Sun City Anthem Board
Says
"We Don't Give a
Damn About Any Vote"
"We're Suing
Anyway"
Well now, did we
say that your vote never mattered...that the Sun City Anthem Board would do
whatever they chose to do, no matter what the
outcome?
Looks like our suspicions were right on
the money...
Your
Money
Anthem Opinions was not endorsing any action to sue or not to sue
the developer. That was
a decision that each resident made.
Our contempt was for the process that this board obviously used in
maneuvering the facts to support the outcome they decided before asking you for an
opinion.
There can be little doubt this was the case by simply examining the
actions by the President of Sun City
Anthem.
Despite an Association
President SPECIFICALLY STATING that it would require 3,573 "yes" votes to have the civil action
proceed, evidently...
...as we correctly
predicted....HE
LIED.
Rather than originally providing FULL DISCLOSURE in order to allow unit owners to come to an
intelligent decision...which an individual who had INTEGRITY and
sense of HONESTY...would have
done...
...instead...
...as has been the course
he has chosen again and again, since his election to the Sun City Anthem
Board...
..he obviously believed
that the key to successfully "sell" this to the
community....
Was
simply....
...DECEIVE YOU...
...by first violating
state law not allowing public "Con" arguments thereby distorting any vote
totals...
And...once that failed to
achieve his CONTRIVED
OBJECTIVE....
...spending additional
association funds consulting ONLY with those whom he
knew would provide him the answer he wanted to
hear...
...finding a loophole to
proceed, and conspiring with certain of his "lap dog" companions
who laughingly are referred to as "leaders", to go along with this DECEPTION.
Make no
mistake.
Every
board member who sanctioned this action is as GUILTY AS THE PRESIDENT.
They too, remained
silent...allowing this DECEPTION to
continue.
Of course that "loophole" was never discussed prior to any
vote...or...in any letter from a lawyer...it just
came about when the residents of Sun City Anthem received the following this
letter:
- - - - - - - - - - - - - - - - - - - -
January 18,
2017
RE: Outcome of the Liberty Center
Construction Defect Vote
Dear Sun City Anthem
Homeowners,
History was made recently in Sun City
Anthem on January 6, 2017. Over 54% of the members took time to cast their
ballot on the Liberty Center construction defect (CD) matter. Both SCA’s general
counsel, John Leach, and our construction defect counsel, Francis Lynch,
indicated that in their long experiences, they have never seen such a large
response by a homeowners’ association in a vote issue such as ours.
Therefore, a big Thank You to all that
voted is the first order of this letter.
Automatic ratification of the litigation
question required 3,573 votes in favor, a majority of the unit owners. The count
resulted in 3,470 “Yes” votes and 294 “No” votes.
That was just 103 short of what the law
required for the litigation to continue without further Board action.
This vote resulted in over 92% of the
participants voting in support of continuation of the
litigation.
The Board of Directors scheduled an
Executive Session well in advance for January 9, 2017 expecting the possibility
that the vote would fail to meet the required minimum.
On that date, the Board met with both our
corporate counsel and construction defect counsel to go over the results of the
vote and the
next steps the Board should take.
The Board unanimously approved
moving ahead with the litigation
for the following
reasons:
Because there is legal
precedence for continuing the litigation;
Because 92% of the responding unit owners
approved moving forward with the CD lawsuit;
Because construction defect counsel has
advised that the claims regarding the construction defects are well supported,
amply documented and grounded in established scientific principles;
and,
Because corporate counsel has also advised
that attempting to recover the monies to repair;
Liberty Center is considered to be an
action in the best interest of the Association and its
membership.
We have taken some of the resident’s
questions and formed a Frequently Asked Questions section at the end of this
letter in hopes we have covered most of the
inquiries.
SCA Board of Directors
Sun City
Anthem Community Association, Inc.
- - - - - - - - - - - - - - -
-
FREQUENTLY ASKED
QUESTIONS
Since the Association did
not get the majority (3,573 out of 7,144 units) “yes” votes, does this mean the
Board cannot continue with the litigation?
No, the Board CAN continue
with the lawsuit.
The applicable statute, NRS
116.31088 (1) (e),specifically reads in part “[I]f the association, after making
a good faith effort, cannot obtain the required vote or agreement to commence or
ratify such a civil action, the association MAY thereafter seek to dismiss the
action without prejudice for that reason only if a vote or written agreement of
the owners of the unit to which at least a majority of votes of the members of
the association are allocated was obtained at the time the approval to commence
or ratify the action was sought.”
The key word in this
statement is “MAY”.
Where the vote totals fail to
produce a majority vote either way, the Board must take some action.
Since 92% of the voting members
agreed to continue with the
civil lawsuit, the Board adhered to the
majorities’ vote and unanimously agreed to move
forward.
Some have asked “[I]f the Board
can act anyway, why hold a vote?”
We followed the process the
law specifies.
We are required to seek a
majority vote on the question.
If that fails, then the Board
exercises its fiduciary duty to decide the course of action it believes is in
the best interest of the community.
