Establishing a SubAssociation
Hello Dennis. There is talk in our HOA that a certain portion of the planned community in which I live will be sequestered into its own sub-association by direction of the HOA Board. The Board has already had the management company call for attorney RFPs who will assist with the legalities of the process. The residents are left completely in the dark with regards to all of the processes, legal or otherwise. I have been told it will never happen because it has to go to membership vote and the members will never approve such a thing. Famous last words, I think. My questions are, would this be spelled out in our ByLaws or CC&Rs somewhere straightforward, or could it be hidden in language such as 51% is required to amend the ByLaws, implying that a sub-association would necessitate an amendment? Those of us who do not want to be in a sub-association feel we need to begin to learn all we can so we can educate those around us about what to expect and how to fight the effort. Thank you in advance for any insights you may provide!
About Post Author
1 Response
Leave a Reply
You must be logged in to post a comment.
Ronda,
You and your community need to be very concerned about this effort. Association attorneys will do and say anything that an association is willing to pay then to do or say, irrespective of the legality of that action. Unless your existing CC&R’s already provide for the creation of sub-associations you cannot do that without an amendment to the recorded CC&R’s. That amendment would require unanimous consent of all homeowners, based on the 2022 Arizona Supreme Court decision in Kalway v. Cambria Farms HOA.
If the association tries to do this, please provide me a copy of your CC&R’s and I’ll guide you thru your potential options including seeking legal counsel to oppose this effort.
Dennis