Tag Archives: Dismissal

Jeff Lion vs. Riggs Ranch Meadows Homeowners Association

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Case Summary

Case ID 18F-H1817009-REL
Agency ADRE
Tribunal OAH
Decision Date 2018-01-10
Administrative Law Judge Thomas Shedden
Outcome The Petitioner's petition was dismissed because he failed to appear or provide an authorized representative at the scheduled hearing, resulting in the Respondent being deemed the prevailing party.
Filing Fees Refunded $0.00
Civil Penalties $0.00

Parties & Counsel

Petitioner Jeff Lion Counsel —
Respondent Riggs Ranch Meadows Homeowners Association Counsel Nathan Tennyson

Alleged Violations

Article 8 of the Respondent’s CC&Rs

Outcome Summary

The Petitioner's petition was dismissed because he failed to appear or provide an authorized representative at the scheduled hearing, resulting in the Respondent being deemed the prevailing party.

Why this result: Petitioner failed to appear at the hearing scheduled at his request and failed to provide an authorized representative (as appearances are considered the practice of law under Arizona Supreme Court Rule 31).

Key Issues & Findings

Violation of CC&Rs

Petitioner Jeff Lion alleged that the Respondent violated Article 8 of the CC&Rs.

Orders: Petitioner Jeff Lion’s petition is dismissed.

Filing fee: $0.00, Fee refunded: No

Disposition: petitioner_loss

Cited:

  • ARIZ. REV. STAT. Title 32, Ch. 20, Art. 11
  • ARIZ. ADMIN. CODE § R2-19-119
  • Arizona Supreme Court Rule 31
  • ARIZ. REV. STAT. section 32-2199.02(B)
  • ARIZ. REV. STAT. section 32-2199.04
  • ARIZ. REV. STAT. section 41-1092.09

Analytics Highlights

Topics: Dismissal, Failure to Appear, Unauthorized Representation, HOA, CC&R
Additional Citations:

  • ARIZ. REV. STAT. Title 32, Ch. 20, Art. 11
  • ARIZ. ADMIN. CODE § R2-19-119
  • Arizona Supreme Court Rule 31
  • ARIZ. REV. STAT. section 32-2199.02(B)
  • ARIZ. REV. STAT. section 32-2199.04
  • ARIZ. REV. STAT. section 41-1092.09

Video Overview

Audio Overview

Decision Documents

18F-H1817009-REL Decision – 611264.pdf

Uploaded 2026-04-24T11:08:16 (69.6 KB)

18F-H1817009-REL Decision – 611264.pdf

Uploaded 2026-01-23T17:21:53 (69.6 KB)

Briefing Document: Lion v. Riggs Ranch Meadows HOA (Case No. 18F-H1817009-REL)

Executive Summary

This document summarizes the Administrative Law Judge Decision in the case of Jeff Lion (Petitioner) versus Riggs Ranch Meadows Homeowners Association (Respondent). The Petitioner’s case, which alleged a violation of the Respondent’s CC&Rs, was dismissed due to the Petitioner’s failure to appear at the scheduled hearing on January 9, 2018.

The hearing had been rescheduled to this date at the Petitioner’s own request. On the day of the hearing, two witnesses for Mr. Lion appeared but were informed by the tribunal that they could not legally represent him as they were not licensed attorneys, a requirement under Arizona Supreme Court Rule 31. Because no authorized representative for the Petitioner was present, no evidence could be presented to support the claim. Consequently, Administrative Law Judge Thomas Shedden dismissed the petition and designated the Riggs Ranch Meadows Homeowners Association as the prevailing party.

Case Background and Procedural History

The matter originated from a petition filed by Jeff Lion against the Riggs Ranch Meadows Homeowners Association.

• Initial Allegation: Mr. Lion alleged that the Respondent violated Article 8 of its Covenants, Conditions, and Restrictions (CC&Rs).

• Notice of Hearing: On October 2, 2017, the Arizona Department of Real Estate issued a Notice of Hearing, initially scheduling the matter for November 29, 2017, at the Office of Administrative Hearings in Phoenix.

• Continuance: Mr. Lion filed a Motion to Continue the hearing, which was rescheduled for 9:00 a.m. on January 9, 2018, without objection from the Respondent.

Analysis of the January 9, 2018 Hearing

The proceedings on the rescheduled hearing date were pivotal to the case’s outcome.

• Petitioner’s Failure to Appear: Mr. Jeff Lion, the Petitioner, did not appear at the hearing at its scheduled time.

• Attempted Representation by Non-Attorneys: Two witnesses named by Mr. Lion were present. They informed the tribunal that Mr. Lion would not be appearing and that they intended to represent him.

• Tribunal’s Ruling on Representation: The tribunal advised the witnesses that they were legally prohibited from representing Mr. Lion. Citing Arizona Supreme Court Rule 31, the judge clarified that appearances at the Office of Administrative Hearings constitute the practice of law and require representation by an attorney licensed in Arizona. The witnesses confirmed they did not hold such licenses.

• Consequences of Non-Appearance: As there was no authorized representative present for the Petitioner, no evidence was taken. The judge noted that the hearing had been continued to that specific date at Mr. Lion’s request and proceeded to vacate the matter based on his failure to appear.

Legal Findings and Conclusions of Law

The Administrative Law Judge’s decision was grounded in established legal principles and procedural rules.

• Jurisdiction: The Arizona Department of Real Estate was confirmed to have authority over the matter pursuant to ARIZ. REV. STAT. Title 32, Ch. 20, Art. 11.

• Burden of Proof: The decision reiterated that the party asserting a claim—in this case, Mr. Lion—carries the burden of proof. The standard required was a “preponderance of the evidence,” which is defined as evidence with “the most convincing force” sufficient to “incline a fair and impartial mind to one side of the issue rather than the other.”

• Core Rationale for Dismissal: The central conclusion of law was that Mr. Lion failed to meet his burden of proof. By not appearing at the hearing he had requested, and by not securing authorized legal representation, he “failed to present any evidence in support of his petition.”

Final Order and Implications

The decision, issued on January 10, 2018, formally concluded the administrative hearing process with a definitive outcome.

• Dismissal of Petition: The Administrative Law Judge ordered that “Petitioner Jeff Lion’s petition is dismissed.”

• Prevailing Party: The Respondent, Riggs Ranch Meadows Homeowners Association, was officially deemed the prevailing party in the matter.

• Post-Decision Options: The order is binding on the parties unless a rehearing is granted. A request for rehearing must be filed with the Commissioner of the Department of Real Estate within 30 days of the service of the order, as stipulated by ARIZ. REV. STAT. § 32-2199.04 and § 41-1092.09.

Key Parties and Representatives

Name/Entity

Contact/Representation Information

Petitioner

Jeff Lion

PO Box 1350, Selma, CA 93662

Respondent

Riggs Ranch Meadows Homeowners Association

Represented by Nathan Tennyson, Esq.

Respondent’s Counsel

Nathan Tennyson, Esq.

