John Zumph v. Sanalina Homeowners Association

Case Summary

Case ID 22F-H2222049-REL
Agency ADRE
Tribunal OAH
Decision Date 2022-08-01
Administrative Law Judge Adam D. Stone
Outcome The ALJ denied the petition, concluding that the Sanalina HOA did not violate its Bylaws when it removed Petitioner John Zumph from the Board of Directors. The tribunal held that a 'regular meeting' can occur even without the presence of a quorum necessary to conduct business, validating the HOA's decision to declare his office vacant after three consecutive absences.
Filing Fees Refunded $500.00
Civil Penalties $0.00

Parties & Counsel

Petitioner John Zumph Counsel
Respondent Sanalina Homeowners Association Counsel Nick Eicher

Alleged Violations

Bylaws Article VII Section 1(d)

Outcome Summary

The ALJ denied the petition, concluding that the Sanalina HOA did not violate its Bylaws when it removed Petitioner John Zumph from the Board of Directors. The tribunal held that a 'regular meeting' can occur even without the presence of a quorum necessary to conduct business, validating the HOA's decision to declare his office vacant after three consecutive absences.

Why this result: The Petitioner failed to establish by a preponderance of the evidence that the Respondent violated the Bylaws. The ALJ determined that the meetings existed despite lack of quorum, and the Petitioner's intentional absences constituted an abuse of process and were not in the spirit of the bylaws.

Key Issues & Findings

Wrongful removal from the Board of Directors

Petitioner challenged his removal from the Board of Directors, arguing that his three consecutive absences from regularly scheduled meetings (July 8, 2021, September 9, 2021, and November 11, 2021) did not count because no quorum was met at those meetings, meaning the meetings did not exist.

Orders: Petitioner's petition is denied.

Filing fee: $500.00, Fee refunded: No

Disposition: petitioner_loss

Cited:

  • A.R.S. § 32-2199(B)
  • A.R.S. § 41-1092.07(G)(2)
  • A.R.S. § 41-1092
  • A.A.C. R2-19-119(A)
  • A.A.C. R2-19-119(B)(1)
  • A.A.C. R2-19-119(B)(2)
  • Sanalina Bylaws Article VII Section 1(d)
  • Sanalina Bylaws Article VI Section 3

Analytics Highlights

Topics: HOA Board Removal, Quorum Dispute, Bylaw Interpretation, Director Absence, Regular Meeting Definition
Additional Citations:

  • A.R.S. § 32-2199.02(B)
  • A.R.S. § 32-2199.04
  • A.R.S. § 41-1092
  • A.R.S. § 41-1092.09
  • 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)
  • Sanalina Bylaws Article VII Section 1(d)
  • Sanalina Bylaws Article VI Section 3

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Video Overview

Audio Overview

Decision Documents

22F-H2222049-REL Decision – 988629.pdf

Uploaded 2026-04-24T11:52:44 (105.3 KB)

22F-H2222049-REL Decision – 988629.pdf

Uploaded 2026-01-23T17:48:27 (105.3 KB)

Summary of Hearing Proceedings and Decision

This matter, docket number 22F-H22249-REL, involved Petitioner John Zumph, a homeowner and former Board member, challenging his removal from the Sanalina Homeowners Association ("Sanalina") Board of Directors ("Board") by the Respondent, Sanalina. The hearing was held on July 19, 2022, before Administrative Law Judge Adam D. Stone.

Key Facts and Issues:

Mr. Zumph served on the six-person Board for approximately seven years and was removed on March 10, 2022. The Board declared his office vacant pursuant to Bylaws Article VII Section 1(d), which permits removal if a member is absent from three consecutive regular meetings. The three meetings in question were regularly scheduled for July 8, 2021, September 9, 2021, and November 11, 2021.

Zumph admitted sending an email prior to the July meeting stating that he, along with others, would not attend future meetings in 2021 unless certain conditions were met, specifically requiring the resignation of two specific directors (one from a household that had two members on the Board, and the current president).

Petitioner’s Argument (John Zumph):

The primary legal issue hinged on the definition and application of "quorum". Zumph argued that since the Board requires a majority (four out of six directors) to constitute a quorum for the transaction of business (Article VI Section 3), and a quorum was not met at the three meetings he missed, those gatherings were not officially recognized as "meetings" of the Board. Therefore, he asserted, he could not have missed three consecutive regular meetings as defined by the bylaws.

Respondent’s Argument (Sanalina HOA):

Sanalina argued that regularly scheduled meetings were held on the specified dates, even if quorum was lacking. Lack of quorum prevents the *transaction of business* (i.e., votes and legal actions), but does not invalidate the meeting itself. Testimony from Board Secretary Lisa Terror confirmed that directors, the community manager, and homeowners attended the meetings, discussed agenda topics, and received community updates, though no business could be transacted. Sanalina emphasized that Zumph intentionally refused to attend to prevent quorum, which led to significant delays in association business (e.g., eight months for appeals, $9,000 cost increase for painting due to delayed votes).

Final Decision and Outcome:

The Administrative Law Judge concluded that a meeting can exist without a quorum, but no business (votes) can occur. The tribunal found Zumph's argument that the meetings did not exist due to lack of quorum "unpersuasive". The ALJ further determined that Zumph intentionally missed the meetings to "hijack" the process, halting association business, which was unacceptable and not in the spirit of the bylaws.

The ALJ found that the Petitioner did not establish that the Respondent violated Bylaws Article VII Section 1(d).

The petition was denied in a decision issued on August 1, 2022.

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22F-H2222049-REL

2 sources

These sources document an Arizona administrative hearing and the subsequent legal ruling regarding a dispute between John Zumph and the Sanalina Homeowners Association. Zumph challenged his removal from the Board of Directors, which the association justified based on his absence from three consecutive meetings. While Zumph argued that these sessions did not legally qualify as meetings due to a lack of quorum, the association contended he intentionally skipped them to obstruct board business and force leadership changes. The provided transcript details the testimony and cross-examination of the parties involved, highlighting the internal conflicts within the board. Ultimately, the Administrative Law Judge ruled in favor of the association, concluding that meetings can exist even without a quorum to transact business. The final decision affirmed that Zumph’s intentional absences harmed the community and legally permitted the board to declare his seat vacant.

What was the core disagreement regarding the definition of a quorum?
Explain the impacts of the board’s inability to conduct official business.
How did the Administrative Law Judge rule on the petitioner’s removal?

Thursday, February 12

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Select all sources

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22F-H2222049-REL

2 sources

These sources document an Arizona administrative hearing and the subsequent legal ruling regarding a dispute between John Zumph and the Sanalina Homeowners Association. Zumph challenged his removal from the Board of Directors, which the association justified based on his absence from three consecutive meetings. While Zumph argued that these sessions did not legally qualify as meetings due to a lack of quorum, the association contended he intentionally skipped them to obstruct board business and force leadership changes. The provided transcript details the testimony and cross-examination of the parties involved, highlighting the internal conflicts within the board. Ultimately, the Administrative Law Judge ruled in favor of the association, concluding that meetings can exist even without a quorum to transact business. The final decision affirmed that Zumph’s intentional absences harmed the community and legally permitted the board to declare his seat vacant.

What was the core disagreement regarding the definition of a quorum?
Explain the impacts of the board’s inability to conduct official business.
How did the Administrative Law Judge rule on the petitioner’s removal?

Thursday, February 12

Save to note

Today • 1:35 PM

2 sources

Video Overview

Mind Map

Reports

Flashcards

Quiz

Infographic

Slide Deck

Data Table

NotebookLM can be inaccurate; please double check its responses.

Case Participants

Petitioner Side

  • John Zumph (petitioner)
    Sanalina Homeowners Association
    Also referred to as John Zump or John Edward Dump; Former Board member removed from his position
  • Pete Selei (board member)
    Sanalina Homeowners Association
    Aligned with petitioner's refusal to attend meetings; Board member removed/vacated position; Also referred to as Joe Pete or Pete
  • Joe (board member)
    Sanalina Homeowners Association
    Aligned with petitioner's refusal to attend meetings

Respondent Side

  • Nick Eicher (HOA attorney)
    Sanalina Homeowners Association
    Also referred to as Nick Aker
  • Lisa Jean Terror (board member)
    Sanalina Homeowners Association
    Board Secretary; witness for Respondent

Neutral Parties

  • Adam D. Stone (ALJ)
    OAH
  • Louis Dettorre (commissioner)
    Arizona Department of Real Estate
  • Miranda Alvarez (legal secretary)

Other Participants

  • Thomas Campanella (property manager)
    Sanalina Homeowners Association
    Community Manager; Also referred to as Thomas Pampanella
  • Javier Gimenez (management representative)
    Sanalina Homeowners Association
    Handled minutes for March meeting

Gregory Ehle V. Fulton Ranch Homeowners Association

Case Summary

Case ID 22F-H2222031-REL
Agency ADRE
Tribunal OAH
Decision Date 2022-07-11
Administrative Law Judge Velva Moses-Thompson
Outcome The Administrative Law Judge dismissed the petition after finding that the Petitioner failed to meet his burden of proof to show that the Fulton Ranch Homeowners Association violated A.R.S. § 33-1804(E)(2) concerning an emergency board meeting. The evidence established that no such meeting took place, and the statute does not require the Board to hold one.
Filing Fees Refunded $500.00
Civil Penalties $0.00

Parties & Counsel

Petitioner Gregory Ehle Counsel
Respondent Fulton Ranch Homeowners Association Counsel Emily H. Mann, Esq.

Alleged Violations

A.R.S. § 33-1804(E)(2)

Outcome Summary

The Administrative Law Judge dismissed the petition after finding that the Petitioner failed to meet his burden of proof to show that the Fulton Ranch Homeowners Association violated A.R.S. § 33-1804(E)(2) concerning an emergency board meeting. The evidence established that no such meeting took place, and the statute does not require the Board to hold one.

Why this result: Petitioner failed to establish the violation by a preponderance of the evidence, as he conceded he did not know if an emergency meeting was held and could not provide legal authority showing that one was required.

Key Issues & Findings

Alleged violation regarding an emergency meeting of the board members.

Petitioner alleged that the Respondent HOA violated A.R.S. § 33-1804(E)(2) concerning the procedures for an emergency board meeting, specifically regarding a message sent out by the HOA's managing agent. The case proceeded on this single issue after Petitioner failed to pay the required additional filing fees for four total issues claimed.

Orders: The Administrative Law Judge dismissed the petition, concluding that the Respondent HOA did not hold an emergency board meeting and was not required by A.R.S. § 33-1804(E)(2) to hold one.

Filing fee: $500.00, Fee refunded: No

Disposition: respondent_win

Cited:

  • A.R.S. § 33-1804(E)(2)
  • 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)
  • MORRIS K. UDALL, ARIZONA LAW OF EVIDENCE § 5 (1960)
  • BLACK’S LAW DICTIONARY at page 1220 (8th ed. 1999)

Analytics Highlights

Topics: emergency meeting, board of directors, failure to pay filing fee, burden of proof, dismissal, A.R.S. 33-1804
Additional Citations:

  • A.R.S. § 33-1804(E)(2)
  • 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)
  • MORRIS K. UDALL, ARIZONA LAW OF EVIDENCE § 5 (1960)
  • BLACK’S LAW DICTIONARY at page 1220 (8th ed. 1999)

Video Overview

Audio Overview

Decision Documents

22F-H2222031-REL Decision – 964714.pdf

Uploaded 2026-04-24T11:47:06 (48.2 KB)

22F-H2222031-REL Decision – 964973.pdf

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22F-H2222031-REL Decision – 965150.pdf

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22F-H2222031-REL Decision – 965339.pdf

Uploaded 2026-04-24T11:47:28 (40.0 KB)

22F-H2222031-REL Decision – 967084.pdf

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22F-H2222031-REL Decision – 967089.pdf

Uploaded 2026-04-24T11:47:38 (45.1 KB)

22F-H2222031-REL Decision – 967102.pdf

Uploaded 2026-04-24T11:47:41 (7.1 KB)

22F-H2222031-REL Decision – 973304.pdf

Uploaded 2026-04-24T11:47:44 (47.0 KB)

22F-H2222031-REL Decision – 977404.pdf

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22F-H2222031-REL Decision – 982867.pdf

Uploaded 2026-04-24T11:47:50 (106.4 KB)

22F-H2222031-REL Decision – 964714.pdf

Uploaded 2026-01-23T17:44:36 (48.2 KB)

22F-H2222031-REL Decision – 964973.pdf

Uploaded 2026-01-23T17:44:39 (18.9 KB)

22F-H2222031-REL Decision – 965150.pdf

Uploaded 2026-01-23T17:44:42 (44.4 KB)

22F-H2222031-REL Decision – 965339.pdf

Uploaded 2026-01-23T17:44:46 (40.0 KB)

22F-H2222031-REL Decision – 967084.pdf

Uploaded 2026-01-23T17:44:50 (55.7 KB)

22F-H2222031-REL Decision – 967089.pdf

Uploaded 2026-01-23T17:44:54 (45.1 KB)

22F-H2222031-REL Decision – 967102.pdf

Uploaded 2026-01-23T17:44:59 (7.1 KB)

22F-H2222031-REL Decision – 973304.pdf

Uploaded 2026-01-23T17:45:02 (47.0 KB)

22F-H2222031-REL Decision – 977404.pdf

Uploaded 2026-01-23T17:45:06 (50.3 KB)

22F-H2222031-REL Decision – 982867.pdf

Uploaded 2026-01-23T17:45:09 (106.4 KB)

This summary details the proceedings, key arguments, and final decision in the administrative hearing case of *Gregory Ehle v. Fulton Ranch Homeowners Association* (No. 22F-H2222031-REL), held before Administrative Law Judge (ALJ) Velva Moses-Thompson.

Key Facts and Procedural History

Petitioner Gregory Ehle filed a petition with the Arizona Department of Real Estate (AZDRE) around February 2, 2022, alleging four separate violations by the Respondent, Fulton Ranch Homeowners Association (Fulton Ranch). Ehle paid a $500 filing fee, but the tribunal ordered him to remit an additional $1,500 for the four claims. Ehle failed to pay the outstanding fee by the deadline (May 6, 2022). Consequently, and because Ehle failed to notify the tribunal of his preferred single issue, the ALJ determined that the sole issue to be addressed at the June 21, 2022, hearing was an alleged violation of A.R.S. § 33-1804(E)(2) concerning an emergency meeting of the board members.

Hearing Proceedings and Main Arguments

The hearing took place on June 21, 2022. Petitioner Ehle, appearing on his own behalf, initially failed to appear, but the hearing proceeded after he connected virtually.

Petitioner's Argument: Ehle contended that a November 12, 2020, notice issued by Fulton Ranch regarding the cessation of responses to his emails constituted a matter of urgency that should have necessitated an emergency board meeting. Ehle alleged that if an emergency meeting had been conducted, the required minutes were not published at the next regular board meeting. However, under examination, Ehle conceded that he was unaware of whether an emergency board meeting was actually held.

