CC&Rs in Dipute

Our POA was formed in 1978. The CC&Rs were set to run 25 years plus could be extended 10. It seems in 2008 new CC&Rs were filed in the county extending them but the Board did this without membership vote. They also made some slight wording modifications. Everything was fine until various lien lawsuits were filed. Then people started claiming the CC&Rs were invalid. The Board tried to pass new ones which were defeated. A group of owners redrafted them and the Board agreed to let members vote. We are still trying to get the 67% but many of our votes belong to dead people or bad addresses.

Because of the legal issues, we have differing legal opinions, which are difficult to verify. One opinion says the 2008 covenants are filed and were undisputed for 4 years, so they stand. Another says the 2008 are illegal. 1978 expired in 2013, so there are no covenants at all.

Membership agreed to abide by 2008 until new ones passed.

We are non-profit corp. with proper State Certificate. All books and records arr properly maintained and we have an active Board. We do have some common area property, including a remodeled community center with a hefty note payment. Several homeowners are using the situation to avoid paying assessments. Because of the situation, we have no enforcement rights.

The majority want to keep the POA. Other's want to disband. The community center is a big issue.

Now another group is attempting to circumvent the Board and the homeowners and take over without any authority, etc.

Unlike typical POA issues, this Board is working very hard to be transparent, open and committed to working in unity. While there may have been Board abuses in the long past, that is not the case now. The majority of owners suppot this Board, it is just a few taking advantage of the covenants issue.

1. How do we know if our CC&Rs are valid or expired?
2. How do we get the votes needed if we cannot locate the voters?
3. Do we need to amend or reinstate?
4. What laws, regulations, etc. should we be following?
5. What are enforcement rights.

Any help or suggestions would be greatly appreciated.

(My apologies for the length of this post, but it saves time to have the facts up front.)

Yes, that's the big issue. Our last attorney robbed us blind. No we have no money and a big mess. Thanks.

The dead owners:

You can search them on google, and then order the will from the court. But there should have been a transfer of ownership filed with the county, right?

The attorney was paid, but did not do the work.

The dead people have not probated. County won't do much because taxes are more than the property is worth.

Clearly we need an attorney, but I was hoping someone might point me in the right direction. We've done all we know how to do. Since the legal fields disagree on this, we probably need a court ruling.

But I am open to any other suggestions.

CoriS1,

I live in an HOA in Iowa with expired covenants. Iowa has a 21 year time limit to renew. There was never an attempt to renew so what we have left is a sanitary sewer to maintain. The HOA was incorporated as an Iowa nonprofit corporation around 1974. This originall corporation was dissolved and a new one was started with a different name. What this means is there are no covenants to enforce but the property owners are assessed for sewer maintenance.

You might consider that option if the owners don't mind having no enforceable covenants. Does the HOA own other common elements besides the club house. In my case, the sanitary sewer is a necessity. I'm not sure how your clubhouse would play into that scenario. I suppose one could argue that it is not a necessity but an outstanding loan on it puts a different element into the picture. Perhaps go with a voluntary HOA for those wishing to utilize the clubhouse. In Iowa 100 percent of the property owners would to have to approve new covenants. It would be like starting over. There is no way that would happen where I live. I like it the way it is because it is less complicated. Believe me it's complicated enough with just the sewer to maintain.

You will probably have to have a court straighten out this mess as Mark stated. Expired covenants are very problematic for the states that have these expiration and renewal laws. Just look at the threads about Florida's MRTA.

Thanks....

My guess is that Cori will say your answer is not possible because

A) The previous lawyers took all the money and did absolutely nothing
B) The tax records are of no use because the people died, their wills weren't probated and the taxes aren't being paid. The county just doesn't care because the lots are worth less than the taxes and bla bla bla.

Seems like every solution will be answered with why that is impossible.

Been told by whom?