Shawna Townsend v. North Canyon Ranch Owners Association

Case Summary

Case ID 23F-H018-REL
Agency ADRE
Tribunal OAH
Decision Date 2023-02-07
Administrative Law Judge Sondra J. Vanella
Outcome The Administrative Law Judge dismissed the petition, finding that Petitioner failed to establish by a preponderance of the evidence that the North Canyon Ranch Owners Association violated its governing documents regarding the storage of a truck camper.
Filing Fees Refunded $500.00
Civil Penalties $0.00

Parties & Counsel

Petitioner Shawna Townsend Counsel
Respondent North Canyon Ranch Owners Association Counsel Haidyn DiLorenzo

Alleged Violations

CC&Rs Section 4.3 Storage, Section 4.17 Motor Vehicles, Community Guidelines 2007

Outcome Summary

The Administrative Law Judge dismissed the petition, finding that Petitioner failed to establish by a preponderance of the evidence that the North Canyon Ranch Owners Association violated its governing documents regarding the storage of a truck camper.

Why this result: Petitioner failed to meet the burden of proof. The ALJ concluded that the Petitioner's 'truck camper' falls within the scope of prohibited items, specifically as 'other similar equipment' under the CC&Rs and rules, making her argument one of semantics.

Key Issues & Findings

Whether the HOA violated its governing documents by issuing a fine for parking a mounted truck camper, based on the Petitioner's claimed 'legal loophole'.

Petitioner claimed a 'legal loophole' existed because the governing documents prohibited 'unmounted pickup camper units' or 'detached campers,' but not her currently mounted/attached truck camper. The ALJ found the truck camper was unequivocally prohibited as 'other similar equipment' under the CC&Rs and Rules, dismissing the petition.

Orders: Petition dismissed. No action is required of Respondent in this matter.

Filing fee: $500.00, Fee refunded: No

Disposition: respondent_win

Cited:

  • CC&Rs § 4.3
  • CC&Rs § 4.17
  • Community Guidelines 2007
  • A.R.S. § 32-2199.01
  • A.R.S. § 33-2102(18)(e)

Analytics Highlights

Topics: HOA, truck camper, recreational vehicle, storage violation, legal loophole, fines, administrative hearing, Arizona
Additional Citations:

  • CC&Rs § 4.3
  • CC&Rs § 4.17
  • Community Guidelines 2007
  • A.R.S. § 32-2199.01
  • A.R.S. § 33-2102(18)(e)

Video Overview

Audio Overview

Decision Documents

23F-H018-REL Decision – 1031834.pdf

Uploaded 2026-04-27T09:47:34 (167.3 KB)

23F-H018-REL Decision – 1031834.pdf

Uploaded 2026-01-23T17:52:42 (167.3 KB)

This summary details the administrative hearing held on January 19, 2023, in the matter of Shawna Townsend v. North Canyon Ranch Owners Association (Docket No. 23F-H018-REL). The Petitioner, Shauna Townsend, appeared self-represented, alleging the Respondent HOA violated community documents by fining her for storing a truck camper.

Key Facts and Main Issues

The dispute centered on the Petitioner storing her truck camper in her driveway, visible from neighboring properties. The Petitioner sought relief from fines imposed by the Respondent, arguing she had found a "legal loophole" in the association's Covenants, Conditions, and Restrictions (CC&Rs) and Community Guidelines.

The Respondent (HOA) maintained that the storage of the camper violated multiple governing documents, including:

  1. CC&R Section 4.3 (Storage): Prohibiting exterior storage of items like "unmounted pickup camper units" in the front yard.
  2. Architectural and Community Guidelines (2007): Prohibiting equipment such as "camper shell, detached camper, boat, boat trailer, hang glider, or other similar equipment or vehicle" from being parked or stored on lots if visible.
  3. Rules Regarding Recreational Type Vehicles (2000): Explicitly defining "Recreational Type Vehicles" to include "campers" and prohibiting their storage in driveways or front yards (allowing only brief loading/unloading, generally less than 24 consecutive hours).

Key Arguments and Legal Points

Petitioner's Argument (The "Loophole"): The Petitioner asserted that because her truck camper was mounted/attached to her truck, it did not fall under the specific prohibitions against "unmounted pickup camper units" (CC&Rs) or "detached campers" (Guidelines). She also argued that her truck camper was not technically an RV, trailer, or camper shell. She noted inconsistencies in the violation notices, which variously referred to the violation as an "RV," "trailer," or "camper shell".

Respondent's Argument: The Respondent contended that the documents, when read together, unambiguously prohibit the storage of the truck camper because it is captured by the broad language of "camper," "truck camper," or "other similar equipment". The Association provided evidence of multiple violation notices, appeals, and appeal denials (dated November 2021 through September 2022) demonstrating that the Petitioner was provided notice and an opportunity to be heard prior to fines being assessed, thereby validating the fines.

The Administrative Law Judge (ALJ) noted that the Petitioner's argument was primarily one of semantics. The ALJ further referenced Arizona state statute A.R.S. § 33-2102(18), which defines a "Recreational vehicle" to include a "portable truck camper". Crucially, the Petitioner acknowledged during testimony that her truck camper is, in fact, a recreational vehicle.

Outcome

The burden of proof rested upon the Petitioner to establish by a preponderance of the evidence that the Respondent violated the governing documents.

The Administrative Law Judge concluded that Petitioner failed to meet this burden. The ALJ held that the Petitioner's truck camper clearly falls within the categories of prohibited equipment, particularly under the umbrella language of "other similar equipment" specified in the community documents.

The petition was dismissed, and no action was required of the Respondent. The decision became binding upon the parties pending any request for a rehearing.

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23F-H018-REL

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This legal transcript and subsequent judicial decision detail a dispute between homeowner Shawna Townsend and the North Canyon Ranch Owners Association regarding a fine for storing a truck camper in public view. Townsend argued that her equipment fell into a legal loophole because the association’s rules specifically prohibited “unmounted” or “detached” campers, while hers remained attached to her vehicle. In contrast, the Homeowners Association maintained that the camper violated multiple regulations prohibiting the storage of recreational type vehicles and similar equipment in driveways. During the administrative hearing, testimony was provided regarding the enforcement consistency of the community’s governing documents and the specific definitions of recreational vehicles under Arizona law. Ultimately, the Administrative Law Judge ruled in favor of the association, determining that the truck camper was clearly prohibited as “similar equipment” regardless of its attachment status. The petition was dismissed, confirming that the association acted within its authority when issuing the violation notices and fines.

What are the core legal arguments regarding the truck camper loophole?
How did the Administrative Law Judge rule on the association’s enforcement?
How do North Canyon Ranch guidelines define recreational vehicles and storage?

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23F-H018-REL

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This legal transcript and subsequent judicial decision detail a dispute between homeowner Shawna Townsend and the North Canyon Ranch Owners Association regarding a fine for storing a truck camper in public view. Townsend argued that her equipment fell into a legal loophole because the association’s rules specifically prohibited “unmounted” or “detached” campers, while hers remained attached to her vehicle. In contrast, the Homeowners Association maintained that the camper violated multiple regulations prohibiting the storage of recreational type vehicles and similar equipment in driveways. During the administrative hearing, testimony was provided regarding the enforcement consistency of the community’s governing documents and the specific definitions of recreational vehicles under Arizona law. Ultimately, the Administrative Law Judge ruled in favor of the association, determining that the truck camper was clearly prohibited as “similar equipment” regardless of its attachment status. The petition was dismissed, confirming that the association acted within its authority when issuing the violation notices and fines.

What are the core legal arguments regarding the truck camper loophole?
How did the Administrative Law Judge rule on the association’s enforcement?
How do North Canyon Ranch guidelines define recreational vehicles and storage?

Thursday, February 12

Save to note

Today • 2:12 PM

2 sources

Video Overview

Mind Map

Reports

Flashcards

Quiz

Infographic

Slide Deck

Data Table

NotebookLM can be inaccurate; please double check its responses.

Case Participants

Petitioner Side

  • Shawna Townsend (petitioner)
    Appeared on her own behalf; also referred to as Shauna Townsen or Miss Townsen
  • Michael Townsen (co-owner)
    Co-owner and recipient of violation notices with Petitioner

Respondent Side

  • Haidyn DiLorenzo (HOA attorney)
    Represented Respondent North Canyon Ranch Owners Association
  • Justin DeLuca (HOA attorney)
    Represented Respondent North Canyon Ranch Owners Association
  • Josey Perkins (community manager/witness)
    North Canyon Ranch Owners Association
    Community Manager for the association, testified as a witness (also referred to as Joy Perkins)
  • Riner (board member)
    North Canyon Ranch Owners Association Board of Directors
    Made motion to deny petitioner's appeal
  • Robera Holler (board member)
    North Canyon Ranch Owners Association Board of Directors
    Seconded motion to deny petitioner's appeal
  • Petra Paul (Executive VP of Management Services)
    Management Services
    Vice President of management services, communicated with Petitioner about the appeal
  • Beth Mulcahy (HOA attorney)
    Mulcahy Law Firm, PC
    Listed as contact for transmission of the decision

Neutral Parties

  • Sondra J. Vanella (ALJ)
    OAH
    Administrative Law Judge (also referred to as Sandra Vanella)
  • James Knupp (Acting Commissioner, ADRE)
    Arizona Department of Real Estate
    Recipient of the decision

Pamela McKinney v. Valle Vista Property Owners Association

Case Summary

Case ID 23F-H019-REL
Agency ADRE
Tribunal OAH
Decision Date 2023-01-31
Administrative Law Judge Sondra J. Vanella
Outcome The Administrative Law Judge dismissed the petition, finding that the Respondent HOA's Articles of Incorporation had been previously amended to be perpetual (1994, 1999) and that the CLRs automatically renew for an additional 25 years without requiring a homeowner vote, provided no modifications or changes are made.
Filing Fees Refunded $500.00
Civil Penalties $0.00

Parties & Counsel

Petitioner Pamela McKinney Counsel
Respondent Valle Vista Property Owners Association Counsel Alan Meda

Alleged Violations

Articles of Incorporation Article 8, Covenants, Limitations & Restrictions Article 19 Sec. A, Covenants, Limitations & Restrictions Article 19 Sec. B

Outcome Summary

The Administrative Law Judge dismissed the petition, finding that the Respondent HOA's Articles of Incorporation had been previously amended to be perpetual (1994, 1999) and that the CLRs automatically renew for an additional 25 years without requiring a homeowner vote, provided no modifications or changes are made.

Why this result: Petitioner failed to meet the burden of proof that Respondent violated the Articles of Incorporation or the CLRs, as the evidence showed the corporation's existence was perpetual and the CLRs' automatic renewal was permissible without a vote.

Key Issues & Findings

Expiration of HOA Charter and unlawful extension of CLRs by Board resolution without member vote

Petitioner alleged the HOA's charter and CLRs expired after 50 years (2022) and that the Board unlawfully extended the CLRs for 25 years via a resolution (Resolution/Memorandum of September 27, 2022) without the required vote of the co-owners. The ALJ found that the Articles of Incorporation were perpetually extended by amendments in 1994 and 1999, and the CLRs automatically renewed without a vote because no modifications were made.

Orders: Petitioner’s Petition is dismissed.

Filing fee: $500.00, Fee refunded: No

Disposition: petitioner_loss

Cited:

  • Articles of Incorporation (1972)
  • Articles of Amendment (1994)
  • Articles of Amendment (1999)
  • CLRs Unit One (1972)
  • Resolution 092722 (Sept 27, 2022)

Analytics Highlights

Topics: HOA Charter Expiration, CLRs Renewal, Perpetual Existence, Amendment Vote, HOA Board Authority, Arizona Real Estate Statute
Additional Citations:

  • A.R.S. § 32-2199
  • A.R.S. § 32-2199.02(B)
  • A.R.S. § 32-2199.04
  • A.R.S. § 41-1092.07(G)(2)
  • A.A.C. R2-19-119(A)
  • A.A.C. R2-19-119(B)(1)
  • A.R.S. § 41-1092.09

Related election workflow tool

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Video Overview

Audio Overview

Decision Documents

23F-H019-REL Decision – 1030077.pdf

Uploaded 2026-04-24T11:59:33 (140.1 KB)

23F-H019-REL Decision – 1030077.pdf

Uploaded 2026-01-23T17:52:48 (140.1 KB)

This summary addresses the hearing proceedings, key arguments, and final decision of the legal case, drawing on the provided sources.

***

Concise Summary of Administrative Hearing: Pamela McKinney v. Valle Vista Property Owners Association

Key Facts and Proceedings

The administrative hearing was held on January 17, 2023 (Docket No. 23F-H 019- REL) before Administrative Law Judge (ALJ) Sondra J. Vanella. Petitioner Pamela McKinney appeared on her own behalf, alleging that the Valle Vista Property Owners Association (Respondent) violated community documents. The burden of proof rested upon the Petitioner to establish the alleged violations by a preponderance of the evidence.

The dispute centered on the Respondent's use of a Resolution/Memorandum of September 27, 2022 to extend the Declarations of Covenants, Limitations, and Restrictions (CLRs) for another 25 years without an approval vote from the Council of co-owners. The Petitioner, an owner in Unit One, contended that the Articles of Incorporation (the association charter) had expired after 50 years (in May 2022 for Unit One) and that the extension of the CLRs required a vote.

Main Issues and Legal Arguments

The core issue determined by the ALJ was whether the Respondent violated Article 8 of the Articles of Incorporation (AOI) and Article 19 of the CLRs by attempting to extend the CLRs via resolution without a member vote.

Petitioner's Key Arguments:

  1. AOI Expiration: Petitioner argued that the original AOI, dated 1972, specified a 25-year existence with the power of one renewal, meaning the charter expired after 50 years (in 2022). If the AOI expired, the association must form a new corporation.
  2. CLRs Require Vote for Extension: Petitioner asserted that while the CLRs provide for an automatic 25-year renewal, this renewal constitutes a change in duration, and thus requires the approval of 66 2/3% or more of the owners of record, as stated in the CLRs (Section 19(a) and (b)).
  3. Unlawful Amendments: McKinney testified she was unaware of any amendments extending the AOI and argued that even if they were recorded, they might be unlawful if done without the requisite member vote (which required 75% approval for amendments).

Respondent's Key Arguments:

  1. Perpetual Existence: Respondent successfully demonstrated that the Articles of Incorporation (AOI) had been officially amended twice—on November 18, 1994, and January 15, 1999—specifically to declare the duration of the corporation shall be perpetual.
  2. Automatic Renewal of CLRs: Respondent contended that the CLRs for all units automatically renew every 25 years without a vote. A vote is only required if the association attempts to make modifications or changes to the CLRs.
  3. Resolution Purpose: Respondent explained that the September 27, 2022 Resolution was simply recorded to reflect the automatic renewal of the CLRs and contained no amendments or modifications. Failure to renew would cause the loss of valuable common assets (valued at approximately $2.5 million).

Final Decision and Outcome

The ALJ issued the decision on January 31, 2023. The ALJ found that the Petitioner failed to meet her burden of proof by a preponderance of the evidence.

The legal conclusions were:

  1. The Respondent successfully established that the Articles of Incorporation had been amended in 1994 and 1999 to extend the duration perpetually.
  2. The automatic renewal of the CLRs does not constitute a modification/change that required a vote of the homeowners under the governing documents.

Therefore, the Respondent did not violate Article 8 of the AOI or Article 19 of the CLRs when it passed the resolution extending the CLRs.

The final order stated that the Petitioner's Petition was dismissed.

Questions

Question

If the CC&Rs (or CLRs) include an automatic renewal clause, does the HOA board require a homeowner vote to extend them?

Short Answer

No. If the documents allow for automatic renewal and no other changes are made, a vote is not required because renewal is not considered a modification.

Detailed Answer

The ALJ determined that if the governing documents provide for automatic renewal for specific periods (e.g., 25 years), the simple act of renewing does not constitute a 'change' or 'modification' that would trigger a voting requirement. A vote is generally only required if the text of the documents is actually being altered.

Alj Quote

Petitioner failed to establish by a preponderance of the evidence that any changes or modifications were made to the CLRs, and the Administrative Law Judge concludes that the automatic renewal of the CLRs does not constitute a modification/change that required a vote of the homeowners.

Legal Basis

Conclusion of Law 4

Topic Tags

  • CC&R Renewal
  • Voting Rights
  • Governing Documents

Question

Who bears the burden of proof when a homeowner files a petition against their HOA?

Short Answer

The homeowner (Petitioner) bears the burden of proof to establish the violation.

Detailed Answer

In an administrative hearing, the person filing the complaint must prove their case. The HOA does not initially have to prove they are innocent; the homeowner must prove the HOA committed the violation.

Alj Quote

Petitioner bears the burden of proof to establish that Respondent committed the alleged violation by a preponderance of the evidence.

Legal Basis

Conclusion of Law 2; A.R.S. § 41-1092.07(G)(2)

Topic Tags

  • Legal Procedure
  • Burden of Proof

Question

What does 'preponderance of the evidence' mean in an HOA dispute?

Short Answer

It means the claim is 'more probably true than not.'

Detailed Answer

The standard is not 'beyond a reasonable doubt' (like in criminal court). Instead, it is based on the greater weight of the evidence, which must be sufficient to incline a fair mind to one side rather than the other.

Alj Quote

A preponderance of the evidence is such proof as convinces the trier of fact that the contention is more probably true than not.

Legal Basis

Conclusion of Law 3

Topic Tags

  • Legal Standards
  • Evidence

Question

Can an HOA amend its Articles of Incorporation to exist perpetually if they originally had an expiration date?

Short Answer

Yes, an HOA can amend its Articles to extend its duration to be perpetual.

Detailed Answer

The decision upheld the validity of previous amendments where the HOA changed its corporate duration from a fixed term (e.g., 25 years) to 'perpetual.'

Alj Quote

Respondent amended its Articles of Incorporation, Section VIII, on November 18, 1994, and again on January 15, 1999, which extended the duration of the Articles of Incorporation perpetually.

Legal Basis

Findings of Fact 10-12; Conclusion of Law 4

Topic Tags

  • Corporate Charter
  • Amendments
  • Articles of Incorporation

Question

Where can an Arizona homeowner file a dispute regarding violations of community documents?

Short Answer

A petition can be filed with the Arizona Department of Real Estate (ADRE).

Detailed Answer

Arizona law allows homeowners or associations to file a petition with the Department regarding violations of the documents or statutes regulating planned communities. These are then heard by the Office of Administrative Hearings.

Alj Quote

Arizona statute permits an owner or a planned community organization to file a petition with the Department for a hearing concerning violations of planned community documents or violations of statutes that regulate planned communities.

Legal Basis

Conclusion of Law 1; A.R.S. § 32-2199

Topic Tags

  • Dispute Resolution
  • ADRE
  • Jurisdiction

Question

Does a lack of knowledge about old amendments invalidate them?

Short Answer

No. Even if a current homeowner was unaware of amendments filed decades ago, they are still binding if properly recorded.

Detailed Answer

In this case, the petitioner was unaware of amendments from 1994 and 1999 until the hearing, but the ALJ still relied on those documents to determine that the corporation had not expired.

Alj Quote

Petitioner was not aware of the 1994 and 1999 amendments to the Articles of Incorporation until hearing… The credible and probative evidence of record established that Respondent amended its Articles of Incorporation… which extended the duration of the Articles of Incorporation perpetually.

Legal Basis

Findings of Fact 13; Conclusion of Law 4

Topic Tags

  • Record Keeping
  • Constructive Notice
  • Amendments

Case

Docket No
23F-H019-REL
Case Title
Pamela McKinney v. Valle Vista Property Owners Association
Decision Date
2023-01-31
Alj Name
Sondra J. Vanella
Tribunal
OAH
Agency
ADRE

Questions

Question

If the CC&Rs (or CLRs) include an automatic renewal clause, does the HOA board require a homeowner vote to extend them?

Short Answer

No. If the documents allow for automatic renewal and no other changes are made, a vote is not required because renewal is not considered a modification.

Detailed Answer

The ALJ determined that if the governing documents provide for automatic renewal for specific periods (e.g., 25 years), the simple act of renewing does not constitute a 'change' or 'modification' that would trigger a voting requirement. A vote is generally only required if the text of the documents is actually being altered.

