Developer never transferred land to the HOA.

That's a legal question - ask an attorney.

See if your state bar or local bar associations have a referral program. Also, file ethics violation complaints against both of those attorneys; their fees are way out of line.

Ask your local Attorney General your question. If it is possible real estate fraud you can possibly obtain an answer or result with no out of pocket expense.

LOL ... I and others in my last HOA sued two developers at once in same lawsuit. They do not scare me . You just have to make sure you are right and they are wrong.

LOL ... And many attorney who will make those statements are ones who work for potentially developers. I have found in my area many of those will tell you big fat lies. I had a number of attorneys try to tell me with one section of law when looking for one that the developer could do as they wished. As soon as they made that statement the door did not hit me in the tail end on my way out their door.

I'm afraid every attorney in my small town works for the developer.

We are within the city limits, but the City will not own or maintain retention ponds. It's not platted so the City can't "see it" as they said and left it to us although they have extraterritorial jurisdiction over drainage issues.

Another issue concerns financing. Texas allows liens on homeowners property and over 80% of my neighborhood purchased their home as "purchase money" or with a "vendor lien", still effective on the deeds. They also purchased used owner financing,( this backs up my claim of Leasehold estates in a HOA) although they could qualify for a traditional mortgage based on their jobs alone. Lawyers, Professors and Real Estate agents. Those types of financing gives the buyer equity ownership, not title ownership. So I'm in the 20% title owners. They are "renters" until their loan is paid. And still others get equity loans to draw the profit out of their house. So when a neighborhood goes bankrupt over a federal legal issue, who pays? Looks like the "renters" walkout and leave it to the builders or bankers holding title.

SueC4 TX Respectfully, what are you asking about whatever Home Owners Association ? Are you asking "Can it have any legal power or 'vires' or jurisdiction if it is NOT literally the owner of record of the "common area" ?"

Are you asking "Even if whatever Association is NOT the owner of record, does it have any legal right to force the end - user private owners to Pay/comply/pass along such obligations to transferees ? "

. . . or "Can it have any legal right to govern, regulate etc if such body is not even cited within the Covenants on titles to either the common lands nor end-user private properties ?"

JanetB2 - The new developer never had authority to amend the covenants after foreclosure of the neighborhood. The other directors wouldn't approve, so the developer sold everything to builders or individuals as Leaseholds according to the court house documents.He sold everything including the fixtures, sewers, all right and title, so no common area. That's not a HOA by IRS standards. It could qualify for a IRC 528 but the 501(c)4 gives tax free property to the landlords. I have withheld the assessment since I found out, but I state I will not continue to pay into a fake corporation. I will pay under protest and duress, but I'm not going along with the fraud. I am not protesting I want anything free. I asked them to tell me who I make the check out to since it's not a HOA and it was more of a "fix" according to the bankers.
Florida and Texas have similar laws and issues. There is one other case like this in Florida, but they weren't trying to get tax free property and pretend there wasn't a ground lease running under some homes and some not. Florida's issue just stated they had to go leasehold because the previous HOA wouldn't let them amend.I have over 1500 court house, city, and planning and zoning documents in date order that prove my case. They dropped the corporate charter for 5 years but still kept collecting and assessing. They know they aren't a 501c4. They are a nasty bunch of people too. Mean as hell, but they have a lot to hide.

What caused them to lien?

Oh and 80% of the neighborhood equity strip their home and assets. No one would sue someone that has zero assets, but they sit on the board of a HOA they faked and do whatever they want. Only 20 out of 120 own their home outright and are exposed financially. I am one of them. I have to get an equity loan to protect my assets.

There's no requirement that HOA's in Texas have 501(c)(4) IRS exemptions, all they have to do is to be incorporated as a domestic non profit. Once the HOA is formed, the ByLaws and CC&R's will attach to the deed of the property and will specify what the annual assessment is. You can get a copy of the articles of incorporation from the Texas Scty of State Corporations Section.

I guess I'm a little confused as you seem to be indicating that you were the President of the HOA, but now you're saying its not a real HOA.

I emailed the attorney for a breakdown because of the large bill. He has not responded. Looks like just another form of harassment. $1,0086.00 is charged without reason on the invoice. And they charged me late fees. Thay have to sue to recoup the fees right? The HOA never paid the bill.

Sue
You have been asked and asked if you stopped paying yourt dues or assessmets?

Regardless of you reasoning, have you refused to pay such?

That's right. I refused to pay the legal bill. I paid the Assessment and Interest under Protest and Duress citing a memo detailing 25 reasons why they are not a HOA and all the times they never hired a lawyer to file a lien. And all the times the directors waived their own assessment and dropped the corporate charter at the same time. I left the payee on the check blank because I have no idea who my landlord is.