Respondent's Argument: Fulton Ranch, represented by Emily Mann, Esq., argued for dismissal on multiple grounds, including a potential bar by the one-year statute of limitations. The primary argument, supported by testimony from Kevin Hearty (Division Vice President for the community manager, CCMC), was that no emergency board meeting occurred between September 2020 and November 12, 2020. Fulton Ranch asserted that A.R.S. § 33-1804(E)(2) governs the *procedure* for an emergency meeting, and since no meeting was held, no violation of the procedure could have occurred.

Outcome and Legal Decision

The ALJ issued the decision on July 11, 2022.

Key Legal Points and Findings:

  1. Petitioner bore the burden of proof to establish a violation by a preponderance of the evidence.
  2. The weight of the evidence showed that Fulton Ranch did not hold an emergency board meeting regarding the decision concerning Mr. Ehle's emails.
  3. The ALJ explicitly concluded that A.R.S. § 33-1804(E)(2) allows the Board to conduct an emergency meeting, but the statute does not require the Board to hold one. Ehle failed to provide legal authority supporting his contention that a meeting was mandatory.

Final Decision: Because Ehle failed to establish that Fulton Ranch violated A.R.S. § 33-1804(E)(2), the Administrative Law Judge dismissed the petition.

Questions

Question

Is my HOA board legally required to hold an emergency meeting for urgent matters?

Short Answer

No, the statute allows for emergency meetings but does not mandate them.

Detailed Answer

The ALJ determined that while state law permits a board to call an emergency meeting for issues that cannot wait 48 hours, the homeowner failed to prove there is any legal requirement forcing the board to hold one. The board has the discretion to call such meetings but is not obligated to do so.

Alj Quote

Mr. Ehle failed to provide any legal authority in his petition or at hearing to support his contention that the Board was required to hold an emergency board meeting.

Legal Basis

A.R.S. § 33-1804(E)(2)

Topic Tags

  • emergency meetings
  • board obligations

Question

Who is responsible for proving that the HOA violated the law?

Short Answer

The homeowner (petitioner) bears the burden of proof.

Detailed Answer

In an administrative hearing, the homeowner filing the complaint must prove their case by a 'preponderance of the evidence,' meaning they must show it is more likely than not that the violation occurred.

Alj Quote

Petitioner bears the burden of proof to establish that Respondent violated the Act or Respondent’s 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 standards

Question

Can I be penalized if I don't pay the full filing fees for all my complaints?

Short Answer

Yes, the tribunal will limit the hearing to only the issues covered by the paid fees.

Detailed Answer

If a homeowner alleges multiple violations but only pays the filing fee for one, the tribunal may dismiss the unpaid claims and order the homeowner to choose a single issue to proceed with at the hearing.

Alj Quote

The tribunal ordered Petitioner to pay an additional $1,500 for the four issues claimed. However, Petitioner failed to do so… IT IS ORDERED that the single issue to be addressed at hearing is an alleged violation of A.R.S. § 33-1804(E)(2)…

Legal Basis

Procedural Order

Topic Tags

  • filing fees
  • procedure

Question

Can I punish my HOA for failing to produce minutes for a meeting they claim never happened?

Short Answer

No, if no meeting was held, there are no minutes to produce.

Detailed Answer

You cannot successfully claim a procedural violation (like missing minutes) for a meeting that did not take place. If the evidence shows no meeting occurred, the claim will be dismissed.

Alj Quote

The weight of the evidence shows that Fulton Ranch did not hold an emergency board meeting… Therefore, the Administrative Law Judge concludes that Mr. Ehle has failed to establish that Fulton Ranch violated A.R.S. § 33-1804(E)(2) and the petition should be dismissed.

Legal Basis

A.R.S. § 33-1804(E)(2)

Topic Tags

  • meeting minutes
  • evidence

Question

What qualifies as an 'emergency' for an HOA board meeting?

Short Answer

Matters that cannot be delayed for the standard 48-hour notice period.

Detailed Answer

State law defines an emergency meeting as one called to discuss business or take action that is too urgent to wait for the standard 48 hours required for notice of a regular meeting.

Alj Quote

An emergency meeting of the board of directors may be called to discuss business or take action that cannot be delayed for the forty-eight hours required for notice.

Legal Basis

A.R.S. § 33-1804(E)(2)

Topic Tags

  • emergency meetings
  • definitions

Question

Can I attend my HOA dispute hearing virtually?

Short Answer

Yes, hearings can be conducted via video conferencing or telephone.

Detailed Answer

The Office of Administrative Hearings allows parties to appear either in person or virtually (e.g., via Google Meet) for the proceedings.

Alj Quote

Either party may appear virtually or in person for the hearing.

Legal Basis

Procedural Order

Topic Tags

  • hearings
  • procedure

Question

What does 'preponderance of the evidence' mean?

Short Answer

It means the evidence shows the claim is more probably true than not.

Detailed Answer

This is the standard of proof used in these hearings. It is not about the number of witnesses, but the convincing force of the evidence that inclines an impartial mind to one side.

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 definitions
  • evidence

Case

Docket No
22F-H2222031-REL
Case Title
Gregory Ehle v. Fulton Ranch Homeowners Association
Decision Date
2022-07-11
Alj Name
Velva Moses-Thompson
Tribunal
OAH
Agency
ADRE

Questions

Question

Is my HOA board legally required to hold an emergency meeting for urgent matters?

Short Answer

No, the statute allows for emergency meetings but does not mandate them.

Detailed Answer

The ALJ determined that while state law permits a board to call an emergency meeting for issues that cannot wait 48 hours, the homeowner failed to prove there is any legal requirement forcing the board to hold one. The board has the discretion to call such meetings but is not obligated to do so.

Alj Quote

Mr. Ehle failed to provide any legal authority in his petition or at hearing to support his contention that the Board was required to hold an emergency board meeting.

Legal Basis

A.R.S. § 33-1804(E)(2)

Topic Tags

  • emergency meetings
  • board obligations

Question

Who is responsible for proving that the HOA violated the law?

Short Answer

The homeowner (petitioner) bears the burden of proof.

Detailed Answer

In an administrative hearing, the homeowner filing the complaint must prove their case by a 'preponderance of the evidence,' meaning they must show it is more likely than not that the violation occurred.

Alj Quote

Petitioner bears the burden of proof to establish that Respondent violated the Act or Respondent’s 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 standards

Question

Can I be penalized if I don't pay the full filing fees for all my complaints?

Short Answer

Yes, the tribunal will limit the hearing to only the issues covered by the paid fees.

Detailed Answer

If a homeowner alleges multiple violations but only pays the filing fee for one, the tribunal may dismiss the unpaid claims and order the homeowner to choose a single issue to proceed with at the hearing.

Alj Quote

The tribunal ordered Petitioner to pay an additional $1,500 for the four issues claimed. However, Petitioner failed to do so… IT IS ORDERED that the single issue to be addressed at hearing is an alleged violation of A.R.S. § 33-1804(E)(2)…

Legal Basis

Procedural Order

Topic Tags

  • filing fees
  • procedure

Question

Can I punish my HOA for failing to produce minutes for a meeting they claim never happened?

Short Answer

No, if no meeting was held, there are no minutes to produce.

Detailed Answer

You cannot successfully claim a procedural violation (like missing minutes) for a meeting that did not take place. If the evidence shows no meeting occurred, the claim will be dismissed.

Alj Quote

The weight of the evidence shows that Fulton Ranch did not hold an emergency board meeting… Therefore, the Administrative Law Judge concludes that Mr. Ehle has failed to establish that Fulton Ranch violated A.R.S. § 33-1804(E)(2) and the petition should be dismissed.

Legal Basis

A.R.S. § 33-1804(E)(2)

Topic Tags

  • meeting minutes
  • evidence

Question

What qualifies as an 'emergency' for an HOA board meeting?

Short Answer

Matters that cannot be delayed for the standard 48-hour notice period.

Detailed Answer

State law defines an emergency meeting as one called to discuss business or take action that is too urgent to wait for the standard 48 hours required for notice of a regular meeting.

Alj Quote

An emergency meeting of the board of directors may be called to discuss business or take action that cannot be delayed for the forty-eight hours required for notice.

Legal Basis

A.R.S. § 33-1804(E)(2)

Topic Tags

  • emergency meetings
  • definitions

Question

Can I attend my HOA dispute hearing virtually?

Short Answer

Yes, hearings can be conducted via video conferencing or telephone.

Detailed Answer

The Office of Administrative Hearings allows parties to appear either in person or virtually (e.g., via Google Meet) for the proceedings.

Alj Quote

Either party may appear virtually or in person for the hearing.

Legal Basis

Procedural Order

Topic Tags

  • hearings
  • procedure

Question

What does 'preponderance of the evidence' mean?

Short Answer

It means the evidence shows the claim is more probably true than not.

Detailed Answer

This is the standard of proof used in these hearings. It is not about the number of witnesses, but the convincing force of the evidence that inclines an impartial mind to one side.

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 definitions
  • evidence

Case

Docket No
22F-H2222031-REL
Case Title
Gregory Ehle v. Fulton Ranch Homeowners Association
Decision Date
2022-07-11
Alj Name
Velva Moses-Thompson
Tribunal
OAH
Agency
ADRE

Case Participants

Petitioner Side

  • Gregory Ehle (petitioner)
    Appeared on behalf of himself.

Respondent Side

  • Emily H. Mann (HOA attorney)
    Phillips, Maceyko & Battock, PLLC
    Appeared on behalf of Respondent Fulton Ranch Homeowners Association.
  • Kevin Hardy (witness)
    CCMC
    Division Vice President for Fulton Ranch's Community Manager (CCMC).

Neutral Parties

  • Velva Moses-Thompson (ALJ)
    OAH
  • Louis Dettorre (Commissioner)
    ADRE
  • Miranda Alvarez (legal secretary)
    OAH
    Handled document transmission.
  • c. serrano (staff)
    OAH
    Handled document transmission.
  • A. Hansen (staff)
    ADRE
    Listed as contact for ADRE.
  • v. nunez (staff)
    ADRE
    Listed as contact for ADRE.
  • d. jones (staff)
    ADRE
    Listed as contact for ADRE.
  • l. abril (staff)
    ADRE
    Listed as contact for ADRE.

Other Participants

  • Natasha Bell (community manager)
    CCMC
    Former CCMC employee who served as the association's community manager in 2020.

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

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 Decision – 964044.pdf

Uploaded 2026-04-24T11:40:20 (50.6 KB)

22F-H2221017-REL Decision – 970320.pdf

Uploaded 2026-04-24T11:40:24 (58.5 KB)

22F-H2221017-REL Decision – 974011.pdf

Uploaded 2026-04-24T11:40:27 (58.7 KB)

22F-H2221017-REL Decision – 982006.pdf

Uploaded 2026-04-24T11:40:30 (54.7 KB)

22F-H2221017-REL Decision – 982097.pdf

Uploaded 2026-04-24T11:40:33 (7.7 KB)

22F-H2221017-REL Decision – 994010.pdf

Uploaded 2026-04-24T11:40:36 (108.6 KB)

22F-H2221017-REL Decision – 948254.pdf

Uploaded 2026-04-24T11:40:41 (68.7 KB)

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: 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?

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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.

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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?

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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.

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)
    Homeowner and member of Sun Lakes HOA
  • Ralph Howlen (witness / homeowner)
    Spelled Howland in some transcript passages.
  • Felicia Kuba (potential witness / homeowner)
    Potential witness regarding court injury/conditions.
  • Ed Campy (former tennis club president)
    Notified Horn of the November meeting.
  • Robert Miller (homeowner)
    Former tennis club member who asked a question at the July 6 meeting.

Respondent Side

  • Emily H. Mann (HOA attorney)
    Phillips, Maceyko and Battock, PLLC
  • Chris Johnston (HOA representative / Account Manager)
    USI Insurance Services LLC
    Senior Account Manager; listed as point of contact for Respondent
  • Kelly Haynes (general manager / witness)
    Sun Lakes Homeowners Association #1, Inc.
  • Janice Cornoyer (HOA president / witness)
    Sun Lakes Homeowners Association #1, Inc.
  • Jimmy Burns (facilities maintenance manager / witness)
    Sun Lakes Homeowners Association #1, Inc.
  • Emily Jones (HOA employee)
    Sun Lakes Homeowners Association #1, Inc.
    Employee who works with computers in the HOA office.
  • Steve Howell (board member)
    Sun Lakes Homeowners Association #1, Inc.
    Read in the motion at the July 6 meeting.

Neutral Parties

  • Velva Moses-Thompson (ALJ)
    OAH
  • Louis Dettorre (Commissioner)
    Arizona Department of Real Estate
  • Miranda Alvarez (Legal Secretary)
    OAH/ADRE
    Transmitted documents.
  • c. serrano (Transmitting Agent)
    OAH/ADRE
    Transmitted documents.
  • AHansen (ADRE staff)
    Arizona Department of Real Estate
    Listed as email recipient/attn.
  • djones (ADRE staff)
    Arizona Department of Real Estate
    Listed as email recipient/attn.
  • DGardner (ADRE staff)
    Arizona Department of Real Estate
    Listed as email recipient/attn.
  • vnunez (ADRE staff)
    Arizona Department of Real Estate
    Listed as email recipient/attn.
  • labril (ADRE staff)
    Arizona Department of Real Estate
    Listed as email recipient/attn.

Other Participants

  • Dennis Anderson (observer)
    Joined hearing via Google Meet.
  • Mark Gotman (observer)
    Joined hearing via Google Meet.

Brenda C Norman v. Rancho Del Lago Community Association

Case Summary

Case ID 22F-H2221019-REL
Agency ADRE
Tribunal OAH
Decision Date 2022-01-18
Administrative Law Judge Adam D. Stone
Outcome Petitioner was deemed the prevailing party and RDLCA was ordered to comply with CC&R Section 3.1(D)(3) and refund the $500.00 filing fee. The specific remedy requested by Petitioner (ordering RDLCA to fine the neighbor or force light removal) was denied as the ALJ lacked statutory authority (A.R.S. § 32-2199.02) to grant that relief.
Filing Fees Refunded $500.00
Civil Penalties $0.00

Parties & Counsel

Petitioner Brenda C Norman Counsel
Respondent Rancho Del Lago Community Association Counsel Mackenzie Hill, Esq.

Alleged Violations

Section 3.1(D)(3) of the CC&Rs

Outcome Summary

Petitioner was deemed the prevailing party and RDLCA was ordered to comply with CC&R Section 3.1(D)(3) and refund the $500.00 filing fee. The specific remedy requested by Petitioner (ordering RDLCA to fine the neighbor or force light removal) was denied as the ALJ lacked statutory authority (A.R.S. § 32-2199.02) to grant that relief.

Key Issues & Findings

Violation of CC&R regarding flood illumination direction and ARC approval process.

Petitioner alleged that Respondent (RDLCA) violated CC&R 3.1(D)(3) because a neighbor installed flood lights shining onto Petitioner's property without RDLCA approval (ARC approval). The ALJ found RDLCA in violation because the lights were never approved.

Orders: RDLCA must comply with CC&R Section 3.1(D)(3) and pay Petitioner her $500.00 filing fee. No civil penalty was levied.

