Hello! Thank you for your question today. My goal is to provide you with the information you seek.
Please note: (1) this is general information only, not legal advice; and (2) I will provide you with honest information and not necessarily to tell you might be hoping to hear.
I am sorry to hear about your situation. If the HOA can prove that the second contractor had a duty to submit the application and was negligent in failing to do so, the HOA has a right to recover damages in the amount of their losses.
My understanding is the HOA is looking for an attorney to attempt to resolve the matter by written demand prior to filing a lawsuit. Experts agree not to refer matters to ourselves or refer specific lawyers. However, I can provide you with a link to the Arizona State Bar Lawyer Referral Service which can provide you with contact information for a lawyer than can assist you. The type of lawyer you would need is a business or general litigation lawyer. Here is the link: www.azbar.org/findalawyer
In addition, here is a link to AVVO which is a website that provides lawyer listings along with ratings generated from client feedback: www.avvo.com/search/lawyer_search?utf8=%E2%9C%93&q=litigation&loc=Arizona&commit=
All my best & encouragement.
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All states have intricacies in their laws and any information given is simply information only and specifically is not intended to be, nor does it constitute, legal advice. This communication does not establish an attorney-client relationship with you.