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DebbieW2 (Tennessee)
Posts: 33
Posted:
Strange issue: Our HOA does not own the pool in our cabin rental community. There is no written lease, the HOA just always paid the expenses and the guests use the pool. I just bought the cabin. Do I have to pay for the pool? I mean pool expenses are being taken from my dues. Can I take it upon myself to just pay less (Based on a percentage figured on the pool expenses percentage) I do not offer the pool to my guests. (long story, don't need to get in the details) What can the HOA do to me? I doubt they can lien for money not being paid towards non common elements Does anyone know of a Tennessee law that prohibits hoa funds to pay for non common elements like there is in Florida?
JohnB26 (South Carolina)
Posts: 1,569
Posted:
you MUST MUST MUST pay your assessment(s) in full

period

then you read and understand ALL your governing documents

then you seek legal advice from a competent attorney versed in BOTH contract and R.E. law

that's all folks
CarolR11 (Colorado)
Posts: 2,563
Posted:
I agree with JohnB26.
TimB4 (Tennessee)
Posts: 21,059
Posted:
Debbie,

Based on what you posted (the details may change my advice), I offer the following advice:

Quote:
Posted By DebbieW2 on 02/22/2014 1:42 PM
There is no written lease, the HOA just always paid the expenses and the guests use the pool.

There may have been a verbal agreement. Although a verbal agreement isn't as strong as a written agreement, it is still considered a contract. Find out when this arrangement was first agreed upon and who agreed to it (membership vote, board of directors vote, etc.) and then request copies of minutes from the applicable meeting(s). This will provide you with more information.

You should also read all the governing documents (CC&Rs, Articles of Incorporation, Bylaws and resolutions) to see if there is any requirement or agreement to provide access to the pool.

Quote:
Posted By DebbieW2 on 02/22/2014 1:42 PM

I just bought the cabin. Do I have to pay for the pool? I mean pool expenses are being taken from my dues. Can I take it upon myself to just pay less . . .

NO

Assessments are typically established by the Board of Directors and the members are typically contractually obligated to pay those assessments.

Quote:
Posted By DebbieW2 on 02/22/2014 1:42 PM

What can the HOA do to me?

Worst case: foreclose

next to the worst case: tie the issue up in a legal battle

Quote:
Posted By DebbieW2 on 02/22/2014 1:42 PM

I doubt they can lien for money not being paid towards non common elements

You need to check with an attorney to verify if your doubt is valid or not.

What you can do is call a special meeting of the membership or petition to have the issue on the next scheduled general membership meeting and discuss the issue with a vote to discontinue the practice. Majority wins.

You could also volunteer to serve on your Assocations Board of Directors and, if elected or appointed, be part of the decision process. If the issue was a Board decision, you can raise your concerns there.

After you have done the research, you could ask to address the Board and bring these issues and concerns forward and ask that the Board seek a legal opinion on the validity of providing such a service (pool).

Quote:
Posted By DebbieW2 on 02/22/2014 1:42 PM

Does anyone know of a Tennessee law that prohibits hoa funds to pay for non common elements like there is in Florida?

I never found the FL law.

However, even in the thread that referenced that FL law, the member (poster) never quit paying their assessment. They challenged the validity of the amount of the assessment, first to the Board and then through the courts. Per that poster, it was a four year fight.

Since we don't know if the property is a time share, vacation rental, condominium or HOA, I can't really reference the applicable TN statutes. However, I can provide a link to the statutes and you can do the research:

http://www.tn.gov/environment/permits/tcalink.shtml

That site will direct you to lexisnexis which is what TN uses to publish their laws on the internet.

Hope this helps,

Tim
DebbieW2 (Tennessee)
Posts: 33
Posted:
There has really been no verbal agreement. The owner of the pool USED to be the treasurer and the original declarant/developer (her husband and father) over time as people purchased the cabins, she just kept paying the pool expenses with HOA funds. Never, ever been a formal verbal agreement and no one ever questioned it. I do not believe this is a "legal" assessment. There was never a motion and vote - never happened.

I got voted as the Treasurer after I questioned the financials at the last meeting so I am on the Board and I did try to call a meeting within the proper time frames and ZERO owners agreed to come.

I can't believe in my heart this is legal. This is total mismanagement but you can't force people to come to a meeting. Pool season is nearing and I am sick of paying into it with out doing it legally.
DebbieW2 (Tennessee)
Posts: 33
Posted:
PS. There is no mention of the pool in the deed except an "exclusion" of the pool and the land the pool is on - so it is formally excluded from the HOA common elements.

Florida: This is the reference I found... "Using Association funds for other than common expenses is a violation of section 718.115(1), Florida Statutes. Unless otherwise stated in the governing documents." (in my case it is not) so that is why I am on the hunt for the law. I use Lexis Nexis to search the law and have not found anything that specific in Tennessee. So I was reaching out to you all to help me think of anything.

