Homeowners’ associations (HOAs) and condominium owners’ associations (COAs) help protect the characteristics of many communities. They also help ensure that local property values don’t slump due to the bad habits of a few property owners.
Those serving as members of an HOA or COA board of directors typically want what is best for their community. They may have to update existing bylaws and enforce rules when property owners don’t behave appropriately. Sometimes, mistakes on the part of those serving on the local HOA/COA can lead to controversies and disputes with property owners. A HOA/COA board could face legal action including recall attempts to elect other officials or litigation as a result.
What mistakes by those serving on HOA/COA boards make that may lead to such controversies?
Holding closed meetings
The HOA /COA board has to comply with Florida state regulations, which include open meeting rules. Technically, any interested community members should be able to attend meetings and give feedback on proposed rules or decisions for the community. When HOA/COA boards hold private meetings without notifying community members first, they may open themselves up to allegations of misconduct that could lead to legal action brought by local residents.
Embezzlement and self-dealing
Some people like the idea of leveraging their role on the HOA/COA board of directors as a means of improving their economic circumstances. Doing so might lead to legal controversy if they hire a business that they run. Issues can also arise in scenarios where people can claim that HOA/COA board members embezzled outright by taking resources or funds that belong to the community or the HOA/COA.
Inconsistently enforcing rules
One final common mistake that members of an HOA/COA board may make entails inconsistent enforcement of community standards and regulations. Attempts to enforce a rule after ignoring it previously can lead to controversy and may diminish the ability of the board to enforce those regulations in the future. To retain legal authority, the board typically needs to consistently enforce rules regardless of who stands accused of violating them.
In some cases, it may be necessary to secure outside assistance when enforcing community standards or responding to disputes with local property owners. When HOA/COA board members avoid small but impactful mistakes, they can help preserve the authority of a HOA/COA and the character of a community.