BROWN/OLCOTT, PLLC, 373 S. Main Ave., Tucson, AZ 85701

Administrative Law Judge

Thomas Shedden

Office of Administrative Hearings

Overseeing Body

Arizona Department of Real Estate

Commissioner: Judy Lowe

Study Guide for Administrative Law Judge Decision: Lion v. Riggs Ranch Meadows HOA

This study guide provides a review of the Administrative Law Judge Decision in the case of Jeff Lion v. Riggs Ranch Meadows Homeowners Association, Case No. 18F-H1817009-REL. It includes a short-answer quiz, an answer key, suggested essay questions, and a glossary of key terms found within the document.

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Short-Answer Quiz

Instructions: Answer the following questions in two to three sentences, based entirely on the provided legal decision.

1. Who were the petitioner and respondent in this matter, and what was the petitioner’s central allegation?

2. Why was the administrative hearing held on January 9, 2018, instead of the originally scheduled date?

3. Describe the events that occurred at the scheduled hearing time on January 9, 2018.

4. What specific rule was cited by the tribunal to prevent the petitioner’s witnesses from representing him?

5. What is the standard of proof for this matter, and which party had the burden of proof?

6. According to the decision, what was the direct consequence of the petitioner’s failure to have an authorized representative present at the hearing?

7. How does the legal document define the term “preponderance of the evidence”?

8. What was the final order issued by the Administrative Law Judge?

9. Who was identified as the “prevailing party” and why?

10. What option was available to the parties if they disagreed with the judge’s order?

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Answer Key

1. The petitioner was Jeff Lion, and the respondent was the Riggs Ranch Meadows Homeowners Association. Mr. Lion alleged that the respondent had violated Article 8 of its CC&Rs.

2. The hearing was originally set for November 29, 2017. It was rescheduled to January 9, 2018, because the petitioner, Mr. Lion, filed a Motion to Continue, to which the respondent did not object.

3. On January 9, 2018, the petitioner, Jeff Lion, did not appear for the hearing. Two witnesses appeared on his behalf and stated their intention to represent him, but they were not permitted to do so.

4. The tribunal cited Arizona Supreme Court Rule 31, which governs the practice of law. Since the witnesses were not licensed attorneys in Arizona, they were not legally permitted to represent Mr. Lion at the hearing.

5. The standard of proof is a “preponderance of the evidence.” The party asserting the claim, in this case, the petitioner Jeff Lion, had the burden of proof.

6. Because no authorized representative was present for Mr. Lion, no evidence was taken in support of his petition. This failure to present evidence was a key factor in the case’s dismissal.

7. The document defines “preponderance of the evidence” by quoting Black’s Law Dictionary as: “The greater weight of the evidence…that has the most convincing force; superior evidentiary weight that, though not sufficient to free the mind wholly from all reasonable doubt, is still sufficient to incline a fair and impartial mind to one side of the issue rather than the other.”

8. The final order was that Petitioner Jeff Lion’s petition is dismissed. The decision was issued on January 10, 2018.

9. The Respondent, Riggs Ranch Meadows Homeowners Association, was deemed the prevailing party. This was because Mr. Lion failed to present any evidence in support of his petition, leading to its dismissal.

10. The parties could request a rehearing pursuant to ARIZ. REV. STAT. section 32-2199.04. The request had to be filed with the Commissioner of the Department of Real Estate within 30 days of the service of the order.

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Suggested Essay Questions

Instructions: The following questions are designed for longer, essay-style responses to explore the procedural and legal principles of the case more deeply.

1. Analyze the significance of Arizona Supreme Court Rule 31 in the outcome of this case. How does the principle that appearances at administrative hearings constitute the “practice of law” affect how individuals can pursue claims?

2. Discuss the interrelated concepts of “burden of proof” and “standard of proof” as they apply to this case. Explain why Jeff Lion’s failure to appear made it legally impossible for him to meet the standard of a “preponderance of the evidence.”

3. Evaluate the procedural fairness of the Administrative Law Judge’s decision to dismiss the petition. Consider the timeline of events, including the petitioner’s own request to reschedule the hearing, in your analysis.

4. Based on the “Conclusions of Law” section, construct an argument explaining the logical steps Administrative Law Judge Thomas Shedden took to arrive at the final order of dismissal.

5. Examine the roles of the Arizona Department of Real Estate and the Office of Administrative Hearings as outlined in the document. How do these two entities interact in resolving a dispute initiated by a homeowner against a Homeowners Association?

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Glossary of Key Terms

Definition

Administrative Law Judge (ALJ)

An official (Thomas Shedden in this case) who presides over hearings at an administrative agency to resolve disputes.

ARIZ. ADMIN. CODE

The Arizona Administrative Code, a compilation of rules and regulations of Arizona state agencies. Section R2-19-119 is cited as establishing the standard of proof.

ARIZ. REV. STAT.

The Arizona Revised Statutes, which are the laws passed by the Arizona state legislature. Title 32, Chapter 20, Article 11 is cited as giving the Department of Real Estate authority.

Burden of Proof

The legal obligation of a party in a dispute to provide sufficient evidence to support their claim. In this case, the petitioner (Mr. Lion) had the burden of proof.

Covenants, Conditions, and Restrictions. These are rules governing a planned community or homeowners association. Mr. Lion alleged a violation of Article 8 of the Respondent’s CC&Rs.

Motion to Continue

A formal request made by a party to an administrative tribunal or court to postpone a scheduled hearing to a later date.

Office of Administrative Hearings (OAH)

The state agency where the hearing took place, which conducts hearings for other state agencies.

Petitioner

The party who files a petition or brings a legal action against another party. In this case, Jeff Lion.

Practice of Law

The act of representing others in legal proceedings. The decision states that appearances at the OAH are considered the practice of law and are restricted to licensed attorneys under Arizona Supreme Court Rule 31.

Preponderance of the Evidence

The standard of proof in this case. It is met when the evidence presented is more convincing and has greater weight than the evidence offered in opposition, inclining a fair mind to one side of the issue.

Prevailing Party

The party who wins a legal case or dispute. The Riggs Ranch Meadows Homeowners Association was deemed the prevailing party.

Rehearing

A second hearing of a case to re-examine the issues and the decision. The parties had 30 days to file a request for a rehearing.

Respondent

The party against whom a petition is filed. In this case, the Riggs Ranch Meadows Homeowners Association.

Tribunal

A body established to settle certain types of dispute. In this context, it refers to the Administrative Law Judge presiding over the hearing.

How One Homeowner Lost His Case Against His HOA Before It Even Began

Introduction: The David vs. Goliath Story You Haven’t Heard

Disputes with a Homeowners Association (HOA) are a common source of frustration. It often feels like a David vs. Goliath battle, pitting an individual against a structured organization with rules and resources. When faced with what they believe is an unfair application of those rules, some homeowners decide to fight back.

This was the situation for Jeff Lion, who filed a petition against his HOA, Riggs Ranch Meadows, alleging a violation of Article 8 of its Covenants, Conditions, and Restrictions (CC&Rs). But this story didn’t end with a dramatic debate over property rights. Instead, it was over before it started, derailed by a simple but fatal procedural misstep. This case offers three critical lessons for anyone considering a formal dispute, revealing how understanding the basic rules of the game is far more important than just believing you have a good argument.

