Accounting Proof | Summary Judgment Burden | LC2021-000358
When Arrowhead Ranch POA sued an owner relying on an unexplained ledger containing vague misc. charges and unproven fines, Judge Daniel J. Kiley reversed the justice court summary judgment, holding that associations must prove the factual accuracy of their ledger entries.
Last updated September 17, 2026. Case: The Arrowhead Ranch Property Owners Association Phase IV v. He Liu, Maricopa County Superior Court No. LC2021-000358 (minute entries use LC2021-000358-001 DT); originating Arrowhead Justice Court No. CC2020093450RC; Hon. Daniel J. Kiley.
Scope note: This page covers Maricopa County Superior Court No. LC2021-000358, an appeal from Arrowhead Justice Court. Arrowhead Ranch Property Owners Association Phase IV sued homeowner He Liu for delinquent assessments, fines, and unexplained collection charges, obtaining summary judgment in justice court. Represented by Jonathan A. Dessaules, Liu appealed. In a 15-page ruling, Superior Court Judge Daniel J. Kiley reversed the judgment under Wells Fargo v. Allen, establishing that unexplained HOA ledgers with vague charges and boilerplate manager affidavits fail as a matter of law to prove a prima facie debt, and awarded $4,902.00 in attorney fees and costs against the HOA. This page is educational and is not legal advice.
The takeaway
Reversed and remanded. An HOA moving for summary judgment cannot establish a prima facie entitlement to judgment merely by submitting an unexplained accounting ledger and a conclusory manager affidavit avowing that records were reviewed; the association must provide foundation explaining how charges were calculated and prove the reasonableness of pre-litigation legal fees. Because the HOA failed to meet its prima facie burden, the homeowner was not required to controvert the motion.
Case Participants
Petitioner Side
- The Arrowhead Ranch Property Owners Association Phase IV (Plaintiff/Appellee)
Arizona nonprofit corporation
HOA plaintiff that filed the collection action in Arrowhead Justice Court; judgment reversed on appeal. - Chad M. Gallacher (Counsel)
Maxwell & Morgan, P.C.
Counsel for Plaintiff/Appellee The Arrowhead Ranch Property Owners Association Phase IV. - Lisa Riesland (Witness)
Property Management Custodian of Records
Submitted boilerplate affidavit in support of HOA motion for summary judgment; deemed insufficient as a matter of law under Wells Fargo v. Allen.
Respondent Side
- He Liu (Defendant/Appellant)
Glendale homeowner; represented by Jonathan A. Dessaules on appeal; prevailing party awarded $4,902.00 in fees and costs. - Jonathan A. Dessaules (Counsel)
Dessaules Law Group
Counsel for Defendant/Appellant He Liu; successfully obtained reversal and fee award against HOA.
Neutral Parties
- Hon. Daniel J. Kiley (Judge)
Maricopa County Superior Court
Superior Court Judge who authored the landmark 15-page ruling reversing summary judgment and entered the fee award. - Arrowhead Justice Court (Originating Court)
Trial court (Case No. CC2020093450RC) whose summary judgment was reversed.
What happened
In June 2020, Arrowhead Ranch Property Owners Association Phase IV, represented by Chad M. Gallacher of Maxwell & Morgan, filed a debt collection complaint in Arrowhead Justice Court against homeowner He Liu. The association sought $2,588.50 for unpaid semi-annual assessments, late fees, fines, and unspecified admin fees, plus accruing assessments and legal fees.
Representing herself pro se, Liu answered the complaint by disputing that she owed the charges, explaining that she had paid assessments, that street parking fines had previously been waived, and that she disputed an alleged weed fine. The association moved for summary judgment, attaching a multi-page accounting ledger with line items such as “misc. charges” and unexplained fines, along with a two-page affidavit from property manager Lisa Riesland asserting in boilerplate terms that she reviewed records and that Liu was indebted in the principal amount of $2,588.50.
The justice court granted the association’s motion for summary judgment and entered a judgment against Liu for $2,343.50 in damages, $4,345.00 in attorney fees, and $212.80 in costs. After the justice court denied Liu’s motion for a new trial, Liu retained attorney Jonathan A. Dessaules of the Dessaules Law Group and filed a notice of appeal to Maricopa County Superior Court.
On appeal, Dessaules argued that the association failed to establish a prima facie case, that the ledger was unauthenticated, and that charges were time-barred. On May 13, 2022, Superior Court Judge Daniel J. Kiley issued a comprehensive 15-page ruling reversing the summary judgment. Judge Kiley held that under Wells Fargo v. Allen, an HOA cannot rely on vague ledgers and conclusory manager affidavits to prove a debt. Judge Kiley also held that the association improperly billed legal fees into the ledger without judicial review of their reasonableness. Following supplemental briefing, Judge Kiley entered a final judgment on August 24, 2022, ordering Arrowhead Ranch POA to pay Liu $4,500.00 in attorney fees and $402.00 in costs.
