Homeowners’ associations in Louisiana must be organized as corporations and are therefore subject to the Business Corporation Act. The Business Corporation Act provides most of the regulations applied to HOAs. The Louisiana Homeowners Association Act was also passed to provide regulations more specific to community associations.
§1141.3 of the Homeowners Association Act states that community documents are superior to any regulations provided in the act. The powers described in the LA HOA Act are only applicable if not addressed within community declarations or bylaws.
Homeowners Association’s Rights and Responsibilities
Association membership is mandatory upon purchase or property within a community association. All community regulations are backed by law and can be enforced as such.
The HOA has the right to impose fees and assessments upon association members to raise funds for community maintenance. They may also regulate property aesthetics such as grass length, exterior colors, etc. Additional fines may be levied for non-compliance and/or code violations. In the event of account delinquency, the homeowners’ association can place liens on the property.
Annual member meetings must be held to elect board officials and discuss community regulations. Special meetings may be called by a majority vote from the board of directors or by 10% of the membership. Community bylaws can provide a different percentage required to call meetings but may not exceed 25%. Notice of all meetings must be given at least ten days before a meeting but no more than 60 days. The meeting notice must include a description of all topics to be discussed.
The primary power given to association members is the right to vote. Homeowners elect the association board of directors at the annual member meeting. Board members can also be removed at a meeting for any reason with a majority vote unless otherwise stated in community laws.
Association members can also impose, increase, decrease, or remove building restrictions within the community with a 2/3 vote. All changes to building restrictions must be publicly recorded to be valid. If building restrictions are not addressed within community documents and the board is relying on the Louisiana Homeowners Association Act for legal power, a homeowner can file with the clerk of the court to decline any building restrictions imposed on their property.
Homeowners are given one vote per lot. Some larger properties can be divided into several lots, giving the owner more votes within the community. The more votes/lots an owner has, the more share of maintenance cost they also receive.
Louisiana Homeowners Association Act
To ensure that your community association is being run following all state and local laws, it helps to have a professional on your side. CSM has a team of experienced professionals that have worked with communities in almost every state in the US. Specializing in HOA financial management, we can help your board of directors manage association finances, write and submit documents, and prepare for audits. If you have any questions regarding state HOA laws and regulations, give us a call at (865) 315-7505, contact us online or email us at email@example.com.