Rental Hopes Blocked in Washington Condo What happened next

Have you faced unexpected changes in condo bylaws in Washington? You’re not alone—many owners encounter similar issues. Understanding relevant laws is crucial for addressing these challenges. This article will guide you through a landmark court decision to help resolve such disputes effectively.

Case No 67529-5 Situation

Specific Circumstances

In Washington, there was a community of people living in a building called a condominium. This building had many owners, and they all had to follow certain rules made by a group called the condominium association. One day, the association decided to change the rules about renting out the units. They wanted to make it harder for owners to rent their units to other people because they thought too many rentals could make the property values go down. This change in rules worried two owners who had bought their units thinking they could rent them out whenever they wanted. Now, they were stuck because they might have to sell their units if they couldn’t rent them, and selling might not be easy if the market wasn’t good.

Plaintiff’s Argument

The owners who were upset about the new rule argued that it was unfair. They said they bought their units before the new rule was made, so they should only have to follow the old rules. They believed that the new restrictions shouldn’t apply to them because they were not informed about such changes when they decided to buy their units.

Defendant’s Argument

The condominium association, on the other hand, argued that the new rules were important. They believed that having fewer rentals would keep the property values high and ensure that most people living there were the actual owners, not renters. They thought it was okay to apply the new rule to everyone, even those who bought their units before the rule was made, because the association had the right to change the rules with time.

Judgment Outcome

The court sided with the unit owners who were against the new rule. The court decided that the new leasing restriction was not valid because it was only mentioned in the association’s bylaws and not in the main document called the declaration. According to the law, RCW 64.32.090, such rules need to be in the declaration to be enforceable. Therefore, the court ruled that the bylaw couldn’t be used to stop these owners from renting their units, and it even ordered that the association pay for the owners’ legal fees.

Resolution and Next Steps

Immediate Actions

If you’re in a similar situation where your condo association changes the rules in a way you find unfair, the first step is to gather information. Understand the specific changes and locate the original rules or declaration documents. Check if the new rules are properly amended and documented in accordance with the law. In this case, the court found that the new rules were invalid because they were not included in the declaration as required by the Horizontal Property Regimes Act.

Filing a Complaint

If negotiations with your association do not resolve the issue, you might need to consider legal action. Start by consulting with a lawyer who specializes in real estate or condominium law. They can help you draft a formal complaint. This document should clearly outline why you believe the new rules are invalid and how they affect your rights as a unit owner. Be sure to include any evidence that supports your case, such as the original declaration and the new bylaws.

Mediation and Settlement Strategies

Before heading to court, it might be beneficial to try mediation. This involves both parties meeting with a neutral third party to try and reach an agreement. Mediation can be a quicker and less expensive way to resolve disputes. If mediation isn’t successful, then preparing for court is the next step. Your lawyer will help you file your case and represent you in court, just like the plaintiffs in this case, who successfully argued that the new rules were not enforceable against them.

FAQ

What is the case about?

The case is about whether a condominium association can enforce a new rule that limits how owners can rent out their units. The rule was challenged because it was not included in the main governing document, the declaration.

Who are the petitioners?

The petitioners are Asghar Sadri and Dorothy Grazul. They are the condo owners who bought their unit before the new leasing restriction was put in place and argued that the new rule should not apply to them.

What was the court’s decision?

The court decided that the new leasing restriction was invalid because it was not included in the condominium declaration. The court sided with the unit owners and ruled that the association could not enforce the new rule against them.

What statutes were involved?

The case involved the Horizontal Property Regimes Act and specifically RCW 64.32.090, which requires that any use restrictions be included in the condominium’s declaration to be enforceable.

What is a condominium bylaw?

A condominium bylaw is a set of rules that govern how the condominium association operates and manages the building. These rules can include details about how the property is maintained and what owners can and cannot do with their units.

How are bylaws amended?

Bylaws are typically amended through a vote by the unit owners. The percentage of votes needed to pass a change is usually specified in the bylaws or declaration. It’s important that any amendments follow the proper legal procedure to be valid.

What does RCW 64.32 cover?

RCW 64.32, known as the Horizontal Property Regimes Act, covers the creation and regulation of condominiums in Washington State. It sets out the legal framework for how condominiums are governed.

What is a leasing restriction?

A leasing restriction limits or controls how condominium owners can rent out their units. These restrictions are often put in place to preserve property values or the character of the community.

Why was the bylaw invalid?

The bylaw was invalid because it was not included in the condominium declaration as required by the Horizontal Property Regimes Act. The declaration is the primary document that outlines the rules for the condominium, and any significant restrictions must be included there to be enforceable.

What is the Horizontal Property Regimes Act?

The Horizontal Property Regimes Act is a set of laws in Washington that establishes the rules for owning and managing condominiums. It ensures that all unit owners and the association follow a clear and legal framework.