Case Summary
| Case ID | 24F-H043-REL |
|---|---|
| Agency | ADRE |
| Tribunal | OAH |
| Decision Date | 2024-07-10 |
| Administrative Law Judge | Samuel Fox |
| Outcome | partial |
| Filing Fees Refunded | $2,000.00 |
| Civil Penalties | $0.00 |
Parties & Counsel
| Petitioner | Brian Gordon and Rosalie Gordon | Counsel | — |
|---|---|---|---|
| Respondent | Tucson Estate No. Two Owner's Association | Counsel | Jason Smith |
Alleged Violations
Bylaws Article 10; Finance Committee rules
A.R.S. § 33-1805; Bylaws Article 10
A.R.S. § 33-1805; Bylaws Article 10
A.R.S. § 33-1805; Bylaws Article 10
Outcome Summary
Petitioners were deemed the prevailing party regarding Petition Issues 1 and 4, and Respondent was deemed the prevailing party regarding Issues 2 and 3. Respondent was ordered to pay Petitioners $1,000.00 of the filing fee. Respondent was also directed to comply with Community Documents and A.R.S. § 33-1805 going forward. No Civil Penalty was levied.
Why this result: Petitioners failed to meet the burden of proof for Complaints 2 and 3, establishing that Respondent violated A.R.S. § 33-1805 or failed to abide by Community Documents, because Respondent provided all available records or offered additional reports.
Key Issues & Findings
Violation of Community Documents by not recording and making available the minutes of all Finance Committee Meetings held in 2023.
Petitioners requested minutes for five 2023 Finance Committee Meetings. The Committee rules required minutes of its meetings as a permanent record of its actions. The Respondent failed to record meeting minutes as required.
Orders: Respondent directed to comply with the requirements of its Community Documents going forward.
Filing fee: $500.00, Fee refunded: Yes
Disposition: petitioner_win
- A.R.S. § 33-1805
- A.R.S. § 10-11601
- Bylaws Article 10
Violation by not keeping and making financial and other HOA business documentation (Budget Working Papers) available for review.
Petitioners requested copies of Budget Working Papers. Respondent provided all available documents (unapproved budget, general ledger, and draft), maintaining only one version of a proprietary spreadsheet. Petitioners failed to meet their burden to prove Respondent did not make records available.
Filing fee: $500.00, Fee refunded: No
Disposition: respondent_win
- A.R.S. § 33-1805
- A.R.S. § 10-11601
- Bylaws Article 10
Violation by not keeping and making financial and other HOA business documentation (Accounts Payable journal with GL detail) available for review.
Petitioners requested Accounts Payable journal/reports multiple times. Respondent provided copies of available accounts payable reports (check receipts and general ledger). When Respondent later identified an additional detailed report available for purchase, Petitioners refused it.
Filing fee: $500.00, Fee refunded: No
Disposition: respondent_win
- A.R.S. § 33-1805
- A.R.S. § 10-11601
- Bylaws Article 10
Violation by not keeping and making financial and other HOA business documentation (IRS Tax filings and backup documentation) available for review.
Petitioners requested IRS Tax filings. Respondent initially provided only photocopies of two pages of the 1120-h form, missing schedules and backup documentation. Respondent failed to provide full tax returns or backup documentation in a timely manner (within ten business days).
Orders: Respondent is directed to comply with the requirements of A.R.S. § 33-1805 going forward.
Filing fee: $500.00, Fee refunded: Yes
Disposition: petitioner_win
- A.R.S. § 33-1805
- A.R.S. § 10-11601
- Bylaws Article 10
Analytics Highlights
- A.R.S. § 33-1805
- A.R.S. § 10-11601
- Bylaws Article 10
- A.R.S. § 32-2199.02