Anthony & Karen Negrete v. Sundance Ranch Homeowners Association

Case Summary

Case ID 21F-H2120012-REL
Agency ADRE
Tribunal OAH
Decision Date 2020-12-13
Administrative Law Judge Kay A. Abramsohn
Outcome The Respondent's Motion to Dismiss was granted because the statute cited by Petitioners (A.R.S. § 33-1817(B)(2)(b)) regarding mandatory design approval meetings applies only to the construction or rebuild of the 'main residential structure,' not to a shed.
Filing Fees Refunded $500.00
Civil Penalties $0.00

Parties & Counsel

Petitioner Anthony & Karen Negrete Counsel
Respondent Sundance Ranch Homeowners Association Counsel Quinten Cupps, Esq.

Alleged Violations

A.R.S. §§ 33-1803 and 33-1817(B)(2)(b)

Outcome Summary

The Respondent's Motion to Dismiss was granted because the statute cited by Petitioners (A.R.S. § 33-1817(B)(2)(b)) regarding mandatory design approval meetings applies only to the construction or rebuild of the 'main residential structure,' not to a shed.

Why this result: The key statute relied upon by Petitioners was deemed inapplicable to the construction of a shed.

Key Issues & Findings

Failure to provide opportunity to participate in design approval meeting for replacement shed

Petitioners alleged they were not given the opportunity to participate in a final design approval meeting for building a replacement shed on their property, pursuant to A.R.S. § 33-1817(B)(2)(b).

Orders: Respondent’s Motion to Dismiss is granted and Petitioners’ Petition is dismissed.

Filing fee: $500.00, Fee refunded: No

Disposition: respondent_win

Cited:

  • A.R.S. § 33-1803
  • A.R.S. § 33-1817(B)(2)(b)

Analytics Highlights

Topics: Design Review, Shed, Architectural Approval, Motion to Dismiss, Statutory Interpretation
Additional Citations:

  • A.R.S. § 33-1803
  • A.R.S. § 33-1817(B)(2)(b)
  • A.R.S. Title 33, Chapter 16
  • A.A.C. R2-19-119

Video Overview

Audio Overview

Decision Documents

21F-H2120012-REL Decision – 842597.pdf

Uploaded 2026-04-24T11:30:33 (131.7 KB)

21F-H2120012-REL Decision – 842597.pdf

Uploaded 2026-01-23T17:35:17 (131.7 KB)

This administrative hearing, held on November 2, 2020, before Administrative Law Judge Kay A. Abramsohn, addressed a dispute between homeowners Anthony & Karen Negrete (Petitioners) and Sundance Ranch Homeowners Association (Sundance or Respondent).

Key Facts and Procedural Background:

Petitioners, long-time residents of Sundance, removed an existing shed (approved in 2005) due to deterioration from rodents and bees, and constructed a replacement shed in a new location on their property, intending to build a pool where the old shed stood. Petitioners did not initially seek approval for the replacement or the new location, believing it was unnecessary since a shed had been previously approved.

Sundance issued violation notices in March and April 2020, asserting the new shed was built without approval from the Architectural Committee. After applying for retroactive approval in June 2020, Sundance denied the application in July 2020, stating the new shed violated Design Guidelines regarding height, materials, and placement against a shared wall, and arguing the original approved shed could not be moved.

Main Issues and Arguments:

Petitioners filed a petition alleging Sundance violated Arizona Revised Statutes (A.R.S.) §§ 33-1803 and 33-1817(B)(2)(b). The specific issue Petitioners raised at the hearing was that they were not given the opportunity to participate in a design approval meeting pursuant to A.R.S. § 33-1817(B)(2)(b). Sundance denied the allegations and moved to dismiss the Petition.

The Design Guidelines require prior written approval from the Design Review Committee for any improvement, alteration, or change in the exterior appearance of structures. A.R.S. § 33-1803 governs the HOA's authority regarding enforcement and fines.

Legal Points and Outcome:

Petitioners had the burden of proving a violation by a preponderance of the evidence. The crucial legal point centered on the applicability of A.R.S. § 33-1817(B)(2)(b), which mandates that the association must hold a final design approval meeting allowing the member to attend.

The Administrative Law Judge (ALJ) concluded that A.R.S. § 33-1817(B)(2)(b) applies only to the "new construction of the main residential structure on a lot or for rebuilds of the main residential structure on a lot". Since the dispute involved a replacement shed—not the main residential structure—this statutory mandate for a meeting did not apply.

The ALJ concluded that Petitioners failed to establish a violation by Sundance of either A.R.S. § 33-1803 or A.R.S. § 33-1817(B)(2)(b). Consequently, the Respondent’s Motion to Dismiss was granted, and Petitioners’ Petition was dismissed. Petitioners were ordered to bear their $500.00 filing fee.

Questions

Question

Do I need HOA approval to replace an old structure (like a shed) that was approved years ago?

Short Answer

Yes. Prior approval of an original structure does not automatically apply to a replacement, especially if the location or condition changes.

Detailed Answer

Even if a structure was approved in the past, building a replacement is considered a new improvement or alteration. The ALJ found that despite having a shed approved in 2005, the homeowners were required to seek approval for the new shed, particularly because the governing documents stated that no improvements or alterations could be made without prior written approval.

Alj Quote

All subsequent additions to or changes or alterations in any building, fence, wall or other structure … shall be subject to the prior written approval of the Design Review Committee.

Legal Basis

CC&Rs Article 4, Section 4.1(a)

Topic Tags

  • Architectural Review
  • Improvements
  • Grandfathering

Question

Is the HOA required to hold a 'final design approval meeting' for backyard projects like sheds?

Short Answer

No. The legal requirement for a design approval meeting applies only to the main residential structure.

Detailed Answer

The ALJ clarified that A.R.S. § 33-1817(B)(2)(b), which mandates a design approval meeting, is specific to the new construction or rebuild of the 'main residential structure.' It does not apply to ancillary structures like sheds.

Alj Quote

The Administrative Law Judge concludes that A.R.S. § 33-1817(B)(2)(b) contains a mandate for a “design approval” meeting in the circumstance of construction of a “main residential structure.” That was not the circumstance in this case.

Legal Basis

A.R.S. § 33-1817(B)(2)(b)

Topic Tags

  • Meetings
  • Statutory Interpretation
  • Homeowner Rights

Question

Can I move an approved structure to a different location on my lot without new approval?

Short Answer

No. Moving a structure is considered a change that must adhere to current guidelines and receive approval.

Detailed Answer

The HOA successfully argued that an approval from 2005 was for a specific location and condition. Moving the structure constitutes a change that requires adherence to current guidelines.

Alj Quote

Again, the shed that was approved in 2005 cannot move or change- it is not denied, it simply cannot be moved or change. Any changes must adhere to the guidelines and be approved.

Legal Basis

CC&Rs / Design Guidelines

Topic Tags

  • modifications
  • Architectural Review
  • Compliance

Question

Who bears the burden of proof when a homeowner challenges an HOA in a hearing?

Short Answer

The homeowner (Petitioner) bears the burden of proving the HOA violated the law.

Detailed Answer

In an administrative hearing, it is up to the homeowner to provide evidence that carries more weight than the evidence offered by the HOA to prove a violation occurred.

Alj Quote

In this proceeding, pursuant to Arizona Administrative Code (A.A.C.) R2-19-119, Petitioners bear the burden of proving by a preponderance of the evidence that Respondent violated A.R.S. §§ 33-1803 and 33-1817(B)(2)(b).

Legal Basis

A.A.C. R2-19-119

Topic Tags

  • Legal Procedure
  • Burden of Proof
  • Hearings

Question

Can the HOA restrict the height and placement of backyard sheds?

Short Answer

Yes. The HOA can enforce specific design guidelines regarding dimensions and location relative to neighbors and the street.

Detailed Answer

The ALJ upheld the validity of Design Guidelines that mandated maximum heights and specific lot placements to ensure conformity with city codes and minimize visibility.

Alj Quote

Sundance Design Guidelines regarding “sheds” mandates: (a) a maximum height, including the roof pitch, of no more than eight (8) feet, … [and] (c) lot placement has to conform to City codes and have approval from the Design Committee “based on neighboring properties and visibility from the street,”

Legal Basis

Design Guidelines

Topic Tags

  • Architectural Guidelines
  • Restrictions
  • Property Use

Question

What happens if I start construction without approval?

Short Answer

The HOA may issue violation notices, impose fines, and require the structure be returned to its original state.

Detailed Answer

The ALJ noted that the HOA acted within its rights to issue violation notices and fines when it discovered unapproved construction. They also warned the homeowner to return the property to its original state.

Alj Quote

If the work has been started or completed, you will have 30 days from the date of this letter to have the submitted items returned to the original state. Or fines will be imposed.

Legal Basis

A.R.S. § 33-1803

Topic Tags

  • Violations
  • Fines
  • Enforcement

Case

Docket No
21F-H2120012-REL
Case Title
Anthony & Karen Negrete v. Sundance Ranch Homeowners Association
Decision Date
2020-12-13
Alj Name
Kay A. Abramsohn
Tribunal
OAH
Agency
ADRE

Questions

Question

Do I need HOA approval to replace an old structure (like a shed) that was approved years ago?

Short Answer

Yes. Prior approval of an original structure does not automatically apply to a replacement, especially if the location or condition changes.

Detailed Answer

Even if a structure was approved in the past, building a replacement is considered a new improvement or alteration. The ALJ found that despite having a shed approved in 2005, the homeowners were required to seek approval for the new shed, particularly because the governing documents stated that no improvements or alterations could be made without prior written approval.

Alj Quote

All subsequent additions to or changes or alterations in any building, fence, wall or other structure … shall be subject to the prior written approval of the Design Review Committee.

Legal Basis

CC&Rs Article 4, Section 4.1(a)

Topic Tags

  • Architectural Review
  • Improvements
  • Grandfathering

Question

Is the HOA required to hold a 'final design approval meeting' for backyard projects like sheds?

Short Answer

No. The legal requirement for a design approval meeting applies only to the main residential structure.

Detailed Answer

The ALJ clarified that A.R.S. § 33-1817(B)(2)(b), which mandates a design approval meeting, is specific to the new construction or rebuild of the 'main residential structure.' It does not apply to ancillary structures like sheds.

Alj Quote

The Administrative Law Judge concludes that A.R.S. § 33-1817(B)(2)(b) contains a mandate for a “design approval” meeting in the circumstance of construction of a “main residential structure.” That was not the circumstance in this case.

Legal Basis

A.R.S. § 33-1817(B)(2)(b)

Topic Tags

  • Meetings
  • Statutory Interpretation
  • Homeowner Rights

Question

Can I move an approved structure to a different location on my lot without new approval?

Short Answer

No. Moving a structure is considered a change that must adhere to current guidelines and receive approval.

Detailed Answer

The HOA successfully argued that an approval from 2005 was for a specific location and condition. Moving the structure constitutes a change that requires adherence to current guidelines.

Alj Quote

Again, the shed that was approved in 2005 cannot move or change- it is not denied, it simply cannot be moved or change. Any changes must adhere to the guidelines and be approved.

Legal Basis

CC&Rs / Design Guidelines

Topic Tags

  • modifications
  • Architectural Review
  • Compliance

Question

Who bears the burden of proof when a homeowner challenges an HOA in a hearing?

Short Answer

The homeowner (Petitioner) bears the burden of proving the HOA violated the law.

Detailed Answer

In an administrative hearing, it is up to the homeowner to provide evidence that carries more weight than the evidence offered by the HOA to prove a violation occurred.

Alj Quote

In this proceeding, pursuant to Arizona Administrative Code (A.A.C.) R2-19-119, Petitioners bear the burden of proving by a preponderance of the evidence that Respondent violated A.R.S. §§ 33-1803 and 33-1817(B)(2)(b).

Legal Basis

A.A.C. R2-19-119

Topic Tags

  • Legal Procedure
  • Burden of Proof
  • Hearings

Question

Can the HOA restrict the height and placement of backyard sheds?

Short Answer

Yes. The HOA can enforce specific design guidelines regarding dimensions and location relative to neighbors and the street.

Detailed Answer

The ALJ upheld the validity of Design Guidelines that mandated maximum heights and specific lot placements to ensure conformity with city codes and minimize visibility.

Alj Quote

Sundance Design Guidelines regarding “sheds” mandates: (a) a maximum height, including the roof pitch, of no more than eight (8) feet, … [and] (c) lot placement has to conform to City codes and have approval from the Design Committee “based on neighboring properties and visibility from the street,”

Legal Basis

Design Guidelines

Topic Tags

  • Architectural Guidelines
  • Restrictions
  • Property Use

Question

What happens if I start construction without approval?

Short Answer

The HOA may issue violation notices, impose fines, and require the structure be returned to its original state.

Detailed Answer

The ALJ noted that the HOA acted within its rights to issue violation notices and fines when it discovered unapproved construction. They also warned the homeowner to return the property to its original state.

Alj Quote

If the work has been started or completed, you will have 30 days from the date of this letter to have the submitted items returned to the original state. Or fines will be imposed.

Legal Basis

A.R.S. § 33-1803

Topic Tags

  • Violations
  • Fines
  • Enforcement

Case

Docket No
21F-H2120012-REL
Case Title
Anthony & Karen Negrete v. Sundance Ranch Homeowners Association
Decision Date
2020-12-13
Alj Name
Kay A. Abramsohn
Tribunal
OAH
Agency
ADRE

Case Participants

Petitioner Side

  • Anthony Negrete (petitioner)
  • Karen Negrete (petitioner)

Respondent Side

  • Quinten Cupps (HOA attorney)
    Sundance Ranch Homeowners Association

Neutral Parties

  • Kay A. Abramsohn (ALJ)
    OAH
  • Judy Lowe (Commissioner)
    Arizona Department of Real Estate

Michael J Stoltenberg v. Rancho Del Oro Homeowners Association

Case Summary

Case ID 20F-H2020059-REL
Agency ADRE
Tribunal OAH
Decision Date 2021-02-12
Administrative Law Judge Sondra J. Vanella
Outcome loss
Filing Fees Refunded $0.00
Civil Penalties $0.00

Parties & Counsel

Petitioner Michael J. Stoltenberg Counsel
Respondent Rancho Del Oro Homeowners Association Counsel Nicole Payne

Alleged Violations

CC&Rs § 5.1; A.R.S. § 10-3842

Outcome Summary

The Petition was dismissed after rehearing because Petitioner failed to establish by a preponderance of the evidence that the Respondent violated the CC&Rs. The ALJ found that Petitioner continually refused Respondent access to his locked back yard for landscaping maintenance, and the CC&Rs requiring landscaping do not mandate pool maintenance.

Why this result: Petitioner failed to establish a violation due to refusal of access to the back yard and misinterpretation of CC&R obligations regarding pool maintenance.

Key Issues & Findings

Failure to maintain landscaping and acting in bad faith

Petitioner alleged Respondent HOA violated CC&Rs by failing to maintain landscaping in 2020 and acting in bad faith, asserting that pool/hardscape maintenance was included in landscaping duties, and requesting the maximum fine. Respondent countered that they consistently maintained the front yard but were denied access to the locked backyard due to Petitioner's pool liability concerns.

Orders: Petitioner's Petition was dismissed/denied as Petitioner failed to establish a violation by a preponderance of the evidence. However, Respondent was ordered, going forward, to communicate the days and times they will be performing back yard landscaping so Petitioner can provide access.

Filing fee: $0.00, Fee refunded: No

Disposition: petitioner_loss

Cited:

  • CC&Rs § 5.1
  • CC&Rs § 5.1(a)
  • A.R.S. § 10-3842
  • A.R.S. § 32-2199(B)
  • A.R.S. § 33-1803
  • A.R.S. § 41-1092.07(G)(2)
  • A.A.C. R2-19-119(A)
  • A.A.C. R2-19-119(B)(1)
  • A.A.C. R2-19-119(B)(2)
  • A.R.S. § 32-1122(A)(1)
  • A.R.S. § 41-1092.08(H)
  • A.R.S. § 12-904(A)

Analytics Highlights

Topics: HOA Duties, Landscaping, Pool Maintenance, CC&Rs, Access Refusal, Rehearing
Additional Citations:

  • CC&Rs § 5.1
  • CC&Rs § 5.1(a)
  • A.R.S. § 10-3842
  • A.R.S. § 32-2199(B)
  • A.R.S. § 33-1803
  • A.R.S. § 41-1092.07(G)(2)
  • A.A.C. R2-19-119(A)
  • A.A.C. R2-19-119(B)(1)
  • A.A.C. R2-19-119(B)(2)
  • A.R.S. § 32-1122(A)(1)
  • A.R.S. § 41-1092.08(H)
  • A.R.S. § 12-904(A)

Video Overview

Audio Overview

Decision Documents

20F-H2020059-REL Decision – 855028.pdf

Uploaded 2026-05-02T10:34:27 (139.1 KB)

20F-H2020059-REL Decision – 815480.pdf

Uploaded 2026-05-02T10:34:33 (124.1 KB)

20F-H2020059-REL Decision – 855028.pdf

Uploaded 2026-04-24T11:27:32 (139.1 KB)

20F-H2020059-REL Decision – 815480.pdf

Uploaded 2026-04-24T11:27:36 (124.1 KB)

20F-H2020059-REL Decision – 815480.pdf

Uploaded 2026-01-23T17:33:21 (124.1 KB)

Briefing Document: Stoltenberg v. Rancho Del Oro Homeowners Association

Executive Summary

This document synthesizes the findings from two administrative hearings concerning a dispute between homeowner Michael J. Stoltenberg (Petitioner) and the Rancho Del Oro Homeowners Association (Respondent). The core of the dispute centers on the scope of landscaping maintenance obligations as defined by the association’s Covenants, Conditions, and Restrictions (CC&Rs).

The Petitioner alleged the HOA failed its duties under CC&Rs § 5.1 by not maintaining his property’s unique landscaping, which he argued included replenishing rock, staining paths, and servicing his swimming pool and associated hardscape. He further claimed the HOA was acting in bad faith and failing to comply with a previous court ruling.

The Respondent countered that it had consistently performed standard landscaping on the Petitioner’s front yard since January 2020. However, it was repeatedly denied access to the backyard, a fact the Petitioner admitted, citing liability concerns due to his pool. The HOA provided evidence of multiple attempts to access the yard and testimony that its maintenance duties are uniform across the community and do not include “concierge” services or pool maintenance.

The Administrative Law Judge ultimately dismissed the petition in both the initial hearing and a subsequent rehearing. The final decision rested on two key points: 1) The Petitioner failed to provide access to the area in question, preventing the HOA from performing its duties. 2) The Petitioner failed to meet the burden of proof that the term “landscaping” under the CC&Rs could be reasonably interpreted to include swimming pool maintenance. This conclusion was strongly supported by the separate licensing classifications for landscaping (R-21) and swimming pool service (R-6) issued by the Arizona Registrar of Contractors, which establishes them as distinct services under state regulation.

Case Overview

Parties and Key Personnel

Name/Entity

Affiliation / Title

Petitioner

Michael J. Stoltenberg

Homeowner, 11777 E. Calle Gaudi, Yuma, AZ

Respondent

Rancho Del Oro Homeowners Association

Homeowners’ Association (HOA)

Respondent Counsel

Nicole Payne, Esq.

Legal Representative

Respondent Witness

Diana Crites

Owner, Crites and Associates (Property Management Co.)

Respondent Witness

Rian Baas

Owner, Mowtown Landscape (HOA Landscaping Contractor)

Presiding Judge

Sondra J. Vanella

Administrative Law Judge

Case Details

Details

Initial Case No.

20F-H2020059-REL

Initial Hearing

August 3, 2020

Initial Decision

August 17, 2020

Rehearing Case No.

20F-H2020059-REL-RHG

Rehearing

February 2, 2021

Rehearing Decision

February 12, 2021

Core Dispute

The central conflict involved the interpretation of the HOA’s maintenance obligations under its governing documents. The Petitioner argued for an expansive definition of “landscaping” that encompassed his entire property exterior, including a swimming pool. The HOA maintained that its duties were limited to standard, uniform landscaping services and that pool maintenance was explicitly excluded. The dispute was compounded by the Petitioner’s refusal to grant the HOA’s landscaper access to his backyard.

Petitioner’s Allegations and Arguments

Mr. Stoltenberg’s petition, filed on or about April 21, 2020, and subsequent arguments in two hearings, were based on the following claims:

Violation of CC&Rs: The HOA violated § 5.1 of its CC&Rs by failing “to do their job in 2020 with maintaining landscaping, and are acting in bad faith.”

Broad Interpretation of “Landscaping”: As the CC&Rs do not define “landscaping,” the Petitioner contended it should include all types of features outside of structures. His specific demands included:

◦ Maintenance of unique xeriscape with geometric patterns.

◦ Replenishment of thin or worn-out rock ground cover.

◦ Staining of walking paths.

◦ Full maintenance of his “water feature,” identified as a swimming pool. This included the pump, filter, chemicals, patio, and all related hardscape.

Refusal to Grant Access: The Petitioner acknowledged that the gate to his backyard was “always locked.” He stated this was for liability reasons due to the pool and refused access to the HOA’s landscapers. At the rehearing, he argued the HOA failed to communicate its schedule to allow him to provide temporary access.

Budgetary Failure: He asserted that the HOA did not properly budget for the costs associated with maintaining his unique landscaping.

Grounds for Rehearing: After the initial denial, the Petitioner requested a rehearing on multiple grounds, including irregularity in proceedings, errors in evidence admission, and claims of “Americans with Disabilities Act (ADA) issues” related to hearing loss.

Respondent’s Position and Evidence

The Rancho Del Oro HOA presented a defense centered on its consistent attempts to fulfill its obligations and the Petitioner’s own actions preventing them from doing so.

Consistent Front Yard Maintenance: Both the HOA property manager and its landscaping contractor testified that the Petitioner’s front yard had been continuously maintained since landscaping services began in January 2020.

Denial of Backyard Access: The HOA’s primary defense was that it was physically prevented from servicing the backyard. Evidence presented to support this included:

Testimony from Rian Baas (Mowtown Landscape): His crews were at the property weekly. Between January and March 2020, he or his crew knocked and left notes or business cards four to five times with no response.

Witness Testimony: In March 2020, a woman at the residence (presumably the Petitioner’s wife) explicitly instructed a landscaper that “she does not want anyone in the back yard because she had a pool and that is the reason for the lock on gate.”

Documentary Evidence: A text message dated March 24, 2020, from Mr. Baas to property manager Diana Crites memorialized this interaction. A photograph of the locked gate was also submitted.

Scope of Services: Ms. Crites testified that HOA landscape services are uniform throughout the community and include front yard maintenance, mowing and blowing in backyards (if access is granted), and sprinkler system upkeep. They do not provide “concierge” services such as maintaining potted plants, driveways, or pools (except for the community pool, which is serviced by a separate contractor).

Access as a Prerequisite: Ms. Crites explained that backyard maintenance is contingent on homeowners leaving their gates unlocked, and some owners choose not to grant access due to pets or other reasons.

Judicial Findings and Rulings

Initial Decision (August 17, 2020)

The Administrative Law Judge denied the Petitioner’s initial petition based on a clear set of facts.

Findings of Fact: The judge found the evidence presented by the Respondent to be credible. The Petitioner’s own admission that he refused to allow access to his backyard since January 2020 was a critical factor. The evidence established that the HOA had consistently maintained the front yard and made multiple, documented attempts to access the backyard.

Conclusions of Law: The judge concluded that while § 5.1(a) of the CC&Rs requires the HOA to maintain yards, “nothing therein requires Respondent to maintain an individual member’s pool.” Because the Petitioner denied access, he could not establish that the Respondent had violated any CC&R.

Rehearing and Final Decision (February 12, 2021)

After the Commissioner for the Department of Real Estate granted a rehearing, the judge again reviewed the case and ultimately dismissed the petition, providing a more detailed legal analysis of the term “landscaping.”

Burden of Proof: The judge reiterated that the Petitioner bore the burden to establish by a preponderance of the evidence that the HOA was legally obligated to maintain his pool and hardscape. The Petitioner failed to offer any definition or legal authority to support his expansive interpretation.

Analysis of “Landscaping”: The judge found that the common definitions of “landscaping” from various dictionary and legal sources “cannot reasonably be read to include a swimming pool and the associated mechanical equipment.”

Arizona Registrar of Contractors (ROC) Licensing: The judge’s conclusion was decisively reinforced by the State of Arizona’s contractor licensing classifications:

◦ The R-21 Hardscaping and Irrigation Systems license (formerly Landscaping) is for installing garden walls, irrigation, and other landscape features. It specifically precludes the licensee from contracting for “swimming pools, pool deck coatings.”

◦ The R-6 Swimming Pool Service and Repair license is a separate classification required to service residential pools.

◦ The judge concluded: “The Registrar’s licensing scheme supports a conclusion that landscaping maintenance and pool maintenance are two separate and distinct services.”

Final Order: The petition was dismissed. The judge noted that because the Petitioner denied access, the Respondent was not in violation. However, the judge provided a forward-looking recommendation: “it is reasonable, going forward, for Respondent to communicate the days and times that it will be performing the landscaping of Petitioner’s back yard so that Petitioner can provide access for that service while maintaining safety precautions.”

Study Guide: Stoltenberg v. Rancho Del Oro Homeowners Association

This study guide provides a comprehensive review of the administrative legal dispute between homeowner Michael J. Stoltenberg and the Rancho Del Oro Homeowners Association. It covers the key arguments, evidence presented, and legal conclusions from two separate hearings. Use the following sections to test and deepen your understanding of the case.

Short-Answer Quiz

Instructions: Answer the following questions in two to three complete sentences, drawing all information from the provided case documents.

1. Who were the primary parties involved in this legal dispute, and what were their respective roles?

2. What was the core allegation made by the Petitioner against the Respondent in the initial petition filed on April 21, 2020?

3. According to Section 5.1 of the CC&Rs, what is the Association’s primary maintenance obligation regarding individual lots?

4. What specific and unique types of landscaping did the Petitioner claim required maintenance by the HOA?

5. What was the primary reason the Respondent’s landscaping contractor, Mowtown Landscape, was unable to perform maintenance in the Petitioner’s backyard?

6. What evidence did Diana Crites, the property manager, present to demonstrate the landscaper’s attempts to gain access to the backyard?

7. On what grounds did the Administrative Law Judge initially deny the Petitioner’s petition in the decision dated August 17, 2020?

8. What reasons did the Petitioner give for his request for a rehearing after the initial decision?

9. In the rehearing, how did the Administrative Law Judge legally define “landscaping” to determine the scope of the HOA’s duties?

10. What was the final order in the decision dated February 12, 2021, and what recommendation did the judge make for future interactions?

——————————————————————————–

Answer Key

1. The primary parties were Michael J. Stoltenberg, the homeowner, who served as the Petitioner, and the Rancho Del Oro Homeowners Association, which was the Respondent. The Petitioner brought the complaint alleging the HOA was not fulfilling its duties, while the Respondent defended its actions. The case was heard by Administrative Law Judge Sondra J. Vanella.

2. The Petitioner alleged that the Respondent had violated its Covenants, Conditions, and Restrictions (CC&Rs) § 5.1 and Arizona Revised Statutes § 10-3842. Specifically, he claimed the HOA failed “to do their job in 2020 with maintaining landscaping, and are acting in bad faith.” He also referenced a refusal to follow a previous court ruling.

