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Posted By SusanB35 on 08/02/2017 8:05 AM
My community was built in 1965. It is a well kept and a very nice neighborhood. "CCRs run with the land and shall be binding for 25 years from recording after which they will be automatically renewed every 10 years." The latest documents on file are dated April 10 1974 adding a new person to the Architectural Committee. All folks as of this date, that are listed on the Architectural Committee have now passed on. What does it mean if there is no one left and nothing passed on to a new person? Are the CCRs still renewed automatically? About 3 years ago we erected a shop and just went through the city for permits. No one said anything to us about anything then or now....Just trying to gain knowledge here. Thank you for any assistance.
1. Your HOA was established in X month in 1965 and binding for 25 years ... which would be X month in 1990 as end date; however,
2. Your CCR's automatically renew every 10 years which mean renewed X month in 2000, 2010 and will again in 2020.
3. Because it will renew you have an HOA, but one in which nobody has participated sometime after April 10, 1974 when you know for a fact an individual was added to the architectual committee.
4. Yes ... Your CCR's will renew automatically until such time as under your documents and State Laws the owners decide to take action to eliminate and disband the HOA. You potentially need to seek an attorney advice on how to do in your state.
5. Even if HOA continues potentially the shop built should be grandfathered. In my State the HOA has one (1) year to address and take to court any potential violation which is considered "permanent". If someone in my HOA built a shop and if violated the CCR's, if not addressed via the Court in the one year time frame it would be too bad, so sad.
6. Potentially your choices are:
A. Continue with the HOA and automatic renewals as is with everyone ignoring, but keep in mind at some point a person can and has a legal right to establish again a proper HOA with potential dues assessments and CCR enforcements.
B. Before the next automatic renewal all owners (suggest all pitch in for attorney fees to help) can eliminate the HOA from their property titles. If you want to choose this option you might check with an Attorney to see if can just Amend the CCR's now to state that at the time of the future renewal in X month of 2020 the CCR's will become null and void instead of renewing. A change of that nature would potentially take 100% of all owners to agree, so you need to know what others in your neighborhood feel regarding the situation and take steps to Amend your CCR's.