Filing fee: $500.00, Fee refunded: Yes

Disposition: petitioner_win

Cited:

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

Analytics Highlights

Topics: HOA, CC&R, Lighting, Architectural Review, Filing Fee Refund
Additional Citations:

  • A.R.S. § 32-2199
  • A.R.S. § 41-1092.07(G)(2)
  • A.A.C. R2-19-119(A)
  • A.A.C. R2-19-119(B)(1)
  • Vazzano v. Superior Court, 74 Ariz. 369, 372, 249 P.2d 837 (1952)
  • A.R.S. § 32-2199.02
  • A.R.S. § 32-2199.04
  • A.R.S. § 41-1092.09

Video Overview

Audio Overview

Decision Documents

22F-H2221019-REL Decision – 939490.pdf

Uploaded 2026-04-26T09:57:40 (95.0 KB)

22F-H2221019-REL Decision – 939490.pdf

Uploaded 2026-01-23T17:42:27 (95.0 KB)

This summary details the administrative hearing proceedings in the matter of *Brenda C Norman v. Rancho Del Lago Community Association* (RDLCA), held on January 14, 2022, before Administrative Law Judge (ALJ) Adam D. Stone.

Key Facts and Main Issue

The Petitioner, Brenda C Norman, filed a Homeowners Association (HOA) Dispute Process Petition on or about October 23, 2021, alleging that RDLCA violated the community documents. The specific issue was RDLCA's alleged failure to enforce Section 3.1(D)(3) of the CC&Rs, which mandates that flood illumination must be directed at the owner’s property away from neighboring property. The Petitioner testified that her neighbor installed flood lights that shined into her backyard and residence, and she requested RDLCA fine the neighbors or force the removal of the fixture. The Petitioner paid a $500.00 filing fee.

Hearing Proceedings and Arguments

The Petitioner bore the burden of proof to establish the violation by a preponderance of the evidence.

  • Petitioner’s Argument: The neighbor's lights continued to shine onto her property, and RDLCA had not adequately remedied the situation.
  • Respondent’s Argument: RDLCA, through community manager Spencer Brod, testified that upon receiving the complaint, they investigated and sent correspondence (August 17, 2021) to the neighbor requesting light removal. The neighbor subsequently replaced the fixture, and RDLCA later informed the Petitioner that the floodlights were now angled downward and were in compliance (September 2021). RDLCA also argued that the specific CC&R section applied only to lights on the front of the house, meaning neighbor approval was not required for the side/backyard fixture.

Legal Points and Final Decision

The ALJ found RDLCA in violation of the CC&Rs.

  • Legal Rationale: The ALJ could not definitively rule on RDLCA’s defense that the CC&R section applied only to front yards, as neither party submitted the full Section 3.1. However, the ALJ noted that RDLCA’s own correspondence referenced Section 3.1 and indicated the light was installed without ARC approval. Since no evidence demonstrated that ARC approval occurred, RDLCA was found to be in violation of CC&R Section 3.1(D)(3).
  • Outcome and Order: The Petitioner was deemed the prevailing party in this matter. Pursuant to A.R.S. § 32-2199.02, the ALJ ordered RDLCA to comply with Section 3.1(D)(3). The ALJ explicitly stated that he did not have the statutory authority to order RDLCA to fine or force the neighbor to remove the lights, thus denying the Petitioner's requested specific remedies. RDLCA was ordered to pay the Petitioner her $500.00 filing fee within thirty days. No civil penalty was deemed appropriate.

Questions

Question

Can an Administrative Law Judge order my HOA to fine a neighbor for a violation?

Short Answer

No, the ALJ does not have the statutory authority to order fines against neighbors.

Detailed Answer

Even if a violation is found, the ALJ explicitly stated that the statute does not grant them the power to order the HOA to fine a neighbor or to force a neighbor to remove non-compliant items.

Alj Quote

The Administrative Law Judge does not have the authority under the applicable statute to order that RDLCA fine or order the neighbor remove the lights.

Legal Basis

A.R.S. § 32-2199.02

Topic Tags

  • Remedies
  • Fines
  • Authority

Question

Who is responsible for proving that the HOA violated the community documents?

Short Answer

The homeowner (Petitioner) bears the burden of proof.

Detailed Answer

The homeowner filing the dispute must prove the HOA's violation by a 'preponderance of the evidence'. It is not the HOA's job to disprove it initially.

Alj Quote

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

Legal Basis

A.R.S. § 41-1092.07(G)(2)

Topic Tags

  • Burden of Proof
  • Evidence
  • Procedure

Question

If I win my case against the HOA, 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 decision, because the homeowner was the prevailing party, the HOA was ordered to pay the $500 filing fee directly to the homeowner within 30 days.

Alj Quote

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

Legal Basis

Order

Topic Tags

  • Fees
  • Reimbursement
  • Prevailing Party

Question

Can I challenge my HOA for failing to enforce architectural rules on a neighbor?

Short Answer

Yes, if the HOA allows modifications without the required approval.

Detailed Answer

The ALJ found the HOA in violation of the CC&Rs because the neighbor installed lights without the required Architectural Review Committee (ARC) approval, and the HOA failed to address this specific lack of approval.

Alj Quote

Because this never occurred, Respondent is in violation of CC&R Section 3.1(D)(3).

Legal Basis

CC&R Section 3.1(D)(3)

Topic Tags

  • Enforcement
  • Architectural Review
  • Lighting

Question

What happens if we don't provide the full text of the CC&Rs during the hearing?

Short Answer

The judge cannot rule on parts of the rules that are not provided.

Detailed Answer

The HOA tried to argue a rule applied only to the front yard, but because neither party submitted the full section of the CC&Rs, the judge could not verify that claim and had to rule based only on the evidence available.

Alj Quote

At the outset, neither party submitted the full Section 3.1 of the CC&R’s and the ALJ therefore cannot determine if the section in question applies to the front yard only.

Legal Basis

Evidentiary Standard

Topic Tags

  • Evidence
  • CC&Rs
  • Documentation

Question

What does 'preponderance of the evidence' mean?

Short Answer

It means the claim is more likely true than not.

Detailed Answer

The decision defines this legal standard as proof that convinces the judge that a contention is 'more probably true than not,' even if there is still some doubt.

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

  • Legal Definitions
  • Standards

Case

Docket No
22F-H2221019-REL
Case Title
Brenda C Norman vs. Rancho Del Lago Community Association
Decision Date
2022-01-18
Alj Name
Adam D. Stone
Tribunal
OAH
Agency
ADRE

Questions

Question

Can an Administrative Law Judge order my HOA to fine a neighbor for a violation?

Short Answer

No, the ALJ does not have the statutory authority to order fines against neighbors.

Detailed Answer

Even if a violation is found, the ALJ explicitly stated that the statute does not grant them the power to order the HOA to fine a neighbor or to force a neighbor to remove non-compliant items.

Alj Quote

The Administrative Law Judge does not have the authority under the applicable statute to order that RDLCA fine or order the neighbor remove the lights.

Legal Basis

A.R.S. § 32-2199.02

Topic Tags

  • Remedies
  • Fines
  • Authority

Question

Who is responsible for proving that the HOA violated the community documents?

Short Answer

The homeowner (Petitioner) bears the burden of proof.

Detailed Answer

The homeowner filing the dispute must prove the HOA's violation by a 'preponderance of the evidence'. It is not the HOA's job to disprove it initially.

Alj Quote

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

Legal Basis

A.R.S. § 41-1092.07(G)(2)

Topic Tags

  • Burden of Proof
  • Evidence
  • Procedure

Question

If I win my case against the HOA, 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 decision, because the homeowner was the prevailing party, the HOA was ordered to pay the $500 filing fee directly to the homeowner within 30 days.

Alj Quote

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

Legal Basis

Order

Topic Tags

  • Fees
  • Reimbursement
  • Prevailing Party

Question

Can I challenge my HOA for failing to enforce architectural rules on a neighbor?

Short Answer

Yes, if the HOA allows modifications without the required approval.

Detailed Answer

The ALJ found the HOA in violation of the CC&Rs because the neighbor installed lights without the required Architectural Review Committee (ARC) approval, and the HOA failed to address this specific lack of approval.

Alj Quote

Because this never occurred, Respondent is in violation of CC&R Section 3.1(D)(3).

Legal Basis

CC&R Section 3.1(D)(3)

Topic Tags

  • Enforcement
  • Architectural Review
  • Lighting

Question

What happens if we don't provide the full text of the CC&Rs during the hearing?

Short Answer

The judge cannot rule on parts of the rules that are not provided.

Detailed Answer

The HOA tried to argue a rule applied only to the front yard, but because neither party submitted the full section of the CC&Rs, the judge could not verify that claim and had to rule based only on the evidence available.

Alj Quote

At the outset, neither party submitted the full Section 3.1 of the CC&R’s and the ALJ therefore cannot determine if the section in question applies to the front yard only.

Legal Basis

Evidentiary Standard

Topic Tags

  • Evidence
  • CC&Rs
  • Documentation

Question

What does 'preponderance of the evidence' mean?

Short Answer

It means the claim is more likely true than not.

Detailed Answer

The decision defines this legal standard as proof that convinces the judge that a contention is 'more probably true than not,' even if there is still some doubt.

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

  • Legal Definitions
  • Standards

Case

Docket No
22F-H2221019-REL
Case Title
Brenda C Norman vs. Rancho Del Lago Community Association
Decision Date
2022-01-18
Alj Name
Adam D. Stone
Tribunal
OAH
Agency
ADRE

Case Participants

Petitioner Side

  • Brenda C Norman (petitioner)
    Appeared on her own behalf

Respondent Side

  • Mackenzie Hill (HOA attorney)
    The Brown Law Group, PLLC
    Represented Rancho Del Lago Community Association
  • Nathan Tennyson (HOA attorney)
    Represented Rancho Del Lago Community Association
  • Spencer Brod (community manager)
    Testified for Respondent

Neutral Parties

  • Adam D. Stone (ALJ)
    Office of Administrative Hearings
  • Louis Dettorre (Commissioner)
    Arizona Department of Real Estate

Other Participants

  • AHansen (ADRE staff)
    Arizona Department of Real Estate
    Recipient of order transmission
  • djones (ADRE staff)
    Arizona Department of Real Estate
    Recipient of order transmission
  • DGardner (ADRE staff)
    Arizona Department of Real Estate
    Recipient of order transmission
  • vnunez (ADRE staff)
    Arizona Department of Real Estate
    Recipient of order transmission

Kathy Padalino v. Legend Trail Parcel A

Case Summary

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

Parties & Counsel

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

Alleged Violations

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

Outcome Summary

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

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

Key Issues & Findings

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

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

Orders: Petitioner’s Petition is dismissed.

Filing fee: $500.00, Fee refunded: No

Disposition: respondent_win

Cited:

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

Analytics Highlights

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

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

Video Overview

Audio Overview

Decision Documents

22F-H2221003-REL Decision – 930504.pdf

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

22F-H2221003-REL Decision – 930504.pdf

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

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

***

Summary of Administrative Hearing Decision

Case Title: Kathy Padalino v. Legend Trail Parcel A

Hearing Date: November 22, 2021

Forum: Office of Administrative Hearings

Key Facts and Main Issue

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

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

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

Key Arguments and Legal Points

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

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

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

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

Outcome

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

Questions

Question

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

Short Answer

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

Detailed Answer

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

Alj Quote

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

Legal Basis

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

Topic Tags

  • Burden of Proof
  • Hearing Procedures

Question

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

Short Answer

Preponderance of the evidence.

Detailed Answer

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

Alj Quote

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

Legal Basis

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

Topic Tags

  • Legal Standards
  • Evidence

Question

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

Short Answer

The Declaration (CC&Rs) prevails.

Detailed Answer

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

Alj Quote

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

Legal Basis

CC&Rs Article 4 Section 4.3

Topic Tags

  • Governing Documents
  • Rules vs CC&Rs

Question

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

Short Answer

Not necessarily, if access is provided to the Lot.

Detailed Answer

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

Alj Quote

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

Legal Basis

Findings of Fact / Conclusions of Law 4

Topic Tags

  • Access Rights
  • Gate Codes
  • Security

Question

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

Short Answer

No, disputes between co-owners are personal matters.

Detailed Answer

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

Alj Quote

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

Legal Basis

Conclusions of Law 4

Topic Tags

  • Co-owner Disputes
  • Jurisdiction

Question

Are Association Rules as enforceable as the CC&Rs?

Short Answer

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

Detailed Answer

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

Alj Quote

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

Legal Basis

CC&Rs Article 4 Section 4.3

Topic Tags

  • Enforcement
  • Rules

Case

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

Questions

Question

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

Short Answer

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

Detailed Answer

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

Alj Quote

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

Legal Basis

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

Topic Tags

  • Burden of Proof
  • Hearing Procedures

Question

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

Short Answer

Preponderance of the evidence.

Detailed Answer

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

Alj Quote

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

Legal Basis

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

Topic Tags

  • Legal Standards
  • Evidence

Question

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

Short Answer

The Declaration (CC&Rs) prevails.

Detailed Answer

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

Alj Quote

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

Legal Basis

CC&Rs Article 4 Section 4.3

Topic Tags

  • Governing Documents
  • Rules vs CC&Rs

Question

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

Short Answer

Not necessarily, if access is provided to the Lot.

Detailed Answer

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

Alj Quote

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

Legal Basis

Findings of Fact / Conclusions of Law 4

Topic Tags

  • Access Rights
  • Gate Codes
  • Security

Question

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

Short Answer

No, disputes between co-owners are personal matters.

Detailed Answer

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

Alj Quote

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

Legal Basis

Conclusions of Law 4

Topic Tags

  • Co-owner Disputes
  • Jurisdiction

Question

Are Association Rules as enforceable as the CC&Rs?

Short Answer

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

Detailed Answer

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

Alj Quote

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

Legal Basis

CC&Rs Article 4 Section 4.3

Topic Tags

  • Enforcement
  • Rules

Case

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

Case Participants

Petitioner Side

  • Kathy Padalino (petitioner)
    Appeared on her own behalf

Respondent Side

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

Neutral Parties

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

Other Participants

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

Sam & Pipper O’ Shaughnessy Stangl v. Sabino Vista Townhouse

Case Summary

Case ID 22F-H2221009-REL-RHG
Agency ADRE
Tribunal OAH
Decision Date 2022-04-25
Administrative Law Judge Velva Moses-Thompson
Outcome full
Filing Fees Refunded $500.00
Civil Penalties $0.00

Parties & Counsel

Petitioner Sam & Pipper O' Shaughnessy Stangl Counsel
Respondent Sabino Vista Townhouse Association Counsel Nathan Tennyson

Alleged Violations

Article VI of the CC&Rs

Outcome Summary

The Administrative Law Judge deemed Petitioners the prevailing party. Respondent HOA violated Article VI of the CC&Rs by failing to maintain and remove rubbish from the natural desert area within the Common Area up to the exterior building lines, as the Board's determination not to maintain the area lacked proper authority without a CC&R amendment. The Respondent was ordered to comply with the CC&Rs and refund the Petitioners' filing fee.