Attorney is in the plans but the problem is everyone knows everyone in my town and I am afraid to approach an attorney because they will likely know the developer and declarant and the previous treasurer - very sticky situation. And in the last 12 months, there have been some suspicious fires set to properties connected with the developer that our board president is afraid our cabins will all burn to the ground. Had no idea there is a Tennessee Mafia.
MelissaP1 (Alabama)
Posts: 13,836
Posted:
Exactly how much money are we talking that goes to the pool? Would it be worth the effort to fight it or put a "pay as you go" policy for the pool?

I am not sure that what you defined doesn't make it HOA property. If it was once owned by the developer, then the developer turned over to the owners, then that would be part of the HOA common property. Plus it wouldn't be in your deed as much as your CC&R's. That defines what your dues are to be for. Usually paying for common property which I believe this pool to be. Just don't think you have translated it correctly.

The pool whether you use it or not does provide you a "benefit". If you were to sell your property, a potential buyer may be attracted to the fact you have pool access. That is a benefit whether it is a personal one that you choose to use. We had a pool and many of our residents did not use it. It still has to be maintained and made available as it did attract buyers who are not interested in installing their own pool.

Former HOA President
SteveM9 (Massachusetts)
Posts: 3,699
Posted:
How much is this pool fee? Is it even worth it..
JoK2 (California)
Posts: 198
Posted:
Quote:
Posted By DebbieW2 on 02/23/2014 3:44 AM
There has really been no verbal agreement. The owner of the pool USED to be the treasurer and the original declarant/developer (her husband and father) over time as people purchased the cabins, she just kept paying the pool expenses with HOA funds. Never, ever been a formal verbal agreement and no one ever questioned it. I do not believe this is a "legal" assessment. There was never a motion and vote - never happened.

I got voted as the Treasurer after I questioned the financials at the last meeting so I am on the Board and I did try to call a meeting within the proper time frames and ZERO owners agreed to come.

I can't believe in my heart this is legal. This is total mismanagement but you can't force people to come to a meeting. Pool season is nearing and I am sick of paying into it with out doing it legally.

Debbie,
Kudos for you trying to call a special meeting. What is the exact outcome you want from this? Is it to separate the pool fees so that the HOA doesn't pay any longer, or is it to just get it done in a way you consider legal? Who exactly owns this pool?

If all the owners didn't come to a meeting, you may need to decide to just suck it up and continue on. If it's been done this way since the development started were you not informed properly before you bought it? There are plenty of threads that talk about what a buyer should see before buying, and financials are probably not a common one.

Remember you are in an HOA and you have to look out for the whole HOA. So if the owners didn't come to your meeting, they are telling you they don't mind that the HOA is paying for it. Keep that in mind as you move forward. All of us have a breaking point of what is right and what is wrong, and to fall on a sword for your sense of purpose may not be what the whole HOA is interested in.

If you are able to get a hold of the "box" of documents that the HOA/management keeps, you may find your answers there and it's entirely possible that there is paperwork that can lead to an answer. What else could it be? That the actual owner of the pool has allowed someone else to pay for it all this time or is it possible that your HOA is paying a portion of it.

DebbieW2 (Tennessee)
Posts: 33
Posted:
I don't want to fixate on the cost because that is not the issue. I appreciate your response but you missed something in my post. the Pool is PRIVATELY owned - it is EXCLUDED from the CCRs. It was NEVER turned over to the owners - it's legally excluded, private property.

If I go to sell this investment - and say you bought it, would you sue me if I advertised that the pool is a common element??? Of course you would. The pool is NOT an amenity of the HOA. What if all of a sudden the owner of the pool, decided they just wanted to use it for family and not allow the HOA to trespass anymore? They have pool parties, and use it all the time. One day they can just lock us out...

It's not about cost. When I advertise my cabin for rent, I do not promote the pool. Say I have the summer all booked up, then the owner of the pool locks us out. Now what? people based their decision to rent a cabin with a pool, now we are talking big bucks in refunds and lost revenue. So, no monthly the cost is peanuts, the big picture is what scared the piss out of me.

JohnC46 (South Carolina)
Posts: 14,265
Posted:
I have seen a similar situation. Homes in a HOA where part of their dues ($300 per year) went to the adjoining country club (which they certainly did not own) for a social membership meaning use of the pool, tennis, and dining but not a golf membership.

Another similarity was originally the country club owned all the land the homes sat on. They sold the land to a developer and part of the deal was the mandatory social membership. The owners also became #1 on the wait list to get into the club as a golf member.

Some of the HOA owners wanted to sue to get out of the agreement and make the mandatory social membership optional. Two lawyers they hired each said the docs they bought under were very specific about this and they would lose in court. They got a 3rd lawyer to try a round about approach when the dues increased. They lost.

