possible expiration of CC&R's and what happens to the Association

Our HOA's CC&R's expire at the end of this year. An extension will be voted on at our annual meeting this fall.

There is conflicting advice regarding the repercussions if they expire:

a) Everything will remain the same (with the exception of no CC&R restrictions and elimination of the ARC Committee)
Common areas - pool/clubhouse/tennis courts - will continue to be used by the membership
Annual dues will remain the same

b) The entire Association will basically 'go away' along with the association dues. No clubhouse/pool, etc. and any business the corporation does will be illegal.

Anyone have experience with CC&R's that have expired?

Thank you,
Lynn

Yes, they do expire. They're very old and I realize
Most nowadays continue unless they are voted down.

Just wondered if someone has had cc&rs expire and how the
then operates. Collects dues? Maintains common areas? Etc?

A rewrite was in the works and sabotaged by a group
who wants no cc&rs. Too long a story to go into.

CC&Rs allow for amendment, re-write, extension etc anytime before they expire at end of year. Right now we are hoping for an extension
of the existing ones and then a re-write or amendment
can be done afterwards.

If they expire there is confusion about what happens
to the HOA. Some say HOA is still intact and dues
don't change - common areas such as pool, clubhouse
and tennis courts are still available as usual. There would just be no
ARC Committee as there would be no CC&Rs to enforce.

Others say if there are no CC&Rs then it is no longer an HOA
No more dues, no common areas, etc.

I was just hoping to find someone who might have experienced
this first hand.

Okay, one more time. Our CC& R's have an expiration date....it is the last day of this year. It will take 55% of the owners of lots to extend them until 2025. They can be rewritten or amended or annulled at any time prior to expiration.

We are hoping they will be extended at our annual fall meeting. However, there are many that do not want them and if the 'complacent' members don't pay attention and 'forget' to vote, they could go away.

An attorney just hired by the board said 'If the CC&R's are not revised or extended, there will be no Association. If the corporation continues to do business after the CCR's expire, that continued operation may be considered ulta vires acts which mean that they are illegal or beyond the power of the corporation.'

We had received different information from another attorney who said the assn dues would remain in addition to all common areas, etc. So, who to believe?

That's why I continue to ask if anyone has experienced this situation (expiration of CC&R's) and if/how the association continued afterwards.

Re: the CC&R's 'running with the land'...That is correct, until they expire. Ours were written in the dark ages, and do not automatically continue as most do.

Thanks all,

Hi Lynn ... Here is what you are looking for probably. It is section 94.626:

http://www.leg.state.or.us/ors/094.html

94.626 Corporate dissolution of association. (1) If a homeowners association is at any time dissolved, whether inadvertently or deliberately:
(a) The association automatically continues as an unincorporated association under the same name.
(b) The unincorporated association:
(A) Has all the property, powers and obligations of the incorporated association existing immediately prior to dissolution;
(B) Shall be governed by the bylaws and, to the extent applicable, the articles of incorporation of the incorporated association; and
(C) Shall be served by the members of the board of directors and the officers who served immediately prior to dissolution.
(2) A separate association is not created when an association is reinstated after administrative dissolution under ORS 65.654 or again incorporated following dissolution. The association automatically continues without any further action by incorporators, directors or officers that may otherwise be required under ORS chapter 65.
(3)(a) The association described in subsection (2) of this section has all the property, powers and obligations of the unincorporated association that existed immediately prior to incorporation or reinstatement.
(b) The bylaws in effect immediately prior to incorporation or reinstatement constitute the bylaws of the incorporated association.
(c) The members of the board of directors and the officers continue to serve as directors and officers.
(4) The provisions of this section apply notwithstanding any provision of a governing document of a planned community that appears to be contrary. [2009 c.641 §3]

Many HOAs don't have CCRs.

The CCR rules may dissolve, i.e. regulations on fences, etc. but the HOA can still operate and take care of the common areas and other things, such as road care, etc.

A new corporation is formed.