3. Section 5.1 of the CC&Rs states that the Association’s maintenance duties “shall also include maintenance of the landscaping on individual Lots outside of structures.” This clause formed the basis of the Petitioner’s argument that the HOA was responsible for all landscaping on his property.

4. The Petitioner testified that his landscaping was unique, including xeriscape with geometric patterns, “water features” (which was a pool), and walking paths that needed staining. He also contended that when the rock in his front yard wore thin, the Respondent should be responsible for replenishing it.

5. The landscaping contractor could not access the Petitioner’s backyard because the gate was always locked. The Petitioner acknowledged he kept it locked for liability reasons due to the presence of his pool, which he referred to as a “water feature.”

6. Diana Crites presented a text message from the landscaper, Rian Baas, dated March 24, 2020, detailing how a woman at the residence stated she did not want anyone in the backyard because of the pool. Ms. Crites also presented a photograph of the locked gate and read a letter from Mr. Baas explaining his crew had knocked and left business cards weekly for two months without response.

7. The judge denied the petition because the Petitioner’s own admission established that he had refused to allow the Respondent access to his backyard since January 2020. The decision noted that the HOA had made multiple attempts to access the yard and had consistently maintained the front yard landscaping.

8. The Petitioner requested a rehearing on multiple grounds, including alleged irregularity in the proceedings by the judge, newly discovered evidence, errors in the admission of evidence, and that the decision was not supported by evidence. He also asserted that there were Americans with Disabilities Act (ADA) issues related to his hearing loss and privacy issues.

9. The judge referenced multiple online dictionaries (Oxford English Dictionary, Dictionary.com, etc.) and, most significantly, the Arizona Registrar of Contractors’ license classifications. She noted that landscaping (R-21 license) and swimming pool service (R-6 license) are two separate and distinct services, supporting the conclusion that pool maintenance is not included under the term “landscaping.”

10. The final order was that the Petitioner’s Petition was dismissed. However, the judge recommended that, going forward, it would be reasonable for the Respondent to communicate the days and times for landscaping so the Petitioner could provide access to his backyard while maintaining his safety precautions.

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Essay Questions

Instructions: The following questions are designed to encourage deeper analysis of the case. Formulate a comprehensive response to each, structuring your answer as a short essay.

1. Analyze the role of “burden of proof” in this case. Explain what “preponderance of the evidence” means according to the source text and discuss how the Petitioner’s failure to meet this burden led to the dismissal of his petition in both hearings.

2. Discuss the conflict between the Petitioner’s right to secure his property (the locked gate) and the Respondent’s obligation to perform maintenance. How did the judge’s final recommendation attempt to resolve this practical conflict, even while legally siding with the Respondent?

3. Evaluate the Administrative Law Judge’s legal reasoning in the rehearing for defining “landscaping.” Why was the reference to the Arizona Registrar of Contractors’ licensing scheme a particularly persuasive piece of evidence compared to dictionary definitions alone?

4. Trace the evolution of the Petitioner’s arguments from the initial hearing to the rehearing. How did his claims regarding the scope of “landscaping” and his introduction of issues like ADA accommodation and the HOA’s legitimacy reflect a shift in legal strategy?

5. Based on the evidence presented by the Respondent’s witnesses (Diana Crites and Rian Baas), assess the HOA’s efforts to fulfill its maintenance obligations. Were the HOA’s actions reasonable under the circumstances described in the proceedings?

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Glossary of Key Terms

Definition

Administrative Law Judge (ALJ)

An independent judge who presides over administrative hearings. In this case, Sondra J. Vanella served as the ALJ for the Office of Administrative Hearings.

A.R.S. (Arizona Revised Statutes)

The codified laws of the state of Arizona. The Petitioner cited A.R.S. § 10-3842 (Code of Conduct for Board Members) and the proceedings operated under the authority of A.R.S. § 32-2199(B) and other related statutes.

Burden of Proof

The obligation on a party in a dispute to provide sufficient evidence to support their claim. In this case, the Petitioner bore the burden of proof to establish that the Respondent violated its CC&Rs.

CC&Rs (Covenants, Conditions, and Restrictions)

The governing legal documents that set out the rules for a planned community. The central issue of this case was the interpretation of Section 5.1(a) of the Rancho Del Oro HOA’s CC&Rs regarding maintenance duties.

Concierge Landscape Services

A term used by witness Diana Crites to describe specialized, non-uniform services the HOA does not provide. Examples given included maintaining potted plants, driveways, or walls dividing properties, in contrast to the uniform mowing and blowing provided to all homeowners.

Office of Administrative Hearings

An independent state agency in Arizona that conducts evidentiary hearings for other state agencies. This office heard the dispute after it was referred by the Department of Real Estate.

Petitioner

The party who files a petition initiating a legal case. In this matter, the Petitioner was homeowner Michael J. Stoltenberg.

Preponderance of the Evidence

The evidentiary standard required for the Petitioner to win his case. It is defined as “such proof as convinces the trier of fact that the contention is more probably true than not” and is considered the “greater weight of the evidence.”

Respondent

The party against whom a petition is filed. In this matter, the Respondent was the Rancho Del Oro Homeowners Association.

Xeriscape

A style of landscaping utilizing drought-tolerant plants and rock to minimize water use. The Petitioner mentioned his unique xeriscape with geometric patterns as part of the landscaping he expected the HOA to maintain.

Study Guide: Stoltenberg v. Rancho Del Oro Homeowners Association

This study guide provides a comprehensive review of the administrative legal dispute between homeowner Michael J. Stoltenberg and the Rancho Del Oro Homeowners Association. It covers the key arguments, evidence presented, and legal conclusions from two separate hearings. Use the following sections to test and deepen your understanding of the case.

Short-Answer Quiz

Instructions: Answer the following questions in two to three complete sentences, drawing all information from the provided case documents.

1. Who were the primary parties involved in this legal dispute, and what were their respective roles?

2. What was the core allegation made by the Petitioner against the Respondent in the initial petition filed on April 21, 2020?

3. According to Section 5.1 of the CC&Rs, what is the Association’s primary maintenance obligation regarding individual lots?

4. What specific and unique types of landscaping did the Petitioner claim required maintenance by the HOA?

5. What was the primary reason the Respondent’s landscaping contractor, Mowtown Landscape, was unable to perform maintenance in the Petitioner’s backyard?

6. What evidence did Diana Crites, the property manager, present to demonstrate the landscaper’s attempts to gain access to the backyard?

7. On what grounds did the Administrative Law Judge initially deny the Petitioner’s petition in the decision dated August 17, 2020?

8. What reasons did the Petitioner give for his request for a rehearing after the initial decision?

9. In the rehearing, how did the Administrative Law Judge legally define “landscaping” to determine the scope of the HOA’s duties?

10. What was the final order in the decision dated February 12, 2021, and what recommendation did the judge make for future interactions?

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Answer Key

1. The primary parties were Michael J. Stoltenberg, the homeowner, who served as the Petitioner, and the Rancho Del Oro Homeowners Association, which was the Respondent. The Petitioner brought the complaint alleging the HOA was not fulfilling its duties, while the Respondent defended its actions. The case was heard by Administrative Law Judge Sondra J. Vanella.

2. The Petitioner alleged that the Respondent had violated its Covenants, Conditions, and Restrictions (CC&Rs) § 5.1 and Arizona Revised Statutes § 10-3842. Specifically, he claimed the HOA failed “to do their job in 2020 with maintaining landscaping, and are acting in bad faith.” He also referenced a refusal to follow a previous court ruling.

3. Section 5.1 of the CC&Rs states that the Association’s maintenance duties “shall also include maintenance of the landscaping on individual Lots outside of structures.” This clause formed the basis of the Petitioner’s argument that the HOA was responsible for all landscaping on his property.

4. The Petitioner testified that his landscaping was unique, including xeriscape with geometric patterns, “water features” (which was a pool), and walking paths that needed staining. He also contended that when the rock in his front yard wore thin, the Respondent should be responsible for replenishing it.

5. The landscaping contractor could not access the Petitioner’s backyard because the gate was always locked. The Petitioner acknowledged he kept it locked for liability reasons due to the presence of his pool, which he referred to as a “water feature.”

6. Diana Crites presented a text message from the landscaper, Rian Baas, dated March 24, 2020, detailing how a woman at the residence stated she did not want anyone in the backyard because of the pool. Ms. Crites also presented a photograph of the locked gate and read a letter from Mr. Baas explaining his crew had knocked and left business cards weekly for two months without response.

7. The judge denied the petition because the Petitioner’s own admission established that he had refused to allow the Respondent access to his backyard since January 2020. The decision noted that the HOA had made multiple attempts to access the yard and had consistently maintained the front yard landscaping.

8. The Petitioner requested a rehearing on multiple grounds, including alleged irregularity in the proceedings by the judge, newly discovered evidence, errors in the admission of evidence, and that the decision was not supported by evidence. He also asserted that there were Americans with Disabilities Act (ADA) issues related to his hearing loss and privacy issues.

9. The judge referenced multiple online dictionaries (Oxford English Dictionary, Dictionary.com, etc.) and, most significantly, the Arizona Registrar of Contractors’ license classifications. She noted that landscaping (R-21 license) and swimming pool service (R-6 license) are two separate and distinct services, supporting the conclusion that pool maintenance is not included under the term “landscaping.”

10. The final order was that the Petitioner’s Petition was dismissed. However, the judge recommended that, going forward, it would be reasonable for the Respondent to communicate the days and times for landscaping so the Petitioner could provide access to his backyard while maintaining his safety precautions.

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Essay Questions

Instructions: The following questions are designed to encourage deeper analysis of the case. Formulate a comprehensive response to each, structuring your answer as a short essay.

1. Analyze the role of “burden of proof” in this case. Explain what “preponderance of the evidence” means according to the source text and discuss how the Petitioner’s failure to meet this burden led to the dismissal of his petition in both hearings.

2. Discuss the conflict between the Petitioner’s right to secure his property (the locked gate) and the Respondent’s obligation to perform maintenance. How did the judge’s final recommendation attempt to resolve this practical conflict, even while legally siding with the Respondent?

3. Evaluate the Administrative Law Judge’s legal reasoning in the rehearing for defining “landscaping.” Why was the reference to the Arizona Registrar of Contractors’ licensing scheme a particularly persuasive piece of evidence compared to dictionary definitions alone?

4. Trace the evolution of the Petitioner’s arguments from the initial hearing to the rehearing. How did his claims regarding the scope of “landscaping” and his introduction of issues like ADA accommodation and the HOA’s legitimacy reflect a shift in legal strategy?

5. Based on the evidence presented by the Respondent’s witnesses (Diana Crites and Rian Baas), assess the HOA’s efforts to fulfill its maintenance obligations. Were the HOA’s actions reasonable under the circumstances described in the proceedings?

——————————————————————————–

Glossary of Key Terms

Definition

Administrative Law Judge (ALJ)

An independent judge who presides over administrative hearings. In this case, Sondra J. Vanella served as the ALJ for the Office of Administrative Hearings.

A.R.S. (Arizona Revised Statutes)

The codified laws of the state of Arizona. The Petitioner cited A.R.S. § 10-3842 (Code of Conduct for Board Members) and the proceedings operated under the authority of A.R.S. § 32-2199(B) and other related statutes.

Burden of Proof

The obligation on a party in a dispute to provide sufficient evidence to support their claim. In this case, the Petitioner bore the burden of proof to establish that the Respondent violated its CC&Rs.

CC&Rs (Covenants, Conditions, and Restrictions)

The governing legal documents that set out the rules for a planned community. The central issue of this case was the interpretation of Section 5.1(a) of the Rancho Del Oro HOA’s CC&Rs regarding maintenance duties.

Concierge Landscape Services

A term used by witness Diana Crites to describe specialized, non-uniform services the HOA does not provide. Examples given included maintaining potted plants, driveways, or walls dividing properties, in contrast to the uniform mowing and blowing provided to all homeowners.

Office of Administrative Hearings

An independent state agency in Arizona that conducts evidentiary hearings for other state agencies. This office heard the dispute after it was referred by the Department of Real Estate.

Petitioner

The party who files a petition initiating a legal case. In this matter, the Petitioner was homeowner Michael J. Stoltenberg.

Preponderance of the Evidence

The evidentiary standard required for the Petitioner to win his case. It is defined as “such proof as convinces the trier of fact that the contention is more probably true than not” and is considered the “greater weight of the evidence.”

Respondent

The party against whom a petition is filed. In this matter, the Respondent was the Rancho Del Oro Homeowners Association.

Xeriscape

A style of landscaping utilizing drought-tolerant plants and rock to minimize water use. The Petitioner mentioned his unique xeriscape with geometric patterns as part of the landscaping he expected the HOA to maintain.

Case Participants

Petitioner Side

  • Michael J. Stoltenberg (petitioner)
    Appeared on his own behalf

Respondent Side

  • Nicole Payne (HOA attorney)
    Represented Respondent Rancho Del Oro Homeowners Association
  • Diana Crites (property manager)
    Crites and Associates
    Owner of Respondent’s property management company; appeared as witness
  • Rian Baas (witness)
    Mowtown Landscape
    Owner of landscaping company contracted by Respondent
  • Lydia A. Peirce Linsmeier (HOA attorney)
    CARPENTER, HAZLEWOOD, DELGADO & BOLEN LLP
    Listed as recipient of the decision
  • Luis (employee)
    Mowtown Landscape (Implied)
    Crew member mentioned in text message regarding attempted access to petitioner's yard
  • Jill (employee)
    Mowtown Landscape (Implied)
    Printed papers for Luis regarding access to petitioner's yard

Neutral Parties

  • Sondra J. Vanella (ALJ)
    Administrative Law Judge
  • Judy Lowe (commissioner)
    Arizona Department of Real Estate

Will Schreiber v. Cimarron Hills at McDowell Mountain Homeowners

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

Case Summary

Case ID 20F-H2019003-REL-RHG
Agency ADRE
Tribunal OAH
Decision Date 2020-03-16
Administrative Law Judge Antara Nath Rivera
Outcome The Administrative Law Judge decision, issued following a rehearing, dismissed the Petitioner's dispute petition, finding that the Petitioner failed to meet the burden of proof to show the HOA violated its governing documents by reasonably denying the retroactive application for the unapproved glass view fence.
Filing Fees Refunded $0.00
Civil Penalties $0.00

Parties & Counsel

Petitioner Will Schreiber Counsel Aaron M. Green
Respondent Cimarron Hills at McDowell Mountain Homeowners Association Counsel Mark K. Sahl

Alleged Violations

Design Guidelines HH Walls/View Fences and CC&R’s Article 12.3

Outcome Summary

The Administrative Law Judge decision, issued following a rehearing, dismissed the Petitioner's dispute petition, finding that the Petitioner failed to meet the burden of proof to show the HOA violated its governing documents by reasonably denying the retroactive application for the unapproved glass view fence.

Why this result: Petitioner installed the fence prior to seeking approval, failing to comply with the procedural requirements (Design Guidelines Section HH). Consequently, the HOA's denial based on consistency and maintenance concerns was deemed reasonable.

Key Issues & Findings

HOA's denial of Petitioner's glass view fence modification

Petitioner alleged the HOA improperly denied the retroactive approval of a glass view fence installed without prior permission. The ALJ found that Petitioner failed to establish by a preponderance of the evidence that he rightfully sought approval pursuant to Design Guidelines Section HH, and that the Respondent's denial was reasonable due to procedural failure, community inconsistency (Design Guidelines Section E), and liability/maintenance concerns (CC&R Article 12.3).

Orders: Petitioner Will Schreiber’s Petition was dismissed.

Filing fee: $0.00, Fee refunded: No

Disposition: respondent_win

Cited:

  • 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)
  • CC&R’s Article 12.3
  • Design Guidelines Section HH
  • Design Guidelines Section E
  • Vazanno v. Superior Court, 74 Ariz. 369, 372, 249 P.2d 837 (1952)

Analytics Highlights

Topics: Homeowner dispute, View fence, Architectural approval, Design Guidelines, CC&R's violation, Retroactive approval, Burden of Proof
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)
  • A.R.S. § 41-1092.08(H)
  • A.R.S. § 12-904(A)
  • Vazanno v. Superior Court, 74 Ariz. 369, 372, 249 P.2d 837 (1952)

Video Overview

Audio Overview

Decision Documents

20F-H2019003-REL-RHG Decision – 769789.pdf

Uploaded 2026-01-23T17:30:11 (42.2 KB)

20F-H2019003-REL-RHG Decision – 775433.pdf

Uploaded 2026-01-23T17:30:17 (123.4 KB)

Briefing Document: Schreiber v. Cimarron Hills HOA

Executive Summary

This document synthesizes the legal proceedings and outcome of the dispute between homeowner Will Schreiber (Petitioner) and the Cimarron Hills at McDowell Mountain Homeowners Association (Respondent) concerning an unapproved glass fence. The case, adjudicated by the Arizona Office of Administrative Hearings, centered on Mr. Schreiber’s retroactive application for a glass view fence he installed without prior permission, which replaced a wrought iron fence.

The Homeowners Association (HOA) denied the application, citing a lack of consistency with community design standards, as well as significant maintenance and liability concerns stipulated in the governing documents. The Petitioner argued the denial was unreasonable, asserting that a glass fence is visually similar to having no fence (an approved option), that the HOA failed to provide a valid reason for denial, and that safety concerns were unfounded.

The Administrative Law Judge (ALJ) ultimately dismissed Mr. Schreiber’s petition. The final decision concluded that the Petitioner failed to meet the burden of proof showing the HOA had violated its own rules. The ruling affirmed that the HOA’s denial was reasonable because the Petitioner did not follow the required procedure of seeking approval before installation, as mandated by the community’s Design Guidelines. The decision underscored the HOA’s right to enforce uniformity and manage its maintenance and liability responsibilities as defined in its Covenants, Conditions, and Restrictions (CC&Rs).

Case Identification and Participants

Detail

Information

Case Name

Will Schreiber, Petitioner, vs. Cimarron Hills at McDowell Mountain Homeowners Association, Respondent

Case Number

20F-H2019003-REL-RHG

Tribunal

Office of Administrative Hearings (Arizona)

Administrative Law Judge

Antara Nath Rivera

Petitioner

Will Schreiber

Petitioner’s Counsel

Aaron M. Green, Esq.

Respondent

Cimarron Hills at McDowell Mountain Homeowners Association (a subdivision of McDowell Mountain Ranch Homeowners Association)

Respondent’s Counsel

Nick Nogami, Esq. (at hearing); Mark K. Sahl, Esq. (on record)

Property Address

11551 East Caribbean Lane, Scottsdale, Arizona, 85255

Procedural History and Timeline

1. November 2017: Petitioner submitted an architectural form for backyard work, which was approved by the HOA’s Design Review Committee (DRC). This submission did not mention any changes to fencing.

2. January 2019: During a violation tour, the HOA discovered that Petitioner had replaced the pre-existing wrought iron view fencing with an unapproved glass fence.

3. January 24, 2019: After being contacted by the HOA, Petitioner submitted a second variance request seeking retroactive approval for the installed glass fence.

4. March 5, 2019: The HOA sent a letter to Petitioner requesting that the fence be returned to its original wrought iron condition.

5. May 10, 2019: The HOA officially notified Petitioner that his appeal was denied because the application was not filed in a timely manner (i.e., prior to installation).

6. July 2, 2019: Petitioner filed a Homeowners Association Dispute Process Petition with the Arizona Department of Real Estate, alleging violations of community documents.

7. August 9, 2019: The HOA filed its Answer, denying all claims, and a Motion to Dismiss.

8. October 2, 2019: The Administrative Law Judge (ALJ) granted the HOA’s Motion to Dismiss.

9. December 10, 2019: The Department of Real Estate issued a Notice of Rehearing.

10. January 30, 2020: A rehearing was held before the Office of Administrative Hearings.

11. February 4, 2020: The HOA’s counsel submitted a Posthearing Memorandum without leave from the tribunal.

12. February 14, 2020: The ALJ issued an order reopening the record solely to allow the Petitioner an opportunity to respond to the HOA’s unauthorized filing by February 24, 2020.

13. March 16, 2020: The ALJ issued the final decision, ordering that the Petitioner’s petition be dismissed.

Analysis of Arguments

Petitioner’s Position (Will Schreiber)

The Petitioner’s case rested on the argument that the HOA’s denial of his glass fence was arbitrary and unreasonable.

Lack of Justification: Petitioner claimed the HOA’s Design Review Committee (DRC) met with him but failed to provide any verbal or written reasons for the initial disapproval.

Aesthetic and Functional Equivalence: He argued a glass fence is “just as invisible” as having no fence at all, an option permitted by the HOA. He contended that since his neighbor did not have a wrought iron fence, denying his glass fence on grounds of consistency was illogical.

Safety and Maintenance: Petitioner asserted that the safety glass used was comparable to that of the Grand Canyon Skywalk and had been inspected and approved by a Scottsdale City Inspector. He argued the HOA’s concerns about safety, fire barriers, and continuity were manufactured “excuses.” He also offered to waive the HOA’s maintenance responsibility for the fence.

Procedural Failure: The core of the petition was the allegation that the HOA violated its own community documents, specifically “Design Guidelines HH Walls/View Fences and CC&R’s Article 12.”

Respondent’s Position (Cimarron Hills HOA)

The HOA’s defense, presented primarily through the testimony of Whitney Bostic, focused on procedural compliance, community uniformity, and non-negotiable maintenance responsibilities.

Violation of Process: The HOA established that the Petitioner installed the glass fence prior to seeking approval, in direct violation of the Design Guidelines which require submission of detailed plans for any view fence modifications. His approved 2017 plans made no mention of fencing.

Lack of Consistency: Ms. Bostic testified that out of 656 homes in the Cimarron Hills subdivision and 3,800 homes in the master McDowell Mountain Ranch association, none had a glass fence. The established design standard allows only for a wrought iron fence or no fence at all to maintain community conformity.

Maintenance and Liability: The HOA argued that under Article 12.3 of the CC&Rs, it is legally responsible for maintaining the exterior half of all boundary view fences and the five-foot easement from the boundary wall. This responsibility cannot be waived by a homeowner. A glass fence introduces unique maintenance concerns and liability risks, such as shards of glass falling into an area of HOA responsibility.

Multi-Level Review: The decision to deny the request was made after consideration by both the Cimarron Hills DRC and the master association (MMRHA), which weighed factors of consistency, responsibility, and maintenance before issuing a denial.

Governing Documents Cited

The decision in this case was based on the interpretation of several key sections of the community’s governing documents.

CC&Rs Article 12.3 (Boundary Walls and Association Responsibility): This article explicitly states that the Association “shall be responsible for the repair and maintenance of the side of the Boundary Wall which faces the Area of Association Responsibility.” This formed the basis of the HOA’s argument regarding non-waivable liability and maintenance obligations.

Design Guidelines Section HH (View Fencing): This section mandates that “The Owner shall submit for approval from the DRC including detailed drawings of proposed changes… for view fence modifications.” The Petitioner’s failure to do this prior to installation was a central fact in the case. It also specifies the approved paint color for fences, “MMR Brown Fence.”

Design Guidelines Section E (General Principles): This section outlines the DRC’s goal to “maintain consistency of the community and of its decisions.” It notes that variances may be granted but “shall remain consistent with the architectural and neighborhood characteristics.” This supported the HOA’s argument against introducing a unique fence type.

Design Guidelines Section GG (View Decks): While pertaining to decks, this section was cited to show the level of detail required in applications to the DRC, including materials, dimensions, and impact on views, underscoring the formal process the Petitioner bypassed.

Administrative Law Judge’s Decision and Rationale

The ALJ, Antara Nath Rivera, dismissed Will Schreiber’s petition, finding in favor of the Cimarron Hills HOA.

Burden of Proof: The decision established that the Petitioner bore the burden of proving, by a preponderance of the evidence, that the HOA violated Article 12.3 of its CC&Rs.

Failure to Follow Procedure: The judge concluded that the Petitioner “failed to establish by a preponderance of the evidence that he rightfully sought approval to change his existing fence, pursuant to Section HH of the Design Guidelines.” The key issue was not the aesthetics of the fence, but the Petitioner’s failure to abide by the required approval process before installation.

Reasonableness of Denial: The ALJ found that the “Respondent was reasonable in its denial” and “did not violate any rules or regulations.” The evidence demonstrated that the HOA’s decision was based on established principles of uniformity, consistency, and its obligations under the CC&Rs.

Final Order: The petition was formally dismissed. The order noted that as a decision from a rehearing, it is binding on the parties. Any appeal must be filed with the superior court within thirty-five days of the order’s service date.

Study Guide: Schreiber v. Cimarron Hills HOA

This guide provides a detailed review of the administrative case between Will Schreiber and the Cimarron Hills at McDowell Mountain Homeowners Association, based on the provided legal documents. It is designed to test and reinforce understanding of the case’s facts, legal arguments, and procedural history.

Short-Answer Quiz

Answer each of the following questions in two to three sentences, drawing exclusively from the provided source documents.

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

2. What specific action did the Petitioner, Will Schreiber, take that initiated the dispute with the Homeowners Association?

3. According to the Respondent, what were the primary reasons for denying the Petitioner’s request for the glass fence?

4. What was the Petitioner’s core argument regarding the fairness of the Respondent’s denial, particularly in relation to his neighbor?

5. What was the legal standard of proof required for the Petitioner to win his case, and did he meet it?

6. Identify two specific governing documents that were central to the Respondent’s defense and the final ruling.

7. Who was Whitney Bostic, and what key information did her testimony provide during the rehearing?

8. What procedural event occurred on or about February 4, 2020, that prompted the Administrative Law Judge to issue the “Order Holding Record Open” on February 14, 2020?

9. According to the CC&Rs, who is responsible for maintaining the “Boundary Wall” that separates a lot from an “Area of Association Responsibility”?

10. What was the final outcome of the administrative rehearing held on January 30, 2020?

Answer Key

1. The primary parties were Will Schreiber, the Petitioner and homeowner, and the Cimarron Hills at McDowell Mountain Homeowners Association, the Respondent. Mr. Schreiber filed a petition against the HOA, alleging a violation of community documents after they denied his request for a fence modification.

2. Mr. Schreiber replaced his preexisting wrought iron view fencing with glass fencing without first receiving approval from the HOA’s Design Review Committee (DRC). He then submitted a variance request on January 24, 2019, seeking retroactive approval for the already-installed fence.

3. The Respondent denied the request based on several factors, including the need for design consistency across the community’s 656 homes, as no other home had a glass fence. They also cited maintenance concerns and potential liability, as the HOA is responsible for the exterior half of view fences and a five-foot easement from the boundary wall.

4. The Petitioner argued that the denial was unreasonable because his neighbor was allowed to have no fence at all. He contended that a glass fence was “just as invisible” as no fence and that the concept was essentially the same.

5. The Petitioner bore the burden of proof to establish his case by a “preponderance of the evidence,” which means convincing the judge that his contention was more probably true than not. The Administrative Law Judge concluded that the Petitioner failed to meet this burden.

6. The two central documents were the Declaration of Covenants, Conditions, Restrictions and Easements for Cimarron Hills (CC&Rs) and the Cimarron Hills Design Guidelines For Community Living (Design Guidelines). The Respondent specifically cited Sections E (General Principles), GG (View Decks), and HH (Walls/View Fences) of the Design Guidelines.

7. Whitney Bostic testified on behalf of the Respondent HOA. She explained that the glass fence was unapproved, inconsistent with the 656 homes in the community, and posed maintenance and liability concerns for the HOA.

