HB 791 and Homeowner’s Associations

December 23rd, 2014 by JBWK

A bill has recently been passed which affects Homeowner’s Associations. The bill, titled HB 791,
makes several changes to Virginia Code sections 16.1-106 and 55-513. A majority of these changes
benefit Associations, but owners benefit as well. The changes went into effect July 1, 2014.
The most notable changes that Associations should be aware of are as follows:

Associations now will be allowed to file actions in General District Courts as well as Circuit
Courts. Before the passing of this bill, Associations were often left with limited recourse when an
owner violated community rules as they were forced to seek relief from Circuit Courts. While
effective, this remedy can be very costly and inconvenient. However, now Associations will be able
to file in General District Court which allows a greater ease of access to the court when an
Association is in need of a resolution.

While this change allows for greater access to a judicial proceeding, it also requires that owners be
notified of any alleged violations and have a reasonable opportunity to correct the violation. Thus,
Associations must notify the owners of any violation and then give them an opportunity to fix the
problem before filing an action. This change provides an opportunity for the parties to work out a
resolution on their own before heading to court. It also gives Associations more ground to stand on
when confronting an owner with a violation and incentivizes the owner to fix the situation before
having to appear before a judge and explain the issue to the court.

Another important change which may benefit owners is that if the court rules on a legal action
involving rule enforcement, then court costs and reasonable attorney fees may be granted to the
prevailing party in certain situations. This is a change from the old provision because costs and
fees may now be awarded to owners as well and not just to Associations.

If you would like to learn more about the changes and how it affects your individual Association,
please do not hesitate to contact us.

facebooktwitterfacebooktwitter
  • Posted in Uncategorized
  • Comments Off on HB 791 and Homeowner’s Associations

Comments are closed.