Alj Quote

Petitioner failed to establish by a preponderance of the evidence that any changes or modifications were made to the CLRs, and the Administrative Law Judge concludes that the automatic renewal of the CLRs does not constitute a modification/change that required a vote of the homeowners.

Legal Basis

Conclusion of Law 4

Topic Tags

  • CC&R Renewal
  • Voting Rights
  • Governing Documents

Question

Who bears the burden of proof when a homeowner files a petition against their HOA?

Short Answer

The homeowner (Petitioner) bears the burden of proof to establish the violation.

Detailed Answer

In an administrative hearing, the person filing the complaint must prove their case. The HOA does not initially have to prove they are innocent; the homeowner must prove the HOA committed the violation.

Alj Quote

Petitioner bears the burden of proof to establish that Respondent committed the alleged violation by a preponderance of the evidence.

Legal Basis

Conclusion of Law 2; A.R.S. § 41-1092.07(G)(2)

Topic Tags

  • Legal Procedure
  • Burden of Proof

Question

What does 'preponderance of the evidence' mean in an HOA dispute?

Short Answer

It means the claim is 'more probably true than not.'

Detailed Answer

The standard is not 'beyond a reasonable doubt' (like in criminal court). Instead, it is based on the greater weight of the evidence, which must be sufficient to incline a fair mind to one side rather than the other.

Alj Quote

A preponderance of the evidence is such proof as convinces the trier of fact that the contention is more probably true than not.

Legal Basis

Conclusion of Law 3

Topic Tags

  • Legal Standards
  • Evidence

Question

Can an HOA amend its Articles of Incorporation to exist perpetually if they originally had an expiration date?

Short Answer

Yes, an HOA can amend its Articles to extend its duration to be perpetual.

Detailed Answer

The decision upheld the validity of previous amendments where the HOA changed its corporate duration from a fixed term (e.g., 25 years) to 'perpetual.'

Alj Quote

Respondent amended its Articles of Incorporation, Section VIII, on November 18, 1994, and again on January 15, 1999, which extended the duration of the Articles of Incorporation perpetually.

Legal Basis

Findings of Fact 10-12; Conclusion of Law 4

Topic Tags

  • Corporate Charter
  • Amendments
  • Articles of Incorporation

Question

Where can an Arizona homeowner file a dispute regarding violations of community documents?

Short Answer

A petition can be filed with the Arizona Department of Real Estate (ADRE).

Detailed Answer

Arizona law allows homeowners or associations to file a petition with the Department regarding violations of the documents or statutes regulating planned communities. These are then heard by the Office of Administrative Hearings.

Alj Quote

Arizona statute permits an owner or a planned community organization to file a petition with the Department for a hearing concerning violations of planned community documents or violations of statutes that regulate planned communities.

Legal Basis

Conclusion of Law 1; A.R.S. § 32-2199

Topic Tags

  • Dispute Resolution
  • ADRE
  • Jurisdiction

Question

Does a lack of knowledge about old amendments invalidate them?

Short Answer

No. Even if a current homeowner was unaware of amendments filed decades ago, they are still binding if properly recorded.

Detailed Answer

In this case, the petitioner was unaware of amendments from 1994 and 1999 until the hearing, but the ALJ still relied on those documents to determine that the corporation had not expired.

Alj Quote

Petitioner was not aware of the 1994 and 1999 amendments to the Articles of Incorporation until hearing… The credible and probative evidence of record established that Respondent amended its Articles of Incorporation… which extended the duration of the Articles of Incorporation perpetually.

Legal Basis

Findings of Fact 13; Conclusion of Law 4

Topic Tags

  • Record Keeping
  • Constructive Notice
  • Amendments

Case

Docket No
23F-H019-REL
Case Title
Pamela McKinney v. Valle Vista Property Owners Association
Decision Date
2023-01-31
Alj Name
Sondra J. Vanella
Tribunal
OAH
Agency
ADRE

Case Participants

Petitioner Side

  • Pamela McKinney (petitioner)
    Appeared on her own behalf

Respondent Side

  • Alan A. Meda (HOA attorney)
    Burch & Cracchiolo
    Represented Respondent Valle Vista Property Owners Association
  • Sharon Grossi (board member)
    Valle Vista Property Owners Association
    President of the Board; testified as a witness for Respondent
  • Rebecca Bankov (property manager)
    Valle Vista Property Owners Association
    Also referred to as Rebecca fan
  • Amy Wood (board member)
    Valle Vista Property Owners Association
    Secretary on the board
  • Thomas Noble (board member)
    Valle Vista Property Owners Association
    Former President of the Board (mentioned in communication)
  • Stan Andrews (board member)
    Valle Vista Property Owners Association
    Mentioned by Petitioner as a board member
  • Ray Rose (board member)
    Valle Vista Property Owners Association
    Recently resigned from the board

Neutral Parties

  • Sondra J. Vanella (ALJ)
    OAH
    Administrative Law Judge
  • Jean Newman (CPA)
    Independent auditor who prepared financial report

Other Participants

  • Dennis Hope (Fire Chief)
    Northern Arizona Fire District
    External party cited in board communications regarding water shutoff threats

Elieen Ahearn and Robert Barfield v. High Lonesome Ranch Estates

Case Summary

Case ID 23F-H002-REL
Agency ADRE
Tribunal OAH
Decision Date 2022-11-17
Administrative Law Judge Sondra J. Vanella
Outcome The Administrative Law Judge upheld the Petition, finding the Respondent HOA violated its Nominating and Elections Committee Mission and Procedures by refusing to count otherwise valid couriered ballots and subsequent in-person attempts to vote at the July 5, 2022 Special Election. Petitioners were deemed the prevailing party and awarded the $500 filing fee refund, and the HOA was assessed a $500 civil penalty.
Filing Fees Refunded $500.00
Civil Penalties $500.00

Parties & Counsel

Petitioner Eileen Ahearn Counsel
Respondent High Lonesome Ranch Estates Property Owners Association Counsel Jason Smith, Esq.

Alleged Violations

HLR CCR 6.2.1 and HLR Association Rules: Nominating and Election Committee Mission and Procedures (approved 19 July 2021)

Outcome Summary

The Administrative Law Judge upheld the Petition, finding the Respondent HOA violated its Nominating and Elections Committee Mission and Procedures by refusing to count otherwise valid couriered ballots and subsequent in-person attempts to vote at the July 5, 2022 Special Election. Petitioners were deemed the prevailing party and awarded the $500 filing fee refund, and the HOA was assessed a $500 civil penalty.

Key Issues & Findings

Denial of the right to vote in Removal/Recall Special Election

Petitioners alleged they were denied the right to vote in the July 5, 2022 Removal/Recall Special Election after their initial ballots (couriered prior to the meeting) were rejected for lacking a postmark, and their subsequent attempts to cast new ballots in person were rejected for reasons including 'double voting' or being 'too late.' The ALJ found the HOA violated its established election procedures.

Orders: The Petition was upheld, and Petitioners were deemed the prevailing party. Respondent was ordered to pay Petitioners their $500.00 filing fee and pay a civil penalty of $500.00 to the Department.

Filing fee: $500.00, Fee refunded: Yes, Civil penalty: $500.00

Disposition: petitioner_win

Cited:

  • HLR CCR 6.2.1
  • Nominating and Elections Committee Mission and Procedures

Analytics Highlights

Topics: HOA Dispute, Election Violation, Voting Rights, CCNR, Recall Election, Filing Fee Refund, Civil Penalty
Additional Citations:

  • A.R.S. § 32-2199
  • A.R.S. § 41-1092.07(G)(2)
  • A.A.C. R2-19-119(A)
  • A.A.C. R2-19-119(B)(1)
  • A.A.C. R2-19-119(B)(2)
  • A.R.S. § 32-2199.02(B)
  • A.R.S. § 32-2199.04
  • A.R.S. § 41-1092.09
  • HLR CCR 6.2.1
  • Nominating and Elections Committee Mission and Procedures

Related election workflow tool

Many HOA election disputes start with preventable workflow problems: unclear ballot language, separate-vote issues, quorum tracking, paper/online reconciliation, proxy handling, or incomplete records. HOABallot is a separate platform built to document the voting workflow from notice through certification.

Preview HOABallot election workflows

Video Overview

Audio Overview

Decision Documents

23F-H002-REL Decision – 1009442.pdf

Uploaded 2026-04-24T11:55:32 (60.1 KB)

23F-H002-REL Decision – 1013289.pdf

Uploaded 2026-04-24T11:55:35 (127.8 KB)

23F-H002-REL Decision – 996298.pdf

Uploaded 2026-04-24T11:55:39 (54.8 KB)

23F-H002-REL Decision – 996319.pdf

Uploaded 2026-04-24T11:55:43 (7.5 KB)

23F-H002-REL Decision – 1009442.pdf

Uploaded 2026-01-23T17:49:47 (60.1 KB)

23F-H002-REL Decision – 1013289.pdf

Uploaded 2026-01-23T17:49:50 (127.8 KB)

23F-H002-REL Decision – 996298.pdf

Uploaded 2026-01-23T17:49:54 (54.8 KB)

23F-H002-REL Decision – 996319.pdf

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The hearing was conducted before the Office of Administrative Hearings (OAH) concerning a Homeowners Association (HOA) Dispute Petition filed by Eileen Ahearn and Robert Barfield (Petitioners) against the High Lonesome Ranch Estates Property Owners Association (Respondent). The hearing took place on November 8, 2022.

Key Facts and Main Issues

The Petitioners alleged a violation of community documents, specifically HLR CCR 6.2.1 and HLR Association Rules: Nominating and Election Committee Mission and Procedures, stemming from the denial of their right to vote at the July 5, 2022, Removal/Recall Special Election. Petitioners were only allowed to present a single issue, having paid the corresponding $500.00 filing fee.

The factual dispute centered on 19 ballots without post marks that were not considered in the election. Petitioners and several other homeowners had completed their ballots prior to the meeting and delivered them to the ballot box custodian, Claire Peachey, who placed them in the secure box. Petitioners testified this was accepted practice and the use of couriers for ballots was approved in the past.

When Petitioners learned these ballots would not be counted due to the lack of a post mark, they attempted to fill out new ballots in person at the meeting. These new ballots were rejected for various reasons, including "double voting" and being "too late" because the voting was declared "closed". Evidence showed that all homeowners whose ballots were rejected had signed the recall petition that prompted the election.

Key Arguments

  • Petitioners’ Argument: The board members running the election—who were subject to the recall—arbitrarily denied votes using unwritten or newly interpreted rules (e.g., requiring a US postmark). They argued the denial violated their right to vote (one vote per lot) and failed to follow the procedure documents.
  • Respondent’s Argument: Respondent argued that the cited CCNR 6.2.1 was irrelevant as it only established voting rights (one vote per lot), not voting processes. They maintained that the Petitioners failed to submit their ballots properly, either by mail (with postmark) or in person before the close of voting. Respondent also objected that Petitioners relied on documents (like draft procedures) that were not cited in the initial petition.

Final Decision and Legal Points

The Administrative Law Judge (ALJ), Sondra J. Vanella, issued the Decision on November 17, 2022.

The ALJ found that Petitioners established by a preponderance of the evidence that the Respondent violated its Nominating and Elections Committee Mission and Procedures.

The ALJ concluded that the Elections Committee Chair (who was subject to the recall) refused to count ballots that could not be considered ineligible under the listed criteria (such as illegibility or lack of good standing). Furthermore, the Respondent failed to abide by its own procedure stating that “Every effort will be made to count as many votes as possible assuring a fair, open and honest election”.

Outcome

The Petition was upheld. Petitioners were deemed the prevailing party.

The ALJ ordered the following relief:

  1. Respondent must pay Petitioners their $500.00 filing fee.
  2. Respondent must pay a civil penalty in the amount of $500.00 to the Arizona Department of Real Estate.

Questions

Question

Can my HOA refuse to count a ballot simply because it was delivered by a courier or neighbor rather than mailed?

Short Answer

No. If the HOA's procedures do not explicitly forbid couriers and it has been past practice, they cannot reject ballots solely for lacking a postmark.

Detailed Answer

The ALJ ruled that the HOA violated its procedures by rejecting ballots placed in the ballot box prior to the election (via courier) simply because they lacked postmarks. The judge noted that the custodian of the box did not believe it was a problem and there was no reason for homeowners to believe they couldn't do so.

Alj Quote

Respondent violated its Nominating and Elections Committee Mission and Procedures when the Elections Committee Chair… refused to count Petitioners’ and other homeowners’ ballots that had been placed in the ballot box prior to the election… There was also no reason for Petitioners or the other homeowners to believe that they could not place their ballots in the ballot box prior to the election and have those ballots counted.

Legal Basis

Nominating and Elections Committee Mission and Procedures

Topic Tags

  • elections
  • ballots
  • couriers
  • voting rights

Question

What are valid reasons for an HOA to consider a ballot ineligible or spoiled?

Short Answer

Valid reasons typically include incorrect vote counts, unconfirmed ownership, illegibility, unsigned envelopes, or lack of good standing.

Detailed Answer

The decision outlines specific criteria for invalidating ballots found in the HOA's procedures. Arbitrary reasons not listed in the governing documents (like lack of a postmark when not required) are not valid grounds for rejection.

Alj Quote

Reasons a ballot may not be valid include incorrect number of votes, lot ownership cannot be confirmed, ballot is illegible, ballot envelope is not signed, or a member is not in good standing.

Legal Basis

Association Election Procedures

Topic Tags

  • elections
  • ballot validity
  • rules

Question

Is the HOA obligated to try to count votes rather than looking for reasons to disqualify them?

Short Answer

Yes. If the election procedures state that every effort will be made to count votes to ensure fairness, the HOA must adhere to that standard.

Detailed Answer

The ALJ cited the HOA's own mission statement which promised to make every effort to count votes. Rejecting ballots for minor procedural issues (like lacking a postmark) when the voters are present and eligible violates this obligation.

Alj Quote

Respondent’s Nominating and Elections Committee Mission and Procedures state that 'every effort will be made to count as many votes as possible assuring a fair, open and honest election.' This was not the case at the July 5, 2022 Special Election.

Legal Basis

Nominating and Elections Committee Mission and Procedures

Topic Tags

  • elections
  • fairness
  • HOA obligations

Question

If my mailed ballot is rejected, can the HOA prevent me from voting in person at the meeting?

Short Answer

No. If you are present at the meeting and your absentee ballot is rejected, the HOA should allow you to cast a replacement ballot.

Detailed Answer

The ALJ found a violation when the HOA refused to accept in-person ballots from homeowners whose courier ballots were rejected. The decision noted that these ballots were not ineligible for any valid reason (like lack of standing).

Alj Quote

Respondent violated its Nominating and Elections Committee Mission and Procedures when the Elections Committee Chair… refused to accept in-person ballots at the meeting, notwithstanding that those ballots could not be considered ineligible ballots.

Legal Basis

Voting Rights / Election Procedures

Topic Tags

  • in-person voting
  • ballot rejection
  • elections

Question

Can the HOA enforce a voting deadline strictly against some owners but not others?

Short Answer

No. It is a violation to tell some owners they are 'too late' while allowing others to vote after the deadline.

Detailed Answer

The decision noted that while the Petitioners were told voting was closed at 6:00 PM and they were 'too late,' another homeowner was allowed to place a ballot in the box at 6:15 PM.

Alj Quote

Homeowner Jeffrey Knox personally handed in his ballot at the meeting by placing it in the ballot box at approximately 6:15 p.m., notwithstanding that voting supposedly closed at 6:00 p.m.

Legal Basis

Fair Election Practices

Topic Tags

  • discrimination
  • deadlines
  • fairness

Question

What penalties can an HOA face if they are found to have violated election rules?

Short Answer

The HOA may be ordered to refund the homeowner's filing fee and pay a civil penalty to the Department of Real Estate.

Detailed Answer

In this case, the ALJ ordered the HOA to pay $500 to the petitioners (reimbursement) and a $500 civil penalty to the state.

Alj Quote

IT IS FURTHER ORDERED that Respondent pay Petitioners their filing fee of $500.00… IT IS FURTHER ORDERED that… Respondent shall pay to the Department a civil penalty in the amount of $500.00

Legal Basis

A.R.S. § 32-2199

Topic Tags

  • penalties
  • fines
  • reimbursement

Question

What is the 'burden of proof' for a homeowner in an administrative hearing?

Short Answer

The homeowner must prove the violation by a 'preponderance of the evidence,' meaning it is more likely than not that the violation occurred.

Detailed Answer

The decision defines the evidentiary standard required for the petitioners to win their case.

Alj Quote

Petitioners bear the burden of proof to establish that Respondent committed the alleged violation(s) by a preponderance of the evidence… 'A preponderance of the evidence is such proof as convinces the trier of fact that the contention is more probably true than not.'

Legal Basis

A.R.S. § 41-1092.07(G)(2)

Topic Tags

  • legal standards
  • burden of proof
  • hearing process

Case

Docket No
23F-H002-REL
Case Title
Eileen Ahearn and Robert Barfield v. High Lonesome Ranch Estates Property Owners Association
Decision Date
2022-11-17
Alj Name
Sondra J. Vanella
Tribunal
OAH
Agency
ADRE

Questions

Question

Can my HOA refuse to count a ballot simply because it was delivered by a courier or neighbor rather than mailed?

Short Answer

No. If the HOA's procedures do not explicitly forbid couriers and it has been past practice, they cannot reject ballots solely for lacking a postmark.

Detailed Answer

The ALJ ruled that the HOA violated its procedures by rejecting ballots placed in the ballot box prior to the election (via courier) simply because they lacked postmarks. The judge noted that the custodian of the box did not believe it was a problem and there was no reason for homeowners to believe they couldn't do so.

Alj Quote

Respondent violated its Nominating and Elections Committee Mission and Procedures when the Elections Committee Chair… refused to count Petitioners’ and other homeowners’ ballots that had been placed in the ballot box prior to the election… There was also no reason for Petitioners or the other homeowners to believe that they could not place their ballots in the ballot box prior to the election and have those ballots counted.

Legal Basis

Nominating and Elections Committee Mission and Procedures

Topic Tags

  • elections
  • ballots
  • couriers
  • voting rights

Question

What are valid reasons for an HOA to consider a ballot ineligible or spoiled?

Short Answer

Valid reasons typically include incorrect vote counts, unconfirmed ownership, illegibility, unsigned envelopes, or lack of good standing.

Detailed Answer

The decision outlines specific criteria for invalidating ballots found in the HOA's procedures. Arbitrary reasons not listed in the governing documents (like lack of a postmark when not required) are not valid grounds for rejection.

Alj Quote

Reasons a ballot may not be valid include incorrect number of votes, lot ownership cannot be confirmed, ballot is illegible, ballot envelope is not signed, or a member is not in good standing.

Legal Basis

Association Election Procedures

Topic Tags

  • elections
  • ballot validity
  • rules

Question

Is the HOA obligated to try to count votes rather than looking for reasons to disqualify them?

Short Answer

Yes. If the election procedures state that every effort will be made to count votes to ensure fairness, the HOA must adhere to that standard.

Detailed Answer

The ALJ cited the HOA's own mission statement which promised to make every effort to count votes. Rejecting ballots for minor procedural issues (like lacking a postmark) when the voters are present and eligible violates this obligation.

Alj Quote

Respondent’s Nominating and Elections Committee Mission and Procedures state that 'every effort will be made to count as many votes as possible assuring a fair, open and honest election.' This was not the case at the July 5, 2022 Special Election.

Legal Basis

Nominating and Elections Committee Mission and Procedures

Topic Tags

  • elections
  • fairness
  • HOA obligations

Question

If my mailed ballot is rejected, can the HOA prevent me from voting in person at the meeting?

Short Answer

No. If you are present at the meeting and your absentee ballot is rejected, the HOA should allow you to cast a replacement ballot.

Detailed Answer

The ALJ found a violation when the HOA refused to accept in-person ballots from homeowners whose courier ballots were rejected. The decision noted that these ballots were not ineligible for any valid reason (like lack of standing).

