2026 Georgia Laws Act 715
On May 12, 2026, Governor Brian Kemp signed Senate Bill 406 — the Georgia Property Owners’ Bill of Rights Act — into law, following near-unanimous passage in both chambers (155–10 in the House and 51–0 in the Senate, both on March 31, 2026). Now designated 2026 Georgia Laws Act 715, the law represents the most significant change to Georgia community association law in decades.
For the volunteer boards and management professionals who run Georgia’s community associations, the Act’s practical effect is substantial: it will raise operating costs for all owners, impose new and in some cases duplicative obligations on volunteer leaders, and override provisions of long-standing private covenants.
The timeline is short. Section 7 of the Act takes effect July 1, 2026, and the majority of the Act’s remaining provisions become effective January 1, 2027. This article summarizes the major components of Act 715 and the steps associations should be considering now.
There are many parts of the Act that must still be further defined by the Georgia Secretary of State. The Act specifically states that the Secretary of State shall adopt such policies, rules, regulations, and procedures as are necessary to implement the Act. In the meantime, boards can begin to prepare for changes by adopting clear enforcement policies, consistent documentation, and engaging legal counsel in significant decisions.
Compliance with the Act includes:
- Additional annual registration requirement is new administrative overhead with the Secretary of State.
- New 10-year records retention standard.
- New payment application standard.
While none of the requirements requires reinventing how a well-run association operates, compliance will require confirming that what you are already doing meets a new statutory baseline.
Compliance Area 1: Send Initial Written Notice for Delinquent Accounts
Section 7: Attorney’s Fees and Judicial Review for HOAs Submitted to the POAA (Effective July 1, 2026)
URGENT — Section 7 of SB 406 applies to community associations subject to the Georgia Property Owners’ Association Act (“POAA”). It is the most time-sensitive provision in SB 406, and took effect July 1.
Section 7 addresses two related issues: the prerequisites that must be satisfied before attorney’s fees can be awarded in HOA-related proceedings, and judicial review for the reasonableness of attorney fees. This provision applies to actions filed on or after July 1, 2026.
Beginning July 1, 2026, before a POAA-governed association can collect or be awarded attorney’s fees in a collections matter, it must first send a new, initial written notice to the delinquent owner by certified mail or statutory overnight delivery. Boards with open or anticipated collection and enforcement actions need to consult with counsel now to ensure they follow the new statutory notice process.
Board Action Item:
- Review all open collection and enforcement files with legal counsel and understand what notice the Board must send to the delinquent or violating owner.
Compliance Area 2: Register With the Georgia Secretary of State
The Stakes: Failure to register strips the association of its ability to collect fines or fees. This is not a technical filing requirement.
Who is Covered?
The registration requirement applies broadly to all owners’ associations, defined to include any nongovernmental association of participating owners of residential property in a delineated geographic area governed by recorded covenants. The Act specifically sweeps in neighborhood associations, condominiums, co-ops, common interest communities, groups of homeowners or property owners, and property owners’ associations.
What Registration Requires
Effective January 1, 2027 and by December 31 of each year, covered associations must: (1) pay a $100 filing fee; (2) register with the Secretary of State as an owners’ association; (3) file a copy of the association’s governing documents; (4) file a registration statement containing the association’s name, address, and officers, and (5) file a financial statement not more than one year old.
If an association’s name, address, or officers change — or any other change occurs that materially affects the business and control of the association — an amended registration statement must be filed within 30 days. Associations must also notify the Secretary of State if records are kept at an address different from the registered address.
Opting Out — At a Price
Associations may elect not to register by providing written notice to the Secretary of State, in which case they will be deemed a “nonregistered owners’ association.” But that election carries real consequences: nonregistered associations may not assess or collect fines or fees against any owner and may not assess or collect accelerated assessments against any owner. For most associations that rely on enforcement tools, opting out will not be a realistic path.
Enforcement Authority
The Secretary of State’s new enforcement powers are notable. The office may deny, suspend, or revoke an association’s registration; limit the fines or fees an association may collect; and even bar individual officers, directors, trustees, executive personnel employees, or board members where it finds doing so is in the public interest or where the person filed a materially incomplete or misleading registration, willfully violated the Act or its rules, failed to pay the filing fee within 30 days’ notice, or failed to comply with a subpoena or order.
Associations and individuals subject to such orders are entitled to notice and an opportunity for a hearing, which must be set within 30 days (but no earlier than 5 days) of the request. Hearings may be held virtually by agreement, and the Secretary of State may appoint a referee whose report — including findings of fact and conclusions of law — is advisory only. A party may challenge a referee’s report within 30 days of service. Unless the association prevails, it must pay a $100 administrative fee.