8. Counsel for the Respondent submitted a Posthearing Memorandum and Proposed Findings of Fact and Conclusions of Law without having been granted permission (leave) by the tribunal. Because the Petitioner did not have an opportunity to respond, the judge reopened the record to allow him to do so by February 24, 2020.

9. According to Article 12.3 of the CC&Rs, the resident is responsible for their side of the wall, but the Association is responsible for the repair and maintenance of the side of the Boundary Wall which faces the Area of Association Responsibility.

10. The Administrative Law Judge ordered that Petitioner Will Schreiber’s Petition be dismissed. The judge found that the Respondent HOA’s denial of the glass fence was reasonable and that it did not violate any of its rules or regulations.

Essay Questions

The following questions are designed for longer, more analytical responses. Formulate an argument using only the evidence and facts presented in the source documents.

1. Analyze the procedural timeline of the case from the initial filing of the petition on July 2, 2019, to the final decision on March 16, 2020. Discuss the significance of the initial dismissal, the subsequent rehearing, and the order to reopen the record.

2. Examine the concept of “consistency” as described in Section E of the Design Guidelines. How did this principle form the foundation of the Respondent’s case, and why was it a more compelling argument than the Petitioner’s claims about aesthetics and safety?

3. The Petitioner argued that since his neighbor was permitted to have no fence, his “invisible” glass fence should also be permitted. Deconstruct this argument and explain why it ultimately failed to persuade the Administrative Law Judge, citing the Respondent’s counterarguments regarding maintenance and responsibility.

4. Discuss the role of the governing community documents (the CC&Rs and Design Guidelines) in this dispute. Explain how specific articles, such as CC&R Article 12.3 and Design Guideline Section HH, were applied to the facts of the case to reach a final decision.

5. Define “preponderance of the evidence” as described in the legal decision. Detail the evidence presented by both the Petitioner and the Respondent at the rehearing and evaluate why the Judge concluded that the Petitioner failed to meet this evidentiary standard.

Glossary of Key Terms

Definition

Administrative Law Judge (ALJ)

The presiding judge (Antara Nath Rivera) at the Office of Administrative Hearings who heard the evidence and issued the final decision.

Answer

The formal written response filed by the Respondent on August 9, 2019, denying all complaint items in the Petition.

Areas of Association Responsibility

Areas that the Homeowners Association is responsible for maintaining, as defined in the CC&Rs. This includes the exterior side of boundary walls and a five-foot easement.

An acronym for the Declaration of Covenants, Conditions, Restrictions and Easements for Cimarron Hills, a primary governing document for the community.

Design Guidelines

A document titled Cimarron Hills Design Guidelines For Community Living that supplements the CC&Rs and provides specific rules on community aesthetics, including fences.

Design Review Committee (DRC)

A committee within the HOA responsible for reviewing and approving or denying residents’ proposed architectural and landscape modifications.

Homeowners Association Dispute Process Petition

The formal document filed by Will Schreiber with the Arizona Department of Real Estate on July 2, 2019, to initiate the legal dispute.

McDowell Mountain Ranch Homeowners Association (MMRHA)

The master association of which the Cimarron Hills HOA is a subdivision. The MMRHA also considered and denied the Petitioner’s request.

Petitioner

The party who filed the petition initiating the legal action; in this case, the homeowner, Will Schreiber.

Preponderance of the evidence

The standard of proof required in the hearing. It is defined as evidence that is more convincing and has superior weight, inclining an impartial mind to one side of the issue rather than the other.

Respondent

The party against whom the petition was filed; in this case, the Cimarron Hills at McDowell Mountain Homeowners Association.

Retroactive Approval

Approval sought for a modification or construction that has already been completed without prior authorization.

Variance

A formal exception to the standard Design Guidelines that the DRC may grant on a case-by-case basis.

The Glass Fence Standoff: 4 Critical Lessons from a Homeowner’s Losing Battle with His HOA

Introduction: The Dream Project and the Unseen Rules

Will Schreiber had a vision for his Scottsdale, Arizona home: a sleek, modern property with an uninterrupted backyard view. To preserve that stunning vista, he installed an elegant glass fence—a choice that seemed perfect for the landscape. His neighbors didn’t complain; in fact, there’s no evidence the fence bothered anyone. But his Homeowners Association (HOA) denied the project, triggering a legal dispute that went before an administrative law judge. Mr. Schreiber ultimately lost.

The conflict wasn’t driven by neighborhood animosity, but by the impersonal application of community documents. This case offers a masterclass in the often counter-intuitive world of HOA governance. The reasons he lost reveal surprising and invaluable lessons for any homeowner considering a modification to their property.

1. The most critical mistake wasn’t the fence—it was the timing.

The core reason the homeowner lost his case had less to do with the aesthetics of glass versus wrought iron and everything to do with procedural failure. He installed the fence before getting formal approval from the HOA.

The timeline of events was fatal to his argument. In November 2017, the HOA approved Mr. Schreiber’s plan for backyard improvements, but this plan made no mention of fencing. At some point after, he installed the unapproved glass fence. It wasn’t until a routine violation tour in January 2019 that the HOA discovered the new fence. Only after being caught, on January 24, 2019, did the homeowner submit a request for retroactive approval.

In the end, the judge’s decision hinged on this sequence. The key question wasn’t whether a glass fence was a good idea, but whether the HOA’s denial was reasonable “because Petitioner failed to abide by the regulations to get approval for the glass fence prior to installing it.” In any dispute with an HOA, following the established process is paramount. Once you break the rules of that process, the merits of your project often become irrelevant.

2. A logical argument can lose to a written rule.

The homeowner presented a seemingly logical and compelling argument. He contended that his neighbor didn’t have a fence at all, and a glass fence was conceptually the same thing. In his words:

A glass fence was “just as invisible” as not having a fence. In essence, both were the same concept.

To add weight to his point, he made a powerful real-world comparison, arguing the safety glass he used was similar to that of the railing of the Grand Canyon Skywalk tourist attraction.

This “common sense” approach, however, failed to persuade the judge. The HOA’s decision wasn’t based on a subjective interpretation of “invisibility” or a comparison to national landmarks. It was based on the binding community documents. The Design Guidelines were written to promote uniformity and consistency. According to the HOA, the established rules were clear: a homeowner could have a wrought iron fence or no fence at all. A glass fence was not an approved option. The lesson here is stark: the governing documents create the binding reality for every member of the community. A personal, logical argument is not a valid defense against a clearly written rule you have contractually agreed to follow.

3. The HOA’s biggest concern wasn’t curb appeal; it was risk.

While the dispute appeared to be about aesthetics, the HOA’s defense focused on much more practical and significant concerns: consistency, maintenance, and liability. These arguments reveal the often-unseen function of an HOA, which is to manage shared risk for the entire community.

The HOA presented several key points:

Consistency: Out of 3,800 homes in the master community and 656 in the sub-community, not a single one had a glass fence. Approving this one would set a precedent that could undermine the community’s uniform design.

Maintenance: The community’s CC&Rs (Article 12.3) explicitly stated the Association was responsible for maintaining “the side of the Boundary Wall which faces the Area of Association Responsibility.” This meant the HOA would be financially and logistically on the hook for repairing and maintaining an unfamiliar and potentially costly material.

Safety & Liability: The HOA raised a critical safety issue. If the glass fence were to break, “large amount of glass shards would fall onto an area of Respondent’s responsibility, causing additional liability for Respondent.”

Sensing the maintenance issue was a key obstacle, Mr. Schreiber made a reasonable offer: he was willing to waive the HOA’s responsibility to maintain the glass fence. However, this proactive solution came too late. Because he had already violated the approval process, his concession was not enough to overcome the HOA’s other concerns about precedent and liability, which remained firmly grounded in the community’s governing documents.

4. In a dispute, you are the one who has to prove the HOA is wrong.

When a homeowner takes their HOA to court, the legal scales are not perfectly balanced from the start. The legal decision in this case clearly states the principle: “Petitioner bears the burden of proof to establish that Respondent violated Article 12.3 of its CC&Rs.”

In simple terms, “burden of proof” meant it was Mr. Schreiber’s job to convince the judge with a “preponderance of the evidence”—meaning it was more likely true than not—that the HOA had broken its own rules when it denied his request. It was not the HOA’s job to prove it was right; it was his job to prove they were wrong.

The judge ultimately found that the homeowner “failed to establish by a preponderance of the evidence that he rightfully sought approval.” The conclusion was that the “Respondent was reasonable in its denial.” It is not enough to feel you have been wronged; in a legal setting, you must be able to demonstrate with convincing evidence that the organization violated its own governing documents.

Conclusion: The Unwritten Lessons of Community Living

HOA rules can be a source of frustration, but this case demonstrates that they form a complex web of process, liability, and shared responsibility that exists for reasons beyond simple aesthetics. The homeowner’s dream of a glass fence was shattered not by a neighbor’s complaint, but by a series of procedural missteps and a misunderstanding of the contract he was bound by.

This case wasn’t just about a fence; it was about the power of a contract you agree to when you buy a home. How well do you really know your own community’s rulebook?

Case Participants

Petitioner Side

  • Will Schreiber (petitioner)
    Complainant
  • Aaron M. Green (petitioner attorney)
    Law Office of Aaron Green, P.C.

Respondent Side

  • Nick Nogami (respondent attorney)
    Represented Respondent at hearing
  • Mark K. Sahl (respondent attorney)
    CARPENTER, HAZLEWOOD, DELGADO & BOLEN LLP
  • Whitney Bostic (witness)
    Testified for Respondent

Neutral Parties

  • Antara Nath Rivera (ALJ)
    Office of Administrative Hearings
  • Judy Lowe (Commissioner)
    Arizona Department of Real Estate

Other Participants

  • c. serrano (clerk)
    Transmitting agent for Order
  • LDettorre (ADRE staff)
    Arizona Department of Real Estate
    Recipient of transmission
  • AHansen (ADRE staff)
    Arizona Department of Real Estate
    Recipient of transmission
  • djones (ADRE staff)
    Arizona Department of Real Estate
    Recipient of transmission
  • DGardner (ADRE staff)
    Arizona Department of Real Estate
    Recipient of transmission
  • ncano (ADRE staff)
    Arizona Department of Real Estate
    Recipient of transmission

Rick & Lisa Holly v. La Barranca II Homeowners Association

Case Summary

Case ID 20F-H2019020-REL
Agency ADRE
Tribunal OAH
Decision Date 2020-02-14
Administrative Law Judge Diane Mihalsky
Outcome The Administrative Law Judge dismissed the petition, finding that the Petitioners failed to establish by a preponderance of the evidence that the Respondent Homeowners Association violated A.R.S. §§ 33-1803, 33-1811, or 33-1817, or any of the cited CC&R provisions concerning intentional construction delay, conflict of interest, or retaliatory fines.
Filing Fees Refunded $0.00
Civil Penalties $0.00

Parties & Counsel

Petitioner Rick and Lisa Holly Counsel Kevin P. Nelson, Esq.
Respondent La Barranca II Homeowners Association Counsel Edward D. O’Brien, Esq.

Alleged Violations

A.R.S. § 33-1817(B); CC&R Article 11.2.5
A.R.S. § 33-1811; CC&R Article 4.7
A.R.S. § 33-1803; CC&Rs Articles 11.3 and 12

Outcome Summary

The Administrative Law Judge dismissed the petition, finding that the Petitioners failed to establish by a preponderance of the evidence that the Respondent Homeowners Association violated A.R.S. §§ 33-1803, 33-1811, or 33-1817, or any of the cited CC&R provisions concerning intentional construction delay, conflict of interest, or retaliatory fines.

Why this result: Petitioners failed to meet the burden of proof (preponderance of the evidence) on all three issues alleged in the petition.

Key Issues & Findings

Intentional delay of construction

Petitioners alleged that Respondent intentionally delayed the approval and construction of their new home for over eleven months.

Orders: Petition dismissed.

Filing fee: $0.00, Fee refunded: No

Disposition: petitioner_loss

Cited:

  • A.R.S. § 33-1817(B)
  • CC&R Article 11.2.5

Conflict of interest

Petitioners alleged that a Board Vice President and Secretary (who owned lots adjacent to Petitioners') were blocking approval of the home due to a conflict of interest.

Orders: Petition dismissed.

Filing fee: $0.00, Fee refunded: No

Disposition: petitioner_loss

Cited:

  • A.R.S. § 33-1811
  • CC&R Article 4.7

Retaliatory fines

Petitioners alleged fear of prospective retaliatory imposition of fines.

Orders: Petition dismissed.

Filing fee: $0.00, Fee refunded: No

Disposition: petitioner_loss

Cited:

  • A.R.S. § 33-1803(B)
  • CC&R Article 11.3
  • CC&R Article 12

Analytics Highlights

Topics: HOA, Planned Communities Act, Architectural Review Committee (ARC), Construction Delay, Conflict of Interest, Retaliatory Fines
Additional Citations:

  • A.R.S. § 33-1803
  • A.R.S. § 33-1803(B)
  • A.R.S. § 33-1811
  • A.R.S. § 33-1817
  • A.R.S. § 33-1817(B)
  • 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)
  • CC&R Article 4.7
  • CC&R Article 11.2.5
  • CC&R Article 11.3
  • CC&R Article 12

Video Overview

Audio Overview

Decision Documents

20F-H2019020-REL Decision – 769746.pdf

Uploaded 2026-01-23T17:30:42 (191.2 KB)

This decision by the Office of Administrative Hearings (OAH) addresses a three-issue petition filed by Rick and Lisa Holly (Petitioners), who are members and lot owners in the La Barranca II development, against the La Barranca II Homeowners Association (Respondent). The hearing proceedings took place on February 5 and February 7, 2020.

Key Facts and Background

The dispute centered on the Petitioners' attempt to gain Architectural Review Committee (ARC) approval for the construction of a new home on their property (Lot 50). The approval process had spanned over eleven months. Petitioners alleged that the Respondent violated Arizona statutes (A.R.S. §§ 33-1803, 33-1811, and 33-1817) and certain Covenants, Conditions, and Restrictions (CC&Rs).

Main Issues and Legal Arguments

Petitioners presented three specific claims:

  1. Intentional Delay of Construction: Petitioners asserted that Respondent unreasonably delayed the construction of their home. The Petitioners' timeline expectations were based on their contractor's (Brilar) estimates, not statutes or association documents. The OAH found that Petitioners did not establish any undue delay attributable to the Respondent. Evidence showed that the contractor's initial plans failed to meet the Architectural Guidelines and that delays were more likely due to the contractor's "imperfect understanding of the Guidelines’ requirements". The ARC and its consultant provided guidance and conditional preliminary approval, requiring revisions based on valid considerations. Furthermore, final construction approval in September 2019 was withheld because the required $20,000 refundable construction deposit had not been paid and the site markers (surveyor pins) were missing.
  2. Conflict of Interest: Petitioners alleged a conflict of interest because the Board's vice president, William Bohan, and secretary, Nancy Williams, jointly owned a vacant lot (Lot 49) bordering Lot 50. Petitioners offered only suppositions that Mr. Bohan and Ms. Williams were "blocking approval" due to personal negative opinions. The OAH ruled that Petitioners did not establish that Mr. Bohan had an undeclared conflict of interest under A.R.S. § 33-1811, acknowledging that in a small development, volunteers on the board and ARC will naturally be regulating their neighbors.
  3. Retaliatory Fines: Petitioners feared retaliatory imposition of fines based on the Respondent previously fining other owners for "petty offenses". The OAH concluded that this claim, which implicated A.R.S. § 33-1803(B) concerning monetary penalties, failed because the Respondent had not assessed any fines or penalties against the Petitioners. The claim was based entirely on speculation.

Outcome and Final Decision

Petitioners bore the burden of proving violations by a preponderance of the evidence. Since Petitioners failed to establish by a preponderance of the evidence that Respondent violated any statute or CC&R, the Administrative Law Judge (ALJ) Diane Mihalsky issued a Recommended Order that the petition be dismissed. The Order became binding unless a rehearing was granted.

Questions

Question

Does a board member have a conflict of interest just because they own a lot next to mine?

Short Answer

No. Owning a neighboring lot does not automatically create a conflict of interest or imply bias.

Detailed Answer

The ALJ reasoned that in planned communities, especially smaller ones, board and committee members will inevitably have to regulate their neighbors. Without evidence of actual animus or discriminatory intent, simply owning a contiguous lot is not a conflict of interest that prevents a member from voting on architectural plans.

Alj Quote

In any homeowners’ association, but especially In a small development having only 71 lots, the persons who volunteer to serve on homeowners’ associations’ boards and ARCs will necessarily be regulating their neighbors.

Legal Basis

A.R.S. § 33-1811

Topic Tags

  • Conflict of Interest
  • Board of Directors
  • Neighbors

Question

Is the Architectural Review Committee (ARC) required to help me design my home to meet the guidelines?

Short Answer

No. The ARC's role is to review submitted plans for compliance, not to assist in the design process.

Detailed Answer

While an ARC might offer guidance, the decision clarifies that their official duty is strictly to review plans against the governing documents. They are not obligated to help owners or builders design compliant structures.

Alj Quote

It is not ARC’s job to help an owner design a home that complies with Respondent’s Guidelines, only to review plans that are submitted for compliance.

Legal Basis

CC&Rs Article 11

Topic Tags

  • Architectural Review
  • Design Guidelines
  • HOA Obligations

Question

Can I file a complaint against my HOA because I am afraid they might fine me in the future?

Short Answer

No. You cannot base a legal complaint on the speculation of future retaliatory fines.

Detailed Answer

The Administrative Law Judge ruled that a petition cannot rely on fear of potential future actions. Unless the HOA has actually assessed a fine or penalty, a claim regarding retaliatory fines is considered speculative and will be dismissed.

Alj Quote

Any prospective prohibition on fines would be based on nothing but speculation. . . . Petitioners have not established that Respondent violated A.R.S. § 33-1803(B) or Articles 11.3 or 12 by assessing retaliatory fines or penalties against Petitioners.

Legal Basis

A.R.S. § 33-1803(B)

Topic Tags

  • Fines
  • Retaliation
  • Dispute Resolution

Question

Who has to prove that the HOA violated the rules in a hearing?

Short Answer

The homeowner (Petitioner) bears the burden of proof.

Detailed Answer

In an administrative hearing, the homeowner filing the petition must prove that the HOA violated the statutes or CC&Rs. The standard of proof is a 'preponderance of the evidence,' meaning the homeowner must show it is more likely than not that the violation occurred.

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)

Topic Tags

  • Legal Standards
  • Burden of Proof
  • Hearings

Question

Is the HOA responsible for delays if my builder doesn't understand the design guidelines?

Short Answer

No. The HOA is not liable for delays caused by a builder's failure to submit compliant plans.

Detailed Answer

If an HOA's architectural committee is reasonably responsive to submissions, they are not at fault for construction delays resulting from a contractor's misunderstanding of the design rules or failure to meet requirements.

Alj Quote

On this record, it appears that Hoamco and the ARC were reasonably responsive . . . and that any delay in construction appears more likely based on Brilar principal’s imperfect understanding of the Guidelines’ requirements.

Legal Basis

A.R.S. § 33-1817(B)

Topic Tags

  • Architectural Review
  • Construction Delays
  • Vendor Issues

Question

Can I rely on my contractor's timeline estimates for when the HOA will approve my plans?

Short Answer

No. You should rely on the timelines specified in the CC&Rs and statutes, not third-party estimates.

Detailed Answer

The ALJ noted that a homeowner's expectations based on their builder's estimates are not binding on the HOA. The official governing documents determine the procedural timeline, and reliance on outside estimates does not constitute a violation by the HOA.

Alj Quote

Mrs. Holly candidly testified that Petiitoners’ expectations about how long it would take to build their house was based on Brilar’s principles’ estimates, not anything in statutes or Respondent’s CC&Rs . . .

Legal Basis

N/A

Topic Tags

  • Timelines
  • Construction
  • Expectations

Question

Can the HOA charge a fee for reviewing architectural plans?

Short Answer

Yes, if the CC&Rs allow for it.

Detailed Answer

The decision affirms that CC&Rs can grant the Architectural Review Committee the power to assess reasonable fees in connection with the review of plans.

Alj Quote

Article 11.3 of Respondent’s CC&Rs concerns general provisions for the ARC, including that it may assess reasonable fees in connection with its review of plans . . .

Legal Basis

CC&Rs Article 11.3

Topic Tags

  • Fees
  • Architectural Review
  • CC&Rs

Case

Docket No
20F-H2019020-REL
Case Title
Rick and Lisa Holly vs. La Barranca II Homeowners Association
Decision Date
2020-02-14
Alj Name
Diane Mihalsky
Tribunal
OAH
Agency
ADRE

Questions

Question

Does a board member have a conflict of interest just because they own a lot next to mine?

Short Answer

No. Owning a neighboring lot does not automatically create a conflict of interest or imply bias.

Detailed Answer

The ALJ reasoned that in planned communities, especially smaller ones, board and committee members will inevitably have to regulate their neighbors. Without evidence of actual animus or discriminatory intent, simply owning a contiguous lot is not a conflict of interest that prevents a member from voting on architectural plans.

Alj Quote

In any homeowners’ association, but especially In a small development having only 71 lots, the persons who volunteer to serve on homeowners’ associations’ boards and ARCs will necessarily be regulating their neighbors.

Legal Basis

A.R.S. § 33-1811

Topic Tags

  • Conflict of Interest
  • Board of Directors
  • Neighbors

Question

Is the Architectural Review Committee (ARC) required to help me design my home to meet the guidelines?

Short Answer

No. The ARC's role is to review submitted plans for compliance, not to assist in the design process.

Detailed Answer

While an ARC might offer guidance, the decision clarifies that their official duty is strictly to review plans against the governing documents. They are not obligated to help owners or builders design compliant structures.

Alj Quote

It is not ARC’s job to help an owner design a home that complies with Respondent’s Guidelines, only to review plans that are submitted for compliance.

Legal Basis

CC&Rs Article 11

Topic Tags

  • Architectural Review
  • Design Guidelines
  • HOA Obligations

Question

Can I file a complaint against my HOA because I am afraid they might fine me in the future?

Short Answer

No. You cannot base a legal complaint on the speculation of future retaliatory fines.

Detailed Answer

The Administrative Law Judge ruled that a petition cannot rely on fear of potential future actions. Unless the HOA has actually assessed a fine or penalty, a claim regarding retaliatory fines is considered speculative and will be dismissed.

Alj Quote

Any prospective prohibition on fines would be based on nothing but speculation. . . . Petitioners have not established that Respondent violated A.R.S. § 33-1803(B) or Articles 11.3 or 12 by assessing retaliatory fines or penalties against Petitioners.

Legal Basis

A.R.S. § 33-1803(B)

Topic Tags

  • Fines
  • Retaliation
  • Dispute Resolution

Question

Who has to prove that the HOA violated the rules in a hearing?

Short Answer

The homeowner (Petitioner) bears the burden of proof.

Detailed Answer

In an administrative hearing, the homeowner filing the petition must prove that the HOA violated the statutes or CC&Rs. The standard of proof is a 'preponderance of the evidence,' meaning the homeowner must show it is more likely than not that the violation occurred.

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)

Topic Tags

  • Legal Standards
  • Burden of Proof
  • Hearings

Question

Is the HOA responsible for delays if my builder doesn't understand the design guidelines?

Short Answer

No. The HOA is not liable for delays caused by a builder's failure to submit compliant plans.

Detailed Answer

If an HOA's architectural committee is reasonably responsive to submissions, they are not at fault for construction delays resulting from a contractor's misunderstanding of the design rules or failure to meet requirements.

Alj Quote

On this record, it appears that Hoamco and the ARC were reasonably responsive . . . and that any delay in construction appears more likely based on Brilar principal’s imperfect understanding of the Guidelines’ requirements.

Legal Basis

A.R.S. § 33-1817(B)

Topic Tags

  • Architectural Review
  • Construction Delays
  • Vendor Issues

Question

Can I rely on my contractor's timeline estimates for when the HOA will approve my plans?

Short Answer

No. You should rely on the timelines specified in the CC&Rs and statutes, not third-party estimates.

Detailed Answer

The ALJ noted that a homeowner's expectations based on their builder's estimates are not binding on the HOA. The official governing documents determine the procedural timeline, and reliance on outside estimates does not constitute a violation by the HOA.

Alj Quote

Mrs. Holly candidly testified that Petiitoners’ expectations about how long it would take to build their house was based on Brilar’s principles’ estimates, not anything in statutes or Respondent’s CC&Rs . . .

Legal Basis

N/A

Topic Tags

  • Timelines
  • Construction
  • Expectations

Question

Can the HOA charge a fee for reviewing architectural plans?

Short Answer

Yes, if the CC&Rs allow for it.

Detailed Answer

The decision affirms that CC&Rs can grant the Architectural Review Committee the power to assess reasonable fees in connection with the review of plans.

Alj Quote

Article 11.3 of Respondent’s CC&Rs concerns general provisions for the ARC, including that it may assess reasonable fees in connection with its review of plans . . .

Legal Basis

CC&Rs Article 11.3

Topic Tags

  • Fees
  • Architectural Review
  • CC&Rs

Case

Docket No
20F-H2019020-REL
Case Title
Rick and Lisa Holly vs. La Barranca II Homeowners Association
Decision Date
2020-02-14
Alj Name
Diane Mihalsky
Tribunal
OAH
Agency
ADRE

Case Participants

Petitioner Side

  • Rick Holly (petitioner)
    La Barranca II Homeowners Association Member
  • Lisa Holly (petitioner)
    La Barranca II Homeowners Association Member
    Also referred to as Mrs. Holly
  • Kevin P. Nelson (petitioner attorney)
    Tiffany & Bosco
  • Brian Bracken (witness/contractor's principal)
    Brilar Homes, LLC
    Petitioners' general contractor
  • Larry E. Smith (witness/contractor's principal)
    Brilar Homes, LLC
    Petitioners' general contractor

Respondent Side

  • La Barranca II Homeowners Association (respondent)
    HOA party
  • Edward D. O’Brien (HOA attorney)
    Carpenter, Hazlewood, Delgado & Bolen, LLP
  • Alexia Firehawk (HOA attorney)
    Carpenter, Hazlewood, Delgado & Bolen, LLP
  • William Bohan (HOA board member/ARC member/witness)
    La Barranca II Homeowners Association
    Board Vice President
  • Nancy Williams (HOA board member/ARC member)
    La Barranca II Homeowners Association
    Board Secretary
  • Luke Hyde (property manager staff)
    Hoamco
    Architectural Department Manager
  • Josh Hall (property manager staff)
    Hoamco
    Architectural Department Staff
  • Neil True (architect consultant)
    Hoamco/ARC Consultant
    Consultant architect reviewing plans

Neutral Parties

  • Diane Mihalsky (ALJ)
    OAH
  • John Davis (fire marshall)
    Sedona District Fire Marshall
    Consulted by HOA regarding dumpster placement
  • Judy Lowe (ADRE Commissioner)
    Arizona Department of Real Estate

Joyce H Monsanto vs. Four Seasons at the Manor Homeowners Association

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

Case Summary

Case ID 19F-H1919053-REL-RHG
Agency ADRE
Tribunal OAH
Decision Date 2019-11-18
Administrative Law Judge Diane Mihalsky
Outcome The ALJ denied the petition, concluding that the HOA's architectural guideline limiting homeowners to one flagpole per lot, while permitting the display of both the U.S. flag and a military flag (Marine Corps flag) on that single pole, constitutes a reasonable rule under A.R.S. § 33-1808(B). The ALJ also found the Board complied with the 45-day requirement for a written appeal decision under CC&R § 7.9 by memorializing the denial in the draft meeting minutes posted by December 4, 2018,,.
Filing Fees Refunded $0.00
Civil Penalties $0.00

Parties & Counsel

Petitioner Joyce H Monsanto Counsel
Respondent Four Seasons at the Manor Homeowners Association Counsel Mark K. Sahl, Esq.

