Arizona HOA Rental Amendments | Kalway | 1 CA-CV 23-0394
Gross is the cleanest Arizona published rental-amendment roadmap after Kalway. The short-term lease ban was invalid, but the unrelated-person occupancy limit survived because it refined existing single-family use restrictions.
Last updated June 3, 2026. Case: Gordon Gross, et al. v. The Shores at Rainbow Lake Community Association, Arizona Court of Appeals No. 1 CA-CV 23-0394; Navajo County Superior Court No. S0900CV202200042.
Scope note: This page covers the published appellate opinion, amended opinion order, mandate, and uploaded trial/appellate record. The complete uploaded source-document index below is generated from the local raw source folder, including court PDFs, court DOC/DOCX notices, and AI/source CSVs where present. AI-generated CSV summaries were reviewed only as orientation and are not treated as court authority.
The rule in one sentence
Under Kalway, an HOA rental amendment can be partly invalid and partly valid: a new short-term rental ban may be unforeseeable while an occupancy limit can survive if it refines an existing single-family-use covenant.
Case snapshot
Judgment was affirmed.
Thirty-day minimum lease term was stricken.
Four-unrelated-person occupancy limit survived.
Each side bore its own appellate fees and costs.
Case Dossier
This generated dossier mirrors the structured data surfaced on the OAH/ADRE case pages. It is added from the curated court-case record and the custom page source package, while the hand-authored analysis below remains intact.
Case Summary
| Case ID / citation | 1 CA-CV 23-0394 |
|---|---|
| Court / tribunal | Court of Appeals |
| Decision / key date | October 10, 2024 |
| Judge / panel | Presiding Judge Samuel A. Thumma, Judge Jennifer B. Campbell, Judge Michael J. Brown |
| Parties | Owners challenged a 2021 amendment that banned short-term rentals and limited occupancy by unrelated renters in a planned community. |
| Topics | cc-and-rsprocedure |
| Outcome / holding | The court held that the new short-term rental ban was invalid under Arizona amendment-notice principles, but the cap on unrelated renters was valid because it was reasonably foreseeable from the existing CC&Rs. |
| Primary public source | View source opinion/order |
Parties, Court, and Research Coverage
| Uploaded source package | 121 PDFs, 10 supporting source/review files |
|---|---|
| Step-by-step docket roadmap | 6 roadmap entries |
| Video overview | Gross v. The Shores at Rainbow Lake: Kalway, Rentals, and Occupancy Limits |
| Study / briefing material | 2 sections |
| FAQ / homeowner questions | 3 questions |
| Curated download aliases | 5 download links |
Key Issues & Findings
Gross applied Kalway in a practical, highly relevant HOA setting: rental restrictions. The community amended its CC&Rs to prohibit rentals shorter than 30 days and to bar more than four unrelated individuals from leasing a property. The Court of Appeals split the amendment. It held the short-term rental ban was invalid because it prohibited conduct the earlier CC&Rs had allowed and was not reasonably foreseeable from the original declaration. But it upheld the unrelated-persons occupancy limit because that restriction was viewed as a clarification and refinement of existing use limits rather than a brand-new burden. The opinion is one of the clearest Arizona appellate examples of how courts separate an impermissible new use restriction from a permissible refinement of an existing one.
The court framed the dispute as one about owner notice and reasonable expectations. A recorded declaration can be amended, but only within the fair scope of what the original declaration put buyers on notice might later be refined. Under that approach, an amendment cannot simply reverse an existing freedom and call the result a refinement.
Applying that rule, the short-term rental ban was too much because the preexisting documents had not warned owners that leasing could later be cut off in that way. The unrelated-occupants limit came out differently because the original scheme already contained structure about occupancy and residential use, making the later cap a closer fit with the bought-for framework.
Gross is one of the best Arizona Court of Appeals cases for short-term-rental disputes after Kalway. It gives both sides a usable analytic framework for asking whether an amendment is genuinely foreseeable or instead a new restriction in disguise.
Boards considering rental amendments should read it before drafting. Homeowners challenging new lease limits will cite it often.
Why this case matters
Gross gives Arizona homeowners and boards a detailed framework for rental amendments after Kalway. The court treated the short-term rental ban as a new burden because the original CC&Rs expressly allowed leasing and did not set a minimum lease duration.
