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PegM2 (Pennsylvania)
Posts: 10
Posted:
Our HOA board was transitioned in Jan. 2017 to homeowners association control. Via the Declaration, the HOA became responsible for all common elements on January 1, 2017. We are a Pennsylvania 55+ community of approximately 200 single family homes (and some dual garden homes). Our HOA is an incorporated, non-profit. The houses are all built and the last one will be closed on in December, 2017.

We have common element property with issues like storm water management, drainage problems, construction defects in clubhouse, swimming pool and other common element areas.

It has been nearly 11 months and the board insists that they will eventually negotiate with the developer and that the transition period should last one and half to two years. Research I have done indicates that the longer we wait to ask the developer to correct the problems with the common elements; the more likely the developer will say the "damage" was due to wear and tear or poor maintenance or lack of maintenance. The board keeps telling us that they are working on getting documents from the builder but haven't received them yet. PA statutes say that the developer was to turn over the docs by March, 2017. Even the Reserve Study that was done this month states that the company doing the study didn't have any engineering, construction, plats/plans documents to review.

I've met with our township officials and gone over the construction plans. They told me that the problems we were having were the responsibility of the developer.

The board never had a transition study done and has never had any comprehensive inspection done on the common and limited common elements. The board is now saying that the Reserve Study we just received is a property inspection of the areas and that fulfills their responsibility as outlined in the Declaration. We hired a management company but they seem uninvolved -- they didn't do the monthly inspections they were required to do based on their contract. The board "covers" for the management company, I don't understand why we do not hold them to the contract obligations. The management company contract was executed and signed by the developer (when the board was under developer control) back in December, 2016.

Earlier in the year, I tried to get the board to inspect the property and "officially" note the defects and problems hoping it would give us leverage to negotiate with the developer before they leave the community. Hence, the bullying by the board that I was a malcontent and pest.

Question: What, if any, options (legal or otherwise) do we have to hold the developer responsible for the problems mentioned above? Some are grading, drainage, concrete cracks by the swimming pool, and a storage building that the builder agreed to construct for the pool area, etc., etc.

Is there anything we can do or have we missed our window of opportunity to have the developer repair or help pay for repairs?

Will the HOA be on the hook to pay for the repairs?

Please help. Thank you so much!

TimB4 (Tennessee)
Posts: 21,062
Posted:
Quote:
Posted By PegM2 on 10/28/2017 2:39 PM

Question: What, if any, options (legal or otherwise) do we have to hold the developer responsible for the problems mentioned above? Some are grading, drainage, concrete cracks by the swimming pool, and a storage building that the builder agreed to construct for the pool area, etc., etc.

Is there anything we can do or have we missed our window of opportunity to have the developer repair or help pay for repairs?

Will the HOA be on the hook to pay for the repairs?

Please help. Thank you so much!

If your developer posted a surety bond with the city/county and it hasn't been released yet, placing a claim on that bond will certainly get the developers attention.

For legal options, you will need to talk with an attorney.
JanetB2 (Colorado)
Posts: 4,219
Posted:
As I noted to you on your other post ... obtain from your City copies of their contracts with the Developer. In my area they call them SIA (Site Improvement Agreement). Until all items are properly completed via this agreement the City is not supposed to release the Developer's bond money they are holding in trust for completion of this contract. Some of your issues such as grading and drainage might be noted in this agreement. You might also be able to obtain copies via your County Records because in my area these are also filed with the County. Then after you get copies ask them if the money noted being held in trust has been released yet. If NO ... then watch your City Council Agenda's to see if the item ever appears on the agenda. When it does get everyone and their dog from your subdivision to attend and throw a fit.

DrC1 (South Carolina)
Posts: 18
Posted:
Quote:
Posted By TimB4 on 10/28/2017 3:58 PM
Posted By PegM2 on 10/28/2017 2:39 PM

Question: What, if any, options (legal or otherwise) do we have to hold the developer responsible for the problems mentioned above? Some are grading, drainage, concrete cracks by the swimming pool, and a storage building that the builder agreed to construct for the pool area, etc., etc.

Is there anything we can do or have we missed our window of opportunity to have the developer repair or help pay for repairs?

Will the HOA be on the hook to pay for the repairs?

Please help. Thank you so much!


If your developer posted a surety bond with the city/county and it hasn't been released yet, placing a claim on that bond will certainly get the developers attention.

For legal options, you will need to talk with an attorney.

First off -the HOA office should have all copies of studies, blueprints, contracts, etc. If they do not they should send a registered lettering requesting them. I would start with that --if that does not help than contact your lawyer to write the letter. IN PA I would see if you HOA issues can be heard at the Magistrate level (here in SC they cannot)....if so after talking with your lawyer see if he or she believes that you can start with that. GOOD LUCK

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