KellyM3 (North Carolina)
Posts: 2,239
Posted:
Quote:
Posted By DebbieW2 on 02/22/2014 1:42 PM
Strange issue: Our HOA does not own the pool in our cabin rental community. There is no written lease, the HOA just always paid the expenses and the guests use the pool. I just bought the cabin. Do I have to pay for the pool? I mean pool expenses are being taken from my dues. Can I take it upon myself to just pay less (Based on a percentage figured on the pool expenses percentage) I do not offer the pool to my guests. (long story, don't need to get in the details) What can the HOA do to me? I doubt they can lien for money not being paid towards non common elements Does anyone know of a Tennessee law that prohibits hoa funds to pay for non common elements like there is in Florida?

All you'll do is force the HOA board to sign a simple agreement to lease the pool on behalf of the community's residential access. Your problem is solved. You recently purchased in this community and the amenities - even ones who don't use - played a role in your decision, if subconsciously. I wouldn't pick a fight over the small amount of money - and it will be small. Enjoy your property.

Fighting a battle this petty will ensure you'll not get speedy service when you really need your HOA to help you on a matter. I guarantee that.
DebbieW2 (Tennessee)
Posts: 33
Posted:
KellyM3 - yes, on the surface just reading my first post - it may appear childish and petty but you should read the entire post before you call something petty. Also you should know the owners of the pool won't speak to anyone in the the HOA, let alone enter into an agreement. One of the owners called the police on my common law husband wehn he entered the pool area be cause she thinks he is trespassing because we are not legally married. So the HOA wants us to stain the furniture and fix up the area around the pool but the owner wants him in jail - is that petty KellyM3? I'd like to hear your response to that???

Anyone, in fact, still petty?? All you think it is about the cost of peanuts, but it's a big deal when the sheriff knocks on your door.....
BanksS
Posts: 403
Posted:
Quote:
Posted By DebbieW2 on 02/23/2014 6:15 AM
KellyM3 - yes, on the surface just reading my first post - it may appear childish and petty but you should read the entire post before you call something petty. Also you should know the owners of the pool won't speak to anyone in the the HOA, let alone enter into an agreement. One of the owners called the police on my common law husband wehn he entered the pool area be cause she thinks he is trespassing because we are not legally married. So the HOA wants us to stain the furniture and fix up the area around the pool but the owner wants him in jail - is that petty KellyM3? I'd like to hear your response to that???

Anyone, in fact, still petty?? All you think it is about the cost of peanuts, but it's a big deal when the sheriff knocks on your door.....

Isn't it amazing what some people will resort to when someone questions a process, a procedure, or a fee? Then you become labeled as petty or a PIA as some on this site like to call you when you post an issue that they don't agree with.

Only you can decide how far you want to take this. Whatever you decide, be prepared for some ugliness because some people can't set aside their personal feelings and take an objective look at the situation. Then they do things to you that have nothing to do with the issue at hand to retaliate. I have experienced something similar. Good luck.
RayC4 (Virginia)
Posts: 173
Posted:
Debbie, I've been on this forum for some time now and this is the strangest situation I've seen yet. Based on your posts, there is no question imo that you and the other members should not be paying for this pool upkeep. (Why doesn't the HOA assess you all for part of the upkeep for the Pebble Beach Golf Course?!)

That said, your other posts here are downright scary (e.g. Tennessee mafia; neighbors calling police; arson threats; etc). You may want to think about swallowing some pride and getting out of there.

But if you are determined to right this wrong, I'd find a more geographically distant attorney to consult on this. A simple but firm letter to the HOA/BOD from an attorney might do wonders whether the other members are apathetic or not. Not only should the pool assessments stop, but a law suit may well include creating a right on the part of the owners to force the former declarant to disgorge the back assessments.

This also sounds to me like a criminal violation, given the incestuous relationships involved with the former declarant, his sister-in-law, or whatever.

This one belongs on "60 Minutes!" Good luck; I admire your courage.
KellyM3 (North Carolina)
Posts: 2,239
Posted:
Quote:
Posted By DebbieW2 on 02/23/2014 6:15 AM
KellyM3 - yes, on the surface just reading my first post - it may appear childish and petty but you should read the entire post before you call something petty. Also you should know the owners of the pool won't speak to anyone in the the HOA, let alone enter into an agreement. One of the owners called the police on my common law husband wehn he entered the pool area be cause she thinks he is trespassing because we are not legally married. So the HOA wants us to stain the furniture and fix up the area around the pool but the owner wants him in jail - is that petty KellyM3? I'd like to hear your response to that???

Anyone, in fact, still petty?? All you think it is about the cost of peanuts, but it's a big deal when the sheriff knocks on your door.....

So, you have a personal vendetta against the pool owner and now, as a new board member, you want to end pool access for everyone rather than better legitimize the pool lease, which obviously has worked for the community since prior to arrival and family pool trespassing incident. I'm just saying to represent your greater community and help it operate more transparently, signing a written lease if the greater community enjoys the pool (even if you don't). The lease could clarify pool-guest access.

