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BrianB (California)
Posts: 2,820
Posted:
Let's pretend that a couple years ago, say 1998, an existing board made a rule that defined a fee structure for certain violations. THey may or may not have done it "properly", no one really knows, because no one was at the meeting, and those who were at the meeting are long gone. They sent out letters to all the owners at the time, and no one complained. THey might have even documented the new rule in their minutes.

Flash forward to 2006. No one knows where those minutes are: perhaps in someone's garage, perhaps lost forever. The rules were never recorded with the county, never added as an amendmant to our CC&R's, and no new homeowner who has bought property since 1998 has been told, notified, etc. of that rule/fee structure.

Can, and should, the current board try to use that structure/rule? What should be done to make such an (important) change more official in an HOA. When do such changes have the power of "rule"? Can new owners really be held liable to fees, rules, etc. that they are never shown, that aren't part of the documents given to them?
LisaS (Illinois)
Posts: 341
Posted:
Simply, no.

They (members) would have had to 'reasonably' been aware of them, and they would have had to be disseminated to the association as bylaws, or recorded as ammendments to the covenants.

If even the Board doesn't know the structure, how do they expect anyone else to? They can 'start again' by putting the fines inforce properly and asking for compliance, IMHO.

Lisa
BrianB (California)
Posts: 2,820
Posted:
thanks. That's exactly what it feels like to me, that it would be hard to defend enforcing the rules, when people can legitimately claim they had no knowledge of it. Ingnorance of the law seems like a plausible excuse here.
SamuelB (North Carolina)
Posts: 83
Posted:
It's the responsibility of the HOA Board to assure the owners are aware of and abide by the R&R's. This can be done by several means, including flyers to all homeowners, newsletters, in meetings, etc. If there is a reasonable expectation that the board has acted responsibly in disseminating the R&R's to all homeowners, ignorance is no longer an issue.

I fly because it releases my mind from the tyranny of petty things . . . - Antoine de St-Exupéry
BrianB (California)
Posts: 2,820
Posted:
i would agree, but in our case, the board simply gives every new owner a copy of the original CC&R's, and that's it. Since the penalty/fees, rule changes, etc. aren't in that original document, i think the board would have a hard time expecting an owner to know what was "passed" by the board 3 years before they bought the home, and what was outlawed seven years prior to their purchase, etc.. especially since the board can't even find their own meeting minutes.

BeckyW (Georgia)
Posts: 34
Posted:
Brian,

In addition to sending each new homeowner a bound set of the Covenants, By-Laws, and Incorporation Papers (with amendments), we also send a copy of current Board Policies in their "new homeowner package". We also try to include the policies at least yearly in the newsletter as a reminder ('cause lets be realistic - only a small percentage of the new homeowners actually read their docs or the welcome package - and most long-time homeowners "forget".)

In my opinion, RogerB has an excellent outline for presentation under Fines and Enforcements. His post has given our Board the push to revamp our document to lay everything out.

So put together your HOA "rules" in one document and agree to them. Then send it out to all your homeowners. You have to start somewhere.

b.
RogerB (Colorado)
Posts: 5,067
Posted:
Becky, it is nice to hear that your Board revamped document to give detailed info. This should help remove questions and complaints. Providing the HOA documents in a new homeowner package is an excellent idea. We did this until Colorado required these be provided to the buyer prior to commiting to purchase. That is an even better idea.

On October 1, 2004 the Colorado Real Estate Commission's standard contract gave buyers the OPTION to elect to receive the HOA docs prior to final commitment to buy. On January 1, 2006 the Colorado Common Interest Ownership Act was amended by Senate Bill 05-100 to REQUIRE the HOA docs be provided to the buyer prior to final commitment.

With the docs the seller provides a disclosure form which the buyer must sign. DARCO requires the title company to send us a copy of the signed form for the HOA's files. With this procedure the HOA and the Seller are protected if the Buyer later claims they were not aware of certain restrictions.

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