A very important responsibility of an HOA Board is to provide services and maintenance to the community, which are paid solely from assessments or special assessments. However, some HOA Declarations contain a cap on how much assessments can be raised each year without membership approval. Read the entire article……………………………….
How to Solve HOA Issues Before Legal Action Is Needed (CA)
As a homeowner in an HOA community, you may have noticed your neighbor frequently making noise with their lawnmower early in the morning. This could be a simple complaint to bring up at the next board meeting, or it might escalate into something more serious that would require legal intervention. Read the entire article……………………………….
Conflict with Neighbors? How Your HOA Management Can Help (CA)
Neighbor relations are a significant part of what makes home ownership enjoyable… or not. Some people have a good rapport with their neighbors, while others may not even be familiar with who their neighbors are. However, due to the pandemic, people are paying attention to their neighbors and community now more than ever, for better […]
Conflicts Kill Business Judgment Rule Protections
Conflicts of interest can strip board members of the protections they otherwise might have under the business judgment rule. A case involving a California HOA recently drove that point home (Coley v. Eskaton). Read the entire article……………………………….
Annual Disclosure Checklist (CA) 2021
It is vital to the operation of an association to comply with California disclosure requirements. To ease this process, SwedelsonGottlieb updates its disclosure checklist each year. Stay up to date on new disclosure requirements and help ensure compliance for your association. Read the checklist (PDF)………………………………………
What to Do if There is HOA Slope Movement/Failure (CA)
Southern California is known for the warm weather, relaxing atmosphere, and in certain cases, picturesque Homeowners Associations (HOA) situated high enough to see the ocean. However, what happens when those picture-perfect HOAs have a slope movement/failure? What should the Board of Directors (Board) do? Read the entire article……………………………….
Assembly Bill 1584: Board Authority to Amend CC&Rs to Comply with New Law on Rental Restrictions (CA)
Whether you liked or disliked the provisions of last year’s AB 3182, we are very pleased to inform you that Governor Newsom signed “clean up” Assembly Bill 1584 (AB 1584) into law on September 28. AB 1584 now expressly allows a board of directors to unilaterally amend the association’s governing documents to comply with AB […]
Records Retention Policy – Generic (CA)
This document is meant to provide general guidance on the types of records listed below and does not purport to include all categories of Association records. We encourage community associations to work with their counsel to answer specific questions unique to the Association’s document storage and retention practices. Read the entire article……………………………….
AB 1101 Signed! Welcome Clarity to HOA Financial Protection Requirements (CA)
AB 2912, passed in 2018, provided welcome protections to homeowners in HOA’s from fraudulent activities by those entrusted with managing an HOA’s finances. AB 2912’s protections included: 1) requiring Associations to secure fidelity bond insurance in an amount equal to or exceeding current reserves, plus three months of assessments; 2) requiring a monthly review of […]
Why Proper Maintenance & Winterization is Important for Your Property (CA)
In Southern California, we may not get temperatures as low as our northerly or easterly neighbors. However, there is still important maintenance and winterization that should be strongly considered. Proper maintenance and winterization can help avoid costly repairs, keep your equipment functioning and improve efficiency of your home. Read the entire article……………………………….
AB-38, Fire Prevention, and New Escrow Disclosure Requirements (CA)
Sometimes you do not even know there is an issue until someone raises a question. Special thanks to Ryan Gesell from Cline Agency and to the managers that asked Ryan if Civil Code §§ 1102.6f and 1102.19, as added by AB-38 (2019), apply to homeowners’ associations; teaser alert: they do! Read the entire article……………………………….
Law Review: HOAs may not retroactively prevent short-term rentals (CA)
The California Legislature is committed to addressing the state’s housing crisis. For example, local municipalities (and HOAs) may not outright ban secondary units. Also per SB 9, single-family residential zoning has essentially been upgraded to multi-family zoning (with restrictions). Read the entire article……………………………….
