Tom J Martin, Petitioner, vs. SaddleBrooke Home Owners Association #1, Inc., Respondent - 19F-H19180

Описание: This matter, Tom J Martin v. SaddleBrooke Home Owners Association #1, Inc. (Case No. 19F-H1918022-REL-RHG), is a rehearing of an Administrative Law Judge (ALJ) Decision that originally dismissed the petition. The rehearing was conducted on April 16, 2019.

Procedural History (Original Case and Dismissal)

The underlying dispute arose from a petition filed by Tom J. Martin on September 28, 2018, alleging that the SaddleBrooke Home Owners Association (Respondent) violated its website and Policy Manual (Policy Number BC-3). Although Martin checked boxes alleging violations of CC&Rs and Bylaws, he did not identify specific provisions in his petition. The relief requested was substantial: $463,112.00 in financial support for expanding or providing eight pickleball courts and related maintenance funding.

The Respondent filed a Motion to Dismiss, arguing the Department of Real Estate lacked jurisdiction because the alleged violations—the website and policy BC-3—were not "community documents" as defined by ARIZ. REV. STAT. § 33-1802(2). The original ALJ Decision, dated December 12, 2018, dismissed the petition because the Petitioner had not alleged a violation meeting the requirements of ARIZ. REV. STAT. § 32-2199.01.

Rehearing Proceedings and Key Issues

Mr. Martin requested a rehearing, reasserting that a "policy" is equivalent to a "rule" and arguing that the HOA violated specific Bylaws (Article 4, section 6(3)) and Articles of Incorporation (Article XII) by failing to implement Policy BC-3. At the rehearing, Respondent renewed its argument that the Department lacked jurisdiction.

The main legal issue was whether the alleged violations fell within the tribunal's jurisdiction. Under ARIZ. REV. STAT. § 32-2199.01(A), hearings are limited to alleged violations of planned community documents or regulating statutes.

Rehearing Findings and Outcome

The ALJ confirmed that the definition of "community documents" is statutorily limited to "the declaration, bylaws, articles of incorporation, if any, and rules, if any" (ARIZ. REV. STAT. § 33-1802(2)).

The ALJ made two critical legal findings:
Lack of Jurisdiction: Statements of policy, statements on the HOA's website, and advertising materials do not constitute community documents under the statutory definition. Martin's argument that Policy BC-3 should be considered a rule was rejected because the Respondent had not adopted it as a rule. Since Martin’s petition only alleged violations of the website and policy manual, his claim did not meet the requirements of ARIZ. REV. STAT. § 32-2199.01(A).
Scope of Authority: The relief Martin requested (financial support for court construction) was not within the scope of the Administrative Law Judge’s authority pursuant to ARIZ. REV. STAT. § 32-2199.02, which generally allows the ALJ to order parties to abide by documents/statutes or levy civil penalties.

The final decision of the rehearing, dated May 10, 2019, was that Petitioner Tom J. Martin’s petition is dismissed. As this was a rehearing order, it is binding on the parties.

Case Details:
Case ID: 19F-H1918022-REL-RHG
Docket: 19F-H1918022-REL-RHG

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