Author Archives: Beanie

NEVADA – HOA foreclosure abuses may be curbed under new law

NEWS3LV.COM:  HOA foreclosure abuses may be curbed under new law
Reported by John Treanor
Posted by Tony Garcia
September 30, 2015
LAS VEGAS (KSNV News3LV) – Change is coming for Nevada homeowners, HOAs, lenders and neighbors.

There are currently 40,000 vacant homes in Las Vegas – many in or close to legal limbo.

When homeowners fail to pay HOA dues, the associations can foreclose on the property and sell it at auction, with homes going as low as 25 cents on the dollar.

But the banks still own those houses and often end up suing the new owner.

Now a law change – effective Thursday – may stop the real estate madness.

Home Owners Associations that want to foreclose for unpaid dues first have to give the banks 30 days’ notice of the foreclosure.

The hope is that will give the banks time to pay the lien and foreclose on the property themselves.

Getting vacant homes filled, without the potential suit. Read story:

NATIONAL – Federal Court in FDCPA and NCDCA case filed by aggrieved former borrower may disregard findings of fact made by state foreclosure court without implicating Rooker-Feldman doctrine

LEXOLOGY.COM:  Federal Court in FDCPA and NCDCA case filed by aggrieved former borrower may disregard findings of fact made by state foreclosure court without implicating Rooker-Feldman doctrine
Hutchens Law Firm
October 1, 2015

Attorneys representing a homeowners’ association in foreclosure proceedings filed as a result of the homeowner’s failure to pay monthly assessments may not rely on the completed foreclosure proceedings in their motion to dismiss a federal complaint filed by the former homeowner alleging violations of the FDCPA and NCDCA (North Carolina’s version of the federal FDCPA), even where the District Court may make findings of fact in direct contradiction to the findings made in the foreclosure proceedings.

In Foh v. Chase, 2015 WL 5254312 (M.D.N.C., September 9, 2015), after foreclosure proceedings were completed and the plaintiff homeowner’s residential property was sold, plaintiff filed suit in federal court against the association and the attorneys who had represented the association in the foreclosure.  The allegations in plaintiff’s complaint included: (i) statements made in the association’s foreclosure affidavit concerning service were made in bad faith because defendants knew plaintiff had relocated; (ii) despite knowing she was represented by counsel, defendants continued to mail notices directly to plaintiff; and, (iii) defendants misled plaintiff that the foreclosure sale would be postponed to allow for negotiations.  Read more:

TEXAS – Great-Grandmother Battles Homeowners’ Association Over Color of Garage Door

ABC13.COM:  Great-Grandmother Battles Homeowners’ Association Over Color of Garage Door
 “You bought the home. You paid for it, they didn’t.”
October 1, 2015

An 89-year-old grandmother is facing off with her homeowners’ association in the Glencarin subdivision in northwest Harris County over the color of her garage door

Marilyn Davis, 89, has lived in her house in the Glencarin subdivision for almost 40 years. She loves her home and takes good care of it. She’s been happy here until recently.

“It’s aggravating,” she said.

Davis is referring to an ongoing feud she’s having with her homeowners’ association over a recent paint job.

Read more:

SOUTH CAROLINA – S.C. may empower gated-community dwellers against HOAs, managers

Bluffton Today:  S.C may empower gated-community dwellers against HOAs, managers
By Sarita Chourey
Morris News Service\September 30, 2015

COLUMBIA — The volume of homeowner association complaints filed with one state regulator since January has already outpaced an earlier year, according to the S.C. Department of Consumer Affairs.

There were 40 complaints for a 12-month period ending in 2013, said Marti Phillips, deputy administrator of the S.C. Department of Consumer Affairs. There have been 65 complaints against HOAs so far since January. The top three conflicts are lack of access to records, unfair enforcement of rules, and fee disputes.

But the consumer affairs agency has no bite. “Really, authority-wise, it’s basically just voluntary mediation,” said Phillips, adding that HOA  representatives sometimes do not respond to any outreach from the agency.

“Really, authority-wise, it’s basically just voluntary mediation,” said Phillips, adding that HOA representatives sometimes do not respond to any outreach from the agency.

“There’s no teeth behind it, so to speak.”

Richele Taylor, director of the S.C. Department of Labor, Licensing and Regulation, said her agency also receives a lot of complaints, with the disclosure of documents to residents being among the chief disputes.

“People, they have an HOA, but they don’t actually understand what that means,” Taylor said. “We don’t have any authority or jurisdiction over the homeowner associations.”

Whether that should change is a topic of heated disagreement between individual property owners and business interests.

Taylor and Phillips were among the participants of a study committee Tuesday. The panel was the result of a state budget proviso and will legislative changes to the General Assembly by the end of the year. Read more:

CALIFORNIA – DA: Second alleged HOA embezzler to surrender

THE DAILY JOURNAL:  DA:  Second alleged HOA embezzler to surrender
150 fake invoices (issued) for work that was never done
Daily Journal Staff Report
September 18, 2015

A man accused of conspiring with the former manager of a San Mateo homeowners association to embezzle nearly $2.8 million is slated to turn himself in, prosecutors said Thursday.

Michael Anthony Medeiros, a 58-year-old Fremont resident, was wanted on a $1.6 million arrest warrant when, through his attorney, he agreed to appear in court Friday morning, according to prosecutors.

