QUESTION: Our CC&Rs say the board can raise our yearly dues. However, our rules were changed to state that our dues cannot be raised above our current $36. The board raised our dues in violation of the rules. Does the board have to reimburse homeowners for the increased money ($11), as what they did was illegal?

ANSWER: The board did not do anything illegal nor does it need to refund the assessment. The restriction in your rules is void for two reasons: (i) rules must be consistent with the CC&Rs (Civ. Code §1357.110) and (ii) the Davis-Stirling Act gives boards the power to raise annual assessments by 20% and impose special assessments up to 5% despite anything to the contrary in your rules (Civ. Code §1366(b)).

Adrian J. Adams, Esq.
ADAMS & KESSLER LLP