Tag Archives: HOA Neighborhood

Stop Building Crap!

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That’s the power phrase that came out of an interview with Jon Harris, who owns a condominium in Denver’s Five Points neighborhood. Five Points leaders tried for decades to turn around its image as a run-down part of the city. Back in the 20s and 30s it was the home of some of the best jazz clubs in the country. But as Denver expanded in all directions of the compass, Five Points was subjected to typical inner city decline.

Still, neighborhoods can be reborn and Five Points leaders have worked hard to try to make the neighborhood a showplace once again.

The problem is that they mandated higher density ‘affordable’ housing which meant developers were ordered to create Homeowner and Condo Associations. To encourage developers to build such high density housing the city loosened zoning regulations and inspections.

Condo owner Jon Harris desperately wanted to buy a quality home and live in a neighborhood rich in Colorado history. Now, he says, every condo in his complex is beset with construction defects. Meanwhile, the State Legislature is trying to pass a bill that would limit lawsuits against builders.

Harris says the legislation is wrong. The only right answer is for builders to “STOP BUILDING CRAP!”

Most of us could agree with that.

(link to KDVR-TV story on construction defects)

 

1st Amendment Win for Orthodox Jewish Congregation

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guest blog by Deborah Goonan

Just this week, a Colin County, Texas judge threw out an HOA’s case against owners of a home used as an Orthodox Jewish synagogue. The legal battle began in 2013, when an owner by the name of David R. Schneider independently sued the Congregation Toras Chaim and the owners of the dwelling, Mark and Judith Gothelf, for allegedly violating restrictive covenants specifying “single family” use. The HOA intervened in the case in 2014, shortly after Mr. Schneider was elected to the Board of Highlands of McKamy IV & V HOA.

The Liberty Institute assisted the Gothelfs and the Congregation free of charge. Haynes and Boone LLP also represented the Congregation.

Of course, the media and Liberty Institute are reporting the victory for the small Jewish congregation. They are now permitted to continue using the Gothelf’s home as a synagogue for their small congregation. The Judge dismissed the case primarily based upon two applicable Texas laws: The Texas Religious Freedom Restoration Act (RFRA) and the Religious Land Use and Institutionalized Persons Act of 2000 (RLUIPA). Both statutes invalidate restrictive covenants against use of real property as a religious institution, upholding First Amendment rights.

Reading the lengthy Motion for Summary Judgment filed by attorneys for the defense, available from the Liberty Institute news release, it was obvious that Mr. Schneider, representing himself, and the HOA, represented by their attorney, had no chance of prevailing. In addition to the obvious violations of religious freedom rights, there were hundreds of pages of case law to back up at least a half dozen affirmative defenses, and transcripts of depositions of Rabbi Rich, Mark Gothelf, Mr. Schneider and two other HOA Board members.

So what exactly happened in Highlands of McKamy IV & V HOA?

Well, it was another typical story of HOA conflict. From 2011 – August 2013, before the Orthodox Jewish Congregation moved the location of their gatherings from one home in Highlands of McKamy to another one across the street from David Schneider, there had been no complaints from neighbors or the HOA.

It often takes just one person, in this case Mr. Schneider, to instigate conflict in an HOA. And that conflict is almost always about some alleged or trumped up violation of a restrictive covenant or Board enacted rule. And quite often – as was the case this time – the restriction itself is unconstitutional at the state or federal level, or both.

Based upon testimony supplied by the Rabbi, Mr. Gothelf, Schneider and two other Board members, the reader recognizes the typical hallmarks of HOA conflict:

·      A ringleader (Schneider) that organizes an allegedly questionable “election” based upon proxies that are not adequately handled in an unmonitored election process

·      A Board President that pushes his own personal agenda as soon as he’s elected

·      A Board member with a history of being difficult to get along with, that has a history of suing people

·      Fellow Board members that follow the Board President’s lead

·      Questionable record-keeping and official document storage and handling practices

·      Board members that are unfamiliar with HOA law and/or their own governing documents

·      A Board that fails to heed their HOA attorney’s advice, yet that attorney is complicit in filing a case he knows has a high probability of failing

·      The tendency of a Board to keep the cost of this legal challenge a secret

·      A divided membership, resulting in angry homeowners and a Board recall attempt that is successful in removing Mr. Schneider in July 2014, but not the remaining Board members

·      Negative attention for the HOA in the local media, and by word of mouth

·      Over a year of stress and unnecessary legal expense for the Gothelfs and the Congregation

Hopefully, this will end the campaign against the Congregation, many of them neighbors in the HOA.  I certainly hope there will not be an appeal. The good Rabbi Rich is wise when he states, “We don’t view this as a victory. The victory would be when the whole neighborhood comes together.”

http://dfw.cbslocal.com/2015/02/04/hoas-case-against-dallas-congregation-tossed/

https://www.libertyinstitute.org/news

Strange but True, and Twice as Funny

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A landmark in the town of Fountain, Colorado has been stolen. It’s a relief for some but others are dismayed.

