Homeowner associations (HOAs) are designed to promote a sense of community and help maintain common areas and property values. However, disputes can arise between homeowners and HOA boards or management companies. When disputes do occur, mediation can be an effective way to try to resolve them. Here's what you need to know about the role of mediation in HOA disputes in California.
What is Mediation?
Mediation is a process where a neutral third party, known as a mediator, helps the parties facilitate a mutually agreeable resolution. Mediation is typically a voluntary process, and the mediator does not have the authority to make decisions. Instead, the mediator works with the parties to facilitate settlement.
The Benefits of Mediation
There are many potential benefits to using mediation to resolve HOA disputes. For one, mediation is often less expensive and less time-consuming than litigation and/or arbitration. Additionally, mediation is generally a private process, and communications in mediation are commonly treated as confidential under California law, subject to certain exceptions.
Mediation also allows the parties to retain control over the outcome. Instead of leaving the decision to a judge, jury, or arbitrator, the parties can work together to find a solution that addresses their concerns. This can be especially helpful in HOA disputes, where the parties often need to maintain an ongoing relationship with each other because they live in the same community.
How Does Mediation Work in HOA Disputes?
When a dispute arises in an HOA, the parties can agree to use mediation to resolve their differences. In California common interest developments, the Davis-Stirling Common Interest Development Act encourages alternative dispute resolution (ADR), and in some situations a party may need to offer ADR before filing certain types of lawsuits to enforce governing documents (see, e.g., California Civil Code section 5930).
The mediator is typically chosen by the parties. The mediator will then work with the parties to identify the issues in dispute, facilitate communication between the parties, and help them attempt to reach a resolution. Mediations can occur either in-person or via video conference.
In HOA disputes, mediation can be used to address a wide range of issues, including disputes over assessments, architectural modifications, maintenance and repairs, and alleged rules and regulation violations.
LS Carlson Law has represented clients in California HOA-related disputes for more than 15 years. Some parties choose to consult an attorney to better understand the mediation process and their options under the governing documents and applicable California law.
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