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What are Covenants, Conditions and Restrictions in an HOA?

On Behalf of | Nov 12, 2021 | Homeowner Associations |

In a homeowners’ association, something that the board will come across are Covenants, Conditions and Restrictions (CC&Rs). The rules of the homeowners’ association are described in the CC&Rs, so that people in the community understand what they can do with their properties.

As someone on the board, it’s important that you understand the CC&Rs as well. If you need to draft new rules or to make adjustments to those already in place, then it will be necessary to have a good understanding of the law.

Do homeowners in the community have to abide by the CC&Rs?

Usually, homeowners do have to abide by the restrictions and rules put into place by the CC&Rs. People who violate the rules could end up facing penalties, like fines for their actions, or other consequences, like having to remove fencing or change the color of paint on their home to match the CC&Rs’ requirements.

Violating CC&Rs may lead to fines, suspensions of community privileges, forced compliance or even a lawsuit, which is why it’s important for the board to make sure that the CC&Rs are easy to understand and straightforward. This will also help reduce confusion and the likelihood of a conflict.

What should homeowners’ associations include in the CC&Rs?

In the CC&Rs, homeowners’ associations should include basic information such as if pets are allowed in the community, which types of decorations are allowed during different times of the year and what homeowners need to do to maintain your property.

Your board should go over any state rules and regulations, too, so that you don’t violate any homeowners’ state rights. On top of this, you will need to include resolutions, which are rules and regulations for the HOA.

CC&Rs are there to protect the value of the community as well as the desirability of living in that area. They may be important, but so is the overall understanding of the document and its legal implications. CC&Rs need to be set up correctly and should be updated when laws change or the community decides that they would like to change an aspect of the HOA’s rules.