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1. The Most Important Step is Showing Up

The central, decisive event of the case was a stunning failure in participation: the petitioner, Jeff Lion, did not appear at the hearing on January 9, 2018. The ultimate procedural irony? This was the exact hearing date that he himself had requested.

The contrast on that day could not have been starker. While Mr. Lion was a no-show for the fight he started, the HOA—the “Goliath” in this story—arrived fully prepared, represented by its attorney, Nathan Tennyson, Esq. The judge’s decision was swift and absolute. Because Mr. Lion did not appear, no evidence was taken, and his petition was dismissed entirely.

This outcome is rooted in a core legal principle known as the “burden of proof.” Simply put, the person making a claim is responsible for presenting evidence to support it. As the one who filed the petition, it was Mr. Lion’s job to prove his case. By failing to appear, he presented zero evidence and could not possibly meet this fundamental burden. The merits of his specific complaint about Article 8 were never even heard, all because of a self-inflicted failure to participate in the process he initiated on the day he chose.

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2. Not Just Anyone Can Speak for You in Court

In a surprising turn, while Mr. Lion was absent, his two named witnesses did appear at the hearing. They informed the judge that the petitioner would not be attending and that they intended to represent him in his absence.

The Administrative Law Judge immediately shut down their attempt. The reason highlights a crucial rule that trips up many non-lawyers: the witnesses were not licensed attorneys, and the law strictly forbids such representation. Appearances at these administrative hearings are legally considered “the practice of law.”

The court’s decision was based on an unambiguous rule, which it cited in its legal conclusions:

Appearances at the Office of Administrative Hearings are considered to be the practice of law. See Arizona Supreme Court Rule 31.

This is a counter-intuitive lesson for many. You might assume a trusted friend, family member, or knowledgeable witness could speak on your behalf. This case demonstrates that the legal system has rigid rules about who is authorized to provide representation. Good intentions and a willingness to help are not enough to grant someone the legal authority to act as your advocate in a formal hearing.

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3. “Winning” is About Tipping the Scale of Evidence

In administrative hearings, the standard for winning is called “a preponderance of the evidence.” This doesn’t mean proving your case beyond all doubt. Think of it like a scale. “Preponderance of the evidence” simply means you have to provide enough evidence to make the scale tip, even just slightly, in your favor.

The formal definition clarifies this concept of relative weight:

The greater weight of the evidence… sufficient to incline a fair and impartial mind to one side of the issue rather than the other.

Applying this standard to Mr. Lion’s case makes the outcome painfully clear. Since he failed to appear and no evidence was taken on his behalf, the “weight” of his evidence was zero. It was therefore impossible for him to tip the scale, no matter how strong his case might have been in theory. Because he presented nothing, Riggs Ranch Meadows was deemed the “prevailing party” by default. This demonstrates how the legal system is a structured process focused on evidence presented according to rules, not just on feelings or the theoretical rightness of a claim.

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Conclusion: The Rules of the Game Matter

The case of Jeff Lion provides a masterclass in legal procedure. The three key lessons are simple but absolute: you must show up to your own hearing, especially one you scheduled; only licensed attorneys can legally represent you; and you must present evidence to meet your burden of proof.

This case wasn’t ultimately about CC&Rs or neighborhood rules; it was about procedure. It serves as a stark reminder that before entering any formal dispute, the first question to ask isn’t “Am I right?” but “Do I understand the rules?”

Case Participants

Petitioner Side

  • Jeff Lion (petitioner)

Respondent Side

  • Nathan Tennyson (respondent attorney)
    BROWN/OLCOTT, PLLC

Neutral Parties

  • Thomas Shedden (ALJ)
  • Judy Lowe (ADRE Commissioner)
    Arizona Department of Real Estate
  • Felicia Del Sol (ADRE transmission signatory)
  • LDettorre (ADRE recipient)
    Arizona Department of Real Estate
  • AHansen (ADRE recipient)
    Arizona Department of Real Estate
  • djones (ADRE recipient)
    Arizona Department of Real Estate
  • DGardner (ADRE recipient)
    Arizona Department of Real Estate
  • ncano (ADRE recipient)
    Arizona Department of Real Estate

James and Shawna Larson vs. Tempe Gardens Townhouse Corporation

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Case Summary

Case ID 17F-H1717038-REL-RHG
Agency ADRE
Tribunal OAH
Decision Date 2017-12-11
Administrative Law Judge Thomas Shedden
Outcome loss
Filing Fees Refunded $0.00
Civil Penalties $0.00

Parties & Counsel

Petitioner James and Shawna Larson Counsel Lisa M. Hanger
Respondent Tempe Gardens Townhouse Corporation Counsel Nathan Tennyson

Alleged Violations

A.R.S. § 33-1255(C); CC&R sections 9 and 9(b)

Outcome Summary

The ALJ dismissed the petition, ruling that the HOA acted reasonably and had the authority under the CC&Rs to require the removal of the homeowner's patio cover for necessary painting and repairs. The ALJ determined that because the patio cover is a limited common element, the Petitioners must bear the cost of removal and reinstallation according to A.R.S. § 33-1255(C).

Why this result: Petitioners failed to prove the HOA violated CC&Rs or acted unreasonably, and statutory law assigned the expense burden for the limited common element to the homeowner.

Key Issues & Findings

Authority of HOA to mandate removal of homeowner's patio cover for maintenance and assignment of removal/reinstallation costs.

Petitioners challenged the Respondent HOA's authority and reasonableness in requiring them to remove their patio cover, a limited common element, for building painting and repair, and disputed the requirement that Petitioners bear the costs. The ALJ concluded that the HOA's plan was reasonable, the HOA had the authority under CC&R sections 9 and 9(b), and Petitioners must bear the cost of removal and reinstallation under A.R.S. § 33-1255(C).

Orders: Petitioners’ petition is dismissed. Respondent is deemed the prevailing party. Petitioners are responsible for the cost to remove the patio cover and the cost to reinstall it should they choose to do so.

Filing fee: $0.00, Fee refunded: No

Disposition: respondent_win

Cited:

  • A.R.S. § 33-1255(C)
  • CC&R section 9
  • CC&R section 9(b)
  • A.R.S. § 33-1212(4)
  • Tierra Ranchos Homeowners Ass'n v. Kitchukov

Analytics Highlights

Topics: HOA authority, limited common element, maintenance costs, patio cover, CC&Rs, statutory interpretation, dismissal, prevailing party
Additional Citations:

  • A.R.S. § 33-1255(C)
  • CC&R section 9
  • CC&R section 9(b)
  • A.R.S. § 33-1212(4)
  • Tierra Ranchos Homeowners Ass'n v. Kitchukov
  • A.R.S. § 32-2199
  • A.R.S. § 32-2199.02
  • A.R.S. § 41-1092.09
  • ARIZ. ADMIN. CODE § R2-19-119
  • Gutierrez v. Industrial Commission of Arizona

Video Overview

Audio Overview

Decision Documents

17F-H1717038-REL Decision – 605540.pdf

Uploaded 2026-04-24T11:05:44 (105.0 KB)

17F-H1717038-REL Decision – 583987.pdf

Uploaded 2026-04-24T11:05:48 (53.0 KB)

17F-H1717038-REL Decision – 585505.pdf

Uploaded 2026-04-24T11:05:53 (385.9 KB)

Briefing on Larson v. Tempe Gardens Townhouse Corporation

Executive Summary

This briefing synthesizes the legal dispute between homeowners James and Shawna Larson and the Tempe Gardens Townhouse Corporation (the “Respondent” or “HOA”). The core conflict centered on the HOA’s directive that the Larsons remove their wooden patio cover at their own expense to facilitate a community-wide building repair and painting project.