Key Issues & Findings

HOA maintenance obligations for common area up to exterior building lines

Petitioners alleged the HOA failed to maintain and otherwise manage all property up to the exterior building lines and patio enclosures, specifically a natural desert area within the Common Area. The ALJ found that the CC&Rs require the Association to maintain and remove all rubbish within its property up to the exterior building lines, and the Board lacked the authority to refuse maintenance of the natural desert area without amending the CC&Rs.

Orders: Respondent is ordered to comply with the requirements of Article VI of the CC&Rs going forward and must pay Petitioners their filing fee of $500.00 within thirty (30) days.

Filing fee: $500.00, Fee refunded: Yes

Disposition: petitioner_win

Cited:

  • Article VI of the CC&Rs
  • 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)

Analytics Highlights

Topics: HOA Maintenance, CC&R Interpretation, Common Area Maintenance, Filing Fee Refund, Prevailing Party
Additional Citations:

  • 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)
  • 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)
  • A.R.S. § 32-2199.02(B)
  • A.R.S. § 41-1092.08(H)
  • A.R.S. § 12-904(A)

Video Overview

Audio Overview

Decision Documents

22F-H2221009-REL Decision – 959583.pdf

Uploaded 2026-04-24T11:38:59 (49.7 KB)

22F-H2221009-REL Decision – 964651.pdf

Uploaded 2026-04-24T11:39:03 (18.7 KB)

22F-H2221009-REL Decision – 964655.pdf

Uploaded 2026-04-24T11:39:07 (99.7 KB)

22F-H2221009-REL Decision – 927714.pdf

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22F-H2221009-REL Decision – 927747.pdf

Uploaded 2026-04-24T11:39:19 (37.5 KB)

Stangl v. Sabino Vista Townhouse Association: A Dispute Over Common Area Maintenance

Executive Summary

This briefing document synthesizes the key facts, arguments, and legal decisions in the administrative case of Sam & Pipper O’ Shaughnessy Stangl versus the Sabino Vista Townhouse Association. The central conflict revolves around the Association’s legal obligation, as defined by its Covenants, Conditions, and Restrictions (CC&Rs), to maintain a common area behind the Petitioners’ property.

The Petitioners alleged that the Association violated Article 6 of its CC&Rs by failing to maintain this area for over two decades, resulting in the accumulation of rubbish and the creation of a habitat for pests. The Association countered that the area in question was designated “natural desert” to serve as a buffer, and that maintaining it was not required and would be cost-prohibitive.

An initial hearing in November 2021 resulted in a decision in favor of the Petitioners. The Association was granted a rehearing, which took place in April 2022. Despite new arguments from the Association regarding budget constraints, historical precedent, and alleged interference by the Petitioners, the Administrative Law Judge (ALJ) upheld the original decision.

The final ruling on April 25, 2022, found that the language of CC&R Article 6 is unambiguous and requires the Association to maintain “all property up to the exterior building lines.” The ALJ concluded that the Board of Directors does not have the authority to unilaterally designate a common area as “unmaintained” without formally amending the CC&Rs. Consequently, the Association was ordered to comply with Article 6 and reimburse the Petitioners’ filing fee.

Case Overview

Case Name

Sam & Pipper O’ Shaughnessy Stangl, Petitioners, vs. Sabino Vista Townhouse Association, Respondent.

Case Numbers

22F-H2221009-REL (Initial Hearing)
22F-H2221009-REL-RHG (Rehearing)

Adjudicating Body

Arizona Office of Administrative Hearings

Administrative Law Judge

Velva Moses-Thompson

Key Dates

Petition Filed: August 6, 2021
Initial Hearing: November 8, 2021
Initial Decision: November 29, 2021
Rehearing: April 4, 2022
Final Decision: April 25, 2022

The Central Allegation: Violation of CC&R Article 6

The dispute is founded on the interpretation of Article 6 of the Sabino Vista Townhouse Association’s CC&Rs concerning “Common Maintenance.”

Key Provisions of Article 6:

Maintenance Obligation: “The Association, or its duly authorized representative, shall maintain and otherwise manage all property up to the exterior building lines and patio enclosures including but not limited to the landscaping… roofs, common elements, decorative walls, drainage… and be responsible for the rubbish removal of all areas within the common properties.”

Standard of Care: “The Board of Directors of the Association shall use a reasonably high standard of care in providing for the repair, management and maintenance of said property, so that said townhouse project will reflect high pride of ownership.”

Petitioners’ Core Claim: Filed on August 6, 2021, the petition alleged that the Association violated Article 6 by failing to maintain the property behind their townhome unit. They asserted this neglect had persisted for the approximately 24 years they had lived there, leading to overgrowth and pest infestations.

The First Hearing and Decision (November 2021)

Summary of Arguments

Petitioners (Sam & Pipper O’ Shaughnessy Stangl):

◦ Alleged observing only 12 hours of landscaping work in their immediate back area over 24 years.

◦ Claimed the accumulated rubbish and overgrowth served as a habitat for pests, specifically mentioning “a pack rat for rattlesnakes.”

◦ Submitted a photograph of a rattlesnake skin found in their backyard as evidence.

Respondent (Sabino Vista Townhouse Association):

◦ Testimony was provided by Charles Taylor Ostermeyer, secretary of the Board of Directors.

◦ Argued the area in question is a “natural desert area and underbrush” that begins 30 to 40 feet behind the homes.

◦ Initially claimed the Board had adopted a rule limiting maintenance to just 4 feet behind residences, citing Board meeting minutes. However, when pressed by the ALJ, Ostermeyer conceded that believing a formal rule was adopted “would be conjecture on my part.”

◦ Asserted it would be too costly to clear the entire region.

◦ Contended that the decision not to maintain the open desert area was a valid exercise of the “business judgment rule” applicable to non-profit organizations.

November 29, 2021 Decision

The ALJ, Velva Moses-Thompson, ruled in favor of the Petitioners.

Finding: The preponderance of the evidence showed the Respondent failed to maintain the property as required by the unambiguous language of Article 6.

Reasoning: The Respondent provided “no evidence of an Amendment to Article VI” and “no evidence of a rule properly adopted by the Board that would limit the common area to be maintained.”

Order: The Petitioners were deemed the prevailing party, and the Association was ordered to reimburse their $500 filing fee and comply with Article 6 going forward.

The Rehearing and Final Decision (April 2022)

The Association’s request for a rehearing was granted, with the new hearing held on April 4, 2022. The Association was represented by Nathan Tennyson, Esq., and presented testimony from John Polasi, a Board member and Chairman of the Landscape Committee.

Rehearing Testimony and Arguments

Petitioner Arguments (Sam O’ Shaughnessy Stangl)

Respondent Arguments (John Polasi, HOA Board)

Core Issue is Deflection: Argued the Association’s narrative was a “deflection from the main issue.” Stated the HOA focused on irrelevant topics to circumvent the court’s correct original ruling.

Area is a “Natural Buffer”: The unmaintained area has existed since 1974 and serves as a natural buffer from Tanque Verde Creek, keeping wildlife out and preventing hikers/bikers from wandering into the neighborhood.

Tree Trimming Incident: Claimed the HOA falsely accused him of “singlehandedly” stopping all tree trimming. Clarified a December 2021 interaction with a contractor (Leon’s Tree Service) lasted only 30 seconds, where he refused permission to cut three shade branches in his private front courtyard.

Petitioner Hindrance: Alleged the Petitioners actively hindered tree trimming in December 2021 by refusing the contractor entry into their courtyard and blocking their driveway with an SUV to prevent the trimming of a low-hanging branch.

Pest Infestations: Maintained that pests are a significant problem, citing a recent rattlesnake sighting on his birthday (March 21) and his personal removal of “252 packrats in the last three years.”

Pest Control is Managed: Stated the HOA contracts “Mr. Packrat” to inspect the entire property quarterly. Polasi testified he had been chairman for a year and had “never heard of a single pack rider or rattlesnake anywhere.”

Misuse of Common Area: Dismissed accusations of misusing the common area as “pure deflection.” He stated his use (grilling, sitting outdoors) was adjudicated in court 18 years prior and found to be in compliance with CC&Rs.

Petitioner Misuse of Common Area: Accused the Petitioners of violating CC&Rs by placing personal items (barbecue, smoker, tables, chairs) in the common area and cutting a hole in their patio wall for water and electric lines.

Developer’s Intent: Cited a statement from Dale Chastine, the original developer, asserting the CC&Rs were written to “strictly forbid any unfettered wild growth” and require all common areas to be maintained in the same manner.

Board Authority and Historical Precedent: Cited 2020 Board Minutes that formally designated the area “35 ft to the south of southern homeowner rear wall” as “unmaintained natural desert landscape.” Referenced 1999 minutes indicating a 4-foot maintenance rule was previously in place.

New Issues: Attempted to introduce new evidence regarding a “complete drainage channel that… is now buried under debris and soil,” but the ALJ did not admit it as it was a new allegation not in the original petition.

Budgetary Constraints: Argued that maintaining the entire two-to-four-acre area would be excessively expensive. He noted the HOA had recently spent $15,000 on front-area tree trimming and $10,000 on tree repairs, and had other costs like a new pool pump.

April 25, 2022 Final Decision

The ALJ again ruled in favor of the Petitioners, affirming the initial decision.

Core Conclusion: “Although the Board determined that it would not maintain the natural desert, the Board does not have authority under its CC&Rs to refuse to maintain any of the area of its property up to the exterior building lines.”

Legal Reasoning: The CC&Rs are unambiguous and require the Association to maintain and remove rubbish from all property within its boundaries, including the area designated as “natural desert.”

Path Forward for HOA: The ALJ explicitly stated, “If the Association does not want to maintain any area within its property up to the exterior building lines, the Association should amend its CC&Rs.”

Final Order: The order from the November 29, 2021 decision was reiterated: Petitioners were deemed the prevailing party, the Respondent was ordered to pay the $500 filing fee, and the Respondent was directed to comply with Article VI of the CC&Rs.

Stangl v. Sabino Vista Townhouse Association: A Case Study Guide

This study guide provides a comprehensive review of the administrative case between homeowners Sam & Pipper O’ Shaughnessy Stangl and the Sabino Vista Townhouse Association. It includes a short-answer quiz with a corresponding answer key, a set of essay questions for deeper analysis, and a glossary of key terms found within the case documents.

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Short Answer Quiz

Instructions: Answer the following questions in 2-3 sentences, using only information provided in the source documents.

1. What was the central violation alleged by the Petitioners in their August 6, 2021, petition?

2. According to Article 6 of the CC&Rs, what is the Sabino Vista Townhouse Association’s responsibility regarding property maintenance?

3. In the first hearing on November 8, 2021, what was the Respondent’s primary argument for not maintaining the area behind the Petitioners’ home?

4. What was the outcome of the first Administrative Law Judge Decision issued on November 29, 2021?

5. Who testified for the Respondent at the April 4, 2022, rehearing, and what were his roles within the Association?

6. What two historical documents did the Respondent present at the rehearing to support its maintenance policy for the area in question?

7. Describe the Respondent’s accusation against the Petitioners regarding the tree trimming service in December 2021.

8. What strategic reasons did the Respondent’s witness, John Polasi, give for leaving the desert area unmaintained?

9. In the final decision of April 25, 2022, why did the Administrative Law Judge rule against the Association despite its evidence of a board-approved maintenance plan?

10. What specific orders were issued to the Respondent in the final court decision?

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Answer Key

1. The Petitioners alleged that the Sabino Vista Townhouse Association violated Article 6 of its Covenants, Conditions, and Restrictions (CC&Rs). Specifically, they claimed the Association failed to maintain and otherwise manage all property up to the exterior lines and patio enclosures, focusing on the unkempt two-acre area behind their townhome.

2. Article 6 requires the Association to “maintain and otherwise manage all property up to the exterior building lines and patio enclosures.” This includes landscaping, common elements, and rubbish removal, and mandates that the Board of Directors use a “reasonably high standard of care” so the project reflects a high pride of ownership.

3. In the first hearing, the Respondent argued that it had applied the “business judgment rule” applicable to non-profit organizations. The Association contended it would be too costly to clear out the entire region, which it described as an open desert area with many trees and weeds.

4. The Administrative Law Judge (ALJ) found the Petitioners to be the prevailing party. The ALJ ordered the Respondent to comply with Article 6 of the CC&Rs going forward and to pay the Petitioners their filing fee of $500.00.

5. John Polasi testified for the Respondent at the rehearing. He was identified as a member of the Respondent’s Board of Directors and the Chairman of the Landscaping Committee.

6. The Respondent presented minutes from a Board Meeting in February 1999, which stated that only 4 feet behind residences were maintained, with the remainder left natural. They also presented minutes from a 2020 Board Meeting that revised this policy, designating an area 35 feet from the southern homeowner walls as the maintenance boundary.

7. The Respondent alleged that the Petitioners interfered with and prevented a tree trimming project conducted by Leon’s Tree Service. The witness claimed the Petitioners refused entry into their front patio to trim overhanging limbs and moved a vehicle into their driveway to block the work.

8. John Polasi testified that the unmaintained desert area serves as a “natural buffer.” He stated it keeps animals from the adjacent Tanque Verde Creek area from coming onto homeowner property and also prevents bikers and hikers from wandering into the neighborhood.

9. The ALJ ruled that although the Board had determined it would not maintain the natural desert area, the Board does not have the authority under its CC&Rs to refuse maintenance. The judge concluded that the CC&Rs require the Association to maintain all property up to the exterior lines and that if the Association wishes to change this, it must formally amend its CC&Rs.

10. The final order deemed the Petitioners the prevailing party and directed the Respondent to pay the Petitioners’ $500.00 filing fee within thirty days. It further ordered the Respondent to comply with the requirements of Article VI of the CC&Rs going forward.

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Essay Questions

Instructions: The following questions are designed for essay-length responses to encourage a deeper analysis of the case. Answers are not provided.

1. Analyze the legal reasoning of the Administrative Law Judge in both the initial and final decisions. Why was Article 6 of the CC&Rs consistently interpreted as unambiguous, and how did this interpretation override the Respondent’s “business judgment” defense and subsequent board resolutions?

2. Compare and contrast the evidence and arguments presented by the Respondent in the first hearing versus the rehearing. How did the Association’s defense strategy evolve, and what new evidence did it introduce in the second hearing?

3. Discuss the concept of “preponderance of the evidence” as defined in the case documents. Using specific examples from the testimony and exhibits, explain how the Petitioners met this burden of proof and why the Respondent’s affirmative defenses failed to meet the same standard in both hearings.

4. Examine the tension between a homeowners’ association’s governing documents (like CC&Rs) and the operational decisions made by its Board of Directors. How does this case illustrate the limits of a Board’s authority to interpret or modify its responsibilities without formally amending the core documents?

5. Evaluate the various pieces of evidence introduced during the rehearing, such as the Board Minutes from 1999 and 2020, the letter from Leon’s Tree Service, and the attempted introduction of the developer’s affidavit. What role did each piece of evidence play in shaping the arguments, and why was some evidence given more weight or deemed inadmissible by the judge?

