Lawyer’s words aid homeowner in reimbursement dispute

Q. In 2006, I submitted a request for reimbursement for a sewer line plumbing problem to my association. My request was based on the location of the sewer line (common area), prior payments made to other homeowners and section 3.19 of the covenants. After the association reviewed this request at various meetings, I received a letter in 2007 from the association saying the reimbursement was denied on the basis that the sewer line is not a common area utility line.

I again contacted the association and asked for reconsideration and the request was tabled as the association forwarded my request to their attorney to review. The attorney's opinion was read by the president. The president stated that he was going to obtain another attorney's opinion (one that would hopefully favor the association). A board member attempted to bring closure to this item but was ignored by the president. There was no motion passed to obtain a legal second opinion. What are my rights and options? Did the board president and directors act within the legal scope of the association's governing documents?

A. The attorney stated that determining who is responsible for sewer lines, the association or the homeowner, could often be argued either way but in his opinion it was better to err on the side of the homeowner. Section 2.05.1 contains an easement across an individual homeowner's lot because sewer and water lines often run underneath an adjacent homeowner's unit. This prevents a homeowner from claiming that another homeowner's lines are running under his lot.

Under the homeowner's maintenance obligations, section 3.19, the section does not include the repairs to either the water or sewer systems. In another section, 5.05c, the covenants list areas that are not the responsibility of the association but fall to the individual homeowners. In this section, the sewer and water lines are not included in the list of responsibilities of the homeowner. In section 5.05d, the covenants state that the association is obligated to accomplish required repairs, replacements and maintenance of the common utility facilities, which is defined as the sanitary sewer house pipes...water pipes that are installed or located in or upon a lot or lots and which serve more than one lot. Section 2.07 allows the association to make repairs on these common utility facilities that are located on homeowners' lots and states that the association is responsible for the expense of repairs.

In ending his opinion letter to the association, the attorney said he knew this was not the answer the association was looking for, but stated that in his experience if an arbitrator were to review the case, the arbitrator would find in favor of the homeowner.

In addition to the various sections of the covenants that had been both noted by the homeowner in his various communications with the association and noted by the association's attorney, the homeowner lists the plumbing repairs that the association has paid for other homeowners. The specific reimbursement that the reader has requested of the association pertains to a 20-foot belly which had to be jetted to clean a massive calcium build up. The cost to repair this line was $1,004.50.

The reader has a couple of choices. She can contact one of the board members and ask the board member to place a motion on the table to approve her reimbursement based upon the letter from the association's legal counsel. The second option is for the homeowner to file for arbitration under the alternative dispute resolution process with the ombudsman's office. The homeowner has to take this route first before filing a small claims action against the association.

In this matter, the homeowner has an excellent case against the association. The homeowner should notify the association that if the board fails to honor the attorney's opinion and does not reimburse her, she will file for the arbitration.

Barbara Holland, certified property manager, is president and owner of H&L Realty and Management Co. She is a member of the Institute of Real Estate Management. Questions may be sent to Association Q. & A., P.O. Box 7440, Las Vegas, NV 89125. Her fax number is 385-3759. Questions may be shortened and are subject to editing.