The pool owner is clearly in the wrong for harassing your Significant Other. Punishing your neighbors is not the correct response. There is a balance in using common sense and HOA rules and by-laws. It's not high treason to find sloppy agreements in laid-back neighborhoods yet the community is, by and large, served well. There are huge talent gaps on boards of directors. It's an odd arrangement but your motives are to "pay back" the pool owner at the expense of pool users who may not know the odd "handshake" agreement.

HOA Talk is becoming a collection of forum threads that detail American HOA dysfunction using short stories. That's regrettable because HOAs can be alright to deal with.
DebbieW2 (Tennessee)
Posts: 33
Posted:
The other HOA owners want a written lease but the pool owners won't do it. One HOA owner even approached them in terms of personally BUYING the pool and they won't talk to him any further about it. But that's where it ended. No one wants to rock the boat because of the fires I guess. The vice-president gets red in the face about it yet he declined to come to the meeting. And it was not even a special meeting I called. I was just organizing the annual meeting and all but two owners agreed to come.

KellyM3 .... Why should I pay into something that is going to get my non-legal husband put in jail? Really, why should I put up with that? Call it a vendetta and call it petty since you feel you need to label things. It's not right and people need to stop sticking their heads in the sand a do nothing. That is stupid! Leaving it run as-is is the dysfunction. It is not a "talent gap" to insist on a written lease.

TimB4 (Tennessee)
Posts: 21,059
Posted:
Debbie,

This issue is simple (if you have the support) to resolve. However, it may take you a few years to gather the support needed.

Bring the issue to a vote at the Board meeting when you draft your budget and set the annual assessment if the Association should continue to pay for pool memberships or if the Association will allow each member to make that decision on their own.

If there is support, the Board will vote to not pay for the memberships.
If the support isn't there, the Board practice will continue and you will know where you stand.

If the practice is to continue, insist on a contract (perhaps even drafting one yourself) so everyone is aware of the terms of the agreement.

DebbieW2 (Tennessee)
Posts: 33
Posted:
Quote:
Posted By RayC4 on 02/23/2014 5:06 PM
Debbie, I've been on this forum for some time now and this is the strangest situation I've seen yet. Based on your posts, there is no question imo that you and the other members should not be paying for this pool upkeep. (Why doesn't the HOA assess you all for part of the upkeep for the Pebble Beach Golf Course?!)

That said, your other posts here are downright scary (e.g. Tennessee mafia; neighbors calling police; arson threats; etc). You may want to think about swallowing some pride and getting out of there.

But if you are determined to right this wrong, I'd find a more geographically distant attorney to consult on this. A simple but firm letter to the HOA/BOD from an attorney might do wonders whether the other members are apathetic or not. Not only should the pool assessments stop, but a law suit may well include creating a right on the part of the owners to force the former declarant to disgorge the back assessments.

This also sounds to me like a criminal violation, given the incestuous relationships involved with the former declarant, his sister-in-law, or whatever.

This one belongs on "60 Minutes!" Good luck; I admire your courage.

Trust me - you don't know the half of it. Off topic here...When I took the books over, the HOA bank account was in the treasurer's personal name DBA the HOA. No one knew, no one ever questioned it until I innocently asked for 12 months of records to just get an idea of where we were at - I was refused. That sent red flags. Had she just given me what I am legally entitled to pursuant to Title 66 (TN law) I NEVER would have questioned anything - ever.

We all think money is missing but have no way to prove it - she will not give us any documents prior to me taking the books over. We have no cash reserve - ZERO! With a quick math figure, there should be at least $30K, if not $50K in reserves over the past 12 years. Her husband has since been sentenced to 5 years in prison for his money antics when he built our cabin resort. The other resort he built where he and his wife retained ownership of the pool suddenly burnt to the ground (68 cabins out of 150) shortly after a lawsuit was filed by the HOA against them concerning the pool in that location. Pool issue solved right? The fire made national news, the source of the fire was never determined strangely. Trust me, the thought has crossed my mind that our cabin will be a crispy critter if I push the issue. It's the Wild, Wild West here in Tennessee.
JoK2 (California)
Posts: 198
Posted:
Quote:
Posted By DebbieW2 on 02/23/2014 5:05 AM
I don't want to fixate on the cost because that is not the issue. I appreciate your response but you missed something in my post. the Pool is PRIVATELY owned - it is EXCLUDED from the CCRs. It was NEVER turned over to the owners - it's legally excluded, private property.

If I go to sell this investment - and say you bought it, would you sue me if I advertised that the pool is a common element??? Of course you would. The pool is NOT an amenity of the HOA. What if all of a sudden the owner of the pool, decided they just wanted to use it for family and not allow the HOA to trespass anymore? They have pool parties, and use it all the time. One day they can just lock us out...

