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Attyadvisor
Attyadvisor, Attorney
Category: Real Estate Law
Satisfied Customers: 5646
Experience:  28 years of experience in general practice, real estate law and estate law.
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After a number of Patio Home Owners Association contentious

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After a number of Patio Home Owners Association contentious board meetings & other types of communications, three of our five board members resigned including the President. The two remaining board members asked another resident to be President & he agreed.
Contention was due to a request of the board to update 20 year old bylaws. Then the requestors didn't want to pay for fees incurred & changes. It was determined about a third of the 34 homes were not added to bylaws. Also bylaws require 5 board members.
What is the owners next step?
Welcome and thank you for your question. I will be the professional that will be assisting you.

Is your association incorporated?
Customer: replied 3 years ago.

yes

If they are not in compliance with the Articles of incorporation and the bylaws this is a violation. This places the board members and the homeowners in a vulnerable position. Are you on the board?
Customer: replied 3 years ago.

no

The board needs to re-organize themselves having the proper number of board members. Failure to do so opens the board members up to a lawsuit by the homeowners.

The owners can file a complaint with the Minnesota Secretary of State at

http://www.sos.state.mn.us/


I would need to read the articles of incorporation and governing documents to see how the association can be dissolved and unfortunately, that is outside of the terms of service for the site.

Is there a general consensus among the owners of what they would like to see happen at this point in time?

Attyadvisor and 2 other Real Estate Law Specialists are ready to help you
Customer: replied 3 years ago.

a number would like to have a management company

I can see that this would help. The board needs to have the proper number of members to implement a management company.

If the homeowners are unhappy, they need to organize and put new board members in place that will work on behalf of the owners. The board has a fiduciary duty to the owners to act in the best of interests of the owners.

The Minnesota Attorney General provides information on the duties of the HOA at http://www.ag.state.mn.us/Consumer/Publications/CommInterCommun.asp

They also provide assistance at

Minnesota Multi Housing Association
1600 West 82nd Street, Suite 110
Bloomington, MN 55431
(NNN) NNN-NNNNbr/> www.mmha.com

Office of Minnesota Attorney General Lori Swanson
1400 Bremer Tower
XXXXX
St. Paul, MN 55101
(NNN) NNN-NNNN
1-800-657-3787

 


At this point it may be prudent for the owners to contact a local attorney and have them review the governing documents and provide them with the path to fill the existing position(s) and put a management company in place. If the bylaws need amending that also needs to be accomplished.

 

I am sorry that your HOA is in this situation. To advise you completely on this matter a review of your governing documents is in order.

Please feel free to ask me any additional questions that you m may have with regard to this matter.

 

Customer: replied 3 years ago.

Thank you for your advice. You have been very helpful.

Thank you. Please do not hesitate to ask me any follow up questions that you may have with regard to this matter.

Thank you for using JA!