Several years ago when the Cody Driver family built their house, the neighborhood HOA required that he name his road and put up a street sign. I’m not sure what frustration led to the naming of his road, but it quickly became a landmark:

“A Dog Will Lick His Butt, But He Won’t Eat A Pickle Road”

It became a legend on the Internet. People drove from a thousand miles away to visit and get their picture taken with the sign. But it’s gone now. Somebody stole it.

(KRDO story on famous Colorado street sign)

 

 

AirBnb, A Weird New Phenomenon

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I’m biased on this subject. I have to say that out front. For many years I owned two small condos in Vail and Beaver Creek which my agent leased out to skiers on a long-term AND a short term basis. The rents were the only thing that allowed me to financially own the two properties. And they were always available to my families during ski season and during the wonderful Vail summers.

Good experiences, and bad. I did get stuff stolen. I did have the two apartments trashed. In absolutely every case the damage was done by long-term tenants. The short-term tenants were respectful of my belongings and my interior improvements and they never cost me a penny in damage. Long-term tenants were a nightmare. They stole furniture, bed sheets, draperies, silverware, you name it.

So when AirBnb came along, providing homeowners with a way to provide housing for short-term guests I was all for it. ALL FOR IT! In my experience, temporary short-term guests were more respectful, more responsible, and they helped me pay for two condos I couldn’t otherwise have afforded. And during all those years of ownership, I never once got a complaint from management. AirBnb makes sure all clients submit references and they’re constantly monitored by the service to weed out travelers or homeowners who don’t follow the rules.

Oh, but those nasty HOAs are trying to put their fists where they don’t belong. A couple in Denver’s Baker neighborhood have hoisted a banner demanding an end to the AirBnb service. And the City of Boulder has issued a couple dozen cease and desist orders against homeowners who use AirBnb to lease out their homes.

Idiocy. Absolute idiocy. If my experience is any example, you definitely DON’T want to lease your home to long termers. Those travelers who stay there just a few days are the most respectful tenants you’ll ever meet.
But maybe that’s just me.

(link to Denver story on couple trying to stop AirBnb)

 

Outrageously One-Sided Construction Defect Litigation Proposal in Florida

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guest blog by Deborah Goonan

As we gear up for the Legislative session in Tallahassee, beginning March 3, we are starting to hear the buzz about HOA-related bill proposals.

Florida HB 78, a proposed amendment to Statute 558, is among one of the most preposterous bills I have seen. Written by and for the benefit of general contractors and design professionals, the amended version seeks to substantially reduce their liability for construction defects.

As currently written, the bill proposes that owners and Associations meet difficult and costly legal standards prior to filing the initial claim. For instance, the claimant would have to provide a complete and detailed list of each instance of every defect and cite the specific code(s) violated, plus reference all pertinent spec sheets and project drawings, among other details. Essentially, the contractors are insisting that owners or Associations undertake the discovery process prior to filing the first defect claim.

Let’s say your condo building or HOA clubhouse has numerous water leaks. It would be up to your Association to hire the necessary experts to figure out the cause or causes of each and every leak, even if that means removing drywall to get to the plumbing, or removing earth from the foundation wall to look for cracks in the concrete slab. It means your HOA would have to hire an attorney to locate all of those pertinent documents that may have gone missing during the transition process. Then the attorney would have to work with experts to complete detailed reports to attach to the initial claim.

Thousands of dollars in legal costs can accumulate before the Contractor will even consider confidential settlement talks with the HOA or owners. Of course those settlements have to be confidential, so that future buyers will never know what kind of a time bomb they intend to purchase.

And if it turns out that the owners miss some hidden defects, too bad! If a judge decides that the Association is to blame for insufficient maintenance, then the HOA would be on the hook for all of the Contractors’ investigative and legal expenses! But if the Contractor turns out to be 100% to blame for shoddy construction, there is no equivalent sanction requiring that all of the HOA’s legal costs will be reimbursed. I have included a link to a Florida attorney’s blog and the bill itself below, for any skeptics among you who might think I am exaggerating.

This is the kind of legislation that, if enacted, will ensure full employment for construction defect attorneys all over the state of Florida, or alternatively, extort owners to simply pay dearly for all of the mistakes made – and corners cut – during construction.

(link to Florida HOA Lawyer Blog critique of HB 87)

(Florida HB 87 as filed)