It's not about cost. When I advertise my cabin for rent, I do not promote the pool. Say I have the summer all booked up, then the owner of the pool locks us out. Now what? people based their decision to rent a cabin with a pool, now we are talking big bucks in refunds and lost revenue. So, no monthly the cost is peanuts, the big picture is what scared the piss out of me.


Thank you for pointing out how easy it is to miss a sentence in someone's post. May I ask that you do the same? I'm only trying to help you.

If you bought it under the pretext that the pool was included, then you should be fighting the agents that sold it to you, not go after something that the majority of the HOA is quite happy with. Your neighbors spoke up to their feelings when they didn't show to support you.

CHOOSE YOUR BATTLE CORRECTLY. It is not the fault of the HOA. They have been happy with it, and if you have now found out the truth behind the pool "ammenity", then go after the people taht sold you the investment. If they decide to sell it and they say it's included, then it's on them and not your concern, nor your battle.

There are pools that are privately owned and operated and they sell "memberships" to help keep the cost down. But it sounds like you've gone on the attack and now it will doubly hard to find out anything until you've gone through the expense of hiring an attorney to force them to hand over any documents.

And just an FYI: Even if you find it is legal or not illegal, if the Owner of the pool decides to close it, you and everyone else is SOL. You can't do anything prevent that. NOTHING. That has happened many times since the housing collapse. You can't be immune to that just because of your unique situation, which is not so unique.
DebbieW2 (Tennessee)
Posts: 33
Posted:




And just an FYI: Even if you find it is legal or not illegal, if the Owner of the pool decides to close it, you and everyone else is SOL. You can't do anything prevent that. NOTHING. That has happened many times since the housing collapse. You can't be immune to that just because of your unique situation, which is not so unique.

Well, the voice of reason. Even if we get a written agreement, that does not prevent them from closing it one day anyway, does it?. It just does not matter I guess. You're right about that, never thought of it that way. What a mess.

KellyM3 (North Carolina)
Posts: 2,239
Posted:

Unless the HOA is paying the pool lease in one annual payment, the HOA dues payers would be protected when the pool closed as the monthly payments would absolutely stop. When the service stops, the fee stops.

If you have a written agreement, it will better protect and outline the terms of service for the pool and provide certainty for the owner and for the HOA. I think you're spot-on to want a written agreement, especially if the owner uses the handshake deal to enforce subjective rules on the pool users. You're on your way to bringing some transparency to your board but walk softly and never enter an HOA meeting or deliberation with the wrong mindset....we've all done it and it's as if your head will explode.

This pool issue has a proverbial dog that's been asleep for a long time. No need to wake it until you fully grasp your HOA operation regarding the pool.

By the way, who is paying the insurance tab for the pool liability? Different topic, best left alone.
DebbieW2 (Tennessee)
Posts: 33
Posted:
You hit the nail on the head - "written agreement". Which is kinda what I been complaining about. There is no written agreement. We pay monthly dues, it is not split up for a portion going to the pool upkeep. We pay all the expenses of the pool, insurance policy included. In fact we pay the owners personal liability insurance on top of our own policy. When the pool closes for the season, we continue to pay the same dues because nothing is broken down and there would not be enough money anyway. Then I can;t even go to the pool with my husband because they will call the police.

I am sick of shutting up about it.
TimB4 (Tennessee)
Posts: 21,059
Posted:
Quote:
Posted By DebbieW2 on 02/24/2014 12:17 PM

We pay all the expenses of the pool, insurance policy included. In fact we pay the owners personal liability insurance on top of our own policy.

Sounds like there is defiantly an issue.

My suggestion, since you have already mentioned concern over property damage and personal injury as retaliation to any legal actions, would be to move. The other options are to live with it OR (based on your indication of membership apathy on the issue) take legal action but also take additional steps to protect yourself.
DebbieW2 (Tennessee)
Posts: 33
Posted:
Selling it, might make my life worse. Then I feel we would be sued from the people that would buy it... right?

We bought it as an investment (nightly cabin rental) so I am just not offering the pool as an amenity. If the owners of the pool ever lock us out at least my rentals won't be effected. that is about the best I can do with the situation.

This cabin is part of my retirement plan - don't really want to cash in until I am using a walker. I've only owned it 11 months.
JohnC46 (South Carolina)
Posts: 14,265
Posted:
Debbie

Are rentals encouraged? Maybe pool restrictions are one way to discourage rentals meaning the pool is available to owners and guest(s) when accompanied by the owner.

Not sure if it plays a role in your situation, but another subject bantered around is a persons name not being on the deed regardless of their relationship. Some HOA's if ones name is not on the deed, one is not a member. I have seen some use this to restrict amenity usage.

If no restrictions on pool usage, then I would be advertising it as with a pool.

