HOA Dispute Resolution Tips
It is always important to practice proper dispute resolution within your HOA community. The reality is that many homeowners associations will struggle with aspects of management. When you are faced with any type of conflict, boards can implement a standardized method to deal with it. An inconsistent approach when resolving disputes will, unfortunately, only lead to further miscommunication and added stress.
In this article, we will discuss how you can efficiently handle a homeowner’s association dispute with a handful of helpful tips.
Why is it Important to Resolve Disputes in an HOA Community?
Homeowners associations are communities that are filled with residents from all stages of life. It is only natural for members to have disagreements or even arguments from time to time. Living in a harmonious community is an ideal situation; it is impossible to eliminate all conflict. The key to successful HOA management is to know how to deal with conflict when it arises. Disputes can take many forms; for example, they can occur between board members or even between board members and homeowners. HOA disputes are also common among fellow homeowners within the community. Some of the more common disputes within an HOA community include the following:
- Noise complaints.
- Bad behavior of children.
- Visual nuisances.
- Bad odors.
- Illegal or disruptive acts.
- Disagreements concerning fines and violations.
- Differing interpretations of rules or restrictions.
- Selective enforcement.
HOA dispute resolution is the process of settling an argument between two or more parties, with the purpose of a dispute resolution being to reach a compromise or agreement, ending the dispute to create a harmonious and peaceful community for everyone.
Effective Methods of Handling HOA Disputes
Disputes can happen at any time in HOA communities. For example, one homeowner might have a spat with their neighbor over the color of a fence shared between their two properties. Discussions among board members can turn heated if there is not a shared viewpoint. The smallest of disagreements can easily escalate when people allow their emotions to get the better of them. If left unresolved, disputes can plant seeds of contempt and have a negative long-lasting impact between neighbors or board members. Disputes are a big divide in a community, which is why associations need to adopt an HOA dispute resolution policy.
Below are some tips to resolving disputes in your HOA internally.
1. Determine If An Intervention is Necessary
If there is a dispute among neighbors, an HOA board should be the determining factor of whether or not it is appropriate to intervene. Not all disputes require board intervention, as most neighbor-to-neighbor disputes will resolve on their own. Setting a precedent for board intervention, no matter the dispute, can be dangerous as it can easily turn your community into a courtroom where the board will reign supreme. A way to implement this tip is by setting up a system where owners can request to have a dispute resolution. These requests can easily be put into writing. The board should evaluate requests and discern which ones need HOA intervention depending on how serious the issue is.
2. Direct Your Focus to the Facts
Regarding proper handling of dispute resolution in HOA communities, boards should direct their focus on facts alone. Parties can express their feelings, but board members should not allow these feelings to influence their decisions. Legal counsel being present at the resolution meeting is always a great idea.
3. Always Opt to Stay Neutral
It can be a challenge for board members of an HOA community in particular to resolve disputes, especially if they know the parties involved in the dispute. However, part of being a board member is knowing when to set your emotions aside. Negotiations will require neutrality on your part, and board members should not let personal biases and relationships inform their decisions.
What Are Effective Alternative Dispute Resolutions in HOA?
When you are having a dispute with another person, many first reactions among residents is to take legal action. Lawsuits, however, should be the last resort. Disputes in HOA communities can be settled out of court. This is why states have laws enacted that require members to seek alternative dispute resolution before litigation is attempted.
Arbitration Vs Mediation
There are two methods of alternative dispute resolution commonly used within an HOA community: arbitration and mediation. Arbitration involves a neutral third party, where a trained arbitrator will collect all the facts of a dispute and listen to the parties involved. They will conclude how to resolve the dispute. The disputing parties then have to agree to abide by the arbitrator’s decision. More often than not, parties are not allowed to take the dispute to court following arbitration.
When it comes to mediation, a trained mediator will act as a neutral third party to aid disputing parties to find a resolution. The goal is to find common middle ground that works for everyone involved. However, no one can force any party to agree to the resolution.
Conclusion
Homeowners associations will encounter some type of dispute or another, and while they can initially be a pain to deal with, they are normal for a community to face. Board members must know how to properly handle disputes when they arise through the establishment of a process for dispute resolution in HOA communities. Resolving a dispute outside of a courtroom is always ideal and a great way to keep litigation costs at a minimum. HOA communities have many perks to them, including keeping your community in tip-top shape and adding value to your home. If you are considering moving into a neighborhood that is governed by an HOA, we always recommend working closely with a trusted real estate agent with knowledge and professionalism in HOA-related real estate. Trust the professionals at Property Sourced to guide you in finding and settling down in the home of your dreams in the many beautiful, thriving suburban neighborhoods that make up Manteca, CA, today.