Alj Quote

Respondent violated its Nominating and Elections Committee Mission and Procedures when the Elections Committee Chair… refused to accept in-person ballots at the meeting, notwithstanding that those ballots could not be considered ineligible ballots.

Legal Basis

Voting Rights / Election Procedures

Topic Tags

  • in-person voting
  • ballot rejection
  • elections

Question

Can the HOA enforce a voting deadline strictly against some owners but not others?

Short Answer

No. It is a violation to tell some owners they are 'too late' while allowing others to vote after the deadline.

Detailed Answer

The decision noted that while the Petitioners were told voting was closed at 6:00 PM and they were 'too late,' another homeowner was allowed to place a ballot in the box at 6:15 PM.

Alj Quote

Homeowner Jeffrey Knox personally handed in his ballot at the meeting by placing it in the ballot box at approximately 6:15 p.m., notwithstanding that voting supposedly closed at 6:00 p.m.

Legal Basis

Fair Election Practices

Topic Tags

  • discrimination
  • deadlines
  • fairness

Question

What penalties can an HOA face if they are found to have violated election rules?

Short Answer

The HOA may be ordered to refund the homeowner's filing fee and pay a civil penalty to the Department of Real Estate.

Detailed Answer

In this case, the ALJ ordered the HOA to pay $500 to the petitioners (reimbursement) and a $500 civil penalty to the state.

Alj Quote

IT IS FURTHER ORDERED that Respondent pay Petitioners their filing fee of $500.00… IT IS FURTHER ORDERED that… Respondent shall pay to the Department a civil penalty in the amount of $500.00

Legal Basis

A.R.S. § 32-2199

Topic Tags

  • penalties
  • fines
  • reimbursement

Question

What is the 'burden of proof' for a homeowner in an administrative hearing?

Short Answer

The homeowner must prove the violation by a 'preponderance of the evidence,' meaning it is more likely than not that the violation occurred.

Detailed Answer

The decision defines the evidentiary standard required for the petitioners to win their case.

Alj Quote

Petitioners bear the burden of proof to establish that Respondent committed the alleged violation(s) by a preponderance of the evidence… 'A preponderance of the evidence is such proof as convinces the trier of fact that the contention is more probably true than not.'

Legal Basis

A.R.S. § 41-1092.07(G)(2)

Topic Tags

  • legal standards
  • burden of proof
  • hearing process

Case

Docket No
23F-H002-REL
Case Title
Eileen Ahearn and Robert Barfield v. High Lonesome Ranch Estates Property Owners Association
Decision Date
2022-11-17
Alj Name
Sondra J. Vanella
Tribunal
OAH
Agency
ADRE

Case Participants

Petitioner Side

  • Eileen Ahearn (petitioner)
  • Robert Barfield (petitioner)
  • Randy Kling (witness / former board member)
    Testified for Petitioners. Also referred to as Randy Clling/Clean.
  • Claire Peachey (witness / election committee member)
    Testified for Petitioners. Custodian of the ballot box.
  • Joyce Green (witness)
    Testified for Petitioners.
  • Jeffrey Knox (witness)
    Testified for Petitioners. Property owner who received rejected ballots.

Respondent Side

  • Jason Smith (HOA attorney)
    Smith & Wamsley PLLC
  • Nancy Sakarelli (board member)
    High Lonesome Ranch Estates Property Owners Association
    Board President; appeared virtually.
  • Corinthia Pangalinan (former board president / board member)
    High Lonesome Ranch Estates Property Owners Association
    Subject of recall petition; responded to original complaint.
  • Becky Hilgart (Election Committee Chair / board member)
    High Lonesome Ranch Estates Property Owners Association
    Subject of recall petition. Also referred to as Rebecca Kilgart/Gilgart/Elart.
  • Tommy Smith (Election Committee Volunteer / property owner)
    Involved in denying votes.
  • Wally Oliday (board member)
    High Lonesome Ranch Estates Property Owners Association
    Subject of recall petition.
  • Amanda Miller (board member)
    High Lonesome Ranch Estates Property Owners Association
    Subject of recall petition.

Neutral Parties

  • Sondra J. Vanella (ALJ)
    Office of Administrative Hearings
  • Louis Dettorre (Commissioner)
    Arizona Department of Real Estate
  • Miranda Alvarez (Legal Secretary)
    OAH staff transmitting documents.
  • c. serrano (Administrative Staff)
    Staff transmitting documents.
  • AHansen (ADRE Staff)
    Arizona Department of Real Estate
  • vnunez (ADRE Staff)
    Arizona Department of Real Estate
  • djones (ADRE Staff)
    Arizona Department of Real Estate
  • labril (ADRE Staff)
    Arizona Department of Real Estate

Other Participants

  • Edna Barton (observer)
    On the line during the hearing.
  • Jill Burns (observer)
    Present in the hearing room.
  • John Kron (observer)
    Present in the hearing room.
  • Stacy (board director)
    Director mentioned in meeting agenda.
  • Deborah Bonesac (property owner)
    Referenced in testimony regarding past courier procedures.
  • Billy McFarland (board member)
    Subject of previous recall election.

Amy Hillburn v. Stetson Valley Owners Association

Case Summary

Case ID 23F-H008-REL
Agency ADRE
Tribunal OAH
Decision Date 2022-11-17
Administrative Law Judge Sondra J. Vanella
Outcome The Administrative Law Judge dismissed the petition, finding that the Petitioner failed to prove a violation of A.R.S. § 33-1804(A) because the Architectural Review Committee (ARC) had ceased holding regularly scheduled meetings since March 2022, thereby negating the statutory requirement that such committee meetings must be open to members.
Filing Fees Refunded $500.00
Civil Penalties $0.00

Parties & Counsel

Petitioner Amy Hilburn Counsel
Respondent Stetson Valley Owners Association Counsel Melissa Doolan, Esq.

Alleged Violations

A.R.S. § 33-1804 and Article 6.2 of the Bylaws

Outcome Summary

The Administrative Law Judge dismissed the petition, finding that the Petitioner failed to prove a violation of A.R.S. § 33-1804(A) because the Architectural Review Committee (ARC) had ceased holding regularly scheduled meetings since March 2022, thereby negating the statutory requirement that such committee meetings must be open to members.

Why this result: The ARC successfully argued that A.R.S. § 33-1804(A) only mandates open access for 'any regularly scheduled committee meetings.' Since they transitioned to using an online portal on an irregular schedule, they were no longer holding 'regularly scheduled meetings,' meaning the statute did not require them to be open.

Key Issues & Findings

Failure of Architectural Review Committee (ARC) to hold open meetings where members can comment prior to a vote.

Petitioner alleged the Architectural Review Committee (ARC) was violating A.R.S. § 33-1804 (open meetings statute) by failing to hold open meetings, particularly after the ARC began processing requests using an online portal which allows for discussion and voting among members outside of noticed meetings. Historically, the ARC held regularly scheduled meetings on the first Tuesday of every month until March 2022. The ALJ ultimately ruled that since March 2022, the ARC was not holding 'regularly scheduled committee meetings' as defined by the statute.

Orders: Petitioner’s Petition is dismissed.

Filing fee: $500.00, Fee refunded: No

Disposition: petitioner_loss

Cited:

  • A.R.S. § 33-1804(A)
  • A.R.S. § 32-2199
  • Article 6.2 of the Bylaws
  • A.R.S. § 41-1092.07(G)(2)
  • A.A.C. R2-19-119(A)
  • A.A.C. R2-19-119(B)(1)
  • A.A.C. R2-19-119(B)(2)
  • A.R.S. § 41-1092.09
  • A.R.S. § 32-2199.02(B)
  • A.R.S. § 32-2199.04

Analytics Highlights

Topics: HOA Open Meeting Law, Architectural Review Committee (ARC), Regularly Scheduled Meetings, Online Portal, Statutory Interpretation
Additional Citations:

  • A.R.S. § 33-1804(A)
  • Article 6.2 of the Bylaws

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Decision Documents

23F-H008-REL Decision – 1005178.pdf

Uploaded 2026-04-27T09:47:07 (48.8 KB)

23F-H008-REL Decision – 1005178.pdf

Uploaded 2026-01-23T17:51:08 (48.8 KB)

23F-H008-REL Decision – 1013302.pdf

Uploaded 2026-01-23T17:51:12 (110.8 KB)

The hearing in the matter of *Amy Hilburn v. Stetson Valley Owners Association* (No. 23F-H008-REL) was held before Administrative Law Judge (ALJ) Sondra J. Vanella at the Office of Administrative Hearings on November 9, 2022.

Key Facts and Main Issue

The Petitioner, Amy Hilburn, filed a dispute petition on or about August 19, 2022, alleging that the Stetson Valley Owners Association (HOA) violated Arizona Revised Statute (A.R.S.) § 33-1804 and Article 6.2 of its Bylaws. The sole issue determined at the hearing was whether the Association's Architectural Review Committee (ARC) was failing to hold open meetings where homeowner members could comment prior to a vote of the committee.

The core legal point centered on A.R.S. § 33-1804(A), which mandates that "all meetings of the members' association and the board of directors, and any regularly scheduled committee meetings" must be open to all members, who are permitted to attend and speak.

Petitioner’s Arguments

Petitioner Hilburn argued that the ARC previously held regularly scheduled meetings on the first Tuesday of every month from 2011 until February 2022, often without proper notice. Petitioner provided evidence, including old Meeting Minutes (2017–2021) and the Respondent's Paint Architectural Change Request Form, which stated the ARC reviewed applications on the first Tuesday of every month, demonstrating the regularity of the meetings.

Petitioner acknowledged that the ARC ceased holding traditional open meetings after July 2022, choosing instead to process applications through an online portal. However, she argued that the ability for ARC members to exchange comments and make decisions via this portal constitutes "discussion" and a form of regularly occurring meeting that should be open to the community, consistent with the legislature's intent for transparency.

Respondent’s Arguments

The Respondent, represented by Melissa Doolan, Esq., contended that the Association was following state law because the ARC does not currently hold regularly scheduled meetings. Testimony from Community Manager Danielle Miglio and ARC Member Ann Renee Wilsey established that since March 2022, the ARC moved to processing requests solely through an online portal to provide faster homeowner turnaround.

Respondent witnesses testified that under the portal system, ARC members are notified via email, but they view the request documentation and vote on their own time; there is no regularly scheduled time for them to convene, comment, or vote. Because the meetings are not "regularly scheduled," the open meeting requirement of A.R.S. § 33-1804(A) does not apply. The Respondent noted that the few in-person or virtual meetings that occurred in 2022 (April, June, and July) were noticed to the members.

Final Decision and Outcome

The ALJ found that while the ARC had held regularly scheduled meetings prior to utilizing the online portal system, the credible evidence established that since March 2022, the ARC has not been holding regularly scheduled meetings.

The ALJ concluded that the Petitioner failed to sustain her burden of proof by a preponderance of the evidence to establish a violation of A.R.S. § 33-1804(A) or Article 6.2 of the Bylaws, noting that the statute does not require the ARC to hold regularly scheduled meetings.

The ALJ ORDERED that Petitioner’s Petition is dismissed.

{ “case”: { “docket_no”: “23F-H008-REL”, “case_title”: “Amy Hilburn v. Stetson Valley Owners Association”, “decision_date”: “2022-11-17”, “alj_name”: “Sondra J. Vanella”, “tribunal”: “OAH”, “agency”: “ADRE” }, “questions”: [ { “question”: “Does my HOA’s architectural committee have to hold open meetings for every decision?”, “short_answer”: “No, only “regularly scheduled” committee meetings are required to be open to members.”, “detailed_answer”: “The law specifically mandates that meetings of the members, the board of directors, and ‘regularly scheduled’ committee meetings be open. If a committee does not maintain a regular schedule, the open meeting requirement may not apply.”, “alj_quote”: “Notwithstanding any provision in the declaration, bylaws or other documents to the contrary, all meetings of the members’ association and the board of directors, and any regularly scheduled committee meetings, are open to all members of the association…”, “legal_basis”: “A.R.S. § 33-1804(A)”, “topic_tags”: [ “Open Meetings”, “Committees”, “Homeowner Rights” ] }, { “question”: “Can an HOA committee conduct business through an online portal instead of meeting in person?”, “short_answer”: “Yes, utilizing an online portal to process requests is permitted and may result in the activity not being classified as a “regularly scheduled meeting.””, “detailed_answer”: “The ALJ found that moving committee business to an online portal where members review and vote on their own time effectively meant they were not holding ‘regularly scheduled meetings,’ thus bypassing the open meeting requirement.”, “alj_quote”: “Ms. Miglio testified that since August 2022, the ARC has not held regularly scheduled meetings because the ARC conducts its business through an online portal.”, “legal_basis”: “Fact Finding 3(e)”, “topic_tags”: [ “Digital Tools”, “Procedure”, “Committees” ] }, { “question”: “Is an HOA committee required by law to hold regularly scheduled meetings?”, “short_answer”: “No, there is generally no statutory requirement that committees must hold regularly scheduled meetings.”, “detailed_answer”: “The decision explicitly states that nothing in the cited statutes or bylaws required the Architectural Review Committee to adhere to a regular meeting schedule.”, “alj_quote”: “…nothing in the provisions cited by Petitioner require the ARC to hold regularly scheduled meetings.”, “legal_basis”: “Conclusion of Law 6”, “topic_tags”: [ “HOA Obligations”, “Committees”, “Scheduling” ] }, { “question”: “Do committee members have to discuss and vote on requests at the same time?”, “short_answer”: “No, committee members can review requests and vote asynchronously on their own time.”, “detailed_answer”: “The ALJ accepted testimony that committee members could view requests and vote individually whenever they chose, rather than convening at a specific time.”, “alj_quote”: “Ms. Wilsey testified that there is no regularly scheduled time to look at the requests, comment, and/or vote.”, “legal_basis”: “Fact Finding 3(h)”, “topic_tags”: [ “Voting”, “Procedure”, “Committees” ] }, { “question”: “What is the burden of proof for a homeowner suing their HOA?”, “short_answer”: “The homeowner must prove the violation by a “preponderance of the evidence.””, “detailed_answer”: “This legal standard means the homeowner must convince the judge that their claim is ‘more probably true than not.’ It refers to the convincing force of the evidence rather than the amount.”, “alj_quote”: “Petitioner bears the burden of proof to establish that Respondent committed the alleged violation by a preponderance of the evidence… A preponderance of the evidence is such proof as convinces the trier of fact that the contention is more probably true than not.”, “legal_basis”: “Conclusion of Law 2-3”, “topic_tags”: [ “Legal Standards”, “Burden of Proof”, “Dispute Process” ] }, { “question”: “Can committee members comment to each other online without it being an open meeting?”, “short_answer”: “Yes, the ability to comment via a portal does not necessarily create a “meeting” if done asynchronously.”, “detailed_answer”: “The decision noted that members could comment to each other through the portal, but because there was no regularly scheduled time for this interaction, it did not trigger the open meeting statute.”, “alj_quote”: “Members of the ARC have the ability to comment to each other through the portal and vote on the requests through the portal.”, “legal_basis”: “Fact Finding 3(g)”, “topic_tags”: [ “Communication”, “Committees”, “Open Meetings” ] }, { “question”: “If an HOA committee previously held regular meetings, are they forced to continue doing so?”, “short_answer”: “No, past practices do not mandate future behavior if the committee changes its process.”, “detailed_answer”: “Although the committee had a history of regular monthly meetings from 2011 to 2022, the ALJ ruled based on their current practice of using a portal, finding no violation because they were not currently meeting regularly.”, “alj_quote”: “The credible and probative evidence of record established that… prior to the ARC utilizing the online portal system, the ARC was holding regularly scheduled meetings. However, since March 2022, the ARC has not been holding regularly scheduled meetings…”, “legal_basis”: “Conclusion of Law 6”, “topic_tags”: [ “Precedent”, “Procedure”, “Committees” ] } ] }

{ “case”: { “docket_no”: “23F-H008-REL”, “case_title”: “Amy Hilburn v. Stetson Valley Owners Association”, “decision_date”: “2022-11-17”, “alj_name”: “Sondra J. Vanella”, “tribunal”: “OAH”, “agency”: “ADRE” }, “questions”: [ { “question”: “Does my HOA’s architectural committee have to hold open meetings for every decision?”, “short_answer”: “No, only “regularly scheduled” committee meetings are required to be open to members.”, “detailed_answer”: “The law specifically mandates that meetings of the members, the board of directors, and ‘regularly scheduled’ committee meetings be open. If a committee does not maintain a regular schedule, the open meeting requirement may not apply.”, “alj_quote”: “Notwithstanding any provision in the declaration, bylaws or other documents to the contrary, all meetings of the members’ association and the board of directors, and any regularly scheduled committee meetings, are open to all members of the association…”, “legal_basis”: “A.R.S. § 33-1804(A)”, “topic_tags”: [ “Open Meetings”, “Committees”, “Homeowner Rights” ] }, { “question”: “Can an HOA committee conduct business through an online portal instead of meeting in person?”, “short_answer”: “Yes, utilizing an online portal to process requests is permitted and may result in the activity not being classified as a “regularly scheduled meeting.””, “detailed_answer”: “The ALJ found that moving committee business to an online portal where members review and vote on their own time effectively meant they were not holding ‘regularly scheduled meetings,’ thus bypassing the open meeting requirement.”, “alj_quote”: “Ms. Miglio testified that since August 2022, the ARC has not held regularly scheduled meetings because the ARC conducts its business through an online portal.”, “legal_basis”: “Fact Finding 3(e)”, “topic_tags”: [ “Digital Tools”, “Procedure”, “Committees” ] }, { “question”: “Is an HOA committee required by law to hold regularly scheduled meetings?”, “short_answer”: “No, there is generally no statutory requirement that committees must hold regularly scheduled meetings.”, “detailed_answer”: “The decision explicitly states that nothing in the cited statutes or bylaws required the Architectural Review Committee to adhere to a regular meeting schedule.”, “alj_quote”: “…nothing in the provisions cited by Petitioner require the ARC to hold regularly scheduled meetings.”, “legal_basis”: “Conclusion of Law 6”, “topic_tags”: [ “HOA Obligations”, “Committees”, “Scheduling” ] }, { “question”: “Do committee members have to discuss and vote on requests at the same time?”, “short_answer”: “No, committee members can review requests and vote asynchronously on their own time.”, “detailed_answer”: “The ALJ accepted testimony that committee members could view requests and vote individually whenever they chose, rather than convening at a specific time.”, “alj_quote”: “Ms. Wilsey testified that there is no regularly scheduled time to look at the requests, comment, and/or vote.”, “legal_basis”: “Fact Finding 3(h)”, “topic_tags”: [ “Voting”, “Procedure”, “Committees” ] }, { “question”: “What is the burden of proof for a homeowner suing their HOA?”, “short_answer”: “The homeowner must prove the violation by a “preponderance of the evidence.””, “detailed_answer”: “This legal standard means the homeowner must convince the judge that their claim is ‘more probably true than not.’ It refers to the convincing force of the evidence rather than the amount.”, “alj_quote”: “Petitioner bears the burden of proof to establish that Respondent committed the alleged violation by a preponderance of the evidence… A preponderance of the evidence is such proof as convinces the trier of fact that the contention is more probably true than not.”, “legal_basis”: “Conclusion of Law 2-3”, “topic_tags”: [ “Legal Standards”, “Burden of Proof”, “Dispute Process” ] }, { “question”: “Can committee members comment to each other online without it being an open meeting?”, “short_answer”: “Yes, the ability to comment via a portal does not necessarily create a “meeting” if done asynchronously.”, “detailed_answer”: “The decision noted that members could comment to each other through the portal, but because there was no regularly scheduled time for this interaction, it did not trigger the open meeting statute.”, “alj_quote”: “Members of the ARC have the ability to comment to each other through the portal and vote on the requests through the portal.”, “legal_basis”: “Fact Finding 3(g)”, “topic_tags”: [ “Communication”, “Committees”, “Open Meetings” ] }, { “question”: “If an HOA committee previously held regular meetings, are they forced to continue doing so?”, “short_answer”: “No, past practices do not mandate future behavior if the committee changes its process.”, “detailed_answer”: “Although the committee had a history of regular monthly meetings from 2011 to 2022, the ALJ ruled based on their current practice of using a portal, finding no violation because they were not currently meeting regularly.”, “alj_quote”: “The credible and probative evidence of record established that… prior to the ARC utilizing the online portal system, the ARC was holding regularly scheduled meetings. However, since March 2022, the ARC has not been holding regularly scheduled meetings…”, “legal_basis”: “Conclusion of Law 6”, “topic_tags”: [ “Precedent”, “Procedure”, “Committees” ] } ] }

Case Participants

Petitioner Side

  • Amy Hilburn (petitioner)
    Stetson Valley Owners Association member
    Appeared pro se; former Board President

Respondent Side

  • Melissa Doolan (HOA attorney)
    Travis Law Firm
  • Danielle Miglio (community manager, witness)
    Oasis Community Management
  • Ann Renee Wilsey (ARC member, witness)
    Stetson Valley Owners Association ARC
  • Nichollet Widner (board member, witness)
    Stetson Valley Owners Association Board President
  • Tom Young (board member, observer)
    Stetson Valley Owners Association Board
  • Pam Weller (ARC member, observer)
    Stetson Valley Owners Association ARC
  • Omar Chavez (board member, observer)
    Stetson Valley Owners Association Board
  • Miranda Alvarez (legal secretary)
    Travis Law Firm
    Transmitting staff
  • Elizabeth Franco (community manager staff)
    Oasis Community Management
    Referenced in Petitioner's Exhibit 6 testimony
  • Benjamin Butler (ARC chairperson)
    Stetson Valley Owners Association ARC
    Referenced in Petitioner's Exhibit 6 testimony

Neutral Parties

  • Sondra J. Vanella (ALJ)
    OAH
  • Louis Dettorre (commissioner)
    ADRE
  • AHansen (ADRE staff)
    ADRE
  • vnunez (ADRE staff)
    ADRE
  • djones (ADRE staff)
    ADRE
  • labril (ADRE staff)
    ADRE
  • c. serrano (OAH staff)
    OAH
    Transmitting staff

Other Participants

  • Amanda McGawan (observer)
  • Lisa Vargas (observer)
  • Nick Jackson (observer)

Kathy J Green v. Cross Creek Ranch Community Association

Case Summary

Case ID 22F-H2222064-REL
Agency ADRE
Tribunal OAH
Decision Date 2022-09-29
Administrative Law Judge Sondra J. Vanella
Outcome The Administrative Law Judge affirmed the petition, finding that the HOA violated A.R.S. § 33-1804 by improperly holding a closed executive session primarily focused on reviewing homeowner comments on design guidelines that did not meet the statutory exceptions for closure. The ALJ ordered the HOA to reimburse the petitioner's filing fee and comply with the statute in the future.
Filing Fees Refunded $500.00
Civil Penalties $0.00

Parties & Counsel

Petitioner Kathy J. Green, MD Counsel
Respondent Cross Creek Ranch Community Association Counsel Nick Eicher, Esq.

