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VicS (Georgia)
Posts: 2
Posted:
I am a member of an HOA that is still under developer control, my question is that we have never had an called HOA Meeting as I thought was required by the State of Georgia of at least once a year. Also there have been numerous attempts to get financials with no reply, we are seeking advice as to wether it is actually basically in violation of law and could be dissolved and reformed.

Technically the Developer has disposed of the required number of lots at this point but also has still yet to call for a Board Election. Obviously we want the developer as far away from us as possible, does anyone have any ideas?

Thanks
MelissaP1 (Alabama)
Posts: 13,836
Posted:
Where to begin? You are developer controlled so not much you can do...Against the law? What you going to have someone arrested or sued? The reality is that most likely it's just against your HOA rules on not having any meetings not state or federal laws. Developer can do pretty much what they want and it's their company. Asking for the financials is okay but doesn't mean you will get them.

What can you do? You and your other neighbors/members can get together and have your own meetings. These meetings would be in preparation for when the HOA does get turned over to you the owners. You all can go over the rules in anticipation of getting ready to modify them for what you all want once the HOA is turned over to you all. It will be helpful to get all your ducks in a row when the time finally comes that the developer is no longer involved. No need to know what the developer financial information is at this point. Just figure out your own budget from what you all are paying now. Will it be enough or too much when the time comes? Now is the time to start working out the issues so you all will be on the same page when you all have to run the place.

Former HOA President
LarryB13 (Arizona)
Posts: 4,099
Posted:
Vic,

If the developer won't surrender the association on his own, your options are limited.

As a first step you might consider hiring an attorney to make a demand on the developer. You could make a demand yourself but involving an attorney is more likely to get the results you want.

If that does not work, your next step would be to obtain a court order.

Most states have no agency for dealing with associations so you are pretty much on your own.
VicS (Georgia)
Posts: 2
Posted:
Melissa,

Thanks for the reply, our thoughts were that we are 1000% entitled to the books since we pay dues and are a part of the HOA Membership are you saying that is not correct? There are some serious questions as to the money we have paid and where and what is used for, as the only responsibility is maintenance of entry and mowing of right of ways, and the failure to provide the financials makes us wonder as to where the money is going.

On the meeting issue it was my understanding that you are required to have at least 1 one meeting. Below is the GA POA 44-3-220 that our Covenents and Restrictions reference as the governing act. Below is the paragraph in refernence for your review.

44-3-230

Meetings of the members of the association shall be held in accordance with the provisions of the association´s bylaws and in any event not less frequently than annually. Notice shall be given to each lot owner at least 21 days in advance of any annual or regularly scheduled meeting and at least seven days in advance of any other meeting and shall state the time, place, and purpose of such meeting. Such notice shall be delivered personally or sent by United States mail, postage prepaid, to all lot owners of record at such address or addresses as designated by such lot owners or, if no other address has been so designated, at the
address of their respective lots. At the annual meeting, comprehensive reports of the affairs, finances, and budget projections of the association shall be made to the lot owners.

Based upon that paragraph, our feeling is that the Declarant is potentially negligent in his duties as an officer of the POA.

Thirdly the Declarant has disposed of the required lots but has not called for turnover of the POA within the required 60 day requirement.

Are you saying we have no ground to stand on at all?
TimB4 (Tennessee)
Posts: 21,059
Posted:
Vic,

Even though Georgia Property Owners´ Association Act and GA § 14-3-701 require annual meetings, it is typical for a Declarant (because they control the Association) not to hold always hold them. Still, per law, they are required to hold them.

Typically the following options are available to you if the Declarant doesn't hold the meeting:

1) Live with it
2) Move
3) Continually bug them asking when they will hold a meeting
4) Take them to court to have the court order them to comply

Civil laws are usually enforced by the individuals involved and they do this through the court system. Since contracts, hoa/coa laws and corporate laws are considered civil laws, there is typically limited governmental authorities to "oversee" or enforce those laws.
SteveM9 (Massachusetts)
Posts: 3,699
Posted:
Quote:
Are you saying we have no ground to stand on at all?


Civil issue. Unless you are willing to bring him to court, you have nothing to stand on. There is no department, like the police, you can call to force him to follow Georgia law. The only person who can force him to follow the law is a judge.
SteveM9 (Massachusetts)
Posts: 3,699
Posted:
In my opinion, your best action would be to meet with all the other homeowners, and start a fund to consult a lawyer. If you all chip in, it wont be that much. Its likely your HOA is a disaster and thats why financials have not been given to you.

Anyway, you need professional help to deal with this developer and get the HOA turned over to the owners. Its going to take a lot of time, maybe 1 year or more.
JohnC46 (South Carolina)
Posts: 14,265
Posted:
Quote:
Posted By SteveM9 on 09/18/2012 8:53 AM
In my opinion, your best action would be to meet with all the other homeowners, and start a fund to consult a lawyer. If you all chip in, it wont be that much. Its likely your HOA is a disaster and thats why financials have not been given to you.

Anyway, you need professional help to deal with this developer and get the HOA turned over to the owners. Its going to take a lot of time, maybe 1 year or more.

I agree. Time to lawyer up.
MelissaP1 (Alabama)
Posts: 13,836
Posted:
Again you and your fellow co-owners/members need to get together. It's time you all start communicating with each other and deciding to pool your money together to get a lawyer. The HOA has to hire their own lawyer so expect your dues to be going toward that expens IF you question where some of your dues goes.

However, I think before you go hiring a lawyer and demanding expense reports, it is time to sit down and talk over your issues with eachother. After all, you all will be running the place once the developer is gone. Your only real worry is when the developer leaves will he leave you all in debt or will your dues at present rate cover everything?

Why not start doing a few bids out there to see what expenses your HOA could be covering. How much does a lawncare person cost to provide the front entrance maintenance if you hired a new one? How much does insurance cost for your HOA? How much should you be saving for emergencies/maintenance? How much should be put to handle legal issues? Liens are not free in most states and can require a proffessional to file. So your HOA will need to have funding set aside to collect against those who don't pay. There are many hidden costs associated with an HOA you don't see. Forming a committee may help you all see what actual costs and where money goes to know you may be getting a good deal after all....

Former HOA President

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