Video overview of the case record
An AI-generated video overview of The Arrowhead Ranch Property Owners Association Phase IV v. He Liu (Maricopa County Superior Court No. LC2021-000358). Reversed. Unexplained HOA accounting ledgers and conclusory manager affidavits fail to prove debt on summary judgment. This plain-language summary was generated from the court’s filings; the court’s own records control.
Listen: audio deep dive on the case record
An AI-generated audio deep dive walking through the case record in The Arrowhead Ranch Property Owners Association Phase IV v. He Liu. Generated from the case filings; verify against the linked records below.
Procedural timeline
Arrowhead Ranch POA files collection complaint in Arrowhead Justice Court (CC2020093450RC).
Homeowner He Liu files pro se answer disputing unexplained fines and charges.
Association files motion for summary judgment with computer ledger and Riesland manager affidavit.
Arrowhead Justice Court grants association motion for summary judgment.
Justice court enters final judgment awarding HOA $6,901.30 in damages, fees, and costs.
Homeowner retains Jonathan A. Dessaules and files notice of appeal to Superior Court (LC2021-000358).
Superior Court enters scheduling order on record appeal.
Judge Daniel J. Kiley issues 15-page ruling reversing summary judgment and remanding for proceedings.
Judge Kiley signs final judgment awarding He Liu $4,902.00 in attorney fees and costs against HOA.
Complete source-document index
This index contains 6 PDFs from the reviewed public source packet. Byte-identical copies are listed once. Files are ordered by the date and sequence in the public filename, and party filings or research materials are labeled separately from court rulings.
Minute Entry Scheduling Order
Type: Court order/minute entry
Minute entry establishing record appeal briefing schedule before Judge Daniel J. Kiley.
Minute Entry Setting Oral Argument
Type: Court order/minute entry
Minute entry setting oral argument on the lower court record appeal.
Record Appeal Ruling Reversing Summary Judgment
Type: Decision or judgment
Landmark 15-page ruling by Judge Daniel J. Kiley reversing summary judgment under Wells Fargo v. Allen.
Minute Entry Extending Time Attorney Fee Application
Type: Court order/minute entry
Minute entry extending time for homeowner counsel Jonathan A. Dessaules to submit fee application.
Minute Entry Attorney Fee Briefing Complete
Type: Court order/minute entry
Minute entry noting completion of fee briefing and taking statement of costs under advisement.
Final Judgment For Attorney Fees And Costs
Type: Decision or judgment
Final judgment awarding homeowner He Liu $4,902.00 in fees and taxable costs against Arrowhead Ranch POA.
FAQ
What did Arrowhead Ranch POA claim in its collection lawsuit?
The association, represented by Chad M. Gallacher of Maxwell & Morgan P.C., sued homeowner He Liu in Arrowhead Justice Court claiming $2,588.50 in past-due assessments, late fees, fines, and unspecified admin fees, attaching a multi-page printout ledger and a boilerplate property manager affidavit.
Why did Judge Daniel J. Kiley reverse the justice court summary judgment?
Judge Kiley held that under Wells Fargo Bank, N.A. v. Allen, 231 Ariz. 209, a plaintiff cannot obtain summary judgment simply by submitting an unexplained ledger and a conclusory affidavit. The ledger contained vague entries such as “misc. charges” and unexplained fines without establishing how they were calculated or authorized, and the manager affidavit failed to explain how the ledger was prepared.
Was the homeowner required to file a counter-affidavit to defeat summary judgment?
No. Under Schwab v. Ames Construction, 207 Ariz. 56, when a moving party fails to make an initial prima facie showing of entitlement to judgment as a matter of law, the nonmoving party is not required to respond or submit controverting evidence. The moving party fails on its own deficient submission.
Can an HOA collect attorney fees simply by adding them to an internal account ledger?
No. Judge Kiley specifically ruled that an association cannot usurp the court’s role by unilaterally deciding its own entitlement to legal fees and the reasonableness of the amount claimed. The HOA must prove that the fees were actually incurred in collection efforts and establish their reasonableness.
What was the final outcome of the appeal for the homeowner?
The Superior Court reversed the justice court judgment in full and remanded the case. On August 24, 2022, Judge Kiley entered a final judgment awarding homeowner He Liu $4,500.00 in attorney fees and $402.00 in costs against Arrowhead Ranch POA under A.R.S. § 12-341.01.
