Susannah Sabnekar v. Four Peaks Vista Owners Association

Case Summary

Case ID 24F-H006-REL
Agency ADRE
Tribunal OAH
Decision Date 2023-10-26
Administrative Law Judge Velva Moses-Thompson
Outcome loss
Filing Fees Refunded $0.00
Civil Penalties $0.00

Parties & Counsel

Petitioner Susannah Sabnekar Counsel
Respondent Four Peaks Vista Owners Association Counsel Maria McKee

Alleged Violations

A.R.S. §§ 33-1252 and 33-1217

Outcome Summary

The Administrative Law Judge dismissed the petition, ruling that the statutes cited by the petitioner regarding conveyance of common elements (A.R.S. §§ 33-1252 and 33-1217) do not apply to the leasing of common elements, which was the action taken by the Respondent HOA.

Why this result: The statutes cited by the Petitioner apply to conveyances, but the disputed action was determined to be a lease, which is treated separately under Arizona's Condominium Act.

Key Issues & Findings

Whether the Board violated statute by conveying a portion of common elements without a vote from all homeowners.

Petitioner alleged the HOA violated A.R.S. §§ 33-1252 and 33-1217 by approving a lease agreement granting the Declarant (Four Peaks) the right to use a portion of the clubhouse as a management office, arguing this action constituted a conveyance requiring an 80% homeowner vote. The ALJ ruled that the statutes apply only to conveyances, not leases, and found no violation.

Orders: The petition is dismissed.

Filing fee: $0.00, Fee refunded: No

Disposition: petitioner_loss

Cited:

  • 33-1252
  • 33-1217
  • 33-1242
  • 33-1225

Analytics Highlights

Topics: Condominium Act, Lease vs Conveyance, Common Elements, Declarant Rights, Motion to Dismiss
Additional Citations:

  • 33-1252
  • 33-1217
  • 33-1242
  • 33-1225
  • 33-1226

Video Overview

Audio Overview

Decision Documents

24F-H006-REL Decision – 1097274.pdf

Uploaded 2026-01-23T18:00:57 (52.7 KB)

24F-H006-REL Decision – 1099296.pdf

Uploaded 2026-01-23T18:01:00 (50.8 KB)

24F-H006-REL Decision – 1099320.pdf

Uploaded 2026-01-23T18:01:04 (48.2 KB)

24F-H006-REL Decision – 1106232.pdf

Uploaded 2026-01-23T18:01:09 (118.8 KB)

Questions

Question

Does leasing a common area count as 'conveying' it, requiring a supermajority vote?

Short Answer

No. Leasing and conveying are separate legal concepts in Arizona, and leasing does not trigger the voting requirements of a conveyance.

Detailed Answer

The ALJ determined that Arizona law distinguishes between leasing real property and conveying it. While a conveyance (transfer of title) of common elements often requires an 80% vote under A.R.S. § 33-1252, granting a lease does not. The Association has the specific statutory right to grant leases over common elements without meeting the stricter requirements for a conveyance.

Alj Quote

Plainly, Arizona law distinguishes between leasing real property and conveying it. These are two separate legal concepts. … The Administrative Law Judge concludes that A.R.S. §§ 33-1252 and A.R.S. 33-1217 do not apply to leases, but rather conveyances.

Legal Basis

A.R.S. § 33-1242(A)(9); A.R.S. § 33-1252

Topic Tags

  • common elements
  • leasing
  • voting requirements

Question

Can the HOA board authorize a lease of common elements without a vote of all homeowners?

Short Answer

Yes. The Board generally has the authority to grant leases, whereas conveying the property would require a homeowner vote.

Detailed Answer

The decision highlights that A.R.S. § 33-1242(A)(9) expressly gives the Association the right to lease common elements. This section does not reference the voting requirements found in A.R.S. § 33-1252, which applies only when the Association conveys or encumbers the property (like a mortgage).

Alj Quote

Notably, subsection (A)(9) expressly provides the Association the right to enter into the Lease, without any mention of A.R.S. § 33-1252, while the right to 'convey' Common Elements is subject to the requirements imposed in A.R.S. § 33-1252.

Legal Basis

A.R.S. § 33-1242(A)(9)

Topic Tags

  • board authority
  • leasing
  • common elements

Question

Is a Declarant allowed to use common elements for management offices?

Short Answer

Yes, a Declarant may maintain offices on common elements unless the Declaration specifically prohibits it.

Detailed Answer

The ALJ cited A.R.S. § 33-1225, which explicitly permits a declarant to maintain sales and management offices on common elements unless the community's declaration says otherwise or another law prohibits it.

Alj Quote

A declarant may maintain sales offices, management offices and models in units or on common elements in the condominium unless: 1. The declaration provides otherwise. 2. Such use is prohibited by another provision of law or local ordinances.

Legal Basis

A.R.S. § 33-1225

Topic Tags

  • declarant rights
  • common elements
  • offices

Question

What is the burden of proof for a homeowner filing a petition against their HOA?

Short Answer

The homeowner must prove their case by a 'preponderance of the evidence'.

Detailed Answer

The homeowner (Petitioner) is responsible for proving that the HOA violated the statute. The standard is 'preponderance of the evidence,' meaning they must show it is more probable than not that the violation occurred.

Alj Quote

Petitioner bears the burden of proof to establish that Respondent violated the A.R.S. §§ 33-1252 and A.R.S. 33-1217 by a preponderance of the evidence.

Legal Basis

A.A.C. R2-19-119

Topic Tags

  • legal procedure
  • burden of proof

Question

What qualifies as a 'conveyance' of HOA property?

Short Answer

A conveyance is generally interpreted as a total transfer of fee title, usually evidenced by a recorded deed.

Detailed Answer

The decision clarifies that a conveyance involves a permanent transfer of interest, such as through a deed, and must be recorded. A lease, which is for a set period and does not transfer title, does not qualify as a conveyance.

Alj Quote

The Legislature… made clear its intent that a conveyance is a total transfer of fee title. … Furthermore, once any such 'conveyance' occurs, it must be evidenced by the execution and recording of the document in the same manner as a deed.

Legal Basis

A.R.S. § 33-1252(A); A.R.S. § 33-1252(B)

Topic Tags

  • definitions
  • conveyance
  • property rights

Question

How are ambiguous restrictive covenants in CC&Rs interpreted?

Short Answer

If they are unambiguous, they are enforced according to the intent of the parties.

Detailed Answer

The ALJ noted that restrictive covenants must be viewed as a whole and interpreted based on their underlying purpose. If the text is clear (unambiguous), it is enforced to uphold the parties' intent.

Alj Quote

In Arizona, if a restrictive covenant is unambiguous, it is enforced to give effect to the intent of the parties. 'Restrictive covenants must be construed as a whole and interpreted in view of their underlying purposes, giving effect to all provisions contained therein.'

Legal Basis

Case Law (Powell v. Washburn)

Topic Tags

  • CC&Rs
  • interpretation
  • legal standards

Case

Docket No
24F-H006-REL
Case Title
Susannah Sabnekar vs. Four Peaks Vista Owners Association
Decision Date
2023-10-26
Alj Name
Velva Moses-Thompson
Tribunal
OAH
Agency
ADRE

Questions

Question

Does leasing a common area count as 'conveying' it, requiring a supermajority vote?

Short Answer

No. Leasing and conveying are separate legal concepts in Arizona, and leasing does not trigger the voting requirements of a conveyance.

Detailed Answer

The ALJ determined that Arizona law distinguishes between leasing real property and conveying it. While a conveyance (transfer of title) of common elements often requires an 80% vote under A.R.S. § 33-1252, granting a lease does not. The Association has the specific statutory right to grant leases over common elements without meeting the stricter requirements for a conveyance.

Alj Quote

Plainly, Arizona law distinguishes between leasing real property and conveying it. These are two separate legal concepts. … The Administrative Law Judge concludes that A.R.S. §§ 33-1252 and A.R.S. 33-1217 do not apply to leases, but rather conveyances.

Legal Basis

A.R.S. § 33-1242(A)(9); A.R.S. § 33-1252

Topic Tags

  • common elements
  • leasing
  • voting requirements

Question

Can the HOA board authorize a lease of common elements without a vote of all homeowners?

Short Answer

Yes. The Board generally has the authority to grant leases, whereas conveying the property would require a homeowner vote.

Detailed Answer

The decision highlights that A.R.S. § 33-1242(A)(9) expressly gives the Association the right to lease common elements. This section does not reference the voting requirements found in A.R.S. § 33-1252, which applies only when the Association conveys or encumbers the property (like a mortgage).

Alj Quote

Notably, subsection (A)(9) expressly provides the Association the right to enter into the Lease, without any mention of A.R.S. § 33-1252, while the right to 'convey' Common Elements is subject to the requirements imposed in A.R.S. § 33-1252.

Legal Basis

A.R.S. § 33-1242(A)(9)

Topic Tags

  • board authority
  • leasing
  • common elements

Question

Is a Declarant allowed to use common elements for management offices?

Short Answer

Yes, a Declarant may maintain offices on common elements unless the Declaration specifically prohibits it.

Detailed Answer

The ALJ cited A.R.S. § 33-1225, which explicitly permits a declarant to maintain sales and management offices on common elements unless the community's declaration says otherwise or another law prohibits it.

Alj Quote

A declarant may maintain sales offices, management offices and models in units or on common elements in the condominium unless: 1. The declaration provides otherwise. 2. Such use is prohibited by another provision of law or local ordinances.

Legal Basis

A.R.S. § 33-1225

Topic Tags

  • declarant rights
  • common elements
  • offices

Question

What is the burden of proof for a homeowner filing a petition against their HOA?

Short Answer

The homeowner must prove their case by a 'preponderance of the evidence'.

Detailed Answer

The homeowner (Petitioner) is responsible for proving that the HOA violated the statute. The standard is 'preponderance of the evidence,' meaning they must show it is more probable than not that the violation occurred.

Alj Quote

Petitioner bears the burden of proof to establish that Respondent violated the A.R.S. §§ 33-1252 and A.R.S. 33-1217 by a preponderance of the evidence.

Legal Basis

A.A.C. R2-19-119

Topic Tags

  • legal procedure
  • burden of proof

Question

What qualifies as a 'conveyance' of HOA property?

Short Answer

A conveyance is generally interpreted as a total transfer of fee title, usually evidenced by a recorded deed.

Detailed Answer

The decision clarifies that a conveyance involves a permanent transfer of interest, such as through a deed, and must be recorded. A lease, which is for a set period and does not transfer title, does not qualify as a conveyance.

Alj Quote

The Legislature… made clear its intent that a conveyance is a total transfer of fee title. … Furthermore, once any such 'conveyance' occurs, it must be evidenced by the execution and recording of the document in the same manner as a deed.

Legal Basis

A.R.S. § 33-1252(A); A.R.S. § 33-1252(B)

Topic Tags

  • definitions
  • conveyance
  • property rights

Question

How are ambiguous restrictive covenants in CC&Rs interpreted?

Short Answer

If they are unambiguous, they are enforced according to the intent of the parties.

Detailed Answer

The ALJ noted that restrictive covenants must be viewed as a whole and interpreted based on their underlying purpose. If the text is clear (unambiguous), it is enforced to uphold the parties' intent.

Alj Quote

In Arizona, if a restrictive covenant is unambiguous, it is enforced to give effect to the intent of the parties. 'Restrictive covenants must be construed as a whole and interpreted in view of their underlying purposes, giving effect to all provisions contained therein.'

Legal Basis

Case Law (Powell v. Washburn)

Topic Tags

  • CC&Rs
  • interpretation
  • legal standards

Case

Docket No
24F-H006-REL
Case Title
Susannah Sabnekar vs. Four Peaks Vista Owners Association
Decision Date
2023-10-26
Alj Name
Velva Moses-Thompson
Tribunal
OAH
Agency
ADRE

Case Participants

Petitioner Side

  • Susannah Sabnekar (petitioner)
    Homeowner
  • Amy Watier (witness)
    Homeowner, current board member, and previous board member

Respondent Side

  • Maria McKee (HOA attorney)
    Carpenter, Hazelwood, Delgado & Bolen, PLC
    Council for Respondent
  • Chad P. Miesen (HOA attorney)
    Carpenter, Hazelwood, Delgado & Bolen, PLC
    Council for Respondent
  • Charlie Markle (HOA attorney)
    Council for the Association
  • Kathy Gower (property manager)
    Four Peaks Vista Owners Association
    Community manager
  • Shelley Kobat (board member)
    Four Peaks Vista Owners Association
    Associate board president

Neutral Parties

  • Velva Moses-Thompson (ALJ)
    OAH
  • Susan Nicolson (commissioner)
    Arizona Department of Real Estate
  • AHansen (ADRE staff)
    Arizona Department of Real Estate
    Recipient of transmission list
  • vnunez (ADRE staff)
    Arizona Department of Real Estate
    Recipient of transmission list
  • djones (ADRE staff)
    Arizona Department of Real Estate
    Recipient of transmission list
  • labril (ADRE staff)
    Arizona Department of Real Estate
    Recipient of transmission list

John R Ashley v. Rancho Reyes II Community Association, INC

Case Summary

Case ID 23F-H058-REL
Agency ADRE
Tribunal OAH
Decision Date 2023-10-04
Administrative Law Judge Velva Moses-Thompson
Outcome loss
Filing Fees Refunded $500.00
Civil Penalties $0.00

Parties & Counsel

Petitioner John R. Ashley Counsel
Respondent Rancho Reyes II Community Association, INC Counsel James Brewer, Esq.

Alleged Violations

Article IV, Section 1 of the Bylaws

Outcome Summary

The Administrative Law Judge dismissed Petitioner John R. Ashley's petition against Rancho Reyes II Community Association, Inc. The ALJ found that the HOA did not violate the Bylaws regarding the minimum number of directors because compliance was impossible due to lack of member interest, and the issue was subsequently moot as the board currently met the minimum requirement.

Why this result: Petitioner failed to provide sufficient evidence to rebut Respondent’s claim that it actively sought a third board member. The Respondent was exonerated under the legal doctrine of impossibility of performance, and the current compliance with the three-member minimum rendered the dispute moot.

Key Issues & Findings

Alleged violation regarding the minimum number of Board Directors

Petitioner alleged Respondent violated Article IV, Section 1 of the Bylaws by having only two Board Directors dismiss and order a redo of the 1/9/2023 Annual Membership Meeting for 3/7/2023, arguing that three directors were required to properly handle the Association’s affairs.

Orders: The petition is dismissed. Respondent was unable to comply with the Bylaws requiring three directors due to impossibility (lack of member interest) while actively seeking compliance, and the dispute is currently moot as the board now has three or more members.

Filing fee: $500.00, Fee refunded: No

Disposition: petitioner_loss

Cited:

  • A.R.S. §§ 33-1801 to 33-1818
  • A.R.S. § 32-2199(B)
  • A.R.S. § 33-1803
  • Garner v. Ellingson, 18 Ariz. 181, 182 (App. 1972)
  • Whelan v. Griffith Consumers Company, 170 A.2d 229, 230 (D.C. App., 1961)
  • A.R.S. § 41-1092.07(G)(2)
  • A.A.C. R2-19-119(A) and (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)
  • Powell v. Washburn, 211 Ariz. 553, 556 ¶ 9, 125 P.3d 373, 376 (2006)
  • Lookout Mountain Paradise Hills Homeowners’ Assân v. Viewpoint Assocs., 867 P.2d 70, 75 (Colo. App. 1993)

Analytics Highlights

Topics: impossibility of performance, board structure, election dispute, bylaw violation, Planned Communities Act, mootness
Additional Citations:

  • A.R.S. §§ 33-1801 to 33-1818
  • A.R.S. § 32-2199(B)
  • A.R.S. § 33-1803
  • Garner v. Ellingson, 18 Ariz. 181, 182 (App. 1972)
  • Whelan v. Griffith Consumers Company, 170 A.2d 229, 230 (D.C. App., 1961)
  • A.R.S. § 41-1092.07(G)(2)
  • A.A.C. R2-19-119(A) and (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)
  • Powell v. Washburn, 211 Ariz. 553, 556 ¶ 9, 125 P.3d 373, 376 (2006)
  • Lookout Mountain Paradise Hills Homeowners’ Assân v. Viewpoint Assocs., 867 P.2d 70, 75 (Colo. App. 1993)

Video Overview

Audio Overview

Decision Documents

23F-H058-REL Decision – 1075520.pdf

Uploaded 2026-01-23T17:58:49 (45.8 KB)

23F-H058-REL Decision – 1078604.pdf

Uploaded 2026-01-23T17:58:52 (47.9 KB)

23F-H058-REL Decision – 1078608.pdf

Uploaded 2026-01-23T17:58:56 (5.5 KB)

23F-H058-REL Decision – 1099484.pdf

Uploaded 2026-01-23T17:59:01 (104.5 KB)

Questions

Question

Can my HOA be penalized for having fewer than the required number of board members if no one volunteers to serve?

Short Answer

Likely not. If the HOA actively seeks candidates but no one steps up, they may be exonerated due to 'impossibility of performance.'

Detailed Answer

The decision establishes that if an HOA board is understaffed (e.g., 2 members when bylaws require 3) because homeowners refuse to volunteer despite recruitment efforts, the HOA is not held liable. The legal principle of 'impossibility' applies when circumstances beyond the parties' control prevent compliance with the bylaws.

Alj Quote

It is well settled that when, due to circumstances beyond the control of the parties the performance of a contract is rendered impossible, the party failing to perform is exonerated.

Legal Basis

Contract Law Principles (Garner v. Ellingson); Bylaws Article IV, Section 1

Topic Tags

  • Board Composition
  • Impossibility Defense
  • Bylaws

Question

If my HOA has already fixed a violation by the time of the hearing, can I still get a ruling against them?