New Civil Code Section 5450 Provides Requirements for Teleconference Board and Member Meetings During Government Declared States of Emergency (CA)
On September 23, 2021, Governor Gavin Newsom signed Senate Bill No. 391 (“SB 391”) into law as urgency legislation. SB 391 adds Section 5450 to the Civil Code, which allows California common interest developments (“CIDs”) to conduct board and member meetings via teleconference if gathering in person is unsafe or impossible because the CID is […]
How To Correctly Fix Broken Amenities Within a Homeowners Association
An HOA board member is a person who devotes a great deal of time and resources to the community. You are not a passive observer destined to pass judgment without doing anything. Being in a position of power involves certain responsibilities. As one of your duties, you are responsible for ensuring your association is run […]
AB 502 Signed! Board Elections by Acclamation Available to All California HOAs
There has been disagreement within the homeowners association (HOA) legal community as to whether California law permits uncontested director elections to be carried out by acclamation, especially in situations where the HOA’s bylaws contain language permitting such a procedure. Read the entire article……………………………….
Due Process Regarding an Association’s Disciplinary Procedures (CA)
Rules are meant to be followed. However, some homeowners unknowingly or knowingly violate these rules. What should an association do under these circumstances? First and foremost, every association should have clear disciplinary and enforcement procedures (i.e., due process) regarding the handling of a homeowner’s violation of the association’s governing documents (Civil Code section 5850(c)). […]
Due Process Regarding an Association’s Disciplinary Procedures (CA)
Rules are meant to be followed. However, some homeowners unknowingly or knowingly violate these rules. What should an association do under these circumstances? Read the entire article……………………………….
Traits of Great Community Association Managers
The time, effort, and attention that goes into creating an environment that feels welcoming and connected is what makes people love where they live. Having a community association management company that truly understands the ingredients that make up the best recipe for success can make all the difference in how well a property runs, as […]
Homeowner Associations May Not Enforce Post-Purchase Short Term Rental Bans Against Their Members (CA)
Many owners of homes who want to rent their properties on a short-term basis within homeowner associations (HOAs) in California got a huge boost from a recent decision by the California Court of Appeal in a case regarding the emerging trend of HOAs changing their governing documents to prohibit short-term renting. Read the entire […]
HOA Initiatives to Build an Eco-Friendly Community Association
Environmental consciousness is at the forefront of everyone’s minds, and homeowners are even beginning to make purchasing decisions based on how green a property or community association is. To retain more residents and help reduce long-term costs, many Aurora, Colorado, HOAs are introducing initiatives that will help them be more eco-friendly. Read the entire article……………………………….
Brown v. Montage at Mission Hills (CA)
In the case of Brown v. Montage at Mission Hills (Aug. 20, 2021, Nos. E074341, E075762) ___Cal.App.5th___ [2021 Cal. App. LEXIS 694].), the California Court of Appeal, Fourth District found that a CID cannot require a rental to be for a minimum term for homeowners who owned prior to the CID adopting that requirement pursuant […]
Neighbor to Neighbor Disputes and Balancing the Liability Line (CA)
With more people working from home in the last year, you might have noticed an increase in neighbor disputes. Often, neighbors will turn to the association first to resolve the dispute. The board must determine when a neighbor-to-neighbor dispute becomes an association issue; which complaints are based merely on bad relations between the neighbors and […]
Enforcement of Short-term Rental Bans: Brown v. Montage at Mission Hills (CA)
Enforcement of short-term rental bans for common interest developments (“CID”) just got more complicated thanks to a recent California Court of Appeals decision. In the recent case of Brown v. Montage at Mission Hills (Aug. 20, 2021, Nos. E074341, E075762) ___Cal.App.5th___ [2021 Cal. App. LEXIS 694].), the California Court of Appeal, Fourth District found that […]
Common Interest Developments May Not Impose Post-Purchase Restrictions on Short-Term Rentals (CA)
The popularity of Airbnb, VRBO and other online hospitality marketplaces has led to a large increase in short-term vacation rentals (STRs). While STRs might be an owner’s dream, they can be a neighbor’s nightmare. In response, many common interest developments (CIDs) are prohibiting STRs. A recent appellate court decision, Brown v. Montage at Mission Hills, […]
How To Manage A Successful HOA Project
Residents pay a premium to live in an HOA-managed community and they expect certain returns on their investment. In addition to the obvious tasks such as keeping the community grass mowed, residents often demand capital improvement projects, such as installing a playground or constructing speed bumps. Besides keeping residents happy, these infrastructure enhancements have the […]
Before the walls come crumblin’ down: lessons that condo associations can learn from surfside, Florida condominium building collapse
On Thursday, June 24, 2021, at approximately 1:25 a.m., Champlain Towers South, a twelve-story beachfront condominium in the Miami suburb of Surfside, Florida, partially collapsed. The collapse was reported as the third deadliest structural engineering failure in United States history. Ninety-eight people were confirmed dead, only four people were rescued from the rubble. Approximately 35 […]
How Proactive Boards Can Benefit Their Insurance (CA)
While attending one of the “Zoom Rooms” at this year’s Legal Forum, a story was told about how a homeowner’s association had its insurance cancelled due to a claim. This association could no longer find coverage in preferred markets (admitted carriers, such as Farmers and Travelers) and was forced to get its insurance from a […]
5 Helpful Communication Strategies for your Homeowners Association (CA)
Communication plays a big role in managing a homeowners association. Having the right platforms helps you effectively distribute essential information to all of your members. It also encourages all members to participate in discussions and show up at important events. This article discusses the many ways to help you achieve this. Read the entire article……………………………….