Alleged Violations

A.R.S. § 33-1804

Outcome Summary

The Administrative Law Judge affirmed the petition, finding that the HOA violated A.R.S. § 33-1804 by improperly holding a closed executive session primarily focused on reviewing homeowner comments on design guidelines that did not meet the statutory exceptions for closure. The ALJ ordered the HOA to reimburse the petitioner's filing fee and comply with the statute in the future.

Key Issues & Findings

Alleged violation of open meetings requirements regarding closed executive session.

The Respondent HOA held a closed executive session on June 9, 2022, noticed under A.R.S. § 33-1804(A)(1) (legal advice), to discuss approximately 72 homeowner comments on proposed design guideline revisions. The ALJ found that the meeting did not qualify under exceptions (A)(1) or (A)(2) as no legal advice was given and the discussion of most comments did not constitute pending or contemplated litigation.

Orders: Petitioner's petition is affirmed. Respondent must reimburse the Petitioner the $500.00 filing fee and is directed to comply with the requirements of A.R.S. § 33-1804 going forward.

Filing fee: $500.00, Fee refunded: Yes

Disposition: petitioner_win

Cited:

  • 33-1804(A)(1)
  • 33-1804(A)(2)
  • 33-1804(B)
  • 33-1804(F)

Analytics Highlights

Topics: HOA, Open Meetings, Executive Session, Legal Advice, Contemplated Litigation, Design Guidelines
Additional Citations:

  • 33-1804
  • 33-1804(A)
  • 33-1804(A)(1)
  • 33-1804(A)(2)
  • 33-1804(F)

Video Overview

Audio Overview

Decision Documents

22F-H2222064-REL Decision – 1003060.pdf

Uploaded 2026-04-24T11:55:20 (149.0 KB)

22F-H2222064-REL Decision – 989940.pdf

Uploaded 2026-04-24T11:55:23 (49.8 KB)

22F-H2222064-REL Decision – 1003060.pdf

Uploaded 2026-01-23T17:49:38 (149.0 KB)

22F-H2222064-REL Decision – 989940.pdf

Uploaded 2026-01-23T17:49:41 (49.8 KB)

This summary concerns the administrative hearing held on September 16, 2022, regarding the matter of Kathy J. Green (Petitioner) versus Cross Creek Ranch Community Association (Respondent), Docket No. 22F-H2222064-REL.

Key Facts and Legal Issue

The dispute centered on whether the Respondent Homeowners Association (HOA) violated Arizona Revised Statute (A.R.S.) § 33-1804 by holding a closed executive session on June 9, 2022. A.R.S. § 33-1804 establishes the state policy that all meetings of a planned community association's board of directors must be conducted openly and that any provisions of the statute must be construed in favor of open meetings. A meeting may only be closed if the portion is strictly limited to specific exceptions, such as legal advice (A.R.S. § 33-1804(A)(1)) or pending or contemplated litigation (A.R.S. § 33-1804(A)(2)).

The meeting was held to discuss 72 comments solicited from homeowners regarding proposed revisions to the Architectural Review Committee (ARC) Design Guidelines.

Key Arguments

Petitioner's Position:

The Petitioner, Kathy Green, alleged that the closed session was improper because it was noticed under A.R.S. § 33-1804(A)(1) (legal advice), yet the Board stipulated that no legal advice was given during the session. Evidence showed the Board President had emailed management prior to the meeting asking, "I don't want this to be an open meeting. Can we classify it under ARC Legal Review and keep it closed?". Petitioner argued that the meeting unlawfully conducted association business, noting that minutes showed a review of owner comments, non-board ARC members were present, and the minutes did not show discussion of legal advice or pending litigation. Furthermore, emails demonstrated that the Board later attempted to retroactively justify the meeting under A.R.S. § 33-1804(A)(2) (contemplated litigation).

Respondent's Position:

The Respondent, Cross Creek Ranch Community Association, argued that the closure was justified under A.R.S. § 33-1804(A)(2) because certain owner comments, including those from the Petitioner and her husband, were perceived as threats of litigation concerning the design guidelines. The Board testified that it met to holistically consider the risk of litigation, gauge membership sentiment, and conduct a cost-benefit analysis regarding the threatened lawsuits.

Final Decision and Outcome

Administrative Law Judge (ALJ) Sondra J. Vanella found that the Petitioner established by a preponderance of the evidence that Respondent violated A.R.S. § 33-1804.

  1. Violation of A.R.S. § 33-1804(A)(1): The stipulation that no legal advice was given established that the meeting did not meet the requirement for closure under the section for which it was noticed.
  2. Violation of A.R.S. § 33-1804(A)(2): The ALJ found the argument for "pending or contemplated litigation" to be "tenuous at best". The discussion primarily involved 72 homeowner comments, and the ALJ concluded that none of the comments could be "reasonably construed as contemplating litigation".
  3. ALJ Finding: The ALJ noted that the Board acknowledged it could have held a separate executive session to discuss the one comment that copied an attorney while holding an open meeting for the majority of the solicited comments. The issue discussed did not fall under the statutory exceptions.

The ALJ affirmed the Petitioner's petition and ordered the Respondent to reimburse the Petitioner the $500.00 filing fee. The Respondent was also directed to comply with the requirements of A.R.S. § 33-1804 moving forward. No civil penalty was found appropriate.

Questions

Question

Can my HOA board hold a closed meeting to discuss homeowner feedback on design guidelines?

Short Answer

No, discussing general homeowner feedback does not qualify for a closed executive session unless it meets specific statutory exceptions like pending litigation.

Detailed Answer

The ALJ ruled that reviewing general comments from homeowners regarding proposed changes to design guidelines is not a valid reason to close a meeting. Even if some comments are critical, the board must discuss them in an open meeting unless they specifically relate to pending or contemplated litigation or legal advice.

Alj Quote

The Administrative Law Judge concludes… that the issue discussed at the June 9, 2022 executive session does not fall under the exceptions listed in A.R.S. §§ 33-1804(A)(1) or (A)(2), and Respondent did not properly consider the issue in an executive session closed to its members.

Legal Basis

A.R.S. § 33-1804

Topic Tags

  • open meetings
  • design guidelines
  • executive session

Question

Does a homeowner saying they 'can and will challenge' a rule in court count as pending litigation?

Short Answer

No, vague statements about potential legal challenges do not necessarily constitute 'contemplated litigation' sufficient to close a meeting.

Detailed Answer

The ALJ found that comments stating changes 'can and will be challenged in court' did not put the Board on notice of imminent lawsuits. Therefore, such comments did not justify closing the meeting under the 'pending or contemplated litigation' exception.

Alj Quote

Further, the Administrative Law Judge concludes that none of the comments can be reasonably construed as contemplating litigation.

Legal Basis

A.R.S. § 33-1804(A)(2)

Topic Tags

  • litigation
  • definitions
  • executive session

Question

Can the board close an entire meeting if they receive just one threat of litigation?

Short Answer

No, the board should only close the portion of the meeting dealing with the specific threat.

Detailed Answer

If an HOA receives many comments and only one contains a potential legal threat (e.g., copying an attorney), the board should hold an executive session for that specific item and discuss the remaining general business in an open meeting.

Alj Quote

As acknowledged by Mr. Chambers, the Board could have held an executive session to discuss only that one comment/letter in which an attorney was copied, and held an open meeting to discuss the other solicited comments.

Legal Basis

A.R.S. § 33-1804(A)(2)

Topic Tags

  • procedure
  • litigation
  • open meetings

Question

Can the HOA claim 'legal advice' as a reason to close a meeting if no attorney is present?

Short Answer

No, the 'legal advice' exception generally requires actual advice being given or discussed from an attorney.

Detailed Answer

The board cannot use the 'legal advice' exception to close a meeting if they are simply preparing questions for an attorney or reviewing documents before sending them to counsel. In this case, the attorney had not yet reviewed the documents, so no legal advice could be discussed.

Alj Quote

Prior to the June 9, 2022 executive session, an attorney had not yet reviewed the proposed revisions to the Guidelines and therefore, did not provide feedback for discussion at that meeting.

Legal Basis

A.R.S. § 33-1804(A)(1)

Topic Tags

  • legal advice
  • attorney
  • executive session

Question

How should HOA board members and managers interpret open meeting laws?

Short Answer

They must interpret the laws in favor of open meetings.

Detailed Answer

Arizona statute explicitly states that the policy of the state is to conduct meetings openly. Any ambiguity in the law should be construed by board members and managers to support openness rather than secrecy.

Alj Quote

Toward this end, any person or entity that is charged with the interpretation of these provisions, including members of the board of directors and any community manager, shall take into account this declaration of policy and shall construe any provision of this section in favor of open meetings.

Legal Basis

A.R.S. § 33-1804(F)

Topic Tags

  • statutory interpretation
  • policy
  • open meetings

Question

Who has the burden of proof in an administrative hearing against an HOA?

Short Answer

The petitioner (the homeowner filing the complaint) has the burden of proof.

Detailed Answer

The homeowner must prove by a 'preponderance of the evidence' that the HOA violated the statute. This means they must show it is more probable than not that the violation occurred.

Alj Quote

In this proceeding, Petitioner bears the burden of proving by a preponderance of the evidence that Respondent violated A.R.S. § 33-1804.

Legal Basis

A.A.C. R2-19-119

Topic Tags

  • burden of proof
  • hearing procedure
  • evidence

Question

Can I get my filing fee back if I win my case against the HOA?

Short Answer

Yes, the ALJ has the authority to order the HOA to reimburse the filing fee.

Detailed Answer

If the homeowner prevails in showing a violation occurred, the judge may order the association to pay back the cost of filing the petition.

Alj Quote

IT IS FURTHER ORDERED that Respondent reimburse Petitioner the $500.00 filing fee.

Legal Basis

Order

Topic Tags

  • remedies
  • fees
  • penalties

Question

Will the HOA always be fined if they violate open meeting laws?

Short Answer

Not necessarily; the judge has discretion on whether to impose a civil penalty.

Detailed Answer

Even if a violation is found, the judge may decide not to issue a civil penalty based on the specific facts of the case.

Alj Quote

Based on the facts presented, the Administrative Law Judge finds no civil penalty is appropriate in this matter.

Legal Basis

Findings of Fact

Topic Tags

  • penalties
  • enforcement
  • fines

Case

Docket No
22F-H2222064-REL
Case Title
Kathy J. Green v. Cross Creek Ranch Community Association
Decision Date
2022-09-29
Alj Name
Sondra J. Vanella
Tribunal
OAH
Agency
ADRE

Questions

Question

Can my HOA board hold a closed meeting to discuss homeowner feedback on design guidelines?

Short Answer

No, discussing general homeowner feedback does not qualify for a closed executive session unless it meets specific statutory exceptions like pending litigation.

Detailed Answer

The ALJ ruled that reviewing general comments from homeowners regarding proposed changes to design guidelines is not a valid reason to close a meeting. Even if some comments are critical, the board must discuss them in an open meeting unless they specifically relate to pending or contemplated litigation or legal advice.

Alj Quote

The Administrative Law Judge concludes… that the issue discussed at the June 9, 2022 executive session does not fall under the exceptions listed in A.R.S. §§ 33-1804(A)(1) or (A)(2), and Respondent did not properly consider the issue in an executive session closed to its members.

Legal Basis

A.R.S. § 33-1804

Topic Tags

  • open meetings
  • design guidelines
  • executive session

Question

Does a homeowner saying they 'can and will challenge' a rule in court count as pending litigation?

Short Answer

No, vague statements about potential legal challenges do not necessarily constitute 'contemplated litigation' sufficient to close a meeting.

Detailed Answer

The ALJ found that comments stating changes 'can and will be challenged in court' did not put the Board on notice of imminent lawsuits. Therefore, such comments did not justify closing the meeting under the 'pending or contemplated litigation' exception.

Alj Quote

Further, the Administrative Law Judge concludes that none of the comments can be reasonably construed as contemplating litigation.

Legal Basis

A.R.S. § 33-1804(A)(2)

Topic Tags

  • litigation
  • definitions
  • executive session

Question

Can the board close an entire meeting if they receive just one threat of litigation?

Short Answer

No, the board should only close the portion of the meeting dealing with the specific threat.

Detailed Answer

If an HOA receives many comments and only one contains a potential legal threat (e.g., copying an attorney), the board should hold an executive session for that specific item and discuss the remaining general business in an open meeting.

Alj Quote

As acknowledged by Mr. Chambers, the Board could have held an executive session to discuss only that one comment/letter in which an attorney was copied, and held an open meeting to discuss the other solicited comments.

Legal Basis

A.R.S. § 33-1804(A)(2)

Topic Tags

  • procedure
  • litigation
  • open meetings

Question

Can the HOA claim 'legal advice' as a reason to close a meeting if no attorney is present?

Short Answer

No, the 'legal advice' exception generally requires actual advice being given or discussed from an attorney.

Detailed Answer

The board cannot use the 'legal advice' exception to close a meeting if they are simply preparing questions for an attorney or reviewing documents before sending them to counsel. In this case, the attorney had not yet reviewed the documents, so no legal advice could be discussed.

Alj Quote

Prior to the June 9, 2022 executive session, an attorney had not yet reviewed the proposed revisions to the Guidelines and therefore, did not provide feedback for discussion at that meeting.

Legal Basis

A.R.S. § 33-1804(A)(1)

Topic Tags

  • legal advice
  • attorney
  • executive session

Question

How should HOA board members and managers interpret open meeting laws?

Short Answer

They must interpret the laws in favor of open meetings.

Detailed Answer

Arizona statute explicitly states that the policy of the state is to conduct meetings openly. Any ambiguity in the law should be construed by board members and managers to support openness rather than secrecy.

Alj Quote

Toward this end, any person or entity that is charged with the interpretation of these provisions, including members of the board of directors and any community manager, shall take into account this declaration of policy and shall construe any provision of this section in favor of open meetings.

Legal Basis

A.R.S. § 33-1804(F)

Topic Tags

  • statutory interpretation
  • policy
  • open meetings

Question

Who has the burden of proof in an administrative hearing against an HOA?

Short Answer

The petitioner (the homeowner filing the complaint) has the burden of proof.

Detailed Answer

The homeowner must prove by a 'preponderance of the evidence' that the HOA violated the statute. This means they must show it is more probable than not that the violation occurred.

Alj Quote

In this proceeding, Petitioner bears the burden of proving by a preponderance of the evidence that Respondent violated A.R.S. § 33-1804.

Legal Basis

A.A.C. R2-19-119

Topic Tags

  • burden of proof
  • hearing procedure
  • evidence

Question

Can I get my filing fee back if I win my case against the HOA?

Short Answer

Yes, the ALJ has the authority to order the HOA to reimburse the filing fee.

Detailed Answer

If the homeowner prevails in showing a violation occurred, the judge may order the association to pay back the cost of filing the petition.

Alj Quote

IT IS FURTHER ORDERED that Respondent reimburse Petitioner the $500.00 filing fee.

Legal Basis

Order

Topic Tags

  • remedies
  • fees
  • penalties

Question

Will the HOA always be fined if they violate open meeting laws?

Short Answer

Not necessarily; the judge has discretion on whether to impose a civil penalty.

Detailed Answer

Even if a violation is found, the judge may decide not to issue a civil penalty based on the specific facts of the case.

Alj Quote

Based on the facts presented, the Administrative Law Judge finds no civil penalty is appropriate in this matter.

Legal Basis

Findings of Fact

Topic Tags

  • penalties
  • enforcement
  • fines

Case

Docket No
22F-H2222064-REL
Case Title
Kathy J. Green v. Cross Creek Ranch Community Association
Decision Date
2022-09-29
Alj Name
Sondra J. Vanella
Tribunal
OAH
Agency
ADRE

Case Participants

Petitioner Side

  • Kathy J. Green (petitioner)
    Cross Creek Ranch Owner
    Also referred to as Dr. Green, Colonel (retired),
  • Peter Calogero (witness)
    Spouse of Petitioner,

Respondent Side

  • Cross Creek Ranch Community Association (respondent)
  • Nick Eicher (HOA attorney)
    Cross Creek Ranch Community Association,
    Also referred to as Nick Iker
  • Greg Chambers (board president)
    Cross Creek Ranch Board
    Also appeared as a witness,
  • Charles Olden (HOA attorney)
    Carpenter Hazelwood
  • Steve Germaine (board member/ARC chair)
    Cross Creek Ranch Board/ARC,
    Subpoenaed individual,,
  • John Kinich (board member)
    Cross Creek Ranch Board
    Also referred to as John Halenich
  • Lynn Grigg (ARC member)
    Cross Creek Ranch ARC,
  • Dan Donahghue (board member)
    Cross Creek Ranch Board,
  • Lisa Henson (board member)
    Cross Creek Ranch Board
  • Laura Malone (property manager)
    Community association manager,,
  • Edith I. Rudder (HOA attorney)
    Carpenter, Hazlewood, Delgado & Bolen LLP,
    Recipient of final order
  • Edward D. O'Brien (HOA attorney)
    Carpenter, Hazlewood, Delgado & Bolen LLP,
    Recipient of final order

Neutral Parties

  • Sondra J. Vanella (ALJ)
    OAH
    Presided over the matter,
  • Louis Dettorre (Commissioner)
    Arizona Department of Real Estate (ADRE),

Other Participants

  • Brian (regional manager)
    Homeco/Property Management
    Provided guidance to Laura Malone
  • Miranda Alvarez (legal secretary)
    Carpenter, Hazlewood, Delgado & Bolen LLP

Dennis Anderson v. Tara Condominiums Association

Case Summary

Case ID 22F-H2222062-REL
Agency ADRE
Tribunal OAH
Decision Date 2022-08-10
Administrative Law Judge Sondra J. Vanella
Outcome The Petition was dismissed because the Petitioners failed to meet the burden of proof that the Respondent HOA violated CC&R Section 11. The ALJ concluded that the Petitioners themselves violated Section 11 by constructing the shed without prior written approval.
Filing Fees Refunded $0.00
Civil Penalties $0.00

Parties & Counsel

Petitioner Dennis Anderson and Mary Scheller Counsel
Respondent Tara Condominiums Association Counsel

Alleged Violations

CC&Rs Section 11

Outcome Summary

The Petition was dismissed because the Petitioners failed to meet the burden of proof that the Respondent HOA violated CC&R Section 11. The ALJ concluded that the Petitioners themselves violated Section 11 by constructing the shed without prior written approval.