Alleged Violations

A.R.S. § 33-1808; CC&R § 7.9

Outcome Summary

The ALJ denied the petition, concluding that the HOA's architectural guideline limiting homeowners to one flagpole per lot, while permitting the display of both the U.S. flag and a military flag (Marine Corps flag) on that single pole, constitutes a reasonable rule under A.R.S. § 33-1808(B). The ALJ also found the Board complied with the 45-day requirement for a written appeal decision under CC&R § 7.9 by memorializing the denial in the draft meeting minutes posted by December 4, 2018,,.

Why this result: The Petitioner failed to meet her burden of proof on both statutory and CC&R violations,.

Key Issues & Findings

HOA's denial of application to install two flagpoles for US and military flags, and alleged failure to follow CC&R appeal process.

Petitioner challenged the HOA's denial of her request to install two flagpoles, arguing the restriction violated A.R.S. § 33-1808 (flag statute) and that the Board failed to provide a written decision on her appeal within 45 days as required by CC&R § 7.9, which she argued meant the request was deemed approved. The ALJ found the single flagpole restriction reasonable under A.R.S. § 33-1808(B) since both flags could be flown from one pole, and determined the Board satisfied the CC&R § 7.9 requirement by posting the decision in the meeting minutes within 45 days,.

Orders: Petitioner's petition is denied, as she failed to establish that the Respondent's Board should not have denied her application under A.R.S. § 33-1808 or CC&R § 7. The Board can properly find Petitioner in violation of Architectural Guidelines and order her to remove one of her two flagpoles.

Filing fee: $0.00, Fee refunded: No

Disposition: respondent_win

Cited:

  • A.R.S. § 33-1808
  • CC&R § 7.9
  • A.R.S. § 33-1803
  • A.R.S. § 32-2199(B)

Analytics Highlights

Topics: Flag display, Architectural Guidelines, CC&Rs, Statutory compliance, Planned Communities Act, Rehearing
Additional Citations:

  • A.R.S. § 33-1808
  • CC&R § 7.9
  • A.R.S. § 33-1803
  • 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)
  • CC&R § 7

Video Overview

Audio Overview

Decision Documents

19F-H1919053-REL-RHG Decision – 749213.pdf

Uploaded 2026-01-23T17:29:16 (163.6 KB)

19F-H1919053-REL-RHG Decision – 753595.pdf

Uploaded 2026-01-23T17:29:19 (163.3 KB)

Briefing Document: Monsanto v. Four Seasons at the Manor HOA

Executive Summary

This document synthesizes the findings and legal reasoning from the Amended Administrative Law Judge Decision in the case of Joyce H. Monsanto versus the Four Seasons at the Manor Homeowners Association (HOA). The central conflict revolves around the HOA’s denial of Ms. Monsanto’s request to install two separate flagpoles on her home to display the United States flag and the United States Marine Corps flag. The petitioner alleged this denial violated Arizona state law and the HOA’s own governing documents.

The Administrative Law Judge (ALJ) ultimately denied the petitioner’s claim, ruling in favor of the HOA. The decision established two critical points: first, that the HOA’s rule limiting homeowners to a single flagpole is a “reasonable” regulation on the “placement and manner of display” explicitly permitted under Arizona statute A.R.S. § 33-1808(B), and does not constitute a prohibition of flag display. Second, the HOA was found to have complied with its own appeal process as outlined in its Covenants, Conditions, and Restrictions (CC&Rs). The ALJ concluded that an oral denial at a board meeting, later documented in publicly posted meeting minutes, satisfied the CC&R’s requirement to “render its written decision” within a 45-day timeframe. The ruling affirms an HOA’s authority to enforce uniform aesthetic standards, provided they are reasonable and applied according to the association’s governing documents.

Case Background and Procedural History

The case was brought before the Arizona Office of Administrative Hearings (OAH) following a petition filed by homeowner Joyce H. Monsanto (“Petitioner”) against her HOA, Four Seasons at the Manor Homeowners Association (“Respondent”).

Initial Petition: On March 6, 2019, the Petitioner filed a petition with the Arizona Department of Real Estate, alleging the HOA violated state law (A.R.S. § 33-1803) and its CC&Rs (§ 7.9) by refusing to approve her request for two flagpoles.

First Hearing: An evidentiary hearing was held on May 30, 2019, after which the ALJ found that the Petitioner had not proven any violation by the HOA.

Rehearing: The Commissioner of the Department of Real Estate granted the Petitioner’s request for a rehearing on August 22, 2019. This rehearing took place on October 21, 2019.

Amended Decision: On November 18, 2019, ALJ Diane Mihalsky issued an Amended Administrative Law Judge Decision, again denying the Petitioner’s petition and affirming the previous findings. The amendment was issued to correct a typographical error and clarify the parties’ appeal rights.

The Core Dispute: A Request for Two Flagpoles

The petitioner, whose husband and two sons have long careers in the U.S. Marines and Coast Guard, sought to display both the U.S. flag and the U.S. Marine Corps flag on her home.

The Application: On August 31, 2018, she submitted a Design Review Application to install two 6-foot-long flagpoles on the exterior wall of her house, flanking her front door.

The Rationale: The Petitioner stated her desire for two separate poles was for aesthetic reasons, believing the display would look better. She also expressed concern that a single, larger flagpole installed in her front yard would obstruct the view from her front window.

The Denial: On September 22, 2018, the HOA’s Architectural Committee issued a written Notice of Disapproval, citing the Architectural Guidelines which permit only one flagpole per lot.

The Appeal: On October 1, 2018, the Petitioner submitted a written appeal to the HOA Board, arguing the denial was unreasonable, that the guidelines were not uniformly enforced, and that the board could grant a waiver under CC&R § 7.6.

Governing Rules and Statutes

The case decision rested on the interpretation of Arizona state law and the HOA’s specific governing documents.

Arizona Revised Statute § 33-1808

This statute governs the right of homeowners to display certain flags.

Protection of Display: Subsection A states that an association “shall not prohibit the outdoor… display” of the American flag or a military flag, among others.

Right to Regulate: Subsection B grants associations the authority to “adopt reasonable rules and regulations regarding the placement and manner of display.” It explicitly allows rules that “regulate the location and size of flagpoles,” “limit the member to displaying no more than two flags at once,” and limit flagpole height, while not prohibiting their installation.

HOA Architectural Guidelines

The community’s rules regarding flagpoles evolved but consistently maintained a key restriction.

Original Guideline (May 24, 2016): “Poles must not exceed 12’ in height, and only one flagpole is permitted per Lot.”

Amended Guideline (November 8, 2018): The board increased the maximum pole height to 20′ and added rules for nighttime illumination and inclement weather, but explicitly “did not change the limit of one flagpole per lot.”

HOA CC&Rs (Covenants, Conditions, and Restrictions)

The procedural requirements for architectural review and appeals were central to the Petitioner’s claim.

Section 7.8 (Board Approval): Pertaining to initial applications, this section requires the Board to provide the owner with a “written response within sixty (60) days,” otherwise the request is deemed approved.

Section 7.9 (Appeal): Pertaining to appeals, this section requires the Board to consult with the Architectural Committee and “render its written decision” within 45 days. A failure by the Board to render a decision in this period “shall be deemed approval.” This section does not contain the same explicit language as § 7.8 requiring the response be provided to the owner.

Analysis of the Appeal Process and Conflicting Testimonies

A significant portion of the dispute centered on the events of the November 8, 2018, HOA Board meeting, where the Petitioner’s appeal was to be considered. The accounts of what transpired at this meeting were contradictory.

Petitioner’s Testimony (Joyce H. Monsanto)

Respondent’s Testimony (Anthony Nunziato, Board President)

Consultation

The board did not consult the Architectural Committee.

The board consulted with the Architectural Committee before the meeting.

Decision

The board did not consider or make any decision on her appeal.

The board considered the appeal and made a decision.

Notification

She was never told her appeal was denied at the meeting.

He was certain the board verbally informed the Petitioner that her appeal was denied at the meeting.

On December 4, 2018, draft minutes from the November 8 meeting were posted on the HOA’s website. The Petitioner acknowledged seeing them. These minutes included the following entry:

“[Petitioner’s] last request was for a waiver that would allow her to have two flagpoles on her property (one to fly the American flag and the other to fly the Marine flag). The Board rejected this request since our CC&Rs allow for the flying of both flags on a single flagpole.”

The Petitioner argued that these publicly posted draft minutes, which were not sent directly to her, did not constitute a valid written denial of her appeal under the CC&Rs.

Administrative Law Judge’s Decision and Rationale

The ALJ’s decision methodically rejected each of the Petitioner’s claims, relying on witness credibility, statutory interpretation, and contract construction principles.

Credibility Assessment

The ALJ made a clear determination on the conflicting testimonies regarding the November 8 meeting.

• Mr. Nunziato’s testimony that the board made a decision and informed the Petitioner was found to be “credible and supported by the minutes of the meeting.”

• The Petitioner’s testimony that the board made no decision on her appeal was deemed “incredible.”

Ruling on A.R.S. § 33-1808 (State Flag Law)

The ALJ concluded that the HOA’s one-flagpole rule did not violate state law.

• The rule was found to be a “reasonable rule or regulation under A.R.S. § 33-1808(B).”

• Because the Architectural Guidelines allow for flying two flags from a single flagpole up to 20′ long, the HOA was not prohibiting the display of flags, merely regulating the manner.

• The ALJ characterized the core issue as the “Petitioner’s petition is about her choice not to install a single flagpole for her own aesthetic reasons, not Respondent’s unreasonableness or lack of patriotism.”

Ruling on CC&R § 7.9 (Appeal Process)

The ALJ found that the HOA had followed the procedure required by its own CC&Rs.

Consultation: Based on Mr. Nunziato’s credible testimony, the board fulfilled its duty to consult with the Architectural Committee.

“Render a Decision”: The board “rendered a decision on her appeal at the November 8, 2018 board meeting” when it orally reached a decision.

“Written Decision”: The board created a “writing memorializing its decision” by documenting it in the meeting minutes. Because the Petitioner saw these minutes on December 4, 2018, this action occurred within the 45-day window following her October 1, 2018 appeal.

No Delivery Requirement: The ALJ applied the “negative implication cannon of contract construction.” By comparing CC&R § 7.9 (appeals) with § 7.8 (initial applications), the judge noted that § 7.9 lacks the explicit requirement to provide the written decision to the owner. Therefore, posting the minutes was sufficient, and the Petitioner’s request was not “deemed approved.”

Final Order

Based on these findings, the ALJ issued a final, binding order.

IT IS ORDERED that the Petitioners’ petition is denied because she has not established that the Respondent’s Board should not have denied her application to install two flagpoles on her property.

The decision concludes with a notice informing the parties that the order is binding and that any appeal must be filed with the superior court within 35 days from the date of service.

Study Guide: Monsanto v. Four Seasons at the Manor HOA

This study guide provides a detailed review of the legal case Joyce H. Monsanto v. Four Seasons at the Manor Homeowners Association, Case No. 19F-H1919053-REL-RHG, as detailed in the Amended Administrative Law Judge Decision dated November 18, 2019. The guide includes a short-answer quiz, a corresponding answer key, suggested essay questions, and a comprehensive glossary of terms to facilitate a thorough understanding of the case’s facts, arguments, and legal conclusions.

Short-Answer Quiz

Answer the following questions in 2-3 complete sentences, based entirely on the information provided in the case document.

1. Who are the Petitioner and the Respondent in this case, and what is their relationship?

2. What specific action did the Petitioner request from the Respondent that initiated this dispute?

3. On what grounds did the Respondent’s Architectural Committee initially deny the Petitioner’s request on September 22, 2018?

4. Identify the key Arizona statute cited in the case and explain its two main provisions regarding flag displays.

5. What was the Petitioner’s primary argument regarding the Respondent’s handling of her appeal under CC&R § 7.9?

6. According to the testimony of Board President Tony Nunziato, how did the Board address the Petitioner’s appeal at the November 8, 2018 meeting?

7. What documentary evidence did the Respondent use to support the claim that a decision on the appeal was made and written down within the required timeframe?

8. Why did the Administrative Law Judge (ALJ) find the Respondent’s one-flagpole rule to be legally permissible?

9. What is the legal standard of proof required for the Petitioner in this case, and did she meet it according to the ALJ?

10. What was the final order issued by the Administrative Law Judge in this case and its practical consequence for the Petitioner?

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Answer Key

1. The Petitioner is Joyce H. Monsanto, a homeowner. The Respondent is the Four Seasons at the Manor Homeowners Association (HOA). Ms. Monsanto is a member of the Respondent HOA because she owns a house within its development in Sun City, Arizona.

2. The Petitioner submitted a Design Review Application to install two 6-foot-long flagpoles on the exterior wall of her house. She intended to fly the United States flag from one pole and the United States Marine Corps flag from the other.

3. The Architectural Committee denied the request because the community’s Architectural Guidelines only permitted one flagpole per lot. The written Notice of Disapproval explicitly stated this rule as the reason for the denial.

4. The key statute is A.R.S. § 33-1808. Its first provision, § 33-1808(A), prohibits an HOA from banning the display of the American flag and various military flags. The second provision, § 33-1808(B), allows an HOA to adopt reasonable rules regulating the placement, size, and number of flagpoles, explicitly permitting a limit of one flagpole per property.

5. The Petitioner argued that the Board violated CC&R § 7.9 because it failed to provide her with a formal written decision denying her appeal within the 45-day period. She contended that because she never received a dedicated letter, the request should have been “deemed approved” as stipulated in the CC&R for failure to render a timely decision.

6. Tony Nunziato testified that the Board did consult with the Architectural Committee regarding the appeal before the meeting. He stated with certainty that at the November 8, 2018 meeting, the Board considered the appeal and verbally informed Ms. Monsanto that her request for a waiver was denied.

7. The Respondent presented the draft minutes from the November 8, 2018 Board meeting, which were posted on the HOA’s website on December 4, 2018. These minutes explicitly stated that the Board rejected the Petitioner’s request for a waiver to have two flagpoles, fulfilling the requirement to have a written record of the decision within 45 days of her October 1 appeal.

8. The ALJ found the rule permissible because A.R.S. § 33-1808(B) explicitly grants HOAs the authority to “adopt reasonable rules and regulations” which may “regulate the location and size of flagpoles” and “shall not prohibit the installation of a flagpole.” Since the HOA’s guidelines allowed for one flagpole up to 20 feet long, capable of flying two flags, the judge concluded the rule was reasonable under the statute.

9. The required standard of proof was a “preponderance of the evidence,” meaning the Petitioner had to convince the judge that her contention was more probably true than not. The ALJ concluded that the Petitioner did not meet this burden of proof to establish that the Respondent violated any statute or its own CC&Rs.

10. The final order denied the Petitioner’s petition. The practical consequence is that the HOA’s denial of her application for two flagpoles was upheld, and the Board could therefore properly find her in violation of the Architectural Guidelines and order her to remove one of her two flagpoles.

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Suggested Essay Questions

1. Analyze the conflict between A.R.S. § 33-1808(A), which protects a homeowner’s right to display military flags, and § 33-1808(B), which grants HOAs regulatory power. How did the Administrative Law Judge balance these two provisions to reach a conclusion in this case?

2. Discuss the concept of “burden of proof” as it applied to the Petitioner. Detail the specific claims made by Joyce Monsanto and explain why, according to the legal decision, she failed to establish them by a “preponderance of the evidence.”

3. Examine the procedural dispute surrounding CC&R § 7.9. Contrast the Petitioner’s interpretation of a “written decision” with the interpretation ultimately adopted by the Administrative Law Judge, referencing the role of the verbal notification and the meeting minutes.

4. Evaluate the role of testimony and credibility in this administrative hearing. Compare and contrast the testimony provided by Petitioner Joyce Monsanto and Respondent’s Board President Tony Nunziato regarding the events of the November 8, 2018 board meeting, and explain why the judge found Mr. Nunziato’s account more credible.

5. Based on the facts presented, construct an argument that the HOA’s actions, while legally permissible according to the judge, were inconsistent with the patriotic values of its community, which includes many retired military members. Conversely, construct an argument defending the Board’s decision as a necessary and fair application of rules essential for maintaining community standards.

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Glossary of Key Terms

Definition in Context

Administrative Law Judge (ALJ)

An independent judge who presides over administrative hearings, makes findings of fact, and issues legal decisions. In this case, Diane Mihalsky served as the ALJ for the Office of Administrative Hearings.

A.R.S. § 33-1808

An Arizona Revised Statute that governs the display of flags in planned communities. It forbids HOAs from prohibiting certain flags (like the U.S. and military flags) but permits them to establish reasonable rules regarding the number, size, and location of flagpoles.

Architectural Committee

A committee established by the HOA’s CC&Rs responsible for reviewing and approving or disapproving homeowners’ applications for external modifications to their property, such as installing flagpoles.

Architectural Guidelines

The specific rules adopted by the HOA that set forth requirements for property modifications. In this case, the guidelines limited each lot to one flagpole, with a maximum height of 20 feet.

Burden of Proof

The legal obligation of a party in a dispute to provide sufficient evidence to prove their claim. The Petitioner, Joyce Monsanto, bore the burden of proof to show the HOA had violated the law or its own rules.

CC&Rs (Covenants, Conditions, and Restrictions)

The governing legal documents that create the rules for a planned community. The Petitioner alleged the Respondent violated CC&R § 7.9, which outlines the appeal process for disapproved architectural applications.

Declarant

The original developer of a planned community who establishes the initial CC&Rs. In this case, K. Hovnanian was the Declarant for Four Seasons at the Manor.

Homeowners’ Association (HOA)

The governing organization in a planned community responsible for enforcing the CC&Rs and managing common areas. The Respondent, Four Seasons at the Manor Homeowners Association, is an HOA.

Negative Implication

A principle of legal interpretation which holds that the explicit inclusion of one thing implies the intentional exclusion of another. The ALJ used this to argue that because CC&R § 7.9 (appeals) does not specify that a written decision must be sent to the owner, unlike CC&R § 7.8 (initial applications), that requirement should not be read into the appeal rule.

Office of Administrative Hearings (OAH)

An independent Arizona state agency that conducts evidentiary hearings for other state agencies, providing an impartial forum to resolve disputes.

Petitioner

The party who initiates a legal action by filing a petition. In this case, Joyce H. Monsanto is the Petitioner.

Preponderance of the Evidence

The evidentiary standard required in this civil case. It is defined as proof that convinces the trier of fact (the judge) that a contention is “more probably true than not.”

Respondent

The party against whom a petition is filed. In this case, the Four Seasons at the Manor Homeowners Association is the Respondent.

Restrictive Covenant

A legally enforceable rule within the CC&Rs that limits what a homeowner can do with their property. The rule limiting homes to one flagpole is an example of a restrictive covenant.

Waiver

The act of intentionally relinquishing a known right or claim. The Petitioner argued that the HOA board could, and should, have waived the one-flagpole rule for her under CC&R § 7.6.

HOA vs. Military Family: 4 Lessons from a Legal Battle Over a Flagpole

For Joyce Monsanto, a member of a dedicated military family, displaying her patriotism was a matter of pride. Her husband served 25 years in the Marines, and her two sons have spent decades in the Marines and the Coast Guard. Naturally, she wanted to fly both the flag of the United States and the flag of the U.S. Marine Corps at her Arizona home. But when she submitted her plan to her Homeowners Association (HOA), she was met with a firm “no.”

The conflict wasn’t about the flags themselves. The Four Seasons at the Manor HOA had no issue with her displaying both. The dispute centered on how she wanted to display them. It was a disagreement over her vision for a symmetrical, two-pole display versus the HOA’s “one flagpole per lot” rule. This architectural dispute escalated from a simple request into a formal administrative hearing.

Ms. Monsanto’s fight reveals several surprising truths about the power of HOA rules and the specific language written into state law. Her case ultimately failed on two fronts—a substantive challenge to the rule itself, and a procedural challenge to how the HOA handled her appeal. Here’s what every homeowner can learn from each.

1. Your Right to Fly the Flag Has Limits—And They’re Written into Law.

Many homeowners believe the right to fly the American flag is unconditional. However, the legal reality is more nuanced. While Arizona law (A.R.S. § 33-1808) prevents an HOA from outright prohibiting the display of U.S. or military flags, it explicitly allows the association to create “reasonable rules and regulations” for their placement and manner of display.

The statute is specific about what these rules can cover. An HOA can legally regulate the size and location of flagpoles and can limit a homeowner to displaying no more than two flags at once. In this case, the HOA’s architectural guidelines permitted two flags, but only on a single flagpole. The Administrative Law Judge found this “one flagpole per lot” rule was a “reasonable” regulation and therefore perfectly legal. To underscore that the HOA’s stance was not about a lack of patriotism, the judge noted testimony that the HOA president himself “placed 140 small flags on his property” for Memorial Day. The issue was about the uniform enforcement of an architectural rule, not the patriotic display itself.

2. Your Personal Taste Is No Match for the Community Rulebook.

During the hearing, Ms. Monsanto acknowledged that she could fly both of her flags from a single pole as the HOA rules allowed. Her reason for wanting two poles was a matter of personal preference. She testified that she “wanted to install two flagpoles for aesthetic reasons” and also felt that a single pole placed in the middle of her lot would block the view from her front window.

The judge was unmoved by this line of reasoning. In the final decision, the response was direct and unambiguous:

Petitioner’s petition is about her choice not to install a single flagpole for her own aesthetic reasons, not Respondent’s unreasonableness or lack of patriotism.

This is a foundational principle of community association law: homeowners trade a degree of personal autonomy for the perceived benefits of uniform standards and predictable property values. The judge’s decision simply reaffirms that bargain. In the world of planned communities, the established rulebook will almost always outweigh an individual’s personal taste.

3. In HOA Law, the Appeal Isn’t a Re-do—It’s a Different Process.

One of Ms. Monsanto’s key arguments was procedural. She believed her appeal should have been automatically approved because the HOA failed to provide a written decision within the 45-day deadline stipulated in its own rules (CC&R § 7.9). This is where the judge identified a subtle but crucial legal distinction buried in the HOA’s governing documents.

The HOA’s CC&Rs had two different sections for architectural requests:

CC&R § 7.8 (Initial Requests): This section explicitly required the Board to “inform the submitting party of the final decision” with a “written response.”

CC&R § 7.9 (Appeals): This section, however, only required the Board to “render its written decision” within 45 days.

That small difference in wording—”written response” versus “written decision”—was the linchpin of her procedural case. The judge ruled that for an appeal, the HOA was not required to send a personal letter or direct notice to Ms. Monsanto. It only had to create a written record of its decision within the timeframe.

4. A Post on an HOA Website Can Count as an Official “Written Decision.”

The final surprise came down to what constitutes a “written decision” and how the deadline was met. Ms. Monsanto was waiting for a formal letter informing her that her appeal had been denied. She never received one. Her appeal was filed on October 1, 2018, starting a 45-day clock.

The judge found the HOA satisfied its obligation in a two-step process:

1. The Decision: The Board verbally denied her appeal during its public meeting on November 8, 2018. This action, which occurred 38 days after her appeal, fulfilled the requirement to “render its decision” within the 45-day period.

2. The Writing: That decision was then recorded in the draft meeting minutes, which were posted on the Board’s website on December 4, 2018. Ms. Monsanto acknowledged seeing the posted minutes.

The judge ruled that these online minutes satisfied the separate legal requirement for a “writing memorializing its decision.” Even though they weren’t sent directly to her, the publicly posted minutes served as the official record of the timely denial of her appeal, closing the final door on her argument for automatic approval.

Conclusion: Before You Plant Your Flag, Read the Fine Print

Joyce Monsanto’s case is a cautionary tale on two levels. First, it shows that even cherished rights like displaying the flag are subject to reasonable, neutrally-applied community rules. Second, and more critically, it demonstrates that procedural arguments live and die by the most precise definitions in the governing documents. A single word can be the difference between winning an appeal and being ordered to take your flagpole down.

This case came down to the difference between a “written response” and a “written decision”—do you know what the fine print says about your rights in your community?

Case Participants

Petitioner Side

  • Joyce H Monsanto (petitioner)
    Appeared on her own behalf

Respondent Side

  • Mark K. Sahl (HOA attorney)
    Carpenter, Hazlewood, Delgado & Bolen, LLP
  • Anthony Nunziato (board member)
    Four Seasons at the Manor Homeowners Association
    President of the Board of Directors; also referred to as 'Tony'
  • Annette McCraw (property manager)
    Community Manager/Trestle Management (implied)
    Sent Notice of Disapproval on behalf of Respondent
  • Marc Vasquez (HOA representative)
    Addressed Petitioner's claim regarding violation letters at the Board meeting

Neutral Parties

  • Diane Mihalsky (ALJ)
    Office of Administrative Hearings
  • Judy Lowe (Commissioner)
    Arizona Department of Real Estate

Dennis J Gregory v. Four Seasons at the Manor Homeowners Association

Case Summary

Case ID 19F-H1919069-REL
Agency ADRE
Tribunal OAH
Decision Date 2019-09-24
Administrative Law Judge Antara Nath Rivera
Outcome The Petitioner's petition alleging violations of the HOA's CC&Rs and A.R.S. § 33-1803 was denied because the Petitioner failed to meet the burden of proof. The HOA had acknowledged its error regarding the palm trees, issued an apology, and expunged the record, thereby resolving the substantive dispute and making the remaining allegations moot.
Filing Fees Refunded $0.00
Civil Penalties $0.00

Parties & Counsel

Petitioner Dennis J Gregory Counsel
Respondent Four Seasons at the Manor Homeowners Association Counsel Marc Vasquez

Alleged Violations

8.1.7 of CC&Rs; A.R.S. § 33-1803

Outcome Summary

The Petitioner's petition alleging violations of the HOA's CC&Rs and A.R.S. § 33-1803 was denied because the Petitioner failed to meet the burden of proof. The HOA had acknowledged its error regarding the palm trees, issued an apology, and expunged the record, thereby resolving the substantive dispute and making the remaining allegations moot.

Why this result: Petitioner failed to establish that Respondent violated governing documents or statute when the Respondent had already resolved the underlying issue by apology and expungement, and no financial penalties were assessed.

Key Issues & Findings

Violation of Governing Documents and Planned Community Statute

Petitioner filed a two-issue petition alleging Respondent violated CC&Rs and A.R.S. § 33-1803 by fraudulently sending a courtesy notice regarding unapproved palm trees and subsequently deceiving Petitioner, despite the underlying tree issue being resolved and expunged.

Orders: Petitioner's petition is denied.

