If you ever wonder why we are having so many problems in residential America, all you have to do is follow the bouncing ball. The trail will lead you to a number of issues that almost every mandatory membership development in every state faces. When you look at what is happening and then go back to what these associations were supposed to be, and think about all the platitudes spread around the country like manure in flowerbeds, the stink will be unavoidable. The flowers that are growing are not for the benefit of the owners but are being plucked by the special interests.
Jim Lane joins us On The Commons. Jim is a homeowner and activist in North Carolina where he has spent time trying to educate homeowners and has lobbied to have homeowner friendly legislation enacted in NC. His group is called Coalition for Homeowner Protection and Reform of Homeowner Association Laws We talk to Jim about some of the issues and the problems and the current laws in NC. One of Jim’s main concerns is that there really is nowhere for homeowners to turn for help when they find themselves in the crosshairs of the association. He points out that although the legislature has enacted laws allowing the homeowners some access to books and records, the state has not provided an enforcement mechanism other than costly litigation. We also discuss what needs to be done and why the HOA system, as it is currently configured, is NOT working FOR the homeowners.
Have you noticed how all sense flies out the window when an involuntary membership homeowners association is involved? All of a sudden we fear anything that is not part of that uniform look and feel of a kontrolled kommunity. A different shade of blah can topple an entire neighborhood, an unapproved garden hose, dusty mailboxes, flags, rose bushes and pudgy pooches are all a threat to property values. An addition that doesn’t quite konform to the existing architectural guidelines will no doubt turn the neighborhood green with envy.
Oh, get real!
Joining us On The Commons this week are Maria and Sam Farran. The Farrans weren’t about to believe all the nonsense they were told. They did their homework, knew the rules and the laws and decided to fight back. After years of court room drama, they won their cases and were awarded attorney fees and court costs. However, there was a snag. You see, in the process, their HOA ran out of money and went bankrupt. But there is a happy ending after all. As Maria says; “We used to be a corporation that ran a neighborhood, we are now a neighborhood that runs a corporation”. I won’t ruin it for you so tune in and find out how they got their money and what happened to the association. You’ll love it.
How did they do it? Well, look for their new and improved governing documents On The Commons and yes, you may use them as a template if you too want to return common sense and a sense of community to your neighborhood.
If you live in an HOA, and who doesn’t these days?, you are required to pay your share of the common costs in the association. That is only fair. And it is also only fair that you be told how your money is being used. Unfortunately part of the common expenses will sometimes include some pretty hefty costs for litigation. The association may end up in court, and the members of the association will have to cover those costs. But none of this is news and in fact attorney fees should be budgeted for. What appears to be more prevalent these days, is that as part of a settlement agreement, there is a confidentiality clause. Here is how this tends to work; the HOA Board is sued, ends up settling the case and as part of the settlement they agree to pay a sum of money as long as the homeowner agrees to a gag order. The owner is not allowed to talk about the terms of the settlement, if they do, they have to repay the money and start all over again. I have heard of some really nasty conditions. The owner agrees thinking they’ll get that monkey off their backs and be able to get on with the rest of their lives. The problem is that the settlement doesn’t always end the dispute. But beyond that, the association is using your dues to cover up their misdeeds and you are not allowed to know about it or any of the details. The money you paid them to fix the roof is now buying your neighbor’s silence.
Bill Davis and John Cowherd join us On the Commons this week. They are both attorneys who represent homeowners against in litigation against their HOAs. Bill, from Texas, has been on the receiving end of the HOA litigation so understands what to os like to be in the crosshairs of an out of control board. John, a Northern Virginia attorney, switched his practice where he worked in real estate law to representing homeowners. John also has a blog called Words of Conveyance . His latest post is on point for this week’s show topic. We talk about gag orders, why they are used and whether they should be used.
It was all so simple in the beginning. Build new houses in a residential association, give the HOA the authority to tax the homeowners and the responsibility of providing the services normally provided by the municipal government. The local municipality still collects the full tax but no longer provides the services. Is it fair? Is it right? Probably not but it was simple.