At the same time, Gross rejected the idea that every rental-related amendment fails. The unrelated-person cap was upheld because the original CC&Rs already limited use to single-family residential use and defined Single Family. That made the cap a refinement rather than an entirely new covenant.
Video overview: Kalway, rentals, and occupancy limits
Watch this overview for Gross v. The Shores at Rainbow Lake, where the Court of Appeals split a rental amendment into an invalid short-term rental ban and a valid unrelated-person occupancy limit.
Homeowner study guide: Kalway, rentals, and occupancy limits
| Homeowner question | Study-guide answer | Case lesson |
|---|---|---|
| Can The Shores enforce the 2021 minimum 30-day lease requirement? | No. The court held the short-term rental ban invalid and unenforceable. | A later amendment cannot add an unforeseeable rental-duration restriction where the original CC&Rs allowed leasing without a minimum term. |
| Why did the 30-day rule fail under Kalway? | The original declaration allowed leasing and did not contain a lease-duration limit. | The court treated the new 30-day minimum as an entirely new burden rather than a foreseeable refinement. |
| Did earlier Shores litigation matter? | Yes. Horton v. Hartsook had already treated similar community language as permitting short-term rentals. | Prior interpretation of the same or similar covenants can shape what later owners reasonably could foresee. |
| Can the association limit unrelated occupants? | Yes. The court upheld the four-unrelated-person limit. | That provision refined an existing Single Family residential-use covenant rather than creating a new rental ban. |
| Does Single Family residential use address only building type? | No. Gross treated the covenant as addressing use and occupancy, not just architecture. | Owners should read use restrictions as controlling how the property is occupied as well as how it is built. |
| Is a 67 percent amendment vote enough by itself? | No. Procedural approval does not override the common-law reasonable-and-foreseeable requirement. | An amendment can receive enough votes and still be unenforceable if it exceeds the original covenant notice. |
| What happened to voter-irregularity claims? | Those alternative claims were dismissed with prejudice after the homeowners chose not to pursue them to expedite final judgment. | Gross is mainly useful for the contract-enforceability analysis, not as a voting-process ruling. |
| Does the Planned Communities Act displace Kalway common law? | No. The court followed Kalway and held A.R.S. 33-1817(A) does not eliminate the reasonable-and-foreseeable amendment limit. | Arizona associations must satisfy both procedural amendment rules and substantive foreseeability limits. |
Litigation roadmap
Adopted amendment restricting leases shorter than 30 days and limiting unrelated occupants.
Filed by: Association
Creates the CC&R amendment challenged by rental owners.
Filed suit challenging the amendment under Kalway.
Filed by: Homeowners
Frames the case as a property-rights and contract-notice dispute.
Invalidated the short-term lease ban but upheld the remaining challenged provisions.
Filed by: Superior Court
The split trial ruling became the appellate issue.
Entered amended final judgment.
Filed by: Superior Court
Created final appeal/cross-appeal posture.
Published opinion affirmed the split result.
Filed by: Court of Appeals
This is the key statewide authority.
Issued civil mandate after later review proceedings concluded.
Filed by: Court of Appeals
Marks appellate finality.
Complete uploaded source-document index
This index is generated from every public-facing source file currently present in assets/court_case_downloads/gross-v-the-shores-at-rainbow-lake-community-association/raw/: 121 PDFs, 10 supporting review/media files. Files are ordered by the date/sequence embedded in the normalized filename; AI-generated review materials are labeled separately and should not be treated as court filings.
Index Of Record
Type: Court/source PDF
Uploaded source file in the case record; read it in sequence with the surrounding filings to follow the procedure.
Verified Complaint
Type: Opening pleading
Starts or reframes the case and identifies the claims or relief requested.
Attachment 1 St To Index Number 001
Type: Court/source PDF
Uploaded source file in the case record; read it in sequence with the surrounding filings to follow the procedure.
Attachment 2 Nd To Index Number 001
Type: Court/source PDF
Uploaded source file in the case record; read it in sequence with the surrounding filings to follow the procedure.
Plaintiffs Motion For Preliminary
Type: Motion/application
A request for a specific ruling or procedural action; the next document is often a response or order.
Attachment To Index Number 004
Type: Court/source PDF
Uploaded source file in the case record; read it in sequence with the surrounding filings to follow the procedure.
Summon Issuedre The Shores At Rainb
Type: Court/source PDF
Uploaded source file in the case record; read it in sequence with the surrounding filings to follow the procedure.