Board Action Item:
- Identify who within your board or management will own the registration process, and add it to the board’s compliance calendar as a recurring annual task with a deadline well ahead of December 31.
Compliance Area 3: Recordkeeping & The 10-Year Retention Requirement
This provision receives the least attention in current coverage of SB 406, but it represents a significant operational change for most associations. The Act requires all owners’ associations to maintain records at an office in Georgia or at their principal office — in both electronic and any other format — relating to assessments, fines, fees, liens, and foreclosures, for a minimum of ten years. Most associations do not currently have document retention policies that meet this standard.
These records, along with records relating to governing documents and association finances, are open to inspection by the Secretary of State.
What Records Are Covered
- Assessment history (regular, special, and specific assessments)
- Fine and fee records
- Lien filings and releases
- Foreclosure records
Board Action Items on Recordkeeping:
- Audit current records retention practices against the 10-year standard. Identify gaps — particularly for fines, older liens, and any enforcement actions taken before the board’s current term.
- Establish or update a formal written document retention policy that specifies the 10-year retention requirement and covers all record categories listed above.
- Ensure records are organized and retrievable — not just stored. If they are called for in a complaint proceeding, the association needs to be able to produce them promptly.
- If your association is professionally managed and the management company holds records on the association’s behalf, confirm their practices align with the new retention standard.
Compliance Area 4: Residents’ Right to File Complaints with the Secretary of State
The Act creates an entirely new administrative complaint process. Any person residing in an owners’ development who claims to have been damaged by the association’s action or inaction may file a written complaint with the Secretary of State, who must appoint a hearing officer. Complaints must be filed within 180 days of the alleged action or inaction, and the non-prevailing party must pay a $100 administrative fee.
An “owners’ development” is defined as real property located within Georgia that is subject to governing documents and contains lots, and which may contain common areas.
The Hearing Process
Key procedural parameters:
- Complaints must be filed within 180 days of the alleged conduct
- A hearing officer is assigned and conducts an investigation; the hearing officer may, in their sole discretion, also order a formal hearing with notice to both parties
- At the conclusion of the investigation, the hearing officer issues findings and conclusions
- Both parties have 15 days to satisfy the conclusions
- If either party fails to satisfy the conclusions within 15 days, the hearing officer, the complainant, or the respondent may bring an enforcement action
- The non-prevailing party pays a $100 administrative service fee
The Automatic Stay
Perhaps the most consequential feature of the complaint process is its automatic stay: the mere filing of a complaint prohibits the association from collecting, or attempting to collect, from the complainant any fines or fees that are the subject of the complaint or related to it. The stay expires upon the hearing officer’s conclusions and can be extended by the officer for another 15 days. The Act also prohibits any false or misleading written or oral statement of material fact, or omission of material fact, in connection with the process.
Appeals
A person adversely affected by a Secretary of State hearing may appeal to the Magistrate Court if the matter falls within its $15,000 jurisdiction or, in all other cases, to the superior court of the county in which all or the largest portion of the owners’ development is located. Appeals must be served on the Secretary of State within 20 days of entry of the order, with a petition for de novo review stating the order appealed from, the grounds for reversal or modification, and a demand for a certified transcript. The Secretary of State must certify the transcript within 10 days. Importantly, the non-prevailing party on appeal is required to pay the prevailing party’s court costs on appeal.
The 20-day appeal window is short. If your association enters a complaint proceeding, have legal counsel engaged and monitoring the matter before the hearing officer issues conclusions — not after an adverse ruling arrives.
Board Action Item:
As of January 1, 2027, boards that receive a resident complaint filed with the Secretary of State must stay the association’s collection of any fines or fees that are the subject of, or related to, the complaint. The stay remains in effect until the hearing officer issues conclusions, and may be extended for an additional 15 days after conclusions.
This does not mean boards should avoid enforcing their covenants or collecting what is owed. It means that procedurally clean, well-documented collections and enforcement is now more important than ever. A complaint filed against a properly documented violation, supported by clear notices and consistent enforcement history, is a much weaker instrument than a complaint filed against an informal or inconsistently enforced action.
Compliance Area 5: The Owners’ Bill of Rights
The heart of the Act is a statutory enumeration of twelve rights held by owners. Under the Act, owners shall have the right to:
1. Inspect and obtain copies of owners’ association records, accounting records, and other records in compliance with Georgia law and the association’s governing documents. The Act defines accounting records as the finalized balance sheet, budget, profit and loss statements, and bank statements, in each case for the last three years.