Filing fee: $0.00, Fee refunded: No

Disposition: petitioner_loss

Cited:

  • A.R.S. § 32-2199(B)
  • Title 33, Chapter 16.1
  • 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)

Analytics Highlights

Topics: HOA dispute, Planned Community Statute, CC&Rs violation, Expungement of record, Mootness
Additional Citations:

  • A.R.S. § 32-2199(B)
  • Title 33, Chapter 16.1
  • 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)

Video Overview

Audio Overview

Decision Documents

19F-H1919069-REL Decision – 740332.pdf

Uploaded 2026-04-24T11:21:33 (85.6 KB)

19F-H1919069-REL Decision – 740332.pdf

Uploaded 2026-01-23T17:29:41 (85.6 KB)

Briefing Document: Gregory v. Four Seasons at the Manor HOA (Case No. 19F-H1919069-REL)

Executive Summary

This document provides an analysis of the Administrative Law Judge Decision in Case No. 19F-H1919069-REL, concerning a petition filed by homeowner Dennis Gregory against the Four Seasons at the Manor Homeowners Association (HOA). The petition was ultimately denied.

The dispute originated from an incorrect violation notice sent by the HOA on July 13, 2018, regarding palm trees on the Petitioner’s property. The HOA subsequently discovered its error, recognizing the trees were on its “Recommended Plant List.” Consequently, the HOA issued a formal apology to the Petitioner on August 16, 2018, and expunged the violation notice from all records. No fines or penalties were ever imposed.

Despite the resolution, the Petitioner filed a formal dispute petition with the Arizona Department of Real Estate on May 24, 2019. He alleged the initial notice was fraudulent and that an employee of the HOA’s management company had lied and threatened him. The Administrative Law Judge, Antara Nath Rivera, concluded that the Petitioner failed to meet the burden of proof. The Judge determined that the HOA’s prompt corrective actions—issuing an apology, retracting the notice, and imposing no fines—rendered the issue moot.

Case Overview

The hearing addressed a petition filed by Dennis Gregory alleging that the Four Seasons at the Manor Homeowners Association violated its Covenants, Conditions, and Restrictions (CC&Rs) and Arizona state law.

Case Detail

Information

Case Number

19F-H1919069-REL

Petitioner

Dennis J Gregory

Respondent

Four Seasons at the Manor Homeowners Association

Presiding Judge

Antara Nath Rivera, Administrative Law Judge

Hearing Date

September 4, 2019

Decision Date

September 24, 2019

Chronology of Events

July 13, 2018: The HOA sends a courtesy notice to Dennis Gregory requesting the removal of palm trees, citing a violation of the CC&Rs.

Post-July 13, 2018: Gregory disputes the violation. Upon review, the HOA discovers the palm trees are on its “Recommended Plant List” and therefore permissible.

August 16, 2018: The HOA sends Gregory a letter of apology via both email and postal mail, deeming the violation notice invalid.

May 24, 2019: Gregory files a two-issue Homeowners Association Dispute Process Petition with the Arizona Department of Real Estate.

June 28, 2019: The HOA files its formal answer to the petition.

September 4, 2019: An administrative hearing is conducted, with testimony from Gregory and Marc Vasquez, Vice President of the HOA’s management company.

September 24, 2019: The Administrative Law Judge issues a decision denying the petition.

Petitioner’s Allegations and Testimony

Dennis Gregory filed the petition after the palm tree issue was resolved because he was upset with the HOA’s handling of the matter. His testimony and allegations included:

Primary Motivation: He believed the HOA “fraudulently sent the courtesy letter.”

Allegations of Deception:

◦ The HOA lied about the Board members discussing the palm tree issue prior to sending the notice.

◦ Annette McCraw of Trestle Management Group lied to him about speaking with the board.

◦ The HOA deceptively changed the CC&Rs regarding the names of permitted trees.

◦ The HOA failed to disclose the identity of the individual who falsely claimed his palm trees were poisonous.

Allegations of Misconduct: He stated that Annette McCraw had threatened him with a lawyer.

Legal Claim: He opined that these actions constituted a violation of the community’s CC&Rs (specifically 8.1.7) and Arizona Revised Statutes § 33-1803.

Acknowledged Facts: During his testimony, Gregory confirmed that the HOA never imposed any fines and that he received the apology letter issued on August 16, 2018.

Respondent’s Position and Actions

The HOA, represented by Marc Vasquez of Trestle Management Group, maintained that it had taken all necessary steps to rectify its initial error.

Admission of Error: The Respondent acknowledged that the initial violation notice was sent in error.

Corrective Measures:

◦ It issued a formal apology letter once the mistake was identified.

◦ The courtesy letter was “removed and expunged” from both the Respondent’s and Petitioner’s records to preserve the Petitioner’s good standing.

◦ Marc Vasquez personally apologized to Gregory at a board meeting.

No Penalties: The Respondent confirmed that no fines or sanctions were ever imposed on the Petitioner.

Personnel Status: Vasquez testified that Annette McCraw, the employee accused of misconduct by the Petitioner, was no longer employed by Trestle Management Group.

Administrative Law Judge’s Conclusions and Order

The Administrative Law Judge denied the petition, finding that the Petitioner failed to prove his case by a preponderance of the evidence.

Legal Reasoning

1. Burden of Proof: The decision established that the Petitioner bore the burden of proving that the HOA violated its CC&Rs and state statutes. The standard of proof required was a “preponderance of the evidence,” meaning evidence sufficient to convince a trier of fact that a contention is more probably true than not.

2. Failure to Meet Burden: The Judge concluded that the Petitioner failed to meet this standard. This conclusion was based on several key facts established during the hearing:

◦ The Petitioner himself acknowledged that he was never financially penalized.

◦ The Petitioner acknowledged receipt of the HOA’s apology letter.

◦ Evidence showed the palm trees were, in fact, compliant with HOA rules.

◦ The violation notice was officially “removed and expunged” from all records.

3. Mootness of the Issue: The decision states, “the preponderance of the evidence showed Respondent did not violate any rules or regulations that would facilitate any orders or sanctions once it issued the apology letter, thus making the issue moot.” The HOA’s corrective actions effectively nullified the original dispute before it escalated to the point of requiring legal sanctions.

Final Order

“IT IS ORDERED that Petitioners’ petition is denied.”

The decision also included a notice that the order is binding unless a request for rehearing is filed with the Commissioner of the Department of Real Estate within 30 days of the service of the order, pursuant to A.R.S. § 41-1092.09.

Study Guide: Gregory v. Four Seasons at the Manor HOA

This guide provides a comprehensive review of the Administrative Law Judge Decision in case No. 19F-H1919069-REL, concerning Dennis J Gregory and the Four Seasons at the Manor Homeowners Association. It includes short-answer questions with an answer key, essay questions for deeper analysis, and a glossary of key terms found within the legal decision.

Quiz: Short-Answer Questions

Answer the following questions in two to three complete sentences, using only information found in the case decision.

1. Who were the primary parties involved in this administrative hearing, and what were their roles?

2. What was the initial action by the Homeowners Association that triggered the dispute with the Petitioner?

3. What specific violations did the Petitioner, Dennis Gregory, allege in his Homeowners Association Dispute Process Petition?

4. How did the Respondent discover its error regarding the Petitioner’s palm trees?

5. What two specific actions did the Respondent take to rectify its error before the hearing took place?

6. Why did the Petitioner proceed with the hearing even after the Respondent retracted the violation notice and apologized?

7. Who was Annette McCraw, and what specific actions did the Petitioner accuse her of taking?

8. What is the “preponderance of the evidence,” and what was its significance in the judge’s decision?

9. According to the judge’s findings, why was the central issue of the dispute considered moot?

10. What was the final Order issued by the Administrative Law Judge in this case?

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Answer Key

1. The primary parties were Dennis J Gregory, the homeowner, who served as the Petitioner, and the Four Seasons at the Manor Homeowners Association, which was the Respondent. Marc Vasquez, vice president of Trestle Management Group, appeared on behalf of the Respondent.

2. The dispute was triggered when the Respondent, on July 13, 2018, sent the Petitioner a courtesy notice requesting the removal of palm trees from his front yard. The notice claimed the trees were a violation of the association’s CC&Rs.

3. The Petitioner alleged that the Respondent violated section 8.1.7 of its Covenants, Conditions, and Restrictions (CC&Rs) and the Arizona Revised Statute (A.R.S.) § 33-1803.

4. After the Petitioner disputed the violation, the Respondent conducted a further review. Through this review, the Respondent discovered that the palm trees on the Petitioner’s property were actually listed on the “Recommended Plant List” and were therefore acceptable.

5. First, the Respondent issued a courtesy letter to the Petitioner on August 16, 2018, apologizing for the misunderstanding. Second, the Respondent deemed the original violation notice invalid and had it “removed and expunged” from both its own and the Petitioner’s records to preserve his good standing.

6. The Petitioner proceeded with the hearing because he was upset and believed the Respondent had acted fraudulently. He alleged the Respondent lied about discussing the issue with board members, deceptively changed the CC&Rs, and failed to disclose who made the initial complaint.

7. Annette McCraw was an employee of Trestle Management Group, the Respondent’s management company. The Petitioner accused her of lying about speaking with board members regarding the palm tree issue and threatening him with a lawyer.

8. “Preponderance of the evidence” is the standard of proof required, defined as evidence convincing the trier of fact that a contention is more probably true than not. Its significance is that the Petitioner bore this burden of proof and ultimately failed to meet it, leading to the denial of his petition.

9. The issue was considered moot because the Respondent had already issued an apology letter and rescinded the violation notice before the hearing occurred. Since the Petitioner was never fined, the palm trees were deemed acceptable, and the notice was expunged, there was no longer an active controversy for the court to resolve.

10. The final Order, issued on September 24, 2019, was that the Petitioner’s petition is denied. The Order was binding unless a rehearing was requested within 30 days.

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Essay Questions

Construct detailed responses to the following prompts, drawing evidence and arguments exclusively from the provided legal decision.

1. Analyze the concept of a “moot” issue as it applies to this case. How did the Respondent’s actions before the hearing render the Petitioner’s primary complaint moot in the eyes of the law, despite the Petitioner’s ongoing grievances?

2. Discuss the burden of proof in this administrative hearing. Explain the “preponderance of the evidence” standard as defined in the document and detail the specific reasons why the Administrative Law Judge concluded that Dennis Gregory failed to meet this burden.

3. Examine the roles and conduct of the management company, Trestle Management Group, and its employee, Annette McCraw. Based on the testimony presented, what specific actions escalated the conflict even after the initial landscaping error was identified and corrected?

4. Trace the timeline of events from the initial “courtesy notice” of July 13, 2018, to the final Order of September 24, 2019. Identify the key turning points and decisions made by both the Petitioner and the Respondent that influenced the outcome of the case.

5. Although the Petitioner lost the case, he raised several allegations beyond the palm trees, including fraud, deception, and threats. Using only the evidence presented in the decision, construct the argument that Dennis Gregory was attempting to make regarding why these subsequent actions constituted a violation of the planned community statute, even if the original tree issue was resolved.

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Glossary of Key Terms

Definition

Administrative Law Judge (ALJ)

The official who presides over the administrative hearing and issues a decision. In this case, the ALJ was Antara Nath Rivera.

Answer

The Respondent’s formal written response to the Petition, filed in this case on June 28, 2019.

A.R.S. (Arizona Revised Statutes)

The collection of laws for the state of Arizona. The decision cites A.R.S. § 33-1803, which authorizes HOAs to enforce CC&Rs, and statutes governing the hearing and rehearing process.

Burden of Proof

The obligation of a party to establish its claims by a required degree of evidence. In this hearing, the Petitioner had the burden of proof.

CC&Rs (Covenants, Conditions, and Restrictions)

The governing documents that establish the rules for a planned community. The Petitioner alleged a violation of section 8.1.7 of the Respondent’s CC&Rs.

Department

The Arizona Department of Real Estate, the state agency with which the Petition was filed and which has jurisdiction over such disputes.

Homeowners Association Dispute Process Petition (Petition)

The formal document filed by a homeowner to initiate a hearing with the Department concerning alleged violations by their homeowners association.

A legal term for a situation where the underlying issue has been resolved, making any ruling on the matter unnecessary. The judge found the case moot because the Respondent had already issued an apology and rescinded the violation notice.

The final and binding decision issued by the Administrative Law Judge. In this case, the Order was to deny the Petitioner’s petition.

Petitioner

The party who initiates a legal action or hearing. In this case, the Petitioner was homeowner Dennis J Gregory.

Preponderance of the Evidence

The standard of proof required in this case. It is defined as “such proof as convinces the trier of fact that the contention is more probably true than not.”

Respondent

The party against whom a petition is filed and who is required to respond. In this case, the Respondent was the Four Seasons at the Manor Homeowners Association.

Trestle Management Group, LLC

The management company employed by the Respondent HOA to handle its operations.

An HOA Admitted It Was Wrong. The Homeowner Sued Anyway—And Lost. Here Are the Surprising Reasons Why.

Introduction: The Familiar Dread of an HOA Letter

For many homeowners, few things cause a spike of anxiety quite like a formal notice from their Homeowners Association (HOA). That crisp envelope often contains a violation notice, sparking a frustrating process of proving compliance or making unwanted changes. But what happens when you prove the HOA was completely wrong, they admit their mistake, and issue a full apology? For most, that’s the end of the story—a clear victory.

This, however, is the story of a homeowner who achieved that victory and then decided to take the HOA to a formal hearing anyway. He had been proven right, the violation was erased, and no fines were ever issued. Yet, he pursued the case and ultimately lost.

How could someone who was proven right end up losing their case? The answer reveals a critical distinction between winning an argument and winning in a court of law.

1. You Can Win the Argument, But Still Lose the Case

The initial dispute was straightforward. The homeowner, Dennis Gregory, received a courtesy notice from his HOA requesting the removal of palm trees from his front yard, which were alleged to be in violation of the community’s Covenants, Conditions, and Restrictions (CC&Rs).

Mr. Gregory disputed the violation. In response, the HOA conducted a further review and made a critical discovery: the palm trees on the property were, in fact, listed on the HOA’s own “Recommended Plant List” and were perfectly acceptable. The HOA had made a mistake. Here, however, the story takes a surprising turn. Mr. Gregory filed his formal petition for a hearing after the HOA had already admitted its error, apologized, and confirmed the issue was resolved.

This sequence of events is the crucial detail of the case. The legal dispute wasn’t about the palm trees—that argument was already won. The case was about the actions taken after the HOA’s error was acknowledged and corrected.

2. A Proactive Apology Can Be a Powerful Legal Shield

Once the HOA realized its mistake, it took several decisive steps to remedy the situation. According to the Administrative Law Judge’s findings, the HOA and its management company:

• Sent a formal apology letter to the homeowner.

• Confirmed the original courtesy notice was “deemed invalid.”

• “Removed and expunged” the violation from the homeowner’s records to preserve his good standing.

• Never issued any fines or financial penalties.

• Took action regarding personnel, as the employee who the homeowner accused of making threats was no longer with the management company by the time of the hearing.

These corrective actions had a profound legal impact. The judge found that because the HOA had already reversed its initial notice, apologized, cleared the homeowner’s record, and addressed the personnel issue, there was no longer an active dispute to rule on. The issue was considered “moot.”

This conclusion was emphasized in the judge’s final decision:

Furthermore, the preponderance of the evidence showed Respondent did not violate any rules or regulations that would facilitate any orders or sanctions once it issued the apology letter, thus making the issue moot.

3. The Law Requires Proof, Not Just Principle

The homeowner’s petition wasn’t just about the palm trees. He testified that he proceeded with the case because he felt he had been wronged by an HOA management employee during the dispute. His petition alleged the HOA had “fraudulently sent the courtesy letter,” lied about discussing the issue with board members, and even “threatened him with a lawyer.” He wasn’t just seeking to correct the record on his landscaping; he was fighting on a matter of principle.

To win his case, however, the homeowner had to meet a specific legal standard: proving his claims by “a preponderance of the evidence.” In simple terms, this means showing that his version of events was more likely to be true than not.

Ultimately, the judge concluded that the homeowner “failed to establish, by a preponderance of the evidence, that Respondent violated the CC&Rs.” This outcome highlights a crucial legal reality: tangible, documented evidence—such as a formal apology letter and an expunged record—often carries more evidentiary weight than a homeowner’s testimony about verbal statements, which can be viewed as a ‘he said, she said’ dispute without additional proof. While the homeowner may have genuinely felt wronged, his feelings could not overcome the HOA’s documented resolution.

Conclusion: A Cautionary Tale for Homeowners and HOAs

The outcome of this dispute offers a powerful lesson for both homeowners and association boards. It demonstrates three core takeaways: a dispute isn’t over until it’s legally resolved, a swift and comprehensive apology can be an effective legal defense, and a deeply felt principle must still be backed by sufficient evidence to prevail in a formal hearing.

This case serves as a fascinating reminder of the complexities of community disputes, leaving us with a final question: At what point does the fight for principle risk overshadowing a practical victory?

Case Participants

Petitioner Side

  • Dennis J Gregory (petitioner)
    Appeared and testified on own behalf

Respondent Side

  • Marc Vasquez (attorney)
    Trestle Management Group
    Appeared for Respondent; testified as vice president of Trestle
  • Annette McCraw (property manager)
    Trestle Management Group, LLC
    Issued letter on behalf of Respondent; no longer with Trestle
  • James A. Baska (management representative)
    Trestle Management Group
    Recipient of decision transmission

Neutral Parties

  • Antara Nath Rivera (ALJ)
    Office of Administrative Hearings
  • Judy Lowe (commissioner)
    Arizona Department of Real Estate
    Addressed in transmission of decision

David & Brenda Norman v. Rancho Del Lago Community Association

Case Summary

Case ID 19F-H1919051-REL
Agency ADRE
Tribunal OAH
Decision Date 2019-05-28
Administrative Law Judge Diane Mihalsky
Outcome loss
Filing Fees Refunded $0.00
Civil Penalties $0.00

Parties & Counsel

Petitioner David and Brenda Norman Counsel
Respondent Rancho Del Lago Community Association Counsel Ashley N. Moscarello

Alleged Violations

CC&Rs § 3.11(D)(1) / Common Project Guidelines § 3.11(D)(1)

Outcome Summary

The Administrative Law Judge dismissed the petition filed by David and Brenda Norman against Rancho Del Lago Community Association, finding that the Department of Real Estate did not have jurisdiction to hear the dispute, as it was essentially a conflict between neighboring owners (Petitioners and Hendersons) regarding a wall.

Why this result: The Department lacked jurisdiction over the dispute among or between owners, per A.R.S. § 32-2199.01(A)(1).

Key Issues & Findings

Alleged violation by HOA approving a block wall built by neighbors (Hendersons)

Petitioners alleged that Respondent HOA violated CC&Rs § 3.11(D)(1) by approving a block wall built by their next-door neighbors, the Hendersons, and requested the Department require the Hendersons to permit Petitioners to connect to the wall or require the Hendersons to tear the wall down.

Orders: The petition was dismissed because the Department lacked jurisdiction to hear a dispute primarily among or between owners to which the association is not a party, pursuant to A.R.S. § 32-2199.01(A)(1).

Filing fee: $0.00, Fee refunded: No

Disposition: respondent_win

Cited:

  • A.R.S. § 32-2199.01(A)(1)
  • A.R.S. § 32-2199(B)
  • A.R.S. § 33-1803
  • A.R.S. § 41-1092.07(G)(2)
  • A.A.C. R2-19-119(A)
  • A.A.C. R2-19-119(B)(1)
  • A.A.C. R2-19-119(B)(2)
  • A.R.S. § 32-2199.02(B)
  • A.R.S. § 32-2199.04
  • A.R.S. § 41-1092.09

Analytics Highlights

Topics: Jurisdiction, HOA Governance, Architectural Review Committee (ARC), Party Wall, Neighbor Dispute, CC&Rs
Additional Citations:

  • A.R.S. § 32-2199.01(A)(1)
  • A.R.S. § 32-2199(B)
  • A.R.S. § 33-1803
  • A.R.S. § 41-1092.07(G)(2)
  • A.A.C. R2-19-119(A)
  • A.A.C. R2-19-119(B)(1)
  • A.A.C. R2-19-119(B)(2)
  • A.R.S. § 32-2199.02(B)
  • A.R.S. § 32-2199.04
  • A.R.S. § 41-1092.09

Video Overview

Audio Overview

Decision Documents

19F-H1919051-REL Decision – 737050.pdf

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19F-H1919051-REL Decision – 710478.pdf

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19F-H1919051-REL Decision – 711115.pdf

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19F-H1919051-REL Decision – 710478.pdf

Uploaded 2026-01-23T17:29:06 (150.0 KB)

19F-H1919051-REL Decision – 711115.pdf

Uploaded 2026-01-23T17:29:10 (149.9 KB)

Case Briefing: Norman v. Rancho Del Lago Community Association

Executive Summary

This briefing document provides a comprehensive analysis of the Administrative Law Judge Decision in case number 19F-H1919051-REL, involving homeowners David and Brenda Norman (Petitioners) and the Rancho Del Lago Community Association (Respondent). The core of the dispute centers on the Petitioners’ allegation that the Respondent’s Architectural Review Committee (ARC) violated community guidelines by approving a wall built by the Petitioners’ neighbors, the Hendersons.

The Petitioners claimed the Henderson’s wall, constructed 6 inches inside the property line, created a situation where any wall they might build on their property would be a “closely parallel wall,” which is prohibited by the community’s Common Project Guidelines § 3.11(D)(1). They requested that the Respondent either force the Hendersons to allow the Petitioners to connect to their wall, effectively making it a shared “party wall,” or compel the Hendersons to demolish it.

The Administrative Law Judge dismissed the petition entirely. The primary legal basis for the dismissal was a lack of jurisdiction; under Arizona statute A.R.S. § 32-2199.01(A)(1), the Arizona Department of Real Estate cannot hear disputes solely between homeowners in which the association is not a party. The judge concluded this was fundamentally a neighbor-versus-neighbor conflict. Furthermore, the judge characterized the wall the Petitioners sought to build as an “archetypical spite fence” and noted that the Petitioners had failed to prove the Respondent had violated any community documents.

Case Overview

Parties and Key Entities

Name/Entity

Description

Petitioners

David and Brenda Norman

Homeowners in the Rancho Del Lago Community.

Respondent

Rancho Del Lago Community Association

The homeowners’ association (HOA) for the community.

Neighbors

The Hendersons

The Petitioners’ next-door neighbors who built the disputed wall.

Management Co.

Management Solutions

The company managing the Respondent HOA.

Witness (Respondent)

Spencer Brod

Employee of Management Solutions overseeing the Respondent’s affairs.

Administrative Law Judge

Diane Mihalsky

Presiding judge from the Office of Administrative Hearings.

Regulating Body

Arizona Department of Real Estate

State agency authorized to hear certain HOA disputes.

Adjudicating Body

Office of Administrative Hearings

Independent state agency that conducted the evidentiary hearing.

Procedural Details

Detail

Information

Case Number

19F-H1919051-REL

Petition Filed

On or about February 28, 2019

Hearing Date

May 8, 2019

Amended Decision Date

May 28, 2019

Timeline of Key Events

December 2003: The Respondent’s ARC adopts the Common Project Guidelines, which govern all exterior improvements.

March 8, 2017: The Hendersons submit an Architectural Variance Request (AVR) to extend the common wall between their property and the Petitioners’. Mrs. Norman signs the request, giving consent. The ARC approves this request.

April 27, 2017: The Hendersons submit a new AVR to build a wall extension 6 inches inside their property line, making it a private wall rather than a shared party wall. The record suggests Mrs. Norman may have rescinded her earlier approval for the common wall.

May 10, 2017: The ARC approves the Hendersons’ request to build the wall 6 inches inside their property line.

September 5, 2017: The Petitioners submit an AVR to build an 11-foot wide concrete driveway. The ARC denies the request.

Post-September 5, 2017: Despite the denial, the Petitioners construct the 11-foot wide driveway and are subsequently issued a Notice of Violation by the Respondent.

September 7, 2017: The Petitioners submit an AVR to build a wall extension on their property, positioned at least 3 feet away from the Hendersons’ wall.

October 13, 2017: The ARC approves the Petitioners’ wall extension request.

Post-October 13, 2017: The Petitioners decide not to build the approved wall, stating their contractor advised them against “giving up” the 3 feet of property that would lie between the two walls.

By November 2017: The Hendersons’ wall appears to have been constructed.

February 28, 2019: The Petitioners file a petition with the Arizona Department of Real Estate, alleging the Respondent violated community rules.

March 27, 2019: The Petitioners file a new AVR to build a wall directly on the property line. This request did not include the Hendersons’ required consent and was still pending at the time of the hearing.

Governing Documents and Key Provisions

The dispute and subsequent legal decision referenced several specific articles from the community’s Covenants, Conditions, and Restrictions (CC&Rs) and the Common Project Guidelines.

Document

Provision

Description

Article I § (p)

Defines “Party Walls” built on a property line, establishing equal right of use, joint responsibility for maintenance and repair, and a process for the Board to resolve disputes over construction or cost-sharing.

Article II § 2(a)

Requires prior written approval from the ARC for any improvements that alter the exterior appearance of a property.

Article XII § 1

Establishes the ARC, noting that its decisions are “sole, absolute and final on all matters submitted to it.”

Common Project Guidelines

Section 3.11(D)(1)

States that “Closely parallel walls shall be disapproved.” The term “closely parallel” is not defined in the guidelines. This provision was the central focus of the Petitioners’ complaint.

Common Project Guidelines

Section 4.21

Grants the ARC the right “to waive, vary, or otherwise modify any of the standards or procedures set forth herein at its discretion, for good cause shown.”

Summary of Testimony and Evidence

Testimony of Brenda Norman (Petitioner)

Motivation for Wall: Stated that she and her husband are in law enforcement and want to enclose their side yard to protect utility meters from potential vandalism.

Reason for Not Building Approved Wall: Explained that their contractor advised them it was “crazy to give up the 3’ of property” that would be inaccessible between their proposed wall and the Hendersons’ wall.

Relationship with Neighbors: Acknowledged that the Petitioners “do not get along very well with the Hendersons” and therefore never asked for their consent for a wall on the property line.

Belief Regarding Parallel Walls: Believes that if she submitted a plan for a wall just inside her property line, it would be denied under the “close parallel wall” rule.

Requested Action: Opined that the Respondent should force the Hendersons to tear down their wall because it is not uniformly 6 inches from the property line.

Testimony of Spencer Brod (for Respondent)

HOA Policy: Testified that the HOA “never gets involved in disputes between neighbors” and that it is the homeowner’s responsibility to obtain neighbor consent for common wall projects.

Party vs. Private Walls: Explained that neighbor consent is required only for “party walls” on the property line due to shared maintenance liability. The Hendersons’ wall was approved because it was on their own property and therefore not a party wall.

Enforcement and Inspection: Admitted that the Hendersons’ wall may not be uniformly 6 inches from the line but stated the Respondent has no one to perform a “thorough inspection” and had not sent a violation letter.

“Closely Parallel Walls” Interpretation: Testified that while the term is undefined, the ARC’s approval of the Petitioners’ plan for a wall 3 feet away indicates that “closely parallel” means a distance of less than 3 feet.

Petitioners’ Unauthorized Construction: Confirmed that the Respondent sent the Petitioners a Notice of Violation for building a driveway that the ARC had explicitly denied.

Administrative Law Judge’s Conclusions of Law

The judge’s decision was based on a detailed analysis of the evidence, governing documents, and relevant state law.

1. Jurisdictional Failure: The primary reason for dismissal was a lack of jurisdiction. The judge cited A.R.S. § 32-2199.01(A)(1), which explicitly states, “The department does not have jurisdiction to hear [a]ny dispute among or between owners to which the association is not a party.” The judge determined this was a quintessential neighbor dispute, not a dispute with the HOA.

