Posted:
Hello fellow Texan;
I don't know what part of this state you are in, I'm in east Texas about halfway between Dallas and the East border of Texas.
I am also belatedly getting information on HOA and what can and can't be done. This site is great for learning. A copy of your current Bylaws should be obtained from your HOA office.
You need to visit your county's Land Records. There you will find the actual documents that will state your financial and membership obligations. The Article of Incorporaton, the CC&R's, any rules, and the actual Delcaration the developer had to file with the state to develop the subdivision. You should also be able to see the reason the "other sections" do not need to pay assessments.
Find where the Law Library is in your city (if you have a courthouse) If not in your city, perhaps in one close to you. You can get a copy of the Vernon's Civil Statues of Texas covering Non-profit Corporations. I have recently downloaded (by email) a copy my county's law library had. YOU WILL NEED "TITLE 32-CORPORATIONS," "CHAPTER 9-NON PROFIT," THEN "ARTICLE #1396". This covers more than HOAs and is 192 pages long. For HOAs you need ARTICLE 1395 - 2.01 up to Art. 1396 - 4.06. These are the latest updates for the Texas law. This outdates the photocopies of the law I had previously. Neat - didn't cost me a penny, which I would have paid hadI been in the law library itself.
One important thing I have learned this weekend by reading the actual law coverning HOAs. Like Roger says, the term "dues" belong ONLY to membership in an organization. Texas Civil Statues uses the term "assessments" for revenue received from members in the corporation, who have a financial obligation, to support the HOA. This may seem to be a small thing, but it is very important when it comes to enforcement of the CC&R's (and what is written on your deed), Which term is used on your documents? Example: in Texas, your Board of Directors can foreclose and resell your property for non payment of "assessment(s)" even if the property has been home steaded! However, they can't do this for "dues" even if the dues are for the support of the HOA. This principle is also in the governing of your HOA. You need to read the documentaton for your HOA.
In the HOA I am in, the term "dues" is used in our documents. Only since 1994 was a road "assessment" added.
We are also supposedly a "member managed association". Now I have just learned, by reading the actual law, if a statment to this effect is NOT SPECIFIED ON THE ARTICLE OF INCORPORATION, then the Board becomes its "manager" by default.
Oh well, "ignorance is no excuse of the law."
Because HOA's fall under Civil Law, the only recorse is taking your Board to court. Be careful about entering into this type of action. Be sure you have all the documentation you need beforehand, as chances are you may end up with not only your legal fees, but court costs for both you and your HOA.
Good luck. Keep reading this site. You will not only learn a lot, but you will learn the questons you need to ask. Nikki T.