Tag Archives: Late Fee Limit

Brad W. Stevens vs. Mogollon Aripark, Inc.,

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Case Summary

Case ID 18F-H1818029-REL-RHG, 18F-H1818045-REL, 18F-H1818054-REL, 18F-H1818054-REL-RHG
Agency ADRE
Tribunal OAH
Decision Date 2019-03-01
Administrative Law Judge Thomas Shedden
Outcome partial
Filing Fees Refunded $1,500.00
Civil Penalties $0.00

Parties & Counsel

Petitioner Warren R. Brown Counsel —
Respondent Mogollon Airpark, Inc. Counsel Gregory A. Stein, Esq.; Mark K. Sahl, Esq.

Alleged Violations

A.R.S. § 33-1803(A)
A.R.S. § 33-1803(A)
A.R.S. § 33-1803(A)

Outcome Summary

The ALJ ruled that Mogollon Airpark, Inc. violated A.R.S. § 33-1803(A) by charging a $25 late fee, as the statutory limit applies to all assessments,. However, the ALJ found no violation regarding the $325 assessment increase because the $209 portion was a special assessment and the remaining regular increase did not exceed the 20% limit,,.

Why this result: The Petitioners' primary loss on the assessment cap issue was due to a failed legal interpretation that 'regular assessment' encompasses all assessments, a view the ALJ found would render statutory language redundant,.

Key Issues & Findings

Challenge to $325 Assessment Increase (Docket 029-RHG)

Petitioner Brown argued that 'regular assessment' refers to the procedure (motion, second, vote) and thus the entire $325 increase should be subject to the 20% cap,. The ALJ rejected this, finding that $116 was a regular increase (14.1%) and $209 was a special assessment, to which the cap did not apply,.

Orders: Petition in Docket No. 18F-H1818029-REL-RHG is dismissed.

Filing fee: $500.00, Fee refunded: No

Disposition: respondent_win

Cited:

  • A.R.S. § 33-1803(A)
  • Deer Valley v. Houser

Excessive Late Fee and Interest (Docket 045)

Petitioner Brown alleged that the $25 late charge and interest rate exceeded the limits of A.R.S. § 33-1803(A). The ALJ ruled that the statutory limit on late fees applies to all 'assessments', not just 'regular assessments', and found the HOA in violation,.

Orders: Respondent must rescind the $25 late fee and pay Petitioner his $500 filing fee within thirty days.

Filing fee: $500.00, Fee refunded: Yes

Disposition: petitioner_win

Cited:

  • A.R.S. § 33-1803(A)
  • U.S. Parking Sys v. City of Phoenix

Challenge to $325 Assessment Increase (Docket 054 & Rehearing)

Petitioner Stevens argued the entire $325 must be a regular assessment because the HOA lacked authority to impose special assessments or used deceptive accounting to justify the increase,,. The ALJ found that 'regular assessment' is a specific type of assessment and the $116 increase (14.1%) did not exceed the cap,,.

Orders: Petition in Docket No. 18F-H1818054-REL and the subsequent rehearing are dismissed,.

Filing fee: $500.00, Fee refunded: No

Disposition: respondent_win

Cited:

  • A.R.S. § 33-1803(A)
  • A.R.S. § 33-1806
  • Northwest Fire District v. U.S. Home of Arizona

Analytics Highlights

Topics: Assessment Increase Cap, Regular Assessment vs Special Assessment, Late Fee Limit, Statutory Construction, Accounting Impropriety Allegations, Rehearing, Consolidated Matter
Additional Citations:

  • A.R.S. § 33-1803(A)
  • A.R.S. § 33-1806
  • A.R.S. § 32-2199.02(B)
  • A.R.S. Title 32, Ch. 20, Art. 11
  • A.A.C. § R2-19-119
  • Deer Valley v. Houser, 214 Ariz. 293, 296, 152 P.3d 490, 493 (2007)
  • U.S. Parking Sys v. City of Phoenix, 160 Ariz. 210, 211, 772 P.2d 33, 34 (App. 1989)
  • McNally v. Sun Lakes Homeowners Ass’n #1, Inc., 241 Ariz. 1, 382 P.3d 1216 (2016 App.)
  • Tierra Ranchos Homeowners Ass'n v. Kitchukov, 216 Ariz. 195, 165 P.3d 173 (App. 2007)
  • Gutierrez v. Industrial Commission of Arizona
  • State v. McFall, 103 Ariz. 234, 238, 439 P.2d 805, 809 (1968)
  • Northwest Fire District v. U.S. Home of Arizona, 215 Ariz. 492 (2007)

Decision Documents

18F-H1818054-REL Decision – 666285.pdf

Uploaded 2025-12-19T15:21:24 (151.9 KB)

18F-H1818054-REL Decision – 672623.pdf

Uploaded 2025-12-19T15:21:25 (144.6 KB)

Case Participants

Petitioner Side

  • Warren R. Brown (petitioner)
    Appeared on his own behalf
  • Brad W. Stevens (petitioner)
    Appeared on his own behalf and testified

Respondent Side

  • Gregory A. Stein (respondent attorney)
    CARPENTER, HAZLEWOOD, DELGADO & BOLEN LLP
    Counsel for Respondent, referred to as Greg Stein in rehearing
  • Mark K. Sahl (respondent attorney)
    CARPENTER, HAZLEWOOD, DELGADO & BOLEN LLP
    Counsel for Respondent (also spelled Sahl/Saul)

Neutral Parties

  • Thomas Shedden (ALJ)
    Office of Administrative Hearings
  • Judy Lowe (commissioner)
    Arizona Department of Real Estate
  • Felicia Del Sol (staff/clerk)
    Transmitting staff