The case progressed through two distinct phases. Initially, an Administrative Law Judge (ALJ) recommended dismissing the Larsons’ petition for a lack of a “justiciable controversy,” reasoning that the HOA had not yet acted on its threat to remove the patio cover, rendering the dispute speculative. However, the Commissioner of the Department of Real Estate rejected this recommendation, finding the matter was “ripe for adjudication,” and ordered a full hearing on the merits.

In the final decision, a second ALJ dismissed the Larsons’ petition and ruled in favor of the HOA. The judge found the HOA’s plan to be reasonable and necessary for the proper and safe completion of the project, based on credible testimony from the project manager. The decision affirmed the HOA’s authority under its CC&Rs to require the removal of the structure. Crucially, the ruling established that the patio cover is a “limited common element” under Arizona law. Consequently, pursuant to Arizona Revised Statutes, the homeowners (the Larsons) are exclusively responsible for all costs associated with it, including its removal and potential reinstallation.

Procedural History and Jurisdictional Rulings

Initial Petition and Dismissal Recommendation

On June 16, 2017, James and Shawna Larson filed a petition with the Department of Real Estate against their HOA, alleging a violation of the community’s Covenants, Conditions, and Restrictions (CC&Rs). However, the initial filing did not specify which provisions had been violated.

Upon inquiry, the Petitioners’ counsel admitted via email that no specific provision of the CC&Rs had yet been violated. Instead, their concern was that section 10(a) would be violated if the HOA acted on its threat to forcibly remove their patio cover and charge them for the cost.

This led to the “ORDER RECOMMENDING DISMISSAL FOR LACK OF JUSTICIABLE CONTROVERSY,” issued on August 25, 2017, by Administrative Law Judge Suzanne Marwil. The key findings of this order were:

• Speculative Harm: The Judge found that the HOA’s actions “have not yet been undertaken and our [are] speculative at this juncture.”

• Lack of Jurisdiction: The order stated that the Office of Administrative Hearings’ jurisdiction, per A.R.S. § 32-2199, is limited to adjudicating existing violations of community documents, not potential future ones.

• Misunderstanding by Both Parties: The order noted, “Both parties fundamentally misunderstand the limits of this Tribunal’s jurisdiction.” The Petitioners were seeking a ruling on a future action, while the Respondent was urging the Tribunal to find the Petitioners had violated the CC&Rs, which was not the subject of the petition.

• Recommended Forum: The Judge suggested that the appropriate forum for the Petitioners would be a declaratory judgment action in superior court.

Rejection of Dismissal and Re-Hearing

On August 31, 2017, Judy Lowe, the Commissioner of the Department of Real Estate, issued an “ORDER REJECTING RECOMMENDATION OF DISMISSAL.”

• The Commissioner rejected the ALJ’s finding that the matter lacked a justiciable controversy.

• The order cited a letter from the Respondent dated June 1, 2017, which posed the question: “Is the presence of the awning a violation of the Association’s governing documents?”

• This question was deemed sufficient to make the matter “ripe for adjudication.”

• The Commissioner requested that the hearing be rescheduled for a ruling on the matter. A re-hearing was subsequently conducted on November 20, 2017, before Administrative Law Judge Thomas Shedden.

Analysis of the Merits of the Dispute

The re-hearing focused on the substantive conflict: whether the HOA had the authority to compel the Larsons to remove their patio cover at their own expense for the maintenance project.

Respondent’s (HOA) Case

The HOA, consisting of 169 units, initiated a project to make necessary repairs to its twenty-five buildings and then have them painted. The HOA’s position was based on the following points:

• Legal Authority: The HOA asserted its authority under sections 9 and 9(b) of its CC&Rs, which state that the HOA is responsible for maintaining building exteriors and that “Any cooperative action necessary or appropriate to the proper maintenance and upkeep of the… [building] exteriors… shall be taken by the [Respondent].”

• Project Necessity: The project manager, Wayne King, provided testimony that the HOA’s board deemed credible and reasonable.

◦ Safety: King stated that all five bidding contractors required the patio covers to be removed to ensure a safe work environment as mandated by the Arizona Department of Occupational Safety and Health (OSHA).

◦ Logistics: Standard scaffolding would not fit without removing the covers, commercial scaffolding would not provide full access, a forklift was not viable due to overhead power lines, and allowing painters to walk on homeowner patio covers was unsafe.

◦ Quality of Work: The project involved sanding, power washing, and patching before painting to “do the job right.” Many covers had been improperly flashed, causing damage to the buildings that needed repair.

◦ Warranty: The paint company would not provide a warranty for the project if individual homeowners, such as the Larsons, were permitted to paint their own units.

Petitioners’ (Larsons’) Case

The Larsons, who purchased their unit in 1999 with the wooden patio cover already in place, contested the HOA’s demands.

• Challenge to Authority: The Petitioners argued that the HOA had no legal authority to demand the removal of their patio cover.

• Unreasonable Cost: They asserted that the cost of removal and reinstallation was unreasonable, submitting two bids:

◦ One bid quoted $1,250 to remove and dispose of the cover and $3,980 to remove and rebuild it with new wood.

◦ A second bid quoted $5,975 to remove and then replace the structure.

• Proposed Alternative: In a letter dated May 19, 2017, the Larsons offered to have the back of their unit painted at their own expense.

• Compromise Offer: During the November 20, 2017 hearing, after hearing the project manager’s testimony, Ms. Larson offered that they would agree not to reinstall the patio cover if the HOA would pay for its removal.

Final Administrative Law Judge Decision

On December 11, 2017, ALJ Thomas Shedden issued a final decision dismissing the Larsons’ petition and finding in favor of the Respondent, Tempe Gardens Townhouse Corporation.

Key Findings and Conclusions of Law

Finding/Conclusion

Details

Standard of Review

The HOA’s decisions regarding maintenance and repair are given deference, provided they act reasonably.

Reasonableness of HOA Action

Based on the “credible testimony” of Wayne King, the Judge found that the HOA’s proposed plan for repairing and painting the buildings, which required the removal of patio covers, was reasonable.

HOA Authority

CC&R sections 9 and 9(b) were found to be “sufficient to show that Respondent has the authority to remove Petitioners’ patio to complete the painting work.”

Patio Cover Classification

The Petitioners’ patio cover was legally classified as a “limited common element” within the meaning of ARIZ. REV. STAT. section 33-1212(4).

Cost Responsibility

The central issue of payment was decided by statute. The Judge concluded that under a “reasonable reading of ARIZ. REV. STAT. section 33-1255(C),” any common expense associated with a limited common element “shall be assessed exclusively against the units benefitted.”

