💬 Join us to post & get advice from 50,000 HOA & Condo leaders.

Create Free Account →

⚡ Takes 30 seconds

Already a member? Log in

JimmyW (North Carolina)
Posts: 1
Posted:
In our CC & R, it is stated that a majority of homeowners must approve a change. That's it. While there is a very clear way to change the by laws. Would the rules for changing the by laws apply to the CC & R. Or maybe just the rules for holding the meeting. A by law can be changed based on a majority of votes entered, if there is a least 10% particiation versus CC&R saying a majority of all home owners.

Very confusing. Does anyone have any insight?

Thanks
MartyD (Florida)
Posts: 43
Posted:
Jimmy,

By Laws instruct you on how the organization should be run..ie How many board members...how much the dues are...when meetings are held..etc...etc...usually changing a By Law is much less involved than changing a CC&R.

CC&R's on the other hand runs with the land...it is a binding agreement that become part of the property and basically describes Land use, land restrictions..etc...etc... Changing a covenant usually requires a much higher vote of the membership...I've seen as high as 90% participation required. Rightly So....you don't want to have a few power studs changing your Covenants & Restrictions unless you have a HIGH majority of agreement on the issues. These high percentages were put in place to protect you and your members from this sort of thing happening.

Read you CC&R's carefully...It would be hard for me to concieve that a provision, other than a Majority of VOTES, does not exist in your documents...check and make sure that you have all the pages..sometimes a page can be missing and include all the missing ingredients.

After you verify that what you have is correct...go with a commonsense approach to make what ever changes you feel need to be accomplished...always keep the membership informed of your boards actions as a ...don't leave any questions unanswered. If any resistence to your efforts exist it will surface at this point...

My first order of business (if you can't find any reference to voting requirements) would be to notify the membership of the issue and proceed to take a magority vote on adding an amendment to the CC&R"S that lay out the whole voting and how to change a CC&R procedure...make sure that your change is something that everyone can live with...or you could end up back at square one and nothing every getting done.
BradP (Kansas)
Posts: 2,640
Posted:
Jimmy:

Read your docs, it is in there somewhere. For example, ours require us to a call a meeting for that purpose and notify our members at least 10 days prior to. Then it takes 2/3 of the members present at the meeting to change the covenant. It is in there somewhere, you just need to dig for it.
LindaC3 (Florida)
Posts: 526
Posted:
Posted By BradP on 03/21/2007 5:16 AM

Jimmy:

Read your docs, it is in there somewhere. For example, ours require us to a call a meeting for that purpose and notify our members at least 10 days prior to. Then it takes 2/3 of the members present at the meeting to change the covenant. It is in there somewhere, you just need to dig for it.


Brad---- Are you saying that if you have 20 members present at a duly called meeting to change the CC&r's it would only require 2/3 of 20 present to change the documents ??? LindaC

RogerB (Colorado)
Posts: 5,067
Posted:
Jimmy, your Declaration basically states it takes approval of over 50% of all units to amend the Declaration. Your By-laws basically state they can be amended by approval of over 50% of the votes cast at a meeting and the quorum needed to hold a meeting is 10% of all units.

The By-laws are usually amended at a duly called members meeting and have much less stringent requirements than amending the Declaration. Amending the Declaration usually takes more than a simple majority since it is the primary controlling document of the association.
BradP (Kansas)
Posts: 2,640
Posted:
Linda:

That is correct. We don't have a quorum requirement.
LindaC3 (Florida)
Posts: 526
Posted:
Roger B---- Our By laws state that it requires 2/3 vote of approval to amend them and then they must be certified by the Sect.of the Asso.and then recorded at the Clerk of Courts office in our county.. We have 3 "amendments" that are NOT recorded at the clerks office and no one seems to know when they were "voted" on......HHHMMMMM

Now on to CC&Rs........We are having meetings to amend ours and we were told at the meeting on Saturday that during the 10 years before renewal it requires 2/3 vote of approval..BUT at the anniversary date it only requires a majority to CHANGE them ......hhhmmmmmm

