HOA foreclosure rights — in-depth discussion with CAI’s CEO and Berding

An excellent news feature from CNBC on HOA foreclosures including CAI’s Tom Skiba and attorney Bill Davis, who is the fellow being sued by John Carona’s corporate entities has been posted on Evan McKenizie’s The Privatopia Papers blog.  See The next foreclosure fight, redux…

An amazing 32 comments in two linked threads have been posted by interested persons including, among “anonymouses,” Evan McKenzie, Tom Skiba (CAI CEO), HOA defender Tyler Berding, Fred Pilot, Fred Fischer,  and yours truly, G K. Staropoli (PVTGOV).  Where are you other guys?

The issue of HOA foreclosure rights is covered quite extensively from several points of view.  If you want to be in the “know”, you must read these comments to better understand the lunacy of “they signed an agreement to pay assessments” and “it ain’t fair for good owners to pay for  these people.”

Get your voice heard.  Send this Privatopia link to your state repesentatives today!

 

Court appointed Receiver files punitive damages against HOA attorney

In 2008 the DC HOA in Casa Grande, AZ ran into huge debts.  It had relied on the advice of its attorney, CAI member Charles Maxwell. In 2009  a homeowner filed  for and was granted receivership by the Pinal County court.  The court found that an unauthorized removal of some $665,000 from the HOA’s bank and ordered Receivership to protect the assets of the HOA.  Now, the HOA is being run under the court ordered Receiver.
 
Last month, the Receiver filed charges of breach of fiduciary duty, breach of ethical duties, disgorgement, professional negligence, aiding and abetting, and breach of contract against the Maxwell & Morgan law firm as well as against Maxwell and his wife, personally.
 
“Aiding and abetting” is like colluding.  “Disgorgement” is asking that the wrong-doers give up their illegally gained profits.
 
Except for the breach of contract,  the above charges are torts — wrongful actions — permitting a claim for punitive damages, which the Receiver is seeking.   Filing tort claims and seeking punitive damages against the HOA and the individual directors is the only effective means today that homeowners have against abusive boards. 
 
Gee,  maybe the legislature will see the wisdom of providing its own penalties for wrong doing by abusive HOA boards.  Maybe CAI will think this is the smart way to go. 
File!  File!  File tort actions and seek punitive damages before it’s too late!