their changes.

It all hinges on the declarations, and what they say exactly. That's the contract you and the developer agreed to follow, the conditions, etc.. If they didn't follow them, you have a case.
GlenL (Ohio)
Posts: 5,491
Posted:
Rudy don't apologize for the long post, it was great. You gave the State you were in and specifically what the problem was. So many people post ambiguous statements with no information and ask if they can do this or that and the next ten postings are from people trying to get enough information to help the original poster. To add to Brian's post you might also check with your county recorders office to see if the "amended" declarations were properly recorded.

Studies show that 5 out of 4 people have problems with fractions
RudyH (Florida)
Posts: 3
Posted:
Thanks for the input! We have studied the docs and feel that what he did was inappropriate. If he wanted to amend the Declaration to change which homesites would be allowed to opt-out, he should have called a special meeting to amend the docs and put it out to the membership for a vote. This did not happen. At the time he amended the docs, the community was probably 2/3 completed and he sold at least 30 homes to individuals allowing them to opt-out when the Declarations clearly stated they were in a required maintenance area. So there were plenty of members who were available to attend a special meeting to cast their vote. He put the cart before the horse, as I see it. He never held a special meeting and didn't have the membership vote, he just changed it. Also he never sent out copies of the amendment, or even posted it.

As I said earlier, we are being told that was his right as the developer. I keep telling them that the Declarations are a legal binding document that is recorded at the county and state level, and they must be followed. If he did this illegally, is our only recourse to hire an attorney? Unfortunately, the president of our current board is his saleswomen, the CM handles several of his properties, and the lawn maintenance contractor is his personal friend. How does that sound for a conflict of interest!!

The homeowners in the required mainteance area were told by the current board that we had to get a petition to have a special meeting called to try and to get the Declaration amended so that area, too, could have the same priviledge as the rest of the community to maintain their own lawn, which we did several months ago. It is hard to get the homeowners who have been given the privilege to opt-out to get out and vote for something that does not pertain to them, so it did not pass. APATHY!!

We tried to approach it another way, too. The Declaration states, "The Association shall be entitled to levy a monthly assessment, due and payable in the manner set forth by the Association, to defray the cost of maintaining the lawns and landscape plantings of the individual lots, which maintenance "may" include the following services. 1)scheduled mowing and edging of lawns 2)pest control for lawns and plantings 3) fertilizing of lawns and plantings." I presented this to the CM and board to have the HOA attorney review this, but to no avail. The board will not vote to eliminate lawn mowing; however, they just voted to eliminate pest control and fertiziling of lawns. I called them on this by telling the board that they have the right to decide to eliminate lawn mowing if they have the right to eliminate pest control and fertilizing. Another stonewall!! We are working hard to get a more pro-active group of board members, and hopefully we can appeal to their good senses. Looking at the above statement, do you think that the word "association" means the members at large or the board?

Thanks for your help!
BrianB (California)
Posts: 2,820
Posted:
association always means members/owners. the board is elected (once control is turned from developer to ownres) to manage the association interests.

I would say your main course is indeed a lawsuit/attorney. Basically, you purchased a home under a set of terms/contract, and now, that contract has been changed, in a manner not allowed by the contract you signed. When you purchased, you AND the HOA agreed to follow the rules. Now, it appears the HOA is not following the rules, so you have a case.

JoeS4 (Kentucky)
Posts: 77
Posted:
Here is my experience, Yes.....Our orginal bylaws gave the declarant several stretches during development until the first board was elected by the members. Check you bylaws and your state laws as to what the developer can do.

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