HOA Does Not Exist

I am conducting due diligence on a 3 bdrm unit in a 25 unit complex that was built in 2006. When I requested meeting minutes from previous HOA meetings I was told by the management company that there are no HOA meeting minutes because there are no HOA meetings. I was, however, given a copy of the HOA by-laws (2006) that specifically states that meetings must be held 2x every year. Has anybody ever heard of a situation like this before? Should I be concerned? Thank you.

Hmmm . . .

No HOA but there is a management company. Who pays them? If this is a condo, how can there be no association? Someone has to take care of the building and the grounds.

Ed,

As others have said, you should be concerned that there have been no meetings.
Since you utilized the term unit, I am expecting that you live within a condominium complex.

Now it is possible that the Association tried to hold meetings in the past, never received a quorum (hence no business could be conducted) and over time, the lack of interest caused the Board to simply not call meetings anymore.

I would suggest asking when the next meeting is scheduled for as required by the Bylaws, NC § 55A-7-01 (applicable if you are incorporated) and NC § 47C-3-108.

If they say it isn't scheduled, ask who you should talk to about the reason why the Board is choosing to ignore the Bylaws and applicable statutes. Explain that you are not trying to make trouble, you are simply trying to find out why meetings aren't being held and how to get them held as you believe it is important for the membership to be involved with the Association.

It is possible that there is a lot of resident apathy and the management company is running on autopilot.

This is a substantial red flag because there will be no way to deal with unexpected events.

About the rule requiring meetings- there is no HOA police that will put people in the pokey if they don't have the required meetings.

ED

Hope things work out for you. The once a year meeting is the Annual Meeting which is typically mandated. Our Bylaws also call for the BOD to meet at least quarterly.