HOAleader.com - Tip of the Week - January 30, 2015
Published: Fri, 01/30/15
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Retroactive HOA Changes: Can You Penalize Owners Who’ve Followed the
Rules?
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In this week’s tip, we discuss whether you can implement change at your HOA
retroactively. This is a new issue for many of our experts. “I’ve never seen a
condo statute that specifically stated that you couldn’t act
retroactively,” muses Robert Galvin, a partner at Davis, Malm & D'Agostine
PC in Boston who specializes in representing condos and co-ops. “But if you
did, I don’t think you could enforce a bylaw or rule.”
But what about that long-standing association concept that owners should
know that the rules might change? “In Florida, condo documents and HOA
covenants are contracts, and they have amendment provisions and are freely
amendable,” explains Joshua Krut, a partner at Weiss Serota Helfman Cole
Bierman & Popok, a law firm with offices in Ft. Lauderdale and Coral Gables,
Fla., that represents about 250 associations. “That’s a contract you enter
into when you buy, and the contract can be changed by a vote of the owners,
often by a majority or supermajority. And those amendments have been upheld
by Florida courts.
“That said, a couple of areas have been considered grandfathered in
Florida,” says Krut, which means changes must be going forward, not
retroactive. “Most important are rental restrictions. They’re
grandfathered in, and if there are any limitations put on renting, they can
apply only to future buyers or owners who buy into the amendment. And some
courts say grandfathering also applies to pet restrictions.”
Melissa Garcia, a partner at Hindman Sanchez, a law firm in Arvada, Colo.,
with about 1,600 association clients, also says grandfathering might be
wise. “In Colorado, if people have a shed and sheds have always been allowed,
and then the association says no sheds are allowed, there’s a statute says
owners can’t be forced to remove them if it’s been over a year that it’s been
erected or they got approval,” she explains. “But other than that, there’s
no law that prohibits you from applying something retroactively. Owners
bought in knowing these rules can be amended if a certain percentage of
homeowners approved or a certain process is followed.
But the question isn’t just a legal one. It’s a political one, too. Learn why,
and see what how our experts address two hypothetical scenarios involving
retroactive changes, in our new article:
http://www.hoaleader.com/members/1129.cfm
Best regards,
Matt Humphrey
President
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Recent articles posted at HOAleader.com:
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Can You Implement a Change to Your HOA Governing Documents Retroactively?
Legislatures can on occasion enact laws and make them retroactive. But can
you do that at your HOA? Here we find out.
Click here to read full article:
http://www.hoaleader.com/members/Can-You-Implement-Change-Your-HOA-Governing-Documents-Retroactively.cfm
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Next Stop: Facebook! 3 Tips for Creating and Managing an HOA Page
In this week's tip, we set you on the right course if your HOA is considering,
or already has, set up a Facebook page. Here's how to ensure it's a big
success.
Click here to read full article:
http://www.hoaleader.com/members/Next-Stop-Facebook-3-Tips-for-Creating-Managing-HOA-Page.cfm
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Seven Tips for Setting Up a Facebook Page for Your HOA
Looking to set up a Facebook page for your condo or homeowner association?
Here are seven tips for creating and managing it so it doesn't backfire.
Click here to read full article:
http://www.hoaleader.com/members/Seven-Tips-for-Setting-Up-Facebook-Page-for-Your-HOA.cfm
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Accommodation Requests Under the Fair Housing Act: Best Practices to Avoid
Discrimination Claims & Lawsuits
Webinar On Demand
Is your HOA or condo board seeing more and more requests for exceptions to
your pet rules? What about requests for specific parking spots or
deviations from your architectural rules? Afraid saying no to any request
will trigger a costly and stressful discrimination complaint against your
HOA? Take charge of the process for handling requests for accommodations!
Get on-demand access to this in-depth webinar led by two experts in HOAs,
condominiums, and fair housing challenges. (Recorded on Jan. 22, 2015.)
Click here to read full article:
http://www.hoaleader.com/snip/184.htm
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Owners Ready to Serve, But HOA Board Refuses to Fill Vacancies
A HOAleader.com reader asks if it's OK for his fellow board members to refuse
to appoint two ready and willing owners to fill vacancies on the board. In
this week's tip, we tackle whether that may be a breach of a board member's
fiduciary duty.
Click here to read full article:
http://www.hoaleader.com/members/Owners-Ready-Serve-But-HOA-Board-Refuses-Fill-Vacancies.cfm
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