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TimB4 (Tennessee)
Posts: 21,061
Posted:
In a different thread, CathyA3 wrote the following:

Quote:
Posted By CathyA3 on 11/04/2022 4:47 AM

Nobody expects board members to be lawyers, but IMHO being able to read legalese well enough to know when to call the professionals for advice is an essential skill. The CC&Rs and bylaws are legal documents written in legalese, and understanding what they say is basic. Yeah, it can be tough at first - but the more you do it and the more questions you ask, the better you'll get at it.

Another of our regulars (Barbara?) once commented that many people are unaware of the extent to which community associations are regulated by law. Directors have to understand this if they want to do their jobs well.

It's been over 10 years since I first posted a thread on how to read and interpret statutes (laws). I thought it would be a good idea to bring it up again.

First and foremost, if your Association is involved in existing or pending legal action, spend the funds and seek legal advise and/or representation.

I've provided the following to assist (in no particular order):

Nolo Press, How to read a Statute

How to read a Judicial Opinion: A guide for New Law Students

1
A GUIDE TO READING, INTERPRETING AND APPLYING STATUTES
From Georgetown University Law Center

Statutory Interpretation: General Principles and Recent Trends From the Congressional Research Service

Wikipedia Statutory interpretation

I will also add a post from the earlier thread. It's from MaryA1, who is missed:

Quote:
Posted By MaryA1 on 11/09/2010 8:09 AM

I might add, that one thing omitted from the "how to read a statute" are the phrases:

1) "notwithstanding any provisions in the community documents", which mean no matter what the community docs say, the state law rules, and
2) "unless otherwise stated stated in the community documents" (or any such "unless" statement referring to the community documents) which means the community documents trump the state law


MichaelT21 (Arkansas)
Posts: 462
Posted:
This is a good thread.

This thread was spurned off of my comments about reserve study. Let's practice the information provided in the first post:

RCW 64.34.380(3) states "Except as provided in RCW 64.90.080 and 64.90.545, unless doing so would impose an unreasonable hardship, the association shall update the reserve study annually. At least every three years, an updated reserve study must be prepared and based upon a visual site inspection conducted by a reserve study professional."

Thus, I'm curious what impact RCW 64.90.080 and 64.90.545 have on our association. It appears that either of these two RCWs may ovveride 64.34.380(3).

I look up RCW 64.90.080:

"(1) Except for a nonresidential common interest community described in RCW 64.90.100, RCW 64.90.095, 64.90.405(1) (b) and (c), 64.90.525 and 64.90.545 apply, and any inconsistent provisions of chapter 58.19, 64.32, 64.34, or 64.38 RCW do not apply, to a common interest community created in this state before July 1, 2018.

(2) Except to the extent provided in this subsection, the sections listed in subsection (1) of this section apply only to events and circumstances occurring on or after July 1, 2018, and do not invalidate existing provisions of the governing documents of those common interest communities. To protect the public interest, RCW 64.90.095 and 64.90.525 supersede existing provisions of the governing documents of all plat communities and miscellaneous communities previously subject to chapter 64.38 RCW."

At this point, I get confused, and go turn on the college football game and watch football.

This is why attorneys were invented!

AugustinD
Posts: 1,027
Posted:
Part 1, Identifying the HOA/COA Statutes That Might Apply To a Given HOA/COA
Find a listing of the real property statutes in the state where the HOA/COA is located. In the case of Washington state, these appear at:

https://app.leg.wa.gov/rcw/default.aspx?cite=64

Three statutes seem relevant:
RCW 64.34, the Washington Condominium Act
RCW 64.38, Homeowners' Associations
RCW 64.90, Washington uniform common interest ownership act.

Part 2, Identifying Whether A HOA/COA Statute Applies to One's HOA/COA
The first step in identifying whether statute xyz applies to a HOA/COA is to proceed to the "applicability" section of the statute. For example, MichaelT21 cites Washington statute RCW 64.34 above. The full statute appears here:

https://app.leg.wa.gov/RCW/default.aspx?cite=64.34

Note that the title of the statute is "Condominium Act." Right away anyone who resides in a non-condo HOA should be skeptical of the applicability of this act. MichaelT21 residents in a single family home HOA and appears not to be a condominium. Still, let's read the "Applicability" section and make sure this statute does not apply.

