HOA Case Law Journal
with Julie McGhee Howard
Willoughby Condominium of Chevy Chase v. Dillin
2020 WL 6059829 (Ct. Special App. Maryland)
Case Overview:
The Willoughby Condominium Association (the “Association”) needed to update its drastically outdated fire alarm system, which had not been updated for more than 50 years. The Board called for a special Board meeting to approve the more than $1 million project to bring the system into compliance with county code. The Board posted notice of the project and notice of the Board’s special meeting on the lobby bulletin board and on the Association website two days before the Board was scheduled to discuss it.
The Issue:
Two residents filed suit against the Association claiming that the Board failed to provide sufficient notice to the owners of its special meeting to approve the project. Additionally, the owners argued that because the project was not a simple repair or replacement, but rather a new addition to the condominium building, it required owner approval under the Association’s governing documents.
The Facts:
- An update to the fire alarm system was required to meet current county codes.
- The Association’s governing documents required owner approval for improvements beyond repair or replacement.
- Neither the Bylaws nor the Maryland Condominium Act explicitly require the Board to provide notice of Board meetings to owners.
Court Decision
The Court held that the language and context of the Maryland Condominium Act, in totality, indicated that notice to owners of open Board meetings is expected to be given. In its ruling, the Court reasoned that because the Act required the Board meeting to be open, it only made sense that the Board was required to give the unit owners the same 3-day notice required for Board members – which the Willoughby Condominium Association Board did not do. The Court held that because the Board failed to provide sufficient notice for the special meeting, the Board’s actions at the meeting were invalid.
The Court also considered whether the pilaster design of the fire alarm upgrade was an “improvement” or part of the necessary repair and maintenance of the fire alarm system. But, after a lengthy discussion, the Court remanded this issue to let the trial court decide if this pilaster design was repair or improvement requiring unit owner approval.
The Cautionary Tale
Since many statutes and governing documents fail to explicitly address requirements for notice to owners of Board meetings, it is important to note that the Court imposed specific notice requirements in the absence of explicit provisions. Be sure to consult with your HOA attorney to confirm proper notice for your Association member and Board meetings.
Contact NowackHoward for HOA Law Advice
At NowackHoward, we focus on condominium association and HOA law throughout Georgia. To learn more about our community association practice and how we can help guide your community, contact one of our attorneys today at (770) 863-8900 or by email at info@nowackhoward.com.
