LAKE LINGANORE ASSOCIATION, INC.

 

DUE PROCESS ENFORCEMENT PROCEDURES

 FOR ADDRESSING ALLEGED

VIOLATIONS OF THE GOVERNING DOCUMENTS

 

 

WHEREAS, Article IV, Section 3 of the Declaration of Conditions, Covenants, Restrictions, Easements and Charges  (“Declaration”) governing the Lake Linganore Association, Inc. (“Association”) anticipates that the Association may adopt and publish Rules and Regulations and Article IV, Section 11 of the Bylaws for the Association, as amended, provides that the Board of Directors has both the power and duty to establish and amend rules of procedure for the manner in which cases of alleged violations of the governing documents are processed, which rules of procedure shall be consistent with traditional customs of due process; and

 

WHEREAS, Article IV, Section 11 of the Bylaws, as amended, further provides that the Board of Directors shall be authorized to enforce judgments rendered regarding violations of the governing documents of the Association through reasonable and appropriate punitive measures which may include the assessment of financial damages caused by the violation, the assessment of fines, the suspension of rights to use the Common Property and facilities of the Association and/or the initiation of legal action at law or in equity; and

 

WHEREAS, Article IV, Section 11 of the Bylaws, as amended, further provides that financial judgments rendered by the Board of Directors shall be collected as assessments as provided in Article V of the Declaration; and

 

WHEREAS, the Board of Directors has determined that procedures for addressing the enforcement of violations of the governing documents of the Association are necessary and appropriate at this time.

 

NOW, THEREFORE, BE IT RESOLVED THAT:   The Board of Directors hereby adopts this Due Process Enforcement Procedures for Addressing Alleged Violations of the governing documents.  These new Procedures shall supercede any and all conflicting or alternative previous procedures that may have been adopted and shall be effective from the date hereof.

 

I.                   ENFORCEMENT PROCEDURES

A.                Identification of Potential Violation.  It shall be the responsibility of the Board of Directors, the General Manager of the Association, or the Compliance Administrator (an employee of the Association that is responsible for the review and oversight of the compliance by Owners with the governing documents of the Association) to identify potential violations of the governing documents of the Association and/or to receive information from other sources which identify potential violations of the governing documents.  There are numerous methods in which potential violations of the governing documents may be identified and brought to the attention of the Board of Directors and/or General Manager for action.  Such methods include the following:

 

 

1.                  The Board of Directors or the members thereof, through visual inspections of the Association property or through any other means, may observe or otherwise identify potential violations of the governing documents.

 

2.                  The General Manager and/or the Compliance Administrator may bring to the attention of the Board of Directors potential violations of the governing documents that have been observed or otherwise identified within the Association.

 

3.                  The Board of Directors or the President of the Association may bring to the attention of the Board of Directors potential violations of the governing documents that have been observed or otherwise identified within the Association.

 

4.                  Any Owner(s) within the Association may submit a complaint to the General Manager, the Compliance Administrator, or the Board of Directors regarding a potential violation of the governing documents within the Association.

 

B.                Determination of Alleged Violation.  Upon identification of a potential violation of the governing documents, the matter shall be referred to the Compliance Administrator to determine if the alleged action or inaction identified may amount to a violation of the governing documents.  If deemed necessary or appropriate, the Compliance Administrator may make a preliminary investigation to determine if a violation is believed to exist or may have occurred.  The Board of Directors or the General Manager shall also be authorized to direct the Compliance Administrator, or if deemed necessary the General Manager, to make such preliminary investigation.  If the Compliance Administrator, the General Manager or the Board of Directors determines that a violation may exist or may have occurred, the enforcement procedures outlined herein shall be pursued.  If there is a determination that a violation does not exist or did not occur, the Compliance Administrator shall notify the party who submitted the complaint of such determination.

 

C.                Notification of Alleged Violation of the Governing Documents.  If a determination is made that a violation exists or occurred, a Notice of Alleged Violation shall be sent to the Owner(s) by the Compliance Administrator.  The following requirements shall apply to the Notice of Alleged Violation:

 

1.                  If the alleged violation is of a continuing nature (the alleged violation and/or the alleged violating condition continues uninterrupted such as a physical change to a lot), the Notice of Alleged Violation shall state the specific violation alleged, the provision of the governing documents which has been violated and the specific time period within which the violation must be corrected without further enforcement action being taken by the Association.  The time period provided shall be determined by the Compliance Administrator unless directed by the Board of Directors and shall be based upon a reasonable assessment of the amount of time that may be necessary to correct the violation.  The Notice of Alleged Violation shall further advise that failure to correct the violation within the time period allowed may subject the Owner, after further notice and opportunity for Hearing, to potential penalties or sanctions, including but not limited to, the assessment of charges and/or fines or the suspension of rights to use the Common Property and facilities, if a violation is found to exist.