Why this result: Petitioner failed to prove the HOA violated CC&R Section 11; the construction of the shed occurred prior to seeking or obtaining architectural approval, violating Section 11.

Key Issues & Findings

Alleged unfair, arbitrary, and capricious rejection of Architectural Change Form based on a non-existent rule (shed must not be higher than patio wall).

Petitioners claimed the HOA violated CC&Rs Section 11 by arbitrarily denying their request to construct a shed based on an unwritten rule regarding shed height (must be 3 inches below the wall). Petitioners acknowledged they constructed the shed prior to obtaining approval.

Orders: Petition dismissed; no action required of Respondent.

Filing fee: $0.00, Fee refunded: No

Disposition: respondent_win

Cited:

  • A.R.S. § 32-2199.01
  • A.R.S. § 33-1221
  • CC&Rs Section 11

Analytics Highlights

Topics: HOA, Architectural Change, CC&R Violation, Prior Approval, Shed
Additional Citations:

  • A.R.S. § 32-2199.01
  • A.R.S. § 33-1221
  • CC&Rs Section 11

Video Overview

Audio Overview

Decision Documents

22F-H2222062-REL Decision – 986010.pdf

Uploaded 2026-04-24T11:54:09 (48.4 KB)

22F-H2222062-REL Decision – 991586.pdf

Uploaded 2026-04-24T11:54:17 (114.3 KB)

22F-H2222062-REL Decision – 991600.pdf

Uploaded 2026-04-24T11:54:21 (6.5 KB)

22F-H2222062-REL Decision – 996350.pdf

Uploaded 2026-04-24T11:54:25 (47.3 KB)

22F-H2222062-REL Decision – 986010.pdf

Uploaded 2026-01-23T17:48:53 (48.4 KB)

22F-H2222062-REL Decision – 991586.pdf

Uploaded 2026-01-23T17:48:58 (114.3 KB)

22F-H2222062-REL Decision – 991600.pdf

Uploaded 2026-01-23T17:49:04 (6.5 KB)

22F-H2222062-REL Decision – 996350.pdf

Uploaded 2026-01-23T17:49:09 (47.3 KB)

This summary details the administrative hearing proceedings, key arguments, and final decision in the matter of *Dennis Anderson and Mary Scheller v. Tara Condominiums Association*. The hearing was held before Administrative Law Judge Sondra J. Vanella of the Office of Administrative Hearings on August 4, 2022.

Key Facts and Issues

Petitioners' Claim: Dennis Anderson and Mary Scheller (Petitioners) filed a Petition alleging that the Tara Condominiums Association (Respondent) violated Section 11 of the Covenants, Conditions and Restrictions (CC&Rs) by "unfairly, arbitrarily, and capriciously" rejecting their Architectural Change Form (ACF) for the construction of a storage shed. The Petitioners asserted the rejection was based on a "non-existent rule" that the shed must not be higher than the patio wall.

Construction Timeline: Mr. Anderson constructed the shed on January 3, 2022. He subsequently submitted the ACF for approval on or about February 2, 2022, after the Respondent became aware of the structure during a walk-through and issued a violation letter on January 29, 2022. The Board denied the request on February 6, 2022.

CC&R Section 11: Section 11 of the CC&Rs explicitly states that no exterior additions or alterations "shall be commenced, erected or maintained until the plans and specifications…shall have been submitted to and approved in writing" by the architectural committee.

Key Arguments

Petitioners' Argument: Petitioners argued that the Board's denial was arbitrary because the rule requiring the shed to be unattached and three inches below the wall height was not contained within the written CC&Rs. They presented photographs showing other structures, including sheds and sun shades, that were built above the wall height in the community, suggesting unequal application of standards. Mr. Anderson admitted, however, that constructing the shed prior to obtaining approval was his mistake and a violation of CC&R Section 11.

Respondent's Argument: The Respondent's Board members maintained that their authority is limited to complying with the governing documents. They argued that the fundamental violation was the Petitioners' failure to obtain prior written approval as required by CC&R Section 11 before commencing construction. While acknowledging the "three inches below the wall" requirement was not in writing, the Board asserted it was an unwritten "standard in Sun City" that had been communicated by the previous Board President (Ms. Scheller).

Legal Outcome and Decision

The Administrative Law Judge (ALJ) noted that the Petitioners bore the burden of proof to establish by a preponderance of the evidence that the Respondent violated the CC&Rs.

The ALJ found that while Petitioners have the right to enforce the CC&Rs, they were also required to abide by the same provisions. Since Mr. Anderson constructed the shed prior to submitting an Architectural Change Form and obtaining approval, the Petitioners were held to have violated Section 11 themselves.

The ALJ decision concluded that Petitioners failed to establish by a preponderance of the evidence that the Respondent violated the provisions of Section 11 of the CC&Rs.

Final Order: The Petition was dismissed, and no action was required of the Respondent in this matter.

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22F-H2222062-REL

5 sources

These sources document a legal dispute between homeowners Dennis Anderson and Mary Scheller and the Tara Condominiums Association regarding the unauthorized installation of a backyard storage shed. The conflict began when the association denied a retrospective architectural application, citing that the structure was too high and improperly attached to the building. During an evidentiary hearing held in August 2022, the petitioners argued that the board was enforcing non-existent rules, while the association maintained that the homeowners failed to seek the mandatory prior approval required by their governing documents. The Administrative Law Judge ultimately ruled in favor of the association, determining that the petitioners had violated the community’s CC&Rs by building the shed before obtaining written consent. Consequently, the petition was dismissed, and a subsequent attempt by the homeowners to submit further evidence via email was rejected.

How did the lack of written rules influence the case?
Why did the judge ultimately dismiss the petitioners’ claim?
How does CC&R Section 11 impact homeowner architectural changes?

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Select all sources

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22F-H2222062-REL

5 sources

These sources document a legal dispute between homeowners Dennis Anderson and Mary Scheller and the Tara Condominiums Association regarding the unauthorized installation of a backyard storage shed. The conflict began when the association denied a retrospective architectural application, citing that the structure was too high and improperly attached to the building. During an evidentiary hearing held in August 2022, the petitioners argued that the board was enforcing non-existent rules, while the association maintained that the homeowners failed to seek the mandatory prior approval required by their governing documents. The Administrative Law Judge ultimately ruled in favor of the association, determining that the petitioners had violated the community’s CC&Rs by building the shed before obtaining written consent. Consequently, the petition was dismissed, and a subsequent attempt by the homeowners to submit further evidence via email was rejected.

How did the lack of written rules influence the case?
Why did the judge ultimately dismiss the petitioners’ claim?
How does CC&R Section 11 impact homeowner architectural changes?

Thursday, February 12

Save to note

Today • 1:37 PM

5 sources

Video Overview

Mind Map

Reports

Flashcards

Quiz

Infographic

Slide Deck

Data Table

NotebookLM can be inaccurate; please double check its responses.

Case Participants

Petitioner Side

  • Dennis Anderson (petitioner)
  • Mary Scheller (petitioner)
    Tara Condominiums Association (former board)
    Former President of the HOA Board; also referred to as Mary Shell
  • Kiara (Owner)
    Daughter and co-owner who received violation letter

Respondent Side

  • Lisa Marks (board member)
    Tara Condominiums Association
    Chairperson and Secretary of the Board; testified for Respondent
  • Renee Snow (board member)
    Tara Condominiums Association
    Treasurer and President of the Board; testified for Respondent

Neutral Parties

  • Sondra J. Vanella (ALJ)
    OAH
  • Louis Dettorre (Commissioner)
    ADRE
  • AHansen (ADRE staff)
    ADRE
    Recipient of official transmission
  • vnunez (ADRE staff)
    ADRE
    Recipient of official transmission
  • djones (ADRE staff)
    ADRE
    Recipient of official transmission
  • labril (ADRE staff)
    ADRE
    Recipient of official transmission
  • c. serrano (Clerk/Staff)
    OAH/ADRE
    Transmitting staff member
  • Miranda Alvarez (Legal Secretary)
    OAH/ADRE
    Transmitting staff member

Kathy Padalino v. Legend Trail Parcel A

Case Summary

Case ID 22F-H2221003-REL
Agency ADRE
Tribunal OAH
Decision Date 2021-12-08
Administrative Law Judge Sondra J. Vanella
Outcome The Administrative Law Judge ordered that the Petitioner’s Petition be dismissed after finding that the Petitioner failed to sustain her burden to establish a violation by the Respondent of the cited sections of the CC&Rs.
Filing Fees Refunded $500.00
Civil Penalties $0.00

Parties & Counsel

Petitioner Kathy Padalino Counsel
Respondent Legend Trail Parcel A Counsel Kelsey Dressen, Esq.

Alleged Violations

CC&Rs Article 1 Section 26, Article 4 Section 4.6, and Article 2, Section 2.4

Outcome Summary

The Administrative Law Judge ordered that the Petitioner’s Petition be dismissed after finding that the Petitioner failed to sustain her burden to establish a violation by the Respondent of the cited sections of the CC&Rs.

Why this result: Petitioner failed to prove by a preponderance of the evidence that Respondent violated the CC&Rs, and did not establish that Respondent was obligated to provide her with an individual access code separate from the one already provided to the Lot.

Key Issues & Findings

The dispute between Petitioner and Respondent arises from Community Document Conditions, Covenants, and Restrictions Article 1 Section 26, Article 4 Section 4.6, and Article 2, Section 2.4.

Petitioner filed an HOA Dispute Process Petition alleging a violation of community documents because the HOA refused to grant her a personal access gate code. Petitioner argued that as an owner and member, she was entitled to her own personal and individual access code. Respondent disputed the violation, asserting the lot already had multiple modes of access, and was not obligated to provide an additional individual code.

Orders: Petitioner’s Petition is dismissed.

Filing fee: $500.00, Fee refunded: No

Disposition: respondent_win

Cited:

  • CC&Rs Article 1 Section 26
  • CC&Rs Article 4 Section 4.6
  • CC&Rs Article 2, Section 2.4
  • A.R.S. § 32-2199
  • ARIZ. REV. STAT. section 41-1092.07(G)(2)
  • A.A.C. R2-19-119(A)
  • A.A.C. R2-19-119(B)(1)
  • A.A.C. R2-19-119(B)(2)

Analytics Highlights

Topics: HOA Dispute, CC&R Violation, Gate Access, Access Code Policy
Additional Citations:

  • A.R.S. § 32-2199
  • ARIZ. REV. STAT. section 41-1092.07(G)(2)
  • A.A.C. R2-19-119(A)
  • A.A.C. R2-19-119(B)(1)
  • A.A.C. R2-19-119(B)(2)
  • A.R.S. § 32-2199.02(B)
  • A.R.S. § 32-2199.04
  • A.R.S. § 41-1092.09

Video Overview

Audio Overview

Decision Documents

22F-H2221003-REL Decision – 930504.pdf

Uploaded 2026-04-24T11:38:19 (109.5 KB)

22F-H2221003-REL Decision – 930504.pdf

Uploaded 2026-01-23T17:39:28 (109.5 KB)

This summary addresses your request for a concise overview of the administrative hearing decision, focusing on key facts, legal issues, arguments, and the final outcome, totaling less than 4000 characters.

***

Summary of Administrative Hearing Decision

Case Title: Kathy Padalino v. Legend Trail Parcel A

Hearing Date: November 22, 2021

Forum: Office of Administrative Hearings

Key Facts and Main Issue

Petitioner Kathy Padalino, a co-owner of a property within the community, filed a Homeowners Association (HOA) Dispute Process Petition alleging that Respondent Legend Trail Parcel A violated the community’s Covenants, Conditions & Restrictions (CC&Rs).

The central issue was Petitioner’s assertion that the Respondent was violating CC&Rs Article 1 Section 26, Article 4 Section 4.6, and Article 2, Section 2.4, by refusing to grant her an individual, personal access gate code. Petitioner argued that, as an Owner and Member, she was entitled to her own code, noting that the lack of a 24/7 personal code was inconvenient for long-term guests.

The Petitioner currently had four operational modes of access to the community: a vehicle fob, a functioning gate opener, a vendor code, and the four-digit lot code shared by her co-owner, Vance Gribble. Critically, Mr. Gribble had placed restrictions on Petitioner’s use of the shared lot code for her friends and family.

Key Arguments and Legal Points

Respondent’s Argument: Respondent did not dispute Petitioner’s status as an Owner or Member, but maintained that it had not violated the CC&Rs. The HOA cited its authority under CC&Rs Article 4 Section 4.3 to adopt rules regarding the management and use of common areas. The HOA’s Gate Access Policy, effective August 18, 2021, stipulates that “Each Lot will be issued a single four digit code for use by all Residents of the Lot”.

Legal Standard: The Petitioner bore the burden of proof to establish that the Respondent committed the alleged violation by a preponderance of the evidence (that the contention is more probably true than not).

Administrative Law Judge’s (ALJ) Conclusion: The ALJ found that the Petitioner failed to sustain her burden of proof.

  1. The Petitioner did not establish that the Respondent was obligated to provide her with a “personal” or “individual” access code.
  2. The Respondent had provided an access code for the Lot, in line with its policy, as well as multiple alternative methods of access.
  3. The ALJ determined that the restrictions placed on the lot’s code by the co-owner, Mr. Gribble, constituted an issue for the Petitioner to resolve with Mr. Gribble, not an issue for the Department or a violation committed by the HOA.

Outcome

The Administrative Law Judge concluded that Petitioner failed to establish a violation of the specified CC&R sections. Therefore, the Petitioner’s Petition was dismissed. This Order became binding on the parties unless a rehearing was granted.

Questions

Question

Who is responsible for proving that a violation occurred in an HOA dispute hearing?

Short Answer

The Petitioner (the person filing the complaint) bears the burden of proof.

Detailed Answer

In an administrative hearing regarding an HOA dispute, the burden is not on the HOA to prove they are innocent. Instead, the homeowner filing the petition must prove that the HOA committed the violation.

Alj Quote

Petitioner bears the burden of proof to establish that Respondent committed the alleged violation by a preponderance of the evidence.

Legal Basis

ARIZ. REV. STAT. section 41-1092.07(G)(2); A.A.C. R2-19-119(A) and (B)(1)

Topic Tags

  • Burden of Proof
  • Hearing Procedures

Question

What is the legal standard of proof required to win a hearing against an HOA?

Short Answer

Preponderance of the evidence.

Detailed Answer

This standard means that the evidence must show that the claim is more likely true than not true. It is based on the convincing force of the evidence rather than just the number of witnesses.

Alj Quote

“A preponderance of the evidence is such proof as convinces the trier of fact that the contention is more probably true than not.”

Legal Basis

Morris K. Udall, Arizona Law of Evidence § 5 (1960)

Topic Tags

  • Legal Standards
  • Evidence

Question

If Association Rules conflict with the CC&Rs (Declaration), which document controls?

Short Answer

The Declaration (CC&Rs) prevails.

Detailed Answer

The governing documents usually establish a hierarchy. If the Board adopts rules that are inconsistent with the recorded Declaration, the Declaration is the superior document.

Alj Quote

In the event of any conflict or inconsistency between the provisions of this Declaration and the Association Rules, the provisions of this Declaration shall prevail.

Legal Basis

CC&Rs Article 4 Section 4.3

Topic Tags

  • Governing Documents
  • Rules vs CC&Rs

Question

Is an HOA obligated to provide a unique gate access code to every individual owner?

Short Answer

Not necessarily, if access is provided to the Lot.

Detailed Answer

If the HOA provides valid methods of access for a Lot (such as a shared code, key fob, or remote), they may not be legally obligated to provide a specific 'personal' code for each individual owner of that Lot.

Alj Quote

Petitioner did not establish that Respondent is obligated to provide her with a “personal” or “individual” access code.

Legal Basis

Findings of Fact / Conclusions of Law 4

Topic Tags

  • Access Rights
  • Gate Codes
  • Security

Question

Can the Administrative Law Judge resolve disputes between co-owners regarding access to the property?

Short Answer

No, disputes between co-owners are personal matters.

Detailed Answer

If one co-owner restricts another co-owner from using a shared access code, the Department of Real Estate views this as a private issue between the owners, not a violation by the HOA.

Alj Quote

Mr. Gribble, as co-owner, has placed restrictions upon Petitioner’s use of the code for the Lot. That is an issue for Petitioner to take up with Mr. Gribble, not the Department.

Legal Basis

Conclusions of Law 4

Topic Tags

  • Co-owner Disputes
  • Jurisdiction

Question

Are Association Rules as enforceable as the CC&Rs?

Short Answer

Yes, generally rules are enforceable to the same extent as the Declaration.

Detailed Answer

Once validly adopted, Association Rules regarding the management and operation of the community can be enforced just like the recorded covenants.

Alj Quote

The Association Rules shall be enforceable in the same manner and to the same extent as the covenants, conditions and restrictions set forth in this Declaration.

Legal Basis

CC&Rs Article 4 Section 4.3

Topic Tags

  • Enforcement
  • Rules

Case

Docket No
22F-H2221003-REL
Case Title
Kathy Padalino v. Legend Trail Parcel A
Decision Date
2021-12-08
Alj Name
Sondra J. Vanella
Tribunal
OAH
Agency
ADRE

Questions

Question

Who is responsible for proving that a violation occurred in an HOA dispute hearing?

Short Answer

The Petitioner (the person filing the complaint) bears the burden of proof.

Detailed Answer

In an administrative hearing regarding an HOA dispute, the burden is not on the HOA to prove they are innocent. Instead, the homeowner filing the petition must prove that the HOA committed the violation.

Alj Quote

Petitioner bears the burden of proof to establish that Respondent committed the alleged violation by a preponderance of the evidence.

Legal Basis

ARIZ. REV. STAT. section 41-1092.07(G)(2); A.A.C. R2-19-119(A) and (B)(1)

Topic Tags

  • Burden of Proof
  • Hearing Procedures

Question

What is the legal standard of proof required to win a hearing against an HOA?

Short Answer

Preponderance of the evidence.

Detailed Answer

This standard means that the evidence must show that the claim is more likely true than not true. It is based on the convincing force of the evidence rather than just the number of witnesses.

Alj Quote

“A preponderance of the evidence is such proof as convinces the trier of fact that the contention is more probably true than not.”

Legal Basis

Morris K. Udall, Arizona Law of Evidence § 5 (1960)

Topic Tags

  • Legal Standards
  • Evidence

Question

If Association Rules conflict with the CC&Rs (Declaration), which document controls?

Short Answer

The Declaration (CC&Rs) prevails.

Detailed Answer

The governing documents usually establish a hierarchy. If the Board adopts rules that are inconsistent with the recorded Declaration, the Declaration is the superior document.

Alj Quote

In the event of any conflict or inconsistency between the provisions of this Declaration and the Association Rules, the provisions of this Declaration shall prevail.

Legal Basis

CC&Rs Article 4 Section 4.3

Topic Tags

  • Governing Documents
  • Rules vs CC&Rs

Question

Is an HOA obligated to provide a unique gate access code to every individual owner?

Short Answer

Not necessarily, if access is provided to the Lot.

