Question Regarding HOA's Authority and Improper Fees

Dear Attorney,

I am a concerned homeowner in our residential community, and I’ve encountered an issue with our Homeowners' Association (HOA). Although our HOA is currently under hold capacity and, as I understand it, should not be exercising its full range of powers, they have been implementing rules such as prohibiting entry without a vehicle sticker and imposing a ₱350 disconnection fee, which I find to be unreasonable. I’m particularly concerned because these actions were taken without a proper board resolution. Could you advise on how to stop these activities and the steps I need to take to address this issue legally?

— Concerned Homeowner

Insights

In situations like yours, where an HOA is under hold capacity, it is crucial to understand that such a status typically limits the association's authority to enforce rules or impose fees. The actions you’ve described—requiring vehicle stickers for entry and charging disconnection fees without board approval—raise significant legal concerns.

The first step is to formally question the HOA’s authority by requesting documentation that outlines their current capacity and the legal basis for these rules. You should send a letter to the HOA demanding a copy of the board resolution that authorized these fees and policies. If they cannot provide this, it strengthens your position that the actions are not legitimate.

Next, gather support from other homeowners who may be affected by these rules. Collective action often carries more weight and may encourage the HOA to reconsider its stance. You can propose a general assembly or a meeting to address these issues, ensuring that it’s properly documented.

If the HOA continues to enforce these rules without proper authority, you may escalate the matter by filing a complaint with the Housing and Land Use Regulatory Board (HLURB) or its successor, the Department of Human Settlements and Urban Development (DHSUD). They have the jurisdiction to hear disputes between homeowners and associations, and they can issue orders to rectify unauthorized actions.

Lastly, considering the financial and legal implications, consulting with a lawyer to assist in drafting formal complaints or letters is advisable. They can guide you through the legal process, ensuring that your rights as a homeowner are upheld and that the HOA complies with the law.

By taking these steps, you can effectively challenge the improper actions of your HOA and seek to restore fairness and legality in your community's management.

Disclaimer: This content is not legal advice and may involve AI assistance. Information may be inaccurate.