Acceptance Of Service
Type: Procedural/service filing
Uploaded source file in the case record; read it in sequence with the surrounding filings to follow the procedure.
Notice Of Appearance
Type: Procedural/service filing
Procedural filing that documents service, appearance, compliance, or a required notice step.
Judicial Noticesetting Hearing
Type: Procedural/service filing
Procedural filing that documents service, appearance, compliance, or a required notice step.
Response To Preliminary Injunctio
Type: Briefing paper
Opposing or responsive paper; compare it to the motion or request filed immediately before it.
Answer To Complaint
Type: Opening pleading
Starts or reframes the case and identifies the claims or relief requested.
Notice Of Filing Exhibits For Respo
Type: Procedural/service filing
Procedural filing that documents service, appearance, compliance, or a required notice step.
Minute Entry Preliminary Injuncti
Type: Court notice/document
Court notice or document from the appellate upload; read it with the surrounding docket filings.
Minute Entry Preliminary Injuncti
Type: Court notice/document
Court notice or document from the appellate upload; read it with the surrounding docket filings.
Stipulation For Entry Of Prelimina
Type: Court/source PDF
Uploaded source file in the case record; read it in sequence with the surrounding filings to follow the procedure.
Motion For Partial Summary Judgmen
Type: Motion/application
A request for a specific ruling or procedural action; the next document is often a response or order.
Attachment To Index Number 015
Type: Court/source PDF
Uploaded source file in the case record; read it in sequence with the surrounding filings to follow the procedure.
Statement Of Facts In Support Of Mot
Type: Court/source PDF
Uploaded source file in the case record; read it in sequence with the surrounding filings to follow the procedure.
Attachment To Index Number 017
Type: Court/source PDF
Uploaded source file in the case record; read it in sequence with the surrounding filings to follow the procedure.
Order Re Stipulation For Entry Of Pr
Type: Court order/minute entry
Court or agency order; this is usually the document that tells readers what changed next.
Response To Motion For Summary Judg
Type: Motion/application
A request for a specific ruling or procedural action; the next document is often a response or order.
Response To Plaintiffs Statement O
Type: Briefing paper
Opposing or responsive paper; compare it to the motion or request filed immediately before it.
Judicial Noticesetting Hearing
Type: Procedural/service filing
Procedural filing that documents service, appearance, compliance, or a required notice step.
Notice Of First Extension Of Time To
Type: Procedural/service filing
Procedural filing that documents service, appearance, compliance, or a required notice step.
Combined Reply And Response
Type: Briefing paper
Reply paper; usually the final written response before the court takes the issue under advisement.
Response To Defendants Separate St
Type: Briefing paper
Opposing or responsive paper; compare it to the motion or request filed immediately before it.
Reply In Support Of Crossmotion For
Type: Motion/application
A request for a specific ruling or procedural action; the next document is often a response or order.
First Amended Verified Complaint
Type: Opening pleading
Starts or reframes the case and identifies the claims or relief requested.
Attachment To Index Number 027
Type: Court/source PDF
Uploaded source file in the case record; read it in sequence with the surrounding filings to follow the procedure.
Notice Of Filing Re First Amended Ve
Type: Procedural/service filing
Procedural filing that documents service, appearance, compliance, or a required notice step.
Attachment To Index Number 029
Type: Court/source PDF
Uploaded source file in the case record; read it in sequence with the surrounding filings to follow the procedure.
Minute Entry Oral Argument On Motio
Type: Court notice/document
Court notice or document from the appellate upload; read it with the surrounding docket filings.
Minute Entry Oral Argument On Motio
Type: Court notice/document
Court notice or document from the appellate upload; read it with the surrounding docket filings.
Ruling On Motion And Cross Motion Fo
Type: Court order/minute entry
A request for a specific ruling or procedural action; the next document is often a response or order.
Plaintiffs Application For Attorn
Type: Motion/application
A request for a specific ruling or procedural action; the next document is often a response or order.
Declaration Of Counsel In Support O
Type: Court/source PDF
Uploaded source file in the case record; read it in sequence with the surrounding filings to follow the procedure.
Notice Of Lodging
Type: Procedural/service filing
Procedural filing that documents service, appearance, compliance, or a required notice step.
Attachment To Index Number 035
Type: Court/source PDF
Uploaded source file in the case record; read it in sequence with the surrounding filings to follow the procedure.