Was it then necessary to take what was once an easy to read one or two page “contract” known as the Declaration of Covenants, Conditions and Restrictions and just keep adding more covenants, more restrictions, more conditions and empowering association boards and managers to become more intrusive and more abusive? When the world was given a mere 10 Commandments that covered everything they needed to lead a good life, why do American homeowners need a tome of do’s and don’ts on how to live in their own homes? Haven’t we gone too far?
David Kahne joins us On The Commons this week. David, an attorney in Houston, Texas has represented homeowners in their legal battles with their homeowner associations. He has been active in trying to get homeowner friendly legislation enacted in Texas. He has presented in numerous homeowner sponsored conferences. The most recent conference held in Houston was just a couple of weeks ago. Participants discussed the issues and talked about possible fixes. We’ll talk to David and learn about the conference, legislative successes from the last session and we’ll find out what is on the agenda for next year’s session. One of the greatest benefits of meeting as a group is the benefit of brainstorming. We will hear about some very interesting ideas and comments that came out of this conference.
Why do some HOA horror stories grab the headlines, go viral, get written up in news outlets around the world, discussed on radio shows and highlighted on local and national TV shows while others, equally horrible, get ignored? We never seem to learn as the stories repeat themselves, over and over and over again. Flag flaps, children play equipment in private backyards that seem to irk some of the less tolerant in the ‘hood, non conforming trashcans, unapproved garden hoses, bird feeders, discrimination, discrimination and more discrimination against anyone who does not conform to some secret acceptable standard. There are hundreds of these stories every single day yet we only ever hear about a tiny handful of them. Why?
Ward Lucas joins us On The Commons this week. Ward is an award winning print, TV and radio journalist who, over his career have covered stories of war while fighting a war to protect his property in a homeowners association. His experience and expertise were put to great use when he wrote Neighbors at War, the Creepy case Against your Homeowners Association. The term ” Neighbors at War” has caught on and is used often in HOA stories. Ward also maintains a blog by the same name. All his posts give an estimated reading time. We’ll find out why. We’ll also ask him how to capture the attention of the mainstream media and what we, as homeowners with all sorts of different backgrounds, can do to become more effective communicators. I always have fun talking to Ward so tune in and join in the fun. Oh, and as an added bonus, we’ll hear all about his latest book, due out soon.
Community – that wonderful word that conjures up images of people who have interests and ideals in common, people who live in a neighborhood where they become friends and family. It takes a while to build a community, to build trust and to get to know each other, to learn to overlook the petty and silly stuff and focus on the good things about the “community”.
But in this fast paced, modern world of ours where “community” is manufactured, an outsider is hired to ensure uniformity and compliance and tolerance, acceptance and individuality are frowned upon, the only things owners have in common appear to be the duty to pay whatever they are ordered to pay and to “obey the orders”. In these artificial “communities”, the descriptive words that more readily come to mind are “war zones”. When the problems are petty and ridiculous, as they often are, a more sensible approach to dealing with them may be some form of adult supervision.
Adam Buck joins us On The Commons this week. Adam is an attorney in Scottsdale, Arizona who has started a new company called Homeowner Legal Services. Adam says he has represented both homeowners and associations in disputes that have gone to court. His new company is a membership based dispute resolution venue. The association signs on and agrees in the event of a conflict, to mandatory, binding arbitration. This membership extends to the members. Everyone agrees to appear before a retired judge and abide by his or her decision. We talk to Adam about the details of how this would work. We also discuss time lines. For some of the pettier and sillier “disputes” where “common sense” might suffice for a reasonable resolution, this may well be one answer.
The views and opinions expressed in this interview are those of the guests and do not necessarily reflect the official policy or position of On The Commons.
Opinion: It is my belief that much of what goes on in associations is petty and stupid. However, there are some very serious problems in associations that need to go beyond “common sense” solutions and set legal precedent for how to protect the rights and property of the owners. In these instances binding arbitration should never be used. Shu.
Millions of dollars unaccounted for, a neighborhood divided, lawsuits, shoddy repairs on some units, shunned members, bully boards, depreciating property values, lies, finger pointing and a thoroughly unpleasant place to live. It must be a) a Bentley Little novel, b) a horror movie, c) an isolated incident or d) one of many dysfunctional homeowner associations across the country?
