[WSBARP] HOAs and Reserve Studies - Reality Check

[Paul Neumiller]

Am I reading this correct?  RCW 64.38.065 seems to require that an homeowners association (not a condo) must, at least, prepare a Reserve Study and an association is “encouraged’ to establish a reserve account (presumably pursuant to the Reserve Study) but then RCW 64.38.085 says “Monetary damages or any other liability may not be awarded against or imposed upon the association, the officers or board of directors of the association, or those persons who may have provided advice or assistance to the association or its officers or directors, for failure to: Establish a reserve account; have a current reserve study prepared or updated in accordance with the requirements of this chapter; or make the reserve disclosures in accordance with this chapter.”

Soooooo, RCW 64.38.065 says you must perform a Reserve Study but RCW 64.38.085 says hey, don’t worry about it because you aren’t liable if you don’t prepare a Reserve Study???

(Now I know that an association should prepare a Reserve Study and should have a reserve fund but that’s not my question)

[cid:image002.jpg at 01D29CD8.D179DFE0]

IMPORTANT NOTICE:  This e-mail message is intended to be received only by persons entitled to receive the confidential information it may contain. E-mail messages to clients of Paul A. Neumiller presumptively contain information that is confidential and legally privileged; e-mail messages to non-clients are normally confidential and may also be legally privileged. Please do not read, copy, forward or store this message unless you are the intended recipient of it. If you have received this message in error, please forward it back to the sender and delete it completely from your computer system.
E-mail communication on the Internet may NOT be secure. There is a risk that this confidential communication may be intercepted illegally. There may also be a risk of waiving attorney-client and/or work-product privileges that may attach to this communication. DO NOT forward this message to a third party. If you have any questions regarding this notice, please contact the sender.

-------------- next part --------------
An HTML attachment was scrubbed...
URL: <http://mailman.fsr.com/pipermail/wsbarp/attachments/20170314/7a50a7fa/attachment.html>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: image002.jpg
Type: image/jpeg
Size: 14511 bytes
Desc: image002.jpg
URL: <http://mailman.fsr.com/pipermail/wsbarp/attachments/20170314/7a50a7fa/image002.jpg>