TimB4 (Tennessee)
Posts: 21,059
Posted:
Quote:
Posted By DebbieW2 on 02/24/2014 1:27 PM

Selling it, might make my life worse. Then I feel we would be sued from the people that would buy it... right?

I don't see why someone would take legal action against you. You simply disclose that the Association assessments pay for members to use the privately owned pool near the property.

DebbieW2 (Tennessee)
Posts: 33
Posted:
This is only a rental community, there are no owner-residents. The pool would enhance the marketing however I am not advertising it because I feel one day the owners of the pool will lock us out. I sleep better at night knowing I am in control of my cabin and not the owners of the pool. I have it booked almost the entire year anyway without a mention of the pool.
DebbieW2 (Tennessee)
Posts: 33
Posted:
Quote:
Posted By TimB4 on 02/24/2014 3:00 PM
Posted By DebbieW2 on 02/24/2014 1:27 PM

Selling it, might make my life worse. Then I feel we would be sued from the people that would buy it... right?


I don't see why someone would take legal action against you. You simply disclose that the Association assessments pay for members to use the privately owned pool near the property.


But there is no official agreement - that is a law suit waiting to happen. That is advertising something that does not legally exist, not even a verbal agreement.
TimB4 (Tennessee)
Posts: 21,059
Posted:
Well,

Then it appears you have some work to do and either gather support and change the situation (as well as taking proper precautions to address the concerns you have about retaliation) or deal with the same issue x or y years from now when you do sell the cabin.
DebbieW2 (Tennessee)
Posts: 33
Posted:
Yeah, tell me about it (big sigh) This was to supposed to be a fun and exciting rental investment and its turned out to be a nightmare.
TimB4 (Tennessee)
Posts: 21,059
Posted:
That is why I suggested selling. Who wants to deal with a nightmare that you likely won't be able to change for x years?

I don't know the disclosure requirements for TN. However, I would expect that the seller only has to disclose what the amount of annual assessments are. They are not responsible for how the Association deals with those assessments.

Even if TN requires a similar disclosure as VA (which is very specific) the seller would only provide what the Association provided to them. It would be up to the buyer to read that material and ask any questions about what they find.

As a selling point you may or may not want to say that currently the Association is paying for members to use the private pool facilities located near the property. It is unknown if the Association will continue to offer this in the future.

Again, the choice is yours to make.
JoK2 (California)
Posts: 198
Posted:
Quote:
Posted By DebbieW2 on 02/24/2014 3:24 PM
Yeah, tell me about it (big sigh) This was to supposed to be a fun and exciting rental investment and its turned out to be a nightmare.

Who ever told you that having a rental investment would be fun and exciting? That's the lawsuit right there! If you've rented it just about for the entire year without speaking of the pool, then what is your problem again? Or is it a problem because you are choosing it to be a problem. It's not YOUR problem, it's the HOA's problem. If your booked, why do you want to make it just your problem? If you have the records to back up a solid occupancy rate, then any investor will see it's worth it, without the pool/with your disclosing pool.

MelissaP1 (Alabama)
Posts: 13,836
Posted:
This situation sounds like a personal thing trying to make it into a "business excuse". Seeing the Forrest for the trees kind of thing. That's just my opinion on that. Otherwise I have no reason to view this as any way to fear a potential lawsuit from a purchaser if you don't disclose. It's just been made into one because of bitterness.

You being an Realtor you do have a different vision than many others selling their homes. However, you don't have to use the pool access as a selling point. Out of the houses that sell in my HOA about half even mention a pool or will include pictures of it on their listing. Many don't even advertise in their listing it's in a HOA or there are dues/amount. It's NOT required to disclosed. The documents are considered "Public" for a HOA and not every state requires the previous owner turn those documents over. (NOT saying this is not screwed up because it is). It's just good practice to inform your potential buyer that the HOA exists.

If you want to sell, it's not your responsibility to disclose the pool situation. It's something the HOA does. The buyer would need to ask them about it. I would simply state that there is a private pool available for use IF you pay the HOA dues. Simple as that and no need to be sued for it. Your just taking this to extremes to feed your anger over the rejection your "friend" had endured.

Former HOA President
JoK2 (California)
Posts: 198
Posted:
Are you the same DebbieW2 that in another thread says she is a licensed broker?

You've thrown the previous treasurer under the bus, as well as the owner of the pool. If you "feel" there is something fishy with the bank account then call the police. You won't get help with any other HOA members because your reputation as a trouble maker precedes your actual issue. If your the treasurer and you've asked for the bank statements and she said no, then as a board member you are required to do your due diligence and if that means contacting an attorney, then so be it.
If in your heart you feel it's wrong then fight the fight, and if your cabin get burned down in the process, that is what insurance is for. What's that saying about either do it or get off the pot?