 

2.                  If the alleged violation is of a non-continuing nature (the alleged violation was a one-time occurrence and while it may recur it does not continue uninterrupted), the Notice of Alleged Violation shall state the date, time and place of the specific violation alleged and the provision of the governing documents which has been violated.  After notice and opportunity for Hearing, penalties may be imposed by the Board of Directors for this violation or the Board may determine that if another violation of similar nature recurs within the next twelve (12) months, after notice and opportunity for Hearing, various penalties or sanctions, including but not limited to, the assessment of charges and/or fines or the suspension of rights to use the Common Property and facilities, may be imposed.

 

3.                  The Notice of Alleged Violation shall be sent to the Owner(s) involved in the following manner:

 

(i)                  Certified mail return receipt requested at the address appearing on the books of the Association; and

 

(ii)                Regular mail also to the address appearing on the books of the Association.

 

(iii)               Failure on the part of the Owner(s) involved to pick up certified mail or failure on the part of such Owner(s) to notify the Association of a changed address shall be no excuse or defense.

 

(iv)              Copies of the Notice of Alleged Violation shall be maintained in the Association files by the General Manager, and a copy may be sent to the Association’s attorney at the discretion of the Board of Directors or the General Manager.

 

4.                  Nothing herein shall preclude the Compliance Administrator, General Manager or the Board of Directors from sending warning notices before proceeding with the Notice of Violation, if determined appropriate.  However, warning notices shall not be required.

 

D.                Notice of Opportunity for Hearing.  If after receipt of the Notice of Alleged Violation, the Owner(s) fails to comply with the required action (correction is not implemented within the requisite time period for a continuing violation or the Board intends to proceed with penalties for a non-continuing violation (based upon the first Notice of Alleged Violation or based upon a second offense within the 12 month period)), the Board of Directors shall proceed with a second Notice to the Owner(s) outlining the intended penalty or sanction and providing the  Owner(s) with an opportunity to request a Hearing.  The Notice of Opportunity for Hearing shall comply with the following requirements:

 

1.                  The Notice of Opportunity for Hearing shall state the nature of the violation and shall identify the provision(s) of the governing documents that is alleged to have been violated and the action or inaction on the part of the Owner(s) in response to the initial Notice, if any.

 

2.                  The Notice of Opportunity for Hearing shall be sent to the Owner(s) involved in the following manner:

 

(i)                  Certified mail return receipt requested at the address appearing on the books of the Association; and

 

(ii)                Regular mail also to the address appearing on the books of the Association.

 

(iii)               Failure on the part of the Owner(s) to pick up certified mail or failure on the part of such Owner(s) to notify the Association of a changed address shall be no excuse or defense.

 

(iv)              The Notice of Opportunity for Hearing shall advise the Owner(s) of the intended penalty or sanction and shall provide the Owner(s) with an opportunity to request a Hearing on such matter, prior to the imposition of such penalty or sanction, before the Board of Directors.  The Notice shall further provide that a request for Hearing must be submitted in writing within ten (10) days, or such longer period as may be contained in the Notice.  If no request for Hearing is submitted within the designated time frame by the Owner(s), the intended penalty or sanction may be imposed by the Board of Directors.  If the Owner(s) requests a Hearing, then the following outlined Hearing process shall apply. 

 

(v)                Copies of the Notice of Opportunity for Hearing shall be maintained in the Association files by the General Manager, and a copy may be sent to the Association Attorney at the discretion of the Board of Directors or the General Manager.

 

E.                 Notice of Hearing.  If a Hearing is requested by the Owner(s), the Board shall schedule a Hearing and a Notice of Hearing shall be sent to the Owner(s) in the same manner and subject to the same conditions as the previous Notices.  The Notice shall provide that he or she may be present at the Hearing, may be represented by legal counsel at the Hearing, may present any relevant evidence, including witnesses and will be given an opportunity to examine and cross-examine witnesses.  The Notice of Hearing shall also advise the Owner(s) that he or she is not required to be present at the Hearing but that a judgment may be entered in his or her absence, which may include the imposition of various penalties or sanctions, including but not limited to, the assessment of charges and/or fines or the suspension of rights to use the Common Property and facilities if a violation is found to exist or have occurred.

 

If the basis for the alleged violation is a complaint by another Owner(s), a copy of the Notice of Hearing shall be sent to that owner(s).

