2015 General Assembly Update for Virginia Community Associations

October 30, 2014 on 1:19 pm | In HOA, HOA litigation, Land Use Planning, Real Estate Strategies, Susan B. Tarley, Unit Owners Association | Comments Off on 2015 General Assembly Update for Virginia Community Associations

The legislation that passed the 2015 General Assembly Session is mostly helpful to Virginia HOAs–clarifying issues created by some legislation, and providing solutions for owner apathy and bank foreclosure problems for associations.

Virginia General Assembly - Legislation

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4 things your HOA needs to know about Virginia’s complaint process

October 30, 2014 on 1:19 pm | In Common Interest Community, General Interest, HOA, Real Estate Strategies, Susan B. Tarley | No Comments

In 2008, Virginia enacted legislation requiring condominium and property owners’ associations to establish reasonable procedures for resolving member and citizen complaints. The legislation further required the Common Interest Community Board (the “CICB”) to establish regulations for the associations to govern the complaint process.

 

What does this mean for your association? You will need to establish, or amend, your written procedures to comply with the regulations.

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Unauthorized Practice of Law: When unlicensed attorneys serve as HOA board members

October 30, 2014 on 1:19 pm | In Common Interest Community, General Interest, HOA, HOA litigation, Merger & Acquisition, Real Estate Strategies, Susan B. Tarley | No Comments

An article in the Virginia Gazette featured a story regarding the indictment of a local attorney for the unauthorized practice of law; a criminal charge classified as a class 1 misdemeanor. Although those allegations did not involve a homeowner association, it highlights a recurring issue for volunteer boards of directors for many organizations including homeowner associations and not-for-profit organizations on which attorneys serve. This article focuses on those issues facing boards for homeowner associations (“HOAs”) but the issues are similar for other volunteer boards of directors.

 

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A Checklist to improve the effectiveness of your HOA Board of Directors

October 30, 2014 on 1:19 pm | In Common Interest Community, General Interest, HOA, HOA litigation, Real Estate Strategies, Susan B. Tarley | No Comments

 

For your homeowners association, here’s a simple, but effective and invaluable checklist of suggested resolutions to improve the Board of Directors in your community association.

Williamsburg Virginia Business and HOA Lawyers

Board Checklist

    1. Set-up your board of director orientation with Tarley Robinson, PLC.  This service is provided at no charge to our clients. We will send out a an email and letter to schedule an orientation shortly after your board of director elections. Email us to make sure you are on our mailing list.
    2. Review your documents with your manager and attorney, or if self-managed, with your board and attorney, to determine whether you are operating in compliance with your documents and whether your documents comply with the law.
    3. Encourage civility, applaud the good deeds of neighbors and provide solid leadership.  Remember that you are part of a community.
    4. Schedule an appointment with your insurance agent to review your current policies. Confirm that your policies comply with any insurance requirements in your documents. Find out if you should change your deductibles.  Determine if you are paying the best price.
    5. Implement your Complaint Policy and Copying Policy. You are required to have them.
    6. Conduct efficient and effective board meetings. Spend some time working on the processes and procedures for your board meetings. Seek input from your board members, manager and attorney.
    7. Follow the legislation affecting community associations. The Virginia Legislative Action Committee will be working hard to review proposed legislation and determine its impact on community associations. Updates will be posted at http://www.cai-valac.org/
    8. Review your Reserve Study. Virginia law request annual review of your Reserve Study. If you do not have a Reserve Study to review, resolve to obtain one. It is the law.
    9. Conduct a risk assessment relative to safety and the use of your Common Areas or Common Elements. Follow-up with appropriate action, be it implementing safety rules, repairing an unsafe area or item, or posting a warning sign.
    10. Attend seminars provided by CAI. The Central Virginia Chapter Community Association Day, for example, is a daylong event that includes some great educational opportunities.
Being a Board Member for your HOA or Condo Association is a big undertaking, but there are resources to help you understand your responsibilities and become a more responsive director. Resolve to take advantage of these resources and help your HOA Board become more effective.

