After reading Rights and Powers of Association, read also On Dissolution of Homeowners’ Association
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A homeowners’ association may impose or collect reasonable fees for the use of open spaces found in their subdivision or village
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It has the right to regulate access to the subdivision or village roads
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It may file a petition for the creation of a separate barangay
W hat are the rights and powers of homeowners’ association?
The law says:
An association shall have the following rights and powers:
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Subject to consultation and with the approval of a simple majority of the members, adopt and amend the articles of association and by-laws, rules and regulations, pursuant to existing laws and regulations;
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In behalf of its members, institute, defend, or intervene in litigation and/or administrative proceedings affecting the welfare of the association and the subdivision/village as a whole, excluding, however, disputes that are not the responsibility of the association;
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Regulate the use, maintenance, repair, replacement and modification of common areas and cause additional improvements to be made part of the common areas provided that it does not contradict the provisions of the approved subdivision plan;
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Regulate access to, or passage through the subdivision/village roads for purposes of preserving privacy, tranquility, internal security, safety and traffic order provided that: [1] public consultations are held; [2] existing laws and regulations are met; [3] the authority of the concerned government agencies or units are obtained; and[4] the appropriate and necessary memoranda of agreement are executed among the concerned parties;
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Hire, discharge or contract managing agents and other employees, agents and independent contractors to ensure the full functioning and operation of the association;
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Subject to consultation with and the approval of a simple majority of the association members, acquire, hold, encumber and convey in its own name any right, title to or interest in real or personal property provided that such approval of a simple majority of the association members shall not be required for the acquisition, holding, encumbrance and conveyance of personal properties in amounts not exceeding ten percent (10%) of the association’s cash holdings for its use in the course of its normal operations;
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Ensure the availability of quality water services at a reasonable price and, at its option, after consultation with the general membership, administer and manage the waterworks system of the subdivision;
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Upon consultation, grant easements, leases, concessions and authority to use common areas and petition for or consent to the vacation of streets and alleys provided that the said grant of easements, leases, concessions and authority shall not be applicable to access roads, main interconnecting roads, alleys and sidewalks within the subdivision;
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Impose or collect reasonable fees for the use of open spaces, facilities, and services of the association to defray necessary operational expenses, subject to the limitations and conditions imposed under the law, the regulations of the board and the association’s by-laws;
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Cause compliance with regard to height regulations, easements, use of homes, buildings, edifices, or structures that may be built within the subdivision, in accordance with the National Building Code, zoning laws, Housing and Land Use Regulatory Board (HLURB) rules and regulations, existing local ordinances, and existing deeds of restriction;
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Subject to consultation and with the approval of a simple majority of the association members, allow the establishment of certain institutions such as, but not limited to, schools, hospitals, markets, grocery stores and other similar establishments that will necessarily affect the character of the subdivision/village in terms of traffic generation, and/or opening the area to outsiders which may result in the loss of privacy, security, safety, and tranquility to its residents, in accordance with the National Building Code, zoning laws, existing local ordinances, HLURB rules and regulations, and existing jurisprudence. However, take note that such prior approval shall not be necessary for the establishment of sari-sari stores, home industries and similar small-scale business enterprises within the subdivision/village classified as socialized housing;
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Suspend privileges of and services to and/or impose sanctions upon its members for violations and/or noncompliance with the association’s bylaws, rules and regulations;
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Petition for the creation of a separate barangay, independently or together with neighboring subdivisions. This on the condition that all the requirements of the Local Government Code of 1991 are met; and
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Exercise any other powers conferred by the by-laws and the HLURB necessary for the governance and operation of the association.
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Alburo Alburo and Associates Law Offices specializes in business law and labor law consulting. For inquiries, you may reach us at info@alburolaw.com, or dial us at (02)7745-4391/0917-5772207.
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