HOA Board is not legal?

Started by TerryT8 • 5 replies • 185 views

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TerryT8 (Texas)
Posts: 2

Posted:

My HOA borad is down to one member, The president has not call for an election in two years, He has been collection dues. He does not have a management company. He has been making the residences send money to his own account, He ha threats to sue the residences if they don't pay.
What can we do?

DeanJ
Posts: 1,786

Posted:

If he is putting the funds in his personal account, the first thing I would do is contact IRS and ask them to investigate income tax fraud.
Then I would contact and attorney to be followed by the police.

RussellB5 (Montana)
Posts: 23

Posted:

I would not pay dues and see what he tries.

First I would see some legal advice from your local courthouse. NOTHING about this is legit.

How many homes?

What does he do with the money?

MelissaP1 (Alabama)
Posts: 13,836

Posted:

First a HOA does not need an MC to operate. It can be amongst its members only. Your HOA is incorporated. That gives right to collect dues. Not paying will get you a lien. A lawsuit bad idea but it can happen.

Your still in a HOA and must pay dues. Get involved if do not like how things are or step out of the way.

Former HOA President

ElleN (Idaho)
Posts: 4,420

Posted:

TerryT8, is this a subdvision of single family homes? Or a condo?

What year was the HOA's declaration recorded? Look at the Declaration for a county clerk stamp on it, giving the date, typically on the first page or last few pages.

Quote:

Posted By TerryT8 on 12/19/2023 9:10 AM
My HOA borad is down to one member, The president has not call for an election in two years, He has been collection dues. He does not have a management company. He has been making the residences send money to his own account, He ha threats to sue the residences if they don't pay.

First, fact: If your Declaration requires the payment of dues to pay for maintenance of common areas, then owners still must pay dues. The Declaration is a contract between all owners and the HOA corporation, enforceable in court.

Second, do you have a group of people willing to serve on the board? How well do you know TPC 209? How about BO 22? How about your bylaws? Start reading all of these.

Link for TPC 209: https://statutes.capitol.texas.gov/SOTWDocs/PR/htm/PR.209.htm

Link for BO 22: https://statutes.capitol.texas.gov/Docs/BO/htm/BO.22.htm

KerryL1 (California)
Posts: 14,550

Posted:

Also read in your Bylaws about meetings of the members, i.e., owners. In most states' corporation codes thees are requirements for owners to call their own owners meeting ("Meetings of the members"). one Bylaws even permit Owners to call a meeting and elect directors when the exiting Board refuses to act.

The thing is, you need others who feel as you do, who're willing to read your Bylaws and relevant TX statutes, and you need candidates to fill the vacant positions. How many directors do your Bylaws say you must have?? If there are a few of you who're worried about the prez, dues, and board vacancies it might be worth the money to see if you can consult with an HOA attorney for advice about how to proceed.

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