Q & A

Hello Fred,

  I am a property manager. My community is a phase community with the last developer and last phase under way at this time.  The Board has set up a committee to write the docs for this last developer.  My question is this:  Can the last developer approve the documents, the association has written, for the entire property?  That means all phases come under the last phase documents per the last developer without a vote of the rest of the property?

Respectfully,

D.D.

CAM

Dear D.D,

  The answer to your question will be found in the documents of the master and each phase. In most cases, the developer, as long as it is in control of the association can amend the documents until such time as transition occurs. So, yes the situation you describe could happen. The HOA statute does not address this issue except that it does have a section which may prevent the developer from making changes that are detrimental to the welfare of the community/ That is found in section 720.3075 as follows.

 (5) It is declared the public policy of the state that prior to transition of control of a homeowners’ association in a community from the developer to the nondeveloper members, as set forth in s.720.307, the right of the developer to amend the association’s governing documents is subject to a test of reasonableness, which prohibits the developer from unilaterally making amendments to the governing documents that are arbitrary, capricious, or in bad faith; destroy the general plan of development; prejudice the rights of existing nondeveloper members to use and enjoy the benefits of common property; or materially shift economic burdens from the developer to the existing nondeveloper members.

 I hope this helps. Let me know if you need additional information/

 Fred R. Gray

President

Gray Systems, Inc.