TITLE 55

PROPERTY IN GENERAL

CHAPTER 32

HOMEOWNER’S ASSOCIATION ACT

55-3204A.  HOMEOWNER’S ASSOCIATIONS — POWERS — DUTIES — ENFORCEMENT. For any homeowner’s association formed after July 1, 2025, the following provisions shall apply:

(1)(a)  The governing documents may provide for a period of declarant control of the homeowner’s association, during which a declarant, or persons designated by the declarant, may appoint and remove board members and officers of the homeowner’s association. If the governing documents permit owner election of board members or officers during the period of declarant control, such board members or officers elected by owners may not be removed by the declarant.

(b)  Regardless of the period of declarant control provided by the governing documents, on or before one hundred eighty (180) days after the date on which seventy-five percent (75%) of the lots are conveyed to owners other than the declarant or a builder in the business of constructing homes that purchased the lots from the declarant for the purpose of selling completed homes built on the lots, at least one-third (1/3) of the positions on the homeowner’s association board shall be offered for members elected by owners other than the declarant.

(c)  Once ninety-five percent (95%) of a development is built and occupied, the declarant shall begin the process of turning over full control of the homeowner’s association to the owners and shall complete the process within twelve (12) months of such date.

(2)  The provisions in subsection (1) of this section shall apply to the transfer of board control and do not affect other declarant rights as set forth in the declaration. The declarant shall retain architectural review authority during the period of declarant control, except as otherwise specified in the declaration.

(3)  If a declarant fails or refuses to comply with subsection (1) of this section, an adversely affected owner may seek injunctive relief to require compliance within thirty (30) days of sending a written notice to the declarant.

History:

[55-3204A, added 2025, ch. 204, sec. 3, p. 927.]