Detailed Answer

If the HOA provides valid methods of access for a Lot (such as a shared code, key fob, or remote), they may not be legally obligated to provide a specific 'personal' code for each individual owner of that Lot.

Alj Quote

Petitioner did not establish that Respondent is obligated to provide her with a “personal” or “individual” access code.

Legal Basis

Findings of Fact / Conclusions of Law 4

Topic Tags

  • Access Rights
  • Gate Codes
  • Security

Question

Can the Administrative Law Judge resolve disputes between co-owners regarding access to the property?

Short Answer

No, disputes between co-owners are personal matters.

Detailed Answer

If one co-owner restricts another co-owner from using a shared access code, the Department of Real Estate views this as a private issue between the owners, not a violation by the HOA.

Alj Quote

Mr. Gribble, as co-owner, has placed restrictions upon Petitioner’s use of the code for the Lot. That is an issue for Petitioner to take up with Mr. Gribble, not the Department.

Legal Basis

Conclusions of Law 4

Topic Tags

  • Co-owner Disputes
  • Jurisdiction

Question

Are Association Rules as enforceable as the CC&Rs?

Short Answer

Yes, generally rules are enforceable to the same extent as the Declaration.

Detailed Answer

Once validly adopted, Association Rules regarding the management and operation of the community can be enforced just like the recorded covenants.

Alj Quote

The Association Rules shall be enforceable in the same manner and to the same extent as the covenants, conditions and restrictions set forth in this Declaration.

Legal Basis

CC&Rs Article 4 Section 4.3

Topic Tags

  • Enforcement
  • Rules

Case

Docket No
22F-H2221003-REL
Case Title
Kathy Padalino v. Legend Trail Parcel A
Decision Date
2021-12-08
Alj Name
Sondra J. Vanella
Tribunal
OAH
Agency
ADRE

Case Participants

Petitioner Side

  • Kathy Padalino (petitioner)
    Appeared on her own behalf

Respondent Side

  • Kelsey Dressen (attorney)
    LAW OFFICES OF CHOATE & WOOD
    Represented Respondent Legend Trail Parcel A

Neutral Parties

  • Sondra J. Vanella (ALJ)
  • Louis Dettorre (Commissioner)
    Arizona Department of Real Estate
  • AHansen (ADRE staff)
    Arizona Department of Real Estate
  • djones (ADRE staff)
    Arizona Department of Real Estate
  • DGardner (ADRE staff)
    Arizona Department of Real Estate
  • vnunez (ADRE staff)
    Arizona Department of Real Estate

Other Participants

  • Vance Gribble (co-owner)
    Co-owns home with Petitioner

Aaron J Gragg v. Anthem Parkside at Merrill Ranch Community

Case Summary

Case ID 21F-H2121042-REL
Agency ADRE
Tribunal OAH
Decision Date 2021-11-01
Administrative Law Judge Sondra J. Vanella
Outcome The Petitioner's Petition, alleging four separate violations of Arizona statutes and CC&Rs (regarding ADR procedures, fraudulent violation assessment, failure to produce documents, and selective enforcement), was denied as the Petitioner failed to prove any of the alleged violations by a preponderance of the evidence.
Filing Fees Refunded $0.00
Civil Penalties $0.00

Parties & Counsel

Petitioner Aaron J. Gragg Counsel
Respondent Anthem Parkside at Merrill Ranch Community Association, Inc. Counsel Curtis Ekmark, Esq.

Alleged Violations

CC&R Article 12.4(a)
A.R.S. § 33-1803
A.R.S. § 33-1805
CC&R 2.4(a)

Outcome Summary

The Petitioner's Petition, alleging four separate violations of Arizona statutes and CC&Rs (regarding ADR procedures, fraudulent violation assessment, failure to produce documents, and selective enforcement), was denied as the Petitioner failed to prove any of the alleged violations by a preponderance of the evidence.

Why this result: Petitioner failed to meet the burden of proving by a preponderance of the evidence that the Respondent violated A.R.S. § 33-1803, A.R.S. § 33-1805, or CC&R sections 2.4(a) and 12.4(a).

Key Issues & Findings

Refusal to participate in Alternate Dispute Resolution (ADR)

Petitioner alleged Respondent failed to comply with CC&R Article 12.4(a) regarding ADR. The ALJ found that CC&R Article 12.4(a) excluded proceedings initiated by the Association to enforce architectural, design, and landscape controls from mandatory arbitration.

Orders: Petitioner’s Petition is denied

Filing fee: $0.00, Fee refunded: No

Disposition: petitioner_loss

Cited:

  • CC&Rs Section 12.4(a)

Fraudulent assessment of violations

Petitioner alleged Respondent assessed violations without observation. Evidence showed Petitioner’s landscape violations were observed during routine inspections by the Community Standards Administrator.

Orders: Petitioner’s Petition is denied

Filing fee: $0.00, Fee refunded: No

Disposition: petitioner_loss

Cited:

  • A.R.S. § 33-1803

Failure to produce documents

Petitioner requested documents establishing design review requirements and enforcement authority. The ALJ found Petitioner’s requests were actually legal questions posed to Respondent regarding the CC&Rs, not requests for specific documents or records.

Orders: Petitioner’s Petition is denied

Filing fee: $0.00, Fee refunded: No

Disposition: petitioner_loss

Cited:

  • A.R.S. § 33-1805

Selective Enforcement / Similar Treatment

Petitioner alleged selective enforcement because he was required to provide a photograph to prove compliance. The ALJ found Respondent has required photographic verification from other similarly situated non-compliant homeowners since 2010.

Orders: Petitioner’s Petition is denied

Filing fee: $0.00, Fee refunded: No

Disposition: petitioner_loss

Cited:

  • CC&R Section 2.4(a)

Analytics Highlights

Topics: HOA enforcement, Landscaping violation, Alternative Dispute Resolution, Selective Enforcement, Document Request
Additional Citations:

  • A.R.S. § 33-1803
  • A.R.S. § 33-1805
  • A.R.S. § 32-2199 et seq.
  • A.A.C. R2-19-119
  • CC&Rs Section 12.4(a)
  • CC&R Section 2.4(a)

Video Overview

Audio Overview

Decision Documents

21F-H2121042-REL Decision – 921903.pdf

Uploaded 2026-04-24T11:34:48 (123.1 KB)

21F-H2121042-REL Decision – 921903.pdf

Uploaded 2026-01-23T17:37:23 (123.1 KB)

Administrative Law Judge Decision Summary: Aaron J. Gragg v. Anthem Parkside at Merrill Ranch Community Association, Inc. (No. 21F-H2121042-REL)

This matter came before the Office of Administrative Hearings on June 29, 2021, and October 19, 2021, concerning a Petition filed by Aaron J. Gragg ("Petitioner") alleging four violations by the Anthem Parkside at Merrill Ranch Community Association, Inc. ("Respondent").

Key Facts and Background

The core facts revolve around the Petitioner’s failure to complete rear yard landscaping as required by the Covenants, Conditions & Restrictions (CC&Rs) within 120 days of closing escrow in December 2017. Despite multiple plan submissions and approvals between 2018 and 2019, Petitioner did not complete the landscaping. Respondent issued approximately 14 noncompliance notices. In December 2019, and again following Petitioner’s appeal to the Board in March 2021, Respondent requested photographic evidence to verify compliance and close the violation file. Evidence showed that Petitioner’s rear yard was still incomplete in April 2021, and after the initial hearing setting.

Main Issues and Legal Arguments

Petitioner alleged four violations:

  1. CC&R 12.4(a) (Alternate Dispute Resolution – ADR): Petitioner alleged Respondent refused to participate in ADR.
  2. A.R.S. § 33-1803 (Fraudulent Assessment): Petitioner alleged Respondent assessed violations that were not actually observed.
  3. A.R.S. § 33-1805 (Document Production): Petitioner alleged Respondent failed to comply with standards for producing documents.
  4. CC&R 2.4(a) (Similar Treatment/Selective Enforcement): Petitioner alleged Respondent selectively enforced rules by requiring photographic proof of compliance.

Legal Conclusions and Outcome

The Administrative Law Judge (ALJ) found that Petitioner failed to meet the burden of proof by a preponderance of the evidence on all four issues.

  • A.R.S. § 33-1803 (Observed Violations): The credible evidence established that the landscape violations were observed during routine inspections by the Community Standards Administrator; thus, Petitioner failed to establish a violation of A.R.S. § 33-1803.
  • A.R.S. § 33-1805 (Document Production): Petitioner’s requests were determined not to be requests for specific records, but rather questions posed to Respondent regarding the CC&Rs, which Petitioner already possessed. Therefore, Petitioner failed to establish a violation of A.R.S. § 33-1805.
  • CC&R 12.4(a) (ADR): The CC&Rs explicitly exclude proceedings initiated by the Association to enforce architectural, design, and landscape controls from the mandatory arbitration requirements of Section 12.4. Furthermore, Respondent had not filed suit or requested arbitration against Petitioner. Petitioner failed to establish a violation of CC&R Section 12.4(a).
  • CC&R 2.4(a) (Similar Treatment): Evidence showed that Respondent had requested photographic verification of compliance from other homeowners who were similarly non-compliant with landscape guidelines since at least 2010. The request made to Petitioner was consistent with past actions for similarly situated homeowners. Petitioner failed to establish a violation of CC&R Section 2.4(a).

Final Decision

The ALJ issued an Order denying Petitioner’s Petition on November 1, 2021.

Questions

Question

Can I use a records request to force the HOA to explain their legal authority or justification for fines?

Short Answer

No. A records request must be for existing documents, not a method to pose legal questions to the HOA.

Detailed Answer

The ALJ ruled that requests asking for 'evidence… supporting justification' or the 'location of explicit CC&Rs' are actually interrogatories (questions) rather than requests for existing records. The HOA is not required to create new documents to answer legal questions under the guise of a records request.

Alj Quote

Petitioner’s request was not for documents or records, but rather for answers to legal questions.

Legal Basis

A.R.S. § 33-1805

Topic Tags

  • records request
  • legal authority
  • HOA obligations

Question

Can the HOA require me to submit photos proving I fixed a violation?

Short Answer

Yes, particularly if there is a history of non-compliance.

Detailed Answer

The decision found it reasonable for an HOA to require a homeowner to submit photographic evidence to close a violation file, especially when the homeowner had failed to comply for an extended period. This requirement does not necessarily constitute unequal treatment.

Alj Quote

Respondent has requested of homeowners that have not been in compliance with the Landscape Design Guidelines, to submit photographic evidence when in compliance, in order prove such compliance.

Legal Basis

CC&R Section 2.4(a)

Topic Tags

  • violations
  • compliance
  • evidence

Question

Is it discrimination if the HOA asks me for proof of compliance but doesn't ask my neighbors?

Short Answer

Not if you are in a different situation (e.g., non-compliant) than your neighbors.

Detailed Answer

The ALJ determined that homeowners who are not in compliance are not 'similarly situated' to those who completed their obligations on time. Therefore, the HOA can impose different requirements (like submitting photos) on non-compliant owners without violating equal treatment clauses.

Alj Quote

This request is no different than those requests made by Respondent in the past of similarly situated homeowners, i.e., those not in compliance.

Legal Basis

CC&R Section 2.4(a)

Topic Tags

  • discrimination
  • selective enforcement
  • equal treatment

Question

Who has the burden of proof in a hearing against the HOA?

Short Answer

The homeowner (Petitioner) must prove the HOA violated the law or CC&Rs.

Detailed Answer

The homeowner bears the burden of proving their allegations by a 'preponderance of the evidence,' which means showing that the fact sought to be proved is more probable than not.

Alj Quote

Petitioner bears the burden of proving by a preponderance of the evidence that Respondent violated A.R.S. § 33-1803, A.R.S. § 33-1805, and CC&Rs sections 2.4(a) and 12.4(a).

Legal Basis

A.A.C. R2-19-119

Topic Tags

  • hearing process
  • burden of proof
  • legal standards

Question

Does the HOA have to prove they physically saw a violation?

Short Answer

Yes, but testimony regarding routine inspections is sufficient proof.

Detailed Answer

The homeowner alleged the HOA assessed violations that were not observed. However, the ALJ accepted credible testimony from the Community Standards Administrator that the violations were observed during routine inspections as sufficient proof.

Alj Quote

The credible evidence of record established that Petitioner’s landscape violations were observed during routine inspections by the Community Standards Administrator.

Legal Basis

A.R.S. § 33-1803

Topic Tags

  • violations
  • inspections
  • evidence

Question

Can I sue the HOA for refusing Alternative Dispute Resolution (ADR) if I didn't try to arbitrate?

Short Answer

No. If you skip the arbitration process required by the CC&Rs, you cannot claim the HOA refused ADR.

Detailed Answer

The homeowner claimed the HOA refused ADR procedures. However, the ALJ found that because the homeowner filed a petition with the Department instead of submitting the dispute to binding arbitration as required by the CC&Rs, the claim was invalid.

Alj Quote

Petitioner did not submit the dispute to final and binding arbitration in accordance with the Commercial Arbitration Rules of the American Arbitration Association, choosing instead to file a Petition with the Department.

Legal Basis

CC&R Section 12.4(a)

Topic Tags

  • ADR
  • arbitration
  • dispute resolution

Case

Docket No
21F-H2121042-REL
Case Title
Aaron J. Gragg v. Anthem Parkside at Merrill Ranch Community Association, Inc.
Decision Date
2021-11-01
Alj Name
Sondra J. Vanella
Tribunal
OAH
Agency
ADRE

Questions

Question

Can I use a records request to force the HOA to explain their legal authority or justification for fines?

Short Answer

No. A records request must be for existing documents, not a method to pose legal questions to the HOA.

Detailed Answer

The ALJ ruled that requests asking for 'evidence… supporting justification' or the 'location of explicit CC&Rs' are actually interrogatories (questions) rather than requests for existing records. The HOA is not required to create new documents to answer legal questions under the guise of a records request.

Alj Quote

Petitioner’s request was not for documents or records, but rather for answers to legal questions.

Legal Basis

A.R.S. § 33-1805

Topic Tags

  • records request
  • legal authority
  • HOA obligations

Question

Can the HOA require me to submit photos proving I fixed a violation?

Short Answer

Yes, particularly if there is a history of non-compliance.

Detailed Answer

The decision found it reasonable for an HOA to require a homeowner to submit photographic evidence to close a violation file, especially when the homeowner had failed to comply for an extended period. This requirement does not necessarily constitute unequal treatment.

Alj Quote

Respondent has requested of homeowners that have not been in compliance with the Landscape Design Guidelines, to submit photographic evidence when in compliance, in order prove such compliance.

Legal Basis

CC&R Section 2.4(a)

Topic Tags

  • violations
  • compliance
  • evidence

Question

Is it discrimination if the HOA asks me for proof of compliance but doesn't ask my neighbors?

Short Answer

Not if you are in a different situation (e.g., non-compliant) than your neighbors.

Detailed Answer

The ALJ determined that homeowners who are not in compliance are not 'similarly situated' to those who completed their obligations on time. Therefore, the HOA can impose different requirements (like submitting photos) on non-compliant owners without violating equal treatment clauses.

Alj Quote

This request is no different than those requests made by Respondent in the past of similarly situated homeowners, i.e., those not in compliance.

Legal Basis

CC&R Section 2.4(a)

Topic Tags

  • discrimination
  • selective enforcement
  • equal treatment

Question

Who has the burden of proof in a hearing against the HOA?

Short Answer

The homeowner (Petitioner) must prove the HOA violated the law or CC&Rs.

Detailed Answer

The homeowner bears the burden of proving their allegations by a 'preponderance of the evidence,' which means showing that the fact sought to be proved is more probable than not.

Alj Quote

Petitioner bears the burden of proving by a preponderance of the evidence that Respondent violated A.R.S. § 33-1803, A.R.S. § 33-1805, and CC&Rs sections 2.4(a) and 12.4(a).

Legal Basis

A.A.C. R2-19-119

Topic Tags

  • hearing process
  • burden of proof
  • legal standards

Question

Does the HOA have to prove they physically saw a violation?

Short Answer

Yes, but testimony regarding routine inspections is sufficient proof.

Detailed Answer

The homeowner alleged the HOA assessed violations that were not observed. However, the ALJ accepted credible testimony from the Community Standards Administrator that the violations were observed during routine inspections as sufficient proof.

Alj Quote

The credible evidence of record established that Petitioner’s landscape violations were observed during routine inspections by the Community Standards Administrator.

Legal Basis

A.R.S. § 33-1803

Topic Tags

  • violations
  • inspections
  • evidence

Question

Can I sue the HOA for refusing Alternative Dispute Resolution (ADR) if I didn't try to arbitrate?

Short Answer

No. If you skip the arbitration process required by the CC&Rs, you cannot claim the HOA refused ADR.

Detailed Answer

The homeowner claimed the HOA refused ADR procedures. However, the ALJ found that because the homeowner filed a petition with the Department instead of submitting the dispute to binding arbitration as required by the CC&Rs, the claim was invalid.

Alj Quote

Petitioner did not submit the dispute to final and binding arbitration in accordance with the Commercial Arbitration Rules of the American Arbitration Association, choosing instead to file a Petition with the Department.

Legal Basis

CC&R Section 12.4(a)

Topic Tags

  • ADR
  • arbitration
  • dispute resolution

Case

Docket No
21F-H2121042-REL
Case Title
Aaron J. Gragg v. Anthem Parkside at Merrill Ranch Community Association, Inc.
Decision Date
2021-11-01
Alj Name
Sondra J. Vanella
Tribunal
OAH
Agency
ADRE

Case Participants

Petitioner Side

  • Aaron J. Gragg (petitioner)
    Appeared on his own behalf

Respondent Side

  • Curtis Ekmark (HOA attorney)
    CARPENTER HAZLEWOOD DELGADO & WOOD, PLC
    Represented Respondent
  • Michelle Haney (community manager)
    Appeared as witness for Respondent

Neutral Parties

  • Sondra J. Vanella (ALJ)
  • Louis Dettorre (Commissioner)
    Arizona Department of Real Estate
  • AHansen (ADRE staff)
    Arizona Department of Real Estate
    Recipient of transmittal
  • djones (ADRE staff)
    Arizona Department of Real Estate
    Recipient of transmittal
  • DGardner (ADRE staff)
    Arizona Department of Real Estate
    Recipient of transmittal

Daniel B Belt v. Beaver Valley Improvement Association

Case Summary

Case ID 21F-H2121058-REL-RHG
Agency ADRE
Tribunal OAH
Decision Date 2022-03-11
Administrative Law Judge Sondra J. Vanella
Outcome partial
Filing Fees Refunded $500.00
Civil Penalties $0.00

Parties & Counsel

Petitioner Daniel B Belt Counsel
Respondent Beaver Valley Improvement Association Counsel Ellen B. Davis, Esq.

Alleged Violations

No violations listed

Outcome Summary

The Administrative Law Judge issued an Order dismissing the Petitioner’s Petition because the Petitioner failed to appear at the hearing on March 10, 2022, and thus failed to meet the burden of proof.

Why this result: Petitioner failed to appear for the hearing. Petitioner had previously indicated he would unequivocally not participate in the hearing.

Key Issues & Findings

Petition alleging violation

Petitioner failed to appear for the hearing and thus failed to sustain the burden of proof required to establish the alleged violation.

Orders: Petitioner’s Petition is dismissed because Petitioner failed to appear for the hearing and failed to sustain the burden of proof.