 

Copies of the Notice of Hearing shall be maintained in the Association files by the General Manager, and a copy may be sent to the Association Attorney at the discretion of the Board of Directors or the General Manager.

 

F.                 Hearing Schedule.

1.                  The Hearing shall be scheduled no sooner than ten (10) days from the date of the Notice of Hearing.

 

2.                  If the Owner(s) can promptly show good cause as to why he or she cannot attend the Hearing on the scheduled date and indicate time and dates on which he or she would be available, or if the Board of Directors, at its discretion, determines to extend the Hearing date, the Board of Directors may reschedule the and promptly issue a new Notice of Hearing.

 

G.                Hearing.

           

1.                  Hearings shall be held before at least a quorum of the members of the Board of Directors.  A majority of the quorum shall be required for any decision or judgment at the Hearing.

 

2.                  The presiding officer of the Board of Directors shall preside at the Hearing.  If there is no such presiding officer, the quorum of the Board of Directors present at the Hearing shall select one of its members to serve as hearing officer and preside over the Hearing.  At the beginning of the Hearing, the hearing officer shall explain the rules and procedures by which the Hearing is to be conducted.  The Board of Directors shall determine the manner in which the Hearing will be conducted, so long as the rights set forth herein are protected.  Technical legal rules regarding evidence and procedure shall not be required and generally, any relevant evidence shall be admitted if it is the sort of evidence on which responsible persons are accustomed to rely in the conduct of serious affairs.

 

3.                  It is not required that the Owner(s) be in attendance at the Hearing.  At the request of the Owner(s), any witness or at the discretion of the Board of Directors, the Board of Directors may determine to hold the Hearing in closed session, subject to the provisions or limitations of applicable law.

 

4.                  The procedure of the Hearing shall be that the party alleging the violation shall be allowed to present evidence first.  If the basis for the alleged violation is a complaint by another Owner(s), such party shall be allowed to present evidence at this time.  If the basis for the alleged violation is information provided or discovered by the Association, through the Compliance Administrator, the General Manager or the Board of Directors, designated representatives of such party shall be allowed to present evidence at this time.  Upon completion of the evidence presented by the party alleging the violation, the Owner(s) alleged to be in violation or have committed a violation shall be allowed to present his or her evidence in response.

 

5.                  Each shall party have the right to do the following, but may waive any or all of these rights:

                       

(i)                  Make an opening statement;

 

(ii)                Introduce evidence, testimony and witnesses;

 

(iii)               Cross-examine opposing witnesses;

 

(iv)              Rebut evidence and testimony; and

 

(v)                Make a closing statement.

 

6.                  The Board of Directors members sitting at the Hearing shall be allowed to ask questions of any party or witness presented to the extent it is deemed necessary and appropriate to his or her consideration of the facts and arguments involved in the case.

 

 

 

7.                  Upon the conclusion of all of the evidence presented, the members of the Board of Directors present at the Hearing shall deliberate.  Time permitting, such deliberation may take place immediately following the Hearing or at any time agreed upon by such members within a reasonable time period thereafter in order to reach a decision on the matter.  If a violation is found to exist or have occurred, during such deliberations, the Board of Directors shall also determine the appropriate penalties or sanctions that shall be imposed. Unless otherwise determined by the Board of Directors, such deliberations shall be held in closed session.

 

8.                  Written Notice of the Hearing Decision of the Board of Directors shall be submitted to the Owner(s) involved within fifteen (15) days of the date of the completion of the Hearing.  If a violation was found to exist or have occurred, the Notice of Hearing Decision shall include an explanation of the penalties or sanctions imposed.

 

9.                  Notice of the Hearing Decision shall be sent to the Owner(s) in the following manner:

 

(i)                  Hand-delivery or certified mail return receipt requested at the address appearing on the books of the Association; and

 

(ii)                Regular mail also to the address appearing on the books of the Association.

 

(iii)               If a violation was found to exist or have occurred and the violating party is a tenant, a copy of the decision of the Board of Directors shall also be sent to the Owner of the Lot leased by such tenant at the same time as such decision is sent to the tenant, in the same manner provided.

 

H.                Penalties and Sanctions.

1.                  Notwithstanding any of the procedures outlined herein, the General Manager and/or the Board of Directors may temporarily suspend the right of a Owner(s) to use any facility which is part of the Community Property for a period not to exceed ten (10) days if such Owner(s)’use of the facility is in violation of the governing documents and there is reasonable belief that such violation may endanger life, limb or property of the Association, and an oral request to cease or correct the violation has not been heeded.  Notice of any such immediate suspension of the right to use a facility shall be provided in writing.  In addition, promptly thereafter, the Board of Directors may proceed with the procedures outlined herein.

