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Bob Diamond Memo Print

Bad laws start with a request made by a special interest or as a knee jerk reaction to a single incident. 

This memo from Bob Diamond for judicial reformation is the catalyst for legislation in front of the 2014 VA legislature.  This is in response to two associations in VA where the board tried to overreach its authority, lost in court, tried to amend the governing documents giving them the powers they wanted but he homeowners REFUSED to vote for the amendments.  CAI to the rescue!!  Their excuse is, "The homeowners are too apathetic to vote for the amendments, there ought to be a way to give the board the tools they need to manage the association."  The answer is judicial reformation. 

The homeowners in both of these HOAs did NOT want to give the board those powers.  I can guarantee hey were NOT APATHETIC, I talked to them.  They knew exactly what they were doing.  But if Judicial reformation becomes the law in ANY state, boards will be able to unilaterally amend the governing documents simply by going to court and asking the judge to make the changes.  Of course, they have to put it to a vote of the owners first who may chose NOT TO AMEND the covenants. 

Watch for this coming to a legislature near you if it hasn't already done so.      Read the Bob Diamond Memo here    


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