What would cause the
Association to lose this case?
Construction defect counsel
is confident that we are not likely to lose this case if it is tried. The
Association has correctly filed the complaint in a timely manner and has
obtained several experts’ reports identifying faulty construction that occurred
when the Liberty Center was built.
The Association’s burden of
proof is preponderance of the evidence, or 'is it more likely than not’ that
construction defects existed in the Liberty Center.
The Association is confident
that it can meet the burden of proof in this matter.
Losing any case could involve
many reasons including the basics of
filing the complaint incorrectly or
beyond the statute of limitation.
More often, it would mean that
the Association filed a frivolous or malicious lawsuit or abused the
process.
On the ballot under the Con
Statement, it stated that the Unit Owners may be responsible for
paying Pulte/Del Webb’s (Defendant) legal fees if we lose.
What are those fees
for the Defendant’s attorneys?
Our counsel has advised us
it is extremely unlikely the Association will lose if the case is
tried.
However, in the event the
Association was found to have filed this case maliciously or frivolously and the
Defendant was awarded their legal fees, a judge will determine the reasonable
amount of those fees.
- - - - - - - -
- - - - - - - - -
Well now, what can we
say other than...
...that this carefully
crafted letter...WHICH UNDOUBTEDLY COST ADDITIONAL
SUBSTANTIAL LEGAL FEES $$$
...
...was ordered by a Sun City Anthem Board President in agreement with certain of his
fellow Board members in order to SKATE THE LAW, in conjunction with an association attorney
and independent law firm that stands to FINANCIALLY
GAIN as a result.
Of
course what was conveniently omitted by these DECEPTIVE individuals was
that:
1. Only 48.5% of the unit owners voted to approve the
measure: that Nevada laws says 50%, and the Sun City Anthem CCRs state 75%.
These RULES of course
didn't seem to mean "a hill of beans".
2. Many did not vote because THEY WERE LEAD TO BELIEVE that
such action would constitute a "no" vote, further
distorting the vote total.
3. By admitting in the letter they had a formal executive
board meeting planned in advance of the vote count,
that too, provides a convincing argument they had no intention to follow the
law.
4. And the best...AND PERHAPS THE BIGGEST INSULT TO THE
INTELLIGENCE OF EACH UNIT OWNER IN SUN CITY ANTHEM...they've now come up with
this option...
If
you don't want to go through with it, now you need 50% to say
"no".
We knew this would
happen; history has always dictated that this DECEPTIVE
bunch of CONTEMPTABLES pay little attention to the laws of Nevada, much
less existing Sun City Anthem CCRS when it does not fit their whims and
desires....
...and that the unit
owners of Sun City Anthem can now come to terms with the leadership it has
tolerated for years....
YOU, as a unit owner,
are merely a PAWN in order to finance their DESIRES.
These aren't
leaders....these are CON ARTISTS
!
...individuals who
have "played you" with a deck of 51 cards.
When will this place ever
realize you mean NOTHING to them OTHER THAN A QUARTERLY DUES
CHECK ?
Is there any doubt that
any of them could ever exist financially if they were forced to spend THEIR
MONEY, rather than yours?
These are
BUREAUCRATS....and in our opinion, have now established the Sun City Anthem
definition of "DEPLORABLES".
For those who actually do
pay any attention to their antics...
What in the world is it
going to take to prove to you, the financiers of our association, that their
main accomplishment has been creating a deceptive and untrustworthy atmosphere
year in and year out ?
We
should all realize they pushed this lawsuit in order to avoid their admitting
they were financially inept....
...that it was more convenient to "blame someone else" rather than
have a special assessment to cover their
mistakes.
This association has
known FOR YEARS that there have been serious problems with The Liberty Center,
and they IGNORED THEM in hope they would simply "go away
".
Previous
boards retained a management company to act as a watch dog to keep things in
order....
...and for some strange
reason, NEVER BOTHERED TO PLACE THE CONTRACT OUT TO COMPETITIVE BID...as
prescribed by law.
Can any of you remember
the excuse used not to place it out to bid years ago?
They used the word "practicability"....that it was "too late to do
so"...despite knowing months and years in advance of the renewal date....just
another backdoor deal that obviously WORKED AGAINST YOU
FINANCIALLY.
Why
are we not SUING that firm?
...you know, the one we
finally dumped ?????????
No
one has ever been able to give a straight answer to that question, have
they ?
Want more proof of the
"confidence" these CON ARTISTS have instilled in our community over
time?
Out of a community
population of over 11,000 residents with 7,144 unit owners, to
date...
NOT A SINGLE NEW INDIVIDUAL HAS FILED TO RUN IN THE 2017 BOARD OF
DIRECTORS ELECTION TO DATE...
...ONLY THREE WEEKS
FROM THE DEADLINE.
There is rumor that a number of members
of the existing board will once again run for reelection and continue to destroy
the financial soundness they have inadvertently created year after year with
selfish and ill-conceived decisions.
examples
include...
