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Association rules lead to homeowner march
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Gary Thompson/Las Vegas Review-Journal
Bob Robey on Monday speaks to homeowners at the Sawyer Building who gathered to protest practices by homeowners associations. » Buy this photo
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Jonathan Friedrich, who organized the rally protesting homeowners association conduct, speaks Monday at the Sawyer Building. He described the shortcomings of Nevada Revised Statute 116, the state law governing homeowners association boards. Gary Thompson/Las Vegas Review-Journal » Buy this photo
LAS VEGAS REVIEW-JOURNAL
Updated: Feb. 8, 2011 | 8:30 a.m.
Brigitte Porter was fined $3,110 by Heather Ridge Homeowners Association because the color of her driveway paint was a different shade from the previous color.
Doris Vescio of Sun City Anthem has been fined $100 a week since November for a fence that's more than 6 feet high, even though it was approved by the HOA architectural committee.
Joseph McCauley complained that the Mount Charleston Golf Estates board illegally approved a $2,500 special assessment without putting the item on a meeting agenda and under false pretenses to intimidate owners.
More than 50 homeowners fed up with community association "bully boards" gathered Monday at Sawyer Building to rally against what some perceive as abusive power, harassment and exorbitant fines.
They're calling on legislators in Carson City to introduce laws that would cap the amount of HOA fines and collection agency fees, eliminate "kangaroo courts" run by homeowners association boards and limit the mandatory arbitration requirement.
"You left your garage door open. Your garbage cans were left out. There's a brown spot in your lawn. You're guilty before you walk into the board hearing," said Jonathan Friedrich, an eight-year resident of Rancho Bel Air and rally organizer.
He spoke about the "wheel of horrors," or shortcomings of Nevada Revised Statute 116, the state law governing homeowners association boards. The state ombudsman doesn't protect homeowners; attorneys take retaliatory action against homeowners; and 85 percent of decisions in mandatory arbitration go against the homeowner, he said.
Nevada is struggling with its financial budget, educational system and unemployment rate, said Friedrich, who has volunteered to go to Carson City as an unpaid lobbyist on behalf of community association homeowners.
"If we attract people back to the state, where are they going to live? In an HOA with bully boards?" Friedrich said. "It's interesting that on the MLS (Multiple Listing Service), Realtors are advertising, 'No HOA.' What does that tell you?"
The alternative dispute resolution process administered by the Nevada Real Estate Division is broken, said Bob Sullivan, a Las Vegas attorney who represented several homeowners in cases against their HOAs. It needs "transparency and honesty," he said.
HOA attorneys and arbitrators will always opt for arbitration because they're awarded tens of thousands of dollars in fees, Sullivan said. Homeowners are forced into mediation before they can file a lawsuit.
"You've got $25,000 to $40,000 in legal fees before you step into court. It's absolutely ridiculous," Sullivan said.
The movement toward reining in HOA abuse is getting larger and more organized each year, Sullivan said. He encouraged those at the rally to run for HOA boards in their communities, but to be "passionate and fair" should they get elected and not use their power for retaliation.
Bob Robey, a Sun City Summerlin resident and rally organizer, said he wants his civil rights returned. There's no separation of power with the HOA board of directors. They write the rules, enforce the rules and issue the fines, he said.
"I see a lack of consistency that if any city hall were run like this, it would be a shame," Robey said.
Lawmakers thought they were doing homeowners a favor by writing into law that HOAs can fine someone only $100 per violation, with repeat violations up to $1,000, but lawyers weren't making enough from those fees and now run them up to $8,000 to $10,000, Robey said.
Friedrich has set up a website, www.hoa1234.com, to draw support for the homeowners' cause and keep people abreast of happenings. He said there are about 15 bill drafts in the Legislature dealing with HOAs.
He said Assemblyman Harvey Munford, D-Las Vegas, introduced a home- owners' "bill of rights" at the last Legislature and it got "trampled on" because it would hurt attorneys, collection companies and community association managers. Munford complained to his HOA when his stepdaughter's car was illegally towed from a gated community.
Patricia Taylor, president of Nevada's chapter of Community Associations Institute, said she can understand homeowners' frustrations and agrees that changes are necessary.
"We're going in the same direction, we just have different ways to attack the problem," she said.
Taylor said there's a difference between a one-time fine and continuing violations.
"Let's say the lawn is yellow. They can continue to fine you until it's corrected," she said. "If you do cap the fine, somebody will buy the fine. They'll pay the $2,000 cap and won't do the lawn."
Realtor Troy Kearns said he has to deal with HOAs every day and said "they're basically tyrannical and aggressive." The whole problem is putting people in power who don't understand the law, he said.