Apparently the HOA did not cash your check because you made it payable to no-one. Giving them a check with no pay to line filled in is exactly the same as not paying.

Might I respectfully suggest that you ask them who they want the check made payable to - or check any documents you have received from the HOA or their attorneys. Generally, when an HOA turns over an account to its attorney for collection, the payments should be made to the attorney which will then remit the amount to the HOA.

You can very easily settle the matter by contacting whoever you sent the check to in writing either via email or us mail, and tell them to fill in the appropriate payee on the check

Hmmm ... I have done that and call BS. The payee can simply write their name and cash the check, which is perfectly legal.

http://thelawdictionary.org/blank-check/

What is BLANK CHECK?
A check with no amount or name of payee. The holder can fill it out as they wish.

People

The mechanics of the check (cashable, etc.) is not the issue. She is not "properly" paying her dues. Let us not let her off the hook.

Another example would be a company I worked for giving me a check made out to "Petty Cash". I could take that check to the bank and after endorsing the back would be able to cash the check even if not made out to me personally because I am the "bearer" of that instrument.

Rather than argue over the interpretation of whether or not a check with no payee listed is payment for a debt, it might be more appropriate to look at the OP's reasoning behind failing to make the check payable to anyone.

1. The OP has previously stated that she was formerly the President of the association.
2. It is reasonable to assume that as President, the OP would have complete knowledge or should have complete knowledge of the appropriate method used to provide notice of assessments, the collection policy as mandated by Texas law, the procedures used by the associations attorney to collect delinquent assessments, and the commonly accepted method utilized to pay those assessments.
3. As I previously stated the State of Texas has very strict rules about what an HOA may do to collect unpaid and overdue assessments, and must go through a number of steps, including offering the delinquent homeowner the opportunity to enter into a payment plan prior to any legal action to collect the debt.
4. Assessment letters and letters from the association and the associations attorney contain specific information as to exactly how the debt can be settled, this would include such terms as to which entity any check should be made payable to.

Regardless of whether or not you believe that the OP paid what was due through the issuance of a check with (1) no payee listed, and (2) no indication that the OP gave permission to the recipient of the check to amend it - the fact remains that the former President of the association has apparently failed to pay assessments, has accumulated fees and interest as a result of that non payment, has had a lien placed on the home, and is refusing to acknowledge the legal status of an association she was formerly President of.

I suspect that there is more to this story than the OP has revealed

Thank you for your comments. As always, there is more to the story. The developer sold off all the assets of the HOA when the covenants were filed on the same day. He made leasehold agreements with builders who, after 25 years still hold the Vendor Liens and along with other individuals giving them proceeds of all insurance claims and condemnation proceeds if ever the retention pond was taken over by the City. The board tried twice to get the city to take it. The City declined. We are not a 501c4 HOA. More of a IRC 528. They can reorganize and prevent the illusion that everyone has an equal share in the neighborhood. They are using the 501c4 for free property tax on land the landlords own.
If all that information was disclosed when we purchased our land, that is one thing. It was never disclosed, the board continued to avoid all repairs (to the point of 3 inspectors stating we would lose our HOA insurance if we didn't repair the fence, their response? they dropped the corporate charter again) they never adopted retention pond policy because that land is being held for re-development,never followed the 2012 updates, let residents purchase land that was in back of their homes with no street access, without replating the section, and closed the cash purchase in the attorneys office that sold the land they held to the 17 residents BEFORE IT WAS LEGAL BY THE STATE OF TEXAS IN 9/2013. I called them out on the illegal activity, they don't care. I told them to research the Patriot Act about giving money to an illegal corporation and RICO for using the mail system.

They dropped the Corporate Charter but never stopped assessing and collecting money for 5 years. I was the next President and caught the problem and reinstated the HOA. They dropped it again when a vote was up to repair the fences. The HOA has no savings. no reserves, no assets on the books.
The board and 75% of the neighborhood are "un-sueable". They have owner financing, wrap notes, equity loans on vendor lien property, they walk out because they have no assets. This is why they can do anything they want. They do not pay. I own my house, no liens or loans. I lose.
On the matter of the check, I stated in the letter to tell me who my landlord is so I can make the check out to them or fill in the check if they thought the HOA was legit. As I stated in the memo of 6 pages I sent them. If I sued they would take everything I own and I would be fighting builders and the developer if I hadn't gone to the Court House myself and researched the title issues. So who is playing games? These title OWNERS are never seen at the board meetings, only the equity title holders, the builders never walk in and say, "Hey I'm the owner and I disagree with the board.

