HOAleader Video: Are These Condo's Allegedly Big Settlements a Troubling Sign?
HOAleader.com - Tip of the
Week - October 28, 2022
A high-rise condo reportedly hit with a series of legal losses is the subject of this month's video.
The story comes from a local blogger's report that a 300-unit high-rise condo community in Dallas called Preston Tower has been sued by its owners four times in the past four years—and owners have won all four times.
That report also says owners have recovered $1.3 million, an amount that doesn't count two lawsuits in which the alleged settlement amounts aren't public.
For the sake of our question today, we'll assume all of that is true and ask whether this level of litigation—and the implicit acknowledgement of mistakes that's sent by settling—against a board is common. Or is it a sign that important functions aren't operating as they should in that community?
Click on the arrow below to hear a short clip in which HOAleader.com expert Molly Peacock, counsel at Rees Broome in Tysons Corner, Va., who has represented condos and HOAs for 16 years, and Scott D. Weiss, CCAL, a community association lawyer at Ortale Kelley in Nashville, Tenn., who represents more than 650 condos/HOA communities throughout the state, discuss whether this
community's alleged legal track record should give its residents pause, since they're footing the bill.