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Glossary of Key Terms

Definition

Administrative Law Judge (ALJ)

An independent judge who presides over administrative hearings, makes findings of fact, and issues decisions and orders. In this case, the ALJ was Velva Moses-Thompson.

Affidavit

A written statement confirmed by oath or affirmation, for use as evidence in court. An affidavit from the original developer, Dale Chastain, was presented but not admitted into evidence.

Affirmative Defense

A defense in which the defendant introduces evidence that, if found to be credible, will negate liability, even if it is proven that the defendant committed the alleged acts.

Arizona Dept. of Real Estate

The state agency authorized by statute to receive and decide Petitions for Hearings from members of homeowners’ associations in Arizona.

Business Judgment Rule

A legal principle that grants directors of a corporation (or non-profit association) immunity from liability for losses incurred in corporate transactions if the directors acted in good faith. This was used as a defense by the Respondent in the first hearing.

Covenants, Conditions, and Restrictions. These are the governing legal documents that set up the rules for a planned community or subdivision. The interpretation of Article 6 of the CC&Rs was the central issue of the case.

Common Area

Property in a planned community that is owned by the homeowners’ association and intended for the use and enjoyment of all members. The dispute centered on the maintenance of a common area behind the Petitioners’ home.

Conjecture

An opinion or conclusion formed on the basis of incomplete information. A witness for the Respondent admitted his belief about a maintenance rule was “conjecture.”

Evidentiary Hearing

A formal proceeding where parties present evidence and testimony before a judge to resolve a disputed issue.

Homeowners’ Association (HOA)

An organization in a subdivision, planned community, or condominium building that makes and enforces rules for the properties and its residents. In this case, the Sabino Vista Townhouse Association.

Office of Administrative Hearings

An independent state agency in Arizona where evidentiary hearings are conducted by Administrative Law Judges.

Petitioners

The party that files a petition to initiate a legal proceeding. In this case, Sam & Pipper O’ Shaughnessy Stangl.

Preponderance of the Evidence

The standard of proof in most civil cases, defined as “such proof as convinces the trier of fact that the contention is more probably true than not.” The Petitioners had the burden of proving their case by this standard.

Rehearing

A second hearing of a case, granted upon request, to reconsider the original decision. The April 4, 2022, hearing was a rehearing, treated as a “complete and new hearing.”

Respondent

The party against whom a petition is filed. In this case, the Sabino Vista Townhouse Association.

Restrictive Covenant

A provision in a deed or other legal document that limits the use of real property. The court noted that unambiguous restrictive covenants are enforced to give effect to the intent of the parties.

Riparian Area

An area of land adjacent to a river or stream. The Respondent’s witness described the community as being in a riparian area next to Tanque Verde Creek.

He Sued His HOA Over Landscaping and Won. They Demanded a Do-Over. He Won Again. Here Are the Lessons.

Introduction: The David vs. Goliath Tale of a Homeowner and His HOA

For many homeowners, dealing with a Homeowners Association (HOA) can feel like a constant struggle. Disputes over rules, maintenance, and responsibilities are common frustrations. But what happens when a homeowner believes their HOA is fundamentally failing to uphold its end of the bargain?

This is the story of Sam O’ Shaughnessy Stangl, a homeowner who took his HOA to court over its failure to maintain a common area behind his home. The outcome was surprising enough: he won. But when the HOA was granted a complete “do-over” hearing to re-argue the case from scratch, he won a second time.

This case, Stangl vs. Sabino Vista Townhouse Association, offers a powerful case study in the hierarchy of governing documents and the legal principle of plain language in contract law. Here are the surprising and powerful lessons from the repeated legal victory that every homeowner should know.

1. An HOA Board Vote Can’t Override Its Own Founding Documents

The HOA’s core defense was that its Board of Directors had made a decision to leave the area behind the homes as an “unmaintained natural desert.” This argument, however, proved legally insufficient across two separate hearings.

In the first hearing, board secretary Charles Taylor Ostermeyer testified that the board had decided to limit maintenance. However, when pressed by the judge, he admitted that claiming this decision was a formal “rule” would be “conjecture on my part.” For the rehearing, the association presented board member John Polaski, who formalized the argument, claiming the unmaintained area served as a “natural buffer.” To support this, they presented minutes from a 2020 board meeting, arguing that the board’s decision recorded in those minutes effectively created a new policy for that common area.

In both instances, the Administrative Law Judge delivered a decisive counter-ruling. The judge found that the association’s primary governing documents—the Covenants, Conditions, and Restrictions (CC&Rs)—were the superior legal authority. A simple board vote recorded in meeting minutes could not nullify the binding requirements of the CC&Rs. The judge’s final order from the rehearing was unequivocal:

Although the Board determined that it would not maintain the natural desert, the Board does not have authority under its CC&Rs to refuse to maintain any of the area of its property up to the exterior building lines. … If the Association does not want to maintain any area within its property up to the exterior building lines, the Association should amend its CC&Rs.

This is a critical lesson for every homeowner. The CC&Rs function as a legally binding contract between the association and its members. A simple board resolution, a new rule, or a long-standing “tradition” cannot legally contradict the foundational covenants.

2. When the Contract is Clear, “All” Simply Means All

The entire case ultimately hinged on a single sentence in Article VI of the Sabino Vista Townhouse Association CC&Rs. This piece of text was so clear and powerful that the judge cited it as the deciding factor in both the original hearing and the rehearing. The language stated:

“The Association, or its duly authorized representative, shall maintain and otherwise manage all property up to the exterior building lines and patio enclosures including but not limited to the landscaping…”

The HOA attempted to argue around this plain language. Its representatives claimed that maintaining the entire area was too costly, that it had been unmaintained since the community was built in 1974, and that it was a “riparian area” (land adjacent to a river or stream) that should be left wild.

In both hearings, the judge rejected these arguments. The word “all” was not open to interpretation. The language of the CC&Rs was unambiguous and therefore had to be enforced as it was written. This illustrates a fundamental legal principle: when contract language is clear, arguments about convenience, cost, or past practice often fail when pitted against the plain text of a governing legal document.

3. Facts are Stubborn, Even in a “Complete New Hearing”

In a highly unusual procedural twist, after losing the first hearing in November 2021, the HOA was granted a “re-hearing” in April 2022. This was not an appeal, which reviews an original decision for errors, but a complete strategic reset. The judge explained its legal significance:

“And this is a re-hearing. So it is a complete and new hearing. … as if the first hearing didn’t happen.”

The HOA used this second chance to launch a new strategy. While the first hearing’s defense centered on cost and a vague, unwritten policy, the second hearing featured a new witness and a new, two-pronged approach: formalizing the “natural buffer” argument and adding an ad hominem strategy that attempted to portray Mr. Stangl as an uncooperative resident who had personally interfered with tree trimming.

But while the HOA’s tactics shifted, the central fact of the case could not be changed. The text of the CC&Rs was the same in April 2022 as it was in November 2021. The final outcome was identical to the first. The judge once again ruled in favor of the homeowner, ordering the HOA to comply with its own CC&Rs and to reimburse Mr. Stangl’s $500 filing fee.

This demonstrates a key legal reality: while procedural tactics can create new opportunities for argument, they cannot alter the foundational text of a contract. The HOA’s strategy shifted, but the CC&Rs—the central fact of the case—remained immutable.

Conclusion: A Final Takeaway for Every Homeowner

The case of Stangl vs. Sabino Vista Townhouse Association offers three profound takeaways for homeowners: the CC&Rs are supreme over board decisions, the plain language of those documents is incredibly powerful, and a fact-based argument is resilient. It serves as a potent reminder that an association’s governing documents are not just suggestions—they are enforceable contracts.

The next time you question an HOA policy, will you stop at their latest newsletter, or will you go back to the source?

Case Participants

Petitioner Side

  • Sam O' Shaughnessy Stangl (petitioner)
  • Pipper O' Shaughnessy Stangl (petitioner)
  • Dale Chastine (developer/witness)
    Original developer who provided an affidavit supporting petitioners
  • Lisa Chastine (witness)
    Signed father's affidavit as a witness

Respondent Side

  • Blake R. Johnson (HOA attorney)
    The Brown Law Group, PLLC
  • Nathan Tennyson (HOA attorney)
    The Brown Law Group, PLLC
    Appeared for rehearing; also referred to as Nathan Henderson in transcript
  • Charles Taylor Ostermeyer (board member)
    Sabino Vista Townhouse Association
    Secretary of Board; testified at original hearing
  • John Polasi (board member)
    Sabino Vista Townhouse Association
    Chairman of the Landscaping Committee; testified at rehearing
  • Leon (contractor)
    Leon's Tree Service
    Tree trimmer hired by HOA; provided a signed statement/testimony

Neutral Parties

  • Velva Moses-Thompson (ALJ)
  • Louis Dettorre (Commissioner)
    Arizona Department of Real Estate
  • AHansen (ADRE staff)
    Arizona Department of Real Estate
    Email recipient
  • djones (ADRE staff)
    Arizona Department of Real Estate
    Email recipient
  • DGardner (ADRE staff)
    Arizona Department of Real Estate
    Email recipient
  • vnunez (ADRE staff)
    Arizona Department of Real Estate
    Email recipient
  • c. serrano (clerk)
    Transmitted order
  • Miranda Alvarez (clerk)
    Transmitted order

Other Participants

  • Barbara Barski (property manager)
    Former manager of the association

Vance Gribble v. Legend Trail Community Association

Case Summary

Case ID 22F-H2221004-REL
Agency ADRE
Tribunal OAH
Decision Date 2021-11-04
Administrative Law Judge Velva Moses-Thompson
Outcome The petition was dismissed because the Petitioner failed to meet the burden of proof necessary to establish by a preponderance of the evidence that the Association violated A.R.S. § 33-1808(E), A.R.S. § 33-1808(F), or the cited Declaration Articles.
Filing Fees Refunded $0.00
Civil Penalties $0.00

Parties & Counsel

Petitioner Vance Gribble Counsel
Respondent Legend Trail Community Association Counsel Josh Bolen, Esq.

Alleged Violations

A.R.S. § 33-1808(E); Article 1 § 18 of the Declaration; Article 3 § 5 of the Declaration

Outcome Summary

The petition was dismissed because the Petitioner failed to meet the burden of proof necessary to establish by a preponderance of the evidence that the Association violated A.R.S. § 33-1808(E), A.R.S. § 33-1808(F), or the cited Declaration Articles.

Why this result: Petitioner failed to establish by a preponderance of the evidence that the Association violated A.R.S. § 33-1808(E), A.R.S. § 33-1808(F), or Article 3 § 5/Article 1 § 18 of the Declaration.

Key Issues & Findings

HOA rule adoption/enforcement regarding motorized vehicle use (ATVs/scooters)

Petitioner alleged the Association improperly prohibited the use of ATVs and motorized scooters on Association streets via e-mails (March 31, 2021, and June 21, 2021). The Association contended these were not rules and no formal enforcement action was taken.

Orders: Petitioner Vance Gribble’s petition against Respondent Legend Trail Community Association is dismissed.

Filing fee: $0.00, Fee refunded: No

Disposition: petitioner_loss

Cited:

  • A.R.S. § 33-1808(E)
  • A.R.S. § 33-1808(F)
  • Article 1 § 18 of the Declaration
  • Article 3 § 5 of the Declaration

Analytics Highlights

Topics: Recreational Activity, Motorized Vehicles, ATVs, Scooters, Rule Adoption, Declaration, Common Area
Additional Citations:

  • A.R.S. § 33-1808(E)
  • A.R.S. § 33-1808(F)
  • Article 1 § 18 of the Declaration
  • Article 3 § 5 of the Declaration
  • A.R.S. § 32-2199(B)
  • Title 33, Chapter 16
  • A.R.S. §§ 33-3101 to 33-11702
  • A.R.S. § 10-3140
  • 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. § 32-2199.04
  • A.R.S. § 41-1092.09
  • Vazanno v. Superior Court
  • Powell v. Washburn
  • Lookout Mountain Paradise Hills Homeowners’ Ass’n v. Viewpoint Assocs.

Video Overview

Audio Overview

Decision Documents

22F-H2221004-REL Decision – 922828.pdf

Uploaded 2026-01-23T17:39:42 (100.5 KB)

This summary pertains to the Administrative Law Judge Decision in the case of Vance Gribble v. Legend Trail Community Association. The hearing was held on October 15, 2021, before the Office of Administrative Hearings, concerning a petition filed under the authority of the Arizona Department of Real Estate.

Key Facts and Issues

Vance Gribble, a homeowner in Parcel A of the Legend Trail development, filed a petition alleging the Legend Trail Community Association (HOA) violated Arizona Revised Statutes (A.R.S.) § 33-1808(E) and specific provisions of the Declaration of Covenants, Conditions, and Restrictions (CC&Rs).

The core issue stemmed from two emails the Association sent concerning the use of ATVs and motorized scooters on community streets. The initial March 31, 2021, email broadly stated these vehicles were "not allowed" on Legend Trail streets. Gribble argued this communication prohibited the use of these vehicles, causing children to cease driving scooters on Association streets.

The Association responded, arguing the initial email was erroneously sent to the entire community and was intended only for Parcel A. A subsequent June 21, 2021, email was sent for clarification, specifying that restrictions regarding motorized vehicles applied only to private streets (Common Areas like Parcels A and E), where the respective Parcel Associations have a legal duty to maintain safety. The Association maintained it had not adopted a formal rule prohibiting the use of ATVs or scooters on the streets of Legend Trail and thus A.R.S. § 33-1808(E) (related to signs) was inapplicable.

Legal Points and Decision

The Petitioner bore the burden of proof to establish the Association violated the governing statutes or CC&Rs by a preponderance of the evidence.

The Administrative Law Judge focused on whether the Association took formal action to establish a rule or prohibition. A.R.S. § 10-3140 defines an "Act of the board of directors" or "Act of the members" as requiring a majority vote or written consent.

The conclusion of law found that there was no evidence presented showing the Association adopted a rule or took formal enforcement action regarding ATVs and scooters pursuant to A.R.S. § 10-3140. Furthermore, the preponderance of the evidence did not show that the Association prohibited children from engaging in recreational activity within Legend Trail (as potentially implied by A.R.S. § 33-1808(F)).

Outcome

Because the Petitioner failed to establish by a preponderance of the evidence that the Association violated A.R.S. § 33-1808(E), A.R.S. § 33-1808(F), or the cited articles of the Declaration, the Administrative Law Judge ordered that Vance Gribble’s petition be dismissed.

