[WSBARP] HOA fine administration and grandfathering

Tue Aug 28 13:49:52 PDT 2018

Thanks Rob.  

Joshua F. Grant

P. O. Box 619
Wilbur, WA 99185
509 647 5578

From: Rob Wilson-Hoss 
Sent: Tuesday, August 28, 2018 12:16 PM
To: 'WSBA Real Property Listserv' 
Subject: Re: [WSBARP] HOA fine administration and grandfathering

Josh, you have two things. One is a (presumably) covenant violation for failure to complete within two years. My reaction to that is OK, it is finished now, so no damages, no injunction, no cause of action, but the association should figure out how to deal with these in the future.

The second thing you have is, yep, the association figured out a way to deal with these in the future - the new fine schedule. But it wants to include matters that are arguably not under the fine rule scope because it was started before the fine rule was passed. The Board has nowhere to go with this. A fine is only as good as the end result, which is, a lawsuit to collect the fine (often by lien foreclosure). And here, that is a nonstarter.

My advice to the Board would be to graciously declare victory, note that after the rule was passed this member complied, and apply it to future circumstances. Not a fight they want to pick. Better to address current ongoing problems with their time and money. 

I like to put into my resolutions an effective date to resolve some of this. And the effective date is almost always, applies to circumstances that arise after the date of recordation.    

By the way, and forgive an old man's pontification, but I tell all my clients that they never want to collect any fines. First you try to work with the member, several times, and use someone with a high emotional IQ for the contacts. If that just doesn't work you can fine, but the purpose of the fine is to bring them to the table and use it as a card you can throw in- OK, if you fix this problem within a reasonable time, we will rescind the fine. Leverage. Very rarely will you have to go beyond that, and if that happens, you have other issues to deal with, such as "personality" challenges.  

Rob

Robert D. Wilson-Hoss 
Hoss & Wilson-Hoss, LLP 
236 West Birch Street 
Shelton, WA 98584 
360 426-2999

www.hossandwilson-hoss.com
rob at hctc.com

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From: wsbarp-bounces at lists.wsbarppt.com [mailto:wsbarp-bounces at lists.wsbarppt.com] On Behalf Of Josh Grant
Sent: Tuesday, August 28, 2018 11:55 AM
To: wsbar
Subject: [WSBARP] HOA fine administration and grandfathering

I represent an HOA which has levied a fine that is being questioned.

Violation is for failing to complete structure within 24 months of its commencement.

Building started 4/2015.

Fine policy was adopted 3/2016. Objecting homebuilder was on the board and voted for it.

This seems similar to a building permit that a city grants and the fact that the building code that applies is its version as of the date the permit is granted.

Objector says “I started before the fine procedure was set up so I am grandfathered in and I can’t be fined.”

The facts would show that the project was completed well after 2 years even after the fine procedures were adopted, so Board wonders if, even though the building was commenced before that adoption date, that the 2 year requirement could be enforced after the 2 years from date of adoption.

What say you?

Joshua F. Grant

P. O. Box 619
Wilbur, WA 99185
509 647 5578

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