There’s an upcoming blog series which will be taking a deep dive into the intersection of law and history, so I thought I’d post today about a more practical topic. Let’s get started about a subject most have experienced at some point in safeguarding their biggest investment—their home.
Homeowners’ Associations (HOAs) can play a crucial role in maintaining the aesthetics and harmony within residential communities. However, like any organization, HOAs are not immune to potential issues and challenges–and at times bring more disharmony and contribute to other issues in the subject neighborhood. In this blog post, we will explore some common problems that arise with HOA enforcement actions, highlighting the importance of adhering to legal boundaries and respecting residents’ rights.
HOAs as Nonprofit Corporations: HOAs are nonprofit corporations, which means they must operate within the framework of laws governing such entities. Failure to follow these laws and corporate formalities can jeopardize their standing and ability to enforce restrictive covenants. It is essential for HOAs to understand and comply with the legal requirements to maintain their authority.
HOA Board Overreach: One of the most significant concerns is when HOA boards overstep their legal authority. This can manifest in various ways, such as enforcing rules that are not grounded in legal authority or unilaterally changing covenants (or a de facto change by interpretation or enforcement posture) without proper authorization. Such actions can undermine the trust and confidence of residents, leading to disputes and potential legal challenges.
Selective Enforcement and Discriminatory Practices: Another issue that arises is the selective enforcement of covenants, where certain residents are targeted while others are overlooked. This can occur in a myriad of ways, but three notable examples are board leadership looking out for themselves or their friends, the targeting of residents disfavored by the board, or turning a blind eye when a business such as a rental agency owns multiple homes in a neighborhood (as this likely means such business has multiple votes in an election for the Board). This inconsistency can breed resentment and create an atmosphere of unfairness within the community. Additionally, discriminatory enforcement practices, such as favoring one viewpoint over another or violating residents’ free speech rights, can further exacerbate tensions.
Violation of Constitutional Rights: HOAs must be cautious not to infringe upon residents’ constitutional rights. This includes respecting the Second Amendment rights of residents, ensuring freedom of religious expression, and refraining from violating federal, state, or local laws and ordinances. Overzealous enforcement actions that restrict these rights can lead to legal challenges and damage the reputation of the HOA.
Antenna and Satellite Dish Regulations: HOAs often regulate the installation of antennas and satellite dishes to maintain the community’s visual appeal. However, it is crucial for these regulations to comply with federal laws, such as the Federal Communications Commission’s (FCC) Over-the-Air Reception Devices (OTARD) rule. HOAs should be aware of the legal boundaries and ensure their regulations and enforcement actions align with the law.
Landscaping and Clothesline Restrictions: HOAs may impose landscaping restrictions to maintain uniformity and aesthetics. However, it is essential for these restrictions to comply with local laws and regulations. Similarly, clothesline restrictions, which are illegal in some states due to their impact on energy conservation efforts, should be carefully reviewed and revised if necessary.
HOAs should serve an important purpose in maintaining the quality and harmony of residential communities—but the devil is often in the details. HOAs with poor leadership, shoddy practices, and inequitable or outright illegal enforcement will do more harm than good and expose the subdivision to decay, distrust, and declining property values. It is crucial for HOAs to operate within the boundaries of the law and respect residents’ rights. By avoiding overreach, selective enforcement, and discriminatory practices, HOAs can foster a positive environment that benefits all residents. 