Your human like the rest of us, but since the cops were called on your "boyfriend" for entering the pool, I can only imagine just how pissed you are. Bringing your "concerns" to this board most likely will not solve your problem since you are making decisions and creating thoughts while in an emotional state of anger. (rightly so perhaps)

BUT you have to take the emotion out of it all. And if you can to that you will be a much happier person in the long run. I just don't get it. As I stated, if your cabin is being booked what is your problem? Oh right, the boyfriend or rather common law husband.

You've answered your own question and now your here looking for accomplices since you can't find them in the HOA. Your instincts can guide you if you calm yourself enough to hear them.
DebbieW2 (Tennessee)
Posts: 33
Posted:
Quote:
Posted By MelissaP1 on 02/25/2014 5:55 AM
This situation sounds like a personal thing trying to make it into a "business excuse". Seeing the Forrest for the trees kind of thing. That's just my opinion on that. Otherwise I have no reason to view this as any way to fear a potential lawsuit from a purchaser if you don't disclose. It's just been made into one because of bitterness.

I am floored at the back lash on me. I've been called petty, untalented, and now bitter. The bitter one was the one who called the police, I merely want a written agreement at the very least so I can bring a "person" with me to the pool. Just because we are not married, should not make it trespassing. We paid our hard earned money to invest in this AND our dues are going towards the pool, I should be able to go to the pool with my "husband" that i have been with for 15 years. End of story. Why is that bitter?

You don't think I could be sued if I sold this cabin? I worked as a real estate Broker for 15 years... I never got sued but lawsuits are a part of the job. It's called "Buyer's Remorse" - we attend state mandatory classes to review case law all about buyer's remorse lawsuits. There is even a post in my very topic about half way that someone suggested I sue the realtor that sold me this cabin. Really? WHy would I do that. There is a problem, and I am attempting to fix it - not sue the agent.

Also you say this it is the HOA's responsibility to explain the pool - I am the Treasurer of the HOA. I am the one that needs to explain what a cluster "F" is it.
JohnB26 (South Carolina)
Posts: 1,569
Posted:
you state you are the treasurer

stop writing the 'illegal' checks

case closed
DebbieW2 (Tennessee)
Posts: 33
Posted:
Well THAT would be bitter. I am not going to take it upon my self to stop performing my duties that I was elected to do so.

Also I did not throw the previous treasure (also the pool owner) under the bus - the HOA did by voting her out and me in.

I am, however, taking the fall for it because she was questioned by a few owners at the meeting, in front of everyone, where some funds were... so she is indeed trying to aggravate ME by calling the police on my "boyfriend". I did not do this alone, all my "voters" are a part of this too ya know.

All I want to know is, are we performing illegal activities by paying dues towards a technically non-common element as defined by the law. I wanted opinions on the law and not a soul in here as offered that. Florida is very specific about it and I was wondering if the anyone knew of something similar in Tennessee. FL has taken a stand by creating a law that would enforce written agreements because more than likely there were many lawsuits prior to that and the HOA's were not doing something right for FL to make a law. That is why laws are created, to fix ongoing problems. I am not out of my mind if the State of Florida isn't.

Did all of you buy your homes on a handshake??? No - you all entered into a W R I T T E N A G R E E M E N T

It should not be so shocking that I am questioning why we don't have one and insisting that we get one... So I though by trying to find a law to show the rest of the owners....that "Hey, we might be doing soothing wrong here" would be a "talented" way to go about it. I'd love to just start paying my dues into escrow until there is a resolution but that would also be bitter.
MelissaP1 (Alabama)
Posts: 13,836
Posted:
I don't even see the problem in the first place but for your emotional response. Sorry but your "friend" is still NOT an HOA member and would be considered a "guest" in the eyes of the HOA. Resident does NOT make you a member. Renters are residents but still would have to have permission or access granted by their landlord (the member). So I don't see why you and your "friend" should be above the rules. Member is member. Resident is guest.

Here's my question then if you don't want your friend to be considered "guest". What if they had an accident at the pool? Would it be better they are a HOA member or a guest at the pool?

You overthink the whole "Someone is going to sue". There is insurance for that if you want to purchase it. Ask an insurance agent for such a policy. That is if your that paranoid of lawsuits that you can't function a sale of property. I could have sued the seller of my home as a month later I moved in, my newly adopted dog found termites in the back wall. He found it by putting a 2 foot hole in my back wall. Did I do it? No. What was I going to sue for? The court can only make me "whole". I'd just get the cost of replacing the back boards on the back of my house. So if I get sued, I would concentrate on the amount they can sue for. Which is the damages. Small claims is usually less than 5K cases. Is that amount really worth worrying about?

Former HOA President
DebbieW2 (Tennessee)
Posts: 33
Posted:
Quote:
Posted By MelissaP1 on 02/25/2014 8:07 AM
I don't even see the problem in the first place but for your emotional response. Sorry but your "friend" is still NOT an HOA member and would be considered a "guest" in the eyes of the HOA. Resident does NOT make you a member. Renters are residents but still would have to have permission or access granted by their landlord (the member). So I don't see why you and your "friend" should be above the rules. Member is member. Resident is guest.