10% DUES INCREASE
in 2017 with likely 10% again in 2018
EXHORBITANT
SALARY & BENEFIT PACKAGE TO G.M.
RESTAURANT
SUBSIDIES AND BAD LOANS
IRS
FINE
...this list can go on and
on.
What have they...or more properly
stated...
WHAT HAVE WE ALLOWED THEM to do to this community ?
No "newbies" because of their creating
an atmosphere of...
"Why run,
nothing will change anyway"
So, with this grim, yet realistic
picture that we are convinced, WILL TAKE PLACE...
What can you do?
Very little...but what you can
seriously consider...knowing that in the absence of "new competent blood" ,
nothing will change...
When you receive a
ballot...
(if you receive an election
ballot)...
(no election takes
place if there are not sufficient candidates...and these LYING LOSERS merely
appoint some lackey who will follow the
leader)...
ANY
INDIVIDUAL BOARD MEMBER WHO SANCTIONED THIS DECEPTIVE ACTION SHOULD NOT
BE TRUSTED AND NO BALLOT SHOULD BE CAST IN THEIR
FAVOR.
They should be ashamed of
themselves for LYING to the members of Sun City
Anthem.
This latest action is
more than a "loophole".
Your acceptance of this
does little other than set a precedent for future
events.
The law was established
in order for a majority of those WHO OWN A COMMUNITY, to decide its fate.
All
we asked was FOLLOW THAT
LAW.
They DID NOT.
There is but one
conclusion that can be drawn from this decision that affects all of us who
reside in Sun City Anthem.
Should this action in any
way cause financial loss to our community, EACH BOARD MEMBER WHO JOINED IN THIS DECISION SHOULD BE
HELD PERSONALLY RESPONSIBLE FOR ANY FINANCIAL LOSS
SUSTAINED.
This "swamp" needs
draining, but after years of corruption and inept management, sadly those who
have mistakenly trusted the judgment of those who have caused us such harm by
allowing this action to continue again and again, have left us with a "swamp"
without a drain.
They made sure of that in
designing a "spoils system" in which they could perpetuate their
disease...
... and when you pay that
increased assessment in addition to the many that will follow, we only have
ourselves to blame for being blind enough for allowing them to do
so.
Got a
comment?
Send it to us at:
My sincere thanks to Mr. Orth for pursuing this....much to the chagrin of other Bloggers I have long held that the attorney is an over-paid buffoon that makes My Cousin Vinny look like Clarence Darrow.
And, of course, the Board will hide behind the attorney's recommendation (e,g, "Well, the Lawyer said...")
Or worse, they knew about it and proceeded anyway..
Big Trouble ahead..
We will now see..
Mr. Peterson,
If the BOD does not cancel the litigation, the process that I will follow is the submission of an Intervention Affidavit (IA) to the Nevada Real Estate Division.
This is a complaint, not a lawsuit, and NRED has a number of options they can exercise after review of the complaint.
The direct answer to your question is - unfortunately no.
But I sincerely appreciate your interest and offer.
From Tim Stebbins...to...Anthem Opinions
All government bureaucracies have policies and procedures and rules and forms.
Filing a complaint against the board of directors in an HOA to the Nevada Real Estate Division is no exception.
A homeowner who wishes to file a complaint against the board does so by using a special form called an Intervention Affidavit (how they came up with that term I have no idea).
And there is a process to properly file that form involving certified letters, notarized forms, etc.
It is not very difficult but it just has various rules.
It is not a law suit but it is an action defined by the Nevada Real Estate Division and is normally done by a single homeowner.
Multiple homeowners can each their own complaint.
The proper form is available on-line along with instructions and rules about the process.
If you or anyone else wants the information about how to file such a complaint just let me know.
TStebbins1@cox.net
The Office of the Ombudsman actually has a training course to inform homeowners about this.
FINALLY, someone with enough smarts and enough "b_lls" to go after these liars.
Good for you.
I hope Mr. Orth has submitted his name to run for Association Board membership.
Sounds like he has more common sense and intelligence than all the current Board members put together!
In that so many people voted on this issue and approximately 90% of those that voted were in favor of the litigation I believe we should proceed with the litigation.
The people that didn’t vote are simply sitting on the sidelines and have no interest while those that took the time to educate themselves on the issue voted overwhelmingly in favor of the litigation.
Since it won’t cost us to pursue the litigation if we fail, where is the downside to the community?
What could possibly be the upside to the association to not pursue this?
Many people did not vote believing that would be considered a "no" vote.
The Association President specifically stated that 3,573 votes were needed in order to proceed. Nothing was said to the contrary, and in the minds of many, when the vote was tallied, his voting to go ahead with the litigation constituted LYING to his community.
The "upside" should never substitute for the LAW.
There was a good reason as to why the law was passed requiring such a substantial percentage...namely to provide protection to a community against legal action that affects everyone.
All that the people wanted were the full facts prior to casting a vote. They did not get them, and as a result, many believe the entire matter did little other than DECEIVE in order to proceed.