{ “case”: { “docket_no”: “22F-H2221004-REL”, “case_title”: “Vance Gribble vs. Legend Trail Community Association”, “decision_date”: “2021-11-04”, “alj_name”: “Velva Moses-Thompson”, “tribunal”: “OAH”, “agency”: “ADRE” }, “questions”: [ { “question”: “What is the burden of proof required to win a hearing against an HOA?”, “short_answer”: “The petitioner must prove the violation by a “preponderance of the evidence.””, “detailed_answer”: “Homeowners filing a petition bear the responsibility of proving that the HOA violated the law or the CC&Rs. The standard is ‘preponderance of the evidence,’ meaning the claim must be shown to be more probably true than not.”, “alj_quote”: “Petitioners bear the burden of proof to establish that Respondent violated the Act or Respondent’s 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) and (B)(1)”, “topic_tags”: [ “legal standards”, “burden of proof”, “procedure” ] }, { “question”: “Can an HOA prohibit children from playing or riding scooters on residential streets?”, “short_answer”: “No, state law prevents HOAs from banning children’s recreational activities on residential roadways with speed limits of 25 mph or less.”, “detailed_answer”: “The decision notes that notwithstanding community documents, an association cannot prohibit resident children from engaging in recreational activity on residential roadways under the association’s jurisdiction where the speed limit is 25 mph or less.”, “alj_quote”: “Notwithstanding any provision in the community documents, an association shall not prohibit children who reside in the planned community from engaging in recreational activity on residential roadways that are under the jurisdiction of the association and on which the posted speed limit is twenty-five miles per hour or less.”, “legal_basis”: “A.R.S. § 33-1808(F) (cited as § 1803(F) in decision footnote)”, “topic_tags”: [ “homeowner rights”, “children”, “recreation” ] }, { “question”: “Does an email sent by the HOA automatically count as an official rule?”, “short_answer”: “No, an email does not constitute a formal rule if it was not adopted through an official act of the board.”, “detailed_answer”: “To be an official act, the board must usually vote at a meeting or provide written consent in accordance with statutes. In this case, emails sent in error or for clarification were not considered adopted rules or formal enforcement actions.”, “alj_quote”: “There was no evidence that the Association adopted a rule or took enforcement action against the residents… There was no evidence presented that the Association took formal action pursuant to A.R.S. §10-3140.”, “legal_basis”: “A.R.S. § 10-3140”, “topic_tags”: [ “procedural requirements”, “HOA communications”, “rulemaking” ] }, { “question”: “Can the HOA enforce traffic or safety violations on public streets?”, “short_answer”: “Generally no, unless the restriction is specifically in the CC&Rs (like parking).”, “detailed_answer”: “On public streets, the HOA’s authority is limited to enforcing restrictions explicitly contained in the CC&Rs. They do not have general authority to police moving violations or safety concerns; those are matters for local law enforcement.”, “alj_quote”: “Legend Trail Community Association may only enforce public street restrictions that are contained in the CC&R Declaration… the Association does not have the authority to address any moving violations or safety concerns on the public streets.”, “legal_basis”: “CC&R Declaration”, “topic_tags”: [ “public streets”, “enforcement”, “jurisdiction” ] }, { “question”: “What defines a ‘preponderance of the evidence’?”, “short_answer”: “It is proof that convinces the judge that a claim is ‘more probably true than not.'”, “detailed_answer”: “This legal standard does not require removing all doubt. It requires evidence that has superior weight and is sufficient to incline a fair mind to one side of the issue rather than the other.”, “alj_quote”: “A preponderance of the evidence is such proof as convinces the trier of fact that the contention is more probably true than not.”, “legal_basis”: “Morris K. Udall, Arizona Law of Evidence § 5”, “topic_tags”: [ “legal definitions”, “evidence” ] }, { “question”: “How are CC&Rs and restrictive covenants interpreted by the judge?”, “short_answer”: “They are interpreted as a whole to give effect to the underlying purpose and the intent of the parties.”, “detailed_answer”: “If a covenant is unambiguous, it is enforced based on the intent. The document is viewed in its entirety rather than isolating specific clauses.”, “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”: [ “CC&Rs”, “legal interpretation” ] } ] }

{ “case”: { “docket_no”: “22F-H2221004-REL”, “case_title”: “Vance Gribble vs. Legend Trail Community Association”, “decision_date”: “2021-11-04”, “alj_name”: “Velva Moses-Thompson”, “tribunal”: “OAH”, “agency”: “ADRE” }, “questions”: [ { “question”: “What is the burden of proof required to win a hearing against an HOA?”, “short_answer”: “The petitioner must prove the violation by a “preponderance of the evidence.””, “detailed_answer”: “Homeowners filing a petition bear the responsibility of proving that the HOA violated the law or the CC&Rs. The standard is ‘preponderance of the evidence,’ meaning the claim must be shown to be more probably true than not.”, “alj_quote”: “Petitioners bear the burden of proof to establish that Respondent violated the Act or Respondent’s 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) and (B)(1)”, “topic_tags”: [ “legal standards”, “burden of proof”, “procedure” ] }, { “question”: “Can an HOA prohibit children from playing or riding scooters on residential streets?”, “short_answer”: “No, state law prevents HOAs from banning children’s recreational activities on residential roadways with speed limits of 25 mph or less.”, “detailed_answer”: “The decision notes that notwithstanding community documents, an association cannot prohibit resident children from engaging in recreational activity on residential roadways under the association’s jurisdiction where the speed limit is 25 mph or less.”, “alj_quote”: “Notwithstanding any provision in the community documents, an association shall not prohibit children who reside in the planned community from engaging in recreational activity on residential roadways that are under the jurisdiction of the association and on which the posted speed limit is twenty-five miles per hour or less.”, “legal_basis”: “A.R.S. § 33-1808(F) (cited as § 1803(F) in decision footnote)”, “topic_tags”: [ “homeowner rights”, “children”, “recreation” ] }, { “question”: “Does an email sent by the HOA automatically count as an official rule?”, “short_answer”: “No, an email does not constitute a formal rule if it was not adopted through an official act of the board.”, “detailed_answer”: “To be an official act, the board must usually vote at a meeting or provide written consent in accordance with statutes. In this case, emails sent in error or for clarification were not considered adopted rules or formal enforcement actions.”, “alj_quote”: “There was no evidence that the Association adopted a rule or took enforcement action against the residents… There was no evidence presented that the Association took formal action pursuant to A.R.S. §10-3140.”, “legal_basis”: “A.R.S. § 10-3140”, “topic_tags”: [ “procedural requirements”, “HOA communications”, “rulemaking” ] }, { “question”: “Can the HOA enforce traffic or safety violations on public streets?”, “short_answer”: “Generally no, unless the restriction is specifically in the CC&Rs (like parking).”, “detailed_answer”: “On public streets, the HOA’s authority is limited to enforcing restrictions explicitly contained in the CC&Rs. They do not have general authority to police moving violations or safety concerns; those are matters for local law enforcement.”, “alj_quote”: “Legend Trail Community Association may only enforce public street restrictions that are contained in the CC&R Declaration… the Association does not have the authority to address any moving violations or safety concerns on the public streets.”, “legal_basis”: “CC&R Declaration”, “topic_tags”: [ “public streets”, “enforcement”, “jurisdiction” ] }, { “question”: “What defines a ‘preponderance of the evidence’?”, “short_answer”: “It is proof that convinces the judge that a claim is ‘more probably true than not.'”, “detailed_answer”: “This legal standard does not require removing all doubt. It requires evidence that has superior weight and is sufficient to incline a fair mind to one side of the issue rather than the other.”, “alj_quote”: “A preponderance of the evidence is such proof as convinces the trier of fact that the contention is more probably true than not.”, “legal_basis”: “Morris K. Udall, Arizona Law of Evidence § 5”, “topic_tags”: [ “legal definitions”, “evidence” ] }, { “question”: “How are CC&Rs and restrictive covenants interpreted by the judge?”, “short_answer”: “They are interpreted as a whole to give effect to the underlying purpose and the intent of the parties.”, “detailed_answer”: “If a covenant is unambiguous, it is enforced based on the intent. The document is viewed in its entirety rather than isolating specific clauses.”, “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”: [ “CC&Rs”, “legal interpretation” ] } ] }

Case Participants

Petitioner Side

  • Vance Gribble (petitioner)
    Appeared on behalf of himself

Respondent Side

  • Josh Bolen (attorney)
    Carpenter, Hazlewood, Delgado & Bolen, PLC
  • Terri Klein (witness)
    Association's Board of Directors
    President of the Association's Board of Directors

Neutral Parties

  • Velva Moses-Thompson (ALJ)
    Office of Administrative Hearings
  • Louis Dettorre (commissioner)
    Arizona Department of Real Estate
  • AHansen (ADRE staff)
    Arizona Department of Real Estate
  • djones (ADRE staff)
    Arizona Department of Real Estate
  • DGardner (ADRE staff)
    Arizona Department of Real Estate

Brian D Sopatyk v. Xanadu Lake Resort Condominium, Inc.

Case Summary

Case ID 21F-H2121065-REL
Agency ADRE
Tribunal OAH
Decision Date 2021-11-01
Administrative Law Judge Velva Moses-Thompson
Outcome Petitioner was deemed the prevailing party regarding Issues 1 and 3, while Respondent was deemed the prevailing party regarding Issue 2. Respondent was ordered to pay Petitioner his filing fee of $1,000.00. No civil penalty was found appropriate.
Filing Fees Refunded $1,000.00
Civil Penalties $0.00

Parties & Counsel

Petitioner Brian D. Sopatyk Counsel Jacob A. Kubert, Esq.
Respondent Xanadu Lake Resort Condominium, Inc. Counsel Penny L. Koepke, Esq.

Alleged Violations

CC&R Article 2 § 3(a)(2)
CC&R Article 3 § 3(d)(1)
CC&R Article 6 § 2(a)

Outcome Summary

Petitioner was deemed the prevailing party regarding Issues 1 and 3, while Respondent was deemed the prevailing party regarding Issue 2. Respondent was ordered to pay Petitioner his filing fee of $1,000.00. No civil penalty was found appropriate.

Why this result: Petitioner lost Issue 2 because he failed to prove the Respondent's no-pet policy was arbitrarily or unreasonably applied.

Key Issues & Findings

Alleged violation of CC&R Article 2 § 3(a)(2)

The Administrative Law Judge (ALJ) concluded that screen doors are not permitted in Xanadu under CC&R Article 2 § 3(a)(2), and CC&R Article 7 (Architectural Committee authority) does not override this explicit prohibition.

Orders: Respondent is directed to comply with the requirements of CC&R Article 2 § 3(a)(2) going forward.

Filing fee: $0.00, Fee refunded: Yes

Disposition: petitioner_win

Cited:

  • CC&R Article 2 § 3(a)(2)
  • CC&R Article 7

Alleged violation of CC&R Article 3 § 3(d)(1)

Petitioner alleged violation concerning the 'no-pet' policy. The ALJ concluded that Respondent is not required to allow pets, but may allow them with Board approval, and the Petitioner did not establish that the policy was arbitrarily or unreasonably applied.

Filing fee: $0.00, Fee refunded: No

Disposition: respondent_win

Cited:

  • CC&R Article 3 § 3(d)(1)
  • A.R.S. § 12-548

Alleged violation of CC&R Article 6 § 2(a)

The ALJ concluded that the marquee is common area, and the Association was not authorized under CC&R Article 6 § 2(a) to charge a separate assessment or rental fee for its use. Furthermore, there was no evidence the $50 assessment complied with CC&R Article 6 § 5 (special assessment requirements).

Orders: Respondent is directed to comply with the requirements of CC&R Article 6 § 2(a) going forward.

Filing fee: $0.00, Fee refunded: Yes

Disposition: petitioner_win

Cited:

  • CC&R Article 6 § 2(a)
  • CC&R Article 6 § 5
  • A.R.S. § 12-548

Analytics Highlights

Topics: HOA Governance, Condominium, CC&R Violation, Assessment Dispute, Architectural Control, Pet Policy, Statute of Limitations Defense
Additional Citations:

  • A.R.S. § 32-2199(1)
  • A.R.S. § 12-548
  • A.R.S. § 32-2199.02(B)
  • A.R.S. § 32-2199.04
  • A.R.S. § 41-1092.09
  • A.A.C. R2-19-119(A)
  • A.A.C. R2-19-119(B)(1)
  • A.A.C. R2-19-119(B)(2)
  • CC&R Article 2 § 3(a)(2)
  • CC&R Article 3 § 3(d)(1)
  • CC&R Article 6 § 2(a)
  • CC&R Article 6 § 5
  • CC&R Article 7

Video Overview

Audio Overview

Decision Documents

21F-H2121065-REL Decision – 913797.pdf

Uploaded 2026-04-24T11:37:41 (41.8 KB)

21F-H2121065-REL Decision – 913859.pdf

Uploaded 2026-04-24T11:37:47 (5.9 KB)

21F-H2121065-REL Decision – 921820.pdf

Uploaded 2026-04-24T11:37:55 (100.1 KB)

21F-H2121065-REL Decision – 921823.pdf

Uploaded 2026-04-24T11:38:00 (112.8 KB)

21F-H2121065-REL Decision – 913797.pdf

Uploaded 2026-01-23T17:39:10 (41.8 KB)

21F-H2121065-REL Decision – 913859.pdf

Uploaded 2026-01-23T17:39:13 (5.9 KB)

21F-H2121065-REL Decision – 921820.pdf

Uploaded 2026-01-23T17:39:16 (100.1 KB)

21F-H2121065-REL Decision – 921823.pdf

Uploaded 2026-01-23T17:39:19 (112.8 KB)

This summary outlines the proceedings, arguments, and final decision in the matter of *Brian D. Sopatyk vs. Xanadu Lake Resort Condominium, Inc.*, heard before the Office of Administrative Hearings (OAH).

Key Facts and Proceedings

The Petitioner, Brian D. Sopatyk, a unit owner and member of the Respondent condominium association (Xanadu Lake Resort Condominium, Inc.), filed a triple-issue petition on or about June 29, 2021, alleging violations of the Covenants, Conditions, and Restrictions (CC&Rs). The matter was referred to the OAH for an evidentiary hearing. The hearing took place on September 21, 2021, with Administrative Law Judge (ALJ) Velva Moses-Thompson presiding. The record was held open until October 12, 2021, solely for receiving post-hearing briefs concerning the application of the affirmative defense of the Statute of Limitations. The Arizona Department of Real Estate has jurisdiction over these types of petitions regarding alleged condominium association violations.

Main Issues and Arguments

Petitioner Sopatyk brought three claims, asserting the Respondent violated specific CC&R articles:

  1. Issue 1 (Screen Doors): Whether Respondent violated CC&R Article 2 § 3(a)(2) by directing and authorizing the installation of security screen doors, which are external items generally prohibited. Respondent argued the Architectural Committee had the authority to allow the installations under CC&R Article 7.
  2. Issue 2 (Pets): Whether Respondent violated CC&R Article 3 § 3(d)(1) by barring pets without guidelines. Respondent contended that this CC&R article does not require them to allow pets.
  3. Issue 3 (Marquee Assessment): Whether Respondent violated CC&R Article 6 § 2(a) by levying a $50 monthly fee on commercial units for marquee repair costs. Petitioner argued repairs must be paid out of the reserve fund derived from regular common expenses. Respondent countered that the $50 charge was a rental fee for unit owners advertising on the marquee, not an unauthorized assessment.

The Respondent also raised the affirmative defense that A.R.S. § 12-548 (Statute of Limitations) barred Issues 2 and 3.

Key Legal Points and Final Decision

The ALJ issued a decision on November 1, 2021, relying on the principle that unambiguous restrictive covenants must be enforced to give effect to the intent of the parties.