Short Answer

No. If the HOA comes into compliance before the decision is made, the dispute may be considered resolved and the petition dismissed.

Detailed Answer

In this case, the homeowner sued because the board had too few members. However, by the time of the hearing, a full board had been elected. The judge dismissed the petition because the violation was no longer active and compliance was not in dispute.

Alj Quote

Accordingly, because the preponderance of the evidence has shown that Respondent was unable to comply with Article IV, Section 1 of the Bylaws and compliance with Article IV, Section 1 of the Bylaws is no longer in dispute, the Petition must be dismissed.

Legal Basis

Mootness

Topic Tags

  • Procedural
  • Mootness
  • Dismissal

Question

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

Short Answer

The homeowner (Petitioner) has the burden to prove the violation occurred.

Detailed Answer

The homeowner must prove their case by a 'preponderance of the evidence.' This means they must convince the judge that their claim is more likely true than not.

Alj Quote

Petitioners bear the burden of proof to establish that Respondent violated Article IV, Section 1 of its Bylaws, 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

  • Burden of Proof
  • Legal Standards
  • Hearing Procedures

Question

What counts as 'preponderance of the evidence' in an HOA dispute?

Short Answer

Evidence that makes a claim 'more probably true than not.'

Detailed Answer

It is not about the quantity of witnesses, but the convincing force of the evidence. It must be sufficient to incline a fair mind to one side over 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

Arizona Law of Evidence

Topic Tags

  • Evidence
  • Legal Definitions

Question

How are HOA bylaws and restrictive covenants interpreted by the judge?

Short Answer

They are interpreted to support the intent of the parties and the underlying purpose of the document.

Detailed Answer

The judge will look at the documents as a whole rather than isolating a single sentence, ensuring that the interpretation gives effect to the intended purpose of the rules.

Alj Quote

Restrictive covenants must be construed as a whole and interpreted in view of their underlying purposes, giving effect to all provisions contained therein.

Legal Basis

Contract Interpretation Principles (Powell v. Washburn)

Topic Tags

  • CC&R Interpretation
  • Bylaws

Question

Can an HOA board order a new election if they suspect fraud in the previous one?

Short Answer

Yes, this action was accepted in the context of this decision.

Detailed Answer

The decision notes that the community manager and board members decided to hold a new election after consulting with an attorney regarding suspected fraudulent tactics and unfair processes in the initial election.

Alj Quote

Respondent’s community manager suspected that the election was not a fair process and that certain individuals used fraudulent tactics to influence the election. After consulting with Respondent’s attorney, the community manager along with Ms. Ortega decided to hold a new election in March of 2023.

Legal Basis

Board Authority

Topic Tags

  • Elections
  • Fraud
  • Board Powers

Case

Docket No
23F-H058-REL
Case Title
John R. Ashley v. Rancho Reyes II Community Association, Inc.
Decision Date
2023-10-04
Alj Name
Velva Moses-Thompson
Tribunal
Office of Administrative Hearings
Agency
Arizona Department of Real Estate

Questions

Question

Can my HOA be penalized for having fewer than the required number of board members if no one volunteers to serve?

Short Answer

Likely not. If the HOA actively seeks candidates but no one steps up, they may be exonerated due to 'impossibility of performance.'

Detailed Answer

The decision establishes that if an HOA board is understaffed (e.g., 2 members when bylaws require 3) because homeowners refuse to volunteer despite recruitment efforts, the HOA is not held liable. The legal principle of 'impossibility' applies when circumstances beyond the parties' control prevent compliance with the bylaws.

Alj Quote

It is well settled that when, due to circumstances beyond the control of the parties the performance of a contract is rendered impossible, the party failing to perform is exonerated.

Legal Basis

Contract Law Principles (Garner v. Ellingson); Bylaws Article IV, Section 1

Topic Tags

  • Board Composition
  • Impossibility Defense
  • Bylaws

Question

If my HOA has already fixed a violation by the time of the hearing, can I still get a ruling against them?

Short Answer

No. If the HOA comes into compliance before the decision is made, the dispute may be considered resolved and the petition dismissed.

Detailed Answer

In this case, the homeowner sued because the board had too few members. However, by the time of the hearing, a full board had been elected. The judge dismissed the petition because the violation was no longer active and compliance was not in dispute.

Alj Quote

Accordingly, because the preponderance of the evidence has shown that Respondent was unable to comply with Article IV, Section 1 of the Bylaws and compliance with Article IV, Section 1 of the Bylaws is no longer in dispute, the Petition must be dismissed.

Legal Basis

Mootness

Topic Tags

  • Procedural
  • Mootness
  • Dismissal

Question

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

Short Answer

The homeowner (Petitioner) has the burden to prove the violation occurred.

Detailed Answer

The homeowner must prove their case by a 'preponderance of the evidence.' This means they must convince the judge that their claim is more likely true than not.

Alj Quote

Petitioners bear the burden of proof to establish that Respondent violated Article IV, Section 1 of its Bylaws, 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

  • Burden of Proof
  • Legal Standards
  • Hearing Procedures

Question

What counts as 'preponderance of the evidence' in an HOA dispute?

Short Answer

Evidence that makes a claim 'more probably true than not.'

Detailed Answer

It is not about the quantity of witnesses, but the convincing force of the evidence. It must be sufficient to incline a fair mind to one side over 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

Arizona Law of Evidence

Topic Tags

  • Evidence
  • Legal Definitions

Question

How are HOA bylaws and restrictive covenants interpreted by the judge?

Short Answer

They are interpreted to support the intent of the parties and the underlying purpose of the document.

Detailed Answer

The judge will look at the documents as a whole rather than isolating a single sentence, ensuring that the interpretation gives effect to the intended purpose of the rules.

Alj Quote

Restrictive covenants must be construed as a whole and interpreted in view of their underlying purposes, giving effect to all provisions contained therein.

Legal Basis

Contract Interpretation Principles (Powell v. Washburn)

Topic Tags

  • CC&R Interpretation
  • Bylaws

Question

Can an HOA board order a new election if they suspect fraud in the previous one?

Short Answer

Yes, this action was accepted in the context of this decision.

Detailed Answer

The decision notes that the community manager and board members decided to hold a new election after consulting with an attorney regarding suspected fraudulent tactics and unfair processes in the initial election.

Alj Quote

Respondent’s community manager suspected that the election was not a fair process and that certain individuals used fraudulent tactics to influence the election. After consulting with Respondent’s attorney, the community manager along with Ms. Ortega decided to hold a new election in March of 2023.

Legal Basis

Board Authority

Topic Tags

  • Elections
  • Fraud
  • Board Powers

Case

Docket No
23F-H058-REL
Case Title
John R. Ashley v. Rancho Reyes II Community Association, Inc.
Decision Date
2023-10-04
Alj Name
Velva Moses-Thompson
Tribunal
Office of Administrative Hearings
Agency
Arizona Department of Real Estate

Case Participants

Petitioner Side

  • John R. Ashley (petitioner)
    Represented himself
  • Rmulo Gonzalez (board member elect)
    Elected in March 2023 election; contested re-election procedures
  • James Canella (board member elect)
    Elected in January 2023 election; member of the community who desired to serve
  • Daniel Walker (board member elect)
    Elected in January 2023 election
  • Richard Springer (witness reference)
    Homeowner mentioned by Petitioner as willing to serve on the board
  • Charles Seers (witness reference)
    Homeowner mentioned by Petitioner as willing to serve on the board; name variations include Charles Zippers

Respondent Side

  • James Brewer (attorney)
    Tyson & Mendes, LLP
    Represented Respondent Rancho Reyes II Community Association
  • Leah M. McKeever (attorney)
    Tyson & Mendes, LLP
  • Lynn M. Allen (attorney)
    Tyson & Mendes, LLP
  • Sherry Ortega (board member)
    Rancho Reyes II Community Association
    Vice President since March 2023; President previously; testified for Respondent
  • Maria Ruelas (board member)
    Rancho Reyes II Community Association
    Director in 2022 until March 2023
  • Kimberly Schone (COO/witness)
    Mission Management (Community Manager)
    Chief Operating Officer, testified for Respondent
  • Ronda Raal (CEO/property manager)
    Mission Management (Community Manager)
    CEO of the management company
  • Sammy (assistant)
    Mission Management (Community Manager)
    Assistant who helped count ballots for January 2023 election; name variations include Tammy, Cammy, Samantha
  • Joy (manager)
    Mission Management (Community Manager)
    Manager during January 2023 election period
  • Jennifer (manager)
    Mission Management (Community Manager)
    Current manager of the account
  • Vince (management staff)
    Mission Management (Community Manager)
    Saw ballot video footage

Neutral Parties

  • Velva Moses-Thompson (ALJ)
    Office of Administrative Hearings
    Also referred to as Fala Moses Thompson
  • Susan Nicolson (Commissioner)
    Arizona Department of Real Estate (ADRE)
  • AHansen (ADRE staff)
    Arizona Department of Real Estate (ADRE)
    Recipient of official documents
  • VNunez (ADRE staff)
    Arizona Department of Real Estate (ADRE)
    Recipient of official documents
  • DJones (ADRE staff)
    Arizona Department of Real Estate (ADRE)
    Recipient of official documents
  • Labril (ADRE staff)
    Arizona Department of Real Estate (ADRE)
    Recipient of official documents

Other Participants

  • Cordova Sapola (board member elect)
    Elected in March 2023 election; unresponsive and did not attend meetings
  • Eugenia Francisco (elected candidate)
    Elected in January 2023 election but refuted candidacy; name variations include Eugene Silva
  • Yolanda Molina (former board member)
    Former Treasurer; resigned December 2021
  • Mario Martinez (witness reference)
    Adam LMC
  • Diane (former property manager)
    First manager for the HOA around 2017-2018

John W Gray v. Mesa Coronado III Condominium Association

Case Summary

Case ID 23F-H063-REL
Agency ADRE
Tribunal OAH
Decision Date 2023-09-20
Administrative Law Judge Velva Moses-Thompson
Outcome partial
Filing Fees Refunded $500.00
Civil Penalties $0.00

Parties & Counsel

Petitioner John W. Gray Counsel
Respondent Mesa Coronado III Condominium Association Counsel Chad M. Gallacher, Esq.

Alleged Violations

ARS § 33-1248(B), Bylaw Article 2.1
ARS § 33-1258, Bylaw Article 1.6
ARS § 33-1243(B), Bylaw Article 3.2

Outcome Summary

Petitioner prevailed on Issue 2 (Records Requests violation), resulting in the refund of the $500 filing fee. Respondent prevailed on Issue 1 (Failure to Hold Meetings, found moot) and Issue 3 (Board Legitimacy, insufficient evidence). No civil penalty was imposed.

Why this result: Petitioner lost Issue 1 because the failure to hold meetings was resolved and deemed moot. Petitioner lost Issue 3 due to insufficient evidence.

Key Issues & Findings

No meeting was held in 2020, 2021, or 2022

Petitioner alleged violation for failure to hold annual meetings in 2020, 2021, and 2022. The Board admitted meetings were not held due to the pandemic but held an annual meeting in 2023.

Orders:

Filing fee: $0.00, Fee refunded: No

Disposition: respondent_win

Cited:

  • ARS § 33-1248(B)
  • Bylaw Article 2.1
  • ARS § 33-1250(C)

Petitioner has received no response to multiple requests for information

Petitioner made multiple requests for information and records (including meeting minutes from 2018-2023 and fire suppression invoices from 2014-2023). Respondent failed to provide copies of minutes from 2018-2019 and records related to the sprinkler system.

Orders: Respondent ordered to pay Petitioner $500.00 filing fee refund within thirty (30) days and directed to comply with A.R.S. § 33-1258 and Bylaw Article 1.6 going forward.

Filing fee: $500.00, Fee refunded: Yes

Disposition: petitioner_win

Cited:

  • ARS § 33-1258
  • Bylaw Article 1.6

The people claiming to be the Board are not legitimate, not duly elected, and have appointed themselves to successive terms of office

Petitioner alleged the board members were illegitimate because annual meetings lacked quorum (2018, 2019) or were not held (2020-2022), leading directors to continue in office unlawfully.

Orders:

Filing fee: $0.00, Fee refunded: No

Disposition: respondent_win

Cited:

  • ARS § 33-1243(B)
  • Bylaw Article 3.2
  • A.R.S. § 10-3805(E)

Video Overview

Audio Overview

Decision Documents

23F-H063-REL Decision – 1081668.pdf

Uploaded 2026-01-23T17:59:50 (46.0 KB)

23F-H063-REL Decision – 1095241.pdf

Uploaded 2026-01-23T17:59:55 (143.2 KB)

Questions

Question

If my HOA fails to hold an annual meeting, do the current directors automatically lose their positions?

Short Answer

No. Directors typically continue to serve until a successor is elected or qualified.

Detailed Answer

The ALJ concluded that board members may serve successive terms and, in the absence of a new election (often due to lack of quorum), existing members continue to serve. The failure to hold a meeting does not automatically illegitimate the board.

Alj Quote

Directors of a non-profit organization may be elected for successive terms, unless otherwise provided for in the articles of incorporation or bylaws.

Legal Basis

A.R.S. § 10-3805(B)

Topic Tags

  • Board Legitimacy
  • Elections
  • Terms of Office

Question

Can I penalize my HOA for failing to hold meetings during a public health emergency like COVID-19?

Short Answer

Likely no, especially if the issue is resolved by the time of the hearing.

Detailed Answer

The ALJ found that failing to hold in-person meetings due to the pandemic was supported by the weight of evidence. Furthermore, because the HOA eventually held a meeting in 2023, the dispute regarding the missed meetings was considered moot.

Alj Quote

The weight of the evidence shows that the Board failed to hold in person board meetings from 2020 to 2022, due to the pandemic… Because there is no current dispute regarding the failure to hold an annual board meeting, the issue is now moot.

Legal Basis

Mootness Doctrine

Topic Tags

  • Meetings
  • COVID-19
  • Mootness

Question

Does the HOA have a valid excuse for not providing old meeting minutes if they claim they are hard to find?

Short Answer

No. The HOA must justify any failure to provide requested minutes.

Detailed Answer

The ALJ ruled against the HOA for failing to provide minutes from 2018 and 2019, noting that the HOA provided no evidence to justify this failure, despite arguments about the difficulty of production.

Alj Quote

Although there were no board meetings from 2020-2022, Respondent provide no evidence to justify its failure to provide copies of the minutes of Association meetings from 2018 to 2019.

Legal Basis

A.R.S. § 33-1258

Topic Tags

  • Records Requests
  • Meeting Minutes
  • HOA Obligations

Question

If I win my case against the HOA regarding records requests, can I get my filing fee back?

Short Answer

Yes, the ALJ can order the HOA to reimburse the filing fee.

Detailed Answer

In this case, the Petitioner prevailed on the issue regarding records requests (Issue 2), and the ALJ ordered the Respondent to pay the Petitioner the $500 filing fee directly.

Alj Quote

IT IS FURTHER ORDERED that Respondent pay Petitioner his filing fee of $500.00, to be paid directly to Petitioner within thirty (30) days of this Order.

Legal Basis

Administrative Remedy

Topic Tags

  • Remedies
  • Filing Fees
  • Costs

Question

Is the HOA required to allow in-person voting even if they want to hold virtual meetings?

Short Answer

Yes, the law requires providing for votes to be cast in person.

Detailed Answer

The decision highlights that state law requires the Board to allow members to vote in person, which was a factor in why the Board did not hold virtual-only meetings during the pandemic.

Alj Quote

The Board was required by law to allow members to vote in person.

Legal Basis

A.R.S. § 33-1250(C)

Topic Tags

  • Voting
  • In-Person Requirements
  • Virtual Meetings

Question

What standard of proof do I need to meet to prove my HOA violated the law?

Short Answer

You must prove the violation by a 'preponderance of the evidence'.

Detailed Answer

The burden of proof lies with the Petitioner to show that their contention is more probably true than not.

Alj Quote

Petitioner bears the burden of proof to establish that Respondent violated the Association’s Bylaws and applicable statutes by a preponderance of the evidence.

Legal Basis

A.A.C. R2-19-119(A)

Topic Tags

  • Burden of Proof
  • Legal Standards
  • Evidence

Question

Can the HOA withhold records just because I didn't ask for them in a specific format?

Short Answer

The request must be for records/copies; a general inquiry for information might not trigger the statutory obligation.

Detailed Answer

The ALJ distinguished between requests for information (like names of directors) and requests to examine or copy specific records. The decision noted that some initial correspondence 'did not include a request to examine records or to make copies of records.'

Alj Quote

Mr. Gray’s attorney requested that the Board respond in within 30 days of receipt of the letter. However, the letter did not include a request to examine records or to make copies of records.

Legal Basis

A.R.S. § 33-1258

Topic Tags

  • Records Requests
  • Procedural Requirements

Case

Docket No
23F-H063-REL
Case Title
John W. Gray v. Mesa Coronado III Condominium Association
Decision Date
2023-09-20
Alj Name
Velva Moses-Thompson
Tribunal
OAH
Agency
ADRE

Questions

Question

If my HOA fails to hold an annual meeting, do the current directors automatically lose their positions?

Short Answer

No. Directors typically continue to serve until a successor is elected or qualified.

Detailed Answer

The ALJ concluded that board members may serve successive terms and, in the absence of a new election (often due to lack of quorum), existing members continue to serve. The failure to hold a meeting does not automatically illegitimate the board.

Alj Quote

Directors of a non-profit organization may be elected for successive terms, unless otherwise provided for in the articles of incorporation or bylaws.

