News Articles

Attorney's Bylaw Review
Posted on Aug 1st, 2023

We want to take this opportunity to update you on recent changes and developments within our Homeowners Association (HOA). The Bylaws Committee appointed by the 2022 Board worked hard at rewriting our HOA's bylaws and Articles of Incorporation and we thank them for all the hard work they put into it.
 
As per the approval of the membership, the 2023 Board has hired an experienced attorney specializing in HOA matters to conduct a thorough review of the proposed bylaw changes. In order to carry out this review accurately and ensure compliance with all relevant laws and regulations, the attorney requested copies of the existing governing documents.
 
We have provided the attorney with all the necessary documents, including the current bylaws, articles of incorporation, Covenants, Conditions, and Restrictions (CC&Rs), and the Rules and Regulations. The attorney has now completed diligently examining the proposed changes alongside the existing documents to assess their legality and potential impacts on our community.
 
The Bylaws Committee had rewritten the articles of incorporation, which raised concerns as some of the new rules incorporated into the document were not in compliance with the Covenants, Conditions, and Restrictions (CC&Rs). The articles of incorporation are typically submitted to the state for approval when becoming a new business entity, and changes to this document should be done only when changing the business entity or the purpose for the business changes. Given that the purpose of our HOA remains the same, the attorney has advised against making unnecessary changes to the articles of incorporation. Therefore, we will not be implementing the changes proposed for the articles of incorporation.
 
The 2022 Bylaws Committee had rewritten the bylaws and the attorney discovered there were a lot of issues with the new document. There were several new rules in the document that were not supported by the CC&R's. Rules that are not referenced in the CC&R's are not enforceable and would subject the HOA with possible lawsuits. Following the advice from the attorney, instead of using the documents written by the Bylaws Committee, we have updated the existing bylaws to incorporate the minimum that needs to be updated. These changes are primarily to update the number of voting board members, add requirements for approving the budget and applying assessments, add the information about a Rules and Regulations Guidelines document, and to clean up the document for clarity.
 
Recently, a member raised concerns about a Rules and Regulations document created by the 2002 HOA Board, which was being referenced in the enforcement of our governing documents. After thorough research, the 2023 Board could not find any reference to this document in the bylaws or the CC&Rs. To address this issue, we have included this document in the attorney's review for guidance on its enforceability and how it should be integrated into our governing documents, if applicable.
 
To provide transparency and clarity regarding these matters, we have recorded the attorney's recommendations and the board's discussion for your reference. Here is the link to the video: https://youtu.be/WkvNMpppP64 Additionally, we encourage all members to attend a Member Informational Meeting, where we will present the findings, address your questions, and discuss any concerns you may have. See the calendar page for more details.
 
One of our top priorities has been ensuring that the updated bylaws are in compliance with all relevant HOA laws and regulations. These changes were made with the intention of improving the governance and functionality of our community. We believe that these updated bylaws will better serve the needs of our residents and contribute to a more harmonious living environment.
 
We value your input and involvement in our community. Please feel free to reach out to the board with any questions or attend the upcoming Member Informational Meeting. Your feedback is essential in shaping the future of our HOA, and we look forward to working together to create a stronger, more cohesive community.
 
Sincerely,
JLHOA Board of Directors