  1. Statute of Limitations: The ALJ rejected the defense, concluding that A.R.S. § 12-548 is inapplicable because that statute pertains to actions for debt evidenced by a written contract, which the petition was not.
  2. Issue 1 (Screen Doors): Petitioner prevailed. The ALJ concluded that screen doors are absolutely not permitted under CC&R Article 2 § 3(a)(2). CC&R Article 7 granting authority to the Architectural Committee cannot override the clear bar established by Article 2 § 3(a)(2), as doing so would render the prohibition meaningless.
  3. Issue 2 (Pets): Respondent prevailed. The CC&R permits, but does not require, the Board to allow pets. The Petitioner failed to prove by a preponderance of the evidence that the consistent prohibition of pets was arbitrarily or unreasonably applied.
  4. Issue 3 (Marquee Assessment): Petitioner prevailed. The ALJ concluded the marquee is part of the common area. The Association was not authorized under CC&R Article 6 § 2(a) to charge a separate assessment or rental fee for its use. Furthermore, there was no evidence that the $50 charge complied with the requirements for imposing a special assessment under CC&R Article 6 § 5.

Outcome: The Petitioner was deemed the prevailing party regarding Issues 1 and 3, and the Respondent prevailed regarding Issue 2. The Respondent was ordered to comply with CC&R Article 2 § 3(a)(2) and Article 6 § 2(a) going forward. Respondent was further ordered to pay Petitioner his filing fee of $1,000.00 within thirty days. No civil penalty was imposed.

Questions

Question

Can the HOA Board or Architectural Committee authorize an improvement (like a screen door) if the CC&Rs explicitly ban it?

Short Answer

No. The Board cannot use its general approval powers to override specific prohibitions in the CC&Rs.

Detailed Answer

Even if an Architectural Committee has the authority to approve improvements, they cannot authorize items that are specifically prohibited by other sections of the CC&Rs. Doing so would render the specific prohibition meaningless.

Alj Quote

If Respondent were permitted to authorize the installation of screen doors through the approval of the Architectural Committee, the bar in CC&R Article 2 § 3(a)(2) would have no meaning.

Legal Basis

Contract Interpretation

Topic Tags

  • Architectural Control
  • Board Authority
  • CC&R Interpretation

Question

If the CC&Rs say pets are allowed 'with Board permission,' does the Board have to let me have a pet?

Short Answer

No. The Board has discretion to deny permission.

Detailed Answer

If the CC&Rs state that animals are not allowed without express permission, the Board is not required to grant that permission. As long as the Board has consistently prohibited pets and not acted arbitrarily, they can enforce a no-pet policy.

Alj Quote

The Administrative Law Judge concludes that Respondent is not required, but may allow pets with the Board’s approval… Petitioner did not establish by a preponderance of the evidence that Respondent has arbitrarily or unreasonably applied CC&R Article 3 § 3(d)(1).

Legal Basis

Board Discretion

Topic Tags

  • Pets
  • Rules Enforcement

Question

Can the HOA charge a 'rental fee' or separate assessment to specific owners for the use or repair of a common area structure?

Short Answer

Not usually. Common area maintenance should be paid from general reserve funds or regular assessments.

Detailed Answer

The HOA cannot arbitrarily charge a 'rental fee' or specific assessment for a common area amenity (like a marquee sign) if the CC&Rs require common area improvements to be funded by the reserve fund or regular assessments.

Alj Quote

The Administrative Law Judge concludes that the marquee is a part of the common area of Xanadu and therefore, the Association was not authorized under CC&R Article 6 § 2(a), to charge a separate assessment or rental fee for the use of the marquee.

Legal Basis

CC&R Article 6 § 2(a)

Topic Tags

  • Assessments
  • Common Areas
  • Financials

Question

Is there a statute of limitations for filing a petition against my HOA with the Arizona Department of Real Estate?

Short Answer

No.

Detailed Answer

The statute of limitations that applies to debts (A.R.S. § 12-548) does not apply to ADRE petitions because they are not actions for debt. The Department itself does not have statute of limitations provisions.

Alj Quote

A.R.S. § 12-548 is inapplicable to the petition filed in this matter because the statute applies to actions for debt evidenced by a contract in writing. The petition does not relate to a debt and furthermore, the Department does not have any statute of limitations provisions.

Legal Basis

A.R.S. § 12-548 (distinguished)

Topic Tags

  • Procedure
  • Statute of Limitations

Question

Can the HOA levy a special assessment for repairs without a vote of the members?

Short Answer

No, not if the CC&Rs require a member vote.

Detailed Answer

If the CC&Rs stipulate that special assessments for capital improvements require the assent of a certain percentage of voters (e.g., 2/3), the HOA cannot impose the cost without holding that vote.

Alj Quote

Furthermore, there was no evidence presented at hearing that the $50 assessment was imposed that complied with CC&R Article 6 § 5.

Legal Basis

CC&R Article 6 § 5

Topic Tags

  • Special Assessments
  • Voting

Question

If I win my hearing against the HOA, can I get my filing fee back?

Short Answer

Yes.

Detailed Answer

The Administrative Law Judge has the authority to order the HOA to reimburse the prevailing party for the filing fee.

Alj Quote

IT IS FURTHER ORDERED that Respondent pay Petitioner his filing fee of $1,000.00, to be paid directly to Petitioner within thirty (30) days of this Order.

Legal Basis

Administrative Order

Topic Tags

  • Remedies
  • Fees

Question

How are conflicts or ambiguities in the CC&Rs interpreted by the judge?

Short Answer

They are construed as a whole to determine the underlying purpose.

Detailed Answer

Restrictive covenants are interpreted by looking at the document as a whole to understand the intent of the parties and the purpose of the restrictions.

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

Common Law Interpretation

Topic Tags

  • Legal Standards
  • CC&R Interpretation

Case

Docket No
21F-H2121065-REL
Case Title
Brian D. Sopatyk vs. Xanadu Lake Resort Condominium, Inc.
Decision Date
2021-11-01
Alj Name
Velva Moses-Thompson
Tribunal
OAH
Agency
ADRE

Questions

Question

Can the HOA Board or Architectural Committee authorize an improvement (like a screen door) if the CC&Rs explicitly ban it?

Short Answer

No. The Board cannot use its general approval powers to override specific prohibitions in the CC&Rs.

Detailed Answer

Even if an Architectural Committee has the authority to approve improvements, they cannot authorize items that are specifically prohibited by other sections of the CC&Rs. Doing so would render the specific prohibition meaningless.

Alj Quote

If Respondent were permitted to authorize the installation of screen doors through the approval of the Architectural Committee, the bar in CC&R Article 2 § 3(a)(2) would have no meaning.

Legal Basis

Contract Interpretation

Topic Tags

  • Architectural Control
  • Board Authority
  • CC&R Interpretation

Question

If the CC&Rs say pets are allowed 'with Board permission,' does the Board have to let me have a pet?

Short Answer

No. The Board has discretion to deny permission.

Detailed Answer

If the CC&Rs state that animals are not allowed without express permission, the Board is not required to grant that permission. As long as the Board has consistently prohibited pets and not acted arbitrarily, they can enforce a no-pet policy.

Alj Quote

The Administrative Law Judge concludes that Respondent is not required, but may allow pets with the Board’s approval… Petitioner did not establish by a preponderance of the evidence that Respondent has arbitrarily or unreasonably applied CC&R Article 3 § 3(d)(1).

Legal Basis

Board Discretion

Topic Tags

  • Pets
  • Rules Enforcement

Question

Can the HOA charge a 'rental fee' or separate assessment to specific owners for the use or repair of a common area structure?

Short Answer

Not usually. Common area maintenance should be paid from general reserve funds or regular assessments.

Detailed Answer

The HOA cannot arbitrarily charge a 'rental fee' or specific assessment for a common area amenity (like a marquee sign) if the CC&Rs require common area improvements to be funded by the reserve fund or regular assessments.

Alj Quote

The Administrative Law Judge concludes that the marquee is a part of the common area of Xanadu and therefore, the Association was not authorized under CC&R Article 6 § 2(a), to charge a separate assessment or rental fee for the use of the marquee.

Legal Basis

CC&R Article 6 § 2(a)

Topic Tags

  • Assessments
  • Common Areas
  • Financials

Question

Is there a statute of limitations for filing a petition against my HOA with the Arizona Department of Real Estate?

Short Answer

No.

Detailed Answer

The statute of limitations that applies to debts (A.R.S. § 12-548) does not apply to ADRE petitions because they are not actions for debt. The Department itself does not have statute of limitations provisions.

Alj Quote

A.R.S. § 12-548 is inapplicable to the petition filed in this matter because the statute applies to actions for debt evidenced by a contract in writing. The petition does not relate to a debt and furthermore, the Department does not have any statute of limitations provisions.

Legal Basis

A.R.S. § 12-548 (distinguished)

Topic Tags

  • Procedure
  • Statute of Limitations

Question

Can the HOA levy a special assessment for repairs without a vote of the members?

Short Answer

No, not if the CC&Rs require a member vote.

Detailed Answer

If the CC&Rs stipulate that special assessments for capital improvements require the assent of a certain percentage of voters (e.g., 2/3), the HOA cannot impose the cost without holding that vote.

Alj Quote

Furthermore, there was no evidence presented at hearing that the $50 assessment was imposed that complied with CC&R Article 6 § 5.

Legal Basis

CC&R Article 6 § 5

Topic Tags

  • Special Assessments
  • Voting

Question

If I win my hearing against the HOA, can I get my filing fee back?

Short Answer

Yes.

Detailed Answer

The Administrative Law Judge has the authority to order the HOA to reimburse the prevailing party for the filing fee.

Alj Quote

IT IS FURTHER ORDERED that Respondent pay Petitioner his filing fee of $1,000.00, to be paid directly to Petitioner within thirty (30) days of this Order.

Legal Basis

Administrative Order

Topic Tags

  • Remedies
  • Fees

Question

How are conflicts or ambiguities in the CC&Rs interpreted by the judge?

Short Answer

They are construed as a whole to determine the underlying purpose.

Detailed Answer

Restrictive covenants are interpreted by looking at the document as a whole to understand the intent of the parties and the purpose of the restrictions.

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

Common Law Interpretation

Topic Tags

  • Legal Standards
  • CC&R Interpretation

Case

Docket No
21F-H2121065-REL
Case Title
Brian D. Sopatyk vs. Xanadu Lake Resort Condominium, Inc.
Decision Date
2021-11-01
Alj Name
Velva Moses-Thompson
Tribunal
OAH
Agency
ADRE

Case Participants

Petitioner Side

  • Brian D. Sopatyk (petitioner)
    Unit Owner
  • Jacob A. Kubert (petitioner attorney)
    Dessaules Law Group

Respondent Side

  • Penny L. Koepke (respondent attorney)
    Maxwell Morgan PC

Neutral Parties

  • Velva Moses-Thompson (ALJ)
    Office of Administrative Hearings
  • Judy Lowe (ADRE Commissioner)
    Arizona Department of Real Estate
  • Louis Dettorre (ADRE Commissioner)
    Arizona Department of Real Estate
  • AHansen (ADRE staff)
    Arizona Department of Real Estate
  • djones (ADRE staff)
    Arizona Department of Real Estate
  • DGardner (ADRE staff)
    Arizona Department of Real Estate

Other Participants

  • c. serrano (clerk/staff)
    Transmitting agent mentioned in distribution list

Daniel B Belt v. Beaver Valley Improvement Association

Case Summary

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

Parties & Counsel

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

Alleged Violations

No violations listed

Outcome Summary

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

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

Key Issues & Findings

Petition alleging violation

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

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

Filing fee: $500.00, Fee refunded: Yes

Disposition: petitioner_win

Cited:

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

Analytics Highlights

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

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

Video Overview

Audio Overview

Decision Documents

21F-H2121058-REL Decision – 936420.pdf

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

21F-H2121058-REL Decision – 936523.pdf

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

21F-H2121058-REL Decision – 942810.pdf

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

21F-H2121058-REL Decision – 954077.pdf

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

21F-H2121058-REL Decision – 915454.pdf

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

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

Executive Summary

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

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

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

I. Case Overview and Procedural History

The Core Dispute: Access to Election Ballots

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

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

Key Parties

Name/Entity

Representation/Affiliation

Petitioner

Daniel B. Belt

Appeared on his own behalf

Respondent

Beaver Valley Improvement Association

Represented by Ellen B. Davis, Esq.

Witness (Initial Hearing)

Petra Paul

Managing Agent, Planned Development Services (PDS)

Witness (Initial & Final Hearing)

William Campbell

Member, BVIA Board of Directors

Administrative Law Judge

Sondra J. Vanella

Office of Administrative Hearings

Director

Greg Hanchett

Office of Administrative Hearings

Procedural Timeline

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

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

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

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

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

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

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

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

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

II. Analysis of the Initial Hearing and Decision

Respondent’s Defense and Evidence

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

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

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

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

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

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

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

Key Witness Testimony

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

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

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

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

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

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

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

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

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

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

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

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

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

III. Rehearing Proceedings and Final Disposition

Petitioner’s Post-Decision Filings

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

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

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

Director’s Response

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

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

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

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

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

Short-Answer Quiz

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

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

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

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

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

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

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

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

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

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

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

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Answer Key

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

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

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

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

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

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

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

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

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

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

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Essay Questions

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

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

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

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

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

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

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Glossary of Key Terms

Definition

Administrative Law Judge (ALJ)

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

A.R.S. § 33-1805

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

A.R.S. § 33-1812(6)

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

Burden of Proof

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

Bylaws

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

Homeowners Association (HOA)

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

Injunction Against Workplace Harassment

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

Petitioner

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

Planned Development Services (PDS)

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

Preponderance of the Evidence

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

Quorum

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

Redacted

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

Rehearing

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

Respondent

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

Secret Ballot

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

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

Introduction: When Neighborly Disagreements Go Nuclear

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

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

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

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

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

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

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

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

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

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

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

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3.Third Parties Can Become Expensive Collateral Damage

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

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

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

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

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

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

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

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Conclusion: Drawing the Line Between Advocacy and Anarchy

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

Case Participants

Petitioner Side

  • Daniel B. Belt (petitioner)

Respondent Side

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

Neutral Parties

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

Other Participants

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

Gregory L Smith v. Mountain Bridge Community Association

Case Summary

Case ID 21F-H2121037-REL
Agency ADRE
Tribunal OAH
Decision Date 2021-06-11
Administrative Law Judge Adam D. Stone
Outcome The Petitioner prevailed on the claim of violating CC&R Article 11.3.2 (failure to negotiate in good faith) but was denied relief on the claim of violating A.R.S. § 33-1811 (conflict of interest). Petitioner was ordered reimbursed $500.00 for the filing fee.
Filing Fees Refunded $1,500.00
Civil Penalties $0.00

Parties & Counsel

Petitioner Gregory L. Smith Counsel
Respondent Mountain Bridge Community Association Counsel Nicole Payne, Esq.