Legal Basis

A.R.S. § 10-3805(B)

Topic Tags

  • Board Legitimacy
  • Elections
  • Terms of Office

Question

Can I penalize my HOA for failing to hold meetings during a public health emergency like COVID-19?

Short Answer

Likely no, especially if the issue is resolved by the time of the hearing.

Detailed Answer

The ALJ found that failing to hold in-person meetings due to the pandemic was supported by the weight of evidence. Furthermore, because the HOA eventually held a meeting in 2023, the dispute regarding the missed meetings was considered moot.

Alj Quote

The weight of the evidence shows that the Board failed to hold in person board meetings from 2020 to 2022, due to the pandemic… Because there is no current dispute regarding the failure to hold an annual board meeting, the issue is now moot.

Legal Basis

Mootness Doctrine

Topic Tags

  • Meetings
  • COVID-19
  • Mootness

Question

Does the HOA have a valid excuse for not providing old meeting minutes if they claim they are hard to find?

Short Answer

No. The HOA must justify any failure to provide requested minutes.

Detailed Answer

The ALJ ruled against the HOA for failing to provide minutes from 2018 and 2019, noting that the HOA provided no evidence to justify this failure, despite arguments about the difficulty of production.

Alj Quote

Although there were no board meetings from 2020-2022, Respondent provide no evidence to justify its failure to provide copies of the minutes of Association meetings from 2018 to 2019.

Legal Basis

A.R.S. § 33-1258

Topic Tags

  • Records Requests
  • Meeting Minutes
  • HOA Obligations

Question

If I win my case against the HOA regarding records requests, can I get my filing fee back?

Short Answer

Yes, the ALJ can order the HOA to reimburse the filing fee.

Detailed Answer

In this case, the Petitioner prevailed on the issue regarding records requests (Issue 2), and the ALJ ordered the Respondent to pay the Petitioner the $500 filing fee directly.

Alj Quote

IT IS FURTHER ORDERED that Respondent pay Petitioner his filing fee of $500.00, to be paid directly to Petitioner within thirty (30) days of this Order.

Legal Basis

Administrative Remedy

Topic Tags

  • Remedies
  • Filing Fees
  • Costs

Question

Is the HOA required to allow in-person voting even if they want to hold virtual meetings?

Short Answer

Yes, the law requires providing for votes to be cast in person.

Detailed Answer

The decision highlights that state law requires the Board to allow members to vote in person, which was a factor in why the Board did not hold virtual-only meetings during the pandemic.

Alj Quote

The Board was required by law to allow members to vote in person.

Legal Basis

A.R.S. § 33-1250(C)

Topic Tags

  • Voting
  • In-Person Requirements
  • Virtual Meetings

Question

What standard of proof do I need to meet to prove my HOA violated the law?

Short Answer

You must prove the violation by a 'preponderance of the evidence'.

Detailed Answer

The burden of proof lies with the Petitioner to show that their contention is more probably true than not.

Alj Quote

Petitioner bears the burden of proof to establish that Respondent violated the Association’s Bylaws and applicable statutes by a preponderance of the evidence.

Legal Basis

A.A.C. R2-19-119(A)

Topic Tags

  • Burden of Proof
  • Legal Standards
  • Evidence

Question

Can the HOA withhold records just because I didn't ask for them in a specific format?

Short Answer

The request must be for records/copies; a general inquiry for information might not trigger the statutory obligation.

Detailed Answer

The ALJ distinguished between requests for information (like names of directors) and requests to examine or copy specific records. The decision noted that some initial correspondence 'did not include a request to examine records or to make copies of records.'

Alj Quote

Mr. Gray’s attorney requested that the Board respond in within 30 days of receipt of the letter. However, the letter did not include a request to examine records or to make copies of records.

Legal Basis

A.R.S. § 33-1258

Topic Tags

  • Records Requests
  • Procedural Requirements

Case

Docket No
23F-H063-REL
Case Title
John W. Gray v. Mesa Coronado III Condominium Association
Decision Date
2023-09-20
Alj Name
Velva Moses-Thompson
Tribunal
OAH
Agency
ADRE

Case Participants

Petitioner Side

  • John W. Gray (petitioner)
    Mesa Coronado III Condominium Association (Member)
    Appeared on behalf of himself.
  • David Bacon (petitioner's attorney)
    Davis Ma Magcguire Gardner
    Wrote letter on behalf of Petitioner John W. Gray.

Respondent Side

  • Chad M. Gallacher (HOA attorney)
    HOALaw.biz
    Attorney for Mesa Coronado III Condominium Association.
  • Adriana Lacombe (Community Manager/Witness)
    Curtis Management
    Community Manager for Mesa Coronado III Condominium Association. Also referred to as Andrea Lome in testimony.
  • Jim Reid (property manager)
    Curtis Management
    Contact listed for Mesa Coronado III Condominium Association.
  • Rita Ali (board member/president)
    Mesa Coronado III Condominium Association
    Board President; reelected July 18, 2023.
  • Cassandra Miller (board member)
    Mesa Coronado III Condominium Association
    Appointed/elected board member.
  • Richard Randolph (board member)
    Mesa Coronado III Condominium Association
    Re-elected July 18, 2023.
  • Carl Fleming (former board member)
    Mesa Coronado III Condominium Association
    Moved out, creating a vacancy.
  • Derek Blackman (former board member/president)
    Mesa Coronado III Condominium Association
    Sold unit in 2016.

Neutral Parties

  • Velva Moses-Thompson (ALJ)
    Office of Administrative Hearings
    Administrative Law Judge.
  • Susan Nicolson (Commissioner)
    Arizona Department of Real Estate
  • AHansen (ADRE staff)
    Arizona Department of Real Estate
    Recipient of official communication.
  • vnunez (ADRE staff)
    Arizona Department of Real Estate
    Recipient of official communication.
  • djones (ADRE staff)
    Arizona Department of Real Estate
    Recipient of official communication.
  • labril (ADRE staff)
    Arizona Department of Real Estate
    Recipient of official communication.

Other Participants

  • Andrea West (proposed board member)
    Mesa Coronado III Condominium Association (Member)
    Requested appointment to the board in 2018; presence noted by Petitioner at 2018 meeting.
  • Jennifer Dulick (homeowner/member)
    Mesa Coronado III Condominium Association (Member)
    Attended 2018 annual meeting attempt.

Thomas P. Hommrich v. The Lakewood Community Association

Case Summary

Case ID 23F-H048-REL
Agency ADRE
Tribunal OAH
Decision Date 2023-05-19
Administrative Law Judge Velva Moses-Thompson
Outcome total_loss
Filing Fees Refunded $0.00
Civil Penalties $0.00

Parties & Counsel

Petitioner Thomas P. Hommrich Counsel
Respondent The Lakewood Community Association Counsel Quinten Cupps, Esq.

Alleged Violations

Article lV, Section 4.2(t) of the CC&R's

Outcome Summary

Order Granting Respondent’s Motion to Dismiss the Petition on jurisdictional grounds.

Why this result: The Administrative Law Judge ruled that the Office of Administrative Hearings (OAH) lacked jurisdiction to hear the case because the petition challenged the Association’s power to act (A.R.S. § 10-3304), which requires injunctive relief in a court of law, and did not concern a violation of community documents or statute (A.R.S. § 32-2199.01(A)).

Key Issues & Findings

Authority to enforce parking rule on residential public streets

Petitioner sought an order prohibiting the Respondent from restricting parking access on public residential streets, alleging the Association breached the CC&Rs by misapplying Article IV, Section 4.2(t).

Orders: The petition was dismissed because OAH lacked jurisdiction as the case challenged the Association's power to act under A.R.S. § 10-3304, rather than alleging a violation of community documents or statute under A.R.S. § 32-2199.01(A).

Filing fee: $0.00, Fee refunded: No

Disposition: petitioner_loss

Cited:

  • A.R.S. § 32-2199.01(A)
  • A.R.S. § 10-3304
  • A.R.S. § 10-3304(B)(2)

Analytics Highlights

Topics: Parking Restrictions, Jurisdiction, Motion to Dismiss, CC&Rs
Additional Citations:

  • A.R.S. § 32-2199.01(A)
  • A.R.S. § 10-3304
  • A.R.S. § 10-3304(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

23F-H048-REL Decision – 1057905.pdf

Uploaded 2026-01-23T17:57:20 (71.7 KB)

23F-H048-REL Decision – 1059621.pdf

Uploaded 2026-01-23T17:57:22 (44.2 KB)

Questions

Question

Can I use the administrative hearing process to challenge my HOA's legal authority or power to enforce a specific rule?

Short Answer

No. Challenges to an Association's corporate power to act must be brought in a court of law, not the administrative tribunal.

Detailed Answer

The Administrative Law Judge ruled that the tribunal does not have jurisdiction to hear challenges regarding the Association's 'power to act' (such as whether they have the authority to restrict parking). Under Arizona statute A.R.S. § 10-3304, these specific legal challenges regarding corporate authority must be addressed in a court of law.

Alj Quote

Petitioner may not challenge the Association’s power to act in this tribunal under A.R.S. § 10-3304. Petitioner may seek injunctive relief regarding the Association’s power to act in a court of law.

Legal Basis

A.R.S. § 10-3304

Topic Tags

  • jurisdiction
  • corporate power
  • HOA authority

Question

If I disagree with a decision, can I file a motion to amend my petition after the order has been issued?

Short Answer

No. Once a decision is rendered, the Office of Administrative Hearings cannot consider motions to amend.

Detailed Answer

The ALJ clarified that once a decision is finalized, the OAH loses the ability to take further action on the matter, meaning a Motion to Amend filed after the decision cannot be considered.

Alj Quote

The Motion to Amend the Petition cannot not be considered by the Office of Administrative Hearings (OAH) as this tribunal’s decision has already been rendered and, because of that, OAH can take no further action on the matter.

Legal Basis

Procedural Rule

Topic Tags

  • procedure
  • appeals
  • amendments

Question

Where must I file a request for a rehearing if I lose my case?

Short Answer

You must file the request with the Commissioner of the Department of Real Estate (ADRE), not the hearing office.

Detailed Answer

While the hearing takes place at the Office of Administrative Hearings (OAH), a request for a rehearing must be directed to the Arizona Department of Real Estate within 30 days of the order.

Alj Quote

Pursuant to A.R.S. § 41-1092.09, a request for rehearing in this matter must be filed with the Commissioner of the Department of Real Estate within 30 days of the service of this Order upon the parties.

Legal Basis

A.R.S. § 41-1092.09

Topic Tags

  • rehearing
  • procedure
  • ADRE

Question

Can the administrative tribunal issue an injunction preventing the HOA from enforcing parking restrictions on public streets?

Short Answer

Likely no, if the claim is based on the HOA lacking the 'power to act'.

Detailed Answer

The petitioner sought an order prohibiting the HOA from restricting parking on public streets. The ALJ dismissed this because the claim was fundamentally about the Association's authority (power to act), which falls outside the tribunal's jurisdiction.

Alj Quote

Petitioner asks this Court to issue an order that prohibits the Respondent from restricting parking access on public residential streets… Petitioner may seek injunctive relief regarding the Association’s power to act in a court of law.

Legal Basis

A.R.S. § 10-3304

Topic Tags

  • parking
  • injunctions
  • jurisdiction

Question

Does a petition challenging an HOA rule have to allege a specific violation of the community documents or statutes?

Short Answer

Yes. If the petition does not concern a violation of documents or statutes, it may be dismissed.

Detailed Answer

The HOA successfully argued that the petition should be dismissed because it did not allege that the HOA violated community documents or statutes, but rather challenged the HOA's authority to make rules.

Alj Quote

Therefore, the petition does not concern a violation of community documents or of any statute… IT IS ORDERED that the petition is dismissed.

Legal Basis

A.R.S. § 32-2199.01(A)

Topic Tags

  • petition requirements
  • dismissal
  • violations

Case

Docket No
23F-H048-REL
Case Title
Thomas P. Hommrich vs. The Lakewood Community Association
Decision Date
2023-05-19
Alj Name
Velva Moses-Thompson
Tribunal
OAH
Agency
ADRE

Questions

Question

Can I use the administrative hearing process to challenge my HOA's legal authority or power to enforce a specific rule?

Short Answer

No. Challenges to an Association's corporate power to act must be brought in a court of law, not the administrative tribunal.

Detailed Answer

The Administrative Law Judge ruled that the tribunal does not have jurisdiction to hear challenges regarding the Association's 'power to act' (such as whether they have the authority to restrict parking). Under Arizona statute A.R.S. § 10-3304, these specific legal challenges regarding corporate authority must be addressed in a court of law.

Alj Quote

Petitioner may not challenge the Association’s power to act in this tribunal under A.R.S. § 10-3304. Petitioner may seek injunctive relief regarding the Association’s power to act in a court of law.

Legal Basis

A.R.S. § 10-3304

Topic Tags

  • jurisdiction
  • corporate power
  • HOA authority

Question

If I disagree with a decision, can I file a motion to amend my petition after the order has been issued?

Short Answer

No. Once a decision is rendered, the Office of Administrative Hearings cannot consider motions to amend.

Detailed Answer

The ALJ clarified that once a decision is finalized, the OAH loses the ability to take further action on the matter, meaning a Motion to Amend filed after the decision cannot be considered.

Alj Quote

The Motion to Amend the Petition cannot not be considered by the Office of Administrative Hearings (OAH) as this tribunal’s decision has already been rendered and, because of that, OAH can take no further action on the matter.

Legal Basis

Procedural Rule

Topic Tags

  • procedure
  • appeals
  • amendments

Question

Where must I file a request for a rehearing if I lose my case?

Short Answer

You must file the request with the Commissioner of the Department of Real Estate (ADRE), not the hearing office.

Detailed Answer

While the hearing takes place at the Office of Administrative Hearings (OAH), a request for a rehearing must be directed to the Arizona Department of Real Estate within 30 days of the order.

Alj Quote

Pursuant to A.R.S. § 41-1092.09, a request for rehearing in this matter must be filed with the Commissioner of the Department of Real Estate within 30 days of the service of this Order upon the parties.

Legal Basis

A.R.S. § 41-1092.09

Topic Tags

  • rehearing
  • procedure
  • ADRE

Question

Can the administrative tribunal issue an injunction preventing the HOA from enforcing parking restrictions on public streets?

Short Answer

Likely no, if the claim is based on the HOA lacking the 'power to act'.

Detailed Answer

The petitioner sought an order prohibiting the HOA from restricting parking on public streets. The ALJ dismissed this because the claim was fundamentally about the Association's authority (power to act), which falls outside the tribunal's jurisdiction.

Alj Quote

Petitioner asks this Court to issue an order that prohibits the Respondent from restricting parking access on public residential streets… Petitioner may seek injunctive relief regarding the Association’s power to act in a court of law.

Legal Basis

A.R.S. § 10-3304

Topic Tags

  • parking
  • injunctions
  • jurisdiction

Question

Does a petition challenging an HOA rule have to allege a specific violation of the community documents or statutes?

Short Answer

Yes. If the petition does not concern a violation of documents or statutes, it may be dismissed.

Detailed Answer

The HOA successfully argued that the petition should be dismissed because it did not allege that the HOA violated community documents or statutes, but rather challenged the HOA's authority to make rules.

Alj Quote

Therefore, the petition does not concern a violation of community documents or of any statute… IT IS ORDERED that the petition is dismissed.

Legal Basis

A.R.S. § 32-2199.01(A)

Topic Tags

  • petition requirements
  • dismissal
  • violations

Case

Docket No
23F-H048-REL
Case Title
Thomas P. Hommrich vs. The Lakewood Community Association
Decision Date
2023-05-19
Alj Name
Velva Moses-Thompson
Tribunal
OAH
Agency
ADRE

Case Participants

Petitioner Side

  • Thomas P. Hommrich (petitioner)

Respondent Side

  • Quinten Cupps (respondent attorney)
    vf-law.com
    Esq.

Neutral Parties

  • Velva Moses-Thompson (ALJ)
  • Susan Nicolson (Commissioner)
    Arizona Department of Real Estate
  • AHansen (ADRE staff)
    Arizona Department of Real Estate
    Recipient of transmittal
  • vnunez (ADRE staff)
    Arizona Department of Real Estate
    Recipient of transmittal
  • djones (ADRE staff)
    Arizona Department of Real Estate
    Recipient of transmittal
  • labril (ADRE staff)
    Arizona Department of Real Estate
    Recipient of transmittal

Anthony Payson v. The Foothills Homeowners Association #1

Case Summary

Case ID 23F-H041-REL
Agency ADRE
Tribunal OAH
Decision Date 2023-05-01
Administrative Law Judge Velva Moses-Thompson
Outcome loss
Filing Fees Refunded $500.00
Civil Penalties $0.00

Parties & Counsel

Petitioner Anthony Payson Counsel
Respondent The Foothills Homeowners Association #1 Counsel Sean K. Mohnihan

Alleged Violations

CC&R Section 5.4

Outcome Summary

The petition was dismissed after the Administrative Law Judge concluded that the Respondent HOA did not violate CC&R Section 5.4, finding that this section applies to use restrictions on individual Lots and Members, not the Association itself.

Why this result: The ALJ found that Petitioner failed to meet the burden of proof to establish the Respondent HOA violated CC&R Section 5.4 because the HOA does not own or operate the nuisance-causing television, and the CC&R section governs restrictions on lot Owners/Members, not the Association. OAH jurisdiction is limited to finding the governing document or statute violated by the respondent.

Key Issues & Findings

HOA's alleged failure to enforce nuisance provision (CC&R Section 5.4) regarding neighbor's outdoor television.

