Larry Kline vs. The Foothills Community Association

Case Summary

Case ID 20F-H2019012-REL
Agency ADRE
Tribunal OAH
Decision Date 2020-01-02
Administrative Law Judge Jenna Clark
Outcome no
Filing Fees Refunded $500.00
Civil Penalties $0.00

Parties & Counsel

Petitioner Larry Kline Counsel
Respondent The Foothills Community Association Counsel Austin Baillio

Alleged Violations

Article IV, Section 4.2(p)

Outcome Summary

The ALJ denied the petition, finding that the Petitioner failed to sustain the burden of proof. The retaining wall was on private property (Lot 22) and the adjoining golf course, not Common Area. The Petitioner failed to establish that the Association was a successor or assign of the Declarant for the specific easement agreement claimed.

Why this result: Insufficient evidence presented to establish a recorded instrument imparting maintenance/repair requirements on the Association; wall not on Common Area.

Key Issues & Findings

Failure to Maintain Retaining Wall

Petitioner alleged the Association failed to repair a retaining wall located on the rear perimeter of his property, citing a latent defect and easement agreement.

Orders: Petition denied.

Filing fee: $500.00, Fee refunded: No

Disposition: petitioner_loss

Cited:

  • Article IV, Section 4.2(p)
  • Bylaws Article I

Decision Documents

20F-H2019012-REL Decision – 761847.pdf

Uploaded 2026-01-27T21:17:44 (150.9 KB)

**Case Summary: *Larry Kline v. The Foothills Community Association***
**Case No:** 20F-H2019012-REL
**Date of Decision:** January 2, 2020
**Forum:** Office of Administrative Hearings (Arizona)

**Proceedings**
Petitioner Larry Kline filed a complaint with the Arizona Department of Real Estate alleging that The Foothills Community Association (Respondent) failed to repair a retaining wall in violation of the community's governing documents. The Department referred the matter to the Office of Administrative Hearings, where Administrative Law Judge Jenna Clark presided over an evidentiary hearing on December 19, 2019,.

**Key Facts**
* The Petitioner owns Lot 22 in the Club House Estates subdivision,.
* A retaining wall located on the rear perimeter of the Petitioner’s property separates the lot from the Foothills Golf Course.
* The wall suffered significant damage due to failing anchors, with repair costs estimated between $30,000 and $40,000,.
* The Petitioner sought to have the Association cover the repair costs, citing an easement agreement,.

**Main Issues and Arguments**
The primary legal issue was whether the Association violated Association Bylaws Article IV, Section 4.2(p) by refusing to repair the wall.

* **Petitioner’s Arguments:** Kline argued that the Association was responsible for maintenance based on the CC&Rs, a recorded "Reservation of Easement," and a Special Warranty Deed,. He contended that these documents conveyed liability to the Association.

* **Respondent’s Arguments:** The Association argued it had no duty to maintain the wall because the structure is not located in a Common Area. The Association’s witness testified that while the Association owns a nearby Common Area ("Tract A"), there is no legal or physical relationship between Tract A and the retaining wall on Lot 22,. The Association asserted that under the Bylaws, maintenance responsibility for party fences/walls falls to the owners of the contiguous parcels (the Petitioner and the golf course owner), not the Association.

**Legal Findings**
The Administrative Law Judge ruled that the Petitioner failed to meet the burden of proof required to establish a violation. The decision relied on the following points:
1. **Location:** The wall is located on the Petitioner's property and the adjacent golf course, neither of which is owned by the Association.
2. **Lack of Recorded Duty:** The Petitioner failed to provide

Case Participants

Petitioner Side

  • Larry Kline (petitioner)
    Club House Estates subdivision property owner
    Appeared on his own behalf

Respondent Side

  • Austin Baillio (HOA attorney)
    Maxwell & Morgan, P.C.
    Represented The Foothills Community Association; also listed as B. Austin Baillo
  • Patricia Ann Wontor (witness)
    The Foothills Community Association
    Onsite Community Manager

Neutral Parties

  • Jenna Clark (ALJ)
    Office of Administrative Hearings
  • Judy Lowe (Commissioner)
    Arizona Department of Real Estate
    Recipient of the transmitted order

Other Participants

  • Joe Robinson (observer)
    Observed the hearing
  • Sandra Salvo (observer)
    Observed the hearing