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How can HOAs avoid discrimination claims?

On Behalf of | Nov 5, 2024 | HOA Law |

Homeowners Associations (HOAs) are no strangers to discrimination lawsuits despite their best efforts to maintain a safe, beautiful and peaceful community. These legal troubles frequently arise from seemingly innocent mistakes in crafting and enforcing policies, which can lead to some homeowners feeling left behind or targeted.

Violating the Fair Housing Act, which prohibits discriminating against individuals buying or renting homes, can damage an HOA’s reputation and finances. Therefore, HOAS must take proactive measures to prevent such situations from occurring in the first place.

Consistency is key to avoiding bias

HOAs may inadvertently engage in discriminatory practices when they enforce rules inconsistently. Selective enforcement can happen at various stages, such as during the application process or when collecting assessments. Here are a few examples:

  • Imposing higher fines and harsher penalties on specific residents but overlooking others for similar violations.
  • Refusing to consider reasonable requests from certain residents without valid reasons.
  • Making decisions based on personal relationships rather than adhering to established bylaws and procedures.
  • Prioritizing complaints and requests from some residents while delaying or ignoring those from specific homeowners.

If homeowners perceive unfair treatment, they might file a lawsuit against the HOA or complain to the U.S. Department of Housing and Urban Development. The outcome of discriminatory claims may vary, but if deemed valid, the HOA may be required to pay damages or amend its bylaws.

To prevent legal headaches, HOAs should regularly review policies to ensure they are neutral and fair to all groups. Most importantly, HOAs must apply rules consistently, without exceptions or special treatment. Documenting all violations, decisions, and actions can provide a clear record, demonstrating that no homeowners are being unfairly targeted.

Work with a legal professional

Without in-depth legal understanding, it might be difficult to completely avoid selective enforcement. Real estate attorneys well-versed in Texas HOA laws can help with handling disputes, enforcing and updating bylaws, covenants and rules and providing guidance where needed.

By embracing anti-discrimination laws and committing to consistency and transparency, HOAs may better grow their community in the right direction.