Petitioner alleged that the Respondent HOA failed to perform its duty to enforce CC&R Section 5.4 by refusing to seek removal of a neighbor's large, outdoor television that created noise disturbances and was deemed a nuisance.

Orders: The petition is dismissed.

Filing fee: $500.00, Fee refunded: No

Disposition: petitioner_loss

Cited:

  • ARIZ. REV. STAT. § 32-2199(B)
  • ARIZ. REV. STAT. §32- 2199.02(A)
  • CC&R Section 5.4

Analytics Highlights

Topics: Homeowners Association, CC&R, Nuisance, Enforcement, Jurisdiction, Outdoor TV
Additional Citations:

  • ARIZ. REV. STAT. § 32-2199(B)
  • ARIZ. REV. STAT. §32- 2199.02(A)
  • ARIZ. REV. STAT. § 33-1803
  • ARIZ. REV. STAT. § 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)
  • Powell v. Washburn, 211 Ariz. 553, 556 ¶ 9, 125 P.3d 373, 376 (2006)
  • Lookout Mountain Paradise Hills Homeowners’ Ass’n v. Viewpoint Assocs., 867 P.2d 70, 75 (Colo. App. 1993)
  • Vazanno v. Superior Court, 74 Ariz. 369, 372, 249 P.2d 837 (1952)
  • MORRIS K. UDALL, ARIZONA LAW OF EVIDENCE § 5 (1960)
  • BLACK’S LAW DICTIONARY at page 1220 (8th ed. 1999)

Video Overview

Audio Overview

https://open.spotify.com/episode/74bT2mijNKJ5SUal3ovDor

Decision Documents

23F-H041-REL Decision – 1047496.pdf

Uploaded 2026-01-23T17:55:58 (57.5 KB)

23F-H041-REL Decision – 1053240.pdf

Uploaded 2026-01-23T17:56:01 (98.4 KB)





Study Guide – 23F-H041-REL


{ “case”: { “docket_no”: “23F-H041-REL”, “case_title”: “In the Matter of Anthony Payson vs The Foothills Homeowners Association #1”, “decision_date”: “2023-05-01”, “alj_name”: “Velva Moses-Thompson”, “tribunal”: “OAH”, “agency”: “ADRE” }, “questions”: [ { “question”: “Can I use the ADRE administrative hearing process to force my HOA to enforce CC&R rules against a neighbor?”, “short_answer”: “Generally no, if the specific rule applies to member conduct rather than Association conduct.”, “detailed_answer”: “The Administrative Law Judge (ALJ) clarified that the dispute process is for determining if the Respondent (the HOA) violated a statute or governing document. If a CC&R provision restricts how a ‘lot’ may be used, a violation of that rule is a breach by the member (the neighbor), not the Association. Therefore, the HOA cannot be found guilty of violating a rule that governs homeowner behavior.”, “alj_quote”: “These provisions refer to what members may and may not do within the Association. Therefore, any breach of this Article would be a breach by a Member, not the Association. Petitioner failed to establish that Respondent violated CC&R Section 5.4.”, “legal_basis”: “CC&R Section 5.4; OAH Jurisdiction”, “topic_tags”: [ “enforcement”, “jurisdiction”, “neighbor disputes” ] }, { “question”: “Does the Office of Administrative Hearings (OAH) have jurisdiction to decide if my HOA was negligent or violated common law duties?”, “short_answer”: “No, the OAH jurisdiction is strictly limited to violations of statutes and governing documents.”, “detailed_answer”: “The tribunal does not have the authority to hear claims based on common law, such as negligence or general failure to perform a duty, unless it is a specific violation of the statutes or the community documents tailored to the Association’s conduct.”, “alj_quote”: “To the extent that Petitioner alleged that Respondent may have violated common law, or any other laws, the OAH lacks jurisdiction to make such a determination.”, “legal_basis”: “ARIZ. REV. STAT. § 32-2199.01”, “topic_tags”: [ “jurisdiction”, “common law”, “negligence” ] }, { “question”: “What remedies or penalties can I request from the administrative judge if I win my case against the HOA?”, “short_answer”: “Relief is limited to a finding of violation, an order to comply, return of filing fees, and civil penalties.”, “detailed_answer”: “The administrative process cannot award damages for things like pain, suffering, or lost property value. The remedies are strictly defined by statute: finding a violation occurred, ordering the HOA to abide by the provision, returning the petitioner’s filing fee, and levying a civil penalty.”, “alj_quote”: “Petitioner’s relief in this venue is limited to e is limited to a finding that the governing document or statute at issue has been violated by the respondent, an order that Respondent abide by the provision in the future, and to have the filing fee returned to the petitioner and a civil penalty levied against Respondent.”, “legal_basis”: “Ariz. Rev. Stat. §32- 2199.02(A)”, “topic_tags”: [ “remedies”, “penalties”, “civil penalty” ] }, { “question”: “Who is responsible for proving that a violation occurred in an HOA dispute hearing?”, “short_answer”: “The Petitioner (the homeowner filing the complaint) bears the burden of proof.”, “detailed_answer”: “The homeowner bringing the case must provide sufficient evidence to prove their claims. It is not the HOA’s job to disprove the claims initially; the burden lies with the person filing the petition.”, “alj_quote”: “Petitioner bears the burden of proof to establish that Respondent violated on its CC&Rs 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”: [ “burden of proof”, “evidence”, “legal standard” ] }, { “question”: “What is the ‘preponderance of the evidence’ standard used in these hearings?”, “short_answer”: “It means the claim is more probable than not to be true.”, “detailed_answer”: “This legal standard requires that the evidence presented must convince the judge that the petitioner’s argument is more likely true than the opposing side’s argument. It is described as the ‘greater weight of the evidence.'”, “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”, “topic_tags”: [ “legal standard”, “definitions”, “evidence” ] }, { “question”: “How are vague or ambiguous rules in the CC&Rs interpreted by the judge?”, “short_answer”: “They are construed to give effect to the intent of the parties and the underlying purpose of the document.”, “detailed_answer”: “When interpreting restrictive covenants, the judge looks at the document as a whole. If the covenant is unambiguous, it is enforced exactly as written to match the intent.”, “alj_quote”: ““Restrictive covenants must be construed as a whole and interpreted in view of their underlying purposes, giving effect to all provisions contained therein.””, “legal_basis”: “Powell v. Washburn, 211 Ariz. 553”, “topic_tags”: [ “interpretation”, “CC&Rs”, “legal principles” ] } ] }






Blog Post – 23F-H041-REL


{ “case”: { “docket_no”: “23F-H041-REL”, “case_title”: “In the Matter of Anthony Payson vs The Foothills Homeowners Association #1”, “decision_date”: “2023-05-01”, “alj_name”: “Velva Moses-Thompson”, “tribunal”: “OAH”, “agency”: “ADRE” }, “questions”: [ { “question”: “Can I use the ADRE administrative hearing process to force my HOA to enforce CC&R rules against a neighbor?”, “short_answer”: “Generally no, if the specific rule applies to member conduct rather than Association conduct.”, “detailed_answer”: “The Administrative Law Judge (ALJ) clarified that the dispute process is for determining if the Respondent (the HOA) violated a statute or governing document. If a CC&R provision restricts how a ‘lot’ may be used, a violation of that rule is a breach by the member (the neighbor), not the Association. Therefore, the HOA cannot be found guilty of violating a rule that governs homeowner behavior.”, “alj_quote”: “These provisions refer to what members may and may not do within the Association. Therefore, any breach of this Article would be a breach by a Member, not the Association. Petitioner failed to establish that Respondent violated CC&R Section 5.4.”, “legal_basis”: “CC&R Section 5.4; OAH Jurisdiction”, “topic_tags”: [ “enforcement”, “jurisdiction”, “neighbor disputes” ] }, { “question”: “Does the Office of Administrative Hearings (OAH) have jurisdiction to decide if my HOA was negligent or violated common law duties?”, “short_answer”: “No, the OAH jurisdiction is strictly limited to violations of statutes and governing documents.”, “detailed_answer”: “The tribunal does not have the authority to hear claims based on common law, such as negligence or general failure to perform a duty, unless it is a specific violation of the statutes or the community documents tailored to the Association’s conduct.”, “alj_quote”: “To the extent that Petitioner alleged that Respondent may have violated common law, or any other laws, the OAH lacks jurisdiction to make such a determination.”, “legal_basis”: “ARIZ. REV. STAT. § 32-2199.01”, “topic_tags”: [ “jurisdiction”, “common law”, “negligence” ] }, { “question”: “What remedies or penalties can I request from the administrative judge if I win my case against the HOA?”, “short_answer”: “Relief is limited to a finding of violation, an order to comply, return of filing fees, and civil penalties.”, “detailed_answer”: “The administrative process cannot award damages for things like pain, suffering, or lost property value. The remedies are strictly defined by statute: finding a violation occurred, ordering the HOA to abide by the provision, returning the petitioner’s filing fee, and levying a civil penalty.”, “alj_quote”: “Petitioner’s relief in this venue is limited to e is limited to a finding that the governing document or statute at issue has been violated by the respondent, an order that Respondent abide by the provision in the future, and to have the filing fee returned to the petitioner and a civil penalty levied against Respondent.”, “legal_basis”: “Ariz. Rev. Stat. §32- 2199.02(A)”, “topic_tags”: [ “remedies”, “penalties”, “civil penalty” ] }, { “question”: “Who is responsible for proving that a violation occurred in an HOA dispute hearing?”, “short_answer”: “The Petitioner (the homeowner filing the complaint) bears the burden of proof.”, “detailed_answer”: “The homeowner bringing the case must provide sufficient evidence to prove their claims. It is not the HOA’s job to disprove the claims initially; the burden lies with the person filing the petition.”, “alj_quote”: “Petitioner bears the burden of proof to establish that Respondent violated on its CC&Rs 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”: [ “burden of proof”, “evidence”, “legal standard” ] }, { “question”: “What is the ‘preponderance of the evidence’ standard used in these hearings?”, “short_answer”: “It means the claim is more probable than not to be true.”, “detailed_answer”: “This legal standard requires that the evidence presented must convince the judge that the petitioner’s argument is more likely true than the opposing side’s argument. It is described as the ‘greater weight of the evidence.'”, “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”, “topic_tags”: [ “legal standard”, “definitions”, “evidence” ] }, { “question”: “How are vague or ambiguous rules in the CC&Rs interpreted by the judge?”, “short_answer”: “They are construed to give effect to the intent of the parties and the underlying purpose of the document.”, “detailed_answer”: “When interpreting restrictive covenants, the judge looks at the document as a whole. If the covenant is unambiguous, it is enforced exactly as written to match the intent.”, “alj_quote”: ““Restrictive covenants must be construed as a whole and interpreted in view of their underlying purposes, giving effect to all provisions contained therein.””, “legal_basis”: “Powell v. Washburn, 211 Ariz. 553”, “topic_tags”: [ “interpretation”, “CC&Rs”, “legal principles” ] } ] }


Case Participants

Petitioner Side

  • Anthony Payson (petitioner)
    Homeowner

Respondent Side

  • Sean K. Mohnihan (HOA attorney)
    Smith & Wamsley, PLLC
    Appeared for Respondent The Foothills Homeowners Association #1
  • Jason E Smith (attorney)
    Smith & Wamsley, PLLC
    Listed with counsel
  • Gabron (board member)
    The Foothills Homeowners Association #1
    Board representative/potential witness
  • Linda Armo (board member)
    The Foothills Homeowners Association #1
    Board representative/potential witness
  • Philip Brown (former HOA attorney)
    Previously represented the HOA; wrote a letter to Petitioner

Neutral Parties

  • Velva Moses-Thompson (ALJ)
    OAH
  • Susan Nicolson (Commissioner)
    Arizona Department of Real Estate

Other Participants

  • Barry Callahan (neighbor)
    Alleged violator of CC&Rs, neighbor to Petitioner

Clifford S Burnes V. Saguaro Crest Homeowners’ Association

Case Summary

Case ID 23F-H038-REL
Agency ADRE
Tribunal OAH
Decision Date 2023-04-20
Administrative Law Judge Velva Moses-Thompson
Outcome partial
Filing Fees Refunded $1,000.00
Civil Penalties $0.00

Parties & Counsel

Petitioner Clifford S. Burnes Counsel
Respondent Saguaro Crest Homeowners' Association Counsel John T. Crotty, Esq.

Alleged Violations

A.R.S. § 33-1804
A.R.S. § 33-1804

Outcome Summary

Petitioner prevailed on the allegation that Respondent failed to provide notice of the board meeting in violation of A.R.S. § 33-1804, resulting in a refund of $500.00. Respondent prevailed on the allegation that the board meeting was required to be open, as the meeting was properly closed to receive legal advice under a statutory exception.

Why this result: Petitioner lost the open meeting claim because the meeting was protected by the legal advice exception under A.R.S. § 33-1804(A)(1).

Key Issues & Findings

Failure to provide notice of board meeting to members.

Petitioner alleged Respondent conducted an unnoticed board meeting regarding obtaining legal advice. Respondent conceded the meeting was unnoticed. The ALJ concluded Respondent was required to provide notice to members that it would be conducting a board meeting to consider legal advice from an attorney that would be closed to members, and failed to do so.

Orders: Respondent must pay Petitioner the filing fee of $500.00 within thirty (30) days. Respondent is directed to comply with the notice requirements of A.R.S. § 33-1804 going forward.

Filing fee: $500.00, Fee refunded: Yes

Disposition: petitioner_win

Cited:

  • A.R.S. § 33-1804
  • A.R.S. § 33-1804(D)

Board meeting was not open to all members of the association.

Petitioner alleged the meeting, attended by two board members and an attorney, should have been open. Respondent contended the meeting was a permitted closed session to consider legal advice from an attorney regarding reorganization/disbanding, pursuant to A.R.S. § 33-1804(A)(1). The ALJ concluded the meeting was not required to be open because the board members were solely receiving legal advice from an attorney.

Filing fee: $500.00, Fee refunded: No

Disposition: petitioner_loss

Cited:

  • A.R.S. § 33-1804
  • A.R.S. § 33-1804(A)(1)

Analytics Highlights

Topics: HOA, Open Meetings, Notice Requirement, Legal Advice Exception, Planned Communities Act
Additional Citations:

  • A.R.S. § 33-1804
  • A.R.S. § 33-1804(A)(1)
  • A.R.S. § 33-1804(C)
  • A.R.S. § 33-1804(D)
  • A.R.S. § 33-1804(F)
  • A.R.S. § 32-2199(1)

Video Overview

Audio Overview

https://open.spotify.com/episode/6bAhiY5oDOMB75fCbrF53h

Decision Documents

23F-H038-REL Decision – 1036995.pdf

Uploaded 2026-01-23T17:54:41 (52.7 KB)

23F-H038-REL Decision – 1050950.pdf

Uploaded 2026-01-23T17:54:44 (119.2 KB)

Questions

Question

If the HOA board meets with their attorney, do they still have to notify homeowners about the meeting?

Short Answer

Yes. Even if the meeting will be closed for legal advice, the board is legally required to provide notice to the members that the meeting is occurring.

Detailed Answer

The ALJ ruled that while a board can close a meeting to receive legal advice, they cannot skip the notice requirement. The HOA in this case violated the law by failing to provide notice of a board meeting where they obtained legal advice.

Alj Quote

Therefore, the Administrative Law Judge concludes that Respondent violated A.R.S. § 33-1804 when it failed to provide notice to its members of the March 31, 2022 board meeting where it obtained legal advice from an attorney.

Legal Basis

A.R.S. § 33-1804

Topic Tags

  • meetings
  • notice
  • legal advice

Question

Can the HOA board exclude homeowners from a meeting if they are discussing legal advice?

Short Answer

Yes. The board is permitted to close a portion of a meeting if it is limited to considering legal advice from an attorney.

Detailed Answer

The ALJ determined that the HOA did not violate the open meeting law by keeping the meeting closed, because the sole purpose was to receive legal advice. This is a specific exception to the open meeting requirement.

Alj Quote

The Administrative law Judge further concludes that Respondent did not violate A.R.S. § 33-1804 when it failed to make the March 31, 2022 board meeting open to members when the only information discussed and obtained was legal advice from an attorney.

Legal Basis

A.R.S. § 33-1804(A)(1)

Topic Tags

  • meetings
  • exclusions
  • attorney-client privilege

Question

Does a gathering of board members count as a 'meeting' if they are just meeting informally or for a workshop?

Short Answer

Yes. If a quorum of the board meets to discuss association business, even informally, they must follow open meeting and notice laws.

Detailed Answer

The decision cites the statute stating that any quorum meeting informally to discuss business must comply with notice and open meeting provisions, regardless of whether a formal vote is taken.

Alj Quote

Any quorum of the board of directors that meets informally to discuss association business, including workshops, shall comply with the open meeting and notice provisions of this section without regard to whether the board votes or takes any action on any matter at that informal meeting.

Legal Basis

A.R.S. § 33-1804(E)(4)

Topic Tags

  • meetings
  • quorum
  • workshops

Question

If I file a petition against my HOA and win, will the HOA have to reimburse my filing fees?

Short Answer

Yes, the judge can order the HOA to reimburse the filing fee if the homeowner prevails on the issue.

Detailed Answer

In this case, because the homeowner prevailed on the issue regarding the lack of notice, the ALJ ordered the HOA to pay back the $500 filing fee.

Alj Quote

IT IS FURTHER ORDERED that Respondent pay Petitioner his filing fee of $500.00, to be paid directly to Petitioner within thirty (30) days of this Order.

Legal Basis

Order of the ALJ

Topic Tags

  • fees
  • reimbursement
  • penalties

Question

Does a violation of the open meeting law always result in a fine for the HOA?

