SusanS9
Posts: 56
Posts: 56
Posted:
Does anyone have knowledge of success in getting the CA attorney general to act in response to homeowner complaints on clear cut rules violations by homeowner associations? (eg. bylaws, civil code, election)
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Attorney General and HOA's
Started by SusanS9 • 7 replies • 3354 views
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RogerB
Posts: 4,986
Posts: 4,986
Posted:
Susan, I have no direct knowledge but seriously doubt an state's attorney general will act on any HOA rules violations. This is the responsibility of the HOA Board, their managing agent, and when necessary their attorney.
MaryA1
Posts: 6,993
Posts: 6,993
Posted:
Susan,
Many people think the AG should act on HOA complaints but in reality it's doubtful that any AG will. HOAs are not public bodies; they are private corps. Even many of the states that do have HOA laws have failed to designate a govt agency to oversee HOAs and therein lies the problem. Homeowners have no one to turn to when the BOD fails to follow the gov docs and/or state laws. In most states, their only alternative is to file a lawsuit which is very costly. I know NV has an ombudsman and I believe FL has a designated agency to handle HOA complaints, however, from what I've heard, neither seem to be working as they should. Perhaps one day state legislators will realize the need to designate a state agency to oversee HOAs.
Many people think the AG should act on HOA complaints but in reality it's doubtful that any AG will. HOAs are not public bodies; they are private corps. Even many of the states that do have HOA laws have failed to designate a govt agency to oversee HOAs and therein lies the problem. Homeowners have no one to turn to when the BOD fails to follow the gov docs and/or state laws. In most states, their only alternative is to file a lawsuit which is very costly. I know NV has an ombudsman and I believe FL has a designated agency to handle HOA complaints, however, from what I've heard, neither seem to be working as they should. Perhaps one day state legislators will realize the need to designate a state agency to oversee HOAs.
SusanS9
Posts: 56
Posts: 56
Posted:
On CA Attorney General website:
The Attorney General has authority under Corporations Code section 8216 to intervene, in appropriate situations, on behalf of members of a non-profit mutual benefit corporation (such as a homeowners association) who are denied certain specified rights. These rights include, for example, failure to:
* Provide a member access to books and records of the corporation
* Hold regular meetings of members
* Provide annual financial reports to members
* Provide a list of names and address of members
Other complaints may involve civil disputes in which the Attorney General has no statutory authority to intervene. You may wish to contact a private attorney if your complaint involves the following:
* Dispute over services or maintenance
* Request for an interpretation or legal advice on association rules
* Billing dispute or monetary claim you may have against the corporation
* Disputes between members and the governing body involving the capacity, competence, propriety, or wisdom of Governing Board decisions
After reviewing a complaint, and if appropriate, the Attorney General may send a "Notice of Complaint" letter with a copy of the submitted complaint to the corporation. We request that the corporation responds to both our office and the complainant within 30 days.
The Attorney General has authority under Corporations Code section 8216 to intervene, in appropriate situations, on behalf of members of a non-profit mutual benefit corporation (such as a homeowners association) who are denied certain specified rights. These rights include, for example, failure to:
* Provide a member access to books and records of the corporation
* Hold regular meetings of members
* Provide annual financial reports to members
* Provide a list of names and address of members
Other complaints may involve civil disputes in which the Attorney General has no statutory authority to intervene. You may wish to contact a private attorney if your complaint involves the following:
* Dispute over services or maintenance
* Request for an interpretation or legal advice on association rules
* Billing dispute or monetary claim you may have against the corporation
* Disputes between members and the governing body involving the capacity, competence, propriety, or wisdom of Governing Board decisions
After reviewing a complaint, and if appropriate, the Attorney General may send a "Notice of Complaint" letter with a copy of the submitted complaint to the corporation. We request that the corporation responds to both our office and the complainant within 30 days.
MaryA1
Posts: 6,993
Posts: 6,993
Posted:
Susan,
Well I guess you've answered your own question! CA is the exception in many regards and this certainly is one. Now, the question is: do they live up to this code?
Well I guess you've answered your own question! CA is the exception in many regards and this certainly is one. Now, the question is: do they live up to this code?
RogerB
Posts: 4,986
Posts: 4,986
Posted:
Mary, you asked the key question "do they live up to this code?" I would love to hear from anyone who has had any sucess getting their State Attorney General's office getting invovled in a HOA activity.
DonnaS
Posts: 5,596
Posts: 5,596
Posted:
In my understanding, the A.G will only get involved with a HOA when the HOA becomes in violation with the law, not the Statutes. Otherwise, HOAs are SOL.
MaryA1
Posts: 6,993
Posts: 6,993
Posted:
I know the AZ AG will NOT take on any HOA complaints. The nonprofit corp act states: "The court may dissolve a corp in a proceeding by the AG if it is established that either: 1. The corp obtained its arts of incorp through fraud. 2. The corp has continued to exceed or abuse the authority confered upon it by law."
With regard to #2; I'm not sure that would really apply to HOAs abusing their gov docs or even state HOA law. IMO, "by law" probably means corp law. At any rate, I'm sure the AG would find some reason not to take on the case. Remember these statutes apply to ALL nonprofits, not just HOAs.
Even the CA statute limits quite a bit what the AG will get involved in. The issues are mostly ones that most HOA members would not even think of going to court over.
With regard to #2; I'm not sure that would really apply to HOAs abusing their gov docs or even state HOA law. IMO, "by law" probably means corp law. At any rate, I'm sure the AG would find some reason not to take on the case. Remember these statutes apply to ALL nonprofits, not just HOAs.
Even the CA statute limits quite a bit what the AG will get involved in. The issues are mostly ones that most HOA members would not even think of going to court over.
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