Final Order

Based on these findings, the Administrative Law Judge ordered the following:

“The evidence of record supports a conclusion that Respondent has authority to require Petitioners to remove their patio cover to allow the building to be properly and safely painted, and that Petitioners are responsible for the cost to remove the patio cover and the cost to reinstall it should they choose to do so.”

The final order was that the Petitioners’ petition be dismissed, and the Respondent, Tempe Gardens Townhouse Corporation, was deemed the prevailing party.

Study Guide: Larson v. Tempe Gardens Townhouse Corporation

This study guide provides a comprehensive review of the administrative case between homeowners James and Shawna Larson and the Tempe Gardens Townhouse Corporation. It includes a short-answer quiz, an answer key, suggested essay questions, and a glossary of key terms based on the provided legal documents.

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Short-Answer Quiz

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

1. Who were the primary parties involved in this case, and what was their relationship?

2. What was the initial reason given by Administrative Law Judge (ALJ) Suzanne Marwil for recommending the dismissal of the Larsons’ petition?

3. Why did the Commissioner of the Department of Real Estate, Judy Lowe, reject the initial recommendation for dismissal?

4. What was the central dispute that was ultimately decided in the November 20, 2017, hearing?

5. According to the final Administrative Law Judge Decision, what is the legal classification of the petitioners’ patio cover?

6. Which specific sections of the CC&Rs did the Respondent, Tempe Gardens Townhouse Corporation, cite as the basis for its authority?

7. What key reasons did project manager Wayne King provide to justify the necessity of removing the patio covers for the painting project?

8. Describe the significant difference in the cost estimates for removing and replacing the patio cover as presented by the Petitioners versus the Respondent’s project manager.

9. What was the final ruling regarding who was financially responsible for the removal and potential reinstallation of the patio cover?

10. What was the ultimate outcome of the Larsons’ petition following the final hearing, and which party was deemed the “prevailing party”?

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Answer Key

1. The primary parties were the Petitioners, homeowners James and Shawna Larson, and the Respondent, the Tempe Gardens Townhouse Corporation, which is their homeowner’s association (HOA). The dispute arose from the HOA’s plan to repair and paint the building exteriors.

2. ALJ Marwil initially recommended dismissal due to a “lack of justiciable controversy.” She found that the Petitioners had failed to cite any provision of the CC&Rs that the Respondent had currently violated, as the threatened action to remove the patio cover was speculative and had not yet occurred.

3. Commissioner Lowe rejected the dismissal because she found the matter was “ripe for adjudication.” Her decision was based on a June 1, 2017 letter from the Respondent that questioned whether “the presence of the awning [is] a violation of the Association’s governing documents,” which she interpreted as the Respondent alleging a violation.

4. The central dispute was whether the Tempe Gardens Townhouse Corporation had the authority to mandate that homeowners, specifically the Larsons, remove their patio covers at their own expense to facilitate a building repair and painting project.

5. The final decision classifies the Petitioners’ patio cover as a “limited common element” within the meaning of ARIZ. REV. STAT. section 33-1212(4). This classification was crucial to determining financial responsibility.

6. The Respondent cited sections 9 and 9(b) of the CC&Rs. Section 9(b) makes the Respondent responsible for maintaining building exteriors, and section 9 grants it the authority to take “Any cooperative action necessary or appropriate to the proper maintenance and upkeep” of those exteriors.

7. Wayne King testified that removal was necessary to properly and safely complete the work using scaffolding, as required by modern safety laws. He also stated that removal was needed to repair improperly flashed areas behind the covers and to ensure the painting contractor would provide a warranty for the project.

8. The Petitioners presented bids showing the cost to remove and rebuild the cover would be between $3,980 and $5,975. In contrast, Mr. King opined these estimates were very high and that the cost should be closer to $1,000 if existing materials were reused.

9. The final ruling, based on ARIZ. REV. STAT. section 33-1255(C), was that the Petitioners must bear the cost of removing the patio cover and, if they choose, the cost of reinstalling it. This is because the patio cover is a limited common element assigned specifically to their unit.

10. The final outcome was the dismissal of the Larsons’ petition. The Respondent, Tempe Gardens Townhouse Corporation, was deemed the prevailing party in the matter.

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Essay Questions

The following questions are designed for a more in-depth analysis. Use the provided documents to construct a detailed, evidence-based response.

1. Trace the procedural history of this case from the initial filing to the final decision. Discuss the key turning points, including the initial recommendation for dismissal, its rejection by the Commissioner, and the reasoning behind the final judgment.

2. Analyze the legal arguments presented by both the Petitioners and the Respondent in the November 2017 hearing. On what specific statutes and CC&R provisions did each side rely, and how did the Administrative Law Judge ultimately interpret these documents?

3. Evaluate the role of expert testimony in this case, specifically focusing on the evidence provided by project manager Wayne King. How did his testimony regarding safety, project requirements, and cost estimates influence the Administrative Law Judge’s findings on the reasonableness of the Respondent’s actions?

4. Discuss the legal concept of a “limited common element” as defined and applied in the source documents. Explain how this classification was central to the final decision regarding financial responsibility for the patio cover’s removal and reinstallation.

5. The initial Administrative Law Judge found no “justiciable controversy,” while the Commissioner later found the matter “ripe for adjudication.” Based on the details in all three documents, explain the arguments for both positions and analyze why the case ultimately proceeded to a full hearing.

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Glossary of Key Terms

Definition from Source Context

Administrative Law Judge (ALJ)

An official in the Office of Administrative Hearings who adjudicates complaints regarding condominium and planned community documents and ensures compliance with relevant statutes.

Covenants, Conditions, and Restrictions. The documents that govern the community and are described as a contract between the homeowner’s association and the homeowners.

Justiciable Controversy

A real dispute that a tribunal has the authority to resolve. The initial petition was recommended for dismissal for a lack of a justiciable controversy because the Respondent’s threatened actions were deemed speculative.

Limited Common Element

A legal classification for property defined under ARIZ. REV. STAT. section 33-1212(4). In this case, the Petitioners’ patio cover was classified as such, meaning any common expense associated with its maintenance, repair, or replacement is assessed against the unit to which it is assigned.

Petition

The formal document filed with the Department of Real Estate to initiate a complaint against a homeowner’s association.

Petitioner

The party that files a petition initiating a legal action. In this case, the homeowners James and Shawna Larson.

Preponderance of the Evidence

The standard of proof required in this matter, defined as “The greater weight of the evidence… sufficient to incline a fair and impartial mind to one side of the issue rather than the other.”

Prevailing Party

The party that is successful in a legal dispute. In the final order, the Respondent was deemed the prevailing party.

Respondent

The party against whom a petition is filed. In this case, the Tempe Gardens Townhouse Corporation.

Ripe for Adjudication

A term used by the Commissioner of the Department of Real Estate to indicate that a dispute is ready to be formally heard and decided by the Administrative Law Judge.