Short Answer

No. The judge has discretion and may decide that no civil penalty is appropriate even if a violation occurred.

Detailed Answer

Although the HOA was found to have violated the notice statute, the ALJ explicitly stated that no civil penalty was appropriate in this specific matter.

Alj Quote

No Civil Penalty is found to be appropriate in this matter.

Legal Basis

Discretion of ALJ

Topic Tags

  • civil penalty
  • fines
  • enforcement

Question

What legal standard do I have to meet to prove my HOA violated the rules?

Short Answer

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

Detailed Answer

The decision defines the burden of proof as the greater weight of the evidence, sufficient to incline a fair and impartial mind to one side rather than the other.

Alj Quote

Petitioner bears the burden of proof to establish that Respondent violated the CC&Rs by a preponderance of the evidence.

Legal Basis

A.A.C. R2-19-119(A) and (B)(1)

Topic Tags

  • legal standard
  • burden of proof
  • evidence

Case

Docket No
23F-H038-REL
Case Title
Clifford S. Burnes v. Saguaro Crest Homeowners' Association
Decision Date
2023-04-20
Alj Name
Velva Moses-Thompson
Tribunal
OAH
Agency
ADRE

Questions

Question

If the HOA board meets with their attorney, do they still have to notify homeowners about the meeting?

Short Answer

Yes. Even if the meeting will be closed for legal advice, the board is legally required to provide notice to the members that the meeting is occurring.

Detailed Answer

The ALJ ruled that while a board can close a meeting to receive legal advice, they cannot skip the notice requirement. The HOA in this case violated the law by failing to provide notice of a board meeting where they obtained legal advice.

Alj Quote

Therefore, the Administrative Law Judge concludes that Respondent violated A.R.S. § 33-1804 when it failed to provide notice to its members of the March 31, 2022 board meeting where it obtained legal advice from an attorney.

Legal Basis

A.R.S. § 33-1804

Topic Tags

  • meetings
  • notice
  • legal advice

Question

Can the HOA board exclude homeowners from a meeting if they are discussing legal advice?

Short Answer

Yes. The board is permitted to close a portion of a meeting if it is limited to considering legal advice from an attorney.

Detailed Answer

The ALJ determined that the HOA did not violate the open meeting law by keeping the meeting closed, because the sole purpose was to receive legal advice. This is a specific exception to the open meeting requirement.

Alj Quote

The Administrative law Judge further concludes that Respondent did not violate A.R.S. § 33-1804 when it failed to make the March 31, 2022 board meeting open to members when the only information discussed and obtained was legal advice from an attorney.

Legal Basis

A.R.S. § 33-1804(A)(1)

Topic Tags

  • meetings
  • exclusions
  • attorney-client privilege

Question

Does a gathering of board members count as a 'meeting' if they are just meeting informally or for a workshop?

Short Answer

Yes. If a quorum of the board meets to discuss association business, even informally, they must follow open meeting and notice laws.

Detailed Answer

The decision cites the statute stating that any quorum meeting informally to discuss business must comply with notice and open meeting provisions, regardless of whether a formal vote is taken.

Alj Quote

Any quorum of the board of directors that meets informally to discuss association business, including workshops, shall comply with the open meeting and notice provisions of this section without regard to whether the board votes or takes any action on any matter at that informal meeting.

Legal Basis

A.R.S. § 33-1804(E)(4)

Topic Tags

  • meetings
  • quorum
  • workshops

Question

If I file a petition against my HOA and win, will the HOA have to reimburse my filing fees?

Short Answer

Yes, the judge can order the HOA to reimburse the filing fee if the homeowner prevails on the issue.

Detailed Answer

In this case, because the homeowner prevailed on the issue regarding the lack of notice, the ALJ ordered the HOA to pay back the $500 filing fee.

Alj Quote

IT IS FURTHER ORDERED that Respondent pay Petitioner his filing fee of $500.00, to be paid directly to Petitioner within thirty (30) days of this Order.

Legal Basis

Order of the ALJ

Topic Tags

  • fees
  • reimbursement
  • penalties

Question

Does a violation of the open meeting law always result in a fine for the HOA?

Short Answer

No. The judge has discretion and may decide that no civil penalty is appropriate even if a violation occurred.

Detailed Answer

Although the HOA was found to have violated the notice statute, the ALJ explicitly stated that no civil penalty was appropriate in this specific matter.

Alj Quote

No Civil Penalty is found to be appropriate in this matter.

Legal Basis

Discretion of ALJ

Topic Tags

  • civil penalty
  • fines
  • enforcement

Question

What legal standard do I have to meet to prove my HOA violated the rules?

Short Answer

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

Detailed Answer

The decision defines the burden of proof as the greater weight of the evidence, sufficient to incline a fair and impartial mind to one side rather than the other.

Alj Quote

Petitioner bears the burden of proof to establish that Respondent violated the CC&Rs by a preponderance of the evidence.

Legal Basis

A.A.C. R2-19-119(A) and (B)(1)

Topic Tags

  • legal standard
  • burden of proof
  • evidence

Case

Docket No
23F-H038-REL
Case Title
Clifford S. Burnes v. Saguaro Crest Homeowners' Association
Decision Date
2023-04-20
Alj Name
Velva Moses-Thompson
Tribunal
OAH
Agency
ADRE

Case Participants

Petitioner Side

  • Clifford S. Burnes (petitioner; witness)
    Saguaro Crest Homeowners' Association member
    Also known as Clifford (Norm) S. Burnes,; appeared on behalf of himself,.

Respondent Side

  • John T. Crotty (HOA attorney)
    Saguaro Crest Homeowners' Association
    Appeared on behalf of Respondent,.
  • Esmeralda Sarina Ayala-Martinez (board member; witness)
    Saguaro Crest Homeowners' Association
    Also referred to as Esmeralda Sarina-Ayala Martinez or Esmerita Martinez; testified on behalf of Respondent.
  • Dave Madill (board member)
    Saguaro Crest Homeowners' Association
    Vice President; also referred to as Dave Matt or Dave Medil; was one of the two board members who met with the attorney.
  • Joseph Martinez (board member)
    Saguaro Crest Homeowners' Association
    Husband of Esmeralda Sarina Ayala-Martinez; third board member.
  • David A. Melvoy (HOA attorney/legal counsel)
    Saguaro Crest Homeowners' Association
    Provided legal advice during the underlying May 31, 2022, closed meeting; also referred to as David Mackoy, Eoy, or Eway,,.

Neutral Parties

  • Velva Moses-Thompson (ALJ)
    Office of Administrative Hearings
  • Susan Nicolson (ADRE staff)
    Arizona Department of Real Estate
    Recipient of official transmission,.
  • AHansen (ADRE staff)
    Arizona Department of Real Estate
    Recipient of official transmission,.
  • vnunez (ADRE staff)
    Arizona Department of Real Estate
    Recipient of official transmission,.
  • djones (ADRE staff)
    Arizona Department of Real Estate
    Recipient of official transmission,.
  • labril (ADRE staff)
    Arizona Department of Real Estate
    Recipient of official transmission,.

Barbara J. Ryan v. Dragoon Mountain Ranch Phase I Meadows Property

Case Summary

Case ID 23F-H035-REL
Agency ADRE
Tribunal OAH
Decision Date 2023-04-17
Administrative Law Judge Velva Moses-Thompson
Outcome full
Filing Fees Refunded $500.00
Civil Penalties $0.00

Parties & Counsel

Petitioner Barbara J. Ryan Counsel
Respondent Dragoon Mountain Ranch Phase I Meadows Property Owners Association Counsel Jody Corrales, Esq.

Alleged Violations

A.R.S. § 33-1804, A.R.S. § 33-1318, Respondent’s Bylaws sections 7.1, 7.2, 12.1 – 12.3

Outcome Summary

The Petitioner was deemed the prevailing party. The ALJ found the Respondent violated Bylaw section 7.1 by failing to hold an annual members meeting in 2021 and 2022. Respondent was ordered to refund the $500 filing fee and ensure future compliance with Bylaw section 7.1. No civil penalty was imposed.

Why this result: The violation (failure to hold an annual member meeting) was undisputed by the Respondent, and Respondent's counsel conceded there were no legal defenses to this fact.

Key Issues & Findings

Failure to hold an annual members meeting in two years and ignoring members written petitions and requests for a meeting

It was undisputed that the Respondent HOA failed to hold an annual meeting of the members from March 2020 to the time of the hearing. The ALJ found by a preponderance of the evidence that the Respondent violated section 7.1 of its Bylaws.

Orders: Respondent must pay the Petitioner's filing fee of $500.00 within thirty days and is directed to comply with section 7.1 of its Bylaws going forward. No civil penalty was found appropriate.

Filing fee: $500.00, Fee refunded: Yes

Disposition: petitioner_win

Cited:

  • A.R.S. § 33-1804
  • A.R.S. § 33-1318
  • Respondent’s Bylaws sections 7.1
  • Respondent’s Bylaws sections 7.2
  • Respondent’s Bylaws sections 12.1 – 12.3
  • A.R.S. § 32-2199(B)
  • A.R.S. § 33-1803
  • 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. § 41-1092.09

Analytics Highlights

Topics: HOA Annual Meeting, Bylaws Violation, Filing Fee Refund, Administrative Hearing, Planned Community
Additional Citations:

  • A.R.S. § 33-1804
  • A.R.S. § 33-1318
  • Respondent’s Bylaws sections 7.1
  • Respondent’s Bylaws sections 7.2
  • Respondent’s Bylaws sections 12.1 – 12.3
  • A.R.S. § 32-2199(B)
  • A.R.S. § 33-1803
  • 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. § 41-1092.09

Video Overview

Audio Overview

https://open.spotify.com/episode/427Jtvhv86O3eSaVHmEQjV

Decision Documents

23F-H035-REL Decision – 1043132.pdf

Uploaded 2026-01-23T17:54:21 (55.9 KB)

23F-H035-REL Decision – 1048244.pdf

Uploaded 2026-01-23T17:54:24 (37.7 KB)

23F-H035-REL Decision – 1049662.pdf

Uploaded 2026-01-23T17:54:28 (18.7 KB)

23F-H035-REL Decision – 1049665.pdf

Uploaded 2026-01-23T17:54:31 (23.9 KB)

23F-H035-REL Decision – 1049666.pdf

Uploaded 2026-01-23T17:54:36 (87.4 KB)

Questions

Question

Can an HOA skip annual member meetings due to ongoing litigation or bankruptcy proceedings?

Short Answer

No. Legal defenses based on external issues like litigation or bankruptcy may not validate the failure to hold meetings required by bylaws.

Detailed Answer

In this case, the HOA attempted to argue that bankruptcy and litigation prevented them from holding meetings. However, the ALJ noted that the Respondent's own counsel eventually admitted there were no legal defenses for failing to hold the meeting, and the failure was ruled a violation.

Alj Quote

Respondent’s counsel stated that there were no legal defenses to Respondent’s failure to hold a board meeting.

Legal Basis

Bylaws Section 7.1

Topic Tags

  • annual meetings
  • HOA defenses
  • bankruptcy

Question

If I include multiple complaints in my petition but only pay the fee for one, will the judge hear all of them?

Short Answer

No. The Administrative Law Judge will likely only address the specific issue for which the filing fee was paid.

Detailed Answer

The petitioner included allegations regarding failure to respond to requests for special meetings and removal of directors, but because she only paid the $500 fee for one issue (failure to hold annual meetings), the other allegations were not addressed in the decision.

Alj Quote

The petition included other allegations including, but not limited to, the Board failure to respond to requests for a special meeting of members and/or a meeting to remove directors from the Board. However, Petitioner has paid for only one issue.

Legal Basis

Procedural Rule

Topic Tags

  • filing fees
  • petition scope
  • administrative procedure

Question

Does the failure to hold an annual meeting automatically invalidate the HOA's corporate actions?

Short Answer

Not necessarily. Bylaws often contain specific provisions stating that the failure to hold a meeting does not affect the validity of corporate actions.

Detailed Answer

The decision cites a specific section of the HOA's bylaws which explicitly states that missing the fixed time for an annual meeting does not invalidate corporate actions.

Alj Quote

The failure to hold an annual or regular meeting at a time stated in or fixed in accordance with the Bylaws does not affect the validity of any corporate action.

Legal Basis

Bylaws Section 7.1

Topic Tags

  • corporate actions
  • validity
  • bylaws

Question

What standard of proof must a homeowner meet to win a hearing against their HOA?

Short Answer

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

Detailed Answer

The burden is on the petitioner to show that their contention is 'more probably true than not.' It is not based on the number of witnesses but on the convincing force of the evidence.

Alj Quote

Petitioner bears the burden of proof to establish that Respondent violated on its CC&Rs 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

  • burden of proof
  • legal standard
  • evidence

Question

Can I be reimbursed for my filing fee if I win my case against the HOA?

Short Answer

Yes. The ALJ has the authority to order the HOA to pay the filing fee back to the prevailing homeowner.

Detailed Answer

After ruling in favor of the petitioner regarding the failure to hold meetings, the judge ordered the HOA to pay the petitioner the $500 filing fee within 30 days.

Alj Quote

IT IS FURTHER ORDERED that Respondent Dragoon Mountain Ranch Phase I Meadows Property Owners Association must pay to Petitioner her filing fee of $500.00 within thirty days of receipt of this Order.

Legal Basis

Order of the ALJ

Topic Tags

  • reimbursement
  • filing fees
  • penalties

Question

Will the HOA always be fined a civil penalty if they are found to have violated the bylaws?

Short Answer

No. The judge may decide that a civil penalty is not appropriate even if a violation is found.

Detailed Answer

Although the HOA was found to have violated the bylaws by not holding meetings for two years, the judge explicitly declined to assess a civil penalty in this specific matter.

Alj Quote

No Civil Penalty is found to be appropriate in this matter.

Legal Basis

Judicial Discretion

Topic Tags

  • civil penalty
  • fines
  • enforcement

Case

Docket No
23F-H035-REL
Case Title
Barbara J. Ryan vs Dragoon Mountain Ranch Phase I Meadows Property Owners Association
Decision Date
2023-04-17
Alj Name
Velva Moses-Thompson
Tribunal
OAH
Agency
ADRE

Questions

Question

Can an HOA skip annual member meetings due to ongoing litigation or bankruptcy proceedings?

Short Answer

No. Legal defenses based on external issues like litigation or bankruptcy may not validate the failure to hold meetings required by bylaws.

Detailed Answer

In this case, the HOA attempted to argue that bankruptcy and litigation prevented them from holding meetings. However, the ALJ noted that the Respondent's own counsel eventually admitted there were no legal defenses for failing to hold the meeting, and the failure was ruled a violation.

Alj Quote

Respondent’s counsel stated that there were no legal defenses to Respondent’s failure to hold a board meeting.

Legal Basis

Bylaws Section 7.1

Topic Tags

  • annual meetings
  • HOA defenses
  • bankruptcy

Question

If I include multiple complaints in my petition but only pay the fee for one, will the judge hear all of them?

Short Answer

No. The Administrative Law Judge will likely only address the specific issue for which the filing fee was paid.

Detailed Answer

The petitioner included allegations regarding failure to respond to requests for special meetings and removal of directors, but because she only paid the $500 fee for one issue (failure to hold annual meetings), the other allegations were not addressed in the decision.

Alj Quote

The petition included other allegations including, but not limited to, the Board failure to respond to requests for a special meeting of members and/or a meeting to remove directors from the Board. However, Petitioner has paid for only one issue.

Legal Basis

Procedural Rule

Topic Tags

  • filing fees
  • petition scope
  • administrative procedure

Question

Does the failure to hold an annual meeting automatically invalidate the HOA's corporate actions?

Short Answer

Not necessarily. Bylaws often contain specific provisions stating that the failure to hold a meeting does not affect the validity of corporate actions.

Detailed Answer

The decision cites a specific section of the HOA's bylaws which explicitly states that missing the fixed time for an annual meeting does not invalidate corporate actions.

Alj Quote

The failure to hold an annual or regular meeting at a time stated in or fixed in accordance with the Bylaws does not affect the validity of any corporate action.

Legal Basis

Bylaws Section 7.1

Topic Tags

  • corporate actions
  • validity
  • bylaws

Question

What standard of proof must a homeowner meet to win a hearing against their HOA?

Short Answer

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

Detailed Answer

The burden is on the petitioner to show that their contention is 'more probably true than not.' It is not based on the number of witnesses but on the convincing force of the evidence.

Alj Quote

Petitioner bears the burden of proof to establish that Respondent violated on its CC&Rs 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

  • burden of proof
  • legal standard
  • evidence

Question

Can I be reimbursed for my filing fee if I win my case against the HOA?

Short Answer

Yes. The ALJ has the authority to order the HOA to pay the filing fee back to the prevailing homeowner.

Detailed Answer

After ruling in favor of the petitioner regarding the failure to hold meetings, the judge ordered the HOA to pay the petitioner the $500 filing fee within 30 days.

Alj Quote

IT IS FURTHER ORDERED that Respondent Dragoon Mountain Ranch Phase I Meadows Property Owners Association must pay to Petitioner her filing fee of $500.00 within thirty days of receipt of this Order.

Legal Basis

Order of the ALJ

Topic Tags

  • reimbursement
  • filing fees
  • penalties

Question

Will the HOA always be fined a civil penalty if they are found to have violated the bylaws?

Short Answer

No. The judge may decide that a civil penalty is not appropriate even if a violation is found.

Detailed Answer

Although the HOA was found to have violated the bylaws by not holding meetings for two years, the judge explicitly declined to assess a civil penalty in this specific matter.

