Progressive Fines
Two questions:
Our HOA has a fine policy that reads like this: First notice, no fine. $25 after 2 weeks, $50 after 4 weeks, $100 after 6 weeks, and $100 every 2 weeks until resolved. Let’s call that a “progressive fine policy. In view of ARS 33-1803, I do not see that that is addressed, but it seems to assume only one fine for any violation — and not progressive fines for any violation that remains outstanding. Are progressive fines allowed in Arizona HOA’s? SECOND QUESTION: If a homeowner disputes a violation notice and the CCRs say that the board must set up and hold a dedicated meeting within 30 days to allow the homeowner to plead his case, but then the board fails to meet that CCR obligation, does that mean the violation notice is nullified?
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Fish 7
The laws address the ability of association to fine only as “reasonable”. Reasonableness is in the eyes of the beholder and subjective. Basically, the association get to decide reasonableness unless challenged in court then the court get to define reasonableness of the fine situation.
The law defines a due process for the citing of violations which the association must comply with whether a fine is applied or not. You have 21 days to contest any cited violation and request a hearing before the board. You also have the choice to determine if that hearing will be held in executive session or open session of the board. If you invoke your right to a hearing no fine can be applied until that hearing is held. The cited violation remains valid until rescinded by the association. The decision of the board is final unless challenged in court.
Whether any of this process is right or even fair is a totally different subject.
Dennis