Our BOD has also told us that it is not a meeting to VOTE for the amended CC&r's but rather a petition like process where they mail out paperwork and we can approve them....A group of us have gone thru the last "vote" process paperwork and have found NUMEROUS Power of Attorneys where Joe Schmoe appoints Cracker jack his attorney in stead and then Carcker jack and his wife are the two witnesses and then Cracker jacks wife also NOTORIZES all the signatures............We all are in agreeance that these POA'S are invalid due to the notorizing is invalid thus rendering the CC&R 'S invalid....any comments ?? LindaC
RogerB (Colorado)
Posts: 5,067
Posted:
Linda, my comments on your three paragraphs are:
1) If that is what your By-laws state then the amendments are not valid until such time as they are recorded. We are not required to record By-laws in Colorado but would do so if the By-laws require it.

2) I would read the CC&Rs to verify if what was said is correct. These variations in requirements are sometimes used in CC&Rs.

3) I personally find sending out a proposed amendment for a ballot vote, along with a letter of explanation, is the best approach for trying to amend the CC&Rs. Not enough people attend members meetings. Members meetings can be used to discuss a proposed amendment and fine tuning the proposal, if necessary. We do not require notorizing and witness signatures on the ballot. If the ballot is signed by the owner's authorized representative a valid power of attorney would need to be attached to be accepted.
LindaC3 (Florida)
Posts: 526
Posted:
Roger B This is the exact wording from our CC&R'S...........

Section 3. The Club, by a two-thirds (2/3) vote of approval of the membership, may modify, amend or add to this Declaration of Restrictions. Comments ?? Thanks Bunches LindaC

Section 4. The Club shall not in any way or manner be held liable or responsible for any violation of this Declaration of Restrictions or the Rules by any person other than itself.

Section 5. The herein-contained agreements, covenants, conditions and restrictions shall constitute an easement and servitude in and upon the Property and every part thereof, and they shall run with the land and shall

Inure to the benefit of and be binding upon and enforceable by the Club for a period of 10 years from the date these covenants are recorded, after which time said covenants shall be automatically extended for successive periods of 10 years, unless an instrument signed by a majority of the then-Owners has been recorded, agreeing to change said covenants in whole or in part. Failure of the Club to enforce, any building restriction, covenant, condition, obligation, reservation, right, power or charge herein contained, however long continued, shall in no event be deemed a waiver of the said right to enforce thereafter as to the same breach or violation or as to any other breach or violation occurring prior or subsequent thereto.

-
RogerB (Colorado)
Posts: 5,067
Posted:
It is confussing, isn't it Linda? While sections 3 & 5 appear to be contridictory I would venture a guess that:
Section 3. deals with amending the Declaration regarding RESTRICTIONS AND RULES at any time; while Section 5. extends the Covenant in 10 year increments at which time changes in the COVENANTS are allowed.

Prehaps a look at the definitions listed in the CC&Rs show differentiation between Covenants versus Restrictions and Rules.
LindaC3 (Florida)
Posts: 526
Posted:
Roger-- we dont have Covenants....This is from the cover page of Deed Restrictions

FIRST AMENDED AND RESTATED
DECLARATION OF RESTRICTIONS
OF XYZ CLUB

Rules are made by and passed by the BOD w/o input allowed from the Members of the Association....A majority of us read Section 3 means that the Decs require 2/3 VOTE of approval to be passed and that Section 5 means that a majority need to consent that at 10 year anniversary they even need to be amended...It's very confusing indeed and we have requested the BOD to ask for the attorney to explain and we were told that is not necessary and they are not going to do it..It means what they say and that's it !!! real nice huh ? LindaC
RogerB (Colorado)
Posts: 5,067
Posted:
Linda, it is confusing when we refer to the Declaration of CC&Rs as the Covenants because the covenants are often only one portion of a Declaration of CC&Rs. Also, in some HOAs older than 20 years I have seen some CC&Rs titled only as Covenants. Following is an example Declaration with a portion of what the buyer covenants (agrees to):