The HOA spent 14 years trying to get signage in the neighborhood, we are a no name neighborhood. You know why it was never accomplished? The landscaper, that owns a portion of the land lease and mows his own grass we pay for, suddenly would have a huge sprinkler repair to do, so there was no money ...ever for a sign. After 25 years, no signage. Of course, you wouldn't want to claim the name of the neighborhood if it was sold to 10 different entities.

I gave them the check under protest and duress. I can not change them and I am not trying to get out of anything. The are abusive. If I am wrong then there would be no need for the extreme retaliation towards me. I also discovered the bank had filed fraudulent UCC filings and pledged my assets, including my house and business assets to someone else. That's when I came back strong demanding whether or not I own my land or house. The bank said it was an oversight that lasted 9 years rolling 3 loans that apparently got thru Loan committee and Credit with no problem. My loans at the bank were participated out to another bank under a different regulatory authority. OH and yes, I am dealing with the same people here. They live in the neighborhood. They equity strip every assets they have so my assets shored up their loans. There's a lot going on here, but I am fighting the whole town if I report it to the regulatory authorities.

They need to cash the check and every year until they re-organize, I will make the payments under duress.

I guess I'm one of those bullies you're referring to - but actually I'm trying to determine what exactly is going on and provide information concerning the Texas statutes that govern HOA's.

The OP speaks about the developer selling off all of the assets, but then goes on to speak about the retention ponds that the HOA board attempted to get the City to take over, the OP speaks about the fence and the necessity to repair it, and goes on to tell us that she was formerly the President of the HOA. Once would expect that if she is no longer President she either resigned or was not re-elected to the position. She then continues with references to the Patriot act and RICO. Both of which are federal statutes and have nothing whatsoever to do with Texas Home Owners Associations. The OP alleges that the developer is using section 501(c)(4) of the IRS code to avoid paying property taxes - but all Texas law does for 501(c)(4) organizations is to exempt them from Franchise and Sales Taxes (but the organization must apply for that exemption). Generally speaking, HOA's in Texas do not qualify for the exemption from property taxes.

Our HOA owns 3 tracts of land and we are assessed and pay nominal property taxes to the county on that land.

Lacking any specific information about the developer or the HOA being discussed here it is practically impossible to offer an opinion on precisely what recourse the OP has to settle her complaints. However, as I have stated previously, the Texas legislature has enacted some pretty strong Homeowner protections for those who are in HOA's. These protections include the right to inspect the financial records of the HOA and to be fully apprised of where the money goes.

In this case, the OP is alleging that the HOA is invalid but is collecting assessments. She has an absolute right under the Texas Residential Property Owners Protection Act to review the associations accounts and to request documents. The governing documents of the association will specify what the assessments may be used for. The county in which the HOA is located can provide information (usually on line) as to what assets the developer or the HOA own.