How to Deal With Recalls/Board Removal in Light of Election Rule Requirements (CA)
We all remember the good old days when conducting a recall of one or more members of the Board of Directors was complicated enough, but still coexisted with the election of a new Board of Directors if the recall was successful. The timeframes in the Corporations Code and Governing Documents to conduct a Board recall […]
The Risks of California Drought on Communities and the Role of HOA’s
HOA boards are in place to ensure that, amongst other things, the community does not succumb to harsh climatic conditions. As it stands, the state of California is sitting right in the face of drought. It is gripped by extreme dryness, with some conditions being worse than the last record-breaking drought. Read the entire article……………………………….
Removal of Common Area Amenities (CA)
Asked – Many owners in the community have requested that the board of directors consider removing an old, largely unused tennis court. We have three other tennis courts in the community and the space could be repurposed for a variety of other uses. Does the board have the authority to remove the tennis court? Read […]
California Water Restrictions in 2021: What You Need to Know (CA)
As moderate to extreme drought stretches on throughout the state, California is especially impacted by lack of rain. Though there are no new usage restrictions in place locally just yet, area water districts are keeping an eye on reservoir levels and wholesalers are urging agencies to conserve water by developing their own water reduction plans. […]
HOAs vs. ADUs (CA)
Accessory dwelling units (ADUs) have become popular during the run up in California real estate values. ADUs have been touted for several benefits, including increasing housing supply, creating affordable housing options, and supporting multi-generational households.
Homeowner Association Reserve Fund (CA)
In many cases, the reserve funds are misunderstood by the members of the homeowners association, as well as the members of the Board. There are some that view the funds as a type of rainy day fund that can be used if the HOA runs low in funds, while others understand the necessity of the […]
Megan’s Law HOA Disclosures Regarding Registered Sex Offenders – Proceed with Caution! (CA)
Megan’s Law is a federal law that permits authorities to release information about registered sex offenders (“Registered Offender”). California has a database of Registered Offenders available for public viewing on the internet (see www.meganslaw.ca.gov). Searches can be done by a Registered Offender’s name, or by city, zip or within a predetermined radius of a selected […]
Homeowner Associations, Prevailing Party: Trial Court’s Call That HOA Was Prevailing Party, Although Homeowners Had Partial Success, Was No Abuse Of Discretion (CA)
In a somewhat complimentary unpublished decision to Harris v. Rojas (a Second District decision we posted on recently), the Third District in Winchester Community Assn. v. Perrotta, Case No. C085295 (3d Dist. July 20, 2021) (unpublished) had to review a discretionary “prevailing party” decision under the Davis-Stirling Act fee shifting statute by which the HOA […]
Champir Decision, Unpublished Earlier, Now Certified For Publication (CA)
In Champir v. Fairbanks Ranch Assn., Case No. D077384 (4th Dist., Div. 1 June 22, 2021) (unpublished), which we reviewed when it was unpublished in our June 29, 2021 post, homeowners received a substantial fee award for prevailing against HOA under a Davis-Stirling Act fee shifting provision. We can now report that this case was […]
Miami Condo Collapse Raises Questions of California Liability for Dangerous Property
The horribly tragic Miami condo collapse raises questions about liability for dangerous property in California. The legal theory that covers injury from dangerous property is called premises liability. In other words, I have been thinking about who is responsible for this horrific condo collapse that has taken so many lives, and who would be liable […]
Homeowner Associations, Mediation: $318,426 Fee Award To HOA Prevailing On Encroachment Issue Was No Abuse Of Discretion (CA)
HOA, in Country Glen Oak Park Homeowners Assn. v. Garrett, Case No. B303220 (2d Dist., Div. 6 July 6, 2021) (unpublished), won a case to require removal of a pool equipment encroachment by homeowners as well as $820 in compensatory damages. The trial court then awarded HOA $318,426 out of a requested $323,579 in attorney’s […]
Hidden Damage – Life, Death, and Legislation?