2. Failure to Meet Burden of Proof: The Petitioners bore the burden of proving by a “preponderance of the evidence” that the Respondent violated its own rules. The judge found they failed to do so.

3. Characterization as a “Spite Fence”: The decision describes the wall the Petitioners wish to build as an “archetypical spite fence between neighbors who cannot agree to mutually work for the improvement of their adjacent properties.”

4. HOA’s Limited Role: The judge affirmed that neither the CC&Rs nor the Common Project Guidelines compel the HOA to mediate or resolve disputes between neighbors by taking a side.

5. Distinction of Wall Types: The analysis distinguished between a party wall on a property line, which requires neighbor consent, and a private wall built entirely on one owner’s property, which does not. The Hendersons’ wall was approved as the latter.

6. Hypothetical Outcome: A concluding footnote in the decision states that even if the Department had jurisdiction, the Petitioners had not established that Guideline 3.11(D)(1) would authorize or require the Respondent to grant the relief they requested.

Final Order

IT IS ORDERED that the petition filed by David and Brenda Norman against the Respondent, Rancho Del Lago Community Association, is dismissed. The dismissal is based on the finding that the Arizona Department of Real Estate does not have jurisdiction to hear their dispute with the Hendersons.

Study Guide: Norman v. Rancho Del Lago Community Association

This guide is designed to review the administrative legal case between homeowners David and Brenda Norman and their homeowners’ association, the Rancho Del Lago Community Association, concerning a dispute over a neighbor’s wall.

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Short-Answer Quiz

Instructions: Answer the following questions in 2-3 complete sentences, drawing only from the information provided in the case documents.

1. What was the central violation of the homeowners’ association rules alleged by the Petitioners in their February 28, 2019, petition?

2. Identify the three main groups of individuals or entities involved in the dispute: the Petitioners, the Respondent, and the neighbors.

3. According to the Respondent’s CC&Rs, what is a “Party Wall” and what primary responsibility does it create for adjacent homeowners?

4. Describe the two separate wall-related Architectural Variance Requests (AVRs) submitted by the Hendersons in March and April of 2017.

5. Why did the Architectural Review Committee (ARC) initially deny the Petitioners’ request to build a new driveway, and what was the outcome of this denial?

6. What is the role of the “Declarant” within the Rancho Del Lago Community Association, and what influence do they hold over the board and the ARC?

7. The ARC approved a wall proposal for the Petitioners on October 13, 2017. Why did the Petitioners choose not to build this approved wall?

8. According to the CC&Rs, what is the ultimate authority of the Architectural Review Committee (ARC) in rendering its decisions?

9. On what legal grounds did the Administrative Law Judge ultimately dismiss the Petitioners’ case?

10. Who bore the “burden of proof” in this hearing, and what does this legal standard require?

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Quiz Answer Key

1. The Petitioners alleged that the Respondent (the homeowners’ association) violated Section 3.11(D)(1) of the Common Project Guidelines. This section states that “closely parallel walls shall be disapproved,” and the Petitioners argued that the association violated this rule by approving the wall built by their neighbors, the Hendersons.

2. The Petitioners were homeowners David and Brenda Norman. The Respondent was the Rancho Del Lago Community Association. The neighbors, who were central to the dispute but not a party to the case, were the Hendersons.

3. A “Party Wall” is a wall situated on the property line between two or more contiguous lots. It creates a shared right of use and a joint obligation for all adjoining owners to rebuild and repair the wall at their shared expense.

4. The Hendersons first submitted an AVR on March 8, 2017, to extend the existing common party wall, for which Mrs. Norman gave consent. On April 27, 2017, they submitted a different AVR to build a new wall located entirely on their property, 6 inches inside the property line, which did not require the Normans’ consent.

5. The ARC denied the Petitioners’ September 5, 2017, request for an 11-foot wide driveway because a driveway already existed on the opposite side of the house where the garage was located. Despite the denial, the Petitioners built the driveway anyway, which resulted in the Respondent issuing them a Notice of Violation.

6. The “Declarant” is the original developer that built the subdivision. At the time of the hearing, the Respondent association was still under the control of the Declarant, who appointed all three directors of the board and was also a member of the Architectural Review Committee (ARC).

7. The Petitioners did not build the approved wall because the plan required it to be built at least 3 feet inside their property line to avoid being a party wall. Their contractor advised them they would be “crazy to give up the 3’ of property” that would lie between their new wall and the Hendersons’ wall.

8. According to Article XII, § 1 of the CC&Rs, “the decision of the [ARC] shall be sole, absolute and final on all matters submitted to it pursuant to this Declaration and/or the Design Guidelines.”

9. The judge dismissed the case due to a lack of jurisdiction. According to Arizona statute A.R.S. § 32-2199.01(A)(1), the Arizona Department of Real Estate does not have jurisdiction to hear disputes between owners to which the association is not a party. The judge framed the issue as a private dispute between the Normans and the Hendersons.

10. The Petitioners (the Normans) bore the burden of proof to establish that the Respondent violated the community rules. This standard, known as a “preponderance of the evidence,” requires presenting evidence that is more convincing and more likely true than not.

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Essay Questions

Instructions: The following questions are designed to test a deeper, more analytical understanding of the case. Formulate a comprehensive response to each prompt, citing specific facts and rules from the case documents to support your arguments.

1. Analyze the concept of a “Party Wall” versus a privately-owned wall within the context of this case. How did the distinction between these two types of walls become the central point of contention and influence the decisions made by the Hendersons, the Normans, and the ARC?

2. Discuss the powers and limitations of the Rancho Del Lago Community Association’s Architectural Review Committee (ARC) as outlined in the CC&Rs and Common Project Guidelines. How did the ARC’s discretionary authority, particularly under Section 4.21 of the guidelines, impact the events of this dispute?

3. Trace the timeline of Architectural Variance Requests (AVRs) submitted by both the Normans and the Hendersons. Evaluate how the sequence of approvals, denials, and unbuilt projects contributed to the escalation of the dispute and ultimately led to the legal hearing.

4. Explain the legal reasoning behind the Administrative Law Judge’s final decision. Why was the concept of “jurisdiction” more critical to the outcome than the merits of the Normans’ claim regarding “closely parallel walls”? Refer to the specific Arizona Revised Statute (A.R.S.) cited in the decision.

5. The judge described the potential wall the Petitioners wish to build as an “archetypical spite fence.” Based on the testimony and evidence presented in the case, argue for or against this characterization.

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Glossary of Key Terms

Definition

Administrative Law Judge (ALJ)

The official, in this case Diane Mihalsky, who presides over hearings at the Office of Administrative Hearings and renders decisions on disputes involving state agencies.

Architectural Review Committee (ARC)

A committee established by the Declarant and governed by the CC&Rs, responsible for reviewing and approving or denying any proposed improvements that alter the exterior appearance of properties within the community. Its decisions are described as “sole, absolute and final.”

Architectural Variance Request (AVR)

The formal application submitted by a homeowner to the ARC to request approval for an exterior improvement or modification to their property.

Arizona Department of Real Estate (the Department)

The state agency authorized by statute to receive and decide petitions for hearings from members of homeowners’ associations regarding violations of community documents.

CC&Rs (Covenants, Conditions, and Restrictions)

The legal documents that establish the rules, regulations, and obligations for homeowners within a planned community like Rancho Del Lago.

Closely Parallel Walls

A term from Section 3.11(D)(1) of the Common Project Guidelines that are to be disapproved. The term is not explicitly defined, but testimony suggests a wall 3 feet from another would be approved, making the threshold for “close” less than that.

Common Project Guidelines

A set of rules adopted by the ARC in December 2003 that govern all exterior improvements and provide standards for the Design Review Process. These guidelines supplement the CC&Rs.

Declarant

The original developer that built the subdivision. In this case, the Declarant still controlled the association’s Board of Directors and the ARC.

Jurisdiction

The legal authority of a court or agency to hear and decide a case. The petition was dismissed because the Department was found to lack jurisdiction over disputes solely between homeowners.

Office of Administrative Hearings

An independent state agency in Arizona where evidentiary hearings, like the one in this case, are conducted by an Administrative Law Judge.

Party Wall

As defined in the CC&Rs, a wall on the property line between contiguous lots. Owners have equal rights to use it and share joint financial responsibility for its repair and maintenance.

Petitioners

The party that initiates a legal action or petition. In this case, homeowners David and Brenda Norman.

Preponderance of the Evidence

The standard of proof required in this civil administrative hearing. It means the evidence presented must be sufficient to convince the judge that a claim is more probably true than not.

Respondent

The party against whom a petition is filed. In this case, the Rancho Del Lago Community Association.

Restrictive Covenant

A provision in a deed or community document (like a CC&R) that limits the use of the property. Arizona law holds that unambiguous restrictive covenants are enforced to give effect to the intent of the parties.

The Six-Inch Wall That Ignited a Legal Battle: 4 Shocking Lessons from a Brutal HOA War

1.0 Introduction: The Neighbor Next Door

Living next to someone is a universal experience, and it’s remarkable how quickly a small disagreement over a fence or a property line can spiral into a full-blown conflict. For two families in an Arizona HOA, what started as a plan for a backyard wall ended in a formal administrative law hearing, providing a stark case study in property law, association rules, and human nature.

This dispute, involving homeowners David and Brenda Norman and their neighbors, the Hendersons, dissects four critical lessons that challenge common assumptions about homeowner rights and association duties. Their story is a powerful cautionary tale about property lines, HOA authority, and the high cost of a neighborhood war.

2.0 Takeaway 1: The Six-Inch Difference That Changes Everything

1. A Wall on the Property Line Isn’t the Same as a Wall Near It

In property law, inches are everything. The community’s Covenants, Conditions, and Restrictions (CC&Rs) defined a “Party Wall” as a structure sitting directly on the property line between two lots. By this definition, these walls are a shared responsibility, requiring mutual consent from both homeowners for construction and shared costs for maintenance.

This distinction became the pivot on which the entire case turned. Initially, the Hendersons submitted plans to build a shared Party Wall, and the Normans gave their required consent. But then the plan changed. The Hendersons withdrew that request and submitted a new one: to build a wall located just six inches inside their own property line. The record doesn’t state definitively why the Hendersons changed their plan, though testimony suggested the Normans may have rescinded their initial consent.

This was a masterstroke of procedural navigation; by sacrificing a mere six inches of their yard, the Hendersons effectively bought the legal right to build without their neighbors’ consent, turning a potential year-long dispute into a matter of a simple ARC approval. By moving the structure entirely onto their own lot, it was no longer a “Party Wall” but their private property. While the Hendersons had successfully navigated the HOA’s rules, the Normans’ next step was to try and force the HOA to intervene directly—a move that would expose a common misunderstanding about the limits of an association’s power.

3.0 Takeaway 2: Your HOA Isn’t the Neighborhood Referee

2. The HOA’s Power to Intervene Has Surprising Limits

A common assumption among homeowners is that the HOA must mediate any and all disputes between residents. This case proves that assumption is fundamentally incorrect.

When the conflict escalated, the HOA’s position was unwavering. Spencer Brod, an employee of the association’s management company, testified that the association “never gets involved in disputes between neighbors.” Its role is to enforce community rules as they relate to the association, not to take sides in personal conflicts between homeowners.

The Administrative Law Judge presiding over the case reinforced this legal reality, citing Arizona law to clarify the limits of both the HOA’s and the state’s jurisdiction. The judge’s finding was unequivocal:

Neither the CC&Rs nor the Common Project Guidelines require Respondent [the HOA] to mediate or resolve a dispute between neighbors by taking one side or the other. A.R.S. § 32-2199.01(A)(1) provides that ‘[t]he department does not have jurisdiction to hear [a]ny dispute among or between owners to which the association is not a party.’

This finding is a crucial lesson: while an HOA enforces its governing documents, it is not a neighborhood court and cannot be compelled to referee personal disagreements.

4.0 Takeaway 3: You Can’t Demand a Neighbor Play by the Rules If You Don’t

3. Coming to the Table with Clean Hands Matters

The case contained a powerful element of irony that proved fatal to the Normans’ petition. The judge’s official Findings of Fact reveal that while demanding the HOA enforce its rules against the Hendersons, the Normans had a significant compliance issue of their own.

In September 2017, the Normans submitted a request to build an 11-foot wide concrete driveway “to provide a solid walking surface because Mrs. Norman was disabled and had difficulty walking.” While the motivation was sympathetic, the Architectural Review Committee (ARC) denied the request. Despite the denial, the Normans built the driveway anyway and were subsequently issued a Notice of Violation by the HOA.

Critically, the Normans’ own rule-breaking occurred after the Hendersons’ wall was approved. In the very midst of their dispute, while formulating a case against their neighbors, they chose to defy the ARC themselves. This is a classic illustration of the “unclean hands” doctrine. In any legal or administrative forum, one’s credibility is paramount. The Normans were asking the HOA to be a strict enforcer of rules they themselves had flagrantly violated, a position that is almost always untenable.

5.0 Takeaway 4: When a Judge Calls It a “Spite Fence”

4. The Court May Look Past the Rules and See Your Intent

Even in a hearing focused on the technicalities of CC&Rs, the underlying human motivations of the conflict did not go unnoticed. The HOA’s ARC had previously approved a plan for the Normans to build their own wall, provided it was located three feet inside their property line. They refused. Brenda Norman testified that their contractor told them they were “crazy to give up the 3’ of property.” Mrs. Norman also argued that a wall on her property would be denied as a prohibited “closely parallel wall,” but this claim was directly contradicted by the ARC’s own actions—they had already approved her wall at the three-foot distance.

The judge’s “spite fence” comment wasn’t just an observation; it was the legal culmination of the Normans’ entire pattern of behavior. Their refusal to accept an approved wall on their own property (losing 3 feet) while demanding their neighbor tear down a wall built on theirs (losing 0 feet) painted a clear picture of animosity, not a genuine need for property protection. The judge saw through the legal arguments to the core of the issue:

The wall that Petitioners testified that they must build to protect their property appears to be an archetypical spite fence between neighbors who cannot agree to mutually work for the improvement of their adjacent properties.

A “spite fence” is a legal term for a structure erected with malicious intent, where the primary purpose is not to improve one’s own property but to annoy, inconvenience, or harm a neighbor. The judge’s use of this term was a powerful signal that, in the court’s view, the dispute was no longer about property rights, but about personal animus.

6.0 Conclusion: A Wall Is a Wall, But a Neighbor Is Forever

This case is a cautionary tale written in concrete and legal filings. It shows how a dispute over six inches of soil can metastasize, fueled by a misunderstanding of HOA rules and an unwillingness to compromise, ultimately costing both parties time, money, and peace of mind. From the critical importance of a few inches of land to the defined limits of an HOA’s authority, the details matter.

Ultimately, the story of the Normans and the Hendersons serves as a powerful reminder that navigating HOA living requires a clear-eyed understanding of the actual rules, not just a sense of what seems “fair.” It leaves us with a critical question to consider.

When it comes to our homes and neighbors, is it more important to be right, or to find a way to live in peace?

Case Participants

Petitioner Side

  • David Norman (petitioner)
    Appeared telephonically on own behalf
  • Brenda Norman (petitioner)
    Testified on Petitioners' behalf

Respondent Side

  • Ashley N. Moscarello (HOA attorney)
    Goodman Law Group
    Represented Rancho Del Lago Community Association
  • Spencer Brod (property manager/witness)
    Management Solutions
    Employee of Respondent's management company; testified

Neutral Parties

  • Diane Mihalsky (ALJ)
    Office of Administrative Hearings
  • Judy Lowe (Commissioner)
    Arizona Department of Real Estate
  • Felicia Del Sol (administrative staff)
    Transmitted decision electronically

Other Participants

  • Anthony Henderson (homeowner/neighbor)
    Next-door neighbor who built the wall in dispute
  • Mabel Gummere (property manager predecessor)
    Predecessor to Spencer Brod

Michael Stoltenberg vs Rancho Del Oro Homeowners Association

Case Summary

Case ID 19F-H1918038-REL
Agency ADRE
Tribunal OAH
Decision Date 2019-04-03
Administrative Law Judge Diane Mihalsky
Outcome The Administrative Law Judge denied the petition, concluding that the HOA acted in accordance with its governing documents (CC&Rs § 4.1) by imposing uniform assessments. The CC&Rs did not provide an exception for reduced assessments based on an owner's choice of landscaping (rock yard) or refusal of HOA maintenance services.
Filing Fees Refunded $0.00
Civil Penalties $0.00

Parties & Counsel

Petitioner Michael Stoltenberg Counsel
Respondent Rancho Del Oro Homeowners Association Counsel Nicole D. Payne

Alleged Violations

CC&Rs §§ 1.8, 1.9, 2.1, 3.1, 4.1, 4.2, 4.3, 5.1, and 14.2

Outcome Summary

The Administrative Law Judge denied the petition, concluding that the HOA acted in accordance with its governing documents (CC&Rs § 4.1) by imposing uniform assessments. The CC&Rs did not provide an exception for reduced assessments based on an owner's choice of landscaping (rock yard) or refusal of HOA maintenance services.

Why this result: Petitioner failed to meet the burden of proof that the Respondent violated its CC&Rs, as CC&R § 4.1 requires uniform assessment and no provision requires or allows Respondent to assess Petitioner less due to his rock yard and refusal of maintenance.

Key Issues & Findings

HOA Assessment Uniformity Requirement

Petitioner, who had rock landscaping and refused HOA maintenance, alleged the HOA violated CC&Rs by assessing him uniform dues, arguing he should pay less since HOA expenditures on lawn maintenance were substantial and primarily benefited neighbors with grass yards.

Orders: Petitioner's petition is denied.

Filing fee: $0.00, Fee refunded: No

Disposition: respondent_win

Cited:

  • CC&Rs § 4.1
  • CC&Rs § 5.1(a)
  • A.R.S. § 32-2199(B)
  • A.R.S. § 33-1803
  • A.R.S. § 41-1092.07(G)(2)
  • Powell v. Washburn, 211 Ariz. 553
  • Vazanno v. Superior Court, 74 Ariz. 369

Analytics Highlights

Topics: HOA Assessment, Uniform Dues, CC&R Enforcement, Landscaping Maintenance
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)
  • MORRIS K. UDALL, ARIZONA LAW OF EVIDENCE § 5 (1960)
  • BLACK’S LAW DICTIONARY at page 1220 (8th ed. 1999)
  • Powell v. Washburn, 211 Ariz. 553, 556 ¶ 9, 125 P.3d 373, 376 (2006)
  • Vazanno v. Superior Court, 74 Ariz. 369, 372, 249 P.2d 837 (1952)
  • Lookout Mountain Paradise Hills Homeowners’ Ass’n v. Viewpoint Assocs., 867 P.2d 70, 75 (Colo. App. 1993)

Video Overview

Audio Overview

Decision Documents

19F-H1918038-REL Decision – 698869.pdf

Uploaded 2026-04-24T11:18:30 (141.7 KB)

19F-H1918038-REL Decision – 698869.pdf

Uploaded 2026-01-23T17:28:18 (141.7 KB)

Briefing Document: Stoltenberg v. Rancho Del Oro Homeowners Association

Executive Summary

This document synthesizes the findings from the Administrative Law Judge Decision in case number 19F-H1918038-REL, concerning a dispute between homeowner Michael Stoltenberg and the Rancho Del Oro Homeowners Association (HOA). The core conflict centered on Mr. Stoltenberg’s claim that he should pay lower HOA assessments because his property has rock landscaping, while his neighbors have grass yards requiring more costly maintenance by the HOA.

The Administrative Law Judge ultimately denied the petition. The decision rested on an unambiguous interpretation of the HOA’s Covenants, Conditions, and Restrictions (CC&Rs). The Judge found that the CC&Rs explicitly obligate the HOA to maintain landscaping on all individual lots and, crucially, require assessments to be uniform for all members to cover these “common expenses.” The petitioner’s argument for a reduced assessment was unsupported by any provision in the governing documents. Furthermore, evidence showed that Mr. Stoltenberg had actively refused the HOA access to his property to install a community irrigation system and to perform the very landscaping maintenance that is a central component of the assessments.

Case Overview

Case Number: 19F-H1918038-REL

Parties Involved:

Petitioner: Michael Stoltenberg, a homeowner at 11777 E. Calle Gaudi, Rancho Del Oro.

Respondent: Rancho Del Oro Homeowners Association (HOA).

Hearing Date: March 19, 2019

Presiding Judge: Diane Mihalsky, Administrative Law Judge

Core Allegation: On December 29, 2018, the Petitioner filed a petition alleging the HOA violated multiple sections of its CC&Rs (§§ 1.8, 1.9, 2.1, 3.1, 4.1, 4.2, 4.3, 5.1, and 14.2) by levying the same assessment fees on his property as on neighboring properties with grass lawns.

Petitioner’s Position and Evidence (Michael Stoltenberg)

The Petitioner’s case was built on the argument of fairness, contending that his assessment should be lower because his property does not utilize the HOA’s most expensive landscaping services.

Primary Argument: It is inequitable for the HOA to charge him the same amount as neighbors with grass yards, given that his front yard is rock and does not receive the same level of maintenance.

Financial Evidence: The Petitioner testified that in 2016, the HOA spent $54,000 on lawn maintenance and landscaping, which constituted 39% of its total budget.

Refusal of Services: The Petitioner acknowledged that he refused to allow the HOA access to his property for two key purposes:

1. To install irrigation pipes connecting his lot to a new community well.

2. To perform any landscape maintenance on his front yard.

Justification for Refusal: The Petitioner accused the HOA of previously killing his trees during maintenance activities and stated that he now undertakes all maintenance of his own yard.

Respondent’s Position and Evidence (Rancho Del Oro HOA)

The HOA’s defense was grounded in its adherence to the plain language of its governing documents, arguing that its actions were not only permissible but mandated by the CC&Rs.

Primary Argument: The HOA is legally bound by its CC&Rs to levy uniform assessments on all members and is simultaneously obligated to maintain the landscaping on every individual lot.

Key Testimony (Diana Crites, Property Manager):

◦ CC&R § 5.1(a) explicitly requires the HOA to maintain the yards of its members.

◦ CC&R § 4.1 requires all owners to be assessed uniformly, without regard to the type of landscaping they have chosen or whether they permit the HOA to perform its maintenance duties.

◦ The Petitioner’s property is one of eight constructed by a different developer, who did not originally install grass or an irrigation system.

◦ The HOA has since drilled a community well to address water costs and has offered to remove rock and install grass for these properties, an offer the Petitioner could accept.

Supporting Evidence (Letter from Dawn Simpson, former bookkeeper):

◦ A 2013 HOA project was initiated to install a community well for landscaping and to connect all homes, including the Petitioner’s.

◦ The letter details an incident where the Petitioner “became very heated with [the] contractor” and “declared that no one was to enter his yard for any purpose.”

◦ This action directly halted all construction to connect his property to the irrigation system and ceased all landscaping services provided by the HOA.

Analysis of Governing Documents (CC&Rs)

The judge’s decision centered on the clear, unambiguous language of specific articles within the CC&Rs. The petitioner failed to identify any language that would permit or require a non-uniform assessment.

CC&R Section

Key Language

Implication & Ruling

Article IV, Section 4.1

Assessments “shall be used for the… common benefit… of the Owners” and “shall constitute common expenses for which the apartment owners shall be severally liable in proportion to their respective common interests.”

This establishes the principle of uniform, shared liability for common expenses, regardless of an individual owner’s specific use of a particular service.

Article V, Section 5.1(a)

“The Association shall maintain… landscaping… It shall also include maintenance of the landscaping on individual Lots outside of structures.”

This article imposes a direct obligation on the HOA to maintain all members’ landscaping, not merely an optional service.

Legal Conclusions and Final Order

Burden of Proof: The decision established that the Petitioner, Mr. Stoltenberg, held the burden to prove by a “preponderance of the evidence” that the HOA had violated its CC&Rs.

Interpretation of Covenants: In Arizona, unambiguous restrictive covenants are enforced to give effect to the intent of the parties. The judge found the CC&Rs to be unambiguous, requiring a holistic interpretation. The documents clearly mandate that the HOA must maintain all yards and must assess all members equally to fund that maintenance.

Final Ruling: The Petitioner did not meet his burden of proof. He failed to point to any provision within the CC&Rs that “allows, much less requires, Respondent to assess Petitioner less because he has a rock yard and will not allow Respondent to maintain his yard.”

Order: The petition was denied. The HOA’s practice of charging uniform assessments was upheld as compliant with its governing documents.

Study Guide: Stoltenberg v. Rancho Del Oro Homeowners Association

This guide is designed to review the key facts, legal arguments, and conclusions presented in the Administrative Law Judge Decision for case number 19F-H1918038-REL, Michael Stoltenberg v. Rancho Del Oro Homeowners Association.

Short-Answer Quiz Questions

Answer the following questions in 2-3 complete sentences, based on the information provided in the case document.

1. Who are the primary parties involved in this case, and what are their respective roles?

2. What was the central allegation in the petition filed by Michael Stoltenberg with the Arizona Department of Real Estate?

3. According to the Petitioner’s testimony, what was the financial basis for his claim of unfair assessment?

4. Describe the history of the water and irrigation system issue at the Petitioner’s property prior to 2013, as detailed in Dawn Simpson’s letter.

5. What action did the Petitioner take during the 2013 well construction project, and what were the consequences of this action?

6. According to Article V, Section 5.1(a) of the CC&Rs, what specific maintenance obligation does the homeowners’ association have regarding individual lots?

7. How did Diana Crites, the HOA’s property manager, justify the uniform assessment for all homeowners based on the CC&Rs?

8. What reason did Ms. Crites provide for why eight units, including the Petitioner’s, were originally landscaped with rock instead of grass?

9. What is the legal standard of proof required in this hearing, and on which party does the burden of proof rest?

10. What was the final order of the Administrative Law Judge, and what was the core legal reasoning for this decision?

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Answer Key

1. The primary parties are Michael Stoltenberg, the “Petitioner,” and the Rancho Del Oro Homeowners Association, the “Respondent.” Mr. Stoltenberg is a homeowner and member of the HOA who filed a complaint against the association. The Respondent is the governing HOA for the Rancho Del Oro community in Yuma, Arizona.

2. The Petitioner alleged that the Respondent violated multiple sections of its Covenants, Conditions, and Restrictions (CC&Rs). His central claim was that it was unfair for the HOA to charge him the same assessment fees as his neighbors because his property has rock landscaping, while his neighbors have grass yards that require more maintenance.

3. The financial basis for his claim was the HOA’s budget. The Petitioner testified that in 2016, the Respondent spent $54,000 on lawn maintenance and landscaping, which accounted for 39% of the total budget.

4. Prior to 2013, the Petitioner made several complaints that his home was not connected to the community water system. The HOA Board’s position was that the Petitioner knew his home was not connected to the system when he purchased it.

5. During the 2013 construction to install a well and connect all homes to an irrigation system, the Petitioner became “very heated” with the contractor. He declared that no one was to enter his yard for any purpose, which halted all construction in his backyard and all landscaping provided by the HOA for his front yard.

6. Section 5.1(a) of the CC&Rs states that the Association’s maintenance duties “shall also include maintenance of the landscaping on individual Lots outside of structures.” This obligates the HOA to maintain landscaping even on privately owned lots.

7. Diana Crites testified that CC&R Section 4.1 requires all owners to be assessed uniformly. She stated this uniformity applies regardless of the type of landscaping an owner has chosen or whether they permit the HOA onto their property to perform maintenance.