Alj Quote

No Civil Penalty is found to be appropriate in this matter.

Legal Basis

Judicial Discretion

Topic Tags

  • civil penalty
  • fines
  • enforcement

Case

Docket No
23F-H035-REL
Case Title
Barbara J. Ryan vs Dragoon Mountain Ranch Phase I Meadows Property Owners Association
Decision Date
2023-04-17
Alj Name
Velva Moses-Thompson
Tribunal
OAH
Agency
ADRE

Case Participants

Petitioner Side

  • Barbara J. Ryan (petitioner)
    Appeared on behalf of herself
  • Bill Nethery (witness)
    Meadows Property Association member
    Listed as a witness on Petitioner's petition
  • Damon Rosen (applicant for board vacancy)
    Dragoon Mountain Ranch Phase I Meadows Property Owners Association member
    Individual who submitted a resume to serve on the board

Respondent Side

  • Jody A. Corrales (HOA attorney)
    DeConcini McDonald Yetwin & Lacy
    Represented the Respondent, Dragoon Mountain Ranch Phase I Meadows Property Owners Association
  • Dorothy Marine (board member/witness)
    Dragoon Mountain Ranch Phase I Meadows Property Owners Association
    Director and President of the board; testified at hearing
  • Cindy Celeste (board member)
    Dragoon Mountain Ranch Phase I Meadows Property Owners Association
    Director
  • Jim Kasa (board member)
    Dragoon Mountain Ranch Phase I Meadows Property Owners Association
    Director

Neutral Parties

  • Velva Moses-Thompson (ALJ)
    OAH
    Also introduced herself as Sales Thompson
  • Susan Nicolson (Commissioner)
    Arizona Department of Real Estate
  • 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

  • Gail Olia (former board member)
    Dragoon Mountain Ranch Phase I Meadows Property Owners Association
    Director who resigned; also referred to as Jill Olia
  • Sorl Tate (homeowner)
    Dragoon Mountain Ranch Phase I Meadows Property Owners Association member
    Individual whose prior contentious state court proceeding against the HOA contributed to the bankruptcy

Senol Pekin v. Artesian Ranch Community Association (ROOT)

Case Summary

Case ID 23F-H034-REL
Agency ADRE
Tribunal OAH
Decision Date 2023-04-10
Administrative Law Judge Velva Moses-Thompson
Outcome partial
Filing Fees Refunded $2,500.00
Civil Penalties $0.00

Parties & Counsel

Petitioner Senol Pekin Counsel
Respondent Artesian Ranch Community Association Counsel Ashley N. Moscarello

Alleged Violations

Bylaws Article II Paragraph 2.3
Bylaws Article III Section A Paragraph 3.5, Section B Paragraph 3.7, and Article IV Paragraph 4.2
Bylaws Article III Section B, Article IV Section 6.7(b), Article I Paragraph 1.3
A.R.S. 33-1804(A)
A.R.S. 33-1804

Outcome Summary

Petitioner succeeded on two issues regarding the HOA's failure to hold its annual meeting at the prescribed time and improperly prohibiting the recording of an open session meeting. Respondent prevailed on the remaining three issues, as the ALJ found the bylaws did not require a separate organizational meeting, the community manager acted as an authorized agent to call a meeting, and Petitioner was not denied the opportunity to speak despite being muted at times during a videoconference. Respondent was ordered to refund $1,000 for the two successful issues.

Why this result: Petitioner lost on three issues because the bylaws did not strictly require the organizational meeting to be held separately, the community manager had authority as an agent to organize a meeting, and evidence demonstrated Petitioner was afforded multiple opportunities to speak during the Zoom meeting.

Key Issues & Findings

Annual Meetings

Petitioner alleged the HOA failed to hold its annual meeting at the prescribed time in April 2022.

Orders: Petitioner deemed prevailing party. Respondent ordered to pay Petitioner filing fee of $500 for this issue.

Filing fee: $500.00, Fee refunded: Yes

Disposition: petitioner_win

Organizational Meetings

Petitioner alleged the HOA failed to hold a separate organizational meeting to elect officers.

Orders: Respondent deemed prevailing party.

Filing fee: $500.00, Fee refunded: No

Disposition: petitioner_loss

Authority to Call Board Meeting

Petitioner alleged the HOA manager was not authorized to organize or call a board meeting.

Orders: Respondent deemed prevailing party.

Filing fee: $500.00, Fee refunded: No

Disposition: petitioner_loss

Open Meeting Recording

Petitioner alleged the HOA illegally prohibited homeowners from recording an open board meeting.

Orders: Petitioner deemed prevailing party. Respondent ordered to pay Petitioner filing fee of $500 for this issue.

Filing fee: $500.00, Fee refunded: Yes

Disposition: petitioner_win

Open Meeting Opportunity to Speak

Petitioner alleged the HOA muted participants during a Zoom meeting, preventing them from speaking.

Orders: Respondent deemed prevailing party.

Filing fee: $500.00, Fee refunded: No

Disposition: petitioner_loss

Audio Overview

Decision Documents

23F-H034-REL Decision – 1044665.pdf

Uploaded 2026-03-14T16:46:54 (166.9 KB)

23F-H034-REL Decision – 1048179.pdf

Uploaded 2026-03-14T16:47:02 (105.1 KB)





Briefing Doc – 23F-H034-REL


Briefing on the Dispute Between Senol Pekin and the Artesian Ranch Community Association

Executive Summary

This document synthesizes the key arguments, evidence, and outcomes from a consolidated administrative hearing concerning five allegations brought by homeowner and board member Senol Pekin against the Artesian Ranch Community Association (HOA). The dispute centers on alleged violations of the association’s bylaws and Arizona state statutes regarding the scheduling and conduct of board meetings.

The Administrative Law Judge (ALJ) found the HOA in violation on two of the five issues: failing to hold its 2022 annual meeting on the date prescribed by the bylaws and improperly prohibiting the recording of an open board meeting in October 2022. The HOA was ordered to reimburse the petitioner’s filing fees of $1,000 for these violations.

The ALJ found in favor of the HOA on the remaining three issues. It concluded that the organizational meeting process was compliant with the bylaws, that a September 2022 board meeting was properly called by the HOA manager acting as an agent of the board, and that the petitioner failed to prove he was denied the opportunity to speak during the October 2022 meeting despite being muted at times. No civil penalties were deemed appropriate.

——————————————————————————–

I. Allegation 1: Improper Annual Meeting Date

Outcome: Violation Found

The petitioner prevailed on the allegation that the HOA violated its bylaws by holding the 2022 annual meeting in May, rather than on the mandated date.

Aspect

Details

Petitioner’s Allegation

The HOA violated Bylaws Article II, Paragraph 2.3, which requires the annual meeting to be held on the second Wednesday of April each year.

Respondent’s Defense

The Community Manager, Mandy Rogers, testified that upon taking over the account in January 2022, she presented a draft calendar to the prior board. The board chose the May date, following a “cadence” established in previous years. She noted the 2021 meeting was moved to August due to COVID-19, and the 2019 meeting was also not in April.

Supporting Testimony

Mandy Rogers: Acknowledged awareness that the annual meeting is supposed to be in April. She stated, “Your annual meeting for the past 3 years was on the wrong date per the bylaw.” She confirmed the 2023 meeting was correctly scheduled for April.
Mandy Rogers: Explained her process for the 2022 calendar: “I looked at when their last annual meeting was and it was in August of 2021. So on that draft calendar, I said, ‘Do you want your meeting in August of 2022?’ And they said, ‘No, we traditionally have it in May.’ And I said, ‘Okay, you guys choose a date and a time that works for you.'”

ALJ Conclusion

The evidence showed the HOA failed to hold its meeting on the required date. The ALJ noted that while A.R.S. § 10-3701(e) states that failure to hold a timely meeting does not invalidate corporate action, it “does not provide an exception to the adherence to Bylaws that require a set time for an annual meeting.”

II. Allegation 2: Improper Organizational Meeting

Outcome: Violation Not Found

The petitioner failed to prove that the HOA violated bylaws regarding the scheduling and format of the organizational meeting.

Aspect

Details

Petitioner’s Allegation

The HOA did not elect officers in an “exclusively and timely scheduled Organizational Meeting” as required by its bylaws (Article III, Section 3.5 and 3.7). The petitioner argued the meeting should be a standalone event held shortly after directors take office on January 1st.

Respondent’s Defense

The organizational meeting was held during the August 2022 board meeting, which was the next scheduled open session after the May election. This delay was to allow for new board member training to be completed, as required by the bylaws. The bylaws mandate a meeting “within a reasonable time” and do not require it to be “exclusive.”

Supporting Testimony

Mandy Rogers: “Your organizational meeting was specifically scheduled for the next open session board meeting which was in August. That was also to satisfy that your bylaws say that all board training should be done prior to that meeting.” She confirmed that the new director (Pekin) received training via Zoom and was provided a board book and access to the online platform.
Susanne Roskens (Board President): Confirmed that officer positions were discussed and voted on by the three present directors during the August meeting.

ALJ Conclusion

The bylaws do not require the organizational meeting to be held separately from a regular board meeting. The ALJ also noted that the Community Manager may act as an agent of the board.

Sub-Issue: Director Term Start Date

A significant point of contention was a bylaw provision (Section 3.5) stating that elected directors take office on January 1st of the following year.

Mandy Rogers’ Testimony: She described this provision as highly unusual and professionally unheard of. “I’ve never seen governing documents that call out that you have an election in April and don’t take office until January. That’s unheard of.” She stated the association attorney was reviewing the provision.

Association Practice: Board President Susanne Roskens testified that the association has never had directors wait until January to take office.

III. Allegation 3: Improperly Called September 2022 Board Meeting

Outcome: Violation Not Found

The petitioner failed to prove that the September 22, 2022 board meeting was improperly called by the HOA Manager.

Aspect

Details

Petitioner’s Allegation

The HOA Manager, Mandy Rogers, who is not a board member, was not authorized to call a board meeting. An email from her stated, “I’m scheduling a board meeting.”

Respondent’s Defense

The meeting was necessary to approve a time-sensitive landscaping and overseeding contract, as unanimous email approval could not be achieved. Board President Susanne Roskens verbally directed Mandy Rogers to schedule the meeting. The petitioner himself had requested a meeting on the topic in prior emails, and the third director, Dennis Burger, confirmed his support for the meeting in writing.

Supporting Testimony

Mandy Rogers: “I spoke to your board president and at your request to schedule a meeting… I was given the directive to schedule it.”
Susanne Roskens: “I discussed it with Mandy via a phone call and asked if we could have a meeting to get clarification so that we could move forward.”
Exhibit I (Email Chain): This exhibit shows the petitioner requesting a meeting to discuss the topic, Mandy Rogers subsequently scheduling the meeting, the petitioner objecting to her authority, and Dennis Burger responding, “I’m confused meaning [Susanne] wants the meeting and ask her to set it up.”

ALJ Conclusion

The meeting was properly initiated. Ms. Rogers, as an employee of the Community Manager, may act as an agent of the Board.

IV. Allegation 4: Prohibition of Recording (October 24, 2022)

Outcome: Violation Found

The petitioner prevailed on the allegation that the HOA violated Arizona statute by prohibiting the recording of an open session meeting.

Aspect

Details

Petitioner’s Allegation

The HOA violated A.R.S. § 33-1804(A) by prohibiting the recording of the open session meeting on October 24, 2022.

Respondent’s Defense

Mandy Rogers stated she made the announcement based on advice from the association attorney following a contentious executive session that preceded the open meeting. She also testified that the board requires advance notice of recording. The defense also argued the issue was moot because the petitioner recorded the meeting regardless.

Supporting Testimony

Mandy Rogers: “A statement was made at the beginning of the session so the board could handle board business.” When asked who gave the direction to prohibit recording, she stated it was the attorney.
Shelly Nelson (Witness): Confirmed she remembered the association prohibiting recording of the open meeting.
Sherry Swanson (Witness): Confirmed, “The meeting started that way that she said you should not record.”

ALJ Conclusion

The preponderance of evidence shows that the HOA violated A.R.S. § 33-1804 when it informed homeowners they were not allowed to record the board meeting.

V. Allegation 5: Muting and Silencing Opposition (October 24, 2022)

Outcome: Violation Not Found

The petitioner failed to prove that he was prevented from speaking for the opposing side during the October 24, 2022 meeting.

Aspect

Details

Petitioner’s Allegation

During the Zoom meeting, the HOA muted the petitioner, preventing him from voicing opposition on issues, in violation of A.R.S. § 33-1804.

Respondent’s Defense

Mandy Rogers admitted to muting the petitioner but justified it on several grounds: he was being “combative,” speaking over others, and bringing up confidential executive session topics in an open forum. His camera was off and he was self-muted at times, creating confusion about his presence and participation.

Witness Testimony

Shelly Nelson: Did not perceive the petitioner’s behavior as combative. She described the overall tone of the meeting as “antagonistic” and felt “decisions were foregone conclusions.”
Sherry Swanson: Perceived both the petitioner and Mandy Rogers as “very argumentative.” She stated the petitioner “did come across very argumented from the beginning of the meeting” and came in “hotheaded.”

ALJ Conclusion

Petitioner failed to establish a violation by a preponderance of the evidence. The ALJ noted, “the evidence shows that Petitioner had several times to speak during the board meeting.”


Case Participants

Petitioner Side

  • Senol Pekin (petitioner/board member)
    Director of Artesian Ranch Community Association Board
  • Julie Willowby (witness)
    Testified for Petitioner; Former Board President
  • Shelley Nelson (witness)
    Testified for Petitioner; Resident, daughter of homeowners John and Muriel Nelson
  • Sherry Swanson (witness)
    Testified for Petitioner; Homeowner

Respondent Side

  • Ashley N. Moscarello (HOA attorney)
    goodlaw.legal
  • Mandy Rogers (property manager)
    AAM, LLC
    Community Manager for Artesian Ranch
  • Susanne Easterday Roskens (board member)
    Director/Board President of Artesian Ranch Community Association Board
  • Dennis Burger (board member)
    Director of Artesian Ranch Community Association Board
  • Danielle Rancher (property manager)
    AM/AAM
    Mandy Rogers' manager/boss
  • Sandra Carlson (administrative staff)
    AAM
    Takes meeting minutes
  • Amanda Sha (CEO/President)
    AAM
    Founder of AAM; filed annual report update

Neutral Parties

  • Velva Moses-Thompson (ALJ)
    OAH
  • Susan Nicolson (Commissioner)
    ADRE

Other Participants

  • Brock (resident/prior board member)
  • John Nelson (homeowner)
    Artesian Ranch
    Father of Shelley Nelson
  • Muriel Nelson (homeowner)
    Artesian Ranch
    Mother of Shelley Nelson
  • Rick Beaver (homeowner/candidate)
    Artesian Ranch
    Homeowner appealing decision and running for board
  • Brandon (vendor)
    Terra Verde

Deborah Masear v. Paradise Park Condominiums Phase II Homeowners

Case Summary

Case ID 22F-H2222057-REL
Agency ADRE
Tribunal OAH
Decision Date 2022-10-05
Administrative Law Judge Velva Moses-Thompson
Outcome loss
Filing Fees Refunded $0.00
Civil Penalties $0.00

Parties & Counsel

Petitioner Deborah Mesear Counsel
Respondent Paradise Park Condominiums Phase II Homeowners Association Counsel Ashley N. Moscarello, Esq.

Alleged Violations

A.R.S. § 33-1243(J)

Outcome Summary

The petition filed by the homeowner against the HOA was dismissed because the homeowner failed to prove the HOA violated A.R.S. § 33-1243(J) regarding financial reporting.

Why this result: The Petitioner failed to establish that the Association violated the applicable statute by a preponderance of the evidence, resulting in the dismissal of the petition.

Key Issues & Findings

Violation of HOA statutory duty to provide annual financial reports (audit, review, or compilation)

Petitioner alleged the HOA failed to share an annual audit/compilation for 2017-2021. The ALJ found the HOA provided financial compilations for 2017-2020 after the petition was filed. The claim regarding 2021 was found to be premature because the financial compilation was not yet due when the petition was filed on May 29, 2022.

Orders: The petition is dismissed.

Filing fee: $0.00, Fee refunded: No

Disposition: petitioner_loss

Cited:

  • A.R.S. § 33-1243(J)
  • A.R.S. § 33-1810

Analytics Highlights

Topics: Condominium Act, Financial Records, Compilation, Statutory Compliance, HOA Management
Additional Citations:

  • A.R.S. § 33-1243(J)
  • A.R.S. § 33-1810
  • A.R.S. § 32-2199(1)
  • A.R.S. § 32-2199.02(B)
  • A.R.S. § 41-1092.09

Video Overview

Audio Overview

Decision Documents

22F-H2222057-REL Decision – 1003891.pdf

Uploaded 2026-01-23T17:48:33 (95.1 KB)

22F-H2222057-REL Decision – 988206.pdf

Uploaded 2026-01-23T17:48:37 (57.1 KB)

22F-H2222057-REL Decision – 989133.pdf

Uploaded 2026-01-23T17:48:39 (50.1 KB)

22F-H2222057-REL Decision – 994978.pdf

Uploaded 2026-01-23T17:48:42 (50.8 KB)

Questions

Question

Is my condo HOA legally required to perform a full financial audit every year?

Short Answer

Not necessarily; a review or compilation is often sufficient unless the governing documents specifically require an audit.

Detailed Answer

Under Arizona law for condominiums, an association is not required to perform a full audit unless the specific condominium documents demand it. The law allows for an audit, a review, or a compilation.

Alj Quote

Unless any provision in the condominium documents requires an annual audit by a certified public accountant, the board of directors shall provide for an annual financial audit, review or compilation of the association.