Contact reporter Hubble Smith at hsmith@reviewjournal.com or 702-383-0491.
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Oh WoW!
Another Board Member who say's "then sitdown and shut up!".
What a good example of "The spirit of Co-operation and not Confronatation"
Next case please - this ones over.
I am on an HOA board and the reason I am is because I thought I should get involved if I wanted a real say in how things got done. I felt I could not stand on the sidelines and piss, moan and complain about something I was not willing to be a part of, so I got involved. There are so many people that just want to piss, moan and complain, but don't want to get involved, because they are too busy or think someone else will do the job. So, someone steps up to do the job and all anyone else wants to do is piss, moan and complain that something is not right. If you want change, then get involved. If not, then sitdown and shut up!
I would agree that there are probably "bad" associations out there, but you can say that about anything. You do your homework and fight the fight. The thing is if you agreed to do certain things and abide by certain rules when you bought the house, and then you are not doing them, exactly how do you expect the HOA to get you do what you were supposed to do in the first place? Safety, protection and home value is what the HOA should be about. What happens if you don't pay your car loan? You get a penalty and are charged interest, right? That is because you agreed to certain rules and such regarding the loan. IF you buy a home in an HOA community then you agreed to certain things like CC&Rs and HOA rules. If you did not want to abide by those then don;t buy the house. I did not like HOAs and probably would still like to do without them, but I liked the house and I agreed to abide by the rules. Eliminate the bad apples, but don't penalize the good. By the way don't use the economy as an excuse to change the rules and not wanting to pay legitmate fines for things you should not have done or not doing things you should have done. Cry me a river, build me a bridge and get over it.
There is a solution for this, you mount an all out campaign against the HOA president. Make him hate every second he is alive.
Nothing illegal, just a constant pounding of lawsuits, problems, every meeting make sure it ends in screaming and yelling. Refuse to pay fines, take them to court for every little thing.
God help the person that would every pull this garbage on me, then again I was smart enough when I got my home to make SURE there were no HOAs ruling over it. When you live in an HOA, you DO NOT OWN YOUR HOME, you rent at the permission of a bully.
burkit-
You appear to have missed the entire point. It's not about reading "the fine print." NRS 116 has been co-opted by HOA attorneys. Even if every person had painstakingly read every syllable of "the fine print" in their CC&Rs before buying their home, they would have wasted their time...because NRS 116 is being used by HOAs and Management Companies to *disregard* the CC&Rs.
In the *good old days* before NRS 116, you could get an unbiased judge to interpret the CC&Rs fairly and impartially. Nowadays, you are forced to go through the NRED arbitration program, where you are guaranteed to lose (less than 9% of homeowners prevail in these arbitrations), and where you will be charged between $12,000.00 and $40,000.00 for the arbitrator's fees and the fees for the HOA's attorney.
The problem is that very often you have people who get on their HOA Boards who crave power and control over other people. They are mentally unwell, they are cruel, sadistic, and bullies. Then you throw grease on the fire with these HOA attorneys who make a lot of money by churning up lots of fights between the HOA and its homeowners.
Also, burkit, nobody is (yet) talking about *abolishing* HOAs. We are just trying to return some sanity to them.
Then again, maybe we **should** abolish HOAs altogether! But we'll leave one HOA in place, just to remind us of how much they suck. And you, Mr. burkit, can be its president and its sole inhabitant -- but whatever you do, don't open your garage door more than one inch!
-Rocker
The problem is people need to exercise their right to vote to ensure you put the proper people on a board just as you do for government. Not everyone is going to agree with Board decisions and you can recall them or vote for someone else. Fining the outrageous boards is not much a solution as much as removal. Fines of Boards of Directors are covered by the insurance unless they are found to not even use best judgement which is hard to prove. It comes down to enforcement of the existing laws and the Ombudsman's office needs to be reworked. Without an affective Ombudsman's office enforcement and addressing of the most serious issues take to long.
I'm told that in MacDonald Highlands, there is a rule you must start building a home on a lot within a year of buying the lot. I'm also told one lot purchaser was prepared to break ground - then the financial collapse hit wall street and no one would issue a construction loan.
so he started incurring the daily fines from the HOA.
The cumulative fines now exceed $300,000 -- insuring that now that banks are willing to lend again, he can't get the construction loan because of those fines.
And the HOA is as flexible as structural concrete reinforced with steel.
jr62;
I totally agree with your comment!
these natzi hoa boards need to be fined for some of their activities, what a joke.
Ted - Thoroughbred is your management company not your HOA. A vehicle can not be towed unless you receive a 48 hour notice. If not, contact the TSA and file a claim. You like a lot of other people in this forum are clueless on how HOA's work. A homeowner can not be fined unless they are called to a hearing to discuss their violation.