WHEN DOES THE BUSINESS JUDGMENT RULE PROTECT HOA BOARDS IN CALIFORNIA? This HOA Explainer addresses when the Business Judgment Rule protects California HOA boards and when it does not. Short Answer Only in limited situations. The Business Judgment Rule protects HOA...
Overview For California HOAs located in designated coastal zones, authority over short-term rentals does not begin with the Davis-Stirling Act. It begins with the California Coastal Act. When an HOA adopts or enforces short-term rental (“STR”) bans, minimum-stay...
Overview The Business Judgment Rule (sometimes referred to as the “BJR”) is one of the most frequently cited legal doctrines in California HOAs, and one of the most commonly misunderstood. HOA boards frequently invoke the BJR as a blanket defense whenever homeowners...
Overview In many California HOAs, the most serious problems homeowners face do not come from hostile neighbors or rogue boards. They come from HOA managers who quietly, but perniciously, overstep their role inside weak or disengaged HOAs. When weak HOA boards fail to...
Overview When crimes occur in HOA-governed communities, homeowners are often told that the HOA has no responsibility for crime or safety. That statement is wrong. While California HOAs are not required to act as private police forces or guarantee that crime will never...