Summary

Even where homeowners characterize their claims against an Association as civil rights violations, the claims involved in the parties’ rights under the declaration, and the declaration’s attorney’s fees provisions applied.

Facts

In 2011, David Merritt, a former HOA board member, and his wife, Salma, sued their Sunnyvale HOA, Classics at Fair Oaks (Classics), as well as three of its board members. The dispute centered on the Association’s covenants, conditions, and restrictions (“CC&Rs”) involving parking restrictions at the Classics. The HOA’s parking policy requires residents to pay for and obtain a permit for each vehicle parked on the street versus in the garage of each residence. The Merritts had a two-car garage, but only parked one car inside it. They argued that they can only park one car in the garage, because Salma is disabled, and needs additional space to enter and exit the vehicle when it is parked inside the garage.
Continue Reading Owners Pay High Price of Litigation Against Association

Yes! Thankfully, if the association has not been doing so, there is a way to reduce your back-tax liability, interest and penalties.

  • Do you have parking that is rented out by the Association?
  • Do you charge different monthly assessments for those with a parking spot?
  • Do you charge a fee for a boat dock or storage of a boat, canoe or similar water craft?

Of course you do. No worries, the Wisconsin Department of Revenue, like most states, would be happy to perform an audit for you.  Unfortunately, they will then also seek to collect all of the taxes due. 
Continue Reading Parking Spaces – Should Your Association be Charging and Collecting Sales Tax?

Picture this: an urban condominium complex and neighboring apartment building, built by the same developer, with one parking garage between the two. The condominium owners were led to believe that the garage belonged to them as a common element; however, just before turning over control to the unit owners, the developer/declarant secretly recorded an easement over 40 parking spaces for the benefit of his neighboring apartment building (essentially, giving an easement to himself). The developer sat tight for a few years, and then asserted his easement rights out of the blue. 
Continue Reading Turnover From Developer—Unfair Easement