HOA Does Not Follow Proper Procedures

Question:

Without proper voting an outside realtor was “hired” to manage the HOA where I live in Paris, KY. She has her ex-husband, and present boyfriend, doing our mowing. He’s an addict and has become a “minister” and is mentoring some young boys. He is doing extra things like painting curbs (which should be a job for the City Streets & Road Dept. teaching this boy how to do things. There were no bids put out (as required in our By-Laws) for our 2023 mowing and lawn service. The only thing ever we’ve paid for in lawn care is mowing, occasional edging, weed eating and blowing off debri from porches, walks & driveways. This is nepotism. The mowing guy is a high maintenance fellow, eating at the most expensive restaurants, taking his ex (& girlfriend) out to eat weekly at Jeff Ruby’s, going to spa’s and getting pedicures. He needs our money. The manager here (mower’s ex) refuses to give me a financial report or meeting minutes. I get no notices of meetings or have no way of knowing what is going on within our HOA. This is revenge on me simply because I have complained about the messes being made on our lawns, the grass being skinned down to dirt or mud, and the debri is being blown onto my porch stoop intentionally. I am not even made aware of who the board members are, except one I know of and she is a tenant, not supposed to be on the board. Only homeowners can be on the board or vote on changes. There was not a vote taken on the change of hiring an outsider to manage instead of continuing to vote one of the homeowners in as President. It should have been voted on by every homeowner and then recorded at the courthouse in the clerk’s office. WE NEED AN AUDIT OF THE BOOKS, AND THE ACTIVITIES OF THE PRESENT MANAGER AND HER BOYFRIEND. THEY HAVE A RACKET GOING ON. WE ALSO HAVE A DISABLED WOMAN WHO APPEARS TO BE RUNNING A DAYCARE IN HER TINY RENTED TOWNHOUSE. WHAT CAN I DO? I CANNOT AFFORD TO HIRE A PRIVATE ATTORNEY.

– Ruby

 

Answer:

Hi Ruby,

Firstly, kindly check your governing documents to see whether the community must first conduct a vote to hire HOA management companies. If so, the HOA may be breaching the governing documents.

Secondly, regarding the mowing and lawn services, kindly double-check your governing documents if bids are required. If the HOA did not follow the procedure outlined for hiring vendors, it is violating the governing documents.

Thirdly, if the HOA is incorporated as a non-profit organization, it is required to send meeting notices to members entitled to vote at such meetings according to the Kentucky Nonprofit Corporation Act Section 273.197. According to Section 273.233, unless otherwise prohibited in the governing documents, HOA members are also allowed to inspect the records of minutes as long as they have a valid purpose.

If your HOA breaches the governing documents or state law, kindly approach your HOA board and talk to them about the breach. If you cannot access the list of board members, an official list of your HOA board should be registered with the Kentucky Secretary of State.

Apart from this, according to the Kentucky Nonprofit Corporation Act Section 273.211(4), you may also remove the problem board member according to the procedure outlined in your governing documents, as shown below:

“(4) A director may be removed from office pursuant to any removal procedure provided in the articles of incorporation or bylaws.”

You may also consult a lawyer for further guidance.

 

Disclaimer: We are not lawyers. The information provided on this website does not constitute legal advice.

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