Case Dossier
This dossier combines the case metadata, linked court sources, and the explanatory sections below. It distinguishes court rulings from party filings, allegations, and requested relief.
Case Summary
| Case ID / citation | Maricopa County Superior Court No. LC2021-000358 |
|---|---|
| Court / tribunal | Superior Court |
| Decision / key date | May 13, 2022 |
| Judge / panel | Hon. Daniel J. Kiley |
| Parties | The Arrowhead Ranch POA Phase IV (Appellee) v. He Liu (Appellant) |
| Governing law |
|
| Topics | AssessmentsFinesProcedureAttorney Fees |
| Outcome / holding | Reversed and remanded. An HOA moving for summary judgment cannot establish a prima facie entitlement to judgment merely by submitting an unexplained accounting ledger and a conclusory manager affidavit avowing that records were reviewed; the association must provide foundation explaining how charges were calculated and prove the reasonableness of pre-litigation legal fees. Because the HOA failed to meet its prima facie burden, the homeowner was not required to controvert the motion. |
| Primary public source | View hosted source opinion/order |
Parties, Court, and Research Coverage
| Reviewed source package | 6 PDFs |
|---|---|
| Step-by-step docket roadmap | 9 roadmap entries |
| Video overview | The Arrowhead Ranch Property Owners Association Phase IV v. He Liu |
| Study / briefing material | 1 section |
| FAQ / homeowner questions | 5 questions |
| Featured download links | 2 download links |
Key Issues & Findings
The Arrowhead Ranch Property Owners Association Phase IV sued homeowner He Liu in Arrowhead Justice Court for $2,588.50 in past due assessments, late fees, fines, and unspecified collection charges. The justice court granted summary judgment for the association and awarded damages, fees, and costs totaling $6,901.30. Liu retained Jonathan A. Dessaules and appealed to Maricopa County Superior Court. Judge Daniel J. Kiley reversed the judgment in a detailed 15-page ruling. Applying Wells Fargo Bank, N.A. v. Allen, Judge Kiley held that an HOA cannot obtain summary judgment based on an unexplained ledger containing vague charges (such as "misc. charges" and unexplained fines) accompanied by a boilerplate property manager affidavit. The court also held that HOAs cannot unilaterally decide the reasonableness of legal fees billed into an account ledger. Judge Kiley awarded Liu $4,902.00 in attorney fees and costs against the association.
The Superior Court conducted a de novo review of the justice court record under Schwab v. Ames Construction, 207 Ariz. 56. While holding that Liu waived statute of limitations and hearsay foundation objections by failing to raise them prior to judgment, Judge Kiley turned to the substantive merits of whether the association demonstrated an entitlement to summary judgment as a matter of law.
The court held that the evidence submitted by the association was completely insufficient. The ledger consisted of columns listing dates and amounts with descriptions that were unintelligible or vague, including unexplained "misc. charges" and uncalculated "fines." Furthermore, the supporting affidavit of property manager Lisa Riesland did not even mention the ledger, explain how it was created, or identify any specific act or omission by the homeowner that constituted a breach. Citing Wells Fargo Bank, N.A. v. Allen, 231 Ariz. 209, Copper State Financial Management v. High Valley Builders, and CACH, LLC v. Martin, the court ruled that conclusory affidavits stating liquidated amounts fail to establish debt as a matter of law.
Judge Kiley also addressed the association's unilateral inclusion of legal fees in the ledger. The court emphasized that an HOA cannot usurp the judicial role by declaring its own entitlement to legal fees and setting their amount. Because the association never identified the specific legal services performed or substantiated their reasonableness, those charges could not be sustained. Under Schwab, because the association failed to make a prima facie showing, summary judgment had to be reversed regardless of the homeowner's response. On August 24, 2022, Judge Kiley awarded Liu $4,500.00 in attorney fees and $402.00 in costs against the HOA under A.R.S. § 12-341.01.
This decision is one of the most critical authorities in Arizona for homeowners defending against HOA collection lawsuits. Associations and collection law firms routinely file summary judgment motions supported only by an unauthenticated computer printout ledger and a boilerplate property manager declaration. Judge Kiley's decision makes clear that under Wells Fargo v. Allen, Arizona courts cannot blindly accept an HOA's avowal of debt. Associations must prove the foundation, accuracy, and justification for every charge, fine, and legal fee on their ledgers. Crucially, it demonstrates that when an owner retains counsel to hold an HOA to its evidentiary burden, the owner can defeat summary judgment and recover thousands of dollars in fee awards from the association.