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17F-H1717038-REL-RHG

3 sources

These documents chronicle the legal dispute between James and Shawna Larson (Petitioners) and the Tempe Gardens Townhouse Corporation (Respondent) concerning the removal of the Larsons’ patio cover for building maintenance. Initially, an Administrative Law Judge (ALJ) recommended dismissal because the Petitioners did not allege a current violation of the governing documents, thus lacking a justiciable controversy since the association had only threatened action. However, the Department of Real Estate Commissioner rejected this recommendation, asserting that a violation of the governing documents was alleged by the Respondent, making the matter ripe for adjudication. Following a rehearing, a different ALJ issued a final decision finding that the Respondent acted reasonably in requiring the patio cover removal for safe and proper painting and repairs, concluding that the Petitioners must bear the cost of removal and reinstallation as the cover is a limited common element.

3 sources

Based on 3 sources

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Case Participants

Petitioner Side

  • James Larson (petitioner)
  • Shawna Larson (petitioner)
  • Lisa M. Hanger (attorney)
    Counsel for Petitioners

Respondent Side

  • Nathan Tennyson (attorney)
    Brown Alcott PLLC
    Counsel for Respondent Tempe Gardens Townhouse Corporation
  • Wayne King (witness)
    Project manager hired by Respondent for the painting project; provided testimony

Neutral Parties

  • Suzanne Marwil (ALJ)
    Office of Administrative Hearings
    Authored Recommended Order Dismissal dated August 25, 2017
  • Thomas Shedden (ALJ)
    Office of Administrative Hearings
    Authored Administrative Law Judge Decision dated December 11, 2017
  • Judy Lowe (Commissioner)
    Arizona Department of Real Estate
    Rejected Recommendation of Dismissal
  • Dan Gardner (HOA coordinator)
    Transmitted documents (Order Rejecting Recommendation of Dismissal)

Other Participants

  • Chris Morga (contractor)
    Jacob and Co.
    Mentioned as a vendor who could remove patio covers

Barry Saxion vs. Silverton II Homeowners Association, Inc.

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Case Summary

Case ID 17F-H1716023-REL
Agency ADRE
Tribunal OAH
Decision Date 2017-05-16
Administrative Law Judge Tammy L. Eigenheer
Outcome The Commissioner of the Department of Real Estate accepted the ALJ Decision, ordering the petition be dismissed because the governing documents require the claim be handled through internal dispute resolution prior to administrative action.
Filing Fees Refunded $0.00
Civil Penalties $0.00

Parties & Counsel

Petitioner Barry Saxion Counsel —
Respondent Silverton II Homeowners Association, Inc. Counsel Troy B. Stratman, Esq.

Alleged Violations

Declaration Section 12.1

Outcome Summary

The Commissioner of the Department of Real Estate accepted the ALJ Decision, ordering the petition be dismissed because the governing documents require the claim be handled through internal dispute resolution prior to administrative action.

Why this result: Petitioner failed to use the mandatory dispute resolution procedures set forth in the Declaration before filing the administrative action.

Key Issues & Findings

Requirement for mandatory dispute resolution procedures

The Petition was dismissed because the Declaration of Homeowners Benefits and Covenants, Conditions, and Restrictions for Silverton II requires that all covered claims must be resolved using internal dispute resolution procedures in lieu of initiating administrative proceedings.

Orders: The ALJ recommended that the Petition be dismissed, and the Commissioner accepted the ALJ decision.

Filing fee: $0.00, Fee refunded: No

Disposition: respondent_win

Cited:

  • Declaration Section 12.1
  • A.R.S. § 41-1092.08

Analytics Highlights

Topics: Mandatory Dispute Resolution, Dismissal, Standing Issue Denied
Additional Citations:

  • Declaration Section 12.1
  • A.R.S. § 41-1092.08

Video Overview

Audio Overview

Decision Documents

17F-H1716023-REL Decision – 564668.pdf

Uploaded 2026-04-24T11:03:27 (51.2 KB)

17F-H1716023-REL Decision – 564672.pdf

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17F-H1716023-REL Decision – 568837.pdf

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17F-H1716023-REL Decision – 564668.pdf

Uploaded 2026-01-23T17:19:09 (51.2 KB)

17F-H1716023-REL Decision – 564672.pdf

Uploaded 2026-01-23T17:19:11 (54.6 KB)

17F-H1716023-REL Decision – 568837.pdf

Uploaded 2026-01-23T17:19:14 (425.5 KB)

Briefing on Case No. 17F-H1716023-REL: Saxion vs. Silverton II HOA

Executive Summary

This briefing details the administrative proceedings and final disposition of the case involving petitioners Barry and Sandra Saxion and respondent Silverton II Homeowners Association, Inc. The petition was ultimately dismissed by the Arizona Department of Real Estate, which adopted the recommendation of an Administrative Law Judge (ALJ). The dismissal was based on a procedural failure by the petitioners to adhere to the mandatory dispute resolution process outlined in the HOA’s governing documents before initiating administrative action.

The respondent’s motion for dismissal presented two primary arguments. The first, challenging petitioner Barry Saxion’s standing due to non-ownership of property, was denied by the ALJ, who found that co-petitioner Sandra Saxion did own property and had standing. The second, and decisive, argument was that the HOA’s Declaration explicitly requires all “covered claims” to be resolved through its internal dispute resolution procedures in lieu of administrative proceedings. The ALJ agreed with this argument, leading to a recommendation for dismissal, the vacating of a scheduled hearing, and the issuance of a final order confirming the dismissal.

Case Overview

This section outlines the primary participants, key identifiers, and procedural timeline of the administrative action.

Affiliation

Petitioner

Barry Saxion

Petitioner

Sandra Saxion

Property owner within the Association

Respondent

Silverton II Homeowners Association, Inc.

Adjudicator

Tammy L. Eigenheer

Administrative Law Judge, Office of Administrative Hearings

Final Authority

Judy Lowe

Commissioner, Arizona Department of Real Estate

Respondent’s Counsel

Troy B. Stratman, Esq.

Stratman Law Firm, PLC

Identifier

Case Number

HO 17-16/023

Docket Number

17F-H1716023-REL

Jurisdiction

Office of Administrative Hearings (OAH), Phoenix, Arizona

Referring Body

Arizona Department of Real Estate (Department)

• Petition Filed: Both Barry and Sandra Saxion signed a Homeowners Association (HOA) Dispute Process Petition.

• Referral to OAH: The Department of Real Estate referred the matter to the Office of Administrative Hearings, creating the caption Barry Saxion v. Silverton II Homeowners Association, Inc.

• Motion for Summary Judgment: The Respondent HOA filed a motion to dismiss the petition.

• May 16, 2017: Administrative Law Judge Tammy L. Eigenheer issued a decision recommending the petition be dismissed.

• May 16, 2017: A Minute Entry was issued, vacating the hearing scheduled for May 22, 2017, based on the dismissal recommendation.

• May 30, 2017: The Commissioner of the Department of Real Estate, Judy Lowe, issued a Final Order adopting the ALJ’s decision and officially dismissing the petition.

Analysis of the Motion for Summary Judgment

The Silverton II HOA’s Motion for Summary Judgment was the pivotal filing in this case. It presented two distinct arguments for dismissal, which were addressed separately by the Administrative Law Judge.