Objection To Form Of Judgment
Type: Decision or judgment
Opposing or responsive paper; compare it to the motion or request filed immediately before it.
Attachment To Index Number 037
Type: Court/source PDF
Uploaded source file in the case record; read it in sequence with the surrounding filings to follow the procedure.
Objection To Application For Attor
Type: Motion/application
A request for a specific ruling or procedural action; the next document is often a response or order.
Attachment To Index Number 039
Type: Court/source PDF
Uploaded source file in the case record; read it in sequence with the surrounding filings to follow the procedure.
Reply In Support Of Application For
Type: Motion/application
A request for a specific ruling or procedural action; the next document is often a response or order.
Reply To Objection To Form Of Judgme
Type: Briefing paper
Opposing or responsive paper; compare it to the motion or request filed immediately before it.
Judicial Orderre Proposed Judgmen
Type: Court order/minute entry
Court or agency order; this is usually the document that tells readers what changed next.
Judicial Orderre Attorney Fees
Type: Court order/minute entry
Court or agency order; this is usually the document that tells readers what changed next.
Notice Re Proposed Form Of Judgment
Type: Decision or judgment
Decision document; read it to understand the controlling result before moving to later filings.
Final Judgmentfiled 12062022
Type: Decision or judgment
Decision document; read it to understand the controlling result before moving to later filings.
Motion For New Trial
Type: Motion/application
A request for a specific ruling or procedural action; the next document is often a response or order.
Notice Of Appeal
Type: Procedural/service filing
Moves the dispute into appellate or judicial-review procedure; use it to track the next forum.
Notice To Court Re Appeal
Type: Procedural/service filing
Procedural filing that documents service, appearance, compliance, or a required notice step.
Response To Motion For New Trial
Type: Motion/application
A request for a specific ruling or procedural action; the next document is often a response or order.
Notice Of Crossappeal
Type: Procedural/service filing
Procedural filing that documents service, appearance, compliance, or a required notice step.
Clerks Notice Of Filing Notice Of Ap
Type: Procedural/service filing
Procedural filing that documents service, appearance, compliance, or a required notice step.
Reply In Support Of Motion For New Tr
Type: Motion/application
A request for a specific ruling or procedural action; the next document is often a response or order.
Order Denying Motion For New Trial
Type: Court order/minute entry
A request for a specific ruling or procedural action; the next document is often a response or order.
Clerks Notice Of Acceptance Of Elec
Type: Procedural/service filing
Procedural filing that documents service, appearance, compliance, or a required notice step.
Appellate Clerk Notice
Type: Procedural/service filing
Moves the dispute into appellate or judicial-review procedure; use it to track the next forum.
Amended And Supplental Notice Of Ap
Type: Procedural/service filing
Procedural filing that documents service, appearance, compliance, or a required notice step.
Transcript Of Digitally Taped Proc
Type: Court/source PDF
Adds hearing transcript material to the record for later review or appeal.
Notice Of Firm Name Change And Chang
Type: Procedural/service filing
Procedural filing that documents service, appearance, compliance, or a required notice step.
Notice Of Transcript Order
Type: Court order/minute entry
Adds hearing transcript material to the record for later review or appeal.
Notice Setting Telephonic Status C
Type: Procedural/service filing
Procedural filing that documents service, appearance, compliance, or a required notice step.
Notice Of Lodging Amended Final Jud
Type: Procedural/service filing
Procedural filing that documents service, appearance, compliance, or a required notice step.
Attachment To Index Number 63
Type: Court/source PDF
Uploaded source file in the case record; read it in sequence with the surrounding filings to follow the procedure.
Hearing
Type: Court notice/document
Court notice or document from the appellate upload; read it with the surrounding docket filings.
Hearing
Type: Court notice/document
Court notice or document from the appellate upload; read it with the surrounding docket filings.
Notice Of Lodging
Type: Procedural/service filing
Procedural filing that documents service, appearance, compliance, or a required notice step.
Objection To Form Of Judgment
Type: Decision or judgment
Opposing or responsive paper; compare it to the motion or request filed immediately before it.
Reply Supporting Entry Of Final Jud
Type: Briefing paper
Uploaded source file in the case record; read it in sequence with the surrounding filings to follow the procedure.