Tarley Robinson, PLC, Attorneys and Counsellors at Law

Williamsburg, Virginia

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Mediation and Arbitration – There is a big difference

October 30, 2014 on 1:19 pm | In Business Planning, General Interest, HOA litigation, John Tarley, Real Estate Litigation, Real Estate Strategies, State & Federal Litigation | No Comments

In conversations with clients, it seems that people misuse the terms “mediation” and “arbitration” more than most other legal terms. Although I do not have any empirical data, my educated guess is that many businesses and construction contractors (who did not depend upon advice given by an experienced business attorney) insert “arbitration” clauses into their contracts thinking that they mean “mediation.” Some transactions involving the sale of real estate include an arbitration clause. Countless times, clients involved in a potential lawsuit point to the “arbitration” clause, and are disheartened when I explain to them the arbitration process. Many thought they were avoiding the potential high costs of litigation. These terms are NOT interchangeable and in this blog post I will explain the basic differences between them.

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“Aging In Place” – How can HOAs address aging communities?

October 30, 2014 on 1:18 pm | In Common Interest Community, HOA, Real Estate Strategies, Unit Owners Association | No Comments

When we think of the challenges of overseeing homeowners associations, we might think of overgrown lawns, late assessment payments, and aggressive pets.  But another challenge has been waiting in the wings:  the aging of America’s “baby boomer” generation, many of whom are choosing to live out their golden years in their homes.  This rising trend is presenting new and unique challenges for Community Associations.  It is the wave of the future and the future is now.

Homeowner Association

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Arbitration instead of Court? Be careful what you ask for

October 30, 2014 on 1:18 pm | In Business Planning, Common Interest Community, John Tarley, Real Estate Strategies, State & Federal Litigation | No Comments

Over the past 15 years or so, “arbitration” provisions have appeared with increasing frequency in a wide variety of contracts. For example, declarations of covenants and restrictions recorded for homeowners associations, construction contracts, employment contracts, and commercial leases all may contain arbitration clauses. Arbitration may be a good idea, but you should know what “arbitration” means before you agree to be bound by such a provision.

Many people confuse the terms “mediation” and “arbitration.” Mediation refers to a process whereby a third-party helps facilitate a negotiated settlement between two or more parties. A mediator does not make decisions, does not take evidence, and does not conduct hearings. Parties simply negotiate and the mediator helps foster those negotiations.

Conversely, arbitrations are conducted like regular trials, with a judge-like arbitrator (or arbitrators) making a final decision based upon the evidence presented, and hopefully the law of your jurisdiction. Appeals of an arbitrator’s decision are virtually nonexistent.

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My Commercial Tenant is gone . . . should I re-enter the Property?

October 30, 2014 on 1:18 pm | In Business Law, Business Planning, John Tarley, Land Use Planning, Real Estate Litigation, Real Estate Strategies, State & Federal Litigation | No Comments

Sometimes commercial tenants, unable to stay current with their lease obligations, decide to close up shop and abandon their leased premises. In those circumstances, commercial landlords need to know their options. This blog post discusses a commercial landlord’s options when a commercial tenant abandons its lease.

MC900185910

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Neighbor Law: Tips for Avoiding Boundary Line Disputes

October 30, 2014 on 1:18 pm | In Construction litigation, General Interest, HOA, HOA litigation, John Tarley, Real Estate Litigation, Real Estate Strategies, State & Federal Litigation | No Comments

Few real estate topics cause more disputes between owners than those involving activities at a common boundary. We have reviewed boundary line disputes involving trees that straddle property lines and fences that encroach upon boundary lines.

A recent Portsmouth case highlights another issue relating to boundary lines.

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Fight over beer-pong game covered by insurance?

October 30, 2014 on 1:18 pm | In John Tarley, Real Estate Strategies, State & Federal Litigation | No Comments

It’s an unfortunate fact of life that you may get involved in a lawsuit. If you are at fault in an automobile accident, your auto insurance provides protection. For other types of cases, your homeowners insurance policy can protect you.

Recently our litigation lawyers counseled clients who had been sued. We routinely ask to review their insurance policies. As it turned out, this occurrence was covered by their homeowners policy, saving them tens of thousands of dollars in attorneys’ fees.

This insurance coverage issue was highlighted in a recent Virginia Supreme Court case, Copp v. Nationwide Mutual Insurance Co. In that case, a Virginia Tech student was sued for his actions in a beer-pong game gone bad. His parents thought the costs for his attorneys should be covered by their homeowners policy or their umbrella policy, but Nationwide Mutual declined. On appeal, the Virginia Supreme Court held that because the student alleged he was “trying to protect person or property” when he caused bodily injury, “Nationwide has the duty under its umbrella policy to defend.”

You pay for your insurance policy, make sure that you use the coverage you paid for.

Tarley Robinson, PLC, Attorneys and Counsellors at Law

Williamsburg, Virginia

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