 

 

2.                  If, after the Hearing, the Board of Directors renders a judgment that a violation exists or occurred, the Board of Directors shall determine the applicable penalty or sanction for such violation.  The penalties or sanctions that may be imposed include the following:

 

3.                  To the extent the violation caused financial damages to the Association, such financial damages, including legal fees incurred, increased insurance cost and administrative costs may be assessed against the violating Owner(s) and such amounts shall be collectible in the same manner as assessments pursuant to the Bylaws, as amended.

 

4.                  Fines may be assessed against the Owner(s).  The fine for any one (1) non-continuing violation shall not exceed $500.00 and shall be collectible in the same manner as assessments pursuant to the Bylaws, as amended.  The fine for any continuing violation shall be assessed on a daily basis until the violation is corrected.  Each day the violation continues after the judgment is entered by the Board of Directors shall be considered a new violation.  The daily fine for such continuing violations shall not exceed $10.00 and shall commence on the date designated by the Board of Directors in the Notice of Hearing Decision and shall be capped at the non-continuing violation penalty amount.  Such fines may be in addition to the assessment of financial damages incurred by the Association.  The Board of Directors may establish a fine schedule for particular types of violations. See addendum A, “Covenant Compliance Fine Schedule.”

 

5.                  Suspension of rights to use Common Properties and facilities of the Association.  For non-continuing violations, the suspension of such rights shall not exceed ninety (90) days.  The suspension of rights may be the sole sanction or may be in addition to other sanctions that may be imposed pursuant to this Resolution.

 

I.                    Appeal Rights and Procedures.

1.                  Rights of Owner(s).   The imposition of penalties rendered without a Hearing may be appealed to the Board of Directors by the Owner(s) found in violation or the party alleging the violation.

           

2.                  Notice of Appeal.   The party appealing the decision of the Board of Directors must submit a written Notice of Appeal to the Board of Directors within ten (10) days of the date the penalty was imposed.  The Notice of Appeal shall include the following information:

 

(i)                  The names and addresses of the party seeking the appeal and whether such party was found to be the violating party or was the party alleging the violation.

 

(ii)                 A brief statement of the reason for the appeal.

 

3.                  The Board of Directors may make a preliminary review of the case and make a determination as to whether it will hear the appeal.  The Board of Directors may, on the basis of the preliminary review, elect not to hear the appeal, in which case the Board of Directors will so inform the party requesting the appeal and the decision of the Board of Directors shall stands.

 

4.                  If the Board of Directors determines to hear the appeal, the following procedures shall apply.

 

J.                  Notice of Appeal Hearing.   Notice of Appeal Hearing shall be given in the same manner as that required for the Notice of Hearing applicable to the violation Hearing held by the Board of Directors.  Paragraph F of these Procedures except that it shall be given by the Board of Directors.

 

K.                Appeal Hearing Procedures.   All of the rights and procedures applicable to the Board of Directors Hearings shall apply to appeals by the Board of Directors.  Therefore, the procedures outlined in Paragraph G and H of these Procedures shall be applicable to appeals.

 

L.                 Effect of Decision.   The Board of Directors appeal decision may modify, reverse or uphold the Board of Directors’ decision in its entirety.

 

M.              Further Action.   An Owner must exhaust all available remedies of the Association prescribed by these Procedures before resorting to a court of law for relief with respect to an alleged violation of the governing documents.  The foregoing limitation pertaining to exhausting administrative remedies shall not apply to the Board of Directors. 

 

II.                INTERPRETATION

 

A.                These Procedures are intended to ensure that due process is provided to Owner(s) in proceedings before the Board of Directors.

 

B.                The Board of Directors, as applicable, may determine the specific manner in which these Procedures are to be implemented, provided the due process is protected.

 

C.                Any inadvertent omission or failure to conduct proceedings in exact conformity with these Procedures shall not invalidate the results of such proceedings, so long as a prudent and reasonable attempt has been made to ensure due process according the general steps set forth herein.

 

D.                The use of masculine gender includes the feminine and neuter genders and the use of the singular includes the plural and vice versa, whenever the context so requires.

 

 

 

 

 

 

Addendum A - Fine Schedule

Lake Linganore Association, Inc.

Due Process Enforcement Procedures

 

Category / Type                                                                                                    Fine Amount

 

Animal Complaints

property.

Unkempt Yard / Structures
Littering / Dumping / Trash
Unauthorized Vehicles

vehicle not displaying valid license plates and / or LLA parking tag on LLA

or private property.

LLA governing documents.