Legal Basis

A.R.S. § 33-1243(J)

Topic Tags

  • Financial Reports
  • Audits
  • HOA Obligations

Question

What is the deadline for the HOA to complete the annual financial report?

Short Answer

The report must be completed no later than 180 days after the end of the fiscal year.

Detailed Answer

The association has a statutory window of 180 days following the close of the fiscal year to complete the required financial audit, review, or compilation.

Alj Quote

The audit, review or compilation shall be completed no later than one hundred eighty days after the end of the association's fiscal year

Legal Basis

A.R.S. § 33-1243(J)

Topic Tags

  • Deadlines
  • Financial Reports
  • Procedural Requirements

Question

Once the financial report is finished, how soon must the HOA provide it to me?

Short Answer

The HOA must make it available within 30 days of its completion upon request.

Detailed Answer

After the financial document (audit, review, or compilation) is completed, the association is legally obligated to make it available to unit owners who request it within a 30-day window.

Alj Quote

and shall be made available on request to the unit owners within thirty days after its completion.

Legal Basis

A.R.S. § 33-1243(J)

Topic Tags

  • Homeowner Rights
  • Transparency
  • Financial Reports

Question

Can I file a complaint against my HOA for failing to provide a financial report before the 180-day deadline has passed?

Short Answer

No, a complaint filed before the deadline is considered premature (not ripe).

Detailed Answer

If a homeowner files a petition regarding a missing financial report before the statutory 180-day period has elapsed, the issue is not yet ripe for adjudication because the obligation is not yet due.

Alj Quote

Moreover, the issue of whether the Association complied with A.R.S. section 33-1243 for year 2021 was not yet ripe at the time that Ms. Mesear filed her May 29, 2022 petition, because a financial compilation was not yet due.

Legal Basis

Ripeness Doctrine

Topic Tags

  • Legal Procedures
  • Filing Disputes
  • Deadlines

Question

Who is responsible for proving that the HOA violated the law in a hearing?

Short Answer

The homeowner (Petitioner) bears the burden of proof.

Detailed Answer

In an administrative hearing regarding HOA disputes, the petitioner must prove their case by a preponderance of the evidence.

Alj Quote

Petitioner bears the burden of proof to establish that Respondent violated the A.R.S. section 33-1243(J) by a preponderance of the evidence.

Legal Basis

Burden of Proof

Topic Tags

  • Legal Standards
  • Hearing Procedures

Question

What standard of proof is used in these administrative hearings?

Short Answer

Preponderance of the evidence.

Detailed Answer

This standard requires evidence that is sufficient to incline a fair and impartial mind to one side rather than the other, making the contention more probably true than not.

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

Evidentiary Standard

Topic Tags

  • Legal Standards
  • Evidence

Question

If I live in a condominium, can I cite the Planned Communities statutes (A.R.S. § 33-1810) in my complaint?

Short Answer

No, condominiums are governed by the Condominium Act, specifically A.R.S. § 33-1243(J) for financials.

Detailed Answer

While the requirements may be similar, the specific statute for planned communities does not apply to condominiums. Condominium owners must cite the applicable Condominium Act statutes.

Alj Quote

A.R.S. section 33-1810 applies to planned communities and does not apply to the Association. However, A.R.S. section 33-1243(J) applies to condominiums

Legal Basis

A.R.S. § 33-1243(J)

Topic Tags

  • Jurisdiction
  • Statutes
  • Condominiums

Case

Docket No
22F-H2222057-REL
Case Title
Deborah Mesear vs Paradise Park Condominiums Phase II Homeowners Association
Decision Date
2022-10-05
Alj Name
Velva Moses-Thompson
Tribunal
OAH
Agency
ADRE

Questions

Question

Is my condo HOA legally required to perform a full financial audit every year?

Short Answer

Not necessarily; a review or compilation is often sufficient unless the governing documents specifically require an audit.

Detailed Answer

Under Arizona law for condominiums, an association is not required to perform a full audit unless the specific condominium documents demand it. The law allows for an audit, a review, or a compilation.

Alj Quote

Unless any provision in the condominium documents requires an annual audit by a certified public accountant, the board of directors shall provide for an annual financial audit, review or compilation of the association.

Legal Basis

A.R.S. § 33-1243(J)

Topic Tags

  • Financial Reports
  • Audits
  • HOA Obligations

Question

What is the deadline for the HOA to complete the annual financial report?

Short Answer

The report must be completed no later than 180 days after the end of the fiscal year.

Detailed Answer

The association has a statutory window of 180 days following the close of the fiscal year to complete the required financial audit, review, or compilation.

Alj Quote

The audit, review or compilation shall be completed no later than one hundred eighty days after the end of the association's fiscal year

Legal Basis

A.R.S. § 33-1243(J)

Topic Tags

  • Deadlines
  • Financial Reports
  • Procedural Requirements

Question

Once the financial report is finished, how soon must the HOA provide it to me?

Short Answer

The HOA must make it available within 30 days of its completion upon request.

Detailed Answer

After the financial document (audit, review, or compilation) is completed, the association is legally obligated to make it available to unit owners who request it within a 30-day window.

Alj Quote

and shall be made available on request to the unit owners within thirty days after its completion.

Legal Basis

A.R.S. § 33-1243(J)

Topic Tags

  • Homeowner Rights
  • Transparency
  • Financial Reports

Question

Can I file a complaint against my HOA for failing to provide a financial report before the 180-day deadline has passed?

Short Answer

No, a complaint filed before the deadline is considered premature (not ripe).

Detailed Answer

If a homeowner files a petition regarding a missing financial report before the statutory 180-day period has elapsed, the issue is not yet ripe for adjudication because the obligation is not yet due.

Alj Quote

Moreover, the issue of whether the Association complied with A.R.S. section 33-1243 for year 2021 was not yet ripe at the time that Ms. Mesear filed her May 29, 2022 petition, because a financial compilation was not yet due.

Legal Basis

Ripeness Doctrine

Topic Tags

  • Legal Procedures
  • Filing Disputes
  • Deadlines

Question

Who is responsible for proving that the HOA violated the law in a hearing?

Short Answer

The homeowner (Petitioner) bears the burden of proof.

Detailed Answer

In an administrative hearing regarding HOA disputes, the petitioner must prove their case by a preponderance of the evidence.

Alj Quote

Petitioner bears the burden of proof to establish that Respondent violated the A.R.S. section 33-1243(J) by a preponderance of the evidence.

Legal Basis

Burden of Proof

Topic Tags

  • Legal Standards
  • Hearing Procedures

Question

What standard of proof is used in these administrative hearings?

Short Answer

Preponderance of the evidence.

Detailed Answer

This standard requires evidence that is sufficient to incline a fair and impartial mind to one side rather than the other, making the contention more probably true than not.

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

Evidentiary Standard

Topic Tags

  • Legal Standards
  • Evidence

Question

If I live in a condominium, can I cite the Planned Communities statutes (A.R.S. § 33-1810) in my complaint?

Short Answer

No, condominiums are governed by the Condominium Act, specifically A.R.S. § 33-1243(J) for financials.

Detailed Answer

While the requirements may be similar, the specific statute for planned communities does not apply to condominiums. Condominium owners must cite the applicable Condominium Act statutes.

Alj Quote

A.R.S. section 33-1810 applies to planned communities and does not apply to the Association. However, A.R.S. section 33-1243(J) applies to condominiums

Legal Basis

A.R.S. § 33-1243(J)

Topic Tags

  • Jurisdiction
  • Statutes
  • Condominiums

Case

Docket No
22F-H2222057-REL
Case Title
Deborah Mesear vs Paradise Park Condominiums Phase II Homeowners Association
Decision Date
2022-10-05
Alj Name
Velva Moses-Thompson
Tribunal
OAH
Agency
ADRE

Case Participants

Petitioner Side

  • Deborah Mesear (petitioner, witness)
    Also appears as Deborah Masear and Deborah Mesier in the sources.

Respondent Side

  • Ashley N. Moscarello (HOA attorney)
    Goodman Holmgren Law Group
    Also appears as Ashley Moscarello, Esq. and Ashley Carillo.
  • Carl Westlund (property manager, witness)
    The Management Trust
    Community manager for Paradise Park Condominiums Phase II Homeowners Association.
  • Mark A. Holmgren (HOA attorney)
    Goodman Holmgren Law Group

Neutral Parties

  • Velva Moses-Thompson (ALJ)
    Office of Administrative Hearings
  • Louis Dettorre (ADRE Commissioner)
    Arizona Department of Real Estate
  • A. Hansen (ADRE staff)
    Arizona Department of Real Estate
    Listed as administrative contact (Attn:).
  • V. Nunez (ADRE staff)
    Arizona Department of Real Estate
    Listed as administrative contact (Attn:).
  • D. Jones (ADRE staff)
    Arizona Department of Real Estate
    Listed as administrative contact (Attn:).
  • L. Abril (ADRE staff)
    Arizona Department of Real Estate
    Listed as administrative contact (Attn:).

Other Participants

  • Miranda Alvarez (legal secretary)
    Signed transmission notice.
  • c. serrano (legal secretary)
    Signed transmission notice.

Anthony T Horn v. Sun Lakes Homeowners Association #1, Inc.

Note: A Rehearing was requested for this case. The dashboard statistics reflect the final outcome of the rehearing process.

Case Summary

Case ID 22F-H2221017-REL-RHG
Agency ADRE
Tribunal OAH
Decision Date 2022-08-22
Administrative Law Judge Velva Moses-Thompson
Outcome loss
Filing Fees Refunded $500.00
Civil Penalties $0.00

Parties & Counsel

Petitioner Anthony T Horn Counsel
Respondent Sun Lakes Homeowners Association #1, Inc. Counsel Emily H. Mann, Esq.

Alleged Violations

A.R.S. § 33-1804(F)

Outcome Summary

The Administrative Law Judge dismissed the Petitioner's single-issue petition, finding that the Respondent HOA did not violate A.R.S. § 33-1804(F) regarding the July 6, 2021 board meeting, and alternatively, any potential violation was cured by the proper notice and vote taken at the November 9, 2021 board meeting.

Why this result: The ALJ concluded that the HOA properly notified members of the matter to be discussed at the July 6, 2021 meeting (tennis court upgrade/repair). Furthermore, any potential violation was cured by the explicit notice and second unanimous vote taken at the November 9, 2021 board meeting.

Key Issues & Findings

Open Meetings/Notice/Ability to Speak (July 6, 2021 Board Meeting)

Petitioner alleged the HOA violated ARS 33-1804(F) because the July 6, 2021 agenda item 'Tennis Courts Upgrade & Repair' did not adequately disclose the conversion of one tennis court into four pickleball courts. The ALJ found the initial notice was sufficient, and alternatively, any violation was cured by a subsequent November 9, 2021 meeting with explicit notice and a second vote.

Orders: The Administrative Law Judge concluded that the Respondent did not violate A.R.S. § 33-1804(F) with respect to the July 6, 2021 board meeting. Petitioner's petition was dismissed.

Filing fee: $500.00, Fee refunded: No

Disposition: respondent_win

Cited:

  • ARS 33-1804(F)

Analytics Highlights

Topics: HOA Open Meeting Violation, Notice and Agenda Requirement, Cure Doctrine, Tennis Court Conversion, Pickleball
Additional Citations:

  • A.R.S. § 33-1804(F)
  • A.R.S. § 32-2199(B)
  • 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. § 33-1803

Video Overview

Audio Overview

Decision Documents

22F-H2221017-REL-RHG Decision – 964044.pdf

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22F-H2221017-REL-RHG Decision – 970320.pdf

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22F-H2221017-REL-RHG Decision – 982006.pdf

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22F-H2221017-REL-RHG Decision – 982097.pdf

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Briefing Doc – 22F-H2221017-REL-RHG


Briefing Document: Horn v. Sun Lakes Homeowners Association #1, Inc.

Executive Summary

This document synthesizes the legal dispute, procedural history, and final judgment in the case of Anthony T. Horn (Petitioner) versus Sun Lakes Homeowners Association #1, Inc. (Respondent), adjudicated by the Arizona Office of Administrative Hearings. The core of the dispute centers on the petitioner’s allegation that the respondent violated Arizona Revised Statutes (A.R.S.) § 33-1804(F) by failing to provide adequate notice for its July 6, 2021, Board of Directors meeting.

The petitioner claimed that the agenda item “Tennis Courts Upgrade & Repair” was insufficient to inform members of the board’s plan to convert a tennis court into four pickleball courts, a decision that “blindsided” affected homeowners. In response, the HOA maintained a two-pronged defense: first, that the notice was legally sufficient, and second, that any potential procedural error was “unequivocally cured” by a subsequent board meeting on November 9, 2021, which featured an explicit agenda item detailing the conversion and at which the petitioner was present.

Following an initial dismissal and a subsequent rehearing, Administrative Law Judge Velva Moses-Thompson strictly limited the scope of the proceedings to the single alleged statutory violation. Ultimately, the judge dismissed the petition, issuing a definitive two-part ruling: 1) the notice for the July 6, 2021, meeting did comply with state law, and 2) even if it had not, the violation was cured by the actions taken for the November 9, 2021, meeting.

Case Overview

Parties Involved

Name / Entity

Petitioner

Anthony T. Horn

Respondent

Sun Lakes Homeowners Association #1, Inc.

Respondent Counsel

Emily H. Mann, Esq.

Presiding Judge

Administrative Law Judge Velva Moses-Thompson

Case Chronology

July 6, 2021: The HOA Board of Directors holds an open meeting and unanimously approves “Motion 3: Tennis Courts Upgrade & Repair,” which includes the conversion of one tennis court to four pickleball courts.

August 2021: Petitioner Anthony T. Horn files a dispute regarding the meeting.

October 13, 2021: The Arizona Department of Real Estate receives Horn’s formal petition alleging a violation of A.R.S. § 33-1804(F).

November 9, 2021: The HOA holds a second board meeting to vote again on the conversion. The agenda explicitly details the plan, and the board unanimously re-approves it. Horn attends this meeting.

February 15, 2022: The Administrative Law Judge (ALJ) grants the HOA’s motion for summary judgment and dismisses the petition due to a lack of response from the petitioner.

Post-February 15, 2022: Horn files a timely request for a rehearing.

May 26, 2022: A telephonic pre-hearing conference is held to clarify issues and the scope of the rehearing.

July 6, 2022: The ALJ issues an order limiting the rehearing to the single alleged violation concerning the July 6, 2021, meeting, while allowing the HOA’s “cure” defense related to the November 9 meeting.

August 1, 2022: The evidentiary rehearing is conducted.

August 22, 2022: The ALJ issues a final decision dismissing the petitioner’s petition.

Core Legal Dispute: A.R.S. § 33-1804(F)

The central legal question revolved around compliance with A.R.S. § 33-1804(F), which establishes the state’s policy on open meetings for planned communities. The statute requires that:

“…notices and agendas be provided for those meetings that contain the information that is reasonably necessary to inform the members of the matters to be discussed or decided and to ensure that members have the ability to speak after discussion of agenda items, but before a vote of the board of directors or members is taken.”

The statute further mandates that its provisions be construed “in favor of open meetings.”

Petitioner’s Position and Arguments (Anthony T. Horn)

Primary Allegation: Insufficient Notice

The petitioner’s case was predicated on the argument that the agenda for the July 6, 2021, meeting was misleading. The motion was described as: Motion 3: Tennis Courts Upgrade & Repair – Fiscal Impact $76,439 from the Reserve Fund. Horn contended that this language failed to inform homeowners of the board’s intent to make a “major change” by converting a tennis court to pickleball courts.

Key Quote: During the rehearing, Horn described his reaction at the July 6 meeting: “We were shocked. Just a complete uh something coming from the left field. We had no idea that anything like this was planned.”

Argument Against the “Cure” Defense

Horn argued that the November 9, 2021, meeting should not be considered a valid cure because it only occurred as a direct result of his formal dispute. He framed this as an unfair “catch 22.”

Key Quote: In his closing argument, Horn stated: “The only reason that November 9th meeting and that motion ever showed up there was because of my dispute. So, it’s kind of a catch 22. Uh you in other words, I file a dispute and then they just change the language and then my dispute is nullified and I just lose my $500 and go away. That ain’t fair.”

Ancillary Issues Ruled Out of Scope

Throughout the proceedings, Horn attempted to introduce several related grievances, which the ALJ consistently ruled were outside the narrow scope of his single-issue petition. These included:

• Allegations of discrimination, claiming pickleball members were included in vendor discussions while tennis club members were excluded.

• Concerns about the HOA’s method of communication, arguing that “eblasts” are inappropriate for a senior community and that mail or hand delivery should be used.

• Disagreement with the soundness of the board’s decision itself.

Respondent’s Position and Defense (Sun Lakes HOA)

Defense of the July 6 Meeting

The HOA, through its counsel Emily Mann and witness Kelly Haynes, argued that the notice for the July 6 meeting was fully compliant with the statute. The term “upgrade and repair” was deemed sufficient to encompass the conversion. They presented the petitioner’s own attendance at the meeting as prime evidence that the notice was effective in informing members that tennis courts would be a topic of discussion.

Affirmative Defense of “Cure”

The HOA’s primary defense was that, even assuming a procedural flaw in the first meeting’s notice, the error was “unequivocally cured” by the November 9, 2021, meeting. The notice for that meeting was explicit: Motion #3 – Clarification of Motion 3 of the July 6, 2021 Board Meeting – Conversion of Court 1 to four Permanent Pickleball Courts. The petitioner attended, members were given the opportunity to speak, and the board voted again, removing any ambiguity.