Respondent’s Arguments

1. Lack of Standing: The initial argument was that the petitioner, identified in the case caption as Barry Saxion, did not own property within the Association and therefore lacked the legal standing necessary to pursue the action.

2. Failure to Adhere to Governing Documents: The second argument was that the petition must be dismissed because it violated the procedural requirements set forth in the HOA’s governing documents. Specifically, Section 12.1 of the Declaration of Homeowners Benefits and Covenants, Conditions, and Restrictions for Silverton II (the “Declaration”) mandates a specific internal dispute resolution process for all “covered claims.”

Administrative Law Judge’s Decision

The ALJ’s decision, issued on May 16, 2017, analyzed both of the respondent’s arguments and made distinct recommendations for each.

• The ALJ recommended that the motion to dismiss be denied on the grounds of standing.

• The judge acknowledged the fact, undisputed by the petitioner, that Barry Saxion does not own property within the association.

• However, the judge’s review of the original HOA Dispute Process Petition revealed that Sandra Saxion, who does own property, had also signed the petition as a petitioner. The judge concluded that the case caption, which named only Barry Saxion, was an administrative creation by the Department of Real Estate upon referral.

• The finding was that Sandra Saxion clearly “has standing to pursue this action,” thereby nullifying the argument for dismissal based on a lack of standing.

• The ALJ recommended that the petition be dismissed for failing to follow the mandatory dispute resolution procedures outlined in the HOA’s Declaration.

• The judge cited Section 12.1 of the Declaration, which defines “covered claims” as “all claims, grievances, controversies, disagreements, or disputes that arise in whole or part out of . . . the interpretation, application, or enforcement of the Declaration or the other Project Documents.”

• The judge found that the current dispute fell squarely within this definition.

• The decision states that the “plain language of the Declaration prevents this dispute… to be brought in the Office of Administrative Hearings and mandates that the dispute must be handled through the dispute resolution process set forth in the Declaration and Bylaws.”

• The conclusion was that the petition was improperly filed, as the internal remedies had not been pursued first.

Final Disposition and Subsequent Actions

The ALJ’s recommendation to dismiss directly led to the final resolution of the case.

Vacating of Hearing

A Minute Entry dated May 16, 2017, formally vacated the hearing that was scheduled for May 22, 2017. The order was a direct result of the ALJ’s decision recommending the complaint be dismissed.

Final Order from the Department of Real Estate

On May 30, 2017, Judy Lowe, the Commissioner of the Department of Real Estate, issued a Final Order that officially concluded the matter.

• Adoption of ALJ Decision: The Order explicitly states, “The Commissioner accepts the ALJ decision that the petition in this matter be dismissed as the applicable governing documents require that the claim must be handled through the dispute resolution process prior to administrative proceedings being brought.”

• Effective Date: The Order was designated a “final administrative action” and was effective immediately from the date of service.

• Appellate Rights: The parties were informed of their right to file for a rehearing or review within 30 days of the order. They were also advised of their right to appeal for a judicial review by filing a complaint pursuant to Arizona Revised Statutes Title 12, Chapter 7, Article 6. A court-obtained stay would be required to delay the order during a judicial review.

Official Communications

The Final Order and related documents were formally transmitted to all parties of record via certified mail or electronic means on May 30, 2017. Recipients included:

• Barry Saxion

• Troy B. Stratman, Esq. (counsel for the HOA)

• The Office of Administrative Hearings

• Judy Lowe and other staff at the Arizona Department of Real Estate

Study Guide: Saxion v. Silverton II Homeowners Association, Inc.

Short-Answer Quiz

Instructions: Answer the following questions in two to three complete sentences, based on the information provided in the case documents.

1. Identify the primary parties involved in case number 17F-H1716023-REL and their respective roles.

2. What was the initial argument made by the Respondent, Silverton II HOA, in its Motion for Summary Judgement?

3. How did the Administrative Law Judge (ALJ) resolve the issue of Barry Saxion’s standing to pursue the action?

4. What was the second, and ultimately successful, argument presented by the Respondent for the case’s dismissal?

5. According to the HOA’s governing documents, what is the definition of a “covered claim”?

6. What was the final recommendation made by Administrative Law Judge Tammy L. Eigenheer in her decision dated May 16, 2017?

7. What immediate procedural action was taken as a result of the ALJ’s recommended decision on May 16, 2017?

8. Who formally accepted the ALJ’s decision, and what was the title of the document that finalized this acceptance?

9. What process must the petitioners now follow to resolve their dispute with the HOA, according to the final ruling?

10. Following the issuance of the Final Order on May 30, 2017, what right did the parties have if they disagreed with the decision?

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Answer Key

1. The primary parties were the Petitioners, Barry and Sandra Saxion, and the Respondent, Silverton II Homeowners Association, Inc. The Saxions initiated the dispute process, and the Homeowners Association was the entity against which the claim was filed.

2. The Respondent initially argued that the case should be dismissed because Petitioner Barry Saxion did not own property within the Association. This lack of ownership, they claimed, meant he did not possess the legal standing required to pursue the action.

3. The ALJ found that although Barry Saxion did not own property, Sandra Saxion did own property and had also signed the petition. Therefore, Sandra Saxion had standing to pursue the action, and the ALJ recommended denying the motion to dismiss on these grounds.

4. The Respondent’s successful argument was that Section 12.1 of the HOA’s Declaration required all covered claims to be resolved using the internal dispute resolution procedures set forth in the Declaration and Bylaws. They argued this must be done in lieu of initiating administrative proceedings.

5. A “covered claim” is defined as “all claims, grievances, controversies, disagreements, or disputes that arise in whole or part out of . . . the interpretation, application, or enforcement of the Declaration or the other Project Documents.”

6. On May 16, 2017, the ALJ recommended that the Petition be dismissed. She concluded that the plain language of the HOA’s governing documents required the claim to be handled through the internal dispute resolution process before any administrative proceedings could be brought.

7. As a result of the ALJ’s recommendation, an order was issued vacating the hearing that was scheduled for May 22, 2017. The parties were advised of this through a Minute Entry.

8. Judy Lowe, the Commissioner of the Department of Real Estate, formally accepted the ALJ’s decision. This was finalized in a document titled “Final Order,” dated May 30, 2017.

9. The petitioners must handle their claim through the dispute resolution process set forth in the Silverton II Declaration and Bylaws. The Final Order mandates that this internal process must be used prior to bringing administrative proceedings.

10. After the Final Order, pursuant to A.R.S. § 41-1092.09, a party had the right to file a motion for rehearing or review within thirty (30) days. They also had the right to appeal the final administrative decision by filing a complaint for judicial review.

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Essay Questions

Instructions: The following questions require a more detailed analysis of the case. Formulate a comprehensive response for each, drawing connections between the different documents and legal concepts presented.

1. Analyze the concept of “standing” as it was presented and resolved in this case. Discuss why Barry Saxion’s lack of property ownership did not result in the case’s dismissal on those grounds, and explain the role of the original Petition in the ALJ’s finding.

2. Explain the legal hierarchy and procedural flow of this dispute. Trace the case from the initial petition to the Final Order, identifying the specific roles and actions of the Department of Real Estate, the Office of Administrative Hearings, the Administrative Law Judge, and the Commissioner.

