Role of Declarant after transition to member control

Started by VirginiaG • 3 replies • 1783 views

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VirginiaG (Georgia)
Posts: 11

Posted:

The Declarant transitioned control of the HOA several months ago. The Declarant's representative attended transition meeting and the Assignment of Declarant's rights was signed by all parties and filed with the Court. Now some of the Board members are insisting that the Declarant should meet with them and walk the property to discuss issues that the Board wants corrected. The four items mentioned at the transition meeting have been completed. The Declarant refuses to meet with the Board. He has already stated the subdivision was signed off on by inspectors and he is not going to do anything further at the subdivision. Is he required to meet with the Board? What are his responsibilities now that it is member controlled?

RogerB (Colorado)
Posts: 5,067

Posted:

I do not think the Declarant has any legal responsibility to meet this request. This should have been done before the homeowners accepted the turnover. See the attachment which I have posted several times on this board.

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JanetB2 (Colorado)
Posts: 4,219

Posted:

I agree with Roger to great extent; however, state laws vary and the Developer must meet certain code requirements. Also, I would check with your local City Planning department as some items the HOA has a concern about might have also been covered under their contract with the developer. For these type issues if the city has not yet released developers money for proper completion they might be able to put pressure on developer, if made aware of items which might be covered under this agreement. It would depend on what the issue is ...

MelissaP1 (Alabama)
Posts: 13,836

Posted:

This is also a good opportune time to change your documents to remove ALL references to the developer. It is all fresh and on people's minds. Plus it will save some confusion for future buyers who is in charge. Just follow the rules on how to modify and change your documents. It's also a good time to also change a few other items if there are any to add or remove.

This may or may not take a special meeting. However, a special meeting may also be by-passed with the right paperwork. This will allow your HOA to gather votes more openly by going door to door or at regular meetings. It can be very difficult to get more than 51% to 100% of the ownership to show up all at once for a vote and agree. It takes time, a lawyer, and filing fees.

The developer is no longer part of your HOA unless they own a property. Then that just makes them a member or a potential board member if elected. Otherwise, this is something you all should have discussed during transition.

Former HOA President

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