Bases for invalidating condo association decisions
Because it was hard to hear and to take notes in our class in the park on
13 April, I am summarizing what I said about four bases pursuant to which a
reviewing court could invalidate condo association decision. These bases would
be available under most of the theories for review, and are derived from administrative
law.
- The decision was ultra vires. The challenger would argue that the condo
association lacked the power to make the challenged decision, either because
the condo
declaration did not give the association to make a decision of that type
(for example, the declaration gave the power only to make rules for use of
the common
areas and the decision relates to use of an invidual unit) or because the
declaration conferred power only to make "reasonable" rules and the challenged
rule is
unreasonable. Such a challenge also might proceed from the argument that
an applicable statute negated the asserted rule-making power. In any event,
a
successful challenge on this basis would proceed from scrutiny of the applicable
legal texts (the declaration and any applicable statute) and persuasiveness
on the interpretation of the text advanced by the challenger. The competing
arguments between Mr. Attaway and Mr. Al Tahry are examples of this kind
of challenge.
- The decision was unconstitutional. A rule that discriminated based on a
suspect classfication such as race or protected activity such as political
speech would
be subject to challenge on this basis.
- The decision was irrational (arbitrary and capricious). A challenge on
this basis would succeed if the challenger could show that the association
made
a factual decision unsupported by facts, or that it did not reveal logical
connection among law, established facts, and the conclusion.
- The decision was not arrived at through reasonable procedures. A challenger
could succeed on this basis by showing that the burdened unit owner received
no notice that a decision was about to be made and/or that the owner was
not given a reasonable opportunity to present reasons why the decision should
not
be made.
Good lawyers can challenge the same decision on more than one basis. For example,
a procedurally flawed decision, is unlikely to have been authorized by the
declaration. Likewise, it is unlikely that the drafters of the declaration
intended to authorize irrational decisions.