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VA Supreme Court Ruling may provides words of warning for VA Associations when assigning parking spaces or amending documents and may have changed the

Started by TimB4 • 3 replies • 2365 views

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TimB4 (Tennessee)
Posts: 21,059
Posted:
All VA Associations should take note:

A recent opinion by the VA supreme Court offers word of warnings and changes the rules for attorney fees. Per the opinion of Manchester Oaks Homeowners Ass’n, Inc. v. Batt 3 things were addressed:

Non-Uniform Assignment of Parking Spaces

The Court ruled that an association may not assign parking spaces in anything other than a uniform, equal basis unless the Declaration for the Association expressly allows the Association to assign parking spaces in a non-uniform basis. This decision can be particularly important for communities that have a mix of garage and non-garage town homes, and also for those communities that have a mix of town home and single-family homes.

Following Procedures to the letter when adopting amendments

The Supreme Court ruled that an amendment to the Declaration adopted by the Manchester Oaks Association was invalid because the notice for the meeting at which the membership voted to approve the Declaration was defective. This decision supports the proposition that any defect in following the corporate procedures of the Association can invalidate any actions related to such defect.

But Hey, we all knew that already.

Right for homeowner to collect reasonable attorney fees

The Virginia Supreme Court ruled that in any case brought by a homeowner against an association, which alleges that the association was in violation of its Declaration, the homeowner is entitled to an award his or her reasonable attorneys’ fees if the homeowner is the prevailing party.

It appears that this holding is inconsistent with the stated language of the Virginia Property Owners’ Association Act. Accordingly, when involved in disputes with homeowners, associations must be aware that there is a chance that the Association may be held responsible for paying their own attorneys’ fees, but if they lose the case, they could also be found to be responsible for payment
of attorneys’ fees incurred by the homeowner who initiated the legal action against the Association.

I think we all knew this as well.

All of the above summaries were taken from an attorney newsletter.

Tim
LarryB13 (Arizona)
Posts: 4,099
Posted:
Interesting case. The plaintiff homeowners were awarded $188,000 in legal fees, so it must have been one hell of a fight.

This case proves a point that I have made in the past: associations should not try to play traffic cop. Point the owners to the parking lot and let them work out for themselves where they are going to park. One thing the court noted was that in the absence of language allowing it, the association has no power to assign parking spaces as the parking lot is common area where each owner has an equal right to any part of it as does any other owner.

In this HOA, there were 57 townhouses. 30 had two-car garages and 27 had no garages. The association had 72 parking spaces in its common area parking lot.
TimB4 (Tennessee)
Posts: 21,059
Posted:
Yep it indeed must have been one heck of a fight.

Figuring legal costs were equal to each side, if you include the damages, the whole bill was likely around $500,000. Most likely all of this started because someone couldn't find a parking space one night.

DoloresM2 (California)
Posts: 60
Posted:
It would seem that the board decided that because some houses has two car garages, they would even things out by giving the rest of the homeowners equal parking space. I wonder how many of the board members benefited from this give away of community property. It is sad that all the homeowners who did not vote for this will now be stuck paying the bill.

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