Neighborhood Assn., Inc. v. Limberger

Summary

The court held that a common-interest community association’s standard foreclosure policy is a rule subject to statutory notice-and-comment requirements because it materially governs unit owners’ financial obligations and the circumstances under which they may lose their homes. The court further held that proper adoption of such a policy, or a board vote authorizing the particular foreclosure, is a jurisdictional condition precedent to commencing the foreclosure action. Because the association satisfied neither condition, the foreclosure judgment was reversed and the action was ordered dismissed.