Here's my question then if you don't want your friend to be considered "guest". What if they had an accident at the pool? Would it be better they are a HOA member or a guest at the pool?

How does calling him a "guest" change anything? So ok, fine let's call him a guest. Now what is your point because you lost me.
MelissaP1 (Alabama)
Posts: 13,836
Posted:
The point is that if someone else brought a guest to the pool without member recognition, you would be the first on the band wagon complaining about restricting guest without member relationship or knowledge. You would consider someone visiting the pool without the member a trespasser. What do you do? Call the police to sort it out. Once police get there it will worked out if tespassing or not. If they are, then arrested or kicked off. If not, member is contacted and given permission.

Why is the definition so important? Liability or atleast limiting it. You are all guest if the HOA does not own the pool but pay for its use and access. Seems your already making that argument already...

Former HOA President
DebbieW2 (Tennessee)
Posts: 33
Posted:
You flat out make no sense. You are the one who assigned labels, I didn't. What is your point? Seriously. You make no argument or sense. Then you back lash and say I will call the police.

I own the cabin making any person with me or without me a guest, thereby granting them access to the pool via my permission. What's next, is she going to call the police on my rent paying guests too? Why do you think I am insisting on a written lease? Again, tell me why I am the crazy one? Humor me.
MelissaP1 (Alabama)
Posts: 13,836
Posted:
I do not have. Your doing a good job on your own. No one will make sense to you unless they agree with you. Just call me confused but straight up.

Former HOA President
DebbieW2 (Tennessee)
Posts: 33
Posted:
I was just looking for TN law to research and you offered nothing but insults. All I think is that there should be a written agreement for the pool. If that makes me crazy then I am BIG TIME crazy.
JohnB26 (South Carolina)
Posts: 1,569
Posted:
a treasurer who knowingly issues a check for a non authorized expense is guilty of

EMBEZELLMENT

probably the least serious 'type' as there is no personal benefit (oops, your guest used the pool)

it is the treasurer's FUNCTION not to expend funds not authorized by either

the budget

(emergency) the covenants

sorry, do your job and let the BOD replace you ~ then take it to either

the courts

or

the membership

The treasurer is the person responsible for the custody and supervision of a business's funds. The office of the treasurer had its antecedent in English government which codified the organization, purposes, and general responsibilities of the business corporation during the 17th century when activities in worldwide colonization and trade exploded.

Corporate law, among other things, provided for a tripartite executive branch of president, secretary, and treasurer. States of the United States adopted this model, modifying it as necessary. All 50 states require the inclusion of these three officers. The corporate bylaws more specifically define their powers and responsibilities.


What do your bylaws say is your function?
DebbieW2 (Tennessee)
Posts: 33
Posted:
Quote:
Posted By JohnB26 on 02/25/2014 11:44 AM

What do your bylaws say is your function?

The Treasurer shall receive and deposit in a appropriate bank account all monies of the Association and shall disburse such funds as directed by resolution of the BOD; shall sign all checks and promissory notes of the association; keep proper books of account; cause an annual audit of the Association books to be made by a public accountant at the completion of each fiscal year; and shall prepare an annual budget and a statement of income and expenditures to be presented to the membership at its regular annual meeting, and deliver a copy to each member.
DebbieW2 (Tennessee)
Posts: 33
Posted:
Also, JohnB26, I did not mean to jump on you on my previous post - but I feel like I AM doing something wrong by paying pool expenses, yet everyone in here thinks I am being bitter and petty by wanting things in writing so I an have peacful enjoyment of my property and pool if I choose to do so. So I was very defensive. My apologies.
JohnB26 (South Carolina)
Posts: 1,569
Posted:
....shall disburse such funds as directed by resolution of the BOD;.....


there is your answer

request a written copy of the resolution to pay for the pool

JohnB26 (South Carolina)
Posts: 1,569
Posted:
if you get it ~ the directors have spoken

if you don't - stop paying the checks in ?

either way - you have done your job and are 'off the hook'

if you disagree so strongly, stop using the pool and mooooooooove
JoK2 (California)
Posts: 198
Posted:
Quote:
Posted By JohnB26 on 02/25/2014 2:11 PM
....shall disburse such funds as directed by resolution of the BOD;.....


there is your answer

request a written copy of the resolution to pay for the pool


A resolution sounds like a great plan, your board can write it with the authorities outlined in your governing document. If your board is interested in keepiing things as they are, then a resolution seems as if it would solve everyone's problem. Duhhhh...sometimes we get so caught up in the how it all happened and not on the how to fix it. Interested to see how the others feel about this idea.

I am not an attorney and would not give legal advice.

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