Homeowner Association Not Bound by Buyers’ Arbitration Agreement With Builder

Claims by a homeowner association against a developer are not subject to arbitration agreements between the developer and individual homeowners, where the claims are pressed on the association’s own behalf, a New Jersey appeals court ruled Thursday in a published decision.  The appeals court set aside an order by a Superior Court judge compelling arbitration in a suit against U.S. Home Corp. by the Greenbriar Oceanaire Community Association. A motion judge compelled arbitration of all disputes in the case on finding that the suit was brought on behalf of the homeowners. The judge rejected the plaintiff’s assertion that the claims should be viewed as belonging to the association, which never agreed to arbitrate disputes with U.S. Home.     Read the article……………

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