Get 1 year of free community web site hosting from Community123.com!
Monday, March 30, 2020











HOATalk is a free service of Community123.com:

Get 1 free year community website and email newsletter hosting from Community123.com!
Only members have access to all features.
Click here to join HOATalk for Free! Members click here to login and access all features.
Subject: HOA formed TWO years after purchase-Texas
Prev Next
Please login to post a reply (click Member Login on the menu).
Author Messages
GeenaS1
(Texas)

Posts:17


03/24/2020 11:55 PM  
Has anyone ever been in a situation where you purchased a home that did not have an HOA but an overzealous homeowner decided to establish one two years after purchase?

There literally was no HOA here. A couple of homeowners decided to start one so they filed for the certificate of formation and are now billing us.
There are deed restrictions on file but no HOA was ever formed until now.
Am I exempt?
There has been no election, no board and no bylaws existed.
SheliaH
(Indiana)

Posts:3048


03/25/2020 4:19 AM  
You'll have to ask your attorney if you're exempt, but in the meantime, tell these folks if they want money from you, this "HOA" needs to be set up properly. That means buy-in from EVERYONE in the community, bylaws, an election for board directors and all that stuff. And all of that needs to be in writing.

You may want to take a long look at those deed restrictions to see if they mention an HOA. Deed restrictions can be enforced by one homeowner against another, so you may not need one.
CathyA3
(Ohio)

Posts:827


03/25/2020 5:29 AM  
What Sheila said. If there is nothing in your deed about a homeowners association, then the owners who are attempting to create one have NO authority to act on behalf of others in the community - do not pay them a dime.

However, if your deed does mention an HOA, it may be that owners have not been living up to their responsibilities and this group is trying to address that. In this case you should read all of the papers you were given when you bought your home and look to see if you can find anything like bylaws. Many/most HOAs are corporations, and the bylaws outline how the corporation is governed - they will talk about the board of directors, officers, meetings, elections, etc.

It may be that the certificate you mentioned was renewing your corporate status, which is a good thing and would allow the HOA to operate according to your bylaws. The next thing that activist group should be doing is holding a meeting of the entire membership and properly electing a board to govern the association.
GeenaS1
(Texas)

Posts:17


03/25/2020 6:21 AM  
The restrictions do mention the formation of an HOA by the developer but he failed to follow through and file a certificate of formation.
He admitted this and apologized after the development period was over.
At closing, we had no HOA encumbrance. There were no bylaws. No board, no voting, nothing.
GeenaS1
(Texas)

Posts:17


03/25/2020 6:25 AM  
Also, our neighborhood is new. The few that want an HOA took it upon themselves to form one and claim it’s mandatory to join. They have no authority here but they are acting as though they do with their threats.
AugustinD


Posts:2906


03/25/2020 8:17 AM  
Posted By GeenaS1 on 03/25/2020 6:21 AM
The restrictions do mention the formation of an HOA by the developer...
I appreciate that you are trying to give "just the facts." But experience here tells me that, at a minimum, I would have to see the CC&Rs myself to best judge. You can either post the relevant sections here (with name of the HOA and addresses redacted). Alternatively, feel free to email them to me at [email protected] With your permission, I will post the relevant excerpts, with identifying information redacted. I think this would maximize the utility of the responses you get here.

This forum has seen a number of reports of (bottom line, unlawful) efforts by people to form HOAs where there was zero authorization in the governing documents to do so. These reports have been posted both recently and years ago. I do not think I have seen such a report from Texas yet.
SheliaH
(Indiana)

Posts:3048


03/25/2020 10:51 AM  
If the developer didn't do his/her due diligence in setting up a HOA, I wouldn't worry about threats from these people at all - if they want to sue you, let them. Then they can explain to the judge why they didn't feel it necessary to get EVERYONE to participate in the HOA properly instead of completing some sort of form and now thinking that justifies them demanding money And why did it take them two years before deciding a HOA was necessary now?

AugustinD's observations are what I'd take to an attorney, but for now, I don't think I'd even bother with that. Suing people costs money, so if they want to do it, have at it - if what you've said so far is true, these folks will have their butts handed back to them by a judge (and they'd deserve it)
JohnC46
(South Carolina)

Posts:9299


03/25/2020 11:08 AM  
Geena

There are cases where the HOA was formed but lay dormant for years before someone reactivated it. You need any attorney to sort this out.
GeorgeS21
(Florida)

Posts:2299


03/25/2020 8:56 PM  
Hmmm ... overzealous, or smart?
GeenaS1
(Texas)

Posts:17


03/26/2020 6:43 AM  
Smart would require doing things legally and with some authority. Neither is true. I went ahead and had an attorney look over everything and he determined there is no legal HOA here.
Thank you all for your input.
GeorgeS21
(Florida)

Posts:2299


03/26/2020 8:34 AM  
Remember, attorneys like to agree with you if you are paying them :-)

And, as I always say, please let us know how it works out in the end - we all learn from the final state.
MarshallT
(New York)

Posts:28


03/26/2020 10:18 AM  
Glad you were able to reach a conclusion here. I hope you don't encounter any other issues with invalid HOAs.
JohnC46
(South Carolina)

Posts:9299


03/26/2020 11:36 AM  
Posted By GeenaS1 on 03/26/2020 6:43 AM
Smart would require doing things legally and with some authority. Neither is true. I went ahead and had an attorney look over everything and he determined there is no legal HOA here.
Thank you all for your input.




Did he write a letter to those trying to start the HOA? I would want a copy of that letter for my records and to show others that feel bullied.
GeenaS1
(Texas)

Posts:17


03/26/2020 10:49 PM  
Since they have no authority here, we’ve decided it best to ignore them. If they want to take this to court, I’m prepared.
GeenaS1
(Texas)

Posts:17


03/26/2020 10:51 PM  
I’m sure that’s true in a lot of cases. Thanks for your input and once this is resolved I’ll post the outcome.
Please login to post a reply (click Member Login on the menu).
Forums > Homeowner Association > HOA Discussions > HOA formed TWO years after purchase-Texas



Get 1 year of free community web site hosting from Community123.com!

Only members have access to all features.
Click here to join HOATalk for Free! Members click here to login and access all features.







General Legal Notice:  The content of forum messages are from the posting member and have not been reviewed nor endorsed by HOATalk.com.  Messages posted by HOATalk or other members are for informational purposes only, are not legal or professional advice and do not constitute an attorney-client relationship.  Readers should not act upon this information without seeking professional counsel.  HOATalk is not a licensed attorney, CPA, tax advisor, financial advisor or any other licensed professional.  HOATalk accepts ads from sponsors but does not verify sponsor qualifications nor endorse/guarantee any sponsor's product or service.
Legal Notice For Messages Posted by Sponsoring Attorneys: This message has been prepared by the sponsoring attorney for informational purposes only and does not constitute legal advice. This information is not intended to create, and receipt of it does not constitute an attorney-client relationship. Readers of HOATalk.com should not act on this information without seeking professional counsel. Please do not send any sponsoring attorney confidential information unless you speak with the sponsoring attorney or an attorney from the sponsoring attorney’s firm and get authorization to send that information to them. If you wish to initiate possible representation, please contact an attorney in the firm of the sponsoring attorney. Sponsoring attorneys that post messages here are licensed to practice law in a specific state or states as indicated in their message signature or sponsor’s profile page. (NOTE: A ‘sponsoring attorney’ is an attorney that is a HOATalk.com official sponsor and is identified as such in the posted message or on our sponsor page.)

Copyright HOA Talk.com, A Service of Community123 LLC ( Homeowners Association Discussions )   Terms Of Use  Privacy Statement