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HOA Construction Project Do’s and Don’ts

Client Alert

Good fences can make good neighbors…

But they can also cause headaches, heartaches, and hay when you don’t get permission for your homeowners association (HOA). There have been countless disputes, arguments, and lawsuits over even the fanciest, nicest new fences. Local regulators can approve, but if a resident contacts their HOA Board there may be trouble. Fences, yard alterations, and backyard decks do not have to be such a hassle and a point of conflict. The following Do’s and Don’ts could help HOA residents avoid issues:

Do attend your HOA Board meetings…

  • To get to know board members
  • To keep up with HOA news and
  • To gather information on renovation and remodeling projects

Don’t start a small, medium, or large construction project without checking in with your HOA Board…

  • Many conflicts occur because HOA Board members are not properly notified in advance
  • HOAs often accept simply building plans and estimates to begin the review process
  • HOA Boards have to approve your project, even if the local Building Department already approved it

Do obtain a copy of your HOA Declarations and Bylaws…

  • The Declarations will help you understand the review process
  • The Bylaws can provide details on fines and other penalties
  • The Declarations and/or Bylaws regulate the election of HOA Board members

Don’t expect to do it now and ask for forgiveness later…

  • HOA Boards are on the lookout for new fencing, new construction, and other alterations
  • Your neighbors are on the lookout for new fencing, new construction, and other alterations
  • Your neighbors’ pets, family members, and visitors are on the lookout for new fencing, new construction, and other alterations

Do be a good neighbor…

  • If you notice a new construction project in the HOA, check in with your neighbor first
  • If you want more information on the project, check with the HOA Board
  • If you do not like the planned project, remember that homeowners have the right to make changes that are approved by the HOA and local regulators

Don’t ignore notices…

  • If you receive a violation notice from the HOA Board, contact the Board for more information. Do not ignore the notice.
  • If you receive a violation notice from local regulators, contact the Housing or Building Department to gather more information. Do not ignore the notice.
  • If you receive a court notice related to a lawsuit, strongly consider contacting an attorney. Do not ignore the notice. There are extremely important time limits/deadlines related to answering the lawsuit.

BMD Litigation Partner Scott Heasley has assisted numerous homeowners litigate disputes with their HOAs; border disputes with their neighbors; and nuisance issues related to harassing behavior, light pollution, and adverse possession (the taking of property after long-term use). Scott Heasley can be reached at rsheasley@bmdllc.com or 216.428.4718.


UPDATED: Impact Payment Breakdown: How Much Will I Get, When Will I Get It and What Do I Need to Do?

UPDATED: The IRS announced that Social Security beneficiaries who are not typically required to file a tax return will not need to file a return to receive the economic impact payments. These payments will automatically be deposited into their bank accounts. This only applies to individuals receiving social security. Other individuals who typically do not file a tax return will still need to submit a return in order to receive the economic impact payment.

CARES Act Expands Bankruptcy Options for Individuals and Small Businesses (1)

The Coronavirus Aid, Relief and Economic Security (CARES) Act provides a $2 trillion economic stimulus for US companies and citizens faced with the challenges of the COVID-19 coronavirus. The CARES Act also significantly expands existing bankruptcy options for small businesses by temporarily increasing certain debt limits set forth in the recently effective Small Business Reorganization Act of 2019 (SBRA).

CARES Act Expands Bankruptcy Options for Individuals and Small Businesses

CARES Act Expands Bankruptcy Options for Individuals and Small Businesses

FDIC Provides Guidance on Loan Modifications & Workout Options for Borrowers Affected by COVID-19

On March 22, 2020, the Federal Deposit Insurance Corp (FDIC) and other federal banking regulatory agencies, along with state banking regulators, the National Credit Union Administration Agency (NCUA), the regulator of credit unions, and the Consumer Financial Protection Bureau (CFPB) issued the Interagency Statement on Loan Modifications and Reporting by Financial Institutions Working with Customers Affected by the Coronavirus to encourage financial institutions to work constructively with borrowers impacted by the disease and to provide additional information regarding loan modifications. In summary, the policies give lenders or bankers substantially more latitude to work with affected borrowers by softening the regulatory and accounting impact of having delinquent or restructured credit.

CARES Act Changes Rules Governing Retirement Plans

Among the many other provisions of the CARES Act are those impacting retirement plans (including 401(k)s, profit sharing plans, and IRAs) in order to provide an influx of cash to struggling employees.