Defendants Objection To Plaintiff
Type: Briefing paper
Opposing or responsive paper; compare it to the motion or request filed immediately before it.
Plaintiffs Reply To Defendants Obj
Type: Briefing paper
Reply paper; usually the final written response before the court takes the issue under advisement.
Amended Final Judgment
Type: Decision or judgment
Decision document; read it to understand the controlling result before moving to later filings.
Hearing On Amended Jugment
Type: Court notice/document
Court notice or document from the appellate upload; read it with the surrounding docket filings.
Hearing On Amended Jugment
Type: Court notice/document
Court notice or document from the appellate upload; read it with the surrounding docket filings.
Order Dismissing Appeal And Crossa
Type: Court order/minute entry
Court or agency order; this is usually the document that tells readers what changed next.
Notice Of Appeal
Type: Procedural/service filing
Moves the dispute into appellate or judicial-review procedure; use it to track the next forum.
Transcript 17 May 2023
Type: Court/source PDF
Adds hearing transcript material to the record for later review or appeal.
Appellate Clerk Notice Re Appellan
Type: Court notice/document
Court notice or document from the appellate upload; read it with the surrounding docket filings.
Notice Of Filing Transcriptreport
Type: Procedural/service filing
Adds hearing transcript material to the record for later review or appeal.
Certificate Of Service
Type: Procedural/service filing
Procedural filing that documents service, appearance, compliance, or a required notice step.
Case Management Statement
Type: Court/source PDF
Case-management filing; it tells the court how the parties propose to schedule and manage the case.
Certificate Of Service
Type: Procedural/service filing
Procedural filing that documents service, appearance, compliance, or a required notice step.
Appellate Clerk Notice Re Appellee
Type: Procedural/service filing
Moves the dispute into appellate or judicial-review procedure; use it to track the next forum.
Case Management Statement
Type: Court/source PDF
Case-management filing; it tells the court how the parties propose to schedule and manage the case.
Joint Motion To Include Additional
Type: Motion/application
A request for a specific ruling or procedural action; the next document is often a response or order.
Certificate Of Service
Type: Procedural/service filing
Procedural filing that documents service, appearance, compliance, or a required notice step.
Exhibit Areporters Transcript 040
Type: Court/source PDF
Adds hearing transcript material to the record for later review or appeal.
Order Supplementing Record
Type: Court order/minute entry
Court or agency order; this is usually the document that tells readers what changed next.
Clerks Notice Of Filing Notice Of Ap
Type: Procedural/service filing
Procedural filing that documents service, appearance, compliance, or a required notice step.
Appellate Clerk Notice
Type: Procedural/service filing
Moves the dispute into appellate or judicial-review procedure; use it to track the next forum.
Notice Of Crossappeal
Type: Procedural/service filing
Procedural filing that documents service, appearance, compliance, or a required notice step.
Notice Of Payment Of Crossappeal Fe
Type: Procedural/service filing
Procedural filing that documents service, appearance, compliance, or a required notice step.
Certificate Of Service
Type: Procedural/service filing
Procedural filing that documents service, appearance, compliance, or a required notice step.
Motion For Procedural Order And App
Type: Court order/minute entry
A request for a specific ruling or procedural action; the next document is often a response or order.
Order Extending Time To File Openin
Type: Court order/minute entry
Court or agency order; this is usually the document that tells readers what changed next.
Certificate Of Service
Type: Procedural/service filing
Procedural filing that documents service, appearance, compliance, or a required notice step.
Opening Brief
Type: Briefing paper
Opening merits brief; this is where the appellant or moving party frames the legal argument.
Certificate Of Compliance
Type: Procedural/service filing
Procedural filing that documents service, appearance, compliance, or a required notice step.
Certificate Of Service
Type: Procedural/service filing
Procedural filing that documents service, appearance, compliance, or a required notice step.
Combined Answering Brief On Appeal
Type: Responsive pleading
Responding party’s first substantive response to the complaint or petition.
Certificate Of Compliance
Type: Procedural/service filing
Procedural filing that documents service, appearance, compliance, or a required notice step.
Certificate Of Service
Type: Procedural/service filing
Procedural filing that documents service, appearance, compliance, or a required notice step.
Appendix Combined Answering Brief
Type: Responsive pleading
Responding party’s first substantive response to the complaint or petition.
Appellants Reply Brief And Answeri
Type: Responsive pleading
Responding party’s first substantive response to the complaint or petition.
