The homeowners association (HOA) can act as the governing body of neighborhoods. While they have authority as a legal entity, the board’s power is not absolute. If you recently received a penalty for your grass length or a trash can placement, knowing where the law stands is essential to protecting your rights as a homeowner.
Establishing a paper trail on a recorded rule
In Indiana, an HOA’s authority comes from its governing documents. Significant restrictions, such as those governing land use or home modifications, must be present in the recorded covenants, conditions and restrictions (CC&Rs) on file with the county recorder.
However, you must note that boards have the power to adopt supplemental rules and regulations through a board vote. These must not contradict the primary CC&Rs. If your HOA attempts to enforce a restriction that was neither recorded nor properly adopted according to the bylaws, they may lack the legal authority to collect a fine for your violation.
Observing uniform enforcement
You also have a defense against fines if the enforcement appears arbitrary or capricious. An HOA must always follow its fiduciary duty to apply rules consistently across the community.
While the HOA should not selectively enforce rules against specific individuals while ignoring others, proving selective enforcement in court can be challenging. You must present clear evidence that the board acted in bad faith. A single instance of a neighbor not receiving a fine does not automatically invalidate your violation.
Your right to a fair process
If you are facing daily fines or a lien against your property, you have the right to a fair process. You can resolve this by attending board meetings or filing an internal grievance. But because of the complexity and nuances of Indiana HOA law, seeking legal assistance can offer guidance in facing the matter.
