Hi-Country Estates v. Frank
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The Supreme Court affirmed the judgment of the district court granting summary judgment in favor of a homeowners association (HOA) in this lawsuit it brought to collect unpaid assessments against against the trustee (Trustee) of two trusts that each owned a lot (Lots) within the HOA's boundaries, holding that there was no error.
Since at least 1979, prior owners of the Lots paid the HOA's annual assessments, but when Trustee purchased the Lots on behalf of the trust in 2009 he refused to pay the assessments. When the HOA brought this action Trustee argued that the HOA lacked authority to assess the Lots, which rendered the HOA's founding documents void and the HOA powerless. The district court concluded that the HOA was entitled to collect the past due assessments but that a bench trial was necessary to determine the amount owing. The Supreme Court affirmed, holding (1) the district court did not err in determining that the members of the HOA collectively ratified the HOA's authority; and (2) therefore, the HOA had authority to assess the Lots.
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