Certificate Of Compliance
Type: Procedural/service filing
Procedural filing that documents service, appearance, compliance, or a required notice step.
Certificate Of Service
Type: Procedural/service filing
Procedural filing that documents service, appearance, compliance, or a required notice step.
Reply Brief On Cross Appeal
Type: Briefing paper
Reply paper; usually the final written response before the court takes the issue under advisement.
Request For Oral Argument
Type: Motion/application
A request for a specific ruling or procedural action; the next document is often a response or order.
Certificate Of Compliance
Type: Procedural/service filing
Procedural filing that documents service, appearance, compliance, or a required notice step.
Certificate Of Service
Type: Procedural/service filing
Procedural filing that documents service, appearance, compliance, or a required notice step.
Certificate Of Service
Type: Procedural/service filing
Procedural filing that documents service, appearance, compliance, or a required notice step.
Div 1 Memorandum Requesting Additi
Type: Motion/application
A request for a specific ruling or procedural action; the next document is often a response or order.
Court Of Appeals Memorandum
Type: Court/source PDF
Uploaded source file in the case record; read it in sequence with the surrounding filings to follow the procedure.
Order Granting Request For Oral Arg
Type: Court order/minute entry
A request for a specific ruling or procedural action; the next document is often a response or order.
Notice Of Oral Argument Request For
Type: Motion/application
A request for a specific ruling or procedural action; the next document is often a response or order.
Return Receipt For Notice Of Oral Ar
Type: Procedural/service filing
Procedural filing that documents service, appearance, compliance, or a required notice step.
Return Receipt For Notice Of Oral Ar
Type: Procedural/service filing
Procedural filing that documents service, appearance, compliance, or a required notice step.
Sign-in Sheetcase Is Under Adviseme
Type: Court/source PDF
Uploaded source file in the case record; read it in sequence with the surrounding filings to follow the procedure.
Decision Distribution Notificati
Type: Decision or judgment
Decision document; read it to understand the controlling result before moving to later filings.
Opinion
Type: Decision or judgment
Decision document; read it to understand the controlling result before moving to later filings.
Order Amending Opinion Decision Vi
Type: Decision or judgment
Court or agency order; this is usually the document that tells readers what changed next.
Notice Of Appearance
Type: Procedural/service filing
Procedural filing that documents service, appearance, compliance, or a required notice step.
Certificate Of Service For Notice O
Type: Procedural/service filing
Procedural filing that documents service, appearance, compliance, or a required notice step.
Asc Order Filed 11082024 Re Extendi
Type: Court order/minute entry
Court or agency order; this is usually the document that tells readers what changed next.
Email Notice From Asc Re Petition Fo
Type: Procedural/service filing
Procedural filing that documents service, appearance, compliance, or a required notice step.
Div 1 Transmittal Of Partial Record
Type: Court/source PDF
Uploaded source file in the case record; read it in sequence with the surrounding filings to follow the procedure.
Letter From Asc 03052025 Re Petitio
Type: Court/source PDF
Uploaded source file in the case record; read it in sequence with the surrounding filings to follow the procedure.
Civil Mandate
Type: Decision or judgment
Decision document; read it to understand the controlling result before moving to later filings.
Legal Case Source Document Summary Table 1
Type: Source roadmap CSV
Upload/source spreadsheet that helps cross-check filing order, source names, or AI review notes.
For homeowners
- Use Gross when a new amendment restricts rental duration after the original CC&Rs allowed leasing.
- Do not assume every rental-related restriction fails; compare each clause separately.
- Preserve the original CC&Rs, the amended language, voting materials, and evidence of historical rental use.
For boards and managers
- Draft rental amendments around the specific original covenants that already exist.
- Separate lease-duration limits from occupancy limits; Gross analyzes them differently.
- Expect courts to blue-pencil severable provisions rather than treat a multi-part amendment as all-or-nothing.
FAQ
Did Gross invalidate all rental restrictions?
No. It invalidated the 30-day minimum lease term but upheld the unrelated-person occupancy limit.
Why did the 30-day rental ban fail?
The original CC&Rs allowed leasing and had no minimum lease duration, so owners were not on notice that a majority could later ban shorter rentals.
Why did the occupancy cap survive?
The CC&Rs already contained a single-family residential use covenant and a Single Family definition, so the cap was treated as a permissible refinement.