8. Ms. Crites testified that the eight units were built by a different developer after the original construction and were not equipped with an irrigation system or grass. She believed rock was used in the front yards of these lots due to the high cost of water, an issue later resolved by the installation of a community well.

9. The legal standard is “a preponderance of the evidence,” which means the evidence must be convincing enough to make the contention more probably true than not. The burden of proof to establish a CC&R violation rests on the Petitioner, Mr. Stoltenberg.

10. The Administrative Law Judge denied the Petitioner’s petition. The reasoning was that the Petitioner failed to bear his burden of proof because he could not point to any provision in the CC&Rs that allows or requires the HOA to assess him less than his neighbors based on his landscaping choice or his refusal to allow maintenance.

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Essay Questions

The following questions are designed for longer-form analysis. Formulate a detailed response for each, citing specific evidence and CC&R provisions from the case document.

1. Analyze the central conflict between the Petitioner’s concept of fairness and the Respondent’s interpretation of the CC&Rs. Use specific clauses from the CC&Rs (e.g., Articles IV and V) to support the analysis of each party’s position.

2. Discuss the significance of the “preponderance of the evidence” standard in this case. How did the evidence presented by both the Petitioner (e.g., budget figures) and the Respondent (e.g., witness testimony and CC&Rs) contribute to the judge’s final decision regarding this standard?

3. Trace the history of the water and irrigation issue at the Petitioner’s property, from his initial complaints to his refusal to allow construction access. How did these past events impact the central issue of the 2019 hearing?

4. Explain the legal principle that “restrictive covenants must be construed as a whole.” How did the Administrative Law Judge apply this principle by referencing both Section 4.1 (Assessments) and Section 5.1(a) (Maintenance) of the CC&Rs to reach her conclusion?

5. Evaluate the actions of the Petitioner, Mr. Stoltenberg. Based on the evidence presented, did his own actions—specifically, denying the HOA access to his property—undermine his legal argument for a reduced assessment? Explain your reasoning using facts from the hearing evidence.

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Glossary

Definition from Source Context

Administrative Law Judge (ALJ)

An official (Diane Mihalsky) who presides over hearings at the Office of Administrative Hearings, an independent state agency, and makes decisions in matters referred by state departments like the Arizona Department of Real Estate.

Assessments

Charges levied by the homeowners’ association on its members. According to CC&R § 4.1, they are used for promoting the recreation, health, safety, and welfare of owners, including property maintenance, and are to be proportioned to each owner’s respective common interests.

Burden of Proof

The obligation of a party in a legal case to establish their claim. In this matter, the Petitioner bears the burden of proof to establish that the Respondent violated its CC&Rs.

Common Area

Defined in CC&R § 1.8 as “those portions of the Project to which title is held by the Association for the common use and enjoyment of the Owners and excepting the individual units.”

Common Expenses

Defined in CC&R § 1.9 as the “actual and estimated expenses of operating the association,” including any reasonable reserves and all sums designated as Common Expense by project documents.

Covenants, Conditions, and Restrictions (CC&Rs)

The governing documents for a planned community that outline the rules, obligations, and rights of the homeowners and the homeowners’ association.

Easements

A right of use over the property of another. CC&R § 2.1 grants every owner a “non-exclusive easement and equitable right of use and enjoyment in, to, and throughout the Common Area.”

Homeowners’ Association (HOA)

The governing body for a planned community (Rancho Del Oro Homeowners Association) whose members are the property owners within that community. It is responsible for managing common areas and enforcing the CC&Rs.

Petitioner

The party who files a petition initiating a legal action. In this case, Michael Stoltenberg, a homeowner in Rancho Del Oro.

Preponderance of the Evidence

The evidentiary standard required to win the case. The source defines it as “such proof as convinces the trier of fact that the contention is more probably true than not” and as evidence with “the most convincing force” that is “sufficient to incline a fair and impartial mind to one side of the issue rather than the other.”

Respondent

The party against whom a petition is filed. In this case, the Rancho Del Oro Homeowners Association.

Restrictive Covenant

A provision in a deed or community document that limits the use of the property. The source notes that in Arizona, an unambiguous restrictive covenant is enforced to give effect to the intent of the parties and must be construed as a whole.

He Sued His HOA Over an ‘Unfair’ Fee—The Reason He Lost Is a Warning for Every Homeowner

Introduction: The HOA Fee Frustration

For many homeowners, the monthly or annual bill from the Homeowners Association (HOA) can be a source of constant frustration. It’s easy to look at the line items—landscaping, pool maintenance, common area repairs—and wonder if you’re truly getting your money’s worth, especially when you feel you aren’t using a particular service.

This was exactly the position of Michael Stoltenberg, a homeowner in Arizona who believed he had an open-and-shut case to lower his HOA fees. His argument seemed logical, fair, and simple. But the ultimate ruling in his case, Stoltenberg v. Rancho Del Oro Homeowners Association, reveals some surprising and crucial truths about how HOA rules actually work and serves as a powerful lesson for every person living in a planned community.

Takeaway 1: You Pay for the Service, Even If You Actively Refuse It

Michael Stoltenberg’s argument was straightforward: his front yard was landscaped with rocks, while his neighbors had grass. He pointed out that in 2016, lawn maintenance accounted for a significant 39% of the HOA’s total budget. He argued it was fundamentally unfair for him to pay the same assessment as his neighbors when he wasn’t consuming this costly service.

His sense of unfairness was rooted in the history of the development. His home was one of eight built by a different developer than the rest of the community. Likely due to high water costs at the time, these eight lots were constructed without irrigation systems or grass. From the very beginning, his property was different. This context makes the crucial twist in the case all the more telling. In 2013, the HOA undertook a community-wide project to drill a new well and install an irrigation system, an effort designed to rectify the inconsistency and bring these outlier properties up to the community standard. When the construction reached Stoltenberg’s property, he refused the workers access.

Testimony from the HOA’s former bookkeeper laid this fact bare:

At this time, [Petitioner] declared that no one was to enter his yard for any purpose. This was also to include his front yard. This halted all construction that was currently in place in his back yard, and all landscaping being provided by the HOA for the front yard.

Legally, this transformed the situation. Stoltenberg’s complaint was no longer about a service he didn’t need, but about a service he actively rejected. This case establishes a critical principle: HOA assessments are tied to your property ownership and membership in the community, not your individual consumption of services. By refusing the service, Mr. Stoltenberg did not absolve himself of the cost associated with its availability to the community.

Takeaway 2: “Common Benefit” Isn’t the Same as “Your Personal Benefit”

The legal foundation for the HOA’s position rested in the language of its Covenants, Conditions, and Restrictions (CC&Rs). Specifically, Section 4.1 states that assessments are to be used for the “common benefit, and enjoyment of the Owners.”

In an HOA context, “common benefit” is a broad concept. It means that well-maintained landscaping throughout the entire neighborhood enhances curb appeal, creates a cohesive community aesthetic, and supports the property values of all residents. This includes Mr. Stoltenberg, whose home value is supported by the beautiful, uniform appearance of the neighborhood, regardless of whether his specific yard has grass. It’s the same reason a homeowner without children still pays for the upkeep of a community playground; the amenity benefits the community as a whole.

Further testimony reinforced this point. The HOA’s property manager stated that the association was still willing to remove the rock and install grass on his property, just as they had already done for two other homeowners in a similar situation. The benefit was available to him; he simply continued to refuse it.

Takeaway 3: The Rules Are a Package Deal, Not an A La Carte Menu

Ultimately, the Administrative Law Judge’s role was not to rule on a general sense of fairness but to enforce the community’s governing documents as written. When examined together, two key clauses in the CC&Rs created a contractual vise, leaving the judge with no other legal option. The two clauses created a perfect, inescapable loop.

Section 5.1(a): This clause states the HOA has an obligation that “shall also include maintenance of the landscaping on individual Lots outside of structures.” The HOA wasn’t just permitted to do the work; it was contractually required to.

Section 4.1: This clause, which also defines assessments as being for the “common benefit,” requires that they “shall constitute common expenses for which the apartment owners shall be severally liable in proportion to their respective common interests.”

The documents legally obligated the HOA to maintain all yards and to charge every owner the same proportional amount for doing so. The CC&Rs provided no mechanism for a homeowner to opt-out of a service and receive a corresponding discount. The judge’s final ruling was decisive, emphasizing the absolute nature of this contractual obligation:

Because Petitioner has not pointed to any CC&R that allows, much less requires, Respondent to assess Petitioner less because he has a rock yard and will not allow Respondent to maintain his yard, Petitioner has not borne his burden in this matter.

Conclusion: The Contract You Live In

The case of Michael Stoltenberg is a powerful reminder that an HOA’s CC&Rs are not just a set of neighborhood rules; they are restrictive covenants that run with the land. When you buy the property, you are irrevocably buying into the contract that governs it. These documents are designed to prioritize the uniform application of standards for the collective good, and they supersede an individual’s personal preferences or interpretation of what seems “fair.”

This case forces every potential buyer to ask a critical question: Are you simply purchasing a dwelling, or are you prepared to become a party to the binding legal contract that governs the entire community?

Case Participants

Petitioner Side

  • Michael Stoltenberg (Petitioner)

Respondent Side

  • Rancho Del Oro Homeowners Association (Respondent Entity)
    Entity, not human
  • Nicole D. Payne (HOA Attorney)
    Carpenter, Hazlewood, Delgado & Bolen LLP
    Represented Respondent
  • Diana Crites (Property Manager/Witness)
    Property manager for Respondent; testified
  • Dawn Simpson (Former Bookkeeper/Witness)
    Former bookkeeper for Respondent; provided a letter/testimony regarding history
  • Lydia A. Peirce Linsmeier (HOA Attorney)
    Carpenter, Hazlewood, Delgado & Bolen LLP
    Received transmission of the Order

Neutral Parties

  • Diane Mihalsky (ALJ)
  • Judy Lowe (ADRE Commissioner)
    Arizona Department of Real Estate
    Received transmission of the Order
  • Felicia Del Sol (Administrative Staff)
    Transmitted the decision

Linda Curtin vs. The Ridge at Diamante del Lago Homeowners

Case Summary

Case ID 19F-H1918034-REL
Agency ADRE
Tribunal OAH
Decision Date 2019-03-05
Administrative Law Judge Diane Mihalsky
Outcome Petitioner established that Respondent violated A.R.S. § 33-1805(A) by failing to provide access to requested association records within the statutory ten-day period. The petition was granted and Respondent was ordered to reimburse the $500.00 filing fee.
Filing Fees Refunded $500.00
Civil Penalties $0.00

Parties & Counsel

Petitioner Linda Curtin Counsel
Respondent The Ridge at Diamante del Lago Homeowners Association, Inc. Counsel

Alleged Violations

A.R.S. § 33-1805(A)

Outcome Summary

Petitioner established that Respondent violated A.R.S. § 33-1805(A) by failing to provide access to requested association records within the statutory ten-day period. The petition was granted and Respondent was ordered to reimburse the $500.00 filing fee.

Key Issues & Findings

Failure to provide timely access to association financial records

Petitioner filed a single-issue petition alleging Respondent violated CC&Rs § 4.8 and A.R.S. § 33-1805 by refusing to make available association records or to produce a receipt identifying a contractor and the amount paid for a cinderblock wall built by the community’s clubhouse.

Orders: The petition was granted because Respondent violated A.R.S. § 33-1805(A) by failing to provide access to records within ten days of Petitioner’s September 12, 2018 request. Respondent was ordered to reimburse the $500.00 filing fee.

Filing fee: $500.00, Fee refunded: Yes

Disposition: petitioner_win

Cited:

  • A.R.S. § 33-1805(A)
  • CC&R § 4.8

Analytics Highlights

Topics: HOA Records, Record Inspection, Timely Disclosure, Statutory Violation, Filing Fee Reimbursement
Additional Citations:

  • A.R.S. § 33-1805(A)
  • CC&R § 4.8
  • 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)

Video Overview

Audio Overview

Decision Documents

19F-H1918034-REL Decision – 692859.pdf

Uploaded 2026-04-24T11:18:05 (151.9 KB)

19F-H1918034-REL Decision – 692859.pdf

Uploaded 2026-01-23T17:28:04 (151.9 KB)

Briefing Document: Curtin v. The Ridge at Diamante del Lago HOA

Executive Summary

This briefing document analyzes the Administrative Law Judge (ALJ) Decision in case number 19F-H1918034-REL, a dispute between homeowner Linda Curtin and The Ridge at Diamante del Lago Homeowners Association, Inc. (HOA). The central conflict arose from the HOA’s failure to provide financial records related to a small construction project within the timeframe mandated by Arizona law.

The petitioner, Ms. Curtin, alleged that the HOA violated its own Covenants, Conditions, and Restrictions (CC&Rs) and Arizona Revised Statutes (A.R.S.) § 33-1805 by not producing an invoice for a $1,000 cinderblock wall project at the community clubhouse. While the HOA did eventually provide the requested records, the ALJ found that it failed to do so within the legally required ten-day period following Ms. Curtin’s formal written request on September 12, 2018.

Consequently, the ALJ granted the petition in favor of Ms. Curtin, ruling that the HOA was in violation of A.R.S. § 33-1805(A). The HOA was ordered to reimburse Ms. Curtin for her $500 petition filing fee. However, the ALJ dismissed all of the petitioner’s ancillary complaints, including suspicions of forgery, concerns about the contractor’s licensing status, and other issues of HOA governance, deeming them either unsubstantiated or outside the narrow scope of the single-issue petition. The ruling underscores the strict procedural compliance required of HOAs regarding member record requests while limiting the scope of such legal challenges to the specific violations alleged.

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I. Case Overview

Case Number: 19F-H1918034-REL

Forum: Arizona Office of Administrative Hearings

Petitioner: Linda Curtin (“Complainant”), a homeowner and HOA member.

Respondent: The Ridge at Diamante del Lago Homeowners Association, Inc. (“HOA”), represented by Community Manager Tracy Schofield.

Administrative Law Judge: Diane Mihalsky

Core Allegation: The HOA violated its governing documents and state law by failing to make association records available to a member upon request. Specifically, the petitioner sought a receipt and contractor details for a cinderblock wall built at the community clubhouse.

II. Governing Rules and Statutes

The case centered on the interpretation and enforcement of the HOA’s internal rules and a specific Arizona statute governing planned communities.

Rule/Statute

Key Provision

CC&R § 4.8

Requires the HOA Board to keep “true and correct records of account in accordance with generally accepted accounting principles” and to make such books and records available for inspection by all owners upon request during normal business hours.

A.R.S. § 33-1805(A)

Mandates that all financial and other association records be made “reasonably available for examination” by any member. The statute explicitly requires the association to fulfill a request for examination within ten business days. A similar ten-day deadline applies for providing copies of records.

The respondent did not claim any legal privilege under A.R.S. § 33-1805(B) that would permit it to withhold the requested documents.

III. Chronology of the Dispute

The conflict unfolded over several months, beginning with an informal inquiry and escalating to a formal legal petition.

August 1, 2018: Petitioner Linda Curtin first emails Community Manager Tracy Schofield for a contractor recommendation.

August 2 – September 11, 2018: In a subsequent email exchange, Ms. Curtin asks who built the garbage can walls at the clubhouse. Ms. Schofield provides the name “Roberto” but is unable to provide a contact number, stating that the Board’s Treasurer, Jim Mackiewicz, had arranged the work. The petitioner later characterized this exchange as “evasive.”

September 12, 2018: Ms. Curtin sends a formal written letter requesting “a copy of the invoice submitted to The Ridge HOA” for the wall construction. This action officially started the ten-day clock under A.R.S. § 33-1805(A).

September 24, 2018: Ms. Schofield responds, stating that she does not have the invoices at her office as records are retained “in the community.” She provides a printout of payments made to contractor Gualberto Castro, which includes a $1,000 check dated November 1, 2017, for “Block work – clubhouse.”

November 5, 2018: Ms. Curtin requests that the invoice be brought to that day’s HOA board meeting. The document is not provided.

November 28, 2018: After making an additional 15 phone calls regarding related meeting minutes without a satisfactory response, Ms. Curtin files a single-issue petition with the Arizona Department of Real Estate.

December 10, 2018: The HOA files its answer, claiming the issue has been resolved. On the same day, Ms. Schofield emails the contractor’s invoice to Ms. Curtin. The invoice, from ValleyWide Custom Painting Inc. and dated November 2, 2017, details the $1,000 job.

December 11, 2018: Ms. Curtin requests additional documents, including a copy of the cashed check and the Architectural Control Committee (ACC) application for the project. Ms. Schofield is reported to have stated that ACC approval was not applicable to work on common areas.

Post-December 11, 2018: Ms. Schofield eventually provides a copy of the cancelled check for $1,000 made payable to Mr. Castro.

February 20, 2019: An evidentiary hearing is held before the ALJ.

IV. Analysis of Evidence and Arguments

A. Petitioner’s Position

Ms. Curtin’s case was built on the initial failure to produce records and expanded to include broader suspicions about the HOA’s conduct.

Primary Claim: The HOA violated state law by failing to fulfill her September 12, 2018 request for records within the ten-day statutory period.

Suspicions about Documentation: The petitioner expressed dissatisfaction with the documents eventually provided. She opined that the November 2, 2017 receipt “appeared to have two different kinds of handwriting and might be a forgery.” She also pointed to the fact that the check for payment was dated one day before the invoice date.

Ancillary Governance Concerns: Ms. Curtin raised several issues beyond the scope of her petition, including:

◦ The contractor, Mr. Castro, was not licensed as required by the Registrar of Contractors.

◦ The Board meeting minutes did not show authorization for the $1,000 expenditure.

◦ The HOA’s ACC approval process was not followed for the wall.

◦ A separate, unrelated $125,000 pool remodel project was approved improperly (this was refuted by Ms. Schofield’s testimony that it required a membership vote).

B. Respondent’s Position

The HOA, through Ms. Schofield, acknowledged the delay but argued it had ultimately complied and faced logistical constraints.

Eventual Compliance: The HOA’s primary defense was that it eventually provided all the documents in its possession related to the expenditure, thereby resolving the complaint.

Logistical Challenges: Ms. Schofield testified that she is an off-site community manager for numerous associations and does not keep records in her office. She stated that the HOA’s records are stored “in the community” at a separate depository.

Commitment to Future Compliance: Ms. Schofield testified that for any future requests, she would schedule a time for the petitioner to review records at the depository within the ten-day window.

Communication: Ms. Schofield maintained that she “communicated with Petitioner on every issue” and provided what information she had available.

V. Administrative Law Judge’s Decision and Rationale

The ALJ’s decision was narrowly focused on the statutory violation, setting aside the petitioner’s other grievances.

A. Conclusions of Law

1. Violation Confirmed: The judge concluded that the petitioner successfully established by a preponderance of the evidence that the HOA violated A.R.S. § 33-1805(A). The HOA “acknowledged that it did not provide the documents or provide access to Petitioner to view the documents within ten days of Petitioner’s September 12, 2018 request.”

2. Scope of Relief Limited: The ALJ determined that the statute only requires that records be kept and made available in a timely manner. The law “has not authorized the Department… that HOAs produce records that satisfy all of a members’ stated concerns.”

3. Ancillary Claims Dismissed: The judge explicitly rejected the petitioner’s broader concerns, stating: “Petitioner’s concern with ‘transparency’ and dissatisfaction and suspicions about the records that were eventually provided do not entitle her to any additional relief in this forum.” The forgery claim was dismissed for lack of evidence, as Ms. Curtin did not present the opinion of a handwriting expert. The issues related to contractor licensing and internal HOA procedures were deemed outside the jurisdiction of the hearing for an HOA petition.

B. Recommended Order

Based on the findings, the ALJ issued a two-part order:

1. Petition Granted: The petition was granted on the grounds that Ms. Curtin had proven the HOA violated A.R.S. § 33-1805(A).

2. Reimbursement of Filing Fee: The HOA was ordered to reimburse the petitioner the $500.00 she paid to file the single-issue petition.

The order, issued on March 5, 2019, was declared binding on both parties unless a request for rehearing was filed within 30 days.

Study Guide: Curtin v. The Ridge at Diamante del Lago Homeowners Association, Inc.

This guide provides a detailed review of the Administrative Law Judge Decision in case number 19F-H1918034-REL, involving Petitioner Linda Curtin and Respondent The Ridge at Diamante del Lago Homeowners Association, Inc. It includes a quiz with an answer key to test comprehension, a set of essay questions for deeper analysis, and a glossary of key terms.

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Short-Answer Quiz

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

1. Who are the primary parties involved in this case and what are their respective roles?

2. What was the central allegation in the single-issue petition filed by Linda Curtin on November 28, 2018?

3. Which specific Arizona Revised Statute and CC&R section did the Petitioner claim the Respondent violated?

4. How did the HOA, through its community manager, initially attempt to resolve the records request that led to the petition?

5. What additional documents did Ms. Curtin request after receiving the contractor’s invoice on December 10, 2018?

6. What were Ms. Curtin’s specific suspicions and complaints regarding the quality and validity of the documents she eventually received?

7. What was Community Manager Tracy Schofield’s testimony regarding her role and the location of the association’s records?

8. According to the “Conclusions of Law,” what is the primary requirement of A.R.S. § 33-1805(A) regarding member requests for records?

9. On what specific point did the Administrative Law Judge find that the Respondent had violated the statute?

10. What was the final Recommended Order issued by the Administrative Law Judge in this case?

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Answer Key

1. The primary parties are Linda Curtin, the Petitioner and a homeowner, and The Ridge at Diamante del Lago Homeowners Association, Inc., the Respondent. Tracy Schofield appeared for the HOA as its Community Manager, and Diane Mihalsky served as the Administrative Law Judge.

2. The central allegation was that the HOA violated its own rules and state law by refusing to make association records available. Specifically, Ms. Curtin sought a receipt identifying the contractor and the amount paid for a cinderblock wall built by the community clubhouse.

3. The Petitioner claimed the Respondent violated CC&R § 4.8, concerning the keeping and availability of accounting records, and A.R.S. § 33-1805, which governs the examination of association records by members.

4. On September 24, 2018, Ms. Schofield responded to Ms. Curtin’s written request by stating she did not have invoices at her office. She did, however, provide a printout of payments made to the contractor, Gaulberto Castro, which included a $1,000.00 payment for “Block work – clubhouse.”

5. After receiving the invoice, Ms. Curtin requested a copy of the cashed check (front and back), the payee’s mailing address, and the completed Architectural Control Committee Application for the project, including the contractor’s address, license number, and insurance company.

6. Ms. Curtin complained that the contractor, Mr. Castro, was not licensed and that the job did not meet the exemption requirements for the Registrar of Contractors. She also opined that the receipt from November 2, 2017, appeared to be a forgery with two different kinds of handwriting.

7. Ms. Schofield testified that she is not an onsite manager, works for numerous associations, and does not keep any association records in her office. She stated that for future requests, she would schedule a time for Ms. Curtin to view the records at the Respondent’s records depository.

8. The primary requirement of A.R.S. § 33-1805(A) is that all financial and other records of an association must be made reasonably available for examination by any member. The statute mandates that the association has ten business days to fulfill a request for examination or to provide copies.

9. The Judge found that the Respondent violated A.R.S. § 33-1805(A) because, while it eventually provided all documents in its possession, it failed to provide the documents or access to them within the statutorily required ten-day period following Ms. Curtin’s September 12, 2018 request.

10. The Judge ordered that the Petitioner’s petition be granted because she established the violation of A.R.S. § 33-1805(A). The Judge further ordered that the Respondent reimburse Ms. Curtin the $500.00 she paid to file her single-issue petition.

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Essay Questions

Instructions: The following questions are designed to encourage a deeper analysis of the case. Formulate comprehensive responses using only the evidence and legal reasoning presented in the source document.

1. Analyze the timeline of communication between Linda Curtin and Tracy Schofield, from the initial informal inquiry on August 1, 2018, to the formal petition. How did the nature of the requests and the quality of the responses contribute to the escalation of the dispute?

2. Discuss the legal standard of “preponderance of the evidence” as it is defined and applied in this case. Explain how the Administrative Law Judge used this standard to find the Respondent in violation of the ten-day rule while simultaneously dismissing the Petitioner’s other concerns about transparency and forgery.

3. The Petitioner raised several issues during the hearing that were not part of her original single-issue petition, such as the contractor’s licensing status, the lack of Board meeting minutes authorizing the project, and a proposed $125,000 pool remodel. Why did the Administrative Law Judge deem these points irrelevant to the final decision?

4. Evaluate the responsibilities of a Homeowners Association regarding record-keeping and member access as outlined in CC&R § 4.8 and A.R.S. § 33-1805(A). Based on the testimony and evidence, describe the specific procedural failures of The Ridge at Diamante del Lago HOA in this matter.

5. The Judge’s decision explicitly states that the Petitioner’s “dissatisfaction and suspicions about the records that were eventually provided do not entitle her to any additional relief in this forum.” Explore the distinction the ruling makes between a procedural violation (timeliness of access) and the substantive content or perceived legitimacy of the records themselves.

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Glossary of Key Terms

Definition

Administrative Law Judge (ALJ)

An independent judge who presides over administrative hearings. In this case, Diane Mihalsky of the Office of Administrative Hearings served as the ALJ.

A.R.S. § 33-1805

An Arizona Revised Statute requiring that all financial and other records of a homeowners association be made reasonably available for examination by any member within ten business days of a request.

Complainant

An alternative term used in the document to refer to the Petitioner, Linda Curtin.

Covenants, Conditions, and Restrictions (CC&Rs)

The governing documents that create and define the rules for a planned community. In this case, CC&R § 4.8, which deals with accounting records, was cited.

Department (The)

Refers to the Arizona Department of Real Estate, the state agency authorized to receive and decide petitions for hearings from HOA members and HOAs.

Evidentiary Hearing

A formal proceeding where evidence is presented and testimony is given before an administrative law judge to resolve a factual dispute. The hearing in this case took place on February 20, 2019.

Homeowners’ Association (HOA)

An organization in a planned community that creates and enforces rules for the properties and its members. The Respondent is The Ridge at Diamante del Lago Homeowners Association, Inc.

Office of Administrative Hearings (OAH)

An independent state agency in Arizona that conducts evidentiary hearings for other state agencies, such as the Department of Real Estate.

Petitioner

The party who files a petition initiating a legal action. In this case, the Petitioner is Linda Curtin, a homeowner and member of the Respondent HOA.

Preponderance of the Evidence

The standard of proof required in this case, defined as evidence that is more convincing and has greater weight, inclining an impartial mind to one side of the issue rather than the other. The Petitioner bears this burden of proof.

Respondent

The party against whom a petition is filed. In this case, the Respondent is The Ridge at Diamante del Lago Homeowners Association, Inc.

Restrictive Covenants

Legal obligations imposed in a deed upon the buyer of real estate. The document notes that if unambiguous, they are enforced to give effect to the intent of the parties.

Transparency as a Requirement: A $500 Lesson for Arizona HOAs

1. Introduction: The Price of Delay and the Statutory Hammer

In the realm of Arizona homeowners’ associations, transparency is often treated by boards as a courtesy rather than a mandate. However, the case of Linda Curtin vs. The Ridge at Diamante del Lago Homeowners Association, Inc. serves as a stark reminder that the law provides homeowners with a powerful "statutory hammer" to compel accountability.

