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The HOA advisor

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By MICHAEL CHULAK

Our homeowner association was recently sued by one of our members claiming that our board of directors failed to enforce the CC&Rs against another member who allegedly caused a nuisance. The member who is suing has subpoenaed our executive committee minutes. I thought these minutes were confidential?

Executive Committee minutes can be subpoenaed, except to the extent that they may be protected by the attorney-client privilege. This means they can always be subpoenaed when your lawyer is not present.

We are in the process of purchasing a home. The escrow will be closing in two weeks. Our real estate agent suggests that we hold title as joint tenants. What is your opinion?

I don’t have sufficient information to advise you on this important matter. Deciding how to hold title has many legal ramifications. A real estate lawyer should be consulted who also has experience in estate planning. Your real estate agent is practicing law without a license.

Are mortgage brokers required by law to disclose all the money they make on transactions to their clients?

Absolutely. Regardless of whether a mortgage broker is receiving compensation from its client or the lender, the broker must disclose all compensation received. The receipt of any secret profit would violate the law.

The management company for our homeowner association and our board of directors recently conducted an election of directors that did not meet the requirements of our bylaws and CC&Rs (Covenants, Conditions and Restrictions). Can an election be challenged by a group of homeowners?

Yes. An action challenging the validity of an election must be brought within nine months after the election. If no such action is commenced, in the absence of fraud, the election will be presumed valid after nine months from the date of the election.

Michael T. Chulak is the founder of Michael T. Chulak & Associates in Agoura Hills. Questions can be sent by e-mail to

Originally published in the Santa Monica Daily Press print edition on November 15, 2006. Read the original PDF.

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