Thanks to the Internet, there is a wealth of information available to HOA members, directors, and managers. Here are some useful websites:
• The first place to look is on the North Carolina General Assembly’s website at http://www.ncleg.net. Here you can look up the laws that govern homeowners’ associations in North Carolina. Chapter 47C of the statutes governs condominiums. Chapter 47F governs single-family communities (or planned communities) and townhomes. Chapter 55A governs non-profit corporations, which is important because most HOAs are established as nonprofit corporations.
• You can find specific statutes at http://www.ncleg.net/gascripts/statutes/Statutes.asp . You can also look up the status of pending legislation affecting homeowners’ associations at http://www.ncleg.net/Legislation/Legislation.html
• Another helpful website is offered by the Community Association Institute (CAI). This may be found at www.caionline.org. There is an enormous amount of information on this site, including lots of free articles and for-purchase manuals. CAI also conducts training and certification courses for professional community association managers. North and South Carolina also have their own state chapters of CAI, which may be found at www.cai-nc.org (NC) and http://www.cai-sc.net (SC).
• The website of HOA-USA, located at http://www.hoa-usa.com, offers summaries of state HOA laws, articles on topics of interest to HOAs, and a resource guide with listings of management companies, accountants, banks, attorneys,
construction companies, and other vendors offering services to HOAs.
• The website maintained by the North Carolina Secretary of State is also a good resource. Go to www.secretary.state.nc.us/corporations/CSearch.aspx to look up your HOA to see if it is incorporated and in good standing with the state. You can also download your HOA’s corporate documents that have been filed with the state, such as the Articles of Incorporation.
• In North Carolina, HOAs are required to conduct their meetings in accordance with the parliamentary rules set forth in Robert’s Rules of Order. My colleague, Jim Slaughter, is a Greensboro attorney and a registered and certified parliamentarian. Jim’s website, www.jimslaughter.com , includes many charts and articles on meeting procedures, parliamentary news updates, and links to resources on running effective meetings.
I am part of a small group (3) of co-owners of an Interval Ownership Condominium property in North Carolina. We have been trying to get financial information and a copy of the owners’ names and addresses from the Board of Administrators in accordance with NC Statutes. So far, the Board has given us some, but not all of the financial information but has been withholding the owners’ list. We need the list of owners to contact them and advise them of our concerns about the way the Condominium is being managed. Is there any reason why the Board should not provide this information?
I wrote a column for the Charlotte Observer that addressed this issue. It can be found here: http://www.horacktalley.com/creditors-rights/documents/MembersEntitledtoMostRecords.pdf
I have the same issues mentioned in the Captained Jan 5, 2013 has stated, but there is no answer printed.
Where do we as members turn for help with a board that ignores N.C. Statutes and By-Laws??
I have written a couple of columns for the Charlotte Observer that touch on this topic in general – what to do about board members who do not follow the law or the association’s own bylaws. The columns can be found here: http://www.horacktalley.com/uploads/news/files/198.pdf
http://www.horacktalley.com/creditors-rights/documents/PersistenceGetsHOAtoActonProblems.pdf
If the board is in violation of the governing statutes,and does not respond to legal inquirey regarding finances, etc.
DOES THE ATTORNEY GENERAL HAVE JURISDICTION?
WHY SHOULD WE HAVE TO PAY AN ATTORNEY WHEN OUR MONEY IS NOT BEING SPENT ACCORDING TO THE BUDGET ETC.
There is no government oversight of HOAs, and the Attorney General’s office will not get involved. However, I have written a couple of columns for the Charlotte Observer that touch on this topic in general – what to do about board members who do not follow the law or the association’s own bylaws. The columns can be found here:
http://www.horacktalley.com/uploads/news/files/198.pdf
http://www.horacktalley.com/creditors-rights/documents/PersistenceGetsHOAtoActonProblems.pdf
We have a board that blatently refuses to follow the Statutes and By-Laws, and scoff at any attempt to see the minutes and financials saying “I will just send it to the attorney! this at the HOA expense
is there any way we can bring them to answer these charges, other than hiring a private attorney? They say they are protected ny ins. and are not personally liable for any action. o we have recourse even iof we prove them negligent?
I have written multiple columns for the Charlotte Observer addressing owners’ access to association records, and dealing with boards that refuse to follow the HOAs bylaws and state law. All of the columns can be found here: http://www.horacktalley.com/creditors-rights/articles.aspx
How many members in a subdivision of 158 homes constitute a quorum?
Review your HOA’s bylaws. They should say what the quorum requirements are for meetings of members. If they do not, then the “default” quorum under the NC Nonprofit Corporations Act and the Planned Community Act is 10%.
From the NCCA § 47C-3-103 (c): “The budget is ratified unless at that meeting a majority of all the unit owners or any larger vote specified in the declaration rejects the budget.”
Our declaration specifies 51% as a majority. For the budget to be rejected, is the reading below of the law legally correct?
1) A majority (51%) of all the unit owners must personally attend the budget ratification meeting and cast their votes AT THAT MEETING to reject the budget.
2) The majority must be counted from the total number of unit owners, not just the number of unit owners who attend the meeting. If there are 100 unit owners, 51 unit owners must attend in order to vote to reject the budget.
3) If less than 51% of all of the unit owners attend the meeting, the budget is automatically ratified without a vote.
4) Proxy holders from owners who do not personally attend the meeting cannot be counted as part of the total number of attendees, nor their votes as part of the total number of votes to reject the budget.
Our new manager says its 51% of the number who attend, & proxy holders count. He says 2 votes to reject out of 3 attendees reject the budget.
Without seeing your community’s governing documents, I cannot give you a specific answer. But in general, owners can appear either in person or by proxy at a meeting of members. The budget is automatically ratified unless a majority of ALL owners (not just those at the meeting) appear in person or by proxy and reject the budget.