Resident’s Handbook – legally binding?

Started by WilhelmL • 5 replies • 2713 views

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WilhelmL
Posts: 4

Posted:

Our Resident’s Handbook stipulates additional rules, e.g. no garage sales, limited overnight parking on common property, etc., which are not explicitly stated in the governing documents (Covenants & Restrictions, By Laws).

Is the content of this handbook binding, or do we need to publish individual/additional official Rules and Regulations … like we did with the ARB Criteria or Vendor & Service Providers Rules & Regulations?

Thanks for your advice … I am a brand new member to our HOA Board and are still learning.

Will

RogerB (Colorado)
Posts: 5,067

Posted:

Will, you should make it very clear to the owners that these are rules and regulations and that compliance with these rules is manditory but subordinate to the CC&Rs and bylaws. If the Resident's Handbook states this, and they were approved by the board, they are binding. The owners should be reminded of the rules periodically.

RogerB

SamuelB (North Carolina)
Posts: 83

Posted:

In North Carolina, this is only true if the CC&R's permit additional R&R's to be developed and approved by the board. The CC&R's are "enabling" documents. If you aren't given permission to do something, you can't do it.

I fly because it releases my mind from the tyranny of petty things . . . - Antoine de St-Exupéry

LisaS (Illinois)
Posts: 341

Posted:

Ditto for us in Illinois. If it's not in the legally recorded Declaration of Covenants and Restrictions, it is not enforceable.

We can change the Declaration- but only by vote of our members.

DWayneD (Texas)
Posts: 11

Posted:

I was under the impression that rules and regulations amplify or clarify Covenants and By-laws. Rules and regulations are created by the Board of Directors and to the best of my knowledge will stand up in a court of law. Boards are elected bodies and as such do have lots of power. They may not change the covenant or By-laws with out a certain percentage of votes usually 662/3 percent. AM I wrong?

KathleenF (Illinois)
Posts: 19

Posted:

My understanding of IL law is that Rules are enforceable if:

1) adopted by the Board pursuant to authority in the Shareholder's Lease (coop) or DCR (condo) and in accordance with the procedures established in the Bylaws; and

2) do not conflict with the Bylaws, Lease or DCR or deal with major issues which should properly be addressed only by those more authoritative documents; and

3) members are given proper notice of the Rules and of the penalties for violation; and

3) no penalties are imposed until the after the member is given the opportunity for a hearing as to whether the Rules are valid and have been violated.

I do not belive that Rules changes must be legally recorded in order to be enforceable. Rules typically address daily issues like parking, pets, laundry, nuisances, etc. The only "tough calls" I've seen have been those issues near the dividing line between proper subjects for the Bylaws and proper subjects for the Rules.

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