The surrender comes two days after Susan Marie Lambert, the former manager of the Woodlake Homeowners Association, turned herself in and pleaded not guilty to two felonies with multiple enhancements, including aggravated white-collar crime. Lambert and Medeiros allegedly conspired to embezzle millions of dollars from residents in the 990-unit condominium community.

Lambert, 64, was responsible for the association’s finances, which included an approximate $5 million annual budget, while she worked for the HOA for more than a decade. Read more:

CALIFORNIA – Big trouble in Eastlake III

San Diego Reader:  Big trouble in Eastlake III
Homeowners association battles property-management company
By Susan Luzzaro
September 25, 2015
If you live on the eastern side of Chula Vista, you likely belong to a homeowners association. The association governing Eastlake III and its 32 neighborhoods, located in the Otay Lakes area, has been a hotbed of political struggles for years.
Conflict began for the EastLake III association in 2012, when large residential developments, which were not in Chula Vista’s master plan, began to be shoehorned into the Otay Lakes area. As quality-of-life issues such as traffic and parking became aggravated and developer’s promises of amenities failed to appear, members of the association began to ask the seated board to take a stand on these issues. The association did not get involved, but 40 or 50 concerned homeowners began going to city-council meetings and speaking out about Lake Pointe and Casa Lago developments.

Then the activists began to focus on HOA issues and vied for board seats.

Association relations became so contentious in the past six months that the association had to hold two elections for board seats. Police have also been called to association meetings.

The first election, on April 8, could not be validated by ACE Inspectors, the company hired to conduct the procedure. The inspectors maintain that interruptions the night of the election and ballot irregularities impeded validation. ACE Inspectors wrote in an email to HOA president Barney Reed: “Most of the ballots/proxies were faxed or hand delivered and were never in envelopes…”  Read more:

FLORIDA – Manatee County ready to file code enforcement complaints in Snead Island neighborhood

Bradenton Herald:  Manatee County ready to file code enforcement complaints in Snead Island neighborhood
By Mark Young
September 20, 2015
MANATEE — A neighborhood feud born when Manatee County officials received a complaint about a 3-year-old girl’s swing set blocking a neighbor’s view of Terra Ceia Bay continues to fester after county investigators then discovered multiple code violations at nine homes more than a year ago.At least eight Snead Island homeowners in the affluent Amberwynd Circle neighborhood will be cited again for illegal walkways and other structures built in a conservation easement that separates homes from the bay. Manatee County code enforcement officials met with the vice chairman of the homeowners association Sept. 9 to discuss the violations.

John Barnot, building and development services director, said the meeting was scheduled to help residents understand why the issues have not been resolved since an April 2014 meeting with the county led to an approved remediation plan. Barnot said the plan should have never been approved because it did not resolve the code violations.

“What we did was to share the code with those residents in violation and we want them to comply,” said Barnot.  Read more:

FLORIDA – Orlando Metro West condo complex faces millions in code-violation fines

Orlando Sentinel:  Orlando Metro West condo complex faces millions in code-violation fines
By Mary Shanklin
September 20, 2015
Orlando’s biggest challenge with building-safety violations isn’t in a blighted area. It’s a manicured MetroWest condo community where landscapers weed and security guards check guests.The English-themed Hamptons community of 743 condominiums faces $4 million in code-enforcement fines for violations — the largest tab in the city, according to Orlando officials.

“Some of it is as much the responsibility of the individual owners as anything,” said Mike Rhodes, who oversees code enforcement for Orlando. “Obviously part of the challenge is associated with operating a property that’s that big.”

Behind the fountains and gated entry are electrical hazards resulting from exposed and broken conduit lines, ceilings split from water damage, a collapsed driveway, an eroding building foundation, excessive mold and mildew, and rotted porch railings, according to recently filed code violations.

The problems have been so severe that Orange County Circuit Judge Lisa T. Munyon earlier this year categorized units at the Hamptons as “unfit for human habitation” because of “catastrophic water intrusion damages.” Engineering reports showed 90 percent of the units showed some type of damage. In an ongoing case, the judge cited $70 million in needed repairs and ordered developers to pay the condo owners association $40 million. The association “has uncovered systemic building code violations which has caused and continues to cause catastrophic property damage,” Munyon wrote in her February judgment against Epoch Properties and Park Avenue at Metrowest Ltd.  Read more:

FLORIDA – Family battles homeowners’ association over tree roots

CLICKORLANDO.COM:  Family battles homeowners’ association over tree roots
By Louis Bolden
September 23, 2015

A local family says they have been battling their homeowners’ association over tree roots that are damaging their home.

“I’m so stressed about this situation,” Caryn Taylor told News 6.

Taylor said she’s stressed about the damage to her home. The damage to the wall in her 6-year-old daughter’s bedroom started with a small splinter, then grew into a large crack, which now spans the length of the wall and goes to the ceiling.

On the other side of the wall is a large tree. The roots can be seen above ground and appear to be growing right into the foundation.

“I’m afraid the roof is going to cave in. I mean, it’s literally pushing on this wall,” Taylor said.

In addition to the damage in the bedroom, which includes cracked marble on the windowsill, the tree roots have also affected the plumbing, she said.

One day when the toilet wouldn’t flush, her neighbor used a plumbing snake and ended up pulling a giant tree root out from the toilet.  Read more:

CALIFORNIA – Natomas couple settle long, bitter dispute with homeowner association

The Sacramento Bee:  Natomas couple settle long, bitter dispute with homeowner association
 “People do not understand the power HOAs have…”
By Hudson Sangree
September 22, 2015