The Applicability section states it applies to condominiums yada. What is a condominium? Now we need to go to the definitions section of RCW 64.34. There "condominium" is defined as follows:

"Condominium" means real property, portions of which are designated for separate ownership and the remainder of which is designated for common ownership solely by the owners of those portions. Real property is not a condominium unless the undivided interests in the common elements are vested in the unit owners, and unless a declaration and a survey map and plans have been recorded pursuant to this chapter.

From prior history posted by MichaelT21, I feel confident his SFH HOA is not a condominium. Hence RCW 64.34 is not going to apply.

How about RCW 64.38? RCW 64.38 has a lengthy applicability section. See https://app.leg.wa.gov/RCW/default.aspx?cite=64.38.095

Let's assume MichaelT21's HOA
-- was created before July 1, 2018.
-- has not amended its governing documents to make 64.90 applicable

Whence 64.38 applies to MichaelT21's HOA, with the caveats given in 64.38.095 that a few sections of RCW 64.90 will apply even to MichaelT21's pre-July 1, 2018 HOA. Let's note these sections here:
(a) RCW 64.90.095;
(b) RCW 64.90.405(1) (b) and (c);
(c) RCW 64.90.525; and
(d) RCW 64.90.545.

Part 3, Finding HOA/COA Statute Sections Relevant To One's Question
MichaelT21 is interested in what Washington statutes require for reserve studies. He now knows RCW 64.38 applies to his HOA, and a few sections RCW 64.90 also apply. He proceeds to the table of contents of RCW 64.38:

https://app.leg.wa.gov/RCW/default.aspx?cite=64.38

He looks over the contents and sees RCW 64.38 has several sections that talk about reserve studies. He peruses these quickly and sees it is possible his HOA may be exempt from a statutory requirement to perform a reserve study. He sees it is also possible that his HOA is subject to a number of statutory requirements for its reserve study.

MichaelT21 then reads carefully the four sections of RCW 64.90 cited above that also apply to his HOA, including of course the citations within these four sections that refer to other sections of RCW 64.90. In particular, he notes that two (RCW 64.90.525 RCW 64.90.545) of the four sections speak at length about reserve studies. All that these two sections say about reserve studies does apply to his HOA. Furthermore, he sees that RCW 64.90.405(1)(c) cites RCW 64.90.080 (1). The latter section indicates that any provisions of RCW 64.38 RCW that are inconsistent with {64.90.405(1) (b) and (c), 64.90.525 and 64.90.545} do not apply to his HOA.

To say more about what Washington statutes say about reserve studies at MichaelT21's HOA would require more information from him.

Part 4, Aug's View of When One Should Give Up Trying to Parse Statutes
This is an advanced topic. For one, law school results in students going through exercises like the above many times, over three years. Learning takes place during these exercises. Eventually one's head no longer explodes as soon as one sees multiple citations in a statute. Eventually various possible points of confusion, conflicts and seeming (or on rare occasions, real) contradictions will resolve themselves in logical ways. On the other hand, if a layperson (like a HOA/COA owner or director) does not have the time to read the statutes carefully, take notes, and ask questions, then I think the layperson should give up and go to the HOA/COA attorney.

I think that preparing for a meeting with a HOA/COA attorney can be more fruitful if one at least tries to become acquainted with what is in the relevant statutes. For one thing, the HOA/COA attorney will spend less time explaining basics to his/her clients, billing one's HOA/COA at rates that are not cheap. Directors are not paid. I think no board should feel guilty for turning over all questions to the HOA/COA attorney. Hopefully the HOA/COA attorney realizes that often his/her role is that of an educator.

TimB4 (Tennessee)
Posts: 21,061
Posted:
Michael,

You and Aug were already discussing what laws apply to your WA HOA in your thread.

This thread was intended to be more for general learning vs. specific issues.
WendyM5 (North Carolina)
Posts: 1,522
Posted:
I bought a book about hoas from the. NC bar. It's written for the layman and stated that political signs are allowed unless hoa docs say no political signs are allowed.

People might want to check their state Bar association for good books like this

vis ta vie
TimB4 (Tennessee)
Posts: 21,061
Posted:
Yep, Fairfax County in Virginia published a guide for HOAs/COAs.

Plain language and, I think, very straight forward.

As you pointed out, there are good resources out there - just need to do a little research to find them.
Good idea to check with the Bar Association.

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