Many planned communities throughout the Tempe area are regulated by homeowners’ associations (HOAs). HOAs help maintain order and community aesthetics, but they often need help when community members refuse to follow the rules.
An attorney can help an HOA from inception onward. When planning a community, an attorney can help create bylaws and covenants, conditions, and restrictions (CC&Rs). If community members refuse to abide by the rules, an attorney can send demand letters, explore alternative dispute resolution methods, or even initiate more formal legal action. In some cases, attorneys can help HOAs take uncooperative community members to court.
Receive a private legal review from our HOA lawyers for boards and communities by calling Halk, Oetinger, and Brown at (602) 759-9205.
What Can an Attorney Do for HOA Boards and Communities in Tempe, AZ?
An attorney can help create an HOA for a community and represent the HOA during legal disputes with community members.
Filing Articles of Incorporation
An HOA is a legal entity that is created by filing Articles of Incorporation with the Arizona Corporation Commission (AZCC). These articles contain various documents regarding the HOA’s structure, rules, and functions.
Creating Bylaws
Bylaws are the rules that apply to how the HOA board operates. While these rules do not necessarily apply to community members, they remain important because they provide integrity and structure to the HOA board’s daily operations.
Bylaws often revolve around how board members are elected or removed, voting rights, how meetings are conducted, and how the board handles legal disputes.
Creating Covenants, Conditions, and Restrictions
The HOA rules that apply to residents are called covenants, conditions, and restrictions (CC&Rs). These rules govern what residents can and cannot do with their property and how they may use community amenities.
Violations of CC&Rs may lead to penalties, including fines or even formal legal action, depending on the circumstances.
How Can an Attorney Help HOAs Through Legal Disputes?
Attorneys may represent Hoa during various legal disputes with community members.
Demand Letters
When community members are delinquent with fees or the payment of fines, our HOA lawyers for boards and communities can issue a demand letter explaining the amount owed and that payment should be made immediately. The letter should also explain that if payment is not made, further legal action may be taken.
Alternative Dispute Resolution Methods
Many HOA boards would rather avoid more formal legal action, and an attorney may help them pursue alternative dispute resolution. Maybe it is possible to negotiate a payment plan with someone who is delinquent with HOA fees or fines. Maybe something like mediation would help resolve the issue.
Enforcement and Collections
When a homeowner owes a significant amount to the HOA and refuses to pay, an attorney can help enforce the rules and collect the debt. After a demand letter, more action may be required.
Your attorney may seek to place a lien on the homeowner’s property, which can cloud the title and make it difficult for the homeowner to sell unless they pay the HOA. In more serious cases, the HOA’s attorney may initiate foreclosure on the property as a last resort to collect money owed.
Litigation
Although HOAs and community members would rather avoid litigation, it is sometimes the most effective or only way to ensure compliance from a community member and enforce the HOA’s rules.
Litigation may come up when a homeowner repeatedly violates the rules, creating problems for the HOA and drawing the ire of other community members.
How an Attorney Can Protect HOA Boards and Communities
Not only can a lawyer initiate legal action on behalf of the HOA, but they may also defend the HOA against actions taken by upset homeowners or community members.
Communicating with Community Members
If a homeowner within the HOA seeks to take legal action, the HOA’s attorney should handle all communications with the homeowner. By doing so, the attorney may help resolve the matter before any formal legal action is taken, thereby saving the HOA time and effort and averting a more serious legal problem.
Reviewing Suspect Rules
One way to protect the HOA is to review bylaws and CC&Rs to make sure that they comply with federal and state law. If certain rules violate the law, they may be invalid, and homeowners could take action against the HOA for attempting to enforce them.
If certain rules do not comply with the law, the HOA’s attorney can help modify them to be compliant.
Navigating Legal Procedure
When taking legal action against a community member or defending against action taken against the HOA, navigating proper legal procedures is crucial.
If you attempt to enforce the rules or handle a legal dispute in a way that does not comply with legal rules and procedures, the HOA may be in deeper trouble. The HOA’s lawyer should be able to navigate these legal channels smoothly to avoid further issues or complications.
When Should an HOA in Tempe Hire a Lawyer?
An HOA should have a lawyer from day one. The attorney helps create the HOA by filing the necessary paperwork with the state and can assist in drafting rules and bylaws that comply with federal and state laws.
Can an HOA Association Sue Homeowners in the Community?
Yes. When homeowners make alterations to their property that violate HOA rules, create a nuisance in the community, or even damage community property or amenities, the HOA can sue them.
How Can an HOA Collect Fines or Fees from Delinquent Homeowners?
The HOA’s attorney can send a demand letter explaining that if payment is not made, further legal action will be taken. If payment is still not made, the attorney can have a lien put on the homeowner’s property or even take them to court.
How Do You Know if Your HOA Rules Are Compliant with State and Federal Law?
To make sure that your HOA’s CC&Rs and bylaws comply with state and federal laws, you should have a lawyer review them. It is a good idea to have your HOA’s attorney review the rules whenever there is a significant change to state or federal law.
Speak to Our Tempe, AZ HOA Attorneys for Boards and Communities
Receive a private legal review from our HOA lawyers for boards and communities by calling Halk, Oetinger, and Brown at (602) 759-9205.