Filing fee: $500.00, Fee refunded: Yes

Disposition: petitioner_win

Cited:

  • ARIZ. REV. STAT. section 41-1092.07(G)(2)
  • A.A.C. R2-19-119(A)
  • A.A.C. R2-19-119(B)(1)
  • Vazzano v. Superior Court, 74 Ariz. 369, 372, 249 P.2d 837 (1952)

Analytics Highlights

Topics: HOA, failure_to_appear, dismissal, rehearing, OAH
Additional Citations:

  • 41-1092.07(G)(2)
  • R2-19-119(A)
  • R2-19-119(B)(1)
  • 32-2199.02(B)
  • 12-904(A)
  • 41-1092.01
  • 41-1092.07(A)

Video Overview

Audio Overview

Decision Documents

21F-H2121058-REL Decision – 936420.pdf

Uploaded 2026-04-24T11:36:34 (52.8 KB)

21F-H2121058-REL Decision – 936523.pdf

Uploaded 2026-04-24T11:36:37 (6.7 KB)

21F-H2121058-REL Decision – 942810.pdf

Uploaded 2026-04-24T11:36:41 (53.5 KB)

21F-H2121058-REL Decision – 954077.pdf

Uploaded 2026-04-24T11:36:46 (66.4 KB)

21F-H2121058-REL Decision – 915454.pdf

Uploaded 2026-04-24T11:36:49 (133.6 KB)

Briefing Document: Daniel B. Belt v. Beaver Valley Improvement Association

Executive Summary

This document synthesizes the proceedings and outcomes of the administrative case Daniel B. Belt v. Beaver Valley Improvement Association (No. 21F-H2121058-REL), a dispute adjudicated by the Arizona Office of Administrative Hearings. The petitioner, Daniel B. Belt, alleged that the Beaver Valley Improvement Association (BVIA) violated Arizona statute A.R.S. § 33-1812(6) by refusing to provide him with unredacted copies of election ballots, a matter he characterized as “voter fraud” and of “life and death” importance.

The case was ultimately dismissed twice. The initial decision on October 5, 2021, dismissed the petition on its merits. The Administrative Law Judge (ALJ) found that the petitioner failed to prove a violation, concluding that the HOA’s community documents permitted secret ballots and that state law (A.R.S. § 33-1805(B)(4)) prohibited the disclosure of the personal voting information requested. Following the petitioner’s request for a rehearing, the case was dismissed a second time on March 11, 2022, after the petitioner failed to appear at the scheduled hearing, thereby failing to meet his burden of proof.

A significant theme throughout the proceedings was the petitioner’s conduct. Testimony from the HOA’s accounting services provider, Planned Development Services (PDS), described the petitioner’s behavior as “irrational, mean, and bullying.” This conduct included a 45-day picket of the PDS office, verbal threats, and behavior that led PDS to obtain an Injunction Against Workplace Harassment against the petitioner and ultimately resign its contract with the HOA. After the initial dismissal, the petitioner filed pleadings demanding that the Director of the Office of Administrative Hearings act in an “appellate capacity” to “dispense justice,” a request the Director found he had no legal authority to grant. The petitioner also indicated his intent to not participate in the rehearing and to pursue the matter in federal court.

I. Case Overview and Procedural History

The Core Dispute: Access to Election Ballots

On June 8, 2021, Daniel B. Belt filed a Homeowners Association (HOA) Dispute Petition with the Arizona Department of Real Estate. The petition alleged a single violation by the Beaver Valley Improvement Association of A.R.S. § 33-1812(6), a statute governing election materials.

The specific allegation, as articulated in the petition narrative, was that “…PDS refused to give petitioner the ballots containing the names, addresses and signatures, in compliance with ARS 33-1812(6)…”. The petitioner asserted that his petition, which he characterized as addressing “voter fraud,” was a “life and death matter.”

Key Parties

Name/Entity

Representation/Affiliation

Petitioner

Daniel B. Belt

Appeared on his own behalf

Respondent

Beaver Valley Improvement Association

Represented by Ellen B. Davis, Esq.

Witness (Initial Hearing)

Petra Paul

Managing Agent, Planned Development Services (PDS)

Witness (Initial & Final Hearing)

William Campbell

Member, BVIA Board of Directors

Administrative Law Judge

Sondra J. Vanella

Office of Administrative Hearings

Director

Greg Hanchett

Office of Administrative Hearings

Procedural Timeline

June 8, 2021: Petitioner Daniel B. Belt files a petition with the Arizona Department of Real Estate.

September 10, 2021: An initial hearing is held before ALJ Sondra J. Vanella.

October 5, 2021: ALJ Vanella issues a decision dismissing the petition.

January 4, 2022: A minute entry is issued continuing a scheduled rehearing to March 10, 2022.

January 14, 2022: Petitioner files a pleading perceived by the Director as a motion for a change of judge.

January 28, 2022: Petitioner files a subsequent pleading clarifying he is not seeking a change of judge but is demanding the Director review the prior proceeding.

January 31, 2022: Director Greg Hanchett issues an order stating he lacks the statutory authority to review the case in an “appellate capacity” as requested.

March 10, 2022: The rehearing convenes. The petitioner fails to appear. Respondent’s counsel moves for dismissal.

March 11, 2022: ALJ Vanella issues a final decision dismissing the petition due to the petitioner’s failure to appear and sustain his burden of proof.

II. Analysis of the Initial Hearing and Decision

Respondent’s Defense and Evidence

The BVIA’s defense centered on the established practice and legal basis for maintaining voter privacy through secret ballots. Key points included:

Policy on Secret Ballots: The BVIA Board of Directors approved a “Ballot/Proxy Handling Procedure” on July 10, 2004, which explicitly states that ballots will be folded “TO MAINTAIN THE SECRECY OF THE BALLOT.”

Reaffirmation of Policy: In a meeting on May 8, 2021, the Board unanimously passed two motions: one to allow members to review ballots without personally identifying information, and a second to “reaffirm that all Board of Directors elections be conducted with a secret ballot.”

Bylaws Protecting Privacy: The BVIA’s Bylaws (Article VII) explicitly state that “Personal . . . information about an individual Member of the Association” is not subject to inspection by parties other than the Board or its agent.

Statutory Protection: Respondent argued that A.R.S. § 33-1805(B)(4) prohibits the disclosure of personal records of an individual member, which includes how they voted.

Constitutional Basis: Board member William Campbell cited Article VII, Section 1 of the Arizona Constitution, which provides that “secrecy in voting shall be preserved,” opining that non-secret ballots would have a “chilling effect” on member participation.

Accommodations Offered: The petitioner was offered the opportunity to review the un-redacted ballots in person (but not take copies) and was provided with redacted copies of the ballots. He refused both offers.

Key Witness Testimony

Petra Paul, Managing Agent for PDS, testified that her company’s contract with BVIA was for accounting services only, not HOA management. PDS’s involvement in the election was limited to mailing ballots, collecting returns, and verifying a quorum.

Ms. Paul’s testimony detailed the petitioner’s conduct:

Escalating Demands: The petitioner demanded ballots before the election (which was denied) and demanded un-redacted copies the Monday after the election.

Harassment and Intimidation: Ms. Paul described the petitioner’s behavior as “irrational, mean, and bullying.” She testified that his actions grew increasingly agitated, that he refused to leave PDS’s premises, and that PDS staff was intimidated and concerned for their personal safety.

Workplace Injunction: The petitioner’s behavior, which impacted PDS’s business operations, culminated in PDS obtaining an Injunction Against Workplace Harassment against him. This came after he spent 45 days picketing outside the PDS office with a large sign that stated, “PDS Embezzlers, Frauds, Liars.”

Threats: The injunction noted threats made by the petitioner against PDS employees, including, “You’ll be sorry,” “You’ll regret this,” and “You haven’t seen the end of me.”

Contract Resignation: Due to the petitioner’s “abusive and erratic” interactions, PDS resigned its contract with the BVIA and demanded its legal fees be paid by the association.

William Campbell testified about the association’s long-standing policy of secret ballots. He acknowledged a procedural deviation—the ballots were folded for secrecy rather than being placed in manila envelopes as stipulated by the 2004 policy—but maintained that secrecy was preserved. Mr. Campbell also testified that multiple opportunities were provided in May, June, and July 2021 for members to view the ballots and confirm their votes were counted, but no one took advantage of the offers in June or July.

ALJ’s Conclusions of Law and Order (October 5, 2021)

ALJ Vanella concluded that the petitioner failed to prove by a preponderance of the evidence that the BVIA violated A.R.S. § 33-1812(A)(6). The decision found that:

1. The credible evidence established that the ballots were intended to be secret pursuant to community documents.

2. The Respondent was precluded by A.R.S. § 33-1805(B)(4) from disclosing the personal voting information demanded by the petitioner.

3. The petitioner was offered the chance to review the ballots and was provided redacted copies, both of which he declined. Based on these findings, the petition was ordered dismissed.

III. Rehearing Proceedings and Final Disposition

Petitioner’s Post-Decision Filings

Following the initial dismissal, the petitioner requested a rehearing. In subsequent filings, he created confusion regarding his intentions. A January 14, 2022 filing was perceived as a motion for a change of judge. However, in a January 28, 2022 pleading, the petitioner clarified this was not his intent. Instead, he demanded the Director of the Office of Administrative Hearings intervene directly:

“if Director Hanchett declines to make the case, with rationale, that the actions of Petra Paul and ALJ Vanella did not constitute the felony crimes as cited by the Petitioner, and if Director Hanchett declines to dispense justice in this case . . . as outlined by Petitioner, those issues will be decided in federal court.

He further stated that the Director did not have the right to “pervert Petitioner’s request… for Impartial Justice and Equal Protection of the Laws, into a motion for a Change of Judge.”

Director’s Response

On January 31, 2022, Director Greg Hanchett issued an order rescinding a prior order that required the respondent to reply to the petitioner’s motion. The Director stated that the petitioner was not seeking a change of judge, but rather “seeks to have the Director review the earlier proceeding in some appellate capacity and pass judgment on the propriety of that proceeding.” Director Hanchett concluded that “There is no authority contained in either statute or rule that would permit the Director to undertake such action,” as an administrative agency has only those powers prescribed by law.

The Final Hearing and Dismissal (March 10-11, 2022)

The rehearing was held on March 10, 2022. The petitioner, Daniel Belt, failed to appear, despite having received proper notice at his address of record and email addresses. The hearing transcript notes that the petitioner had previously stated in a January 14 filing that he “would unequivocally not participate in the hearing.”

As the petitioner bears the burden of proof, and having failed to appear to present his case, the respondent’s counsel made a motion to dismiss. ALJ Vanella granted the motion. The final order, issued March 11, 2022, dismissed the petition, stating: “Because Petitioner failed to appear, Petitioner failed to sustain his burden to establish a violation by Respondent.” This decision was binding on the parties.

Study Guide for the Case of Belt v. Beaver Valley Improvement Association

Short-Answer Quiz

Instructions: Answer the following questions in two to three sentences, drawing exclusively from the information presented in the case documents.

1. Identify the petitioner and respondent in this case and state the petitioner’s central allegation.

2. What specific Arizona Revised Statute did the petitioner claim the respondent violated, and what does this statute generally require?

3. What was the role of Planned Development Services (PDS) in the respondent’s election process, according to the testimony of Petra Paul?

4. Describe the petitioner’s behavior that prompted PDS to obtain an Injunction Against Workplace Harassment.

5. According to William Campbell, what was the respondent’s long-standing policy regarding elections, and what documents supported this policy?

6. Explain the two offers the respondent and its agent made to the petitioner to allow him to review the election ballots.

7. What was the Administrative Law Judge’s final order in the initial decision on October 5, 2021, and what were the two key statutes cited to support this conclusion?

8. After filing for a rehearing, what was the petitioner’s stated intention regarding his participation, and what was the ultimate outcome of the March 10, 2022, hearing?

9. What did the petitioner demand from the Director of the Office of Administrative Hearings in January 2022, and how did the Director respond?

10. What evidentiary standard was the petitioner required to meet, and did the judge find that he met this standard in either the initial hearing or the rehearing?

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Answer Key

1. The petitioner was Daniel B. Belt, and the respondent was the Beaver Valley Improvement Association (HOA). Belt alleged the HOA violated state law by refusing to provide him with election ballots containing the names, addresses, and signatures of the voters, an act he characterized as “voter fraud.”

2. The petitioner claimed a violation of A.R.S. § 33-1812(6). This statute requires completed ballots to contain the voter’s name, address, and signature, but it provides an exception for secret ballots, where this identifying information need only appear on the envelope.

3. Petra Paul testified that PDS was contracted for accounting services only, not HOA management. PDS’s involvement in the election was limited to mailing the annual meeting documents, collecting the returned ballots, and reviewing the number of returns to ensure a quorum was met. PDS did not conduct the election or tabulate the ballots.

4. The petitioner’s behavior was described as “irrational, mean, and bullying.” He picketed the PDS office for 45 days with a sign calling employees “Embezzlers, Frauds, Liars,” made threats such as “You’ll be sorry,” and refused to leave the premises, causing employees to fear for their personal safety.

5. William Campbell testified that the respondent had a long-standing practice of using a secret ballot. This was supported by a Ballot/Proxy Handling Procedure approved in 2004 and a unanimous Board vote on May 8, 2021, to reaffirm that all Board of Directors elections would be conducted with a secret ballot.

6. First, Petra Paul of PDS offered the petitioner copies of the ballots with personal information such as names and signatures redacted, which he refused. Paul also offered him the opportunity to review the non-redacted ballots in the office but advised him he could not take them with him.

7. The judge ordered that the petitioner’s Petition be dismissed. The judge cited A.R.S. § 33-1812(A)(6), noting that the community’s documents permitted secret ballots, and A.R.S. § 33-1805(B)(4), which precludes an HOA from disclosing personal records of its members.

8. In a January 14, 2022, filing, the petitioner stated he would “unequivocally not participate in the hearing.” Consequently, the petitioner failed to appear at the March 10, 2022, hearing, and the judge dismissed his petition for failure to sustain his burden of proof.

9. The petitioner demanded that the Director, Greg Hanchett, review the previous hearing in an appellate capacity, determine if felony crimes were committed, and “dispense justice.” The Director responded that he had no statutory authority to perform such an appellate review and rescinded his order related to what he had mistakenly perceived as a motion for a change of judge.

10. The petitioner was required to prove his case by a “preponderance of the evidence.” In the initial hearing, the judge found he failed to meet this burden because the evidence showed the respondent had not violated the law. In the rehearing, he failed to meet the burden because he did not appear to present any evidence at all.

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Essay Questions

Instructions: The following questions are designed to promote a deeper analysis of the case. Formulate a comprehensive response to each prompt, incorporating specific details and legal principles from the provided source documents.

1. Analyze the conflict between a member’s right to inspect association records under A.R.S. § 33-1805 and the protection of individual members’ personal information and voting privacy as outlined in the same statute and the association’s bylaws.

2. Discuss the legal concept of “burden of proof” as it applied to the petitioner in both the initial hearing and the subsequent rehearing. How did the petitioner’s actions (and inaction) directly lead to the dismissal of his case on two separate occasions?

3. Evaluate the actions of the Beaver Valley Improvement Association and its agent, PDS, in response to the petitioner’s demands for election materials. Did their responses align with their own bylaws, state law, and established procedures as presented in the hearings?

4. Trace the petitioner’s escalating behavior as described in the testimony of Petra Paul. How did this behavior impact PDS and ultimately factor into the context of the hearing, even if it was not the direct legal violation being adjudicated?

5. Examine the petitioner’s apparent misunderstanding of the administrative legal process, as evidenced by his filings with Director Greg Hanchett. Contrast what the petitioner demanded of the Director with the actual legal authority vested in the Director’s office according to the case documents.

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Glossary of Key Terms

Definition

Administrative Law Judge (ALJ)

An independent, impartial judge who presides over administrative hearings, makes findings of fact and conclusions of law, and issues decisions. In this case, Sondra J. Vanella served as the ALJ.

A.R.S. § 33-1805

An Arizona Revised Statute concerning the examination of a homeowners association’s financial and other records. It grants members the right to inspect records but also allows the association to withhold certain information, including personal records of individual members.

A.R.S. § 33-1812(6)

An Arizona Revised Statute detailing requirements for ballots used in HOA meetings. It mandates that ballots contain the voter’s name, address, and signature, but creates an exception for secret ballots permitted by community documents.

Burden of Proof

The legal obligation of a party in a dispute to provide sufficient evidence to prove their claim. In this case, the petitioner had the burden to prove the respondent committed the alleged violation.

Bylaws

The official rules and regulations that govern a corporation or association. The respondent’s Bylaws, specifically Article VII, were cited to justify withholding personal member information.

Homeowners Association (HOA)

An organization in a subdivision, planned community, or condominium building that makes and enforces rules for the properties and its residents. The Beaver Valley Improvement Association is the HOA in this case.

Injunction Against Workplace Harassment

A court order obtained by an employer to prohibit a person from committing acts of harassment against the business and its employees. PDS obtained one against Daniel B. Belt.

Petitioner

The party who files a petition or initiates a legal action. In this case, Daniel B. Belt is the petitioner.

Planned Development Services (PDS)

An HOA management and accounting company. PDS provided accounting-only services to the respondent and was the entity that interacted directly with the petitioner regarding his ballot requests.

Preponderance of the Evidence

The standard of proof required in this administrative case. It means that the trier of fact must be convinced that it is more probably true than not that the contention is correct.

Quorum

The minimum number of members of an association that must be present at any of its meetings to make the proceedings of that meeting valid. PDS reviewed ballot returns to ensure a quorum was established for the respondent’s election.

Redacted

Edited to remove or obscure confidential or private information. The respondent offered the petitioner redacted copies of the ballots with names, email addresses, and signatures removed.

Rehearing

A second hearing of a case to reconsider the issues and evidence, which may be granted upon request after an initial decision. The petitioner was granted a rehearing but failed to appear.

Respondent

The party against whom a petition is filed or an appeal is brought. In this case, the Beaver Valley Improvement Association is the respondent.

Secret Ballot

A voting method in which a voter’s choices are anonymous, preventing intimidation and protecting privacy. The respondent’s bylaws and policies permitted the use of secret ballots for its elections.

An HOA Ballot Dispute, a 45-Day Picket, and 4 Shocking Lessons in Community Conflict

Introduction: When Neighborly Disagreements Go Nuclear

Disputes within Homeowners Associations (HOAs) are common, often revolving around landscaping, dues, or parking violations. But rarely do they escalate into a nearly year-long legal battle involving workplace harassment injunctions and vendor resignations. The story of one homeowner’s quest for election transparency in Arizona serves as a startling case study in how quickly a simple request can spiral out of control, offering crucial lessons for any community association. What began as a demand to see election ballots ended in a dismissed court case, but not before triggering a workplace harassment injunction, forcing its accounting firm to resign, and handing the HOA the bill for its legal fees.

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1.A Request for Ballots Can Escalate into a Harassment Injunction

The dispute began when petitioner Daniel B. Belt filed a petition against his HOA, the Beaver Valley Improvement Association. Alleging “voter fraud,” he demanded copies of unredacted election ballots in a conflict he framed as a “life and death matter.” When the HOA denied his request for unredacted copies, Mr. Belt’s tactics escalated from formal petitioning to direct, public confrontation aimed at the HOA’s accounting firm, Planned Development Services (PDS).

He picketed the PDS office for 45 consecutive days, holding a large sign that read, “PDS Embezzlers, Frauds, Liars.” According to court documents, he also allegedly made threats to PDS employees, stating, “You’ll be sorry,” “You’ll regret this,” and “You haven’t seen the end of me.” These actions crossed a critical legal line, resulting in PDS obtaining an Injunction Against Workplace Harassment against the petitioner.

This escalation provides a crucial lesson in community governance. The line between passionate advocacy and unlawful harassment is critical because volunteer boards and their essential vendors are uniquely vulnerable. Tactics involving defamatory signage and direct threats don’t just amplify a grievance; they can cripple an association’s ability to function, turning a dispute over records into an existential threat to its day-to-day management.

Ms. Paul described Petitioner’s behavior as “irrational, mean, and bullying” and that she and other employees were concerned for their personal safety.

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2.The “Right to Know” vs. The Right to Privacy and a Secret Ballot

The central conflict pitted one homeowner’s demand for total transparency against the community’s right to privacy. The petitioner insisted on receiving unredacted copies of all completed ballots, which contained the names, addresses, and signatures of every voter.

In response, the HOA did not deny access outright but instead offered a compromise. The petitioner was given the choice to either review the unredacted ballots in person under supervision or accept redacted copies with personal information removed. He refused both options. Notably, the HOA went a step further in its attempt to balance transparency with privacy. Board member William Campbell testified that he “devised a way in which he could match a members’ demographic information to the members’ vote if upon Petitioner’s inspection, something appeared irregular.”

