Legal Question in Real Estate Law in Wisconsin

RE Real Estate Restrictive Covenants; Architectural Control Committees

The rules which you mention seem to be subdivision restrictions put in place by the developer at the time when the subdivision was originally platted (i.e., when all the plot lines of the new subdivision are recorded with the register of deeds along with a survey). Although such rules are usually matters of private contract, municipal governments require certain rules and restrictions in return for approving the developer�s proposed project. No lawyer could even begin to interpret these without having the entire document package pertaining to the project to inspect, together with the minutes of all subsequent meetings of the entities in charge of the subdivision, since such rules can often be amended. The procedure for amending the rules is usually set forth in the rules themselves. However, homeowners or purchasers affected by the rules may not be bound by any amendments until notice of the amendments is properly recorded with the register of deeds, which formally places the entire world on notice. Absent formal recording of the amendments with the register of deeds office, the committee would need to prove either actual or constructive notice. Proper notice could be accomplished by timely serving the new rules upon effected existing homeowners but service would probably prove impossible for new purchasers. Any ambiguity in the rules would work to the detriment of developer or its successors (i.e., in your case, your architectural control committee) and would be resolved by most courts in favor of the homeowners under ancient principles of contract interpretation law. Therefore, if there is ambiguity as to any issue, such as the absence of a stated percentage of the total votes of property owners required to amend the rules, any adversely effected homeowner could argue that the vote would need to be unanimous. My comments here are not intended as legal advice unless you subsequently make arrangements to retain me; otherwise, you must retain and consult with your own lawyer before acting upon any comments in an online forum.