Alleged Violations

A.R.S. § 33-1811
CC&R Article 11.3.2

Outcome Summary

The Petitioner prevailed on the claim of violating CC&R Article 11.3.2 (failure to negotiate in good faith) but was denied relief on the claim of violating A.R.S. § 33-1811 (conflict of interest). Petitioner was ordered reimbursed $500.00 for the filing fee.

Why this result: Petitioner failed to prove the A.R.S. § 33-1811 violation because the statute was interpreted by the Tribunal to require the action to involve compensation.

Key Issues & Findings

Conflict of Interest Disclosure

Petitioner alleged the Respondent violated A.R.S. § 33-1811 because the HOA President failed to disclose a conflict of interest during the approval of his own flagpole. The Tribunal found the statute requires the decision to involve compensation, and Petitioner failed to meet the burden of proof.

Orders: Petition denied as to a violation of A.R.S. 33-1811. Tribunal declined to award a civil penalty.

Filing fee: $1,000.00, Fee refunded: No

Disposition: petitioner_loss

Cited:

  • A.R.S. § 33-1811

Failure to Negotiate Claim Resolution in Good Faith

Petitioner claimed Mountain Bridge failed to negotiate a resolution in good faith after he filed a claim notice. Mountain Bridge failed to communicate until approximately 35 days after the claim was noticed. The Tribunal found Respondent failed to negotiate in good faith.

Orders: Petitioner is deemed the prevailing party as to his claim of an Article 11 violation. Respondent must reimburse the $500.00 filing fee within 30 days. Tribunal declined to award a civil penalty.

Filing fee: $500.00, Fee refunded: Yes

Disposition: petitioner_win

Cited:

  • CC&R Article 11.3.2

Analytics Highlights

Topics: HOA, Conflict of Interest, Failure to Negotiate, Flagpole, Filing Fee
Additional Citations:

  • A.R.S. § 33-1811
  • 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. § 32-2199.02(B)
  • A.R.S. § 32-2199.04
  • A.R.S. § 41-1092.09

Video Overview

Audio Overview

Decision Documents

21F-H2121037-REL Decision – 887461.pdf

Uploaded 2026-04-24T11:33:55 (121.4 KB)

21F-H2121037-REL Decision – 887461.pdf

Uploaded 2026-01-23T17:36:47 (121.4 KB)

This is a summary of the Administrative Law Judge Decision in the case of *Gregory L. Smith v. Mountain Bridge Community Association*.

Key Facts and Proceedings

Petitioner Gregory L. Smith, a homeowner and member of the Mountain Bridge Community Association (HOA/Respondent), filed a petition alleging the HOA violated its Covenants, Conditions, and Restrictions (CC&R’s) and Arizona statute. The core dispute centered on the HOA’s failure to take enforcement action against Smith’s backyard neighbor—who was also the HOA President (Mr. Riggs)—for installing a flagpole that impacted Smith’s property view. Smith believed the HOA’s Architectural Review Committee (ARC) had an obligation to consider the view from his property when approving the flagpole. The hearings occurred on April 22, 2021, and June 2, 2021.

Main Issues and Arguments

The Tribunal focused on two primary issues after addressing a moot point regarding attorney’s fees:

  1. Violation of A.R.S. § 33-1811 (Conflict of Interest): Smith argued that the HOA violated the statute because the Board President failed to make proper disclosures regarding the flagpole approval, as it was a board decision.
  2. Violation of CC&R Article 11.3.2 (Good Faith Negotiation): Smith argued that the HOA violated the requirement to negotiate in good faith after he filed a formal claim notice on September 8, 2020. The credible evidence showed the HOA or its attorneys failed to communicate with Smith until October 13, 2020, approximately 35 days after the claim notice.

Legal Conclusions and Outcome

The Administrative Law Judge rendered a decision based on whether Smith met his burden of proof by a preponderance of the evidence.

  1. A.R.S. § 33-1811 Claim Denied: The Tribunal found that A.R.S. § 33-1811, concerning board conflicts of interest, applies only when the "contract, decision or other action" involves compensation. Since the decision regarding the flagpole was not found to involve compensation, the Tribunal held that Smith had not sustained his burden of proof regarding the statutory violation.
  2. CC&R Article 11.3.2 Claim Upheld: The Tribunal found that Mountain Bridge failed to negotiate in good faith and violated Article 11.3.2 of the CC&R’s. Although the dispute occurred during the COVID-19 pandemic, the lack of any communication until 35 days post-notice, thereby exceeding the negotiation period, constituted a violation.

Final Decision

The Petitioner’s request regarding the violation of A.R.S. § 33-1811 was denied. Petitioner was deemed the prevailing party solely on the claim that Mountain Bridge violated CC&R Article 11 (failure to negotiate in good faith). As the prevailing party, the Petitioner is entitled to the reimbursement of his $500.00 filing fee from the Respondent within 30 days. The Tribunal declined to award a civil penalty.

Questions

Question

Does a board member violate conflict of interest laws by voting on their own architectural request if no money is exchanged?

Short Answer

Likely not. The ALJ ruled that the conflict of interest statute (A.R.S. § 33-1811) applies specifically to decisions involving compensation.

Detailed Answer

The ALJ interpreted A.R.S. § 33-1811 narrowly. While acknowledging that abstaining from voting on one's own request is 'best practice,' the Judge determined that the phrase 'contract, decision or other action for compensation' implies that the decision must involve compensation to trigger the statutory violation. Since the architectural approval was not for compensation, the statute was not violated.

Alj Quote

However, the word “other” would indicate that the contract or decision would involve compensation. … Therefore, the Tribunal finds that Mr. Smith has not sustained his burden in demonstrating that Mountain Bridge violated A.R.S. § 33-1811.

Legal Basis

A.R.S. § 33-1811

Topic Tags

  • Conflict of Interest
  • Board Conduct
  • Architectural Review

Question

If the CC&Rs require the HOA to negotiate a dispute within a certain time, can they simply ignore it?

Short Answer

No. Ignoring a request for negotiation beyond the mandated timeframe can be considered a violation of the duty to negotiate in good faith.

Detailed Answer

In this case, the CC&Rs required the parties to make a reasonable effort to meet and confer. The HOA failed to communicate with the homeowner until 35 days after the claim was noticed (past the 30-day negotiation period). The ALJ found this lack of communication to be a violation of the specific CC&R article requiring good faith negotiation.

Alj Quote

The credible evidence presented demonstrated that Mountain Bridge, or its attorneys, did not communicate with Mr. Smith until October 13, 2020, approximately 35 days after the claim was noticed. … Therefore, the Tribunal finds that Mountain Bridge failed to negotiate in good faith and violated Article 11.3.2 of the CC&R’s.

Legal Basis

CC&R Article 11.3.2

Topic Tags

  • Dispute Resolution
  • Good Faith
  • HOA Obligations

Question

Can the HOA use the COVID-19 pandemic as a valid excuse for failing to communicate with me?

Short Answer

Not if they fail to send any updates. The HOA must at least inform the homeowner of potential delays.

Detailed Answer

The ALJ rejected the HOA's implicit defense that the pandemic justified the delay in communication. The ruling stated that even if the pandemic caused issues, the HOA had an obligation to at least inform the homeowner that delays were occurring. Total silence was not justified.

Alj Quote

While this dispute occurred during the COVID-19 pandemic, certainly communications could have been sent to Mr. Smith informing him there may be some delays in communication. However, there were none, and thus no valid justification for the Board not entering into negotiations with the Smiths.

Legal Basis

Administrative Discretion / Good Faith

Topic Tags

  • Communication
  • Delays
  • Good Faith

Question

Who is responsible for proving that the HOA violated the rules during a hearing?

Short Answer

The homeowner (Petitioner) bears the burden of proof.

Detailed Answer

The homeowner must prove their case by a 'preponderance of the evidence,' meaning they must show it is more likely than not that the violation occurred. The HOA does not have to disprove the claim initially; the burden starts with the homeowner.

Alj Quote

Petitioner bears the burden of proof to establish that Respondent violated CC&R § 3.1 by a preponderance of the evidence.

Legal Basis

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

Topic Tags

  • Legal Procedure
  • Burden of Proof
  • Evidence

Question

Can I claim the HOA violated a definition in the CC&Rs, such as 'Visible from Neighboring Property'?

Short Answer

No. You cannot violate a definition; you can only violate the rules that use the definition.

Detailed Answer

The homeowner argued the HOA violated the definition of 'Visible from Neighboring Property.' The ALJ ruled that a definition is descriptive and cannot be violated in and of itself. Violations must be tied to specific covenants or restrictions.

Alj Quote

Further, because “Visible from Neighboring Property” as mentioned in Article 1 is a definition, it is impossible for Mountain Bridge to violate the same.

Legal Basis

Contract Interpretation

Topic Tags

  • CC&R Interpretation
  • Definitions
  • Legal Standards

Question

If I win my hearing against the HOA, will I get my filing fee back?

Short Answer

Yes, if you prevail on a claim, the ALJ can order the HOA to reimburse your filing fee.

Detailed Answer

The ALJ deemed the homeowner the prevailing party regarding the 'failure to negotiate' claim (even though other claims were denied) and ordered the HOA to reimburse the $500.00 filing fee within 30 days.

Alj Quote

Thus, Petitioner is entitled to his filing fee of $500.00 and Respondent must reimburse the same with 30 days.

Legal Basis

Administrative Remedy

Topic Tags

  • Remedies
  • Fees
  • Reimbursement

Case

Docket No
21F-H2121037-REL
Case Title
Gregory L. Smith vs. Mountain Bridge Community Association
Decision Date
2021-06-11
Alj Name
Adam D. Stone
Tribunal
OAH
Agency
ADRE

Questions

Question

Does a board member violate conflict of interest laws by voting on their own architectural request if no money is exchanged?

Short Answer

Likely not. The ALJ ruled that the conflict of interest statute (A.R.S. § 33-1811) applies specifically to decisions involving compensation.

Detailed Answer

The ALJ interpreted A.R.S. § 33-1811 narrowly. While acknowledging that abstaining from voting on one's own request is 'best practice,' the Judge determined that the phrase 'contract, decision or other action for compensation' implies that the decision must involve compensation to trigger the statutory violation. Since the architectural approval was not for compensation, the statute was not violated.

Alj Quote

However, the word “other” would indicate that the contract or decision would involve compensation. … Therefore, the Tribunal finds that Mr. Smith has not sustained his burden in demonstrating that Mountain Bridge violated A.R.S. § 33-1811.

Legal Basis

A.R.S. § 33-1811

Topic Tags

  • Conflict of Interest
  • Board Conduct
  • Architectural Review

Question

If the CC&Rs require the HOA to negotiate a dispute within a certain time, can they simply ignore it?

Short Answer

No. Ignoring a request for negotiation beyond the mandated timeframe can be considered a violation of the duty to negotiate in good faith.

Detailed Answer

In this case, the CC&Rs required the parties to make a reasonable effort to meet and confer. The HOA failed to communicate with the homeowner until 35 days after the claim was noticed (past the 30-day negotiation period). The ALJ found this lack of communication to be a violation of the specific CC&R article requiring good faith negotiation.

Alj Quote

The credible evidence presented demonstrated that Mountain Bridge, or its attorneys, did not communicate with Mr. Smith until October 13, 2020, approximately 35 days after the claim was noticed. … Therefore, the Tribunal finds that Mountain Bridge failed to negotiate in good faith and violated Article 11.3.2 of the CC&R’s.

Legal Basis

CC&R Article 11.3.2

Topic Tags

  • Dispute Resolution
  • Good Faith
  • HOA Obligations

Question

Can the HOA use the COVID-19 pandemic as a valid excuse for failing to communicate with me?

Short Answer

Not if they fail to send any updates. The HOA must at least inform the homeowner of potential delays.

Detailed Answer

The ALJ rejected the HOA's implicit defense that the pandemic justified the delay in communication. The ruling stated that even if the pandemic caused issues, the HOA had an obligation to at least inform the homeowner that delays were occurring. Total silence was not justified.

Alj Quote

While this dispute occurred during the COVID-19 pandemic, certainly communications could have been sent to Mr. Smith informing him there may be some delays in communication. However, there were none, and thus no valid justification for the Board not entering into negotiations with the Smiths.

Legal Basis

Administrative Discretion / Good Faith

Topic Tags

  • Communication
  • Delays
  • Good Faith

Question

Who is responsible for proving that the HOA violated the rules during a hearing?

Short Answer

The homeowner (Petitioner) bears the burden of proof.

Detailed Answer

The homeowner must prove their case by a 'preponderance of the evidence,' meaning they must show it is more likely than not that the violation occurred. The HOA does not have to disprove the claim initially; the burden starts with the homeowner.

Alj Quote

Petitioner bears the burden of proof to establish that Respondent violated CC&R § 3.1 by a preponderance of the evidence.

Legal Basis

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

Topic Tags

  • Legal Procedure
  • Burden of Proof
  • Evidence

Question

Can I claim the HOA violated a definition in the CC&Rs, such as 'Visible from Neighboring Property'?

Short Answer

No. You cannot violate a definition; you can only violate the rules that use the definition.

Detailed Answer

The homeowner argued the HOA violated the definition of 'Visible from Neighboring Property.' The ALJ ruled that a definition is descriptive and cannot be violated in and of itself. Violations must be tied to specific covenants or restrictions.

Alj Quote

Further, because “Visible from Neighboring Property” as mentioned in Article 1 is a definition, it is impossible for Mountain Bridge to violate the same.

Legal Basis

Contract Interpretation

Topic Tags

  • CC&R Interpretation
  • Definitions
  • Legal Standards

Question

If I win my hearing against the HOA, will I get my filing fee back?

Short Answer

Yes, if you prevail on a claim, the ALJ can order the HOA to reimburse your filing fee.

Detailed Answer

The ALJ deemed the homeowner the prevailing party regarding the 'failure to negotiate' claim (even though other claims were denied) and ordered the HOA to reimburse the $500.00 filing fee within 30 days.

Alj Quote

Thus, Petitioner is entitled to his filing fee of $500.00 and Respondent must reimburse the same with 30 days.

Legal Basis

Administrative Remedy

Topic Tags

  • Remedies
  • Fees
  • Reimbursement

Case

Docket No
21F-H2121037-REL
Case Title
Gregory L. Smith vs. Mountain Bridge Community Association
Decision Date
2021-06-11
Alj Name
Adam D. Stone
Tribunal
OAH
Agency
ADRE

Case Participants

Petitioner Side

  • Gregory L. Smith (petitioner)
    Appeared on his own behalf
  • Christa Smith (witness)
    Called by Petitioner

Respondent Side

  • Nicole Payne (HOA attorney)
    Carpenter Hazlewood
    Appeared on behalf of Respondent
  • Amber Martin (community manager)
    Mountain Bridge Community Association
    Also testified as a witness
  • Jim Rayment (ARC Chair)
    Mountain Bridge Community Association
    Approved the flagpole; also testified as a witness
  • Mr. Riggs (HOA President)
    Mountain Bridge Community Association
    Petitioner's backyard neighbor

Neutral Parties

  • Adam D. Stone (ALJ)
    OAH
    Administrative Law Judge
  • Judy Lowe (Commissioner)
    Arizona Department of Real Estate
    Recipient of decision transmission