ARTICLE IV
COVENANT FOR MAINTENANCE ASSESSMENTS

1. Creation of the Lien and Personal Obligation for Assessments.
Each Unit Owner, including Declarant, by acceptance of a deed therefor, whether or not it shall be so expressed in such deed, covenants and agrees and shall be personally obligated to pay to the Association: annual assessments or charges, special assessments, and other charges, fines, fees, interest, late charges, and other amounts, all as provided in this Declaration; with such assessments and other amounts to be established and collected as hereinafter provided.
MaryN (Virginia)
Posts: 125
Posted:
We are currently a divided HOA. We are a small community of 42 residential lots and 4 farm lots. All the residential lots share identical covenants and the farmland is to adopt the residental covenants when and if they are developed. Our Declaration, By-Laws, state that all properties in our subdivision are members of the Home Owners Association.
We generally have an annual meeting, The only responsibility of the Association has been to maintain the roads and mow the surronding grass...and take care of the paperwork for the state of Virginia.
Our Board of Directors decided a change of covenants was needed. It was on the agenda for the annual meeting, but we were told that they weren't ready..it is a slow, deliberate process...we are your elected board and since you elected us we know that you trust us...please note that they are on the board because no one else ran for office...fast forward to November. In the mail the new covenants...some big changes..no chance for discussion, no forum to point out the problems with them...no vote, but rather a consencus...we have several families that own adjoining lots and evidently..it's the owners...not the lots..in other words..if there are 20 people on one deed they get 20 votes..if 2 people own 2 adjoining lots they only get 2 votes...our covenants do require a majority to pass. The board worked very hard...called some people 6+times...visited their homes..sent emails..called..several owners told them to leave them alone...they were feeling harrassed and they didn't want to sign...just before Christmas..we received a letter stating that they had passed(by 2 votes) and were posted at the courthouse. We went to the courthouse and got a copy of the posted changes..some of the wording had been changed..no new copy was sent to the members. One of the items changed was the membership. We are a mandatory membership and we are incorporated. Membership is by virtue of being part of the subdivision. It was our understanding that some things can be changed with a simple majority vote...but changing the membership requires a 100% vote. We went to a lawyer who told us that the covenant changes are not any good. It would be too expensive for us to challenge them and have them covered up at the courthouse..so far our bill is over $2,000...and we still don't have an answer...there is nothing about changing the membership in either our covenants nor our by-laws. We are very upset..the process for changing the by-laws is clear and involved..and this back door approach to the covenant changes just doesn't seem right. The Board just gets nasty and tells us that it's just our attorneys opinion...by the way...they didn't hire an attorney, rather someone donated their time to help them.
Thanks for any advise.
Maryb
JM2 (Oregon)
Posts: 439
Posted:
Hi Mary:

Wow, what a mess. What I would recommend: go back to the original documents and see if the changes were carried out in strict accordance with the procedures outlined in them. This would include percentage votes, quorum levels, and a definition of member (normally a Lot or Unit with more than one vote would either have the vote assigned to one owner, or the Lot/Unit's vote would be split among members, proportionally.

If what was filed in the courthouse is different that what was sent out to be voted on, then it's fraudulent.

You stated, "The Board just gets nasty and tells us that it's just our attorney's opinion..." Well, if you go to court, then you'll get another attorney's opinion (a judge) and that opinion will be binding...

While you might think that it may not be "worth it" to take this to court, it seems as if your rights are being taken away if membership is diluted among all the owners of a Lot rather than one vote per Lot. That would be something I would definitely take to court.

J. Patrick Moore, CMCA

🎯 You've read this entire discussion

Join the conversation with 50,000 HOA & Condo Leaders:

  • ✓ Ask follow-up questions
  • ✓ Share your experience
  • ✓ Get expert advice
  • ✓ Access 350,000 discussions
Create Free Account →

⚡ Takes 30 seconds

Already a member? Log in here