💬 Join us to post & get advice from 50,000 HOA & Condo leaders.

Create Free Account →

⚡ Takes 30 seconds

Already a member? Log in

ZhenyaR (California)
Posts: 15
Posted:
I am hoping someone can provide an opinion if this language in CC&Rs is sufficient to impose monetary fines on members.

"To initiate and execute disciplinary proceedings against members of the Association for violations of the provisions of the Articles and By-Laws, this Declaration and the rules and regulations adopted by the Board, subject to the requirements-of Corporations-Code Section 7341 (as such section may be hereafter amended, supplemented or superseded)."

There is no other place in CC&Rs that discusses fines.

There is a separate document "Rules and Regulations" that states the following:

"Should a member break a rule or CC&R as specified in the governing documents, the board reserves the right to enforcement and correction of the action through an administrative process. This process may consist or one or more opportunities to correct the action as well as fines, or correct at the owners expense after a reasonable notification period. Fines and corrections may also be appealed to the board for further consideration if done within a 30 day period of notification, after which time any right of appeal is waived (or as governed by law)."
TimB4 (Tennessee)
Posts: 21,047
Posted:
I am not an attorney. I do not work in the legal profession.

I would think it does. However, laws change and they place contingencies on this authority by referring to Corporations Code 7341. However, it should also refer to any other laws (like Davis-Stirling) since laws do change.

Therefore, you should first look at the existing laws to see if there is some law that supersedes or limits the authority of the Association. Here are some links that may help:

Davis Stirling.com main page

Davis Stirling.com rules enforcement page

Davis Stirling.com statutes page

Hope this helps,

Tim
MelissaP1 (Alabama)
Posts: 13,836
Posted:
You also have to factor in IF your state allows for liens/foreclosures to be based on fines. Many states do not allow HOA's to foreclose on someone's home for non-payment of fines ONLY. It has to be related to non-payment of dues or special assessments. Even if your HOA can enforce fines, they need to have a set fine limits and definitions. It can't arbritarily assign a "Garbage can left out on friday" a $50 fine. It has to be known what fine amounts are, for what, and the maximum.

Fines work more or less like speeding tickets for a HOA. They are NOT an income source. Be careful and mindful of how and if they are enforced. They can come back and bite the HOA if not handled properly.

Former HOA President
BarbaraB10 (California)
Posts: 117
Posted:
I also live in California. It is my understanding that an HOA must adopt a fine schedule that indicates the monetary penalty for violations.

The schedule must be disclosed to the membership on an annual basis (required by law).

Our HOA does this at the end of each year when the budget and other notices are sent to the membership.

http://www.davis-stirling.com/MainIndex/FineSchedule/tabid/1749/Default.aspx#axzz1jCCxIhsS

Hope this helps.
BradP (Kansas)
Posts: 2,640
Posted:
in my opinion yes, but i am not a lawyer. you do need to develop and publish a fine schedule.
JeffR7 (California)
Posts: 251
Posted:
According to Davis-Sterling imposing of fines should be withing board's authority. Moreover it's very clear that such authority must be provided by either CC&Rs, bylaws, or articles of incorporation. Looking at the language posted here from CC&Rs I don't see anythng that gives this board authority to impose fines. While fines are mentioned in other documents, they are not mentioned in one of those specified by Davis Sterling.

I would argue that imposing fines is different from "disciplinary proceedings"

I am not an attorney and this is something you may want to consult an attorney about.

🎯 You've read this entire discussion

Join the conversation with 50,000 HOA & Condo Leaders:

  • ✓ Ask follow-up questions
  • ✓ Share your experience
  • ✓ Get expert advice
  • ✓ Access 350,000 discussions
Create Free Account →

⚡ Takes 30 seconds

Already a member? Log in here