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PeggyW3 (Michigan)
Posts: 73
Posted:
We have two homeowners who are in arrears in their road maintenance/snow removal assessments. It is not clear in our agreement and covenants whether they can vote or not. It says each parcel shall be entitled to one vote, but then it goes on further down in the agreement what to do if they don't pay after 30 days, such unpaid payment shall be considered a lien on the property and the Secretary shall be authorized to institute suit in the name of and for the benefit of the owners.

Can we implement a policy where homeowners who have not paid their assessments cannot vote on road maintenance issues?

Can we also ask that those homeowners not attend the meeting while a discussion and vote is going on that applies to them and their particular issues?

Thank you.
MelissaP1 (Alabama)
Posts: 13,836
Posted:
That is a complicated issue with voting. It's NOT equal across every HOA. Some do allow voting for certain things and not others when behind in dues. For example: One behind in dues may lose their right to vote but not their right to run for a board position. They can run but can't vote for themselves. Which if someone is behind in dues, who is going to vote for them anyways?

I find that procedural issues that require the HOA ENTIRE membership to take a vote like changing the rules, then the vote isn't revoked as much. It's pretty much lost in the majority vote. However, decisions that are the board's the members ability to vote is null and void. Contract hiring is a board function and NOT the entire HOA's. The HOA board is elected to represent the WHOLE of the HOA. So the board has more input and voting amongst each other than each individual owner does. Considering that a person behind in dues most likely won't be on the board, their ability to vote doesn't effect much in the decision making. You still have 11 overall members but 2 of those votes won't really count. It's just dilutes the voting pool.

Just know what is a board vote responsibility and an overall HOA membership required vote. Hiring contracts and things that require spending money is typically HOA board decisions. Making changes and adapting new rules, tend to be the entire HOA membership type votes.

Former HOA President
JanetB2 (Colorado)
Posts: 4,219
Posted:
Hi Peggy:

If your documents do not specifically state that an owner not in compliance cannot vote, then I would recommend NOT denying them. This can also vary depending on different State Statutes and some states specifically say in their laws that you cannot deny voting rights to any member.

You have to keep in mind that some items which an HOA votes can sometimes affect the value and marketability of property and to deny anyone who owns any property the right in any way to protect it or not have a say, can be slippery ground.

CarolR11 (Colorado)
Posts: 2,563
Posted:
Peggy, Janet's reply is nice & straightforward. I agree with her.
TimB4 (Tennessee)
Posts: 21,059
Posted:
Peggy,

Welcome to the forum.

Since Michigan doesn't have laws for HOAs (they do for condominiums but not HOAs), the authority the Board has will come from your private road agreement.

If your Association is incorporated, MI Nonprofit Corporation Act may likely applies.

Quote:
Posted By PeggyW3 on 03/17/2014 12:44 PM

Can we implement a policy where homeowners who have not paid their assessments cannot vote on road maintenance issues?

Yes, but you will likely need to amend your private road agreement to do so.

Quote:
Posted By PeggyW3 on 03/17/2014 12:44 PM

Can we also ask that those homeowners not attend the meeting while a discussion and vote is going on that applies to them and their particular issues?

In my opinion, no. They are members of the Association and as such, have a right to attend the meeting.

JohnC46 (South Carolina)
Posts: 14,265
Posted:
Quote:
Posted By JanetB2 on 03/17/2014 3:41 PM
Hi Peggy:

If your documents do not specifically state that an owner not in compliance cannot vote, then I would recommend NOT denying them. This can also vary depending on different State Statutes and some states specifically say in their laws that you cannot deny voting rights to any member.

You have to keep in mind that some items which an HOA votes can sometimes affect the value and marketability of property and to deny anyone who owns any property the right in any way to protect it or not have a say, can be slippery ground.


I agree with Janet.

Some docs might say if in arrears their voting privilege is suspended. The docs would have to specifically say this and how to do so. If the docs do not say then you cannot make it up as you go.

I have never seen a case were an owner was banned from any properly called meeting due to being behind in dues, fines, etc. This is a very slippery slope. One you best not go down.

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