Legal Question in Real Estate Law in Oregon

Setting up a HOA

I live along a private road along with 10 other neighbors. Our deeds say that we are to equally share in road maint costs. Each of us own the property to the center of the road, and an easement is granted for the road. Because of the cost of needed repairs, I think it best to set up a HOA (solely for the road maint) and I think I can get most of the neighbors to agree. What if one doesn't? Is it still possible to set it up even though we can't force the dissenter(s) to pay? If so, is it possible to add the dissenter(s) to the HOA when they sell their property? How would you recommend starting? Is there a place to get boilerplate for the HOA? Bylaws? I still believe I would use a local atty to conduct the first meeting and explain the HOA to the group.


Asked on 2/12/08, 12:00 am

1 Answer from Attorneys
Andrew Svitek Svitek Law Group, LLC

Re: Setting up a HOA

ORS 94.625(1) states thats "not later than the date on which the first lot in the planned community is conveyed, the declarant shall:

(a) Organize the homeowners association as a nonprofit corporation under ORS chapter 65;

(b) Adopt, on behalf of the association, the initial bylaws required under ORS 94.635 to govern the administration of the planned community; and

(c) Record the bylaws in the office of the recording officer of each county in which the planned community is located.

If you're setting up an HOA for over 4 units you're going to have to comply with the Planned Community Act. It is done much more easily by the developer than subsequently by a community of neighbors as you're proposing.

Your question merits a more extensive discussion of your interests and needs as neighbors, and the best options to address each of those, so I would welcome a call regarding this matter.

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Answered on 2/16/08, 3:41 pm


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