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Roger
Roger, Lawyer
Category: Real Estate Law
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I bought into a subdivision after a time where the developer

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I bought into a subdivision after a time where the developer filed bankruptcy. The developer did not transfer authority to the homeowners. Several years passed and there has been no HOA establishment. Recently my neighborhood has developed and established an HOA, Inc. and has now properly filed with the State of Georgia. Given my time of purchase and these stated circumstance, do I have a right not to join the HOA?
Hi - my name is XXXXX XXXXX I'm a Real Estate litigation attorney. Thanks for your question.

Is the new HOA the original HOA re-established OR is it an entirely new HOA?

If it is a totally new HOA, then what happened to the original?
Customer: replied 3 years ago.

The current HOA has been established using the orginal CC&R filing under the developer. The developer never handed over authority to an established/elected HOA. There were no original officer's elected, hince the developer acted as the authority with the state. Furthermore, the orignal property owners did have to pay an HOA fee to the developer that went to an account, that is now to be forwarded to the current establilshed HOA, Inc. In my property closing, my attorney stated there would be no HOA fee collected since my purchase is during a time period where as the HOA is not established.

Ok. Thanks.

IF the original HOA is the one that was intended by the original CC&R's, then it is most likely that you are legally bound to being a member and paying dues BECAUSE you've already agreed to be a member under the CC&R's.

The fact that you didn't have to pay a fee because the HOA was yet to be operational doesn't change the fact that you agreed to be a member under the CC&R's.

The only way you could refuse membership would be if the CC&R's and HOA were established AFTER you bought the property because they would not be a restrictive covenant on the property at the time of purchase. When that happens, you could not be forced to join the HOA - - it would be voluntary only.

However, because the CC&R's were in place when you purchased the property, you would be bound by them.
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