HOA rules confuse board members and residents alike, and enforcement confuses them more. This article sorts out the different types of HOA regulations, walks through proper enforcement procedures, and covers what homeowners can do when the board isn’t enforcing the rules the way it should.
Understanding Different Types of HOA Regulations
An HOA runs on several layers of rules and regulations, and each layer does a different job.
Resolutions
A board resolution is the formal record of a board decision. Resolutions memorialize the important calls the board makes, establish the association’s policies and procedures, and clear up terms in the governing documents that were ambiguous. They have to line up with those governing documents. And they’re legally enforceable.
Policies
Policies lay out the association’s core principles and how it operates. They’re often put in place through formal resolutions, and they define what the association believes, values and is trying to achieve. Collections, enforcement and meeting conduct are the big areas policies cover. When the board has a decision to make, its policies guide it. Like resolutions, they can’t contradict the governing documents.
Procedures
If a policy says what the association wants, a procedure says how to get there, step by step. Procedures usually live inside resolutions and policies. They spell out the specific process for reaching a policy objective, and they keep the rules applied the same way every time. That only works if they’re followed precisely, which is what keeps things fair. Properly adopted procedures are legally enforceable.
Rules & Regulations
These are the guidelines for daily life in the community. They set out what’s expected of residents and guests, put clear limits on activities within the community, and cover all sorts of aspects of living there. Some communities just call them “guidelines.” Whatever the name, they must align with the governing documents above them.
Creating and Adopting New Rules
A rule can’t be enforced properly if it wasn’t created and adopted properly. Boards that take their time here avoid compliance problems and legal challenges later.
When to Create New Rules
Only write a new rule when there’s a specific community need that calls for one. The best practice is to regulate as few activities as you can while still keeping community standards up. So before drafting anything, the board should:
- Identify the specific problem or need the rule would address
- Review the existing governing documents to make sure the issue isn’t already covered
- Ask, “Does our association really need this new rule?”
- Consider whether a conversation would solve it instead of a regulation
Writing Effective Rules
Say what to do. Rules should specify the correct behavior rather than just listing prohibitions, so “No parking in fire lanes” becomes “Park only in designated parking spaces.” When a rule can’t be stated positively, give residents alternatives so they know what they can do instead.
Then there’s the question of how specific to get. The more narrowly a rule is written, the easier it is for a resident to break it without meaning to. Go too broad and the rule stops giving any real guidance. Good rules sit in between, with clear direction and nothing overly restrictive.
Keep the language plain. No legal jargon. A rule should be brief, easy for every resident to understand and easy to follow.
And be careful with vague or subjective wording. Requirements like “maintain a clean condition” or “compatible aesthetic appearance” may be unenforceable in North Carolina and South Carolina courts. Use specific, measurable criteria that apply an objective standard instead.
The Adoption Process
Adopting a rule the right way means involving the community and being transparent about it.
- Draft a clear, specific rule that addresses the need you identified.
- Circulate the draft to all owners and residents and ask for feedback before formal adoption.
- Discuss the proposed rule at an open board meeting, where board members can explain the rationale and owners can share their opinions.
- Review what owners said and amend the rule if necessary. If significant concerns come up, the board may need to start over with a revised draft.
- Once the rule is final, publish it well before its effective date so every resident has time to understand it and comply.
The Critical Enforcement Link
Once a rule is on the books, consistent enforcement becomes essential. A rule the board fails to enforce is invalidated, and that undermines both the board’s authority and the association’s credibility. Boards can still be flexible and make appropriate exceptions in exceptional circumstances. Those exceptions should be rare, well documented, and based on objective criteria rather than someone’s personal preference.
The Importance of Proper Rule Enforcement
Consistent, fair enforcement protects property values and keeps the peace in the community. Courts generally back an HOA’s enforcement when the board can show four things: its decisions fall within its authority, the rules are applied uniformly and fairly, there are reasonable explanations for any different treatment of similar cases, and proper procedures were followed.
Avoiding Selective Enforcement
Selective enforcement is one of the most significant legal risks an HOA faces. Protecting against claims of unfair treatment comes down to records and consistency:
- Keep detailed records of every enforcement action
- Document the reasoning behind each enforcement decision
- Apply the rules consistently across all properties
- Keep clear records of any changes or evolution in policy
- Apply rules uniformly unless there’s an objective reason for a difference
When Rules Aren’t Being Enforced
Sometimes the problem runs the other way. The board doesn’t enforce the rules, and the community starts to deteriorate. Homeowners in that position have several options.
Initial Steps
Be methodical and document everything. Start with the violations themselves: photographs, detailed notes, and a reference to the specific rule being broken in each case. Then find the neighbors who share your concern. A coalition strengthens your position and shows the board the issue affects more than one member of the community. With the documentation in hand, request a formal meeting with the board. Present your evidence clearly and professionally, and keep the focus on how the violations affect property values and the well-being of the community.
Legal Options
When working directly with the board gets nowhere, homeowners have several legal avenues. The first is usually to follow the bylaw procedures for calling a special meeting to remove board members who aren’t fulfilling their duties. In more serious situations, homeowners may need to consider filing a lawsuit against the HOA and board members for breach of fiduciary duty. That can include asking the court for an injunction requiring the board to enforce the governing documents properly. Litigation is costly and hard on community relationships, so it belongs at the end of the list. But it remains an important tool for holding an HOA to proper governance.
Understanding Fines and Enforcement
Fines are one of the main enforcement tools an HOA has, and their purpose gets misunderstood all the time. A fine isn’t a revenue stream. The association should use fines solely to encourage compliance with community standards. Most states have set specific requirements on how and when fines can be imposed, which typically means proper notice and a hearing before any penalty is assessed. And a fine should last only as long as the violation does. Tie its duration to the infraction itself, and enforcement stays focused on community standards rather than income.
Best Practices for Fair Enforcement
Good HOA governance rests on enforcement that’s clear, consistent and well documented. Review the governing documents regularly so you know every enforcement action falls within the board’s authority, and keep detailed records of each decision and action taken. Write clear enforcement procedures and then follow them, because that’s what keeps cases fair and consistent. Professional guidance, especially from legal counsel, is worth a great deal when you’re drafting new restrictions or dealing with a complicated enforcement situation. And perhaps most important of all, talk to residents openly and clearly about the rules and the procedures. That’s what heads off misunderstandings and gets people complying on their own.
Partner with Community Association Management
Understanding HOA rules and enforcing them properly takes attention to detail and a consistent hand. Whether you sit on the board or live in the community, knowing the types of regulations and how enforcement is supposed to work helps keep the neighborhood harmonious and protects property values. Boards don’t have to handle any of it alone, though.
Community Association Management is a leading provider of HOA management solutions in North and South Carolina. We help associations build and maintain effective rule enforcement strategies, backed by full support and HOA board member resources. Our experienced team works with boards to keep enforcement consistent while keeping community relationships positive.
Contact Community Association Management online or call us at 888-565-1226 to learn more about our customized management solutions for HOAs.
The content on this website is provided without any warranty and does not constitute legal advice. For legal advice specific to your community or issue, please consult an attorney specializing in Association Management.