Tag Archives: HOA Nightmare Stories

Florida Lawyers Urge Governor to Protect Their Income

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You’ve just got to be suspicious when a bunch of lawyers start urging lawmakers to protect their ability to sue builders.

There’s no question that builders need to take responsibility for defective construction. But remember that lawyers automatically take at least third of any money they get from successfully suing contractors. Heck, Las Vegas lawyers were reaping almost 100% of all money collected from builders. That’s why the FBI raided 100 Homeowner Associations and has filed corruption and organized crime charges against 24 people, including a number of lawyers. The Las Vegas scandal is so huge that many more lawyers, judges, and public officials will be charged in future months.

But, in any event, after a lawsuit there’s not much money left to actually cover the cost of repairs.

But lawyers in Florida are lobbying Governor Rick Scott to veto HB 103, a bill that would revise the relationship between builders and homeowners. Instead of allowing lawyers unfettered access to legal fees, a better idea is to work out a state mandate to hold builders financially responsible for repairs, without running it through the financial scam known as “legal fees.” Homeowners who suffer through defective construction need to be awarded 100% of their losses, not what’s left over after the legal fees are paid.

Ward Lucas
Author of
Neighbors At War: The Creepy Case Against Your Homeowners Association

HOA Embezzler Gets a Year in Prison

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I honestly love it when I can mention the name of somebody actually sent to prison for embezzling from a Homeowners Association. While I strongly suspect that embezzling is endemic, hitting almost every HOA everywhere, most embezzlements are never discovered. The structure of Homeowner Associations (UCIOA contracts) almost urges embezzling by HOA officers. And they do. People who seek office in unpaid positions, are mostly there for a reason. They’re either ego-driven, or short-term do-gooders and reformers, or they’re looking for a chance at personal gain. Personal gain means, in most cases, embezzling. I may be criticized for my cynicism, but you don’t become a cynic without good reason.

Most cases of embezzling HOA officers don’t get any news media coverage so there’s no way to track all the convictions. But here’s one that did: Kristy Jenkins (KRISTY JENKINS!) is going to prison in Idaho after pleading guilty to felony theft. It’s a plea agreement, so she’s getting a bargain sentence. Just one year. That probably means an actual confinement of eight months.
The prosecutor says Kristy stole at least $20,000 from her neighbors, which is a very low estimate. But Kristy Jenkins is a piece of slime, just like every other thief in Homeowners Assocations across America. And she has tons of company. If every HOA embezzler was sent to prison, there wouldn’t be room for anyone else!

Not many news media people report HOA embezzling stories, but compliments are due to The Republic in Boise, Idaho. Here’s a link to their story.

http://www.therepublic.com/view/story/db913dce806e4fdc9354f83bfb57b157/ID–Homeowners-Association-Embezzlement/

Ward Lucas
Author of
Neighbors At War: The Creepy Case Against Your Homeowners Association

Here Come the HOA Lawsuits

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As predicted in this blog, the Homeowner’s Association Movement is going to die a long painful death, taking down with it the fortunes, the home equities, the retirement savings of a whole lot of innocent people. On second thought, perhaps the word “innocent” is being too innocently thrown around, here, because most people living in HOAs know that they’ve allowed board officers to become little nazis as they patrol the neighborhood for violations. If you know about a problem, and you allow it to grow, lawyers are going to be digging deep… into your deep pockets.

There was never any question that Trayvon Martin’s family was going to sue George Zimmerman AND his HOA for permitting Zimmerman to patrol his neighborhood with a gun.

Now, there’s word of another gun incident: a 65 year HOA president in the upscale John’s Cove community in Orange County. “Upscale,” by the way means “soon to be downscale” as soon as the lawsuits are filed.

This HOA president is Michael Hudzik, who yells and curses at people as they drive to fast out of the gated community. Yelling and cursing wasn’t enough for one dad and his son who were planning on going jet skiing. This time Hudzik pulled a gun and ordered the dad and his son out of their car.

Neighbors won’t talk to the media. They fear retaliation from Hudzik. Well, neighbors, you elected this guy. Now, you may as well get out your checkbooks because your negligence is going to cost you a bundle.

