INactive HOA wants reinstated

Started by CarolM20 • 5 replies • 806 views

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CarolM20 (Texas)
Posts: 1

Posted:

I bought my home in a subdivision that was inactive for 10 years, the president that apparently over styed his term wants to reinstated it. I do not wish to join a reinstated HOA, what can I do or what are my rights? Please help.

AugustinD
Posts: 3,698

Posted:

Quote:

Posted By CarolM20 on 06/01/2021 1:23 PM
I bought my home in a subdivision that was inactive for 10 years, the president that apparently over styed his term wants to reinstated it. I do not wish to join a reinstated HOA, what can I do or what are my rights? Please help.

The covenants nearly always "run with the land," meaning they do not go away just because a HOA is inactive. The first action you should take is to check with the county clerk for whatever covenants are on record. If there are covenants, then read them carefully and try to understand them (this is beyond the abilities of many folks who post here). The second action you should take is search for the HOA corporation's name at https://www.sos.state.tx.us/corp/sosda/index.shtml and see what the corporation's status is. It's not a big deal to reactivate an inactive corporation.

If this person is trying to collect dues on behalf of the HOA, then this is even more reason to intensely study the covenants.

In my experience, you would have to then post covenants that concern you here to get meaningful feedback.

JohnC46 (South Carolina)
Posts: 14,265

Posted:

Quote:

Posted By AugustinD on 06/01/2021 2:06 PM

Well said and rather briefly.

SheliaH (Indiana)
Posts: 6,964

Posted:

Have you asked the president why he or she wants to reinstate the HOA? Have you talked to some of your neighbors how they feel about the matter? Running a HOA is no small thing and if the ex president wants to restart it, he/she should be willing to attend a meeting of the neighbors and make the case. Then you and whoever agrees with you can make your case against reinstatement.

You don't say If there are any common areas - you may want to check whatever papers you got at closing. The common area doesn't go away either and you don't want a situation where someone gets injured on it and then wants t sue. If there's no HOA, the person may be able to use everyone in the community (if he/she wins, you may wish there was an HOA that could have purchased a master policy.)

And speaking of the common areas, who's been caring for it since there hasn't been a board to supervise and hire caretakers? If it's been allowed to do whatever and some of your neighbors have tried to do what they can, it may be they're get tired of the time and e owner and want the rest of you to start paying your fair share.

I'm not saying you can't or shouldn't let the HOA rest in peace, but you should weigh everything before something enables it to rise again a la The Walking Dead or some such.

If it is not right do not do it; if it is not true do not say it. Marcus Aurelius

JohnC46 (South Carolina)
Posts: 14,265

Posted:

Quote:

Posted By SheliaH on 06/01/2021 4:14 PM
Have you asked the president why he or she wants to reinstate the HOA? Have you talked to some of your neighbors how they feel about the matter? Running a HOA is no small thing and if the ex president wants to restart it, he/she should be willing to attend a meeting of the neighbors and make the case. Then you and whoever agrees with you can make your case against reinstatement.

You don't say If there are any common areas - you may want to check whatever papers you got at closing. The common area doesn't go away either and you don't want a situation where someone gets injured on it and then wants t sue. If there's no HOA, the person may be able to use everyone in the community (if he/she wins, you may wish there was an HOA that could have purchased a master policy.)

And speaking of the common areas, who's been caring for it since there hasn't been a board to supervise and hire caretakers? If it's been allowed to do whatever and some of your neighbors have tried to do what they can, it may be they're get tired of the time and e owner and want the rest of you to start paying your fair share.

I'm not saying you can't or shouldn't let the HOA rest in peace, but you should weigh everything before something enables it to rise again a la The Walking Dead or some such.

Good advice.

CathyA3 (Ohio)
Posts: 6,299

Posted:

I agree with the advice that's been posted.

An HOA has two main functions: to maintain any common areas (landscaping, streets, etc.) and to enforce the covenants and restrictions attached to all of the deeds of owners within the HOA. The HOA's authority to do these things is contained in the documents establishing the HOA and describing the covenants (often referred to as CC&Rs). Most HOAs are organized as corporations (via another document called articles of incorporation) and operate according to bylaws (a third document).

The CC&Rs form part of the contract that homeowners signed when they bought their homes. As Augustin noted, they don't just go away if ignored.

As Sheila said, one of the important benefits of doing things this way is the HOA's ability to purchase insurance on commonly owned property. This protects homeowners' personal assets if some gets hurt on this property and sues the HOA. Without this insurance, the injured party can come after individual owners. Individual owners can't purchase this insurance for themselves since they don't own this common area, the HOA does.

What you don't know CAN hurt you.

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