2. Receive a copy of the association’s certificate of insurance the association has for the benefit of the owners.
3. Receive notice of member meetings in a fair and reasonable manner consistent with Georgia law and the association’s governing documents.
4. Attend meetings of the members of the association, which must be held at least annually.
5. Access common areas, amenities, and common elements subject to the terms of the association’s governing documents.
6. Ingress, egress, and access to their individually owned property.
7. Statutory notice and process requirements required by Georgia law for any foreclosure action against an owner’s property.
8. Amend governing documents with the approval thresholds required by Georgia law and the governing documents.
9. Expect directors to perform their duties in good faith and with the degree of care of an ordinary, prudent person in a like position would exercise under similar circumstances.
10. Expect directors to disclose to their fellow directors any conflicting interest with respect to a transaction.
11. Be free from governing documents that interfere with the freedom of residents to determine the composition of their household.*
12. Challenge discriminatory practices by an owners’ association as authorized by Georgia and federal law.
* Occupancy Exception
The household-composition right is not unlimited. Subject to Georgia and federal law, associations retain the power to require that all occupants of a household be members of a single housekeeping unit and to limit the total number of occupants permitted in each individually owned property, along with its fair share use of common facilities, including parking.
Board Action Item:
Most of these rights are already established in Georgia law and most association governing documents. Clarity about what accounting records are open for inspection is actually helpful for both owners and their associations. Boards will likely only need to refresh their understanding of these corporate responsibilities in order to comply with this bill of rights.
Compliance Area 6: Statutory Payment Application Priority
The Act imposes a mandatory order in which associations must apply funds received from owners: first to regular assessments or dues until current; second to special assessments until current; third to specific assessments until current; and only then to other fees and fines. This order is not discretionary, and associations that currently apply payments differently will need to change that practice.
The Act includes a definition for each category of assessments. “Regular assessments” or “dues” are those imposed on a regular or recurring basis to fund the regular operating budget — common area maintenance, routine repairs, utilities, landscaping, and reserve contributions. “Special assessments” cover costs outside the regular operating budget, such as legal costs, nonroutine or emergency common area repairs, renovations, and other capital projects. “Specific assessments” are defined as those imposed on an individual owner for damage that owner caused to the association, or fees and fines for nonpayment, insufficient payment, untimely payment, or covenant violations.
Two further prohibitions are included in this portion of the Act: no association may refuse to accept payment from an owner in any amount for any assessment, and no association may assess or collect accelerated assessments against any owner.
Board Action Item:
- Confirm with your management company and collections counsel that the payment application will comply with the Act beginning January 1, 2027. Update your collections policy to explicitly codify the hierarchy.
Compliance Area 7: Changes to the Georgia Property Owners’ Association Act
Finally, Act 715 amends the Georgia Property Owners’ Association Act (POAA) in several respects.
Submission and Amendment Thresholds
The Act revises the language governing submission to the POAA and the documents that must be recorded, and it allows any governing document provision requiring more than 80 percent approval to be reduced to 80 percent.
Foreclosure Changes
The foreclosure amendments are significant for associations’ collections practice. The Act extends the required notice of foreclosure from 30 to 60 days; raises the foreclosure threshold from $2,000 to $4,000 or an amount equal to 12 months of regular assessments (but not less than $2,000); prohibits any specific assessment, fine, or fee from being included in the calculation of the lien total; limits associations to bidding up to the amount of the lien; and extends the effectiveness of a lien from four to six years.
Attorney Fee Prerequisites and Judicial Review — Effective July 1, 2026
Two changes take effect July 1, 2026 and apply to all actions filed on or after that date. First, unless the matter is necessitated by emergency conditions involving public safety or preservation of property, an association may not collect or be awarded attorney’s fees unless it first provides: an initial written notice by certified mail or statutory overnight delivery identifying any outstanding fines or delinquent fees with an itemized list of reasonable attorney’s fees claimed. Lot owners will have 30 days from receipt of the notice to pay the outstanding fines or delinquent fees.
Second, judges conducting bench trials in actions to recover amounts assessed against a lot owner must review claims for attorney’s fees for reasonableness and enter an order stating whether they are reasonable before awarding fees to the association.
Board Action Item:
- Boards of associations submitted to the POAA must now comply with the new initial written notice requirement. Beginning January 1, 2027, the new foreclosure notice and thresholds will apply. Boards should update their collection policies now to ensure compliance going forward.
What Should Associations Do Now?