Characterization of Petitioner’s Motive

Respondent’s counsel portrayed the petition as being driven by dissatisfaction with the board’s decision rather than a genuine concern for procedural integrity. It was noted that the association had spent thousands of dollars defending the petition and had twice offered to pay Horn $500—the maximum penalty available—to resolve the matter, both of which he rejected.

Key Quote: In her opening statement, counsel stated: “This hearing today is about Mr. Horn seeking revenge against the association for the tennis court conversion. He couldn’t stop the conversion from taking place. So punishing the association by filing a meritless petition was the next best thing.”

Final Decision and Rationale

In the final decision dated August 22, 2022, ALJ Velva Moses-Thompson dismissed the petition. The ruling was based on a two-part conclusion that fully supported the respondent’s position.

1. The July 6 Notice Was Sufficient: The ALJ concluded that the “preponderance of the evidence” showed the notice provided the “information that was reasonably necessary.” The decision explicitly states: “Sun Lakes was not required to specify the method of upgrade: a conversion to pickleball courts.”

2. The Violation, If Any, Was Cured: The decision further established that, even if the first notice had been deficient, the HOA rectified the situation. “Even if Sun Lakes had violated A.R.S. § 33-1804(F) with respect to the July 6, 2021, Sun Lakes cured the violation when it provided timely notice that the tennis court conversion would be discussed and voted on at the November 9, 2021 board meeting.”

Based on these findings, the order was issued: “IT IS ORDERED that Petitioner Anthony T. Horn’s petition against Sun Lakes Homeowners Association #1, Inc., is dismissed.”






Study Guide – 22F-H2221017-REL-RHG


Study Guide: Horn v. Sun Lakes Homeowners Association #1, Inc.

This guide provides a detailed review of the administrative case between Petitioner Anthony T. Horn and Respondent Sun Lakes Homeowners Association #1, Inc. It includes a quiz to test comprehension, essay questions for deeper analysis, and a glossary of key terms found within the case documents.

Short-Answer Quiz

Answer the following questions in 2-3 sentences each, based solely on the provided source documents.

1. What was the specific statute and section that Petitioner Anthony T. Horn alleged the Sun Lakes HOA violated?

2. Describe the central disagreement over the agenda for the July 6, 2021, board meeting.

3. What was the Respondent’s primary legal defense, arguing that even if a violation occurred, it was later corrected?

4. Why was Mr. Horn’s initial petition dismissed in February 2022, leading to a request for a rehearing?

5. What ruling did the Administrative Law Judge make during the pre-hearing conference regarding Mr. Horn’s desire to introduce evidence of discrimination?

6. According to testimony, what methods did the Sun Lakes HOA use to provide notice of its board meetings to the membership?

7. What key difference existed between the agenda for the July 6, 2021 meeting and the agenda for the November 9, 2021 meeting?

8. During the August 1, 2022 rehearing, what was the fate of subpoenas that had been issued for the original, vacated hearing?

9. What was the Administrative Law Judge’s final conclusion in the August 22, 2022 decision regarding the alleged violation?

10. What did the Respondent’s counsel, Emily Mann, suggest was Mr. Horn’s true motivation for pursuing the petition?

——————————————————————————–

Answer Key

1. The petitioner, Anthony T. Horn, alleged that the Sun Lakes Homeowners Association #1, Inc. had violated Arizona Revised Statutes (A.R.S.) § 33-1804(F). This statute pertains to the policy of open meetings and the requirement that notices and agendas contain information reasonably necessary to inform members of matters to be discussed.

2. The central disagreement was whether the agenda item “Motion 3: Tennis Courts Upgrade & Repair” provided sufficient notice that the board would be discussing and voting on the conversion of a tennis court into four pickleball courts. Mr. Horn argued this description was misleading and withheld critical information, while the HOA contended it was adequate.

3. The Respondent’s primary defense was that any potential procedural error or lack of clarity in the July 6, 2021 meeting notice was “unequivocally cured.” They argued this cure was accomplished through a subsequent board meeting on November 9, 2021, which had a more explicit agenda item about the court conversion.

4. The initial petition was dismissed because the Petitioner, Anthony T. Horn, did not file a response to the Respondent’s Motion for Summary Judgment, Motion to Dismiss, and Motion for Summary Disposition. The Administrative Law Judge granted these motions, leading Mr. Horn to file for a rehearing.

5. The judge ruled that the issue of alleged discrimination was a separate legal matter from the alleged violation of A.R.S. § 33-1804(F). To include the discrimination claim, Mr. Horn would have to file a separate petition and pay an additional $500 filing fee.

6. General Manager Kelly Haynes testified that the HOA provided notice via e-blasts to members who signed up for them, posting on monitors in the clubhouse, inclusion in the monthly newsletter (“The Laker”), and posting on the association’s website.

7. The agenda for the July 6 meeting listed “Tennis Courts Upgrade & Repair.” In contrast, the agenda for the November 9 meeting provided a much more specific item: “Clarification of Motion 3 of the July 6, 2021 Board Meeting – Conversion of Court 1 to four Permanent Pickleball Courts.”

8. The Administrative Law Judge informed Mr. Horn that the subpoenas issued for the original hearing would not apply to the new rehearing. To compel witness testimony, Mr. Horn was required to request and serve new subpoenas, which would be a significant additional expense.

9. The ALJ concluded that the Sun Lakes HOA did not violate A.R.S. § 33-1804(F) with respect to the July 6, 2021 board meeting. The decision further stated that even if a violation had occurred, it was cured by the proper notice and subsequent vote at the November 9, 2021 board meeting.

10. The Respondent’s counsel stated that Mr. Horn’s petition was not about seeking justice or ensuring compliance with statutes, but was an act of “revenge against the association for the tennis court conversion.” She argued that since he could not stop the conversion, he filed a “meritless petition” to punish the association.

——————————————————————————–

Essay Questions

The following questions are designed for longer-form analysis. Formulate your answers based on a comprehensive review of the case details and legal arguments presented in the source documents.

1. Analyze the legal arguments presented by both the Petitioner and the Respondent regarding the interpretation of A.R.S. § 33-1804(F). Discuss how each party applied the statute’s requirement for “information that is reasonably necessary to inform the members” to the facts of the case.

2. Trace the procedural history of the case from the initial petition filing in 2021 to the final decision in August 2022. Identify at least three key procedural moments or rulings and explain their significance to the case’s progression and ultimate outcome.

3. Discuss the legal concept of a “cure” as it applied in this administrative hearing. Evaluate the strength of the Respondent’s argument that the November 9, 2021 meeting cured any potential defects from the July 6, 2021 meeting, and explain how the Petitioner attempted to rebut this defense.

4. The scope of the hearing was a contentious issue. Explain how the Administrative Law Judge limited the scope of the case and excluded certain topics, such as alleged discrimination and the soundness of the board’s business decision. Why are such limitations important in legal proceedings?

5. Based on the testimony and arguments presented in the August 1, 2022 rehearing, compare and contrast the remedies sought by the Petitioner with the relief available in the administrative hearing venue. What does this reveal about the limitations of this specific legal process for a homeowner’s grievances?

——————————————————————————–

Glossary of Key Terms

Definition

Administrative Law Judge (ALJ)

An independent judge who presides over administrative hearings, makes findings of fact and conclusions of law, and issues decisions in disputes involving government agencies. In this case, Judge Velva Moses-Thompson from the Office of Administrative Hearings (OAH).

A.R.S. (Arizona Revised Statutes)

The collection of laws passed by the Arizona state legislature. The specific statute at issue was A.R.S. § 33-1804, which governs open meetings for planned communities.

A legal concept where a party corrects a prior procedural error or violation. In this case, the Respondent argued that any deficiency in the July 6 meeting notice was corrected, or “cured,” by holding the November 9 meeting with a more explicit agenda.

Motion to Dismiss

A formal request made by a party to a court or tribunal to dismiss a case. The Respondent filed this motion, which was initially granted.

Motion for Summary Judgment

A request made by a party for a decision on the merits of a case before a full hearing, arguing that there are no genuine disputes as to material facts and that the party is entitled to judgment as a matter of law.

Motion for Summary Disposition

A request, similar to a motion for summary judgment, asking the tribunal to rule in a party’s favor without a full hearing.

Petitioner

The party who initiates a legal action or files a petition. In this matter, Anthony T. Horn was the Petitioner.

Preponderance of the Evidence

The standard of proof in most civil and administrative cases. It requires the party with the burden of proof to convince the trier of fact that their contention is more probably true than not.

Rehearing

A second hearing of a case, granted after an initial decision has been made. Mr. Horn was granted a rehearing after his petition was initially dismissed.

Respondent

The party against whom a petition is filed. In this matter, Sun Lakes Homeowners Association #1, Inc. was the Respondent.

Sua Sponte Order

An order made by a judge on their own initiative, without a request from either party. The order to continue the rehearing to August 1, 2022, was a sua sponte order due to the judge’s jury duty.

Subpoena

A legal order compelling a person to attend a hearing to give testimony. The Petitioner had to request new subpoenas for the rehearing as the original ones were no longer valid.






Blog Post – 22F-H2221017-REL-RHG


Your HOA Did What? 4 Shocking Lessons from One Homeowner’s Fight Over a Tennis Court

Introduction: The Notice on the Bulletin Board

Anyone who lives in a planned community is familiar with the official notices from their Homeowners Association (HOA). Often tacked onto a bulletin board or sent in a mass email, these communications can be models of bureaucratic brevity, full of formal language that is both vague and oddly specific. It’s easy to glance at an agenda item and assume you know what it means. But what happens when you’re wrong?

This was the situation faced by Anthony T. Horn, a homeowner in Sun Lakes, Arizona. In 2021, he filed a formal dispute against his HOA over a meeting notice he believed was deceptive, kicking off a year-long legal battle. His story provides a rare look “under the hood” of HOA procedures and power dynamics. Here are four surprising and impactful takeaways from his fight that every homeowner should understand.

1. A Notice for “Repairs” Can Mean a Total Transformation

The dispute began simply enough. The HOA posted a notice for a July 6, 2021 board meeting with a specific agenda item: “Motion 3: Tennis Courts Upgrade & Repair – Fiscal Impact $76,439 from the Reserve Fund.”

Mr. Horn, an active tennis player, attended the meeting expecting a discussion about much-needed repairs to the community’s dangerous and unplayable courts. Instead, he testified that he was “shocked” when the board announced that the “upgrade” included permanently converting one tennis court into four pickleball courts.

His core legal argument was that this notice failed to provide information “reasonably necessary to inform the members” of the true matter being decided, a requirement under Arizona statute A.R.S. § 33-1804(F). The final ruling from the Administrative Law Judge, however, was counter-intuitive.

Sun Lakes was not required to specify the method of upgrade: a conversion to pickleball courts.

This decision reveals a critical gap between a homeowner’s plain-language understanding and the law’s procedural interpretation. The ruling effectively places the burden on homeowners to be deeply skeptical of vague agenda items and to anticipate the broadest possible definition of terms like “upgrade.” As this case demonstrates, the law may not protect a resident’s more intuitive and narrow reading of a notice.

2. An HOA Can Get a “Mulligan” on Procedural Errors

After Mr. Horn filed his petition with the Arizona Department of Real Estate, the HOA board pursued a powerful defense strategy: a do-over. The board scheduled a second meeting for November 9, 2021.

The notice for this second meeting was far more specific. Its purpose was explicitly stated as a “Clarification of Motion 3 of the July 6, 2021 Board Meeting – Conversion of Court 1 to four Permanent Pickleball Courts.” At this meeting, the board held the vote again, and it passed again.

Legally, this is known as “curing” a potential violation. The HOA argued that even if their first notice was flawed (which they did not concede), this second, properly-noticed meeting made the original issue moot. The judge agreed.

Even if Sun Lakes had violated A.R.S. § 33-1804(F) with respect to the July 6, 2021, Sun Lakes cured the violation when it provided timely notice that the tennis court conversion would be discussed and voted on at the November 9, 2021 board meeting.

This reveals that “curing” is not just a simple correction; it is a powerful strategic tool for an HOA board. It creates a nearly risk-free path to test the limits of procedural compliance. A board can issue a vague notice, and only if a homeowner is willing to invest the time and money to file a formal complaint does the board need to “cure” the potential error with a more specific follow-up. This dynamic shifts the entire risk and cost of ensuring compliance onto the individual homeowner.

3. Fighting on Multiple Fronts Can Be Cost-Prohibitive

During the legal process, Mr. Horn wanted to introduce other arguments. He alleged discrimination against tennis players and claimed the board had ignored other viable locations for new pickleball courts.

The judge, however, repeatedly shut down these lines of argument. The hearing was strictly limited to the single issue identified in the original petition: the alleged violation of the open meeting notice statute. The reason for this limitation was procedural and financial. In the Arizona Department of Real Estate’s dispute system, each separate allegation requires its own petition and, crucially, a separate $500 filing fee.

This creates a significant financial barrier for the homeowner, as Mr. Horn explained during the hearing.

And I probably have five, six or seven of them inaccuracies and misstatements and what so would be $500 each.

This rule exposes a stark asymmetry of resources. The individual homeowner must pay out-of-pocket for each separate alleged violation, forcing them to pick only their single strongest—or most affordable—argument. The HOA, by contrast, defends itself using a legal fund paid for by the entire community, including the very homeowner who is filing the dispute.

4. You Can Win the Argument, Lose the Case, and Still Pay for It

The ultimate outcome presented a paradox, which Mr. Horn articulated in his closing argument. He laid out a sequence of events that created a frustrating “Catch-22” for the homeowner:

1. He identified what he believed was a clear procedural violation at the July 6th meeting.

2. He paid a $500 filing fee to formally dispute it.

3. His dispute directly caused the HOA to hold the second, more specific, and legally “cured” meeting on November 9th.

4. The HOA then used that very “cured” meeting as the legal basis to have his petition dismissed.

He saw it as a no-win situation where his own action to seek accountability provided the HOA with the tool to defeat his claim.

The only reason that November 9th meeting and that motion ever showed up there was because of my dispute. So, it’s kind of a catch 22. …I file a dispute and then they just change the language and then my dispute is nullified and I just lose my $500 and go away. That ain’t fair.

This outcome reveals the ultimate procedural paradox. It is a system where a homeowner’s successful action—forcing the HOA to correct its error—becomes the very instrument of their legal defeat. The legal system, in this context, prioritized the correction of a procedural flaw over the merits of the original grievance or the fairness of the outcome for the individual who forced the correction.

Conclusion: Knowledge is Power

The story of one homeowner’s fight over a tennis court reveals that the nuances of HOA law are complex and can often favor the established procedures of the board. From the broad interpretation of “reasonable notice” to the board’s ability to “cure” its own mistakes, the system contains mechanisms that can be challenging for an individual resident to overcome.

This case is not about taking sides on the issue of tennis versus pickleball. It is a valuable case study in the realities of community governance. It underscores the importance for homeowners to understand not just the rules, but the procedures that enforce them. This leads to a final, critical question for every member of an HOA to consider:

Given the systems in place, how can an individual homeowner ensure their voice is truly heard when the stakes feel this high?


Case Participants

Petitioner Side

  • Anthony T. Horn (petitioner)
    Appeared on behalf of himself
  • Ralph Howland (witness)
    Sun Lakes Homeowner
    Testified for Petitioner; name spelled 'Howlen' in some findings
  • Ed Campy (tennis club president)
    Informed Petitioner Horn of the November meeting
  • Robert Miller (homeowner)
    Asked a question at the July 6th board meeting
  • Felicia Kuba (witness)
    Homeowner proposed as witness by Petitioner

Respondent Side

  • Emily H. Mann (HOA attorney)
    Phillips, Maceyko & Battock, PLLC
    Appeared on behalf of Respondent Sun Lakes Homeowners Association #1
  • Kelly Haynes (general manager)
    Sun Lakes Homeowners Association #1, Inc.
    Testified as a witness for Respondent
  • Janice Cornoyer (board president)
    Sun Lakes Homeowners Association #1, Inc.
    Called as a witness by Petitioner
  • Jimmy Burns (facilities manager)
    Sun Lakes Homeowners Association #1, Inc.
    Called as a witness by Petitioner
  • Chris Johnston (Senior Account Manager)
    USI Insurance Services LLC
    Listed as c/o for Respondent HOA
  • Steve Howell (board member)
    Sun Lakes Homeowners Association #1, Inc.
    Read in motion at board meeting
  • Emily Jones (HOA employee)
    Sun Lakes Homeowners Association #1, Inc.
    Employee of General Manager Kelly Haynes

Neutral Parties

  • Velva Moses-Thompson (ALJ)
    Office of Administrative Hearings
  • Louis Dettorre (Commissioner ADRE)
    Arizona Department of Real Estate
  • Miranda Alvarez (Legal Secretary)
    OAH/ADRE
    Transmitted copies of orders
  • c. serrano (transmitting agent)
    OAH/ADRE
    Transmitted copies of orders
  • Mark Gotman (observer)
    Observed pre-hearing conference/hearing via Google Meet
  • Dennis Anderson (observer)
    Observed pre-hearing conference/hearing via Google Meet
  • AHansen (ADRE staff)
    Arizona Department of Real Estate
    Listed as recipient of copies (Attn:)
  • djones (ADRE staff)
    Arizona Department of Real Estate
    Listed as recipient of copies (Attn:)
  • DGardner (ADRE staff)
    Arizona Department of Real Estate
    Listed as recipient of copies (Attn:)
  • vnunez (ADRE staff)
    Arizona Department of Real Estate
    Listed as recipient of copies (Attn:)
  • labril (ADRE staff)
    Arizona Department of Real Estate
    Listed as recipient of copies (Attn:)