If you guessed d, give yourself a pat on the back. The stories, the details, the incidents just keep repeating themselves over and over again from the Atlantic to the Pacific and all points in between. Is it something in the water or do they clone incompetent people and put them in charge of YOUR home and your most valuable asset?
Nila Ridings joins us On The Commons this week. Nila has been right in the middle of a fight to save her home, her sanity and her health. She is a frequent guest blogger and writes extensively on these issues. She often hears from other homeowners who are having problems and looking for help. Not surprisingly, finding someone to explain the problems and offer help is a bit like looking for a needle in a haystack. Today Nila tells us, from her personal experience, what it is like being trapped in the crosshairs of an HOA that simply won’t let go. She also tells us how some of our best intentions can cause those we love some serious headaches. And she shares some valuable advice.
Over the last several decades, residential America has undergone a radical transformation. Gone is the concept and practice of the owners enjoying sovereignty over their own homes. No longer is the local municipal government the closest layer of government. Although no one has actually signed away any constitutionally protected rights, the very structure of association housing has placed obstacles in the full use and enjoyment of those rights. All these changes occurred without the consent of the governed.
It was time to change that! Association Evaluation, LLC decided to ask the very people stuck in these developments to share their thoughts, concerns and their experiences. In a survey available online for about a month, over 300 people responded. And how did homeowners respond to those questions? The results of that survey have been tabulated and are available, in their entirety, no editing and no summaries, and are available for your inspection on the Coalition for Consumer Housing Policy in the Public Interest web page.
Deborah Goonan joins us On The Commons this week. Deborah, is a prolific blogger and commentator about all things to do with homeowner associations, condominiums and co-operatives. In addition to being a contributing writer for blogs and several online venues, she has her own blog called Independent American Communities. Deborah was one of the people who worked behind the scenes on this survey right from the very beginning. She explains why they asked the questions and talks about the responses they got. Apparently not everything is as rosy and carefree in residential America as we have been led to believe. There are some serious issues and some very serious problems. One of the big problems is the lack of choices for housing consumers. There are few surprises in the results. The comments are consistent with what we have been hearing from the real people who have to live in the forced mandatory membership developments.
Dr. Solomon has had his finger on the pulse of association atrocities for a number of years. He has heard from homeowners who were confused, scared and at their wit’s end. They have talked to him, cried on his shoulder and written him long emails. Through it all, he has developed a keen sense of what people are going through and what the effects are on their health. He understands the terror some homeowners live under and he also has unique perspective of where it all started and where it is headed. And the news is not good.
Dr. Gary Solomon joins us On The Commons this week. Dr Solomon is a retired Psychology Professor and a psychotherapist who has been studying the physical, emotional and psychological effects of stress and abuse on HOA homeowners. He has written a number of papers discussing the problems and published an e-book called HOA Crisis in America that is available for free. His research continues and he is committed to making a difference in the HOA arena. He explains why we are having these problems. It all comes down to money and the never ending supply that is being syphoned out of owners’ accounts.
With municipal mandates for association controlled housing, life in the American suburbs has been transformed. As intrusive and controlling as associations can be, at least housing consumers, with a few caveats, still have the ability to live where they choose to live.
But if you thought government’s reach into your personal life and home has gone too far, hold onto your hat, because you ain’t seen nothing yet.
Dr. Bonner Cohen joins us On The Commons this week. Dr. Cohen is a senior fellow at the National Center for Public Policy Research, a senior policy advisor with the Heartland Institute, a senior policy analyst with the committee for a Constructive Tomorrow, and an adjunct scholar at the Competitive Enterprise Institute. He is a published author and a speaker. Dr. Cohen explains how a new HUD regulation will further government intrusion in our jurisdictions and our neighborhoods. The HUD regulation, in its typical governments is broken down and explained in an article titled: Attention America’s Suburbs You Have Just Been Annexed. For an in-depth discussion on this topic, tune in and listen to Dr. Cohen expand on the article.