The compliance work required by SB 406 is real, but it is proportionate. The heaviest burdens fall on associations that have been operating without adequate records, applying collections practices inconsistently, or handling homeowner disputes informally. For those associations, the new law creates significant risk.
For boards that have been operating with sound governance — documented enforcement, consistent application of rules, collections counsel involved in escalations, and meeting procedures that match the governing documents — the compliance lift is manageable. Registration is a new overhead. The records policy needs to be formally documented. The collections policy needs to reflect the new hierarchy and threshold. These are not trivial steps, but they are not a reinvention of how good associations operate.
There is still much more to be established regarding how the Act will ultimately be applied and enforced. The Act expressly states that the Georgia Secretary of State is empowered to adopt policies, rules, regulations, and procedures necessary to implement the statute.
But boards can still begin to make adjustments to comply with the major components of the Act. Use this period before January 1, 2027, as an opportunity to close gaps. As we analyzed in our previous coverage of proposed Georgia HOA legislation, the legislative direction in Georgia has clearly bent toward individual owners and their personal stories, true or not. Boards that get ahead of this law are better positioned for whatever comes next.
Frequently Asked Questions About SB 406 and HOA Board Compliance
When does the Georgia Property Owners’ Bill of Rights Act take effect?
Most provisions take effect January 1, 2027. The exception is Section 7, which addresses the prerequisites for attorney’s fees and judicial review for the reasonableness of attorney’s fees under the Georgia Property Owners’ Association Act. Section 7 applies to actions filed on or after July 1, 2026. Boards with open or anticipated collection and enforcement actions should consult with counsel now.
What happens if an HOA or condominium association doesn’t register with the Georgia Secretary of State?
An HOA or condominium association that fails to register — or fails to renew its registration by December 31 annually — forfeits its ability to collect fines or fees. This enforcement forfeiture applies to both initial registration failures and missed renewal deadlines. There is no grace period described in the Act.
Can a homeowner use the new complaint process to stop an HOA lien or fine?
Yes. Filing a complaint against an owners’ development with the Georgia Secretary of State automatically stays the association’s collection of any fines or fees related to the complaint. The stay is automatic upon filing and remains in effect until the hearing officer issues conclusions, with a possible 15-day extension. Clean, well-documented enforcement practices are the board’s strongest defense against a bad-faith stay.
What happens if a hearing officer rules against the HOA?
The association may appeal to magistrate court (if within its jurisdictional amount) or to the superior court of the county where the largest portion of the development is located. The appeal must be initiated by serving the Secretary of State within 20 days of the adverse decision. The non-prevailing party in an appeal must pay the prevailing party’s court costs. Given the short appeal window, boards should have counsel engaged before conclusions are issued.
What is the new minimum delinquency required for foreclosure under the Georgia Property Owners’ Association Act?
SB 406 doubles the minimum delinquency threshold for foreclosure from $2,000 to $4,000, or an amount equal to 12 months of regular assessments (but still not less than $2,000). Critically, the amount cannot include any specific assessments, fines or fees to reach the threshold. Associations subject to the POAA should update their collections policies to reflect this change before January 1, 2027.
Does the new law require HOAs and condominium associations to change how they apply homeowner payments?
Yes. The Act mandates a specific payment application order: regular assessments or dues first (until current), then special assessments, then specific assessments, then other fees and fines. Associations applying payments in a different order must update their collections policies before January 1, 2027.
How long does an HOA and condominium association have to keep assessment and fine records under the new law?
The Act requires all owners’ associations to maintain all records relating to assessments, fines, fees, liens, and foreclosures for at least ten years. Boards should audit their current retention practices, identify gaps, and adopt a formal written document retention policy that meets this standard before January 1, 2027.
Work With Georgia HOA Counsel Before the Deadline
The January 1, 2027, effective date and the July 1, 2026, Section 7 provision mean boards that wait until Q4 2026 will be scrambling. Registration mechanics, records policy drafting, collections policy revisions, and board adoption all take time — and they cannot happen simultaneously in the weeks before the deadline.
NowackHoward works exclusively with community association boards in Georgia. Our team can help you audit your current policies against the new requirements, update your collections framework, prepare your board for the administrative complaint process, and ensure you are registered and compliant before the law takes effect.
For specific questions about your association — or one you work with — please contact the association’s general servicing or collection attorney for tailored legal advice. If you are not yet a client, contact NowackHoward to speak with a Georgia HOA attorney about your board’s compliance needs.
© 2026 NowackHoward, LLC. This article is for general informational purposes only and does not constitute legal advice.