When we first wrote on this topic twenty years ago, hidden damage—a cancer that can severely affect buildings but remain out of sight for decades—was primarily an economic problem. Community Associations found themselves deep in debt when the cost of repair of accumulated, but hidden, rot, corrosion, and other water damage, greatly exceeded cash reserves. […]
Why Are HOA Dues Vital For Your Community?
Homeowners Association or HOA is an organization that provides rules and regulations for homeowners. The association also maintains the property values of a neighborhood. To afford these maintenance services, there are Homeowner’s Association dues. HOA managers work to keep your neighborhood appealing. Read the entire article……………………………….
Tips for Boosting Member Engagement in Your Community (CA)
Involvement from community members is the cornerstone of quality HOA management. However, boards often struggle to increase participation from homeowners. Ironically, less engagement from community members is often a sign that association management is going well. Read the entire article……………………………….
No Abuse Of Discretion In Trial Court’s Determination That Plaintiffs Were Prevailing Party, Resulting In Fees Award Of $112,340 (CA)
In Champir v. Fairbanks Ranch Assn., Case No. D077384 (4th Dist., Div. 1 June 22, 2021) (unpublished), plaintiffs sued homeowners’ association for breach of the CCR’s stemming from association’s decision to install traffic lights at a location not approved by a majority of its voting members. Plaintiffs also asserted causes of action for trespass, nuisance, […]
Skyrocketing Construction Costs Leave HOAs to Cope with Underfunded Projects (CA)
Over the past four years, skyrocketing construction costs have created various forms of havoc throughout the construction industry, to the surprise of many HOAs in need of project work. The increases have taken on various forms. In 2017-18, a strong economy and a demand for housing fueled a labor shortage, showing an overall increase of […]
How to Fight a California HOA (Homeowner Association) Architectural Committee and Win
While the Board of a Homeowner Association (HOA) in California has wide discretion to act on behalf of its members through its architectural, landscape and other committees and to either fine you, send you a violation notice or require you to take actions which may be expensive, you have options to fight an unjust arbitrary, […]
The Main Duties of a HOA Vice President
Want to make your neighborhood a better place? How about trying for the role of vice president of your HOA?As vice president, your most important job is to support the president. As a vital member of your homeowner’s association, you strengthen your ties to your community while honing your leadership skills. Read the entire […]
California is Reopening – But What Does That Mean for HOAs?
As of June 15, 2021, Governor Newsom terminated the executive orders that created the Stay-at-Home Order and the Blueprint for a Safer Economy. These orders have been replaced with and superseded by a new State Public Health Officer Order of June 11, 2021 (“Current Order”). Read the entire article……………………………….
Court of Appeals Holds that HOAs Do Not Have a Duty to Provide Onsite Parking to Invitees (CA)
The Court of Appeals recently ruled in Issakhani v. Shadow Glen Homeowners Association, Inc. (2021) 63 Cal.App.5th 917, that homeowners associations do not have a duty of care to provide onsite parking to invitees. In that case, a pedestrian was struck by a car when jaywalking across a five-lane highway at night. The pedestrian was […]
Effective Communication During a Construction Defect Claim in the New Normal (CA)
Effective communication within a homeowners association is always important. Once an association brings a construction defect action against the builder, communication and cooperation among the board, community association manager, and the construction defect attorney become essential. However, with the outbreak of COVID-19, communication and cooperation regarding construction defects will most likely remain permanently changed. Read […]
5 Rights You Need To Know As A Condo Owner (CA)
Owning a condo in the city is a dream for many. And while it does come with a ton of perks, if you’re a new condo owner, you might not know some of the rights that you have. It’s important to know these things so in case of a dispute, you know where to stand. […]