3. Discuss the significance of Section 12.1 of the “Declaration of Homeowners Benefits and Covenants, Conditions, and Restrictions for Silverton II.” How did the “plain language” of this specific clause determine the ultimate outcome of the administrative proceeding?

4. Evaluate the two distinct arguments made by the Respondent in their Motion for Summary Judgement. Compare the legal reasoning used by the Administrative Law Judge in her recommendations for each argument and explain why one argument failed while the other succeeded.

5. Describe the post-decision options available to the parties following the issuance of the Final Order on May 30, 2017. What specific steps could a party take if they disagreed with the outcome, what were the associated deadlines, and to whom would a request for rehearing be addressed?

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Glossary of Key Terms

Definition

Administrative Law Judge (ALJ)

An official who presides over administrative hearings, reviews evidence, and issues a recommended decision. In this case, the ALJ was Tammy L. Eigenheer.

Administrative Law Judge Decision

The formal written recommendation of the ALJ. In this matter, the decision recommended that the petition be dismissed based on the HOA’s governing documents.

Commissioner

The head of the Arizona Department of Real Estate. In this case, Commissioner Judy Lowe adopted the ALJ’s decision and issued the Final Order.

Covered Claims

A specific category of disputes defined in the HOA’s Declaration. It includes all claims, grievances, or disputes related to the interpretation, application, or enforcement of the HOA’s governing documents.

Declaration

The short name for the “Declaration of Homeowners Benefits and Covenants, Conditions, and Restrictions for Silverton II.” This is a core governing document for the HOA that dictates required procedures, such as dispute resolution.

Department of Real Estate (Department)

The Arizona state agency that referred the HOA dispute to the Office of Administrative Hearings and whose Commissioner issued the Final Order.

Final Order

A binding order issued by the Commissioner of the Department of Real Estate that accepts the ALJ’s decision. This order made the dismissal of the petition official and effective immediately.

Homeowners Association (HOA)

The governing body for the Silverton II community, which was the Respondent in this case.

Minute Entry

A brief entry on the case record noting a court or judge’s order or action. In this case, a Minute Entry was issued to vacate the scheduled May 22, 2017 hearing.

Motion for Summary Judgement

A formal request made by a party (in this case, the Respondent) asking the judge to rule in their favor without a full hearing, based on the argument that there are no disputed facts and the law is on their side.

Office of Administrative Hearings

The state office where the case was heard. It provides a neutral forum for resolving disputes involving state agencies.

Petitioner

The party who initiates a legal action or files a petition. In this case, the petitioners were Barry and Sandra Saxion.

Respondent

The party against whom a petition is filed. In this case, the respondent was the Silverton II Homeowners Association, Inc.

Standing

The legal right to bring a lawsuit or administrative action. In this context, standing was initially questioned based on property ownership within the HOA.

Why This Homeowner’s Complaint Against Their HOA Was Dismissed Before It Began

Dealing with a Homeowners Association (HOA) can be one of the most frustrating aspects of homeownership. When you feel the association is overstepping its bounds or failing to enforce the rules fairly, the natural impulse is to seek a formal resolution. Homeowners have rights, and there are official channels, like administrative hearings, designed to address these disputes.

But what if the path to justice has a mandatory detour you didn’t know about? The case of Saxion vs. Silverton II HOA is a powerful cautionary tale for any homeowner who believes they have a legitimate grievance. A close look at the official documents reveals surprising lessons, and it’s a stark reminder that in an HOA dispute, being right is not enough; you must also be procedurally perfect.

1. The Fine Print Is Your First Hurdle

The primary reason the homeowners’ petition was dismissed had nothing to do with the merits of their actual complaint. The Administrative Law Judge (ALJ) never weighed in on whether the homeowners were right or the HOA was wrong. Instead, the case was dismissed because the homeowners failed to follow the mandatory dispute resolution process required by their own HOA’s governing documents before they filed for an administrative hearing.

The association’s own rules legally required an internal process to be completed first. By going straight to an administrative filing, the homeowners had unintentionally bypassed a mandatory first step outlined in their governing documents. The ALJ pointed to the specific language in the HOA’s Declaration, which was the ultimate authority on the matter.

all covered claims “must be resolved using the dispute resolution procedures set forth . . . in [the] Declaration and the Bylaws in lieu of filing a lawsuit or initiating administrative proceedings.”

2. A Simple Clerical Error Can Jeopardize Your Entire Case

Before even getting to the core procedural issue, the HOA made another challenge that could have ended the case immediately. They argued that the petitioner officially named in the case caption, Barry Saxion, didn’t actually own property in the association and therefore had no legal standing.

This error, however, wasn’t made by the homeowners. The case documents reveal a critical lesson: when the Arizona Department of Real Estate referred the matter for a hearing, it was the agency that created the incorrect caption. This bureaucratic mistake could have been fatal, but the petition was saved because the ALJ noted that the original paperwork was signed by both Barry Saxion and Sandra Saxion, who did own property. Because both their names and signatures were on the petition, the ALJ could overlook the agency’s error. This highlights the need for homeowners to be vigilant, double-checking all official documents—even those prepared by a state agency.

3. A “Win” Doesn’t Always Mean Justice Was Served

The final outcome was not a judgment on the underlying disagreement. The petition was simply “dismissed.” This means the core issues the homeowners wanted to resolve were never actually heard or ruled on by the Administrative Law Judge.

The process itself is revealing. On May 16, 2017, the ALJ, Tammy L. Eigenheer, issued a recommendation that the complaint be dismissed. This recommendation was then reviewed by the Commissioner of the Department of Real Estate, Judy Lowe, who accepted it and issued a FINAL ORDER making the dismissal official on May 30, 2017. For the HOA, this was a victory won on a technicality. For the homeowners, it was a procedural dead end, preventing their core complaints from being heard in the administrative hearing. This shows how a legal victory can be won entirely on procedure, preventing the central conflict from ever being addressed.

Conclusion

The core lesson from the Saxion vs. Silverton II HOA case is clear: in a dispute with your HOA, understanding the procedural rules in your governing documents is just as important as the substance of your complaint. Failing to read and follow these rules can render your entire effort, no matter how justified, completely invalid. It can cost you time, money, and the opportunity to have your case heard at all. Before you take on your HOA, have you read the rulebook they require you to play by?

Case Participants

Petitioner Side

  • Barry Saxion (petitioner)
  • Sandra Saxion (petitioner)

Respondent Side

  • Troy B. Stratman (Respondent attorney)
    Stratman Law Firm, PLC

Neutral Parties

  • Tammy L. Eigenheer (ALJ)
  • Judy Lowe (Commissioner)
    Arizona Department of Real Estate
  • Abby Hansen (HOA Coordinator)
    Arizona Department of Real Estate
  • L. Dettorre (ADRE Staff)
    Arizona Department of Real Estate
  • D. Jones (ADRE Staff)
    Arizona Department of Real Estate
  • J. Marshall (ADRE Staff)
    Arizona Department of Real Estate
  • N. Cano (ADRE Staff)
    Arizona Department of Real Estate
  • M. Aguirre (Staff)