What began as a simple request for a contractor’s receipt for a small masonry project—a $1,000 cinderblock garbage enclosure—escalated into a formal administrative hearing. Despite the HOA’s eventual production of the documents and their claim that the matter was "resolved," the Administrative Law Judge (ALJ) delivered a $500 lesson in the importance of deadlines. This case proves that the Arizona Department of Real Estate (ADRE) is a viable, high-leverage forum for individual owners to level the playing field against well-funded boards.

2. Your Right to Audit the Paper Trail: Understanding A.R.S. § 33-1805

Arizona law provides homeowners with a clear, non-negotiable right to inspect the financial records of their association. Whether it is through state statute or the community’s own governing documents, the "10-day rule" is the gold standard for transparency.

The following table outlines the balance of power established under A.R.S. § 33-1805(A) and CC&R § 4.8:

HOA Obligations (The Mandate) Member Rights (The Leverage)
Must maintain true and correct records of account using generally accepted accounting principles. The right to inspect all financial and other records upon request.
Must provide reasonable detail regarding all expenses incurred and funds accumulated. The right to designate a representative in writing to review materials.
Must fulfill requests or provide copies within ten business days. The right to obtain copies for a fee of no more than $0.15 per page.
Must make records available during normal business hours. The right to review records without being charged for the association’s time.

The ten business day deadline is the most critical component. In the eyes of the law, "eventually" is a violation.

3. Case Study: Evasion and the "Day-After" Invoice

The dispute at The Ridge at Diamante del Lago began on August 1, 2018, when Ms. Curtin sought the identity of the contractor responsible for a $1,000 wall project. The ensuing timeline illustrates a pattern of "evasive" communication that frequently plagues HOA-member relations:

  • August – September 2018: The Community Manager initially claimed she did not know the contractor, then provided only a first name ("Roberto"), and finally claimed she could not obtain his phone number, directing the homeowner to the Board Treasurer instead.
  • September 12, 2018: Ms. Curtin sent a formal written request for the invoice.
  • September 24, 2018: The Manager claimed she did not have the records because they were kept "in the community" rather than at her office.
  • The Date Discrepancy: When a payment report was finally provided, Ms. Curtin noticed a glaring red flag: the check to the contractor was dated November 1, 2017, but the invoice was dated November 2, 2017.

This "day-after" invoice fueled the Petitioner’s suspicion of forgery and mismanagement. Seeking clarity, she petitioned the ADRE for:

  • The original contractor invoice.
  • A copy of the cancelled check (front and back).
  • The contractor’s contact info, license number, and insurance details.

4. The Administrative Ruling: The Myth of the "Resolved" Dispute

When the HOA finally produced the documents in December 2018—well past the deadline—they argued the case should be dismissed because the issue was "resolved." The Administrative Law Judge disagreed, focusing on the procedural violation of the 10-day rule.

The Failed "Non-Profit" Defense

In a notable attempt to evade the statute, the HOA argued that Title 33 did not apply to them because they were a non-profit organization. The ALJ flatly rejected this, confirming that the Department of Real Estate has clear jurisdiction over such disputes. HOAs cannot hide behind their corporate status to circumvent state transparency laws.

Findings of Law

The Judge’s logic in Conclusions of Law #6 and #7 was surgical:

  1. Timing is Everything: While the HOA did provide the documents eventually, their failure to do so within the ten business day window starting from the September 12 request constituted a legal violation.
  2. Narrow Scope: The ALJ dismissed the Petitioner’s claims regarding contractor licensing and forgery, noting the ADRE’s role is strictly to enforce HOA statutes, not to adjudicate Registrar of Contractors issues. However, the procedural victory remained.

5. Financial and Legal Consequences

The ADRE, through the Office of Administrative Hearings, serves as an essential forum for homeowners who are being stonewalled by their boards.

The Recommended Order was a definitive win for homeowner rights:

  • The Petitioner’s request was granted due to the statutory violation.
  • The Respondent (the HOA) was ordered to reimburse the Petitioner’s $500.00 filing fee.

This fee-shifting mechanism is vital. It ensures that when an HOA forces a member to file a petition just to see a basic receipt, the HOA—and by extension, the community’s budget—bears the cost of that recalcitrance.

6. Key Takeaways for Homeowners and Boards

For Homeowners: Protecting Your Rights
  1. Start the Clock: Always submit record requests in writing (email and certified mail) to establish the exact start date of the 10-day window.
  2. Be Granular: Specifically request "the invoice and cancelled check (front and back)" rather than general "information."
  3. Leverage the Discrepancies: If dates don't align (like the Nov 1 vs. Nov 2 issue), document it. Even if the Judge cannot rule on "forgery," these facts prove your request was reasonable and necessary.
For HOA Boards & Managers: Avoiding the $500 Penalty
  • The "Knowledge of Agent" Rule: Boards are legally responsible for their managers. A manager claiming "I don't have the records in my office" is not a valid legal excuse.
  • Location Does Not Pause the Clock: Storing records "in the community" or at a Treasurer’s house does not exempt the Board from the 10-day deadline.
  • Stop the Evasion: Providing only a first name or claiming a lack of contact info for a paid contractor is seen by the court as evasive. If you paid a vendor $1,000 of the members' money, you must produce the paper trail immediately.

7. Conclusion: Building a Better Community

Transparency is the bedrock of a healthy association. As the Administrative Law Judge noted, the ultimate goal is for members and boards to move past "concerns and suspicions to cooperatively build a better community."

However, that cooperation can only exist when boards recognize that transparency is not a choice—it is a legal mandate. For Arizona HOAs, the lesson is clear: respect the 10-day rule, or be prepared to pay the price for your delay.

Case Participants

Petitioner Side

  • Linda Curtin (petitioner)
    Also referred to as 'Complainant'; testified on her own behalf

Respondent Side

  • Tracy Schofield (community manager)
    The Ridge at Diamante del Lago Homeowners Association
    Appeared for Respondent and testified as Community Manager
  • Jim Mackiewicz (board member)
    The Ridge at Diamante del Lago Homeowners Association
    Board Treasurer
  • Mitch Kellogg (statutory agent)
    The Ridge at Diamante del Lago Homeowners Association, Inc.

Neutral Parties

  • Diane Mihalsky (ALJ)
    Office of Administrative Hearings
  • Judy Lowe (Commissioner)
    Arizona Department of Real Estate

Other Participants

  • Gualberto Castro (contractor)
    Gualberto Stucco & Repairs
    Contractor involved in the disputed work
  • Felicia Del Sol (administrative staff)
    Transmitted decision electronically

N. Wayne Dwight, Jr. vs.

Case Summary

Case ID 19F-H1918027-REL
Agency ADRE
Tribunal OAH
Decision Date 2019-01-29
Administrative Law Judge Diane Mihalsky
Outcome The Administrative Law Judge denied the petition, finding that the HOA Board had the authority under the CC&Rs and related documents to remove non-Board ARC members and appoint itself to perform the functions of the ARC, thus validating its approval of the homeowner's detached garage application.
Filing Fees Refunded $0.00
Civil Penalties $0.00

Parties & Counsel

Petitioner N. Wayne Dwight, Jr. Counsel
Respondent Whisper Mountain Homeowners Association Counsel Troy B. Stratman, Esq.

Alleged Violations

CC&Rs §§ 3.2 and 7.7

Outcome Summary

The Administrative Law Judge denied the petition, finding that the HOA Board had the authority under the CC&Rs and related documents to remove non-Board ARC members and appoint itself to perform the functions of the ARC, thus validating its approval of the homeowner's detached garage application.

Why this result: The Petitioner failed to establish by a preponderance of the evidence that the Respondent violated CC&Rs §§ 3.2 or 7.7. The Board, having assumed the developer's rights, was authorized to remove and appoint ARC members.

Key Issues & Findings

Alleged violation of CC&Rs regarding ARC dissolution and architectural approval authority.

Petitioner alleged that the HOA Board violated CC&Rs §§ 3.2 and 7.7 by dissolving the ARC and then acting as the ARC to approve a modification (detached garage) for a homeowner.

Orders: Petitioner's petition was denied because he failed to establish that CC&Rs §§ 3.2 or 7.7 prohibited the Respondent HOA from replacing non-Board ARC members, appointing its own members to act as the ARC, or approving the detached garage application.

Filing fee: $0.00, Fee refunded: No

Disposition: respondent_win

Cited:

  • A.R.S. § 32-2199(B)
  • A.R.S. § 33-1803
  • A.R.S. § 41-1092.07(D)
  • 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)

Analytics Highlights

Topics: HOA, ARC, CC&Rs, Board Authority, Architectural Review
Additional Citations:

  • A.R.S. § 32-2199(B)
  • A.R.S. § 33-1803
  • A.R.S. § 41-1092.07(D)
  • 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)

Video Overview

Audio Overview

Decision Documents

19F-H1918027-REL Decision – 685758.pdf

Uploaded 2026-04-24T11:17:21 (194.8 KB)

19F-H1918027-REL Decision – 685758.pdf

Uploaded 2026-01-23T17:27:25 (194.8 KB)

Administrative Law Judge Decision Briefing: Dwight vs. Whisper Mountain HOA

Executive Summary

This document summarizes the Administrative Law Judge (ALJ) decision in case number 19F-H1918027-REL, concerning a dispute between homeowner N. Wayne Dwight, Jr. (“Petitioner”) and the Whisper Mountain Homeowners Association (“Respondent”). The Petitioner alleged that the HOA Board violated the community’s Covenants, Conditions, and Restrictions (CC&Rs) by suspending the Architectural Review Committee (ARC) and subsequently approving a homeowner’s construction application.

The ALJ denied the petition in its entirety, finding that the HOA Board acted within its authority. The decision established that upon the departure of the original developer (the “Declarant”), the Board inherited the Declarant’s full rights and responsibilities, including the power to both appoint and remove members of the ARC. The Judge explicitly rejected the Petitioner’s argument that ARC members held lifetime appointments, deeming such an interpretation contrary to the democratic principles of HOA governance. Consequently, the Board’s decision to remove the non-Board ARC members and appoint itself to serve as the ARC was ruled a valid exercise of its powers, and its subsequent approval of the construction application was not a violation of the CC&Rs.

Case Overview

Entity

Petitioner

N. Wayne Dwight, Jr. (Homeowner and former ARC member)

Respondent

Whisper Mountain Homeowners Association (HOA)

Adjudicator

Administrative Law Judge Diane Mihalsky

Case Number

19F-H1918027-REL

Hearing Date

January 14, 2019

Decision Date

January 29, 2019

Core Allegation

The Petitioner alleged that the Respondent’s Board violated two sections of the CC&Rs:

1. § 7.7 (Improvements and Alterations): By approving a homeowner’s application to build a detached garage on September 19, 2018, without the approval of a properly constituted ARC.

2. § 3.2 (Appeal): By creating a situation where the body making an architectural decision (the Board acting as the ARC) is the same body that would hear an appeal of that decision, rendering the appeal process meaningless.

This was based on the Petitioner’s central claim that the Board’s action on August 6, 2018, to “dissolve” or “suspend” the ARC was a violation of the governing documents.

Key Factual Background & Timeline

Prior to 2015: The developer, VIP Homes (“Declarant”), establishes the ARC as required by the CC&Rs.

2015: The Declarant turns over control of the HOA to the resident-elected Board of Directors.

March 15, 2016: The Board adopts an ARC Charter, which explicitly states: “The right to appoint and remove all appointed [ARC] members at any time is hereby vested solely in the Board.” The Petitioner is appointed as one of three non-Board members to the ARC.

2017 or 2018: A proposed amendment to the CC&Rs to formally replace references to “Declarant” with “Board” or “Association” is not adopted by the general membership.

July 17, 2018: The ARC meets to consider a detached garage application from homeowners Mark and Connie Wells. The meeting is contentious, with the Petitioner expressing doubts about the ARC’s authority to grant a variance from city setback requirements. The meeting adjourns abruptly after the applicant allegedly “verbally threatened the committee.”

August 6, 2018: The HOA Board meets and passes a motion “to suspend the ARC committee for 60 days until guidelines/expectations are clarified.” The motion states that in the interim, the Board will review and approve all ARC submissions.

August 24, 2018: The Board sends a letter to the non-Board ARC members, including the Petitioner, informing them of the 60-day suspension.

September 17, 2018: The Board meets and approves a revised application from the Wells, which now aligns with City of Mesa code.

September 19, 2018: The Board, formally acting as the ARC, reviews and approves the Wells’ revised application.

October 22, 2018: The Petitioner files his complaint with the Arizona Department of Real Estate.

November 19, 2018: The Board adopts a “Resolution Regarding the ARC” to clarify its position. The resolution states the Board had “(i) temporarily removed the current members of the [ARC] (via a suspension) and (ii) chose to act and serve as the current [ARC].” It also formally ratifies the approval of the Wells’ garage.

Central Arguments Presented

Petitioner’s Position (N. Wayne Dwight, Jr.)

Limited Board Authority: The CC&Rs (§ 3.4) grant the Declarant the “sole right to appoint and remove” ARC members. After the Declarant’s departure, this section states that members “shall be appointed by the Board.” The Petitioner argued this only conferred the power to appoint, not to remove.

Failed Amendment: The failure of the membership to amend the CC&Rs to explicitly grant the Board the Declarant’s powers proves that the Board does not possess the power of removal.

Lifetime Appointments: The Petitioner argued that once appointed, ARC members could only be removed for specific cause (e.g., moving out of the community, incapacitation) and were otherwise entitled to serve for life.

Improper ARC Suspension: The Board’s action to suspend the committee was a violation of the CC&Rs, as the Board lacked the authority to do so.

Invalid Approval: Because the ARC was improperly suspended, the Board’s subsequent approval of the Wells’ application violated § 7.7, which requires ARC approval for all alterations.

Meaningless Appeals: If the Board can act as the ARC, the appeal process outlined in § 3.2, which allows a homeowner to appeal an ARC decision to the Board, becomes an “exercise in futility.”

Respondent’s Position (Whisper Mountain HOA)

Inherited Powers: Upon the Declarant’s departure, the Board assumed all of its rights and responsibilities under the CC&Rs, including the power to both appoint and remove ARC members.

Authority from ARC Charter: The ARC Charter, adopted in 2016, explicitly grants the Board the sole right to remove ARC members at any time.

Intent of the Board: The Board’s intent was not to abolish the ARC, but to address concerns about the committee’s conduct, including its “way of questioning applicants” and a need for more civility, fairness, and consistency.

Clarification of “Suspension”: The use of the word “suspend” in communications by the management company (Mariposa Group) was “unfortunate and inaccurate.” The Board’s true action, clarified in its November 19 resolution, was to remove the non-Board members and appoint its own members to serve as the ARC.

Valid Approval: The Board was legitimately acting as the ARC when it approved the Wells’ application; therefore, § 7.7 was not violated.

Administrative Law Judge’s Analysis and Conclusions

Interpretation of Governing Documents

The ALJ concluded that restrictive covenants must be construed as a whole and interpreted to give effect to the intent of the parties. The Judge found the Petitioner’s interpretation of the CC&Rs to be unpersuasive and ultimately harmful to the community.

• The Judge stated that the Petitioner’s interpretation “elevates non-elected members of ARC above elected Board members, abrogates any community control over ARC, and does not serve the underlying purposes of the CC&Rs.”

• This “unelected lifetime appointment” concept was found to be contrary to the “democratic principles underlying HOA law in Arizona.”

On the Board’s Authority

The ALJ affirmed the HOA’s authority to manage the ARC as it did.

Assumption of Powers: The decision concludes that “When Declarant turned Respondent HOA over to its Board, the Board assumed all of Declarant’s rights and responsibilities under the CC&Rs and related documents.” This included the power to remove ARC members.

ARC Charter: The Judge noted that the ARC Charter also “expressly provided that the Board had the power to remove as well as to appoint members of the ARC.”

Legitimacy of Actions: The Board was found to have acted within its authority in August 2018 when it “removed the three non-Board members of the ARC and appointed itself to perform the functions of the ARC.”

On the Alleged Violations

Based on the finding that the Board acted within its authority, the ALJ concluded that no violations occurred.

Conclusion on CC&R § 7.7 (ARC Approval): The petition failed on this point because the Board was legitimately acting as the ARC when it approved the Wells’ application in September 2018.

Conclusion on CC&R § 3.2 (Appeals): The petition failed on this point because the CC&Rs do not prohibit Board members from acting as the ARC. While acknowledging that appealing a decision to the same body “may be an exercise in futility,” the Judge noted that under the CC&Rs, the Board is not required to hear appeals in any event.

Final Order and Implications

Order: The petition filed by N. Wayne Dwight, Jr. was denied. The Judge found he had not established that the HOA violated CC&Rs §§ 3.2 or 7.7.

Implications: This decision establishes a strong precedent for interpreting HOA governing documents in a manner that favors functional, democratic governance over literal interpretations that could lead to impractical or absurd outcomes. It affirms that an HOA Board generally inherits the full operational powers of the original developer unless explicitly restricted, and that a Board can act to reform or reconstitute committees to ensure they serve the community’s best interests.

Study Guide: Dwight v. Whisper Mountain Homeowners Association

This study guide provides a comprehensive review of the Administrative Law Judge Decision in the case of N. Wayne Dwight, Jr. vs. Whisper Mountain Homeowners Association (No. 19F-H1918027-REL). It includes a quiz to test factual recall, essay questions for deeper analysis, and a glossary of key terms as defined within the context of the legal document.

Short-Answer Quiz

Answer each of the following questions in two to three sentences, drawing exclusively from the provided source document.

1. What were the two specific allegations made by the Petitioner, N. Wayne Dwight, Jr., in his petition filed on October 22, 2018?

2. Identify the key parties in this case and describe their respective roles or relationships to the dispute.

3. What was the purpose and outcome of the ARC meeting held on July 17, 2018, regarding the Wells’ property?

4. Explain the actions taken by the Respondent’s Board of Directors during its meeting on August 6, 2018, regarding the Architectural Review Committee (ARC).

5. What was the Petitioner’s interpretation of CC&R § 3.4 regarding the removal of ARC members, and what was the potential consequence of this interpretation as noted by the Administrative Law Judge?

6. According to the Respondent’s Board president, Greg Robert Wingert, what were the primary reasons for removing the non-Board members of the ARC?

7. Describe the role of the Mariposa Group LLC in this case and explain how its communications created confusion.

8. How did the Board clarify its actions and ratify its decisions in the November 19, 2018 Resolution?

9. What is the legal standard of proof the Petitioner was required to meet, and how is it defined in the case documents?

10. What was the final ruling of the Administrative Law Judge, and what was the core reasoning behind the decision regarding CC&Rs §§ 3.2 and 7.7?

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Answer Key

1. The Petitioner alleged that the Respondent’s Board violated Covenants, Conditions, and Restrictions (CC&Rs) §§ 3.2 and 7.7. The specific violations cited were the dissolution or suspension of the Architectural Review Committee (ARC) on August 6, 2018, and the subsequent approval of an application from two members to build a detached garage on September 19, 2018.

2. The key parties are N. Wayne Dwight, Jr. (the “Petitioner”), a property owner and former ARC member, and the Whisper Mountain Homeowners Association (the “Respondent”). The case also involves Greg Robert Wingert, the President of the Respondent’s Board, and Mark and Connie Wells, the homeowners who applied to build a detached garage. The dispute centers on the Respondent’s authority over the ARC, of which the Petitioner was a member.

3. The purpose of the July 17, 2018, meeting was for the ARC, including the Petitioner, to consider Mark and Connie Wells’ application for a detached garage. The meeting was abruptly adjourned after the applicant allegedly threatened the committee, and no formal vote was conducted at that time. However, a letter dated July 30, 2018, later informed the Wells that the ARC had approved their request.

4. At the August 6, 2018, meeting, the Board of Directors discussed the need for more consistency and guidelines for the ARC. Citing these reasons and safety concerns from a prior meeting, the Board passed a motion to “suspend the ARC committee for 60 days” and announced that in the interim, the Board itself would review and approve all ARC submissions.

5. The Petitioner argued that CC&R § 3.4 only allowed the Board to appoint, not remove, ARC members. He contended that once appointed, members could only be removed for cause and were otherwise entitled to serve for life. The Judge noted this interpretation would elevate unelected ARC members above the elected Board and abrogate community control.

6. Greg Robert Wingert testified that the Board removed the non-Board ARC members due to concerns about the “manner in which questioning was done in a public forum.” The Board’s intent was not to eliminate the ARC, but to continue the review process while making it more civil, fair, consistent, and transparent.

7. The Mariposa Group LLC was the Respondent’s management company. Its employees, such as Ed Ericksen, were responsible for drafting official communications like minutes and letters. These communications used inaccurate words like “suspend” and “dissolve” to describe the Board’s actions regarding the ARC, which Mr. Wingert testified was an “unfortunate and inaccurate” choice of words that did not reflect the Board’s true intent.

8. The November 19, 2018, Resolution clarified that the Board had removed the existing ARC members and appointed itself to act and serve as the ARC, as was its right under CC&R § 3.4. The resolution explicitly stated that the Board members were the current members of the ARC and ratified all prior architectural decisions made by the Board while serving in this capacity, including the approval of the garage on Lot 18.

9. The Petitioner was required to prove his case by a “preponderance of the evidence.” This standard is defined as proof that convinces the trier of fact that a contention is more probably true than not, representing the greater weight of evidence that is sufficient to incline a fair and impartial mind to one side of the issue.

10. The Administrative Law Judge denied the Petitioner’s petition. The Judge concluded that the Board acted within its authority when it removed the non-Board ARC members and appointed itself to perform ARC functions, meaning it did not violate CC&R § 7.7 by approving the Wells’ application. The Judge also found no violation of CC&R § 3.2, noting that the CC&Rs do not prohibit Board members from acting as the ARC.

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Essay Questions

The following questions are designed for longer-form analysis. Formulate a comprehensive response based solely on the facts and legal interpretations presented in the source document.

1. Analyze the Administrative Law Judge’s interpretation of the CC&Rs, particularly § 3.4. How does this interpretation address the transfer of power from the “Declarant” to the Board, and how does it counter the Petitioner’s argument for lifetime appointments?

2. Discuss the concept of an “appeal” as outlined in CC&R § 3.2. Evaluate the potential conflict of interest and the issue of futility raised when the Board of Directors also serves as the Architectural Review Committee.

3. Trace the timeline of events surrounding the Wells’ application for a detached garage. How did this specific application serve as the catalyst for the broader conflict between the Petitioner and the Respondent’s Board?

4. Examine the role of communication and language in this dispute. How did the specific wording used by the management company in official documents (e.g., “suspend”) differ from the Board’s stated intent, and how did this discrepancy fuel the conflict?

5. Based on the evidence presented, evaluate the argument that the Board’s actions were a necessary measure to ensure a “civil, fair, consistent, and transparent” architectural review process versus the argument that the Board overstepped its authority as defined by the CC&Rs.

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Glossary of Key Terms

Definition within the Source Context

Administrative Law Judge (ALJ)

An independent judicial officer (Diane Mihalsky) from the Office of Administrative Hearings tasked with conducting an evidentiary hearing and rendering a decision on the petition.

Architectural Review Committee (ARC)

A committee established to review and approve or deny any improvements, alterations, or other work that alters the exterior appearance of a property. Per the CC&Rs, its decisions are final unless appealed to the Board.

ARC Charter

A document adopted by the Respondent’s Board on March 15, 2016, which provided that the ARC would consist of up to four members appointed by the Board and that the Board vested itself with the sole right to appoint and remove all appointed ARC members at any time.

Board of Directors (Board)

The elected body that conducts the affairs of the Whisper Mountain Homeowners Association. The document presumes they are elected by members to specific terms.

Covenants, Conditions, and Restrictions (CC&Rs)

The governing documents for the Whisper Mountain planned community, recorded on September 7, 2016. They outline the rules for property use, the structure of the HOA, and the functions of bodies like the ARC.

Declarant

The original developer who built the planned community, identified as VIP Homes. The Declarant initially held the sole right to appoint and remove ARC members, a right that transferred to the Board after the developer was no longer involved.

Mariposa Group LLC

The management company employed by the Respondent HOA. Its employees, such as Douglas Egan and Ed Ericksen, were responsible for drafting official communications like meeting minutes and approval letters.

Office of Administrative Hearings (OAH)

An independent state agency to which the Department of Real Estate referred the petition for an evidentiary hearing.

Petitioner

N. Wayne Dwight, Jr., a property owner in the Whisper Mountain development and a former member of the ARC. He filed the petition alleging the HOA violated its CC&Rs.

Preponderance of the Evidence

The standard of proof required for the Petitioner to win the case. It is defined as “such proof as convinces the trier of fact that the contention is more probably true than not.”

Respondent

The Whisper Mountain Homeowners Association (“HOA”), the governing body for the development. The Respondent was represented by its Board and legal counsel.

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19F-H1918027-REL

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The provided text is an Administrative Law Judge Decision from the Office of Administrative Hearings regarding a dispute between a homeowner, N. Wayne Dwight, Jr. (Petitioner), and the Whisper Mountain Homeowners Association (Respondent). The Petitioner alleged that the HOA’s Board violated the community’s Covenants, Conditions, and Restrictions (CC&Rs) by dissolving or suspending the Architectural Review Committee (ARC) and subsequently approving an application for a detached garage. The decision details the background, evidence presented at the hearing, and the Administrative Law Judge’s (ALJ) findings and conclusions of law. Ultimately, the ALJ denied the petition, finding that the Board acted within its authority under the governing documents to remove non-Board ARC members and appoint itself to fulfill the ARC’s functions. The ALJ concluded that the Petitioner failed to prove the HOA violated the specified CC&Rs.

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Based on 1 source

NotebookLM can be inaccurate; please double check its responses.

Case Participants

Petitioner Side

  • N. Wayne Dwight, Jr. (petitioner)
    Appeared on his own behalf; former ARC member; testified on his own behalf

Respondent Side

  • Troy B. Stratman (attorney)
    Stratman Law Firm, PLC
    Represented Whisper Mountain Homeowners Association
  • Greg Robert Wingert (board member/witness)
    Whisper Mountain Homeowners Association
    Board President; Chairman of the ARC; testified for Respondent
  • Pam Cohen (board member)
    Whisper Mountain Homeowners Association
    Seconded motions; identified as 'Pam' in meeting minutes
  • Ronna (board member)
    Whisper Mountain Homeowners Association
    Made motion to suspend ARC
  • Gary (board member)
    Whisper Mountain Homeowners Association
  • Douglas Egan (property manager)
    Mariposa Group LLC
    Sent approval letter for garage application
  • Ed Ericksen (property manager)
    Mariposa
    Community Manager; sent approval/clarification letters regarding Wells' request

Neutral Parties

  • Diane Mihalsky (ALJ)
    Office of Administrative Hearings
  • Judy Lowe (Commissioner)
    Arizona Department of Real Estate
  • Felicia Del Sol (staff)
    Transmitted decision

Other Participants

  • Mark Wells (owner/applicant)
    Whisper Mountain development
    Submitted application for detached garage (Lot 18)
  • Connie Wells (owner/applicant)
    Whisper Mountain development
    Submitted application for detached garage (Lot 18)
  • Phil Hoyt (owner/member)
    Whisper Mountain development (Lot 16)
  • Andy Horn (owner/member)
    Whisper Mountain development (Lot 1)
  • Jason Komorowski (owner/member)
    Whisper Mountain development (Lot 51)
  • Connie Harrison (neighbor)
    Whisper Mountain development
    Mentioned regarding Lot 18 variance condition
  • Don Berry (owner/member)
    Whisper Mountain development (Lot 45)