Risk Management
Washington Court Says Board Has Wide Latitude to Set Assessments
The Washington Supreme Court has ruled that an HOA’s governing documents grant the board broad discretion in setting assessments. The court also ruled that the board’s decision on assessments was entitled to substantial deference — but not because of the business judgment rule. “This is a major win for associations in Washington state and may…
States Limit Associations’ Ability to Restrict Renewable Energy
States across the country are passing legislation that forbids community associations from banning residential solar panels and charging stations for electric vehicles (EVs) in most circumstances. What do so-called solar access and right-to-charge laws mean for your clients? We talked to some experts in states that have such laws in place to find out. Solar…
Record Inspection Request Requires Rapid Response — Even if Request Rambles
Owner record requests can prove a hassle for managers and their clients, but courts clearly favor greater access to less — let alone the denial of access. An association in Michigan learned this lesson the hard way when confronted with requests that even the state Supreme Court described as “longwinded” and “often difficult to follow”…
Mixed Motives Help Sink a Resident’s Accommodation Request
If you and your clients have become hesitant to deny any request for an accommodation, a federal district court has just sent a message that denials made after a thoughtful and careful process may get more support than you’d have expected. Brenda and David Norman had lived in their home in Rancho del Lago at least six…
What Can — and Should — Associations Do About Political Displays?
Another election season is upon us, and that means political signs and flags are starting to pop up. Such displays can lead to some thorny situations for community associations. Read on to learn some of the risks associated with rules regarding political signs and flags — and how your clients can help protect themselves from…
Board Has Broad Discretion to Set Amendments
The Washington Supreme Court has ruled that an HOA’s governing documents grant the board broad discretion in setting assessments. The court also ruled that the board’s decision on assessments was entitled to substantial deference — but not because of the business judgment rule (Surowiecki v. Hat Island Community Ass’n). “This is a major win for…
Communication Is a Crucial Skill for New Managers
Many community association management firms are reaching outside the traditional pool of candidates and bringing on managers with no experience in the industry. This approach can work — but only with proper support. “Letting people new to the industry just hit the ground running is where we’re seeing companies have trouble,” says Katie Anderson, CEO…
Insurance Coverage Can Turn on Full Disclosure
Many associations are taking a second look at their insurance coverage these days. That makes this a prime time to remind them that omitting potential legal claims or other so-called “material” information can come back to bite them. A California HOA learned this lesson the hard way association when a court found it concealed important…
State Supreme Court Has New Spin on “Residential Purpose”
We’ve covered several cases over the past couple of years where state courts found that an association’s residential use restriction prohibited short-term rentals. But now the South Dakota Supreme Court has held otherwise. That court concluded that the definition of the term “residential purpose” includes short-term rentals. “This is a different interpretation than I’ve seen…
Why a Federal Court OK’d Association’s Denial of Accommodation Request
If you and your clients have become hesitant to deny any request for an accommodation, a federal district court has just sent a message that denials made after a thoughtful and careful process may get more support than you’d have expected. The court sided with an association that denied an owner’s request for a second driveway as…