Quote:
Posted By AlexM1 on 07/26/2012 5:02 PM
Kevin:
What are you referring to? what kind of lawsuit? Against who and by who and for what?... just curious
Not to detract from this thread but here is it put simply:
Basically, my neighborhood had 12 different sections with 12 different C&Rs. The neighborhood was also built by different developers over several years back in the 70s and 80s.
One of the sections decided to rewrite the C&Rs of the other sections to grant them greater authority then they previously held, including being able to impose a "maintenance assessment" of any amount at any time at the discretion of the BOD on
non-members, as well as forcing mandatory membership on future owners or on homeowners who decided to voluntarily join.
They had a simple majority of homeowners sign a joinder and consent form to their title approving the C&Rs and then started sending out enforcement letters to the non-members.
One homeowner decided to sue not only the HOA but the close to 50 homeowners who signed these joinder and consent forms that claimed to impose these new C&Rs over his property.
The HOA told the home owners not to worry and that their lawyer will take care of it and to ignore the documents that were delivered to their home. 4 years have gone by and the HOA has since lost every motion they have filed. Their original attorney has also been deposed. The first judge in the case originally dismissed the lawsuit against the homeowners (or something along those lines) and the HOA claimed a victory but a second judge later stated that the lawsuits could proceed. Because the HOAs misunderstanding of the law these homeowners now face huge bills - the case has gone on for 4 years (mostly because the HOA's attorney filed pointless motion after motion) and the latest tally is in the hundreds of thousands.
Only one homeowner was smart enough to settle with the plaintiff in the case. At that time I think they settled for 500. If you do the math (500*50), that is $25,000 in 2008. A lot has changed.
In my opinion, if the board had sound legal advice and weren't so ignorant in regards to the laws that govern HOAs and the nature of the business in general, a lot of home owners would have been kept out of harms way and the community would have been better off.
I have had horrible experiences with the two HOAs I've dealt with and I have a bad taste in my mouth. I am not opposed to HOAs but I don't think I will ever live in one again (my properties were purchased with the understanding that the HOAs were voluntary. I do not like the idea of a conversion to mandatory).
I really think there is an interesting case to be made about the psychology of those who join. I found my bunch of BOD to be arrogant, ignorant, condescending, and hateful, but that is not the case with all the individuals. A new board member is actually quite the idealistic bubbly personality who wants to create a better community but I fear they may be corrupted by the current board and that anything they try to act out in the future while with good intentions may not be the most legally sound.