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KatrinaB1 (Alabama)
Posts: 2
Posted:
Is this Declaration or Covenant specific? I would like additional clarification on this please. My situation is the Developers just turned over the HOA to the homeowners. We recently had our annual meeting and the developers are seriously delinquent with their monthly HOA Dues and voted on new election of Board Members at the Annual Meeting. Should they have been able to vote last night? All insight is well appreciated.
GlenL (Ohio)
Posts: 5,491
Posted:
Katrina, it all depends (to use Michele's favorite word) on what your documents say. Often they are written so that the developer actually doesn't pay dues. If they don't actually owe then they can't be delinquent. If they owe then your documents would have give the BOD the power to actually suspend the voting rights of members not in good standing. If you could post the relevant sections we could give you a more informed answer.

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MaryA1 (Arizona)
Posts: 7,043
Posted:
Katrina,

While looking for the article Glen mentioned I would also suggest taking a good look at the article addressing turnover. Usually there are Class A (members) and Class B (developer) memberships. When the developer turns over control of the assn to the members he then becomes a Class A member if he still has unsold properties. At that time he would then be subject to any rules that apply to members, i.e. losing voting rights if in violation of CCRs or delinquent in assessments.

Are you sure the developer voted in the election of board members? If so, do you think their vote made a difference in the outcome of the election? Was this the transition meeting or is the developer still in control? Usually they just want to turn over control to the members and get out of there!

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