The HOA grounded its refusal in multiple sources of authority, citing its own bylaws protecting member information, a long-standing practice of secret ballots, and, most critically, Arizona state law. A.R.S. § 33-1805(B)(4) explicitly permits an association to withhold the personal records of its members. The Administrative Law Judge ultimately agreed, ruling that the HOA acted correctly and that state law sided with protecting member privacy.

Mr. Campbell referenced Article VII, Section 1 of the Arizona Constitution which provides that “all elections by the people shall be by ballot, or by such other method as may be prescribed by law; Provided, that secrecy in voting shall be preserved.”

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3.Third Parties Can Become Expensive Collateral Damage

This dispute demonstrates how community conflicts can ensnare and inflict significant damage on essential third-party vendors. The accounting firm, PDS, had a limited, non-managerial role. Its contract was for accounting services only; it facilitated the mailing of election documents, collected the returned ballots, and confirmed a quorum was met. PDS did not conduct the election or tabulate the votes.

Despite this narrow involvement, PDS bore the brunt of the petitioner’s aggressive campaign. The harassment severely impacted its business operations and, according to testimony, created an “abusive and erratic” environment. This led the firm to take two drastic steps: first, obtaining the legal injunction, and second, resigning its contract with the HOA. Critically, the collateral damage had a direct financial cost for the entire community. Court documents reveal that “PDS demanded its legal fees be paid by Respondent [the HOA]” for the costs of securing the harassment injunction.

This outcome reveals the cascading governance failures that result from such conflicts. When a key vendor like an accounting firm resigns under duress, it creates instability, raises the prospect of missed payments or financial errors, and makes it harder to secure a new vendor, who may now view the HOA as a high-risk client—with any increased costs ultimately passed on to all homeowners.

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4.You Can’t Win a Legal Battle You Refuse to Fight

In a final, counter-intuitive act, the petitioner successfully filed for a rehearing after losing his initial case, earning a second chance to argue his claims. His actions leading up to the new hearing, however, signaled a preference for performative conflict over substantive legal engagement. He attempted to have the Director of the Office of Administrative Hearings review the case in an “appellate capacity,” a power the Director confirmed he did not possess, and threatened to escalate the matter to federal court.

Then came the final twist. After securing the rehearing, the petitioner submitted a filing stating he would “unequivocally not participate in the hearing.”

True to his word, on the day of the hearing—March 10, 2022—the petitioner failed to appear. As the party bringing the complaint, he carried the burden of proof. His absence meant the judge had no evidence to consider and was compelled to dismiss the case. This chapter serves as a stark lesson in strategic failure. After doing the difficult work of securing a second hearing, the petitioner abandoned the field. The legal system, for all its complexities, responds to procedure and participation, not to external threats or pronouncements. Passionate conviction is powerless if you refuse to show up and fight the battle you initiated.

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Conclusion: Drawing the Line Between Advocacy and Anarchy

The arc of this conflict—from a simple request for ballots to a multi-stage legal dispute that ended not with a bang, but a whimper—is a cautionary tale. It illustrates how a homeowner’s campaign for transparency, when pursued without regard for legal boundaries or civil discourse, can backfire completely. It left a vendor harassed, forced the community to pay its agent’s legal fees, and ultimately left the original issue unresolved. This case leaves all community leaders and members with a critical question: How can we foster a culture that balances the legitimate need for transparency with the equally important need for member privacy and basic civility?

Case Participants

Petitioner Side

  • Daniel B. Belt (petitioner)

Respondent Side

  • Ellen B. Davis (HOA attorney)
    HENZE COOK MURPHY, PLLC
  • William Campbell (board member/witness)
    Beaver Valley Improvement Association
    Vice President of the Board
  • Mexal (board member)
    Beaver Valley Improvement Association
    Identified as President in May 8, 2021 Meeting Minutes
  • Sarah Linkey (board member)
    Beaver Valley Improvement Association
    Identified as Treasurer in May 8, 2021 Meeting Minutes
  • Hallett (board member)
    Beaver Valley Improvement Association
    Identified as Director in May 8, 2021 Meeting Minutes

Neutral Parties

  • Sondra J. Vanella (ALJ)
    OAH
  • Judy Lowe (Commissioner)
    ADRE
    Listed on initial decision transmission
  • Louis Dettorre (Commissioner)
    ADRE
    Listed on subsequent transmissions
  • Greg Hanchett (Director)
    OAH/ADRE
    Issued order regarding Petitioner's filing
  • c. serrano (administrative staff)
    OAH/ADRE
    Transmitted documents
  • Miranda A. (administrative staff)
    OAH/ADRE
    Transmitted documents

Other Participants

  • Petra Paul (managing agent/witness)
    Planned Development Services (PDS)
    Testified regarding PDS's role with Respondent's election
  • Lori Rutledge (unknown)
    Listed on transmission list
  • Brandee Abraham (unknown)
    Listed on transmission list

Carlos J Sanchez & Marinda K Minch, vs. Tempe Villages Homeowners

Case Summary

Case ID 21F-H2121033-REL
Agency ADRE
Tribunal OAH
Decision Date 2021-03-09
Administrative Law Judge Sondra J. Vanella
Outcome The Petition was dismissed because Petitioners failed to prove the Respondent HOA violated the Bylaws regarding the filling of a vacant Board seat. The ALJ determined the Bylaws did not impose a timeframe for filling the vacancy and the Board acted according to Article IV, Section 3.
Filing Fees Refunded $500.00
Civil Penalties $0.00

Parties & Counsel

Petitioner Carlos J. Sanchez & Marinda K. Minch Counsel
Respondent Tempe Villages Homeowners Association, Inc. Counsel Ashley Moscarello

Alleged Violations

Bylaws Article 4 Section 1

Outcome Summary

The Petition was dismissed because Petitioners failed to prove the Respondent HOA violated the Bylaws regarding the filling of a vacant Board seat. The ALJ determined the Bylaws did not impose a timeframe for filling the vacancy and the Board acted according to Article IV, Section 3.

Why this result: Petitioners failed to meet the burden of proof to establish the violation by a preponderance of the evidence. The Bylaws do not contain a provision providing a timeframe in which a vacancy on the Board must be filled.

Key Issues & Findings

Violation of Bylaws regarding Board of Directors composition and appointment

Petitioners alleged the HOA violated Bylaws Article 4 Section 1 by leaving a Board seat open following a resignation (August 2020) and not filling it until November 2020. The ALJ found the Bylaws (Sections 1, 2, and 3) did not mandate a timeframe for filling a vacancy, and the HOA followed procedures for appointment.

Orders: Petitioners’ Petition is dismissed.

Filing fee: $500.00, Fee refunded: No

Disposition: petitioner_loss

Cited:

  • A.R.S. § 32-2199
  • A.R.S. § 41-1092.07(G)(2)
  • A.A.C. R2-19-119(A)
  • A.A.C. R2-19-119(B)(1)
  • Vazanno v. Superior Court, 74 Ariz. 369, 372, 249 P.2d 837 (1952)
  • A.A.C. R2-19-119(B)(2)
  • MORRIS K. UDALL, ARIZONA LAW OF EVIDENCE § 5 (1960)
  • BLACK’S LAW DICTIONARY at page 1220 (8th ed. 1999)
  • A.R.S. § 32-2199.02(B)
  • A.R.S. § 32-2199.04
  • A.R.S. § 41-1092.09

Analytics Highlights

Topics: HOA Governance, Board of Directors, Bylaws, Board Vacancy
Additional Citations:

  • A.R.S. § 32-2199
  • A.R.S. § 41-1092.07(G)(2)
  • A.A.C. R2-19-119(A)
  • A.A.C. R2-19-119(B)(1)
  • Vazanno v. Superior Court, 74 Ariz. 369, 372, 249 P.2d 837 (1952)
  • A.A.C. R2-19-119(B)(2)
  • MORRIS K. UDALL, ARIZONA LAW OF EVIDENCE § 5 (1960)
  • BLACK’S LAW DICTIONARY at page 1220 (8th ed. 1999)
  • A.R.S. § 32-2199.02(B)
  • A.R.S. § 32-2199.04
  • A.R.S. § 41-1092.09

Video Overview

Audio Overview

Decision Documents

21F-H2121033-REL Decision – 862059.pdf

Uploaded 2026-04-24T11:33:33 (132.3 KB)

21F-H2121033-REL Decision – 862059.pdf

Uploaded 2026-01-23T17:36:41 (132.3 KB)

This summary addresses the legal case hearing concerning the dispute between Carlos J. Sanchez & Marinda K. Minch (Petitioners) and Tempe Villages Homeowners Association, Inc. (Respondent). The hearing was held before an Administrative Law Judge (ALJ) on March 2, 2021.

Key Facts and Main Issues

Petitioners filed a Homeowners Association (HOA) Dispute Process Petition on or about January 11, 2021, alleging the Respondent violated community Bylaws, specifically Article 4 Section 1.

The central issue was whether the HOA improperly maintained an unfilled seat on its Board of Directors. Petitioners asserted that the HOA violated the Bylaws by leaving a Board seat vacant for a period of time and attempted to prevent Petitioner Marinda Minch from joining the Board.

Respondent's defense focused on the interpretation of Article IV of the Bylaws. The Board's number is set at seven directors. A director resigned in August 2020, leaving six members. The subsequent annual meeting in October 2020 filled two regularly expiring seats via election, in which Petitioners were candidates but were not elected.

The August 2020 vacancy was subject to Article IV, Section 3 of the Bylaws, which states that in the event of resignation, the successor "shall be selected by the remaining members of the Board" to serve the unexpired term.

Hearing Proceedings and Arguments

Petitioners' Argument: Petitioner Marinda Minch testified that the Board delayed filling the vacancy (until November 2020) because of personal dislike for her, and she had petitioned the Board three times for appointment.

Respondent's Argument: Respondent’s President, Bradley Hudson, testified that the Board decided the newly elected Board should fill the vacancy. At the November 11, 2020, virtual meeting, a motion to appoint Ms. Minch failed (2-4 vote), and the Board subsequently appointed another individual (4-2 vote), thereby filling all seven seats. Crucially, the Respondent argued, and the ALJ noted, that the Bylaws do not contain a timeframe within which a vacancy due to resignation must be filled.

Legal Points and Outcome

Petitioners bore the burden of proof to establish the alleged violation by a preponderance of the evidence.

The ALJ determined that Article IV Sections 1, 2, and 3 must be read collectively. The process used by the Board to fill the August vacancy—selection by the remaining Board members—complied with Article IV, Section 3. Because the Bylaws did not mandate an immediate appointment timeframe, the Respondent was found to have acted within the scope of the community documents.

Final Decision: The Petitioners failed to sustain their burden to establish a violation of the Bylaws. IT IS ORDERED that Petitioners’ Petition is dismissed.

Questions

Question

If a Board member resigns, does the HOA have to hold an election to fill the seat?

Short Answer

Not necessarily. Bylaws may allow the remaining Board members to appoint a successor for the unexpired term.

Detailed Answer

In this case, the Bylaws explicitly stated that in the event of a resignation, the remaining Board members select the successor. The ALJ found that the Board was not required to put this seat up for a general election, distinguishing it from seats with expiring terms.

Alj Quote

In the event of death, resignation or removal of a director, his successor shall be selected by the remaining members of the Board and shall serve for the unexpired term of his predecessor.

Legal Basis

Bylaws Article IV, Section 3

Topic Tags

  • Board Vacancies
  • Elections
  • Bylaws

Question

Is there a specific deadline for the Board to fill a vacant seat after a resignation?

Short Answer

Only if the governing documents specify one. If the Bylaws are silent, there is no strict timeframe.

Detailed Answer

The ALJ ruled that because the community's Bylaws did not specify a deadline, the HOA did not violate the rules by waiting several months (from August to November) to fill the vacancy.

Alj Quote

The Bylaws do not contain a timeframe in which the Board must appoint a successor director after the resignation of a director.

Legal Basis

Bylaws Interpretation

Topic Tags

  • Board Vacancies
  • Timelines
  • Bylaws

Question

Can the Community Manager appoint or remove Board members?

Short Answer

No. The authority to appoint or remove directors typically lies with the Board or the membership, not the manager.

Detailed Answer

The Community Manager testified that they lacked the authority to make such appointments, confirming that this power resides with the Board itself.

Alj Quote

Mr. Nurse further testified that he does not have the authority to appoint or remove members of the Board.

Legal Basis

Testimony / Findings of Fact

Topic Tags

  • Community Manager
  • Authority
  • Board Composition

Question

What is the 'burden of proof' for a homeowner suing their HOA in an administrative hearing?

Short Answer

The homeowner (Petitioner) must prove the violation by a 'preponderance of the evidence'.

Detailed Answer

This legal standard requires the homeowner to show that their claims are 'more probably true than not.' It is not enough to simply make an allegation; superior evidentiary weight is required.

Alj Quote

Petitioner bears the burden of proof to establish that Respondent committed the alleged violation by a preponderance of the evidence.

Legal Basis

A.R.S. § 41-1092.07(G)(2); A.A.C. R2-19-119(A)

Topic Tags

  • Legal Standards
  • Burden of Proof
  • Evidence

Question

Can I force the Board to hold a vote for a vacant seat if the term hasn't expired yet?

Short Answer

Generally, no. If the term is unexpired, it may not be eligible for a member vote if the Bylaws provide for appointment.

Detailed Answer

The ALJ accepted the explanation that a seat vacated by resignation was not eligible for the general member vote because the original term had not yet expired (it ran until 2022), whereas other seats were up for election because their terms had ended.

Alj Quote

Mr. Nurse explained that the term for the Board member who resigned does not expire until 2022, and as such was not eligible for a member vote.

Legal Basis

Findings of Fact / Bylaws

Topic Tags

  • Elections
  • Board Terms
  • Voting

Question

Does personal dislike or bias by the Board constitute a violation of the Bylaws?

Short Answer

Not on its own. The homeowner must prove a specific violation of the governing documents.

Detailed Answer

Although the homeowner claimed the Board disliked her and was trying to keep her out, the ALJ dismissed the petition because the HOA followed the technical requirements of the Bylaws regarding elections and appointments.

Alj Quote

Petitioners failed to prove by a preponderance of the evidence that Respondent violated the Bylaws as alleged in the Petition.

Legal Basis

Conclusions of Law

Topic Tags

  • Discrimination/Bias
  • Enforcement
  • Board Conduct

Case

Docket No
21F-H2121033-REL
Case Title
Carlos J. Sanchez & Marinda K. Minch v. Tempe Villages Homeowners Association, Inc.
Decision Date
2021-03-09
Alj Name
Sondra J. Vanella
Tribunal
OAH
Agency
ADRE

Questions

Question

If a Board member resigns, does the HOA have to hold an election to fill the seat?

Short Answer

Not necessarily. Bylaws may allow the remaining Board members to appoint a successor for the unexpired term.

Detailed Answer

In this case, the Bylaws explicitly stated that in the event of a resignation, the remaining Board members select the successor. The ALJ found that the Board was not required to put this seat up for a general election, distinguishing it from seats with expiring terms.

Alj Quote

In the event of death, resignation or removal of a director, his successor shall be selected by the remaining members of the Board and shall serve for the unexpired term of his predecessor.

Legal Basis

Bylaws Article IV, Section 3

Topic Tags

  • Board Vacancies
  • Elections
  • Bylaws

Question

Is there a specific deadline for the Board to fill a vacant seat after a resignation?

Short Answer

Only if the governing documents specify one. If the Bylaws are silent, there is no strict timeframe.

Detailed Answer

The ALJ ruled that because the community's Bylaws did not specify a deadline, the HOA did not violate the rules by waiting several months (from August to November) to fill the vacancy.

Alj Quote

The Bylaws do not contain a timeframe in which the Board must appoint a successor director after the resignation of a director.

Legal Basis

Bylaws Interpretation

Topic Tags

  • Board Vacancies
  • Timelines
  • Bylaws

Question

Can the Community Manager appoint or remove Board members?

Short Answer

No. The authority to appoint or remove directors typically lies with the Board or the membership, not the manager.

Detailed Answer

The Community Manager testified that they lacked the authority to make such appointments, confirming that this power resides with the Board itself.

Alj Quote

Mr. Nurse further testified that he does not have the authority to appoint or remove members of the Board.

Legal Basis

Testimony / Findings of Fact

Topic Tags

  • Community Manager
  • Authority
  • Board Composition

Question

What is the 'burden of proof' for a homeowner suing their HOA in an administrative hearing?

Short Answer

The homeowner (Petitioner) must prove the violation by a 'preponderance of the evidence'.

Detailed Answer

This legal standard requires the homeowner to show that their claims are 'more probably true than not.' It is not enough to simply make an allegation; superior evidentiary weight is required.

Alj Quote

Petitioner bears the burden of proof to establish that Respondent committed the alleged violation by a preponderance of the evidence.

Legal Basis

A.R.S. § 41-1092.07(G)(2); A.A.C. R2-19-119(A)

Topic Tags

  • Legal Standards
  • Burden of Proof
  • Evidence

Question

Can I force the Board to hold a vote for a vacant seat if the term hasn't expired yet?

Short Answer

Generally, no. If the term is unexpired, it may not be eligible for a member vote if the Bylaws provide for appointment.

Detailed Answer

The ALJ accepted the explanation that a seat vacated by resignation was not eligible for the general member vote because the original term had not yet expired (it ran until 2022), whereas other seats were up for election because their terms had ended.

Alj Quote

Mr. Nurse explained that the term for the Board member who resigned does not expire until 2022, and as such was not eligible for a member vote.

Legal Basis

Findings of Fact / Bylaws

Topic Tags

  • Elections
  • Board Terms
  • Voting

Question

Does personal dislike or bias by the Board constitute a violation of the Bylaws?

Short Answer

Not on its own. The homeowner must prove a specific violation of the governing documents.

Detailed Answer

Although the homeowner claimed the Board disliked her and was trying to keep her out, the ALJ dismissed the petition because the HOA followed the technical requirements of the Bylaws regarding elections and appointments.

Alj Quote

Petitioners failed to prove by a preponderance of the evidence that Respondent violated the Bylaws as alleged in the Petition.

Legal Basis

Conclusions of Law

Topic Tags

  • Discrimination/Bias
  • Enforcement
  • Board Conduct

Case

Docket No
21F-H2121033-REL
Case Title
Carlos J. Sanchez & Marinda K. Minch v. Tempe Villages Homeowners Association, Inc.
Decision Date
2021-03-09
Alj Name
Sondra J. Vanella
Tribunal
OAH
Agency
ADRE

Case Participants

Petitioner Side

  • Carlos J. Sanchez (petitioner)
    Candidate for Board election
  • Marinda K. Minch (petitioner)
    Candidate for Board election; considered for vacancy appointment; testified

Respondent Side

  • Ashley Moscarello (HOA attorney)
    Goodman Lawgroup
  • Bradley Hudson (board member)
    Tempe Villages Homeowners Association, Inc. Board
    President of the Board; testified as witness
  • Shawn Nurse (community manager)
    Tempe Villages Homeowners Association, Inc.
    Testified as witness; received ballots for election
  • William Skanadore (board member)
    Tempe Villages Homeowners Association, Inc. Board
    Incumbent candidate; elected
  • Will Terrick (board member)
    Tempe Villages Homeowners Association, Inc. Board
    Incumbent candidate; elected
  • Wendelyn Neal (board member)
    Tempe Villages Homeowners Association, Inc. Board
    Made motion to appoint Marinda Minch
  • Joel Krick (board member)
    Tempe Villages Homeowners Association, Inc. Board
  • Kathy Hudson (board member)
    Tempe Villages Homeowners Association, Inc. Board
  • Christiane Pieraggi (board member)
    Tempe Villages Homeowners Association, Inc. Board
    Appointed to fill vacancy

Neutral Parties

  • Sondra J. Vanella (ALJ)
    OAH
  • Judy Lowe (commissioner)
    ADRE

Other Participants

  • John Neelsen (unknown)
    Candidate for Board election
  • Tania Almonte (board member)
    Tempe Villages Homeowners Association, Inc. Board
    Former Board member whose resignation created a vacancy
  • Ruby (witness assistant)
    Aided in counting votes