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CCR renewal

When CCR’s are due to expire should the board notify homeowners? Does the board have the authority to renew the CCR’s without notifying homeowners’s and allowing them input?

1 Response

  1. Dennis Legere

    Jeri;
    While every set of CC&R’s are unique, they typically all address this particular situation. Typically CC&R’s automatically renew at the end of 10 year intervals. Some have up to 40 year initial periods with ten year interval after that. The renewal process is automatic with the expectation that if the community wishes to terminate the association and the CC&R’s they must do so within a specified amount of time prior to the current renewal date. In Arizona the statutes allow additional options. The community (and never just the board, other than to make the CC&R’s consistent with state and federal law) can alter any CC&R’s at any time including termination of the CC&R’s and the association altogether, irrespective of the renewal date.

    The part of your question as to, should the board notify the community prior to the renewal date that answer is easy and yes. Do they have to , no. I often comment on what boards are advised by their attorneys and their community manager, they are told what they can and cannot do along with what they can get away with, but very seldom advised what they should do.
    Boards should always consider the wishes and needs of the community first at all times.

    Dennis

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