I'm having a similar issue in California. Original developers defaulted on bank loan, so bank foreclosed and auctioned off subdivision, prior to completion, without considering, or even informing purchaser of CC&R, who in turn, never formed or started an HOA. Each pool area, is 1/14 owned as common interest by each homeowner, who's property adjoins a common area. As people started purchasing homes, they all just agreed on a property owner collect fees to maintain the pool. Some 10 years ago,someone thought it a good idea to have their real estate friend draw up HOA legal forms and started using the name to place liens on homes, then sell to a community homeowner for dirt cheap. All this under the fraudulent title of president and secretary of Country Club Village pool1 area a HOA. This apeared to be coercion and fraud, as well as theft, to me. Then they placed 3 illegal liens, illegally, so I took the lady who placed the liens to court, but my attorney was incompetent and charged me $12000 for nothing. No liens removed, no assessments removed, no damages awarded, no attorney or legal fees reimbursed. He claimed to settle in mediation, without my consent, then I found out he settled out of court. I refused to sign the settlement agreement, so he tricked me into signing it, (disguising it as another document). He also filed the quiet title He then closed the case in complete and full prejudice, again without my consent. Then he filed in small claims on me, claiming I owe him $6000+. under Auto Tort, as well as mixing another unrelated case in with the summons.
Now, the lady who placed the liens, sold her house and bailed, leaving everything with her friend, the one who started the fake HOA, who in turn, fraudulently signed into contract with Desert Resort Management, Associa, claiming to be authorized by the Board of Directors, (that doesn't exist)to sign into contract on their behalf, after voting to have Associa manage our pool area. Which consists of, literally, the pool, pump and filter. When I went to Associa, informing them of the fraud, they ignored me, claiming they didn't need homeowners consent or vote, for the board voted on our behalf and set up an election meeting to vote in Board Members. If they were elected by our Board, then why do they need to elect a Board? Hmmm.
Of course they lied and sugar coated the whole HOA benefits speel and how having a management company is a must, because Managing an HOA is way too complicated, so nobody listened to what I had to say, so I never went to the second meeting, but apparently 2 members were voted in, but neither live in the neighbourhood, they just own rentals. Now Associa has raised the fee from $500 to $625, with assessments of $150 for photo copies and envelops and $200 for attorney fees, etc., etc..
I've refused to pay, as well as, sign anything they've tried to get me to sign. Now they are threatening to add more liens on my property.
I need a new roof, but can't get a loan because of, one, the liens against the property from the first lady and two, I got behind on the taxes, paying the lousy attorney, who I'm currently in a lawsuit against. I don't know where else I can turn. I'm in the process of getting a complaint off to the State Bar, but the court date is in 7 days and I can't afford anymore lawyers fees. I also can't get local law enforcement or the DA to file criminal charges for , fraud, coercion, tax fraud, illegal dept collection practices. The Attorney General won't do anything either. In fact, the Attorney General said all they can do with an HOA not complying within the law, is send them a warning letter, but it's up to them whether to listen or not.
If I were to commit fraud, I'd be in Jail so fast, my head would spin, but because they claim to be an HOA, they're exempt from the law. What is wrong with the minds of these politicians and law enforcement agencies, that treat HOA's like they and their policies supercede all government agencies and laws, when they are nothing more than a swarm of childish thievin, bullies that were never taught how to play well with others, or that there are consequences to their actions. Everybody acts like they're scared of their acting out and causing a scene. Who's being childish now? Are the people who are supposed to protect us from being victimized by con artists, with all the laws, bylaws, rules and regulations can't come up with a way of policing and stopping these corrupt, heartless, overzealous, bullies from hurting your neighbours, by the tens of thousands, from one end of the country to the other? REALLY???

The Topic menu shows that 44 replies have so far followed the OP's original question. Some of those have been pretty good comments, particularly including from her home state.

1- Respectfully the OP has declined to answer a number of questions among those that would have helped commenters.

Whether or not she is actually reading those questions, she has also 'put a lot of stuff out there' that appears to offer big obstacles to anyone trying to help her.

Whatever anyone thinks of lawyers or paralegals, if they cannot get enough organization into what a potential client is presenting how can they possibly help ? If they cannot focus a client onto relevant / related scenarios, then respectfully those professionals would NOT be doing that potential client any favour to take on their cliency.

2 - Developer / declarants etc can try a lot of shenanigans, and their insolvency/bankruptcy etc can worse be followed by lots of sociopathic stuff like project windups that leave purchasers further up the creek.

3 - That said, where there is to be no built environment nor clear need for a passive common area to be legally transferred to some formal body, a bare tenancy in common for end-user stakeholders - with shared but undivided ownership - isn't the end of the earth.

Such may be an outcome without lawful governancing decisions short of judicial partition, but it can be valid.

Trying to collect contributions from enriched end-users may depend on what the jurisdiction does with Unjust Enrichment tools a.k.a. a form of 'equitable remedy'.

But it respectfully ain't necessarily the end of the world.

( I live in one such with a giant premium waterfront. It was created Day 1 as a tenancy in common T.I.C. with undivided co-ownership crazy glued onto each end user private stakeholder property. There are minimal covenants and zero 'vires' for any association to legally own nor formally govern. The voluntary association gets an almost 100 % contribution financially and is usually benign. It's not the end of the world .)

"Potentially in order to charge HOA fees to maintain any property ... the property MUST be owned by the ASSOCIATION."

I respectfully disagree with that statement.

and I'll offer my HOA as an example.

We own three tracts of land which we maintain. We also maintain a landscape easement on property that we do not own. That property is just outside of our community and it has our entrance monuments and signage on it. We maintain the landscaping around that area.

Also in our community is an amenity lake or detention pond (amenity lake sounds better), the lake and the land surrounding it was transferred to the municipal utility district by the developer, its reason for being is drainage. We have an agreement with the Municipal Utility District to utilize the lake and land around it for recreational purposes. That agreement requires that we maintain the landscaping (cut the grass).

So while we do in fact own property and maintain it using the assessments we levy against our members, we also use those assessments for the benefit of the community by maintaining the landscaping on non HOA owned property. Were we not to do so - the property owners would only have to comply with the City requirement for cutting grass (which depending on the growth rate allow grass to be 1-2 feet high)

Mistakes are made in the creation of HOAs all the time. The existence of a management company in no way validates the legality of the underlying organization or its creation.