While we’re on the subject of negligence, how about The Ole at Lely Resort in East Naples, Florida? Their bylaws they say that children under 18 are not allowed to play outside!  Really!  Isn’t there a federal law against that? And wouldn’t you think lawyers are now patrolling the streets looking for potential clients?

Finally, there’s the taxpaying veteran in the Sweetwater HOA in Jacksonville, Florida. His HOA has been fining him daily for displaying an American flag outside his door…exactly the kind of behavior that someone named “Bush” signed into law not too long ago. There’s a legal settlement in the wind. But somebody’s going to have his pound of flesh from that HOA.

Ward Lucas
Author of
Neighbors At War: The Creepy Case Against Your Homeowners Association

The Lawsuits Against Homeowners Associations Begin

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The daughter of a California woman who was stabbed to death has filed a wrongful death lawsuit against the Glenoaks Townhomes Association. Her mother was a member of the HOA. Her husband is the alleged suspect.

The lawsuit claims the HOA and its security company knew that she had a restraining order against her husband when she moved into the gated community, and her neighbors had an obligation to protect her.

California juries are known for awarding outrageous amounts in outrageous lawsuits. This one will bear watching. Lawsuits are going to spell the death of the HOA as we know it.

http://encino.patch.com/articles/man-shot-in-gang-related-attack-homicide-victim-s-family-sues-homeowner-s-association

Ward Lucas
Author of
Neighbors At War: The Creepy Case Against Your Homeowners Association

Nevada State Senator Upset at Blogger Coverage Of “Suicides”

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Nebraska Senator Mike Schneider is asking the governor to call a special session of the legislature to pass new laws against Homeowner Association fraud. He says he’s been reading a blog on the Las Vegas scandal and he doesn’t like the kind of comments being made about suicides committed by suspects indicted in the HOA scandal. (Hmmm, I wonder which blog he’s talking about!)

He does note that out of the first ten suspects named in the massive federal investigation of Las Vegas HOA corruption, four committed suicide. One of the suicides was committed by lawyer David Amesbury. Investigators say he hanged himself from a rafter in his brother’s barn. This was after he was severely beaten and his knees crushed on a street inside a gated Nevada HOA. His suicide seems horribly suspicious. His family doesn’t believe it. This blogger doesn’t believe it. In fact, this blogger is predicting more “suicides” among the increasing number of indicted suspects, especially those who work out plea bargains with prosecutors.

The “suicide” of lawyer Nancy Quon is another weird one. Her whole story is weird. Anyone just reading a few facts about Quon’s story could easily appreciate a new Clancy novel about the case. It’s great fiction, just great fiction.
But Senator Schneider says this kind of publicity is bad for Las Vegas because people think “the Mob” is back in the city killing witnesses. He thinks a new law against HOA corruption would improve the city’s image. He decries the fact that rigged HOA elections are egregious and that they amount to a legalized shakedown of insurance companies.

Senator Schneider is right about one thing. There absolutely have to be some legislative changes to fight this kind of corruption. But he doesn’t take into consideration is that Las Vegas HOAs are not unique. The same kind of corruption is endemic in HOAs across America. The very structure of Homeowners Associations puts them in a position where corruption by board members, managers and attorneys is almost encouraged. There are no double-checks, there are no controls, there’s nothing to stop corruption in most of these gated neighborhoods.

It’s sad, but any new state law against Homeowner Association corruption is simply not going to work. There are already statutes against organized crime. That’s what’s allowing the U.S. Attorney to bring these HOA indictments in the first place. The only new law that would have any kind of impact is a federal law that gives homeowners back their access to the Constitution’s Bill of Rights. The Constitution created all sorts of double checks on government excesses. But people who buy HOA homes sign away their access to the Bill of Rights. Give those rights back, take away the power of HOA boards to arbitrarily fine, sue and foreclose on homes for minor violations and you might actually see some real change.
BTW, credit is due reporter Nathan Baca of KLAS-TV 8 News in Las Vegas for interviewing Senator Schneider and getting this story out to the